I have decided it is time to move from hobby to business.
Where do I start,
how do you go about it and what do you have to register?
There will be no employees for the first couple of months as i grow, but i will need to employ staff to do the dirty work in time in time, we will get to that part as this thread progresses.
We need a very simple set of books to manage the cash flow.
One of the banks offer a package, I think it is FNB. Any suggestions
I have to register:
I would say a sole prop because it is so small at this point in time, but as it grows we can worry about other registrations.
So how do you go about registering as a sole prop?
Now this is where it starts getting tricky, a bank account with an affordable rate for what i need.
Deposits from customers,
eft payments ( cost money) to suppliers for goods to manufacture the products, need to determine how many as we grow. What i am doing with my other little business is using a credit card for payment instead, much cheaper. One of the reasons why i think having a credit card instead of a cheque account might be a better option, money can be deposited from the customer directly into the credit card and payments to suppliers for mthe credit card saving lots of money. There will be no debit orders etc.
as it grows so we will employ and the transaction will increase, but for now i am at a point were i want the cheapest rate (fees) and best interest rate, bottom line.
Then we need to look into marketing etc, but i will get to that in time.
I need to use this new venture to experiment and hopefully assist to pull the other company into line.
Cheque, savings or credit card to start? I would think a credit card would be a good start, the reason i say this, it has a yearly fee and it cost me nothing to pay suppliers. I dont want to open accounts this must be a strictly cash in...payment structure. So if there is no money coming in then I dont anything, as soon as a deposit is made the product is manufactured and delivered.
I need to make sure i am correct in saying as a sole prop you should be able to open any type of account because it is you as the individual who is liable for any losses etc.
Please feel free to correct me or point me in the right direction. The idea of this thread is to help me learn how to do things right from the beginning. It will also help to show others who are sitting on the fence wanting to start something but are just not sure what to do or how to go about it.