When starting a small business, it's essential for you to make a decision on the structure that suits your operation. It can either be a self-employed (sole trader), a limited company or a partnership. Setting a business up as a sole trader has become the foremost popular legal structure within the UK. There were approximately 3.5 million sole proprietorships registered in 2019. Sole traders accounted for 60% of small businesses within the UK. Also in the UK, there are over 1.9 million limited companies, making it the second biggest legal structure. It is very important to consider the pros and cons of the different legal structures before deciding your business structure.
Bookkeeping uses many of the same financial recording methods. These include collecting, organizing, and tracking receipts, invoices, and other transaction details. If you’re a small business owner, you might be wondering if you need a bookkeeper. We have put together some basic guidelines to help you.