Help starting small bussiness

[Sean210]

Hi,

New to the site in search of some advice and any help would be much appreciated.

I am looking to start trading online, buying products at retail price and selling through ebay and a website. My question is what do I need to be able to buy from the wholesalers? They ask for vat number and company number.

I am looking to start small test the waters as such. Thanks in advance,

Sean

 

[Red Wood]

The only requirement you will usually need to buy from a wholesaler will be the ability to purchase in quantity (usually).
If you are buying from a VAT registered business, there is no reason for them to need or want a VAT number from you, unless of course you are selling them something of which they are expecting to reclaim the vat on.

 

[Sean210]

Thanks for reply Alex.

Ok I am looking to buy gardening products such as plant foods, soil, bug products, plant ties etc stuff like that. I no that small shops selling stuff like that wouldn't be buying large amounts of stock. Do you no how I would register a bussiness in my name? I work so want this for extra income so hoping its not to complicated just to start selling small

 

[Red Wood]

It’s very simple to start as either a sole trader or as a limited company, which route you decide to go will depend on which type suits you and your plans best. There is many posts on this forum giving the pro and cons of both. This article may also be helpful --> Ltd Vs Sole TraderJust remember that if you are already employed, any additional earnings from your new venture will add to your total earnings so it may be wise to get an accountant involved.Finding the suppliers of some of the small shops is easy. A couple of approaches could be simply asking the shop owner outright, failing that you can always watch for delivery trucks with branded distributor names or alternatively directly approach the manufacturers or brands of the company and purchase a small quantity. If they don’t permit that, then they will certainly point you in the direction of one of their distributors. Potentially contact them asking for some pricing and minimum order quantity for certain products, that will give you the information you need.

Where there is a will there is a way my friend.

 

[Sean210]

Thanks I have spoke to wholesalers today and they need a bussiness premises adress in my name then I can order from them and pay upfront. If I have a bussiness account I can do it through credit with them.

Is there any help with funding to help with rent etc when starting New bussiness?

 

[Red Wood]

good job! Approach your local bank with a business plan and they will very potentially either offer you a business credit card on opening a business account or offer loan options.

Alternatively, use savings

 

[RichardDave]

I think quantity is all you need to make a bulk purchase from the whole-seller, they do not require anything else. My advise would be to register your company first.

 

[japancool]

There is no hard and fast rule about what you need to buy from wholesalers. It will depend on each wholesalers' particular practises and requirements. Some will happily sell to sole traders, some won't. A VAT number shouldn't be necessary, it's not really the wholesaler's concern whether you are VAT registered or not.

Whether you can get a credit account with a wholesaler will probably depend on your trading history.

Business credit cards are expensive, and personally, I wouldn't use one as a source of funding for stock.

 

[Billmccallum]

see http://www.eastbelfast.org/
and http://www.belfastcity.gov.uk/community/grantsandfunding/grantsandfunding.aspx

 

[Apple Marketing]

Hi Sean, we use a company called Equator-Print based in the MIdlands for our Business Stationery, Marketing Materials and Promotional Products. They also are specialists in designing and printing packaging if you are to buy your raw materials from a wholesaler and create your own brands. Have a look at their website on google. They offer a simple print process and deal with any issues you may have with your artwork and are very helpful. we have our Flyers, Brochures and Newsletters and Packaging Designed them and they are a great asset to marketing your new business startup. They also recommend their clients and customers to one another within their related Industry's If you sign Up to their News Letter. The Best Design and Print Company we have worked with by far.
Best of Luck.
Apple Marketing

 

[japancool]

Hi Sean, we use a company called Equator-Print based in the MIdlands for our Business Stationery, Marketing Materials and Promotional Products. They also are specialists in designing and printing packaging if you are to buy your raw materials from a wholesaler and create your own brands. Have a look at their website on google. They offer a simple print process and deal with any issues you may have with your artwork and are very helpful. we have our Flyers, Brochures and Newsletters and Packaging Designed them and they are a great asset to marketing your new business startup. They also recommend their clients and customers to one another within their related Industry's If you sign Up to their News Letter. The Best Design and Print Company we have worked with by far.
Best of Luck.
Apple Marketing

He asked about wholesaling, not business artwork. This company wouldn't be a client of yours, would they?

 

[Billmccallum]

Hi Sean, we use a company called Equator-Print based in the MIdlands for our Business Stationery, Marketing Materials and Promotional Products. They also are specialists in designing and printing packaging if you are to buy your raw materials from a wholesaler and create your own brands. Have a look at their website on google. They offer a simple print process and deal with any issues you may have with your artwork and are very helpful. we have our Flyers, Brochures and Newsletters and Packaging Designed them and they are a great asset to marketing your new business startup. They also recommend their clients and customers to one another within their related Industry's If you sign Up to their News Letter. The Best Design and Print Company we have worked with by far.
Best of Luck.
Apple Marketing

He asked about wholesaling, not business artwork. This company wouldn't be a client of yours, would they?

Although the user name is Apple Marketing, profile shows home page as http://www.equator-print.co.uk/

 

[japancool]

Although the user name is Apple Marketing, profile shows home page as http://www.equator-print.co.uk/

I'm shocked!

 

[dean22291]

Starting a business involves planning, making key financial decisions and completing a series of legal activities. Follow these steps -
1. Start with an idea
2. Get funding
3. Research your market
4. Develop and plan
5. Find partners, suppliers and premises
6. Set up your business

 

[Red Wood]

2. Get funding

4. Develop and plan
5. Find partners, suppliers and premises

The most important parts I believe...

 

[egon]

I came to the forum to basically ask this same question about VAT, and found this thread. It's good when the internet works

As a small start-up myself, we are starting to look at suppliers of other products than our own and have had some great dialogue with several wholesalers, some of which who have asked for a VAT number when we do make an order. One company in particular, from France, asks for the invoice address; is that the registered business address right? They ask then for the VAT registration number but after reading the replies here it seems that wouldn't be necessary for me to have? Or is them being based in France an issue?

 

[japancool]

They're presumably asking so that they know whether or not to zero-rate supplies to you, as it's a cross-border EU transaction. Just tell them you're not VAT registered. They will charge you French VAT on the order.

 

[egon]

I see, thanks japancool. So we would add that VAT value to the price we sell at then?

Would it be worth us registering for VAT in this instance or is nothing really gained? I also read it can take 2 weeks or a month to complete registration...

 

[japancool]

I see, thanks japancool. So we would add that VAT value to the price we sell at then?

Would it be worth us registering for VAT in this instance or is nothing really gained? I also read it can take 2 weeks or a month to complete registration...

If you register for VAT, you won't pay VAT on the goods when you buy them (well, you declare it but you claim it back on the same return, I think). Otherwise, your cost price effectively goes up by whatever the French VAT is.

As to adding it on to your sell price if you're not VAT registered, that's up to you. If you don't, then your profit margins are reduced.

Whether you should register for VAT or not largely depends on whether you are selling to businesses or consumers. If you are selling to businesses, then you probably should.