Becoming a SI domestic cleaner -help please

easyhost

paulofessex wrote: »

Also business bank account charges for depositing cash can be very high compared to other methods i.e. Chq's or Bank Transfer, therefore it may pay you too see your customers could pay by other methods rather than cash as the business grows.

when you open a business bank account most banks will give you 12 to 24 months free banking, but then after that for everything to deposit or credit from the account you will be charged, also some banks will levy a monthly fee to maintain your account

paulwf

easyhost wrote: »

when you open a business bank account most banks will give you 12 to 24 months free banking, but then after that for everything to deposit or credit from the account you will be charged, also some banks will levy a monthly fee to maintain your account

Agreed, if you take payments in cash and use that cash to buy materials straight away it will save you losing a lot of money by paying it into the bank and then drawing it out again. Basically if you pay bank charges you want to bank as little money as possible That is assuming you keep a meticulous paper trail though.

easyhost

paulwf wrote: »

. Basically if you pay bank charges you want to bank as little money as possible.

this makes no difference, if you pay in £1 or if you pay in £1000 then the fee the bank charges remains the same. the way around this is to get yourself a safe so that you have somewhere to lock away any income and then maybe weekly/monthly depends on income then bank any excess you have after using money to but materials etc.

Dontknowanymore

Ok, I'm not really going to be earning a great deal, between £60 and £150 a week as I can only work 3 days a week until my sons nursery has more space, is it really nessicary to have a business account?

I have 14 hours worth of work already, 10 of those is just one client.

steve1980

You should not be using a personal account for business. There are plenty of banks thst do business banking for free.

Dontknowanymore

Ok thank you, I will make an appointment with my bank.

paulwf

easyhost wrote: »

this makes no difference, if you pay in £1 or if you pay in £1000 then the fee the bank charges remains the same. the way around this is to get yourself a safe so that you have somewhere to lock away any income and then maybe weekly/monthly depends on income then bank any excess you have after using money to but materials etc.

This is incorrect - at least for my bank (HSBC). They charge a fee per deposit PLUS an additional fee which is a percentage of the amount banked. So they get you twice! It is correct that it is best to not bank too often to avoid the fixed depositing fee but the only way around the percentage is to pay as many bills as possible in cash.

Paying less into the bank and having less bills to pay from the bank account saves other charges such as fees when making direct debits and fees when withdrawing cash. I would urge anyone who pays banking fees to get very familiar with the way their particular tariff works as with a bit of thought it can usually be greatly reduced.

easyhost

paulwf wrote: »

This is incorrect - at least for my bank (HSBC). They charge a fee per deposit PLUS an additional fee which is a percentage of the amount banked. So they get you twice! It is correct that it is best to not bank too often to avoid the fixed depositing fee but the only way around the percentage is to pay as many bills as possible in cash.

Paying less into the bank and having less bills to pay from the bank account saves other charges such as fees when making direct debits and fees when withdrawing cash. I would urge anyone who pays banking fees to get very familiar with the way their particular tariff works as with a bit of thought it can usually be greatly reduced.

I am with natwest and i pay a fixed fee on debits and credits + a fixed monthly service fee as they call it

DigForVictory

paddyrg is dead right to say "have a plastic envelope to keep the cash and receipts in all together", but I schedule time each month to write up my books. I bribe myself. Once it's done, we can go out as a family for a meal. :beer:
Until it's done, I go nowhere, & the meal is somewhat awkward sandwiches.

So long as the petty cash is really clear, there's no need to pump it all into & out of the bank. That said, you might want to keep the cash tin locked & not tell your family what's in it. When my family need cash in a hurry, they are not always punctilious about going to the cashpoint.

Good luck!

paulwf

easyhost wrote: »

I am with natwest and i pay a fixed fee on debits and credits + a fixed monthly service fee as they call it

The tariff I just downloaded from their website suggests a fixed fee plus a percentage on top for payments in at counters...I presume it varies depending on what type of account you have? It looks like the default is to pay the fixed fee plus percentage according to their booklet though. It reminds me of paypal that charges a percentage and a fixed fee so they get a good fee whether it is a small or large amount.