Second Biz advice/help

[Jayne]

Hi,

As you all know I have BowBiz business, if I wanted to start another business that is nothing like BowBiz, could I use this as my main trading name for both businesses and use the same business bank account, but call my second business another name. Still as a sole trader?

A Bit like Harrods, one store with lots of departments?

Thank You

Jayne

[creospace]

I have a name that can be used for multiple applications (creospace) but often for tax/vat reasons I think people set up differing accounts etc?

Leaglly I dont know any reason why not.

Gary

[Jayne]

Thanks Gary..I'm trying to get out of doing loads of seperate books..hate that bit :D

Jayne

[MinuWeb]

we have one UK account that we use for banking for 2 different businesses. We just filled out a form at the bank to say that we were also trading as the 2nd name and that allowed us to accept payments.

We just keep one set of books for the master business, never had any problems doing it this way.

[Jayne]

Thanks Tony, just what I wanted to hear :D

Jayne

[multilingual]

Sounds like a book-keeping nightmare! :wink:

JB

[clairemackaness]

You just call it BowBiz trading as new company.

I do that as I had a recruitment business called Rowan24 that no longer runs, but I use the business account and I'm now Rowan24 trading as Claire mackaness - Contemporary Art

[Jayne]

Hi JB,

Books are a nightmare! I already have all the bakery books and VAT to do, plus BowBiz...don't want any more thank you very much, want to do them as just one :D

Jayne

[Joyous]

Hi Jayne

You're probably better off keeping a separate set of books for the new venture. Depending on what it is, the Inland Revenue will possibly view it as a separate trade and want it reported separately on your self assessment return. Plus with a separate trade there are limitations on the loss relief between the two business so you'll need to keep the accounting separate to ensure that losses of one business are not being netted off against profits of another.

There's no need to open a separate bank account but it will keep things nice and neat if you do. Regarding VAT it's the person rather than the trade that's registered so if you're VAT registered as a sole trader for your first business you will have to account for VAT on your second sole trade although you don't have to register again.

Regards

Joy

[Jayne]

Thanks Joy,

Well that didn't cheer me up at all :(

I was told last time I asked, that I didn't have to do the VAT on my new biz yet, hopefully we will have sold the bakery at Christmas, so will that be ok!

Bummer on the second set of books though!

Jayne


Forgot..I'm in partnership for the bakery :D and sole trader for the other!