(6D2) PPP3: Creating A Website

Having a website is extremely important because it allows me to further my online presence and allow my work to be more accessible by any possible clients or any work opportunities that may come about.

(6B2) PPP3: Careers and Employability: Self Employment Workshop

This start up Wednesday workshop was run by Leeds based accountant Russell Smith who is a specialist advisor within the creative industry.

He has 350 clients who work within the creative sector

To become an expert it something, all you have to do is call yourself one

What we want to know:

• Money/ how to make money
• How to get clients
• Cash flow
• Tax
• Starting out
• Legalities
• Trademarking
• How much tax do I pay

* Delivery and operation is the thing we are best at right now

Should ideally be competent in all to run a successful business 

REGISTERING YOUR BUSINESS

• Google 'HMRC Registering and Self Employed form'
• Form takes 10 minutes to fill in
• You will be given a 10 digit unique tax reference number and you will be in the system
• Complete a tax return every year (a long form/can also be done online)

*Business names aren't that important but if you want to check if anyone else has the same name use 'Companies House' website. 

HMRC are the governing body which collect taxes

If you're employed then you don't need to worry about tax it will automatically be done for you

• Earnings below £11,500 won't be taxed
• If you begin to earn over £1,000 then you don't really have to register yourself but its recommended 
• There are no restrictions as to when you have to register/create business 
• You can be both employed and self-employed (just declare on tax form incase of a very small likelihood you get investigated
• Start you business small and let it build up

TAX RETURN

Business = Profit

Income - Expenses = Profit

ALWAYS better to have a higher profit

POSSIBLE EXPENSES

• Materials
• Printer
• Travel
• Studio
• Employees
• Freelancers
• Software
• Equipment
• Product maintenance 
• Venue hire
• Events
• Car
• Working from home
• Utilities 
• Laptop
• Phone
• Advertising (social media)
• Website
• Delivery/ Postage
• Insurance (recommended to get Public Liability Insurance and Professional Indemnity Insurance)

These are all things you would class under your business expenses

If you wanted to have car travel costs covered you add up the miles drove x 45p = the cost

If you travel and stay overnight then you can claim some money for your own food

HOW TO HAVE MORE INCOME THAN EXPENSES !!!

• Sell as much as you can
• ALWAYS keep an eye on your expenses because they can quickly add up

Self Employment Tax Rates

0 - 11,500 = 0%

11,500 - 46,500 = 29%

46,500 + = 42%

YOU ARE TAXED ON YOUR PROFIT NOT INCOME

• If concerned about having enough money to pay taxes then always put away 20% of anything that anyone pays you (so your profit) (only if over 11,500)

• Its better to get a second bank account for your self employment as it makes it all less complicated
• You need to keep bank statements for 7 years (incase of investigation)

• ALWAYS keep anything that HMRC sends to you

• You could even open up a bank account for your tax payments if you put away that 20%

STUDENT LOAN?

The HMRC tax form asks you if you have a student loan/ the software detects how much you need to be paying 

YOUR STUDENT LOAN WILL AUTOMATICALLY ADD ONTO YOUR TAX PAYMENTS

PAYMENTS FROM CLIENTS

There are no rules for payment so can be tricky

You need to have a good conversation and communication about this

Discuss price and payment plan (could be 50% before and 50% after)

SET UP A DIRECT DEBIT !!! This means the client will automatically pay you (don't trust anyone)

this avoids not getting paid

*Go Card-less (google)

PRICING

People don't buy on logic they buy on emotion

How to get customers?

Best way.....

List all of the people you know, figure out who are the gobbiest/active/loud, invite them for a coffee and tell them what you're planning to do, your business and what you are offering.... Ask them then for a favour and to spread this through word of mouth

*Possibly more powerful than social media*

NETWORKING IS SO IMPORTANT

You could even sweet talk another business over email, tell them you admire what they've done, their work, website etc. Invite them for lunch and ask them questions... this also may lead to work.

WHO YOU ARE IS SO IMPORTANT

' I can start your business' book by Russell Smith