Seeking Clarity on Limited Company Operations in the Tattoo Industry

As a tattoo artist, my creative focus often overshadows the complexities of business management. Recently, my accountant advised me to register as a limited company, which has left me confused and seeking clarity. Currently, I’m the sole employee and director, navigating this new structure for the past couple of years. While I understand the basics, I find myself struggling to identify the benefits and advantages of this arrangement.

In my previous role as a sole trader, I had a clear grasp of my earnings and was able to set aside funds for taxes and savings without restrictions. However, under the limited company model, everything feels more chaotic. I currently pay myself a wage based on the business’s revenue, and even after increasing this wage, it still seems insufficient. The guidance I’ve received suggests saving a mere £300 a month for taxes, which feels vague and unmanageable.

I’m beginning to wonder if my challenges stem from personal finance mismanagement or a lack of understanding of how limited companies operate. When I approach my accountant with questions, I often feel overwhelmed, and much of the conversation doesn’t resonate with me.

At this point, I’m reaching out for advice and support. It’s daunting to admit I’m struggling, but I truly feel lost. If anyone has insights or experiences to share regarding managing finances in a limited company setting—especially for creative professionals like myself—I would greatly appreciate it. I am open to any tips or clarifications that can help me better navigate this situation. Thank you for your understanding, and I look forward to any guidance you can provide!