EVERY small business owner should . .
Here are our top tips to help you get started:
Register as self-employed with HM Revenue & Customs
You must register as self-employed within 3 months. If you leave registering any longer than this you may have to pay a penalty of £100. The easiest way to register is to call the newly self-employed helpline on 08459 15 45 15.
Have a quick answer
....for when someone asks "and what do you do?" Potential customers are everywhere so make sure you can explain quickly and clearly what you do. Always carrying business cards with you helps too.
Use a proper business email address
....rather than a personal email address for your small business, otherwise you may not be taken seriously. It’s not expensive and you don’t even need a website if you don’t want one, you just need to register a domain name and pay for email only hosting services. Find out how to set up a business email address.
Answer the phone properly
.... If you work from home and use your home phone number for business your business callers may not always get an appropriate greeting. You could install a second phone line to use exclusively for business or you could consider using BT's Call Sign service. This gives you an additional phone number on your existing phone line. Calls to the new number come through with a different ring tone so you (and anyone else!) know it’s a business call and so can answer it in the appropriate way. Better still it costs less than £2.50 per month!
If you're not always able to get to the phone why not consider using a telephone answering service or virtual receptionist service to answer your calls.
Get your paperwork organised
Find a system that works for you then set some time aside for this each week. It's helpful to make a note of important dates/deadlines (tax returns, paying tax bills, renewing your domain name, etc.) Most important of all is to keep a track of who owes you money, and don't be afraid to chase them to get your invoices paid.
HMRC has got a useful guide on what you need to know about keeping records for business.
Protect your business assets - back up your data regularly
You don’t need a sophisticated or expensive system for backing up your files. You can do it the easy way and simply backup to a DVD or, better still, use a portable external hard drive. Whichever system you use remember to store the backup in a separate place to your PC.
Watch out for VAT
You must register for VAT when your turnover reaches £68k in any 12 month period. You'll need to do this within 30 days of reaching this threshold. If you supply goods or services that are zero rated you'll still need to register and you can then apply for an exemption. Notice 700 is the main guide to VAT rules and procedures
Look after yourself
Small business owners and sole traders are particularly prone to stress. To ensure you continue to operate effectively and give your business every chance of success you need to keep yourself healthy: take time out to relax, eat well and take some exercise that you enjoy.
Network, network, network
....and share your experiences and ideas with other small business owners. While online social networking for businesses is particularly buzzing at the moment it's most effective when you know the people involved, so its a good idea to try and meet them face to face once in a while! Having other small business owners to talk to will help you keep things in perspective and you're likely to pick up lots of useful tips and information as well as making lots of good business contacts. Your local British Chambers of Commerce , Business Link and the Federation of Small Businesses all run local groups and networking events.
EVERY small business owner should . .
Here are our top tips to help you get started:
Register as self-employed with HM Revenue & Customs
You must register as self-employed within 3 months. If you leave registering any longer than this you may have to pay a penalty of £100. The easiest way to register is to call the newly self-employed helpline on 08459 15 45 15.
Have a quick answer
....for when someone asks "and what do you do?" Potential customers are everywhere so make sure you can explain quickly and clearly what you do. Always carrying business cards with you helps too.
Use a proper business email address
....rather than a personal email address for your small business, otherwise you may not be taken seriously. It’s not expensive and you don’t even need a website if you don’t want one, you just need to register a domain name and pay for email only hosting services. Find out how to set up a business email address.
Answer the phone properly
.... If you work from home and use your home phone number for business your business callers may not always get an appropriate greeting. You could install a second phone line to use exclusively for business or you could consider using BT's Call Sign service. This gives you an additional phone number on your existing phone line. Calls to the new number come through with a different ring tone so you (and anyone else!) know it’s a business call and so can answer it in the appropriate way. Better still it costs less than £2.50 per month!
If you're not always able to get to the phone why not consider using a telephone answering service or virtual receptionist service to answer your calls.
Get your paperwork organised
Find a system that works for you then set some time aside for this each week. It's helpful to make a note of important dates/deadlines (tax returns, paying tax bills, renewing your domain name, etc.) Most important of all is to keep a track of who owes you money, and don't be afraid to chase them to get your invoices paid.
HMRC has got a useful guide on what you need to know about keeping records for business.
Protect your business assets - back up your data regularly
You don’t need a sophisticated or expensive system for backing up your files. You can do it the easy way and simply backup to a DVD or, better still, use a portable external hard drive. Whichever system you use remember to store the backup in a separate place to your PC.
Watch out for VAT
You must register for VAT when your turnover reaches £68k in any 12 month period. You'll need to do this within 30 days of reaching this threshold. If you supply goods or services that are zero rated you'll still need to register and you can then apply for an exemption. Notice 700 is the main guide to VAT rules and procedures
Look after yourself
Small business owners and sole traders are particularly prone to stress. To ensure you continue to operate effectively and give your business every chance of success you need to keep yourself healthy: take time out to relax, eat well and take some exercise that you enjoy.
Network, network, network
....and share your experiences and ideas with other small business owners. While online social networking for businesses is particularly buzzing at the moment it's most effective when you know the people involved, so its a good idea to try and meet them face to face once in a while! Having other small business owners to talk to will help you keep things in perspective and you're likely to pick up lots of useful tips and information as well as making lots of good business contacts. Your local British Chambers of Commerce , Business Link and the Federation of Small Businesses all run local groups and networking events.