The choice is yours about whether property is a passive or active income, many choose a hybrid model.
You need to look at the different options and decide on the one that is right for you and Shaz has informative content in this episode about the tax implications and the various property strategies out there that could work for you.
Whether you are looking for a passive or active income from property listen in and hear really useful content that will help you on your property journey.
KEY TAKEAWAYS
If you hold property in your own name, you pay tax on the profits and income, when you sell the asset you pay tax on it as capital gains. If it’s through a limited company everything is paid at corporation tax rates
The biggest factor is the amount of time you spend on running your property portfolio
You have to know your marketplace, your customers and what they need from you
Have good systems and processes in place to increase efficiency
Know your numbers – you need to understand all the key numbers to know if a deal will work for you
Before you buy any property you need to know if the deal stacks up and if it will cash flow
Understand at the start what your exit strategy is
Cash flow is vital with capital appreciation as a bonus
Is the investment objective to generate income over the short or long term?
Passive income is when you aren’t involved in the day to day and the property is usually managed by someone else
Active income is receiving a fee for time you have spent
BEST MOMENTS
‘When you move properties from your own name to a limited company you may not have to pay capital gains tax’
‘Be disciplined, start with the end in mind and have clarity about everything within your business’
‘You can have a hybrid model and do a bit of both’
VALUABLE RESOURCES
shaz@aaa-accountants.co.uk
FREE WEBINAR - https://bit.ly/shazwebinar
ABOUT THE HOST
Shaz Nawaz is a serial entrepreneur; he owns five thriving businesses in diverse sectors.
Shaz is committed to helping business owners build successful businesses. Having conducted over 3,000 business growth consultation he has helped his clients generate millions in additional profits. His purpose is to inspire business owners to build businesses that are hugely profitable and sustainable.
He is a huge advocate of having multiple streams of income. He has written a number of business books and regularly contributes articles to mainstream media outlets.
You can find Shaz on:
· Facebook
· LinkedIn
· Instagram
· YouTube.
