bassboy

Hi everyone I was just wondering if anyone could help me or advise me where to look to help get information about starting up a small business.

The scenario is me and a mate want to start up our own In-Car Entertainment company mainly specialising in custom installations as well as supply car audio equipment (only on a small scale), however, are not sure where to begin, if someone can help explain what needs to be done?

Premises shouldn’t be a problem as for the time being we both have purpose built garages to undertake such work

I have heard that you do not have to be VAT registered unless you are making more than a certain amount of profit…is this true?

What about company trade accounts…is it possible to set up an account without a VAT number if the above is true?

Thank you for any help as it would be greatly appreciated

Also just to say again, the company will only be a small thing for the moment until we get some of our demo cars out and about when we will hopefully start expanding the range into all area’s of car modifying

bassboy

SapphyMike

most companies will want to trade with you using a PROPER company credit card.

you only need to be VAT registered if you turn over Ł56,000 a year.

I'd have some money behind you, this line of work may not be the most profitable.

A company near me was doing the same - went bust within 6 months.

matts1

Hi mate, I would suggest you do some planning before you leap into it, things like...

a) find out how much competition you have in the area and how busy they are

b) find out if you are able to undercut them - if not, you'll struggle to get the work

c) can you buy in the equipment cheaper than the person on the street?

d) it will take time to build up work, what will you have to live/outgoings - rent, rates, insurances etc on while that happens - few months atleast

e) how will you promote the company, how will you get business through the door

f) MOST IMPORTANT - know your figures, work out how many instales you'll need to do a year at what profit margins to make money or break even, can it be done??

This sort of planning is essential to work out if it will work and to secure things like Business bank accounts with credit cards, cheque books etc etc.

Also, what area are you in, places like the Princes Trust give help to start up business, there are others, you will need to do a bit of research on who is out there offering free support etc

I used the princes Trust, they gave me advice, support, offered mentors and helped us gain Business Bank accounts and low interest loans etc.

Also, trade accounts may be hard to get unless you are all registered up etc, so may be cash on collection to start, the more you spend the more discount they will give you.