Starting a business requires careful planning, analyzing every business idea you have, making critical financial decisions, and familiarizing yourself with legal structures and laws of the land. These 10 steps will guide you in your preparation of starting a UK business.
1. Conduct a market research
Field research should be the first step when analyzing your market since it will determine the success or failure of the business. It assists you in the allocation of resources, shapes the marketing strategy, gives you a clear view of your target market, provides information regarding the pricing of what you have to offer and alters your business idea to fit in with the outcome of your research. An effective market research plan comprises of two components which are field research and desk research. When you’re researching secondary data from the internet or on books, that is desk research. Field research is carried out when you physically go out in the field, talk with customers, and get primary data from real clients. This research is fundamental since it reveals essential facts that were not uncovered by the desk research. The best and most efficient methods of market research you can apply are observation, face to face interviews, use of focus groups and market research surveys.
2. Business structure matters
The second item in your business startup checklist should be determining the business structure which you’re going to adopt. A business structure is paramount since it influences the funding and other aspects of business. In the United Kingdom, you have four options, a sole trader, partnership, a limited company or limited liability partnership (LLP)
When you’re a sole trader, you have no obligation to consult with anyone regarding the decisions your making. Everything you make, it’s all yours and all the risks as well.
Partnerships are as a result of two individuals who have come together with a common goal to do business. Such kind of structure requires agreements that act as a guide on how to conduct business.
Incorporating a limited liability company (Ltd)
When you incorporate your business means you have to register it with Companies House as required by the United Kingdom law and same case applies to LPP
Incorporating a limited liability partnership (LLP)
These types of companies are suited to professional services companies. They are an integration of a limited liability company and a partnership
3. Choose a name of your business
When starting an own business, you need to pick a name and it’s the most important third thing to consider. This important decision has to be carefully analyzed and approached in a manner that won’t affect your business in a negative way. In relation to this statement remember your brand is of vital importance. A business name should be memorable, reflects your business and simple to understand.
4. Create a business Logo
Today every business is taking advantage of the technology to communicate a lot about itself to the consumer in as little time as possible and one of the most efficient way to achieve this is by ensuring your logo clearly denotes your business. Logos are not just for the purpose of achieving a professional look but usually communicate to the customer what industry your business deals with and the personality of your brand. Lack of a logo may lead to missing significant business opportunities.
5. Get a loan
Whether you need overdraft cash, buying more equipment, refinancing your business or any financial need the banks are there for you. All you need is a business bank account, some security, and your business should have been in existence for 12 months which varies from bank to bank. In the UK many banks have packages tailored for small businesses and startup businesses that have a turnover of less than £2 million. The government as well has start up loans for supporting small businesses which any business that is eligible should take advantage of.
See also: What You Need To Do TO Start A business
6. Get an accountant
Accountants are important in the growth and success of your business. They can do more than just handle the payroll and tax returns. Accountants are useful in every stage of business from the development of a business plan since they can use accounting software to sum up financial projections hence you are able to come up with a realistic business plan.
7. Choosing an office space
An ideal office space is influenced by the type of business you’re going to set up. Everyone in the office from your staff to your customers should be comfortable wherever they are. The primary factor that you should take into account while choosing an office is how you’re planning to utilize it. The location of the office or the business should also be another factor to consider when starting a business.
8. Determine the right kind of software
When setting up any business today, you need software’s that will increase productivity, evaluate productivity and also perform other business functions. Some of the software’s that are basic are accounting software, office suite, and business intelligence and enterprise software, customer relationship management (CRM).Remember to buy original software’s for your business in order to avoid problems with the law.
9. Legal issues you should be familiar with
When starting any business in the UK, it’s advisable to learn and familiarize yourself with laws and regulations that are involved in starting a business. There are tax laws that you must know, employment regulations, intellectual property law, digital regulations and insurance.
10. Other things key things to consider
Every business today is exploring all marketing avenues to reach more customers and one of them is online. Your business should also take advantage of this huge number of online users since some of them might be your clients and others, potential customers, as well. Having a website that is SEO optimized and compatible with all devices would also increase your chances of success. For you to succeed you al