Part-time Business Setup

kmmh58

Hi,

I am a beauty therapist, I currently work full time (39hours) a week for another company.

I am interested in setting up something part time on evenings and weekends, offering beauty services on a mobile bases or from a home salon, it really will be a hobby more than anything.

Can anyone here let me know the steps I need to take? Do I need to register as a sole trader or for VAT?

Thanks

kennyb3

kmmh58 wrote: »

Hi,

I am a beauty therapist, I currently work full time (39hours) a week for another company.

I am interested in setting up something part time on evenings and weekends, offering beauty services on a mobile bases or from a home salon, it really will be a hobby more than anything.

Can anyone here let me know the steps I need to take? Do I need to register as a sole trader or for VAT?

Thanks

Hi you need to fill out a form TR1 and return it to the revenue.

No need to register for vat as part time you wont exceed the 37,500.

After that i'd advise opening a seperate bank account for trading. Keep a record of all income and expenses and complete a form 11 after the tax year ends.

Any other tax questions just ask.

Brian

kmmh58

kennyb3 wrote: »

Hi you need to fill out a form TR1 and return it to the revenue.

No need to register for vat as part time you wont exceed the 37,500.

After that i'd advise opening a seperate bank account for trading. Keep a record of all income and expenses and complete a form 11 after the tax year ends.

Any other tax questions just ask.

Brian

thank you for the above, I was reading somewhere on the Revenue website, that I can reduce my SRCO and tax credit and pay income through PAYE in full time employment? Would you advise this or just do it annually as per above tax return?

kennyb3

kmmh58 wrote: »

thank you for the above, I was reading somewhere on the Revenue website, that I can reduce my SRCO and tax credit and pay income through PAYE in full time employment? Would you advise this or just do it annually as per above tax return?

To be honest thats a personal choice and depends on how good you are with money and at what level your turnover will be. To start with id just continue on as normal and put a few quid in a deposit account and monitor the situation on an ongoing basis

Plus your current employer might ask questions and might not see you doing seperate work as necessarily a good thing.

ssbob

kennyb3 wrote: »

To be honest thats a personal choice and depends on how good you are with money and at what level your turnover will be. To start with id just continue on as normal and put a few quid in a deposit account and monitor the situation on an ongoing basis

Plus your current employer might ask questions and might not see you doing seperate work as necessarily a good thing.

I would agree with Kenny here.

Is there alot of startup costs in your business, for example will you be using specialised equpment? If so might be worth your while to speak to an accountant.

kmmh58

Thank you both for your replies.