A special type of scheme, unique to the UK, allows directors of small companies to build up a pension while simultaneously using the fund to develop the business.
In particular the fund can be used to purchase new business premises and to provide a sizeable loan to the company.
These unusual company pensions, known as small self administered schemes (SSASs), must be used to provide pensions at retirement but in the meantime you can control the scheme and the investment, as well as decide the level and timing of the contributions (within Revenue limits).
You can use the fund:
Membership of the scheme normally is restricted to a maximum of 12 and is generally limited to directors. This makes sense if the fund is going to be used for commercial purposes since the agreement of all members is essential, particularly where self investment (investing part of the pension fund in your own company) is concerned.
Schedule D taxpayers such as professional partnerships and practices, cannot set up an SSAS but similar facilities are available through self invested personal pensions (SIPPs).
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