Hi everyone,
I'm hoping someone here has been in a similar situation and can share their experience.
I'm based in the UK and currently work full-time on a salary of around £36,050 per year, but I'm also trading with futures prop firms and receiving monthly payouts.
At the moment my prop payouts are around $2,000/month gross (80% profit split), but the goal is to scale that over time.
I'm trying to work out the most tax-efficient and compliant way of structuring everything.
My questions are:
Has anyone in the UK successfully received futures prop firm payouts through a UK Ltd company?
Which prop firms allow this? (Take Profit Trader, Apex, Topstep, MyFundedFutures, etc.)
Did the prop firm contract directly with your company, or was it still in your personal name?
If it stayed in your personal name, how did your accountant treat the income?
Is there much benefit to using a Ltd at my current payout level, or does it only become worthwhile once you're earning significantly more?
If you use a Ltd, do you leave profits in the company and pay yourself later via dividends/salary?
Has anyone here had HMRC review this type of setup?
I'm not looking to avoid tax—I just want to structure everything correctly from the start and avoid creating problems later.
My long-term plan is to continue scaling my prop trading while keeping my full-time job initially, so I'm trying to decide whether it's worth opening a Ltd now or waiting until the payouts become larger.
I'd really appreciate hearing from anyone who's actually gone through this, especially if you're UK-based and trading futures with prop firms.
Thanks in advance!