When working as a veterinary locum, there are several different ways that you can operate as a self-employed individual or contractor. Each option has its own advantages and disadvantages, and it is important to understand the differences to make an informed decision about which option is best for you.
A sole trader is an individual who operates their own business as a self-employed person. This means that you would be responsible for registering your business, completing your own tax returns, and keeping accurate records of your income and expenses. As a sole trader, you would have complete control over your business and the services that you offer, but you would also be personally liable for any debts or losses that your business incurs....further information
A limited company is a separate legal entity from its owners, meaning that the business is responsible for its own debts and liabilities. As a director and shareholder of the company, you would have less personal liability than as a sole trader. However, setting up a limited company can be more complex and costly than operating as a sole trader, and you would be responsible for managing the administration and compliance requirements of the company......further information
An umbrella company acts as an intermediary between the locum and the veterinary practice. The umbrella company would typically handle the invoicing and payment process, and would deduct their fees and any taxes before paying the locum. This can be a convenient option for locums who do not want to manage their own business administration, but umbrella companies may charge high fees and may not offer as much control over the locum's work arrangements....further information
Zero hours contract:
A zero hours contract is a type of employment contract that does not guarantee any minimum hours of work. As a locum on a zero hours contract, you would be engaged by the veterinary practice on an ad-hoc basis, and would only be paid for the hours that you work. This can be a flexible option for locums who want to work on a part-time or casual basis, but it may not offer as much financial security as other options.
In summary, each option has its own advantages and disadvantages, and the best option for you will depend on your individual circumstances and preferences. It is important to seek professional advice from an accountant or legal advisor to help you make an informed decision about which option is right for you.