Starting as a Sole Trader

[IMEX Sourcing Services]

Hi,

Me and my friend have decided to start to import some artificial jewellery stuff from India and we have decided to set up as a sole trader (on my friend's name). We have already received some consignments (under my uncle's company name) but are now interested in taking more charge and not be dependent on anyone.

We believe the material we are importing sells well here, and have had good response on the basis of the sample stalls we have set-up in Student Union's, etc. and hence we are really interested in taking advantage of the christmas season and get our sales going.

Therefore, it is important that we register quickly and get on with it. I would be very thankful, if someone could give me more information on how can we register as a sole trader, how much time should the entire process take, do we need legal help, etc.? Also, in regard to Importing, do we need to register for anything else, like VAT no. (I believe no, as our sales would be well below the minimum specified to begin with).

Any advice and suggestions would be most appreciated.

Regards
Ash

[Magsite]

I'm just starting myself. I'm going to phone the Inland Revenue for some info

[stagetec]

Firstly, the only registration you have to do as a sole trader is with the Inland Revenue, there is nothing to stop you trading immediately.

As far as registering for VAT goes, only problem if you don't is that you will have to pay VAT on the goods when you import them, if you are VAT registered you can claim this back against sales, but if not then you will have to increase the price of the goods when you sell them to cover this. However, if are VAT registered then you will have to charge customers VAT anyway, so it is swings and roundabouts!

Andy

[SmallBizSoftware]

If you and your friend are in business, get a partnership agreement or you won't be friends anymore when you get into debt or one of you wants out!

[IMEX Sourcing Services]

Hi Mate,

I can totally understand your concerns, but we have sorted that out in another way and due to certain reasons we would like to avoid that topic on this post.

Regards
Ash