Starting up a simple mail order business?

[cheerup347]

Hi there,

First off, apologese if this is in the wrong place.. but a few of these questions are very "general". I want to start up an independent online mail order store for Vinyl records imported from the US.

I'm aware this is the absolute bottom rung of a businessventure but it's something I want to do so I have a few questions.

1. When registering the company with HMRC, am I simply registering the business name? what other details are needed? (It'll just be myself, working out of home) Does it cost to register the business?

2. I'll be buying the records wholesale from the US from a record label that offers wholesale prices.. You pay via paypal and then it's sent like any other international purchase.. When keeping records of purchases. DO I need to list the products, shipping costs, and customs fee's all seperately or can they be totaled together?

3. I'll be selling via "Bigcartel" for the moment due to the ease of starting it up.. Do I need a business Paypal account to run this? Or can I just use a "Personal" account? I'm not exactly sure what the differrence is..

4. After I've registered the business, set up the site and got orders coming in.. Am I right in thinking all i need to log down for financial records are (as an example) Customers Name, Email Address, Order Number, Total value of order, Postage costs, Paypal Fee Incurred? And then print off the paypal receipt and keep a physical record of these?

5. If I wish to buy some records for myself, How do I go about accounting for the stock? Could I simply, buy them from myself at wholesale price? Write them off as merchandising? (Because I will have to open one of each record to verify the colour)

Thanks to anyone who can help me out with this!

 

[cheerup347]

Can anyone help me out with this?

 

[Deleted member 138423]

In opening your business, you need to decide whether you'll be sole trader, partnership or Limited company. I would suggest that you get advice from an accountant for that. You can open a company for a couple hundred quid or less.

You will need to register - again, the accountant will advise you but the info is all there in tinterweb!!

The method in which you're selling should also advise you as to what you'll need i.e.paypal etc..., but if not, ask similar traders how they go about it.

You will need to detail all expenditure and any monies in, that's basic bookkeeping/accountancy so again, ask an accountant or google requirements for running a small business. The info really is just a click away!

Lastly, anything you sell to someone, you'll need to raise a full invoice detailing their name, address, cost, VAT, shipping etc..

 

[TODonnell]

We can register a limited company for you and provide a registered office, directors service address and mail forwarding for it.
http://www.registeredaddress.co.uk/registrationoptions.php

You might also want to take the advice of an accountant.