New small business owner?
Website design By BotEap.comHave you recently made the decision to become your own boss? It is an exciting prospect for you and your family. As is common with many small startups, there’s a good chance that no matter how well you’ve planned, there have been at least a few unexpected roadblocks. Most new business owners realize that the complexities involved in their accounting practices amount to much more than keeping an accurate ledger of money coming in versus money going out. Not only that, but there are licensing considerations as well. Fortunately, with a proactive approach and access to the right information, your first year as your own boss doesn’t have to be overwhelming. Here are some things you need to know from an accounting aspect.
Website design By BotEap.comYour first priority, if you haven’t already done so, is to register with HM Revenue & Customs. You will need to determine if your business has corporate tax liabilities and you will also need to ensure that your business tax returns are filed by the due date. That said, even if these are not considerations for your particular business structure, you should still register with HMRC.
Website design By BotEap.comAny idea how your business is structured? There are legalities associated with these issues and it is crucial that every detail is carefully considered to ensure accuracy. An accounting firm might be your best option. It can provide assistance and guidance as you navigate the murky waters associated with different self-employment statuses. Not only that, but building a strong relationship with your accountant can be one of the best investments you make. There is a certain peace of mind associated with locating those people who share the same vision for your business as you and whose goals mirror yours. The many business structures include:
Website design By BotEap.com• Deductibles
Website design By BotEap.com• Social enterprises
Website design By BotEap.com• Limited Liability Companies (LLC)
Website design By BotEap.com• Limited Liability Companies (LLP)
Website design By BotEap.com• Sole owner
Website design By BotEap.com• Free-lancers
Website design By BotEap.com• Camaraderie
Website design By BotEap.comAnother detail that many small businesses are not aware of is HMRC’s requirement that any changes to a company’s structure must be commemorated by change requests. There are time considerations to keep in mind and it’s up to you to make sure you’ve covered all of those bases.
Website design By BotEap.comWhen you register your business with HMRC, you will receive a package by post including various forms, notes and the CT41G, also known as ‘new business details’. It is important that this form is given the highest priority as it must be reviewed and returned completed and signed.
Website design By BotEap.comFinally, help is available. You can easily locate the various legal structures and discern which structure will best suit you and the needs of your new business by visiting the HMRC website. Other options you can conveniently do online include registering your new business, locating tax rates and allowances, and even finding tips on choosing the best accountant for your particular business.
Website design By BotEap.comWhile starting a new business is an exciting time, the last thing you want to do is create unnecessary burden by missing out on some small detail that will jeopardize your hard work. Cover those bases early to ensure that an overwhelming feeling that you’ve missed the details doesn’t cause loss of sleep.