When we walk past a new shop front or spot a new pop-up-shop, it can seem as if they materialised overnight. However, what goes into establishing a new business is far more complex. Working at a small business takes risk, research and hard work. As a sole trader, you are responsible for you and your own work ethic. However, when you set up as a wider business, albeit a small one, you are suddenly responsible for other people’s careers.
Register with HMRC
As suggested, you are unlikely to be a sole trader, and so you will likely need to establish yourself as a Limited Company with HMRC. This means that your company operates as a separate entity to you. So, for example, if your business were to encounter legal problems, they would be filed against your company, not you personally. When you register for Corporate Tax, you can also register your name with Companies House, too, which helps to solidify the official establishment of your business. Be sure, too, to ensure you are not accidentally naming yourself after any trademarks or protected names.
Your business plan is not just for you
Primarily, your business plan should be a guide that you adhere to in order to stay on track for increased profit as your progress. It should include ongoing details of market research and your strategy for the year ahead. You should also be continually adapting it and changing it: your business plan should not look the same as when you first started. Like your very own company, it should be subject to growth and improvement. However, your business plan may not be for your eyes only. If you are planning on building up your client base or impressing investors, it might be wise to have a presentable business plan. Being able to effectively demonstrate how you will meet your projections is a desirable skill for any company.
Marketing strategy
If you consider yourself to be more business-minded than creative-minded, this is still an important step for you. It’s important not to neglect your marketing strategy or leave it to a cheap and inexperienced marketer. Your logo and branding should tell customers, clients, and other businesses exactly what you do. While there’s something to be said for choosing a design that is ‘typical’ of your industry, it’s also wise to at least standout.
Find a building to suit you
If you are going to be hiring employees, you will need to find a building to put them in. For example, if you are setting up shop in London, you will need to start actively hunting for relevant spaces. Instead of just searching ‘mid size office space in London EC1’, try and use an experienced business real estate agency. Using a company that has a wealth of office spaces in their repertoire can help you find that EC1 office space with much more precision.
Wherever you set up shop, the paperwork is sadly the most important step to take. Sorting your finances, building location and taxes are the most important pieces of groundwork to establish first. That way, you can enjoy your success further down the road knowing that you’ve crossed your ’t’s and dotted your ‘i’s.
