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Neiltom@blueyon
24-05-2004, 07:00 PM
I am planning to open a fishing tackle store in the north east. I am still only at the planning stage at present but i am definately going to start a business, one query I have is around when I should register as a business. I have contacted a company who register you as a business for £69 they searched and found the name I wanted is available and have encouraged me to register immediately. it may be some months before i open a store but I would like to be on line soon selling over the net. Should I be looking to register now so I can promote my business.
Please Help!!!!

Neil

Adam
24-05-2004, 09:12 PM
Check exactly what they are doing for £69.

There are a number of things you can do and some you need to.

You do not NEED to "register as a business" if that means have LTD after your company name. You could be self employed "a one man band" and still open the shop. You will however need to notify the IR (Inland Revenue) within three months of becoming self employed.

You can form a limited company direct with Companies House for around £20 but have to do all the work so paying £69 for this is quite good.

You may want to register a domain name as well. I recommend 123-reg.co.uk for this and a .com is under £20 for two years with a .co.uk for just over £6.

If you are definitely going ahead then you may as well register now.

You may need to be VAT registered and so registering early may make it easier to get VAT back on purchases.

Carpet3
25-05-2004, 12:14 AM
I'm preparing to launch my business.

When you notify the inland revenue that you are about to start trading (or started within the last 3 months) do they then send you registration docs (as in a business number etc)

this is for a sole trader.

trojan
25-05-2004, 02:12 AM
"You may need to be VAT registered"

I am also starting a sole trade in jewellery. Do I need to be VAT registered within the 3 month trial period? Do I have to charge VAT on the items I am selling as I am starting up?

Statler
25-05-2004, 09:15 AM
You may find the following guides of use:

Business Link: The No-nonsense Guide
http://www.businesslink.gov.uk/bdotg/action/detail?type=INT_PUBLICATION&itemId=1073793551&r.li=1074406959&r.pp=12&r.s=p&r.pt=startingabusiness

Inland Revenue: Starting a Business Guide
http://www.inlandrevenue.gov.uk/startingup/pages.pdf

It is a common misconception that your business needs to appear on a register of businesses. If you are a sole trader or partnership, then the only organisation you need to contact is the Inland Revenue. As Adam states, this must be done within three months of commencement of trading.

If you wish to structure your business as a limited company, then you must also register with Companies House (http://www.companies-house.gov.uk).

To find out about VAT, and when to register, go to:
http://www.hmce.gov.uk/business/vat/vat.htm

James Smith
25-05-2004, 09:42 AM
A few things from the above posts:

1. You can search for an available name for FREE on the companies house website, or on the websites of most formation agents.

2. A "no frills" formation only package should cost around £35-45+VAT. There are loads on companies on the net who do a good value formations package.

www.directfrormations.co.uk is one that I use personally.

£69 sounds a touch on the high side unless it is coming with advice.

3. Regarding being a sole trader - there is no "registration document" or "business number". You are simply trading in your own name, and need to tell the IR so they have a record of your and your business. This is quite a different thing from being a ltd company.

4. Regarding VAT you only NEED to be VAT registered if your turnover is going to be more than £58,000 per annum. Before this time you have the option to register (charge VAT on your sales and reclaim vat on your costs) or not to register (canít reclaim the vat on your costs, but donít need to add to your selling price).

Hope that helps.

Starskyís links are excellent ones as ever.

Carpet3
25-05-2004, 12:56 PM
spot the mistake :)