Settup up in Practise!

bloobuoy75

Hi Everyone,

I know you probably get asked this question lots of times, so apologies in advance.

I've been a full member of the AAT for a year now and have 10 years accounts experience with a variety companies. I'm at the stage now where I'm tired of working for faceless deity's who expect unflinching loyalty from it's staff, but show nothing in return once the goalposts have changed. The whole rat race thing is not for me. I'm currently on a temporary assignment, which I do enjoy, but it does irk when I consider how much the agency are making out of me.

In short, I'm at the stage of considering setting up my own business.

So to my question, eventually!!!

What order would you recommend going about things?

I understand that I need to apply for a 'Members in Practise' certificate and 'IE'.

I need to find some clients. I have started to spread the word, but as I'm currently working full time, it'll be hard for me to take on clients. My answer is to make my next temporary assignment a part time one, to afford me the time to take on the work and give me some cashflow.

Also what are your views on setting up as a limited company and becoming VAT Registered?

red_devil

I just hope you are better with numbers than words! "Settup", "Practise" - do these words exist?!

whiterose

Have just set up myself so maybe can give you some pointers -
If your clients will mainly be private individuals (tax returns etc) then no need to register for VAT as they cannot claim it back. If your clients will be other VAT registered companies then register as it does not affect them and you can claim back all your VAT. I had to register as am planning on selling Sage to clients and the sums don't work if I can't claim the VAT back.
Limited company - I would not bother with this straight away. See how you go for a year or so as a sole trader. Then you will have an idea of profit levels.
The paperwork I have put in place so far is:
MIP certificate (including getting professional cover sorted out)
Data Protection Act registration
Registration with HMRC as an agent, then registration for all the different services within that
Registration for VAT
Getting a business bank account
Registration as self employed with HMRC
I would also include in this start-up list the task of putting together your own business plan and forecasts as during that process I re-thought my ideas quite a lot.

And it all took a lot longer than I thought it would!

Best of luck getting clients - everyone says it's word of mouth - but it's getting the first client that is so hard!

Oh and before you get really busy, put all your admin. in place - check lists for everything you can think of, templates for letters, client letters of engagement, etc (lots of help available on AAT website).

claudialowe

Good advice whiterose.

I also agree with red-devil - get your spelling sorted out as well :001_unsure:

Claudia

richhobson

Setting up

Hi my names Richard and i just thought i'd tell you about this site ive come across with regards to setting up a business. www.businesslink.gov.uk

it gives you all sorts of information and advice.