Pay The Company First

Always pay the company for the goods first, DO NOT BUT THE HAND THAT FEEDS YOU

  • yes you get a period of time before the payment is due, but you never want to be in debt to the company, as this will stop you being able to order more goods to fulfil future customer orders.
  • as soon as the goods have been delivered and you have the money, pay the company their share of the money as that money is not yours to keep.
    – your order paperwork will show the amount due to the company and the date by which the payment has to be made.

Now Pay Yourself

Your confirmed order paperwork will detail:

  • the retail price – which is the amount of money you collect from the customer
  • the cost price – which is the share of the retail price due to the company
  • the difference between the two prices, less any sales aids (brochures, bags, order forms etc.) you ordered and any delivery charges, is your share to pocket.

Keep Goods Records

Print ALL invoices, credit invoices, statements, certificates of income etc. – as self-employed you need to keep paper records for the past 7 years.

You need to register as Self-Employed with the HMRC within 3 months of starting.

Get and keep receipts for all costs/expenses from now on for anything to do with your business.  This will enable you to offset your expenses against your taxable earnings.