[CharlieJones]

I want to start three businesses until one really takes over. One has potential to start making money right away whilst the others might take weeks to get going. Neither require any start-up capital since I will be making use of equipment I own and using my skills and know-how.

I'm unemployed now so need to get started.

Is it best to create a name for each business or have them all under one name as not to complicate the paper work?

[boxby]

It depends on how different they are, and how probable it is that you'll discontinue one or other. For example if it's building, plumbing and electricians, they i'd say yes, one name would be good for all three.

However if it's computer maintenance, a dress shop, and a courier business then three names would be best.

From a tax point of view it's irrelevant as HMCR don't allow you to offset losses from one trade against profits from another, regardless of the name on the business.

And VAT - will be the combined turnover services from all three businesses (assuming all are standard rated).

Good luck
Sandra

[James Smith]

If you are unemployed then chances are you don't want to spend out on this too much in terms of set up costs. Probably best to stick as a sole trader for now until you start making ££££ (although it depends what you are doing).

You can have as many TRADING names as you like - and it may well be you have 3, one for each business. Really its down to what works for your commercially. (NB don't confuse having a trading name with forming a limited company with companies house - quite another thing)

In general it makes sense to concentrate on one thing at a time - starting 3 businesses all at once can often mean all 3 fail. Its often best to do one, get that going so it runs along in the background and then work on the next. Obviously it depends on your circumstances why you think 3 is a good idea. It might be very sensible for your circumstances.

Just to pick up on one thing, in terms of tax you can actually offset losses/profits between them if they are all sole trades. You cant however offset trading losses in one trade held within a limited company against another trade held in the same company which is probably where Sandra's comment comes from. Quite what is one 'trade' isn't always obvious. Anyhow this is a bit complex for now, not much point worrying about tax when you have some profits on which to be taxed!

[ekmgroup]

Just curious...

What are the 3 businesses, some of us may have experience in those areas and can advise.

[CharlieJones]

thanks.

1. an errand and courier service

2. video production business - weddings to promotional

3. luxury travel packages and group tours

[Lasting Designs]

You could develop a brand ie Virgin, who have fingers in many pies.

CJ Couriers
CJ Media
CJ Travel

[ekmgroup]

Originally Posted by Lasting Designs

You could develop a brand ie Virgin, who have fingers in many pies.

CJ Couriers
CJ Media
CJ Travel

Perfect!

And then if things really succed you can have CJ Group!

[msmith]

Depending if they are all linked together it might not be a bad idea. You could have the main one registered (like here in the states as an LLC) and then let that be the parent company, branch off into other areas for the rest of your interests.

[sysfix]

be careful operating 3 businesses under one name - if one business obtains a bad reputation etc, it can adversly affect the others!

[Indizine]

well I wouldnt have thought that the potential to get a bad reputation should put you off running 3 businesses under one name! Whether its 1 or 3 that should always be avoided at any cost!