How does anyone start a business? (UK edition)

May 11, 2016 12:34 PM

I'm interested in starting my own business. I have a simple digital product I'd like to try selling online, with the expectation that it will sell very little but will give me a low cost, low risk way to learn a bit more about running a business. Looking in to it though, it seems almost impossible to figure out how to go about this without falling foul of any laws or regulations. How does anyone start a business in the UK?

I've a list of things to think about, such as distance selling, data protection, insurance, mortgage company, restrictive covenants on lease (running business from home), trading address for sole trader, registering with HMRC as self-employed etc. etc.

Looking around online, I can find a bunch of resources, but few that seem genuinely authoritative or comprehensive. For such a simple product that I don't expect to actually make any money from, I can't believe that there can be so much work, or that I need to pay money to a solicitor or accountant just to get started.

Am I over thinking this, or should I seek professional advice before asking anyone to hand over money?

posted by jonrob to Law & Government (1 answer total)

I'm no expert but have recently started a business myself, initially as a sole trader, then later registered as a limited company. From what you've said I'd have thought registering as a sole trader would fit the bill. The accounting side of that is very straightforward (keeping simple records and doing a tax return once a year), so you wouldn't need an accountant necessarily. You could probably get a free consultation with one though, which might help you bounce ideas and concerns around.

In terms of running a business from home, I wouldn't worry too much about it. I think that's mainly there so people don't have vans coming and going at all hours of the day and night, or cause noise or neighbour disturbance in other ways. With a simple online selling business you're not going to be bothering anyone, so wouldn't prompt anyone to make a complaint against you. Again, I'm no expert and if you're really worried, a free consultation with a solicitor on these points might be a good start.
posted by Sevenisamagicnumber at 12:56 PM on May 11, 2016