Starting A New Business: A 6 Point Checklist
As we are hopefully seeing the backend of a lengthy lockdown, the pandemic meant hitting pause on any greater ambitions for many – including those looking to open their own venture. Of course, starting a business from scratch is a huge endeavour and knowing where to start can seem overwhelming. Check out our very own “starting a business checklist” to guide you all the way to your big launch.
Set a timeline
When setting up a new business in the UK, pre-planning means everything. Specifying timescales and connecting them to your short-term goals and milestones will make sure you have an easier time staying on track with a structured programme.
Your plan should cover a minimum of 12 months, offering up as much detail as possible and working in some extra time for potential errors and unexpected delays.
Put together a Business Proposal
There is no shortage of the number of tasks you will need to complete and refine when opening your business. A great way to surmise your plan of action is by pulling together a business plan. This will cover anything from investors, budgeting and brand concepts to staff hiring, management structure and more – a vital prerequisite before you launch your business. It will function as your customised checklist to expand on and refine, covering an executive summary, description and market analysis. This can also be used when promoting your business to potential investors.
Financial backing
If you require financing when setting up a new business which the majority of ventures do, you will need to ensure you know where it is coming from, how much you will need and whether it is guaranteed. This is alongside a few backup options, if the pandemic has taught us anything, it is that the economy can tank with little notice.
The capital needed to open a venture is often more than people expect. If you consider that your budget will have to account for the venue, equipment, marketing and keep-up, not to mention that it will often take a couple of years for your business to simply break even, you will want to acquire a sizable budget to cover the expenses necessary.
Investors are therefore key to providing you with the working capital and your fleshed-out business plan will provide further security for those interested in partnering with you; whether that is a bank, private investors or companies. There will also be several business loans available to you that you can consider.
Your legal admin for starting a business
Your legal business status
You will need to identify what category your business falls under which will decide how your venture is structured and taxed so research is vital. The most common business start-ups opt for a limited company or sole trader where you will be responsible for any debts accrued as well as obligations stated. Alternatively, a partnership will allow you to share that responsibility, including profits, risks and costs.
You can read more about alternative legal forms here.
HMRC
Once decided, you will need to register with the HMRC. As a sole trader, completing a self-assessment will help you set up your income tax payments. You can find more information on the process for limited companies, sole traders and partnerships here.
Insurance
When working in the UK, you will need to purchase Employers’ Liability insurance to compensate for costs when an employee gets sick or injured, caused in some way by the work they provide your business.
Accounting
Taking care of your accounts can be a headache, especially if you are not keen on the type of work involved. Many outsource this to an accounting firm but if you are a startup, you can automate this at a fraction of the cost you would pay a dedicated accountant using a dedicated Point of Sale.
As a rule of thumb, smaller businesses tend to opt for single entry accounting to track transactions, pay bills and make deposits. Double-entry accounting is applicable for larger businesses to record transactions via both debit and credit accounts. You can read more about this here.
Decide on your branding when setting up your business
Your branding will be a key proponent and no doubt the most fun aspect of creating your startup. You are probably bursting with ideas but there are several extra considerations to make when coming up with your business name and fine-tuning your branding:
- Scout the industry landscape and ensure your name or logo is easily distinguishable from your competitors to avoid confusion and protect yourself from possible trademark infringement
- Ensure the domain containing your business name is still up for grabs
- If the name or branding entails your geographical location, you will need to undergo a significant brand redesign when scaling internationally – if growing your venture is in the books, make sure you do not pigeonhole yourself in the long run
Consider a POS to lighten the load
What is an ePOS system you ask? An ePOS is a till run on powerful software dedicated to improving the service and capabilities of most commonly retail and hospitality businesses.
With an iPad ePOS, you can automate a range of processes across your business, adding extra capabilities from the back office such as reporting, stock management and a range of third party integrations to boost your front-end operations through speedier service, higher turnaround and providing a better customer experience.
This means all of the insight you need on your business performance, be that staff performance, sales or stock, you will have access to consolidated reports to all, with the ability to zero in on any data sets you. With the necessary integrations, you will be able to get your accounting taken care of, your staff rotas scheduled and tedious and time-expensive tasks completely automated.
Get planning
It is the first step that takes the biggest push, but with our ‘starting a business checklist’ you will be able to get over the first hurdle. Make sure you take your time during the planning stages, liaise with experts and scout alternatives to anything and everything you have set up to get the best deal possible.