London is one of the world’s greatest centres of commerce and industry, with businesses from across the globe making it their home. It’s also an excellent place in which to begin your new business, thanks to its excellent transport infrastructure and highly skilled workforce, to say nothing of the large number of business experts that can be found in the capital. It can be easier to start a business in London in 2018 than you might think, but here are three important things you’ll have to take into consideration first.
Choosing a business structure
Starting a successful business involves lots of tasks such as forming a business plan and marketing strategy and developing a product or service that there is a real demand for. There are also lots of formal and legal procedures that must be gone through, which is why it makes sense to talk to a leading national commercial law firm such as Harper James Solicitors. One initial decision that must be taken is what business structure is right for you, by which we mean, will you be a sole trader, a Limited Liability Partnership, or the head of a limited company? There are pros and cons to all these structures and finding the right one for you may depend upon factors such as projected profits and whether you intend to employ someone.
Registering your details with HMRC
Once you’ve decided which structure best suits your plans, you will need to register your business with Her Majesty’s Revenue and Customs. This can be done online, but the process is longer if you wish to form a Limited Liability Partnership or limited company. For the latter, you’ll also need to choose a unique company name and register it at Companies House. Whilst it can be a more tax efficient way to run a business, keep in mind that you’ll have to submit full accounts to HMRC and that you’ll then have to pay both corporation tax and income tax on any salary that you pay yourself.
Many new businesses need investment to survive and thrive in their first year of operating, but the good news is that there are many potential sources of investment to be found in London. You’ll need a high-quality business plan, but you can then approach banks for a business loan, or the Start Up Loans Company. Your local borough council may also have specialist schemes to help start-up businesses, so it’s worth calling them or looking on their website. Another source of financial help can come from angel investors, and London has a significant number of these looking for new businesses with great ideas and products.
There is inevitably paperwork involved when starting a new business, and it’s imperative that it’s done correctly. Thankfully the national commercial law firms based in London can talk you through the process and make it much easier than you might otherwise have imagined. With business and financial help and advice also readily available, there’s never been a better time to launch your own enterprise, however big or small, in London.