August can be a funny month: swallowed whole by the school holidays, with overriding childcare duties, or at least juggling, planning and checking, if you’re a parent. For some businesses it’s the busiest time of the year (some literally making hay while the sun shines!), for others, a fallow or difficult period juggling competing staff leave, trading and supplier downtime. Then there’s the pressures we put on ourselves: to see friends, make the most of every sunny day or warm evening, participate in mandatory “fun” activities. Whoever invented FOMO (Fear Of Missing Out) has a lot to answer for!
With World Entrepreneur’s Day held every August 21st, there’s a danger of turning this celebration of innovation, leadership, and the entrepreneurial mindset into yet more pressure. Instead, let’s take a realistic look at the pressures, pleasures and pitfalls of striking out on your own, and distil the best real-world advice from those who’ve “made the mistakes you don’t have to” on their way to the top.
Benefits of Being an Entrepreneur in the UK Today
Contractor, startup, SME or next Peter Jones in the making, there’s nothing like the agency, flexibility, freedom and potential that striking out for yourself offers. Britain remains a strong environment for fledgling ventures, with successful startups averaging of 111% revenue growth over the last three years.
There’s also more support and high-profile hand-ups available than people realise, with organisations such as the New Entrepreneurs Foundation, UnLtd, and Shell’s LiveWIRE (the catalyst behind Innocent Smoothies and BrewDog) offering awards, mentorship, and grants to UK entrepreneurs. Definitely worth a Google!
Challenges in the Current UK Business and Tax Climate
Navigating regulatory and tax complexities including IR35 regulations, PAYE, National Insurance, VAT, and potential audits can be daunting for individuals running small businesses or working as contractors. Uncertainty around status (employed vs. self-employed) remains a concern particularly under shifting legislation.
Contractors and small-business founders can face inflationary pressures and rising operational costs- higher costs for premises, utilities, insurance- against increasingly fluctuating consumer confidence. Access to working capital and managing cash flow remain critical hurdles. When a headline or political statement can cause waves, having adaptability and a long?term vision is more important today than ever.
“You can do anything, but not everything”
Years of reading autobiographies, watching TED talks, and access to exceptional workplace training, this is the phrase that hit home most. It somehow encompasses inspiration, understanding and support into those few words. You can reach for the stars- but you don’t have to get there tomorrow. You don’t have to be perfect. You can dare to delegate, ask for help, take time for yourself, and you are allowed to say no! Each of those simple phrases is espoused by every successful entrepreneur you can think of, from Ben and Jerry to Oprah Winfrey- so how come most of us don’t allow ourselves this grace, as we try to juggle, control, and hold onto everything?
Small, Timely Steps Can Free You to Take Big Strides
As we began, consider this time of year: if you are a parent, as many entrepreneurs and self-employed are, there are multiple “restarts” a year, with a big one looming on the horizon: the start of the new school year. Outgrown uniforms to be replaced, moving up to “big school”, subject options to be chosen, exam years begun, leavers heading for college, apprenticeships and university.
It’s a lot to juggle! And just as you close the door on their shiny-shoed journey, hot on its heels come rushing back all the revolving decisions and deadlines of the turning financial year: tax registration, paper returns, online filing and paying. Easily lost in the countdown to Christmas, our de-stress takeout is: piggyback on the convention of the “new school year” to pull together your 2024/5 accounts. Get them to us, and we will file them swiftly, allowing time for checks and queries, avoiding HMRC backlogs, the risk of late fees, and that horrible New Year rush, just when you want to be planning and projecting.
The View from ICS
Like everyone, summer brings change to the office; we’re all enjoying a bit of a reset and refresh. We’re lucky to work in a genuinely supportive environment, and from recent feedback and award nominations, our clients and umbrella employees feel the same support. While summer holidays are being taken, we all coordinate to provide a consistent level of service and speedy response.
So don’t forget, “you don’t have to do everything”: our accounting and umbrella employment solutions can take the stress out of tax, payroll, finances and more, freeing you up to “do anything!” For no-obligation advice, call one of our friendly team on 01524 580720, or email info@icsuk.com.
