Side hustle UK the rules to follow

So, you’ve decided to take the plunge. Here is a list of the 10 things you need to do before you go over £1000 in sales. I offer a free 2-hour consultation for all new customers.

The Legal Basics

• You will need a UK address and a UK bank account. Plus take a look at this Times article for more information.

This is a requirement if trading in the UK, otherwise people will think you are a fake business or based overseas. If you export your products globally this is very important.

• Use a 2nd bank account for business transactions that are separated from personal expenses.

If you fail to do this, you will get in a muddle with money and will take longer to work out your loss and profit. It can be a personal account.

• Get an HMRC Self Employed Trader Reference or UTR or Unique Tax Reference so you can file your taxes each year.

New businesses usually have many upfront expenses for equipment and stock. Be sure to enable full tax reliefs from year one where you can.

• Register in the UK with the ICO Information Commissioners Office as you will be controlling customer data.

This is part of GDPR or the General Data Protection Regulations. There are very defined rules about what you can and cannot do with people’s personal data that you may record as part of a sale.

The Practical Basics

• Have a room or premises where business stock can be held.

Ensure that the stock you purchase is actually legal to sell in the markets you are selling to.

• Look at what insurances you may require.

Public Liability and Product Liability are the two which come to mind here. Be very careful.

• Decide where you will sell your products.

This could be:

1. Retail shop
2. Market stall
3. Car boot sale
4. Pop up shop
5. Online shop
6. Online marketplace
7. Via a network or club
8. Door to door sales

The Marketing Basics

• Get a business card.

You are down the pub, and someone asks you what you do for a job. Handing out a business card takes 2 seconds. Faffing about trying to enter a new contact on your phone’s WhatsApp takes 20 to 30 seconds, or longer if you have switched your phone off. Better still have a mini brochure.

• Organise your online pages and entries with Facebook, Google etc.

Social media is a good place to share your business so look at all the options.

• Buy some stock and start selling.

Do a test launch of 10 units, before you buy 100 units, you might find you cannot sell at a profit.

Case Studies

Sewing Kingdom

Sewing Kingdom is a classic side hustle turned to good general business. With sales well into 6 figures after a few years, it’s time to revisit the business plan.

Andrea’s Upcycle Repair Shop

Cottage industry gone mad. What was an idea for some pin money took off and now there is too much business coming in. What a great way to develop a business.

JJ Building Supplies

New start up with big ideas, watch this space.

Laurence Dunn MCIM
Marketing in Essex
One Hub 7th Floor, Maitland House, 
Warrior Square
City of Southend-on-Sea SS1 2JY
England
United Kingdom