Legal Requirements
There are a number of legal requirements that you need to understand when setting up your own company. You will also need to decide on your company name, your agreement terms with other business partners, and other legal requirements.
It sounds daunting, but you will find lots of advice available from local business links and the Inland Revenue. Local solicitors and accountants can often help, too.
Some of the things that you need to consider are:
Forming your business
You will need to decide whether you will operate as a sole trader, a limited company, partnership or a limited liability partnership.
Insurance
What insurance will you need? The possibilities include fire insurance, consequential loss, health and sickness and public liability to name but a few. An insurance broker or your bank can help you decide.
VAT
Whether or not you should register for VAT will depend on the company's expected turnover. Your local VAT office will advise.
Inland Revenue
You are required to advise the Inland Revenue that you have started trading and there are penalties if you do not. Call the Inland Revenue or visit their website for more info.
Company name
Your company name needs to be registered at Companies House if you are forming a limited company. It is also advisable that sole traders and partnerships check their trading name to ensure that no-one else is using it.
National Insurance
You will be liable for National Insurance Contributions - check with your local Inland Revenue Office.
Licences
Some businesses require licences to operate (e.g. child minders, nursing homes, pubs etc). Speak to your local Licensing Department and the Environmental Health Department to check.
Data Protection
if you are capturing personal details and keeping them on a computer then it is very likely you will have to register with the Information Commissioner's office. Call or visit their website at for free advice.
Legal advice
Take legal advice to ensure you haven't missed anything that you weren't even aware of.