You’ve done the reading. You’ve made some big decisions. Your website’s ready to roll. And you’ve finally made it to day one. Here’s what you should do before you get to day seven.
You can’t run a business without being in control of your documents, contacts and schedule. Something like G Suite lets you handle this all in one place, with email, word documents, spreadsheets, a calendar, cloud storage and more.
Get your finances sorted
Open a business current account to handle all your company transactions, then choose the right accounting software to stay on top of your invoices, expenses, payroll, tax and more.
Did you know?
You can automate your accounting using Countingup – the UK’s leading business current account that automates accounting for small limited companies, sole traders and self-employed people.
Professional indemnity insurance protects you if a client sues you over a mistake or bad advice. Public liability insurance protects you from someone being accidentally injured on your premises. And employers’ liability covers you from potential lawsuits if you employ someone (it’s usually required by law too).
Structure it right
Decide whether you want to be a sole trader or a limited company. There are advantages to both.
As a self-employed sole trader, you and your business are the same thing. You pay tax on your profits, and you’re personally liable for any losses. [HMRC]() explain everything.
It’s easier to get started too. Register to get a letter with your 10-digit Unique Taxpayer Reference (UTR) and to be enrolled for the Self-Assessment online service at the same time.
As a director of a limited company, you and the business are separate things. It involves more admin, but can come with more benefits, especially if you’re expecting high profits in year one. The biggest three are:
- It looks more professional
- You’ll probably pay less tax than as a sole trader
- You’re personally protected by limited liability if the company goes under
If you want to go Limited, you’ll need to incorporate the company so it’s registered at Companies House. [The Formations Company]() can do this for you cheaply.
One other thing again
Keep up the superhuman commitment. This week’s make or break.