6. Record keeping
You are required to keep an accurate and truthful record of all your business income and expenditure. How you record these transactions is entirely a matter for you. If you wish to record them on a roll of toilet paper using a crayon, then you may. Of course it makes sense to record them in a format where you as the business owner can readily see at any given time whether your business is making a profit or loss.
Regardless of the business identity you choose, you will have to some form of bookkeeping procedures in your business. I’d recommend everyone read Peter Marshall’s excellent book Mastering Book-keeping, A step by step guide to the Principles and Practice ofBusiness Accounting. published by How To Books ISBN 1857038975.
7. Comply with any other regulations that may be applicable
Depending on the type of business you’re going to start, you may have to register with other government agencies. For example if you’re going to be preparing or selling food then you’ll need to contact your local environmental health department and comply with any statutory regulations.
You’re now ready to trade as a sole trader!
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