28 Mar

Selling a small Web Design or Software Business

How often have you seen “Dragon’s Den” hopefuls putting ridiculous values on their fledgeling business?  They are trying to put a real number on all the passion, blood, sweat and tears that have gone into fulfilling their dream.  They’re trying to turn something they’re 100% devoted to into a real number, and naturally the numbers that come out are enormous.  But as we’ve seen, that’s not the same value that others will apply to it.

“Value” is a relative term – it really means “Value to a specific person in a specific set of circumstances”.  Many years ago, after one of life’s inevitable down turns, I found myself completely skint; owing cash to a local thug and buying food with rubber cheques that, thanks to a wonderful invention called a cheque guarantee card, the bank would honour.  As you can imagine, a five pound note had far more value then compared to now.   Read More

15 Mar

Practical Guide to Setting Up a Business in the UK

There are thousands of “how to set up a business” guides out there, but most of them focus on the intangible things – planning, marketing, sales and growth.  Having been through the process a few times I wrote myself a small procedure or checklist for the more practical aspects of setting up a new company – what actually needs to happen.  It’s not difficult, but first time around I missed a few of these steps and suffered extra admin work and in some cases costs as a result.

So here’s what I’m going to assume you, being sensible, have done before you even think about forming a company:

  • realised you have a product or service that can be sold for money
  • checked that there are enough people who would actually buy it
  • worked out how you would deliver it, and how much it will really cost to do that
  • worked out an agreement with any business partners
  • checked that any suppliers are in place and what their prices would be
  • you understand the basics of accounting – invoicing, profit+loss sheet, balance sheet

So here is my checklist, with notes:

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