Vegan Biz Support
If you are thinking of setting up a business, here are some of the key steps to work through. If you already have a business and are in a growth phase, you can skip the first few steps! The information here is currently UK-focused, but the general principles apply in many other countries too.
(1) Find an accountant and work out how you want to set up
First, you’ll need to work out whether to trade as a ‘sole trader’ or whether to set up a company of some kind. In many ways, this is a question that has financial and tax implications, so the best port of call for advice on this is an accountant. You can find an accountant local to you via the ICAEW or ACCA. Below are links to some specifically vegan accountancy practices.
Reputable accountants, which you can find via these links, will likely offer an initial free-of-charge consultation where you can discuss your plans and they will give an indication of their preliminary advice and what their costs will be if you chose to engage them. Getting the right advice at the start will likely save you time, money, and heartburn in the long-run. If you’re not sure that you ‘click’ with a particular accountant, arrange a preliminary meeting with a second, and a third, until you find one you get on with. It will hopefully be a long-term partnership that you build. An accountant will be able to discuss your business plan, potentially help with pricing and other financial matters, and generally be there as you start and grow your business to provide sound advice to you at every step.
Here are a couple of vegan accountants in the UK:
(2) Check whether you need any permits or licences
Some types of business require permits or licences, which are official ‘permissions’, to operate. The best way to determine this is to contact your local council (search here for contact details if you are in the UK), who will be able to advise whether your business needs a licence and how to get one if it does.
(3) Consider what insurances to put in place
Whether you are a small business or a larger business, insurance can help to protect you against unexpected costs. For more information, speak with an independent insurance broker or visit the Association of British Insurers, or equivalent organisation if you are not in the UK.
(4) Consider other compliance issues
If you are going to be handling personal data, e.g., relating to customers, you will need to comply with applicable data protection legislation. In the UK, the UK government and the Information Commissioner’s Office (ICO) publish advice for businesses on how to achieve this. The ICO has excellent and free-of-charge helplines if you get stuck interpreting the requirements.
If you will sell goods or services online, you’ll need to comply with online and distance selling regulations; in respect of UK laws the UK government has published advice here.
If you will sell goods abroad from your country of residence, you’ll need to comply with export requirements, for example, the UK regime is set out here.
If you plan to import goods, there are likely to be applicable import requirements, for example, the UK rules are explained here.
(5) Consider the location of your business
If you plan to run your business from home, you’ll likely need the permission of your mortgage provider if you have one, and potentially the local council and/or local planning authority. Speak with your local council for advice (find their contact details here if you are in the UK). Consider whether your home insurance will cover the business activities - speak with your insurer or an insurance broker for advice. Also speak with your accountant (see paragraph (1) above!), as if you plan to run your business from home then certain costs could be ‘allowable expenses’ for the purposes of your tax return. General information on this is available here
If you plan to rent a premises, ensure you engage a lawyer to review and help you to negotiate the lease. The lawyer will be able to explain your obligations to you. If you are in the UK, you can find a nearby solicitor via the Law Society. You must also ensure that you comply with health and safety laws; in the UK, advice is available from the Health & Safety Executive.
(6) Taking on agency workers or employees
If you need to take on people to help in your business, you can consider temporary agency workers via an agency, which will mean you do not need to worry about employing them yourself. However, this may be expensive and you may feel that it would be harder to take on individuals who really ‘click’ with your business and forge a long-term relationship.
If you decide to employ staff - i.e., take on employees - you’ll need to be aware of the responsibilities under employment law. This includes having to run payroll, pay national insurance, provide a workplace pension for eligible staff, and generally look after your workforce appropriately. When you are taking on employees, you must: (i) decide how much to pay, which must be at least the national minimum wage (UK info here); (ii) check that someone has the legal right to work in your country (if you’re in the UK you can do that here); (iii) if the job will involve work with vulnerable people, carry out appropriate checks (in the UK, with the DBS); (iv) take out employer’s liability insurance to at least the legal minimum level (an insurance broker or insurance company will be able to advise what this is); (v) ensure you are using an appropriate written employment contract (UK information on this here); (vi) register as an employer with the applicable tax authority (in the UK, HMRC); and (vii) check whether your employees will be entitled to a workplace pension scheme (UK info here) and/or any other benefits.
The best way to get a steer on the right way to do things is to use a qualified employment lawyer to advise you. If you are in the UK, you can find somebody local to you via the Law Society.
Be careful if you go the route of hiring a ‘freelancer’, ‘consultant’, or ‘contractor’ - i.e., somebody working on a self-employed basis. Tax authorities will generally look to the substance, not the form, of a relationship - so somebody not on an employment contract could still be deemed an employee. This has tax and other implications, so it’s important to get this right. Some information on the UK position is set out here; as above, if you are in any doubt, speak with an employment law specialist who will be able to advise. Such advice will have a cost, but it is a price worth paying as it will be cost effective in the long-run to avoid a fine for doing things incorrectly.
(7) Terms & Conditions of Business
Consider what terms and conditions, or contracts, you will do business under - both with your customers and with your suppliers. Getting these right will help to reduce risk and put you on a firm foundation to grow your business. The best way to do this is to speak with a commercial contracts lawyer. Find one via the Law Society. As with other areas of law, ask for an initial free-of-charge, no-obligation consultation. If a lawyer has particular recommendations, they should give you a quote for what that would cost. If you are unsure, speak with more than one lawyer - get a second and a third opinion, and, as with accountants (as explained above), find somebody that you ‘click’ with and who you trust to forge a long-term business relationship with.
In addition to your terms of sale, and your terms of purchase with suppliers, ensure you also consider terms and conditions for your website - and a privacy policy to cover your data protection obligations (see above).
(8) Protect your brand and other intellectual property
Ensure you come up with a business name, a logo, and a brand that is distinctive - as this will make it easier to protect. It will also help you to build goodwill in your business as distinct from other businesses.
When you have done that, consider whether you wish to register your business name and/or logo as a registered trade mark. This makes it easier for you to take action against anybody else who makes unauthorised use of your name or logo, or who tries to take unfair advantage of them by using something confusingly similar.
In the UK, advice on registering trade marks can be found via the UK’s Intellectual Property Office and/or you can contact a lawyer who specialises in intellectual property via the Law Society.
In terms of protecting other intellectual property, you can mark documents as “CONFIDENTIAL” if you would like them treated as such, and also mark them with the following form of notice (perhaps in the footer) by way of a declaration that you own the copyright in the document:
Copyright © 2024 [Name or company name]. All rights reserved.
If you would like to have confidential discussions with somebody or another company, ensure before you do so that you enter into a “Non-Disclosure Agreement” (“NDA”), sometimes called a “Confidentiality Agreement”. This is also something that a commercial lawyer can help with if you need assistance.