New company registration with associated trading names.
Discussion
I'm starting up my first business but I have no experience so could use a bit of input on the best arrangement for my needs!
I have recently invested in a laser cutter that allows me to manufacture my products in house, which up to this point have mainly been sold direct to the customer via forums etc. I am now getting some distributors on board, so this then needs to become a registered income.
Aside from my products which generate a good income on their own, it can also be used for a wide variety of other uses. I am planning on getting the wife on board making girly stuff, personalised wedding trinkets, engraved wood products etc, the sort of things you see a lot on Etsy, NotOnTheHighstreet and so on. I'm also looking at offering the service out in the local area and already have a few contacts building up for more industrial purposes.
So far then, I've got a three pronged income stream planned out for the business, and at the moment I want to keep them all relatively separate. I've not registered anything as a business yet, but at the moment I am thinking that the local industrial aspect of it should be a parent company registered at companies house, and that the two offshoot aspects should be 'trading names' of the parent company.
Unfortunately I don't know how this works, so could use a crash course if anyone has any experience!
TIA
I have recently invested in a laser cutter that allows me to manufacture my products in house, which up to this point have mainly been sold direct to the customer via forums etc. I am now getting some distributors on board, so this then needs to become a registered income.
Aside from my products which generate a good income on their own, it can also be used for a wide variety of other uses. I am planning on getting the wife on board making girly stuff, personalised wedding trinkets, engraved wood products etc, the sort of things you see a lot on Etsy, NotOnTheHighstreet and so on. I'm also looking at offering the service out in the local area and already have a few contacts building up for more industrial purposes.
So far then, I've got a three pronged income stream planned out for the business, and at the moment I want to keep them all relatively separate. I've not registered anything as a business yet, but at the moment I am thinking that the local industrial aspect of it should be a parent company registered at companies house, and that the two offshoot aspects should be 'trading names' of the parent company.
Unfortunately I don't know how this works, so could use a crash course if anyone has any experience!
TIA
Depending on the size you intend the business to reach then a limited company and three different trading names would be fine as the actual business activity would be similar.
If you are likely to stay fairly small then you could just run three different "companies" on a sole trader basis.
If you're new to the business side of things, then it would be worth an hour with an accountant to discuss the options as different people's needs can be slightly different.
If you are likely to stay fairly small then you could just run three different "companies" on a sole trader basis.
If you're new to the business side of things, then it would be worth an hour with an accountant to discuss the options as different people's needs can be slightly different.
Talk to an accountant.
I suggest at this very early stage in your business the last thing you want is a complicated company set up - such as a holding company with subsidiaries.
Lots of single businesses have multiple income streams. It's all the same business though as the nature of the income streams are related.
Your first decision is whether you want to run your business as a sole trader or through a trading entity such as a limited company.
I suggest at this very early stage in your business the last thing you want is a complicated company set up - such as a holding company with subsidiaries.
Lots of single businesses have multiple income streams. It's all the same business though as the nature of the income streams are related.
Your first decision is whether you want to run your business as a sole trader or through a trading entity such as a limited company.
Eric Mc said:
Your first decision is whether you want to run your business as a sole trader or through a trading entity such as a limited company.
Yes I need to look in to that.Essentially I want to have a couple of brands for different products, and just want to know the best way to tie them together yet keep the appearance to be of separate businesses. I produce 'man stuff' to do with cars/engineering and she does 'girl stuff', pretty things for the house/weddings etc so it would be good to keep them separate.
I'll arrange to see an accountant.
Does Debenhams prepare different trading accounts for the items it sells under different brand names?
I doubt it (although they no doubt do keep a record of the way different brands perform for internal management purposes).
If the general activity of what you are doing is the same (even if the actual products vary a bit), then you are conducting a single trade and only need to record one set of figures for accounting and tax purposes.
I doubt it (although they no doubt do keep a record of the way different brands perform for internal management purposes).
If the general activity of what you are doing is the same (even if the actual products vary a bit), then you are conducting a single trade and only need to record one set of figures for accounting and tax purposes.
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