Business rates and property use

Discussion in 'Legal' started by Amanda L, Feb 8, 2018.

  1. Amanda L

    Amanda L UKBF Newcomer Free Member

    Posts: 3 Likes: 0
    Hello, I am a small breeder and breed from my home. Last year made 7k (for 24/7 hard work with no holidays for years) previously I have always made a loss last year a huge loss, it is extremely expensive but I enjoy it, I would get more money working in Mc Donald's! Anyway, I am worried regarding having to change my property use to business use? Then pay business rates, to me this is a really scary prospect as I never intended for my hobby to go that far. What is the law on this, will I have to change from residential to business? Am I liable for business rates?
     
    Posted: Feb 8, 2018 By: Amanda L Member since: Feb 8, 2018
    #1
  2. ethical PR

    ethical PR UKBF Legend Free Member

    Posts: 6,486 Likes: 1,430
    https://www.gov.uk/run-business-from-home

    You shouldn't be making a large loss when running any business. How did that happen? If you want to carry on doing this, look at what others charge and put your prices up.

    If it is just you love dogs then why not foster them for a charity instead.
     
    Posted: Feb 8, 2018 By: ethical PR Member since: Apr 19, 2009
    #2
  3. Amanda L

    Amanda L UKBF Newcomer Free Member

    Posts: 3 Likes: 0
    I enjoy what I do, have a passion for the breed, am breeding and showing.
    Obviously I have wanted to cover my costs which I manage to do mostly but this year was 7k probably because I have already have majority of expenses over the years.
    I am concerned to make a profit and thinking to put my prices down so that I can keep it as a hobby. I am unable to change use of my property like with many others mortgages prohibit this.
    How can I find out if by law I need to change the use of my property from residential to business?
     
    Posted: Feb 8, 2018 By: Amanda L Member since: Feb 8, 2018
    #3
  4. Toby Willows

    Toby Willows UKBF Regular Free Member

    Posts: 403 Likes: 99
    You phone the planning dept at your council. Job done in a few minutes.
     
    Posted: Feb 8, 2018 By: Toby Willows Member since: Jun 20, 2016
    #4
  5. kulture

    kulture UKBF Legend Staff Member

    Posts: 7,441 Likes: 2,032
    Before you talk to planning consider if there is any room in your property 100% dedicated to your business. If you have an office that doubles as a dinning room or bedroom, or a dog area that is also your utility room, then there is no need for change of use. Of course check this with the planning office but do not fail to mention the domestic use of the room. Further consider whether you need to tell your insurance company. They may consider your insurance invalid if you do not tell them everything they consider relevant.
     
    Posted: Feb 8, 2018 By: kulture Member since: Aug 11, 2007
    #5
  6. Amanda L

    Amanda L UKBF Newcomer Free Member

    Posts: 3 Likes: 0
    Thank you for replies. Kulture, I think you are referring to house insurance rather than business insurance? We do not have a separate room for our breeding pets, but we have wooden house outside bit like a shed. We have enclosure we use as a run its actually a massive chicken enclosure (metal covered with wire) its not a structure as such, do outside facilities count as a place dedicated to a business?
     
    Posted: Feb 8, 2018 By: Amanda L Member since: Feb 8, 2018
    #6
  7. kulture

    kulture UKBF Legend Staff Member

    Posts: 7,441 Likes: 2,032
    I was indeed talking about your household insurance. If you run a business from your house, your insurance company may need to know.

    I cannot comment on the shed. It really depends on what the planning officer thinks. I know of one substantial shed at the back of a nearby garden where the owner rents it out to a local builder for storage. The planner wants to rate it as a business property. I know of other less substantive structures that the planner wants to get rid of as they are an eyesore in a conservation area.

    You are probably more at risk of your neighbours complaining about noise and environmental health about the hygiene, than planners regarding business use.

    The dog run, I presume you use it for your domestic pets as well as the puppies. If so then again not 100% business use.
     
    Posted: Feb 10, 2018 By: kulture Member since: Aug 11, 2007
    #7