Setting up a business - advice please

DFWJane

OH is always mending / building computers and as no one knows if they're job is safe these days, has now decided to set up a little part time business and if it's a success in a few years he may do it full time. he would probably want to employ me in the future too.

I know declaring as SE is simple and just a phone call to HMRC but he has a name he would like to trade as and this is where we are getting confused. I have done searches and cannot see the name is registered to anyone else but how would trading under a name affect the status of the business? would he then be a company rather than just SE? he has some people wanting work done and we want to get the SE set up first so he can invoice them properly - presumably he needs to register the company first.

A bit of advice would be much appreciated.

Spicey

Hi, My husband is SE, you tell the tax man what your trading name is when you set up. It only matters what the name is if you become VATable. The best way to find out if someone is trading already in that name is to search companies house. As for him employing you, if you don not already pay tax, then it is worth him putting you on his accounts as wifes wages, this will save him some tax. example you will probably answer the phone and take bookings etc. Hope that some help.

DFWJane

Thanks, Spicey

I have already searched companies house and the name isn't in use. It sounds relatively simple so we'll get in touch with HMRC when we have decided what date to start from.

sarahs999

Good luck with your business. Theonly piece of advice I have to offer concerns payment; always always stick to your guns and don't hand the goods back until they pay. I know it sounds onvious, but there are always conniving devils who manage to get around payment and you spend for ever chasing them. We sold our business two years ago for a good profit, but had to write off 6k of bad debt as we just couldn't afford the time to chase any more.

zfrl

Just a few points - if you are SE and a sole trader you can be Joe Bloggs trading as "Computer Repairs". This will enable you to use the name "Computer Repairs" on your invoices, business cards etc but you will need to have the "Joe Bloggs Trading as Computer Repairs" as required.
It is only if you want to be a limited company that you need to have any dealings with Companies House. VAT is a whole different area - they don't mind what you trade as - as long as it is within the law and you are not using someone else's name illegally!

DFWJane

Thank you all for the advice. I think it's best to go as sole trader, trading as X name. The hardest part will be getting him to be ruthless and see business as business, he is a bit too soft with people. I'm the bad cop though!!

Hopefully he'll do well and there's no outlay to start which is a bonus.

bordercars

as youre going into the PC industry you probaly want a website, before having any printing done for your name, search the domain name sites and see if it's available. it looks much better having even emails sent to [EMAIL="jane@dfw.co.uk"]jane@dfw.co.uk[/EMAIL] than [EMAIL="janedfw1933@tiscali.co.uk"]janedfw1933@tiscali.co.uk[/EMAIL]

even if you dont want to use it 2.99 a year to register it is cheap. good luck

zfrl

DFWJane wrote: »

The hardest part will be getting him to be ruthless and see business as business, he is a bit too soft with people. I'm the bad cop though!

I know just what you mean.:D