Most people wanting to start up their own business will become a sole trader as it is the easiest and quickest way to get started. You do not have to register the name with Company House, all you have to do is inform the Inland Revenue and start trading. There are restrictions for some industries such as, construction, if you are unsure ring the Inland Revenue help line.

After deciding what legal structure to take you can amend the below paragraph in bold and copy it into

Lesson 3

Legal Structure

I will operate as a sole-trader from a business address located at 48 Your Street, Your Town. The business will trade under the name of “Any Business”. Although I intend to primarily work alone, I will employ assistance as and when required or subcontract work which is outside my skill set.

This will give the person reading the business plan a clear understanding of your legal structure and where you will be trading from.

If you are planning on trading in a partnership I recommend that you draw up a contract sooner rather than later. Many people think they won’t be any issues if the business is small or they know their partner really well. Without a contract things can get very messy very quickly if a large lucrative contract comes in and someone gets greedy. Other unexpected problems like if, one partner becomes ill or even dies then who is responsible for the debts?

The other option is to become a limited company