Starting a business

[Rack]

Hey all,
I thought I would get some opinions from people here about how to start a business. I've been doing some math, and I think I can manage to put together an OK business plan, starting off after hours until I can support myself then going full time. It's PC building and repair.

I haven't looked into how to actually start a business yet so I have a couple of questions:

Is it easy?
Cost?
Tax levels in the UK on businesses?
Any kind of general recommendations on who to go to for advice, what to do before starting, etc.

Thanks in advance.

Rack

[kalniel]

Others probably have more specific recommendations, but I'd consider getting some investment, even if you don't actually need it, because the people giving you the investment will often also help out with all of those kinds of questions. So check out some banks (they fall over themselves to help start up businesses), local universities, DTI, citizens advice, other government sources, etc.

[dave87]

Originally Posted by kalniel

Others probably have more specific recommendations, but I'd consider getting some investment, even if you don't actually need it, because the people giving you the investment will often also help out with all of those kinds of questions. So check out some banks (they fall over themselves to help start up businesses), local universities, DTI, citizens advice, other government sources, etc.

The other/additional possibility is to go and see an Accountant, tell him what you are planning to do, and they should run through the tax implications etc

Dave

[greektony]

you have to pay for that tho dave!!!

[directhex]

Originally Posted by Rack

Is it easy?

no. you'll need to work 27 hour days for the next five years or so before things start to ease off

[kalniel]

I don't think he was asking if running a business was easy, just the actual process of starting one up legally.

Ultimately, yes it is. Taking odd job orders for build and repair is what a lot of gee^H^H^H IT literate people do in spare time anyway, and that is a business. The only thing you have to do is make sure you pay tax on your income once it hits the threshold for taxable earnings. It's only when you get to certain levels of income that you actually need to worry about becoming a plc etc. and that's where you'll need the advice.

[Rack]

Originally Posted by directhex

no. you'll need to work 27 hour days for the next five years or so before things start to ease off

Yeah, my dad ran a mechanic workshop in Aus for 15 years, it was 6 1/2 days a week of 15 hour days, so I get that.
I was reffering to the starting a business, thanks Kaniel.

I wonder if the gov't has a site for small businesses... *googles*
http://www.businesslink.gov.uk/bdotg...esslink.gov.uk
Ahh... some reading.

[5lab]

before you start, try and think what your selling point will be. you won't be able to undercut people (trust me, bloke who own computer shops are not normally very rich) - so what can you give that others cant? that'll be where you make money and be successful. Down here theres a fairly successful company called geeks on wheels, and they come round to your house to fix stuff. they reduce overheads (no office etc) and are more convinient.. thats why they're successful

[Ben_]

kalniel ? a plc? are you joking ?

the process is easy you can get an accountant to set up a limited company for a small fee (sometimes its free)

what you need to think about as the business owner is how u will get customers, what is different about your service, and how you will market your service to the general public. As regards to the official stuff... limited company or sole trader etc, and the tax implications (which are barely worth worrying about until you have some actual custom) an accountant can sort all that out for you. i'd reccomend finding someone super cheap working from a spare room or somethin similar. they have less overheads so tend to be cheap

i'd think about whether there is any market for a pc builder/repairer in your area. lets face it its far from an original idea and chances are the gap is already filled and dominated by established companies, who you will probaly find it hard to compete effectively with

Insult Removed by admins. If you dont have anything nice to say , don't say anything

[Fidley]

Look up business link

DO'h you've already found it! They have centres around the country irrc and you can go and get advice in person (misses did, so did me mam) they will take you thru the whole process, hand in hand if you like.

[ikonia]

how old are you rack ?

[Bluecube]

Originally Posted by Rack

I've been doing some math, and I think I can manage to put together an OK business plan

Is it easy?
Cost?
Tax levels in the UK on businesses?
Any kind of general recommendations on who to go to for advice, what to do before starting, etc.

No it's not easy, not by a long shot. Anyone who says it is is talking out of their rear. You'll have to really put the work in just to stand still. An OK business plan isn't good enough. Your business plan has to be 100% water tight projecting future revenues and how you're going to go about earning those revenues. A bank manager or business advisor should be able to help you out here (some are d!cks but some are very helpful. YMMV.) They'll also be able to advise you on tax issues although talking to accountant could save you a LOT of grief. UK tax is a nightmare to negotiate.

You'll have to advertise and market yourself like mad to bring in the business. Work hard, enjoy yourself and lots of luck!

[Rack]

Originally Posted by ikonia

how old are you rack ?

26.

I'm an electronics engineer, but the pay is pretty crap for professional type work and it's a slow business really. When I see the numbers behind it all (company sells products at hundreds of percent margin at millions a year), it gets me very down about who's making the money.

I was thinking that I could also design some products in line with my business if I can see what's missing in the market, as I have some of the knowhow and some contacts, though I doubt I'd have the time. If I can do that it all changes, and I would really need funding. Initally it's just to get working for myself instead of a boss/company who's taking the piss.

[Ben_]

you seem a little bit naive/ out of your depth

if you are going to go alone it needs careful planning and perfect execution.

also dont be so sure they are taking the piss.. have you taken into account overheads?

even if you can find a gap in the market, you still have to actually take it to market, which is a whole new arena. what would probaly be best, if you can think of something original and a true 'gap' , would be to search for investment from someone experienced in that area. or... apply for dragons den

[Rack]

Naive/out of my depth? I dont want to go into figures, but the company I work for is doing insanely well, and I have seen most of the figures involved. I am aware of what it costs them to run the business here, and there are no issues for the owner. I'm talking about 30-40% sales growth year on year over 50 years, and profit figures to make most people gibber, but they have an effective HR department - keeping employment costs low.

I'm enquiring and looking into it. I have a good idea what it takes to be successful, and at the moment I'm missing some things, I'll grant you that, but I haven't even started yet, sheesh... It's an idea at the moment, I'm just doing the figures and was looking for some advice.

[Rack]

TBH i'd rather not go into too much details about what I'm doing, I am aware that being the local PC repair guy is not going to be something great, nor will it go far, I am trying to come up with a way to do something different, but for now I'm just trying to get an idea about what's involved with starting up.

I'm aware that it's difficult, I was hoping for some more UK specific advice about small businesses (both my sister and my dad have had businesses in Australia, so I know what it's about personally).