How to start a business

XxXfashionqueenXxX · 15 August 2010 at 10:50PM

I want to start up a business selling handmade cards and other gift pieces. The only problem is I dont feel secure putting my bank details online and I only have a cashcard. I dont trust paypal. So what should I do?

Horace · 15 August 2010 at 11:14PM

You don't need to put your bank details online - you could set up a business paypal account or not accept online payments at all and get people to send you cheques or postal orders.

Sell your items through other outlets such as wedding fairs etc.

Seek advice on setting up a business from business link or your local chamber of commerce.

You will need to register as a sole trader with the HMRC too.

paulwf · 16 August 2010 at 8:17AM

XxXfashionqueenXxX wrote: »

I want to start up a business selling handmade cards and other gift pieces. The only problem is I dont feel secure putting my bank details online and I only have a cashcard. I dont trust paypal. So what should I do?

Sell offline not online

Seriously, if you read the Up Your Income board there are a zillion posts about people starting up a homemade card business. Online must be saturated, selling local face to face or through local shops may be better.

BTW have you costed your time? The general theme on the handmade card threads is that if you include all your time you're working below min wage. It might still be worth doing for pleasure but not to make a living wage.

Good luck!

wonka · 16 August 2010 at 11:37AM

PayPal is pretty secure and reliable, why don't you trust them?

You could use an alternative, such as WorldPay, for online payments... or is it online payments you don't trust?

JAYk_2 · 16 August 2010 at 12:43PM

XxXfashionqueenXxX wrote: »

I want to start up a business selling handmade cards and other gift pieces. The only problem is I dont feel secure putting my bank details online and I only have a cashcard. I dont trust paypal. So what should I do?

PayPal is fairly secure online payment processor. I've used them many times no problems. Go to the PayPal website, sign up and the process from there onwards is easy. (PayPal alternatives - Nochex, Moneybookers, SagePay, PPPay).

First things first:
Register your business with HM Revenue & Customs. Currently they allow you only 3 months to tell them otherwise you pay a £100 fine.

Banking:
Sole traders do not necessarily need a business bank account. You can get one if ou wish to seperate your personal from your business.

The business:
Ideas. You can have a basic website displaying all your handmade cards, each one has a different code/number underneath, the customer e-mails you with the number and the card they want and you send them an invoice via PayPal (or any other payment processor you may use)

or

You can buy an e-Commerce website where all the major payment processors are already intergrated into the website.

or

You can sell on third-party websites like Etsy, eBay, Amazon, eBid, CQout etc etc.

or

You can sell offline at creative industry events, fairs etc, or set up a stall at your local market even.

martindow · 16 August 2010 at 1:17PM

JAYk wrote: »

First things first:
Register your business with HM Revenue & Customs. Currently they allow you only 3 months to tell them otherwise you pay a £100 fine.

I think this is no longer so. You now have to inform them as soon as you start trading.

JAYk_2 · 16 August 2010 at 1:24PM

martindow wrote: »

I think this is no longer so. You now have to inform them as soon as you start trading.

Yep sooner the better then.:D

madmartin · 16 August 2010 at 3:36PM

I agree with the people above. We use Paypal at work and we've never had a problem and sometimes the transactions can be £1000+.

I think an Etsy or BigCartel shop would be a good idea, however with the market you are trying to get into it'd be hard to get your voice heard.

It may be an idea to go down the local craft fair/stall route, and have that backed up by a small online shop - then people can see the product, and buy it and if they liked it they can visit you online to pick up more.

Hope this helps

XxXfashionqueenXxX · 17 August 2010 at 10:40AM

BTW: I only have a cash card
And I dont trust paypal because their have been alot of incidents (my sister is a banker)

XxXfashionqueenXxX · 17 August 2010 at 10:45AM

If paypal is concerned, is it still ok to use webs.com to build my website

FOURCANDLES_2 · 17 August 2010 at 11:06AM

Problem with paypal are fees would have to be passed on to the customer?. Business bank account when we started bank said no offered us one 3 years down the line but have remained as we are no problem for us or the tax man.Cousin did the card thing great but for pin money only at the craft fairs.Tell tax man etc Yes tell them the 3 month rule was you have a duty to tell them within 3 months it was not set up as a target that you must tell them in 3 months if you no what I mean. As for starting a business go for it you can only fail then if that happens go get a job as an employee and try again as soon as possible we tried 3 before we hit on the right one.