Starting a business
If you would like to start a business in the Chew Valley, then you will be happy to know that it is very easy to start a business in the UK and be self-employed. So, if you have an idea, you can start quickly and easily!
Types of business
There are three main types of business you can start:
sole trader
partnership
limited company
They each have advantages and disadvantages. Have a look at the government website on this subject which has lots of information there about the different types of businesses, tax, records you need to keep etc as well as links to sources of help & advice
Sole trader
A sole trader is for when it's just you who wants to start a business. You can employ other people, but you are the only person who is responsible for the business.
It's very easy to start up as a sole trader, but you must pay taxes and you are responsible for everything that the business does, including debts if it doesn't work out.
Partnership
A partnership is for when two or more people want to start a business together. Like a sole trader, it's really easy to start, but each of you is responsible for the business equally. This means that if your business partner disappears, you will be responsible for any debts.
Limited company
A limited company is different from the other types. You own shares in a limited company, but it is separate from you -- you are a director of it. You must try to make the limited company be successful, but if it does not work out, then you are not liable for the limited company's debts (unless you have broken the law).
A limited company is more complex to operate and there are many more rules that you must pay attention to. For example, each year you have to prepare accounts and submit them to the Government, along with statements that show who is a director and who owns your business.