Business start ups number about 400,000 each year but around one third of these fail within 3 years. To avoid being one of this number it's essential to do your homework at the outset.

There will be quite a number of considerations including:-

1. Business Format - Sole Trader, Partnership, Limited Company
2. Vat Registration - Will you want to register, the current registration limit is £79,000
3. Bookkeeping, PAYE reporting, Health & Safety and Personnel Issues
4. Raising Finance
5. Employers & Public Liability Insurance

Of course what you will keen to do is get your skills and ideas out into the market as soon as possible and to make that all important profit. However this eagerness is often a cause of business failure, any business is a combination of good ideas, hard work, planning, adequate finance & attention to detail. Here are some of the considerations in more detail:-

If you are not exactly sure what business you would like to be in or think you might need support or the advantages of an established brand; then a franchise could be an appropriate choice. There are over 900 options to choose from in the UK with a combined turnover of over £13 billion and employing over 500,000 people. According to the British Franchise Association 91% of franchises are profitable. Whilst there will be the envitable upfront cost but you will have the support and confidence that many others have made a success of it. For more information consult our more detailed guide Business - Franchise Option.

As we mentioned above there are a choice of formats to consider for your business,the format you choose will effect your business's perception, running costs, regulation, control and support. There are advantages and disadvantages for each format. If you choose a limited company you are more likely to be able to raise finance/ attract investment but there will be increased regulation & reporting requirements which all add to cost but your personal liability will normally be limited. Limited companies can be tax effective until you take the money out for yourself. Consult our Business Owners - Tax Planning guide for further information.

The old addage "Fail to Plan, Plan to Fail" is particularly applicable to business start ups. Here are some of the key things to consider when thinking about starting a business:-

• What are the chances of success in the current econonmic climate?
• What funding do you have in place and do you need to raise further finance? Our Business - Raising Finance & other finance guides help show you how.
• Are you aware of laws & regulations governing you & your business?
• What will be your income in year 1 while your business is still developing, having taken into account business income, expenses, HMRC liabilities etc?
• Have you thought about tax planning? See our guide as previously mentioned.
• Retirement planning will you have sufficient income when you retire?
• Marketing - what are your plans for a website, marketing & social media? See our SEO & Managing Social Media guide for further guidance.
• Do you know how to measure your business success? Again we have a guide to help, Business - Performance Measurement Tools.
• Are you aware of your Health & Safety obligations as an employer? See our Health & Safety at Work - The Basics page for further guidance.

Our Resources page offers lots of useful business information links & resources. Always plan ahead for the medium & long-term giving yourself a structured & cost effective progression. It's generally always better to be pro-active rather than reactive. Don't be frightened to make decisions, if you get it wrong; the majority of the time you can make another decision that corrects your error. Failing to make decisions often leads to failure.



• Marketing - including advertising, promotion & website design and hosting
• Premises, Telecommunications and utilities.
• Finance & Insurance Costs
• Equipment including plant & machinery, computer equipment & software and office furniture.
• Professional and Accountancy fees including company formation.
• Transportation
• Product Development
• Franchise costs including acquisition & on-going support.

Of course we will be happy to assist you with your start-up business, just give us a call or drop us an e-mail.

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