Bank Account
It is essential that you get a bank account for your new company as soon as possible. With increased regulation and security, don’t be surprised if this takes several weeks to get sorted. We have dealt with many of the mainstream providers of business bank accounts and can help you identify the best one for your company and prepare you for what you will need to do to complete the application process.
Registering for Tax
If you haven’t already, you will shortly receive a letter from HMRC with information about your new company. This is an important letter as you will need it to register your company with HMRC for each type of tax affecting your business, which is likely to be VAT and PAYE as well as Corporation Tax. To make sure you are registered for the right taxes, you should inform your accountants who should be able to advise you – or call us and we will be happy to help. Remember it is a legal requirement to notify HMRC when your company starts trading.
Business Plan
If you haven’t already done so, you should think about putting together a business plan. Most banks require this before they will open an account for your new company. Your business plan should include a full financial projection and details of how you are going to make your business a success.
Funding and Cashflow
Your new business is likely to take time before it is generating enough income to cover your monthly outgoings. Until then, you will need to think about how you company is going to pay its bill. The most common way is for you to simply provide your new company with the funds it needs but there are other options available for new companies which are worth exploring if you are unable to raise sufficient funds personally. We have helped a number of entrepreneurs like you with funding for their new venture and we can help you too.
Promoting Your Business
You might have already thought about how you tend to promote your business. There are many ways you can do this, and social media is an increasingly important platform for many businesses. As a starting point, you should consider whether your company needs a website and in which countries you want your business to be promoted. A website can be set up relatively quickly and inexpensively, and there are many providers of websites who can assist you.
Staffing
If you intend to hire staff for your new venture there are many things to be considered. You will need to set up a payroll system to produce payslips for your staff and to submit online returns to HMRC. You will need to maintain staff records and be able to deal with absences (eg sick leave, maternity/paternity leave) and with staff disciplinary actions and grievances. All staff will need a contract of employment and you should also consider having a staff handbook. For regulated businesses, it is likely that you will also need to have set policies covering areas such as code of conduct and anti-money laundering regulations. To help you stay compliant, we can provide you with all the help you need to get the correct procedures in place.
Premises and Equipment
The premises and equipment you need will be driven by the type of business you are setting up. As a basic requirement, most business require some form of IT infrastructure (eg PC, printer, storage) and the ability to send and receive emails. You will also need telephone and internet, and you may require premises with furniture and filing facilities, unless you intend to work from home to begin with. Since even the simplest requirements will almost certainly involve either a significant upfront payment or otherwise entering into some form of lease arrangement, it is important to seek advice if you are unsure about which option is best for your business.
Insurances
If you provide professional services, you should ensure your business has adequate Professional Indemnity Insurance (PII) cover. Many providers also include Public Liability and Employers Liability Insurances which are also very important to have if you work offsite or have employees.
Record-keeping
It is a legal requirement for your business to maintain records of transactions and other matters relating to the constitution of the company (eg register of shareholdings). You will also need to keep detailed records of all financial transactions and at your company’s year-end you will need to prepare and file accounts with Companies House and submit a Corporation Tax return to HMRC. If your company is VAT registered, you will also need to prepare VAT returns on a regular basis and maintain VAT records. There are many providers of software packages which allow you to do a lot of this yourself, but for peace of mind, you should consider the benefits of appointing a professional accountant to do this for you. A professional accountant will ensure that deadlines for reporting and filing are met and be able to provide day to day help and guidance on correspondence with HMRC and Companies House. We are specialists in this area so please feel free to call us to discuss your requirements.
GDPR
If you process, maintain or otherwise store personal information about your customers then you will need to register your business with the Information Commissioners Office (ICO) as a data controller as required by the General Data Protection Regulations. The ICO has provided some useful advice for small business, details of which can be found on their website, ico.org.uk
Taxation
Finally, a word on taxation. Your business will be subject to Corporation Tax and in most cases VAT, and if you employ staff your company will have to pay National Insurance contributions on salaries and certain staff benefits, as well as collect your employees’ PAYE and National Insurance on behalf of HMRC. Any money you receive from your business will be subject to income and dividend tax. This can be a complex area, and you should seek advice if you are unsure as to what steps you need to take. As a firm with over 25 years’ experience with looking after small businesses, we are ideally places to guide you in every area of UK taxation.