Henrik

iTrader: (5)

Hi again guys, it's me waffling on about internet shops again

I've read and read and read about the regulations regarding forming a business, but being a systems administrator i can't quite get my head around it

Basically, this is the scenario:

* I want to be a 'sole trader' company doing drop shipping.
* I live in a flat where I am not allowed to conduct any business.
* I work full time (not really relevant).
* I can get a registered office address at a 'mail drop company' for about 50 quid a year.

Now, the question I have is:

Is it legal for me to conduct my business over the mobile phone (and the internet) for all the drop shipping from say the train on the way home (thanks to gprs), starbucks or similar or do I actually *need* a fixed place of business (starting at 250 a month for a desk I won't use, as i can't use my flat)

I mean, I can work from *anywhere*, it doesn't have to be my flat or my desk or whatever in the real world, but what about in legal terms?


Please help me, it's doing my head in!!

ProperCharlie

i can't see why it would become an issue. so long as you have a registered office (your mail drop place) and you are not obviously breaking the terms of your lease on the flat by setting up an office in there, i can't see who is gonna care where you actually conduct your business affairs from.

OllyK

If you are operating as a sole trader then the issues are somewhat less complex than if you operate as a limited company. It also means that you are personally liable for any and all debts that your business may incur.

I suspect that you need a registered address, but that can be the address of your lawyer or accountant and does not have to be the same as your business address. You also need somewhere for your busines mail to go so that the VAT man etc can get in touch, a PO Box should suffice for this. Other than that I don't see any issues about where you do your business. It is not unusual for Sales people to work from home, work on the road etc and very rarely be in an office.

Jer

Drop shipping won't make you any money though.

Henrik

iTrader: (5)

ProperCharlie + OllyK: That is excellent news Now I just have to sort out the public liability insurance *sigh* Any ideas on who does this?

Jer: True, but it's mostly because I want it on my CV, you see The thing is I've developed this web shop thing from scratch in my spare time, and I just want to be able to put on my CV "Developed fully functional web shop software, go to http://henriksjunkshop.com to view source of shop" (but maybe not in those exact words)

Jer

Hi Henrik, it's comming up with bad gateway

Scooby96

Why the heck do you need public liability insurance????

Henrik

iTrader: (5)

Jer: Oh no, I didn't mean it was online, I just want to be able to put that on the CV

Scooby96: Sorry, I meant product liability in case some kiddie chokes on something bought from the site etc... I'm assuming I need this?

OllyK

Try any of the big insurance comapnies for a start. Think Zurich do it. Also look where you work at the moment, they have to display their insurance by law, see who they are using.

Scooby96

Henrik - would product liability be the responsibility of the manufacturer?

OllyK

I suspect that this is true, but you could still get clobbered as the re-seller for selling something that was not fit for purpouse or that was potentially dangerous. Depends as well on the wording on the web site itself.

If you sell a bengal tiger as "nice cuddly kitten, greate with the kids", I suspect you would get sued rather than the tiger owner, mind you the animal squad make take a dim view of you trading in endagered animals over the net

Henrik

iTrader: (5)

Scooby96: Actually, I don't know, but seeing as i'm gonna be a sole trader, I'd rather not risk anyone sueing me for all I got just cause their kid couldn't keep something out of their mouth