Costco - tougher than getting a Current Account!!

terriblesaver

I'm self employed and have just got off the phone to Costco - I dont have seperate bank accounts for business - what a luxury(!) and I never buy anything for the company so have no invoices .... surely there must be an easier way to save money!! My mum and I were going to bulk shop and then split the cost

looby75

not sure how it works but would it be possible to buy something that you could feasibly use for you business just to get a invoice and then either use it at home or sell it on?

Sorry if this isn't a very good idea, like I said I'm not sure how these things work. Costco is great, my sister has a card for there and whenever I go to visit her and she's giving me a lift back home I go and stock up on whatever I can afford at the time.

terriblesaver

Thanks looby - just wish I had some meny to go do that with!!! LOL

Jessiepig

Sorry but if you are self employed. You must have registered for tax and are you sure that you never buy anything to help with your work

scotgirl

You can become an individual member of Costco without owning a business - slightly less benefits (longer opening hours for business accounts). Could this be an option?

wigginsmum

You need to be employed in certain industries if you're going for an individual membership - eg. banking, teaching, local government, law etc.

john_kent

I got an individual membership. I am self employed but may be going for limited status soon that will make thimgs easier.

I fin with costco , its best to buy things you wont abuse , like washing powders , engine oil .

Also , in march they had holts deicer for 50p a can. bough loads of it and will sell it for a quid a can to friends and family.

they dont tend to have it on offer this time of yera with the first frosts around 6 to 8 weeks away

wuckfit

Costco make it difficult for a reason. if you don't have a business bank account, how can you operate a legitimate business is their reasoning.

if you do have your own business, then you need a business account, else there is no way that you can keep your business affairs seperate from your private ones, and there is no way that your accountant can do your accounts and pay the correct tax to the Inland revenue.

if you're operating a business on the Q-T then you could end up in trouble if the tax man finds out.
most business bank accounts are free for the first year, and if you're a member of the FSB you can get the co-operative free business banking account which (apart from cash deposits over a certain limit) is free.

terriblesaver

wuckfit you lost me there - i couldnt get a busines account so i used the account i had!!

melancholly

terriblesaver wrote:

wuckfit you lost me there - i couldnt get a busines account so i used the account i had!!

someone else can probably come along and correct me, but i understood that running a business through your personal bank account was fraud?!

anyway, in terms of costco - if you know anyone with a card then they can add you as an additional member, and after a certain amount of time (6 months/ 1 year?!?!) then you can get your own card, regardless of whether you fit the criteria. i got my card on holiday in the US and because i have any costco card i have now renewed my membership in the UK.

tyllwyd

melancholly wrote:

someone else can probably come along and correct me, but i understood that running a business through your personal bank account was fraud?!

Why would it automatically be fraud - as long as you can separate out your business transactions and your personal spending, and you give the correct figures to the tax man, where would the fraud be involved?