BUSINESS
HOW TO START A BUSINESS cont .
Choose the right structure
Sole trader , limited company , LLP or partnership ? Gulp . There ’ s a fair few ways to structure your new business depending on how the decisions you make down the line will affect its growth . If you ’ re not planning on employing anyone except you then you ’ re likely best off as a sole trader , but that does mean that any business debt will be met from your personal wealth if the business fails . A partnership is great if you ’ re going into business with someone you know well and is common when sole traders wish to expand , but liability will affect all partners and can lead to messy ‘ break ups ’. Registering a limited company at Companies House gives your business instant credibility and makes it easier to separate your money from the company ’ s money , but you ’ ll need to be really on top of your admin . And , limited liability partnership ( LLP ) models are effectively a hybrid between limited companies and partnerships , which allows for flexibility , but does not give the same tax advantages . Research every option extensively and seek advice about which is best for you .
Make your logo stand out
There are five key points that your logo should clearly communicate to your customers . It needs to tell your customers what you do – think of a product or service then Google it and scan through the images ; you ’ ll probably find lots that convey exactly the message they should and many more that don ’ t . Your logo needs to express the personality of your business – are you friendly and fun , or formal and professional ; this should be represented in your logo stylistically and graphically . Make sure your logo refers to your business name and don ’ t lose your identity in the colour scheme – sounds simple , but is easy to get wrong . Pair your logo ’ s aesthetic with the expectations of your target audience – survey what colours , fonts and styles your demographic responds positively to and incorporate them . Think about the level of quality your logo promises – this isn ’ t to say that it will be less appealing if your product isn ’ t high end , but is more to do with differentiating how you illustrate a cost-effective , basic product from a premium one .
What to expect when applying for a start-up loan
Raising capital to start a business is no mean feat , but it isn ’ t impossible either and there ’ s a lot more guidance and support out there than you probably realise . Start Up Loans is a government-backed scheme in place to help people start or grow a business in the UK , and they ’ ve identified 10 key questions you need to consider before you apply for funding that include reference to everything from your business plan ( which will be the culmination of all of these points and many more , as well as the most important step in the entire process ) to cash flow forecasts and exit strategies . Head to www . startuploans . co . uk for the full list of questions and lots of helpful hints and tips ; you can also find a host of step-by-step guides to writing your business plan online at sites such as www . entrepreneur . com and www . gov . uk / write-business-plan .
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