New business help?

Savvy_Sue

Couple of points: if you expect your profit from self employment in your first year to be less than c. £6000, then you can ask for a small earnings exemption from paying self-employed National Insurance - and if you don't have that then you'll be paying NI by Direct Debit once you register with HMRC.

Now, find your contract with the salon. Does it say anything about taking clients with you when you leave? If it does, what does it say? It may or may not be enforceable, but you probably don't want the stress of them trying to enforce it, and presumably you'll be working in the same geographical area so it might not be unreasonable for them to have such a clause. Maybe the beauty business doesn't go in for this kind of thing, I know people often follow hairdressers.

even if there isn't such a clause, try to leave on good terms because I imagine the world of beauty is a small one, and you don't want your name mentioned unfavourably.

mummyofboys

Not signed a contract EVER with my current workplace even though I have been there 4 years So would I not have to pay any tax or ni as i expect to make very little at first

patman99

Don't forget about insurance. If you will be using your own car, you will need to add business use to the insurance.

I'd be tempted to go 'Ltd' so you can claim back for your fuel, tool and supplies. If just a sole trader, you pay tax on everything. Worth looking into.

moodymonday

Hi there,my daughter aged 18 is thinking of doing parties in peoples homes selling gift-ware.
What we need to know is.....do you have to inform anyone before she evens starts this....or can she try a couple of parties to see how successful it is first?
Any advice about paying tax,insurance etc would be very helpful because we have no experience at all !
She will be using her car.....so i suppose insurance will go up too ?

steve1980

moodymonday wrote: »

Hi there,my daughter aged 18 is thinking of doing parties in peoples homes selling gift-ware.
What we need to know is.....do you have to inform anyone before she evens starts this....or can she try a couple of parties to see how successful it is first?
Any advice about paying tax,insurance etc would be very helpful because we have no experience at all !
She will be using her car.....so i suppose insurance will go up too ?

The same rules apply that are on this thread and probably throughout the next 20 pages about starting up and what you need to do.

If she earns any money it must be declared to HMRC. She will not see much profit instantly, all business take time to develop.

tinktay84

just a quick note...if you do offer bottles of wine make sure its put as a FREE bottle of wine as you cannot sell iit as part of a package without a license....silly but true.

There are loads of help sites etc with regards to tax and stuff. my rule is I save 20% of anything I earn in a savings account so that at the end of the year ive got plenty to cover any tax bills and a bit of a bonus. try the businesslink websites they have loads of info and pointed me to a local free service that you can go in and speak to people for free....I soaked loads of info up there..make sure you carry a pad and pen everywhere so any ideas and advice are noted....

pitkin2020

patman99 wrote: »

Don't forget about insurance. If you will be using your own car, you will need to add business use to the insurance.

I'd be tempted to go 'Ltd' so you can claim back for your fuel, tool and supplies. If just a sole trader, you pay tax on everything. Worth looking into.

LMAO really?? As a sole trader, partnership or LTD company you can still claim your fuel, tools and supplies that are used within the business. From an accounting pint of view sole trader is far easier...oh and you pay tax on your earnings what ever you form.

tinktay84

Agree with pitkin, im sole trader and still claim petrol etc same as you would LTD. Going LTD is waaaay more complicated and for such a small business is a waste