If you’re thinking of setting up a start-up in the UK, you’ll be pleased to know that the process is incredibly quick, easy and cheap and that you can set up your new business in the space of a day. If you’ve decided to take the leap and set up the business you’ve always dreamt of, this blog post will take you through the seven easy steps it takes to make your business a reality.
With more than 40 years experience providing a range of accounting services for small and medium businesses, you can rely on the team at Jim Lyons Accounting to help you make the most of your new venture.
Inform HMRC that you’re going to be self-employed
Whether you do it online or over the telephone, you’ll need to tell HMRC that you’re going to be self-employed and get the correct starter pack depending on whether you’re going to be a Sole Trader, a Limited Company or a Partnership. HMRC also offers free online training which will give you an overview on filing your tax returns and record keeping. You’ll also find some advice on what to do if you take on a member of staff.
Sort out your business insurance
Next, you will need to go online and find out which kind of business insurance you’ll need. Once you know the kind insurance you do need, you can go on the price comparison sites to find the best deal. You could work with a Trade Association, who manage to get large discounts for their members, and if you’re setting up a niche business, there are specialist brokers who will be able to help.
Choose a name for your business
Go to the Companies House website to make sure that the name you want for your business you want is available. If you’re not sure of the name you want, it’s best just to go with your name for the time being, but don’t buy and invest in marketing until you’ve made a firm decision. As soon as you’ve settled on a name, buy the domain name online.
Set up a bank account for your business
Your company is legally a separate entity to you, so you will need to set up a business bank account. If you’re a Sole Trader, it’s not strictly required, however it is highly recommended. If you’re a Sole Trader and you decide not to set up a separate bank account, you will need to be able to keep extremely clear accounts.
Make sure your business is compliant
You will need to ensure that your business satisfies any licensing, data protection and health & safety regulations that apply. It’s a straight forward process for the vast majority of new businesses and only takes a few minutes when you use Government online tools.
Get your accounting in order
You will need to set up a simple bookkeeping system to record all your costs and sales as a minimum; however most new businesses work with an accountant to take care of the financial side of the business. A specialist small and medium business accountant will be able to handle all your book keeping, tax returns and payroll, as well as VAT and self-assessment, whilst you get on with the day to day running of your business.
At Jim Lyons Accounting, we also offer general business advice to help you make the best decisions for your new start-up, whenever you need assistance.
Find suitable premises
If you need premises or offices, your Council or Local Authority will be able to help you by making you aware of available premises and the cost of business rates in your area. You may decide to work from home, at which point, you will need to be aware of:
- How to incorporate a percentage of your household bills as business costs
- If you’re using a particular room for your business, various Capital Gains tax implications, and how to avoid this by using different parts of different rooms.
- You will need to check in with your local planning department for advice if you will be receiving regular business visitors or you plan to employ someone who will be working in your home.
- Check your lease to see if you can set up a business from home if you rent.
It may seem like a lot, but with a full day, you should be able to complete all of this in a day with no distractions.
If you’re looking for an accountancy firm dedicated to ensuring all your bookkeeping and tax obligations are met, giving you one less thing to worry about, call the team at Jim Lyons Accounting today on 01535 605247. Alternatively get in touch with us online.