What to Expect When Going Self Employed

What To Expect When You're Self Employed

One of the main benefits of going self-employed is that it’s easy to start up and run your new business. You can even become a sole trader whilst you’re working as an employee for somebody else, meaning that you’ll still have the stability of an employed job whilst you’re setting up and growing your own business. When you decide to go self employed, there are a number of things that you should expect to need to do. Here are five of the main ones.

Register with HMRC as Self Employed

For tax purposes, you’ll be expected to register as self-employed with HMRC. Once you set up as a sole trader, you’ll be held responsible for paying your own tax and national insurance. You must register as self-employed within three months of starting trading, even if you’re already paying tax each year via the self-assessment process. Registering can be done online, or over the phone if you’d prefer to speak to somebody or have any questions.

Registering for VAT

When you become self-employed, you’ll need to work out whether or not you will need to register for VAT. As of April 2015, if your business has an annual turnover of at least £82,000, you’ll need to register for VAT – anything beneath this amount is not required to register. If it looks like you might hit the VAT threshold at any time over the next twelve months, you will need to register even if you’re not at the threshold at the current time.

Open a Business Bank Account

Starting your own business will require you to open a business bank account. This ensures that the money needed for your business doesn’t get mixed up with your personal money, and also looks more credible and professional for any clients or customers who are making bank transfers as payment. If you’re likely to hold cash for some time it’s also a good idea to open a business deposit account in order to earn some interest on your money.

Keeping Financial Records

Since you will be responsible for paying your own tax, you’ll need to ensure that you keep up-to-date and accurate financial records. This includes records of all of your business transactions, including anything else that your business may participate in such as spread betting – if you’re thinking of trying spread betting, see here for how to spread bet. When the time comes to submit your tax return, you will need to give all of these records to your accountant.

Insurance

It’s essential that your new business is insured. The cover that you should take out will depend on the type of business that you have and the industry in which you operate. If you employ another person, you will be required to take out employer’s liability insurance by law. If you’re providing a service for clients, you should also consider taking out coverage for professional indemnity, which will cover you if you’re sued by a client if they’re unhappy with a service or product.

Would you like to add anything else that can be expected from going self-employed?

Is Foreign Real Estate a Viable Option for You?

Most people realize that real estate is the single biggest investment they are likely to make in their lives. For folks thinking of purchasing a property abroad, this can be a terrific investment opportunity, provided things are done correctly. For starters, not every seemingly attractive real estate opportunity is worthy of consideration. Multiple factors need to be taken into account, including the economic stability of the country, the political system, the cost of living, et al.

These are but a few of the many factors that must be weighed up before taking hard-earned money and investing it abroad. Believe it or not, investment in foreign property can have significant profit potential. Many investors have been known to generate a substantial net worth by carefully picking their real estate investments abroad. Unlike e-commerce which is limitless in possibilities, land is limited. It is a finite resource that is never going to increase. With a burgeoning population, demand for land has only one way to go. Tremendous value stands to be gained from investing in emerging market economies like Brazil, Russia, India, China, and South Africa – the BRICS countries.

Consider Investments in BRICS Countries

As a case in point, consider the tremendous returns that are possible with a small down payment on a condominium in Brazil. Investors routinely generate returns in the region of 50% – 70% over relatively short periods of time. And all of this is possible with a 20% down payment. It comes as no surprise that in an inflationary climate, real estate tends to hold its value and appreciate over time. The same cannot be said of money in the bank, cash under the mattress, or other traditional safe-haven assets like gold, silver, zinc and the like.

True, property bubbles occur from time to time, but the asset remains regardless of the price fluctuations. Unlike stocks which can be wiped out overnight, a home remains grounded in rock solid foundations. In time, most real estate investments will eventually appreciate and revert to the mean in terms of value. Outside of first world countries like the US or Canada, there are many lucrative investment opportunities for people seeking such options.

Real Estate Remains a Viable Option for Many Investors

Contrary to popular opinion, most Brazilians are now in the middle class. A burgeoning credit market has opened and clients – domestic and international – have access to lines of credit for mortgages. Rising demand in emerging markets has fueled a rush of foreign investors to purchase property abroad. Sometimes these markets are not as stable as they appear on the surface. Brazil has been rocked by malfeasance and scandal at the highest level, and currency instability is indeed a source of concern.

However, for foreigners coming with USD, GBP, EUR, or JPY, this is a godsend. If you’re thinking of plowing money into an emerging market economy, be sure that the capital is geared at high value transactions. Real estate is certainly a viable option when you’re looking to diversify your portfolio and generate tremendous returns. Always be sure to use professional money transfer services when you’re conducting foreign real estate transactions. There are many swindlers out there, pretending to be land owners with title deeds to properties that you want to purchase. Everything should be done through a solicitor, or a licensed company.

What Are Some of the Benefits of Purchasing Real Estate Abroad?

For starters, land can be used for multiple purposes. It can be used for tourism purposes, business purposes, or for agricultural usage. It is no surprise that more people in Brazil, Colombia, Ecuador, China, Russia, and South Africa are moving into the middle class and consuming more high-value foods such as beef, lamb, pork and the like. Land that is purchased for these purposes is certainly valuable. Perhaps the most beneficial reason people purchase land abroad is cash flow in an alternative currency. This is known as portfolio diversification, and it warrants careful consideration.

You should always evaluate your appetite for risk when diversifying your portfolio into real estate holdings abroad. Sometimes, this proves to be the best option given your unique circumstances. We have already alluded to real estate being a hedge against inflation, and it is certainly better than investing in a foreign country’s currency. Land is a finite resource, and provided you purchase appropriately (location, location, location), you can turn a handsome profit.

Staying Productive: Common Issues That Could Affect Your Delivery Firm

If you’ve started a delivery or courier company in recent months, you probably want to become as productive as possible. At the end of the day, that is how you make the highest profits. However, there are lots of common issues that could create stumbling blocks. If you’re new to the industry, you might have overlooked those problems during your initial research. Considering that, we’ve highlighted some of them on this page. Use the information to create backup plans that mean your operation won’t halt if these things happen. If you manage to do that, your new business should go from strength to strength.

Drivers getting in trouble with the police

You will no doubt employ lots of drivers to make deliveries for your firm. That’s brilliant because it means you can keep lots of clients and customers happy. However, you face a problem if one of your workers gets in trouble with the police. That can happen if they are drunk behind the wheel or something similar. Specialists from twincitieslawyer.co say those incidences are on the rise across the US. While you don’t have to worry about going to court or paying fines, the arrest could affect your operation. That is because you will lose a driver and have to employ someone new.

Rising fuel and insurance costs

Both fuel and commercial driver’s insurance has increased in price during the last three years. Experts say that trend isn’t going to stop anytime soon. You need to make predictions for the future when it comes to creating your growth plan. Assume that prices will continue to rise, and ensure you can still make a profit. At the end of the day, your company is going to crumble if you can’t afford the hikes. There are, however, ways in which you can combat the expense. For example, you can purchase all your insurance from the same company. You can also buy fuel in bulk in some instances.

New customs fees and regulations

If you deliver products overseas, you have to keep a close eye on new customs taxes and rules. That is because the US government could increase their taxes at any time. They could also put new regulations in place that relate to products you supply. For that reason, it makes sense that you should employ the services of an experienced legal professional. That way, you will get a heads-up whenever alterations are made to the current scheme of things. Still, you can find most of the information you require at cbp.gov.  If you fail to have the right information, you could get into lots of trouble when your drivers reach the docks.

Now you know about some of the most common issues affecting delivery firms, you need to design your strategy. Make sure you can always continue working even if the worst occurs. That might mean you have to increase prices or change your approach. However, it’s better to do that ahead of time. That way, you can weather whatever storms might you might encounter during the coming years.

Good luck! We wish you every success.