When is the Best Time to Start a Business in the UK?
Is there ever a right time to start a business? It’s a question that goes through the heads of most entrepreneurs on the brink of starting a new venture. Many people will tell you that there’s no such thing as a sweet spot, referencing businesses that boomed in what were generally considered to be bad times and those that flunked in prosperous years. However, there are a few things to bear in mind when choosing to launch your new business that could definitely get you off on the right foot. Here are seven major ones to consider. 1. Factor in the UK tax year You’ll have to pay your taxes no matter what time of year you start trading, but choosing a launch date that aligns with tax deadlines can make company admin a little ‘neater’. If you’re a sole trader, your accounts will usually run from 6th April to 5th April the following year. If you are registered as a limited company, your tax deadlines will correspond to the time you start, but it could still be helpful to launch at a time when tax is a hot topic, so you don’t forget about it. 2. Think about peak holiday periods August and December are generally considered slow times for businesses that aren’t connected to seasonal occurrences like holidays and Christmas celebrations. Thousands of Brits take holidays in August, leading to decreased footfall and online activity for many companies. In December, meanwhile, consumer spending is focused on the festive season, diverting money away from less seasonal businesses. These down periods are reflected in company formation data. In an analysis of Office for National Statistics data, UK financial services provider CMC Markets found that fewer companies were incorporated in August and December than at any other time of year. The quiet nature of these two periods, though, could make them the perfect opportunity for a soft launch, giving you time to perfect your operations before things get busier in September or the New Year. 3. Consider spring as a good time to launch A study of thousands of business decision makers across the UK, The Ardmore Future Attitudes report has found that businesses that launch in spring tend to do better than companies launched during other seasons. There are several explanations for this. The first is that consumers tend to have fewer distractions and fewer demands on funds in spring. Secondly, spring is a popular time for networking events and trade shows. What’s more, spring coincides with the start of the new financial year, meaning there are new government grants available and investors’ budgets are renewed. 4. Check the current business climate A quick glance at the business confidence levels might help you decide whether to launch today, three months, six months, or a year down the line. Business confidence (BC) stats are readily available through the research website Statista. Recent figures indicate that BC is lower than it was in late 2021, but still far higher than when it plummeted in June 2020. 5. Assess your own business readiness (and confidence) You’ll already appreciate that running your own business takes a lot more than turning up to work at 9am and clocking off at 5:30. Ask yourself if you’re ready to work the extra hours it takes to start up, if you are in the right frame of mind to deal with possible rejections, set-backs, and challenges, and if you have the organisational skills required to be your own boss. If you’re not 100% sure, don’t worry, there are lots of ways to build your personal confidence levels. These include: Identifying who your support network will be if things get tiring or tough. Can you communicate with a family member or perhaps you need to get a business mentor – there are some government-subsidised mentor schemes out there that can put you in touch with a trusted advisor, including the Help to Grow: Management Course from Small Business Charter. Take a course in organisation – there are courses out there, with learning portals like Udemy, that start at as little as £14.99. Network – joining a community of people who are going through the same challenges and experiences as you will carry you through any times of hesitancy and also help you tap into resources. 6. Make sure you’re financially prepared Running out of cash is often cited as one of the top reasons why start-ups fail. A general rule of thumb is that you should have enough savings to cover at least six months of living expenses when starting a business. You should work out your start-up costs as part of your business plan. It goes without saying that you need to have a full understanding of what your initial investments, operating expenses, revenue projections, and cash flow are going to be. In the UK, there are lots of sources of funding and support for start-up businesses. Not least, as part of its new Business Growth Service, the UK government has committed to the following… Providing 69,000 start-up loans – visit the Government’s start up loan’s website to apply for between £500 and £25,000 to start or grow a business. Giving a £3 billion boost to the British Business Bank to help lenders offer more small business loans. Launching the Business Growth Service website, where you can search for small business funding opportunities using your postcode. When you’re defining your market and audience, don’t forget your domain name plays a role too. A local domain, like .co.uk or .uk, shows that you’re a UK-based business — helping you stand out to customers and compete with others in your space. For more, check out: .com vs .co.uk – Which Domain is Best for Your British Business? Starting a successful business begins with the right name. Find and register your .co.uk or .uk domain today with 123 Reg – or choose from hundreds of options, from .ai to .xyz. 7. Pay
Shorter and Simpler – Will a .uk Domain Benefit Your Business?
Today, Nominet has announced its plan to proceed with the shorter .uk domain extension following its second consultation period. The change will be the most significant advancement to the .uk domain market ever and will allow more than 10 million existing customers a shorter and more unique equivalent of the current .co.uk. There is no doubt that this change is a landmark one for businesses in the UK. There has been a shift in how businesses want their domain names to work for them – with shorter extensions becoming more popular than ever. The announcement of the .uk will bring businesses in the UK into line with France (.fr) and Germany (.de) with a simpler domain extension. The .uk extension will open up space for people and businesses to buy the domain that they want and they might have missed out on previously. What’s more, when launched businesses need only make a small investment in this domain to further enhance their online brand. The news is also a positive one for the UK’s digital economy and further highlights the support for small businesses in the UK. The domain name market is currently undergoing a major transition as new gTLD’s are set to market and the release of .uk will open up space for people and businesses to buy the domain that they really want. What’s more those businesses that have already purchased the .co.uk domain name will be offered first refusal on the shorter equivalent. What the changes mean From summer 2014, web addresses ending in .uk rather than .co.uk will become available. Businesses will be able to register shorter, simpler alternatives to .co.uk, bringing the UK in line with Germany and France. Nominet plans to announce the official launch date in early 2014. We will be offering our customers the chance to extend their domain portfolio with a .uk gTLD. See if the .uk domain version of your website is available. The combination of a shorter extension alongside the trust of the ‘.uk’ brand will bring about the extension of choice within the market, further enhancing the opportunities for those businesses who want their own online space. Over the coming months we will be in consultation with Nominet and we are committed to making sure we keep everyone up to date with any changes in advance of the launch date announcement. See also: .com vs .co.uk – Which Domain is Best for Your British Business?
What the .uk?
This week Nominet announced a three month consultation on a new top-level domain (.uk) that could soon be available alongside the long established and highly popular .co.uk extension, but what is it all about? The wider TLD market As discussed on this blog previously the liberalisation of the top level domain market by ICANN is set to further expand the potential options for domain name purchasers, but with the obvious availability advantages will come potentially great confusion for the consumer. The .uk would be designed to combat some of that and provide a trusted and accepted standard for UK based businesses, giving greater clarity to potential visitors. More stringent checks means more authority The current .co.uk registration requirements are very wide, you don’t even need to have a UK address, meaning that the system is potentially open to abuse. Under the .uk system every registrant would need to have a valid UK and this would be regularly policed and checked. Coupled with a digital signature and a supporting trustmark, those operating .uk domain names would immediately be identifiable as rightful owners of the domain and UK-based. Visitors to .uk domains would also be able to do so in the knowledge that all .uk domains will be safe to visit, subject to daily monitoring for malicious software and viruses. The aim is to give a boost and advantage to legitimate British businesses Shorter for Social Sharing As anybody writing a Twitter message will know, in the modern era the extra three characters for a message afforded by a .uk over a .co.uk domain can be crucial to getting your message across. In the era of social search where full URLs potentially win over shortened links, so a brand operating from brand.uk could have a massive competitive advantage. Not just another domain So in fact, with the tighter security, more shareable nature and the more stringent ownership rules, the .uk in it’s initially proposed form is one of the most innovative and exciting domains for many years. Rather than being just another domain to add to your portfolio, it is a domain that immediately would make a statement to customers, competitors and those within your own business. If you are committed to safe, secure business and being proud of your British base then the proposed qualities of the .uk domain are likely to prove incredible value for less than the cost of a decent three course meal for two. Certainly at 123-reg we are fully behind the current proposals and looking forward to seeing how the plans develop. That is what this consultation period is about though to gather feedback and thoughts of those it most effects… you. So if you do have concerns of even words of support, your input into the consultation would certainly not be wasted.
Win a new iPad!
10 million .uk domain owners can’t be wrong. As we reported last month Nominet recently announced that over 10 million .uk domain names have now been registered proving its continued popularity. As the UK’s largest registrar of .uk domain names we are proud to promote the .uk domain extensions too, so how about this for an offer from Nominet: If you register or renew your .uk domain name between now and 26th April you will automatically entered into a prize draw to win a brand new iPad – being dubbed the iPad3. Further information and terms and conditions can be found at http://www.agreatplacetobe.co.uk but effectively you don’t need to do anything special just register a new .uk domain name. So what are you waiting for?
.UK is the place to be
Last week the .uk registry, Nominet, announced that it had surpassed the landmark of 10 million domains to re-inforce its position as the world’s second largest country code registry. Here at 123-reg , as the UK’s largest .uk Registrar we are very proud to have played and continue playing such a big role in the importance and value of .uk domain names. The strength and brand benefit of using a .uk has never been stronger…and it continues to rise. As we reported last month multi-year registration periods come into effect from 1 May 2012 for .uk domain names, making it easier to secure your domain for longer. We love the statement a .uk makes and the immediate attraction and esteem it has amongst our customer base and we think you should too. A .uk domain defines your business at being at the heart of the fastest growing internet economy so why not show that off? Secure your next batch of .co.uk domains now with us from just £2.79 per year.