Company Directors, should you furlough yourself?
Reasons to furlough:
✅ You may receive a grant of 80% of your salaried income up to £2,500 per month for 3 months.
This can be backdated to 1st March 2020
Reasons not to furlough:
✅ Most company directors only take a minimal salary for tax efficiency, and as such 80% of that salary is only likely to be £585. So for three months it’s just £1,755
✅Whilst on furlough, you are only allowed to perform “statutory” duties for your company. You cannot work on any revenue generating work. This includes marketing, although communication with existing customers and suppliers is ok.
Is this amount worth putting your business growth on hold for?
I would suggest in most cases it’s not.
What will you do?