This isn't the be all and end all of how to start, it is just that when I wanted to start I couldn't find any where or anyone who would give me a clear and easy method to do this correctly. It would probably be better titled How I Started My Own Gardening Business Which You Can Easily Copy Or Do Your Own Way Instead - but that's too long
Different people would talk about bank loans and finance, methods of book keeping, meeting clients, buying expensive equipment, working out your unknown costs.
Until eventually someone said this one simple thing:
The first step is to speak to an accountant! - Eureeka!
My accountant then made the appropriate arrangements with the Inland Revenue, officially registering the business and changing my status to self employed.
Accountants, just like any profession, trade or service, (landscape gardening included) are tarnished by the odd rogues, sharks and pirates. So the basic advice applies just the same, try and find one who is recommended by several people you know, as good and reliable, and who is able to give you a quote and stick to it.
Tax issues can be a minefield and a good accountant understands these and knows the correct way for you to deal with them. A good accountant is always on the end of a phone line should you have any queeries.
The next important step is to make sure you have good public liability insurance.
Not only is this a legal requirement, but if anything goes wrong, as things tend to do in life from time to time, you need to make sure you have the right insurance to cover you. Depending on what you do and how qualified you are public liability can be much cheaper than most people think. I thought I would end up paying a fortune but I'm covered for up to £5,000,000.00 with quite a few extra's including machinery and tools. I think my public liability is cheap but I've heard some people complain about how much they pay. Personally I spend more money on my lunch than I do on public liability insurance, which averages out through the year at just a few pence per day.
Get A Separate Business Bank Account.
This was something a few people told me I should do, but when I found out it wasn't absolutely necessary I never bothered, until it came to looking through my book keeping then I regretted it.
The main reason behind getting a business bank account is that it makes life easier for your book keeper and accountant and therefore much cheaper for you.
If you keep your business accounts separate from your personal accounts it will save you a LOT of time and bother, trust me. It's one of them things I had to learn the hard way because I couldn't see the benefit of having an account that would cost me a little bit of money.
Bank charges can mount up, but if you make fewer payments (I pay checks and cash in twice a month) you can keep these costs to a minimum.
There's also other fringe benefits like getting a business credit card to avoid debit card transaction costs. If you use this regularly and diligently pay your credit off every month you will actually save a little on banking charges and improve your credit rating.
There's quite a few banks offering free business banking, some for a limited period. It's worth making use of these while they last. A few of these are:
- Alliance and Leicester - free
- Abbey National - free
- HSBC - 18 months
- Barclays - 12 months
- Natwest - 24 months
- Lloyds TSB - 18 months
- Co-operative Bank - 18 months
- RBS - free if you don't need to use a branch (ie: operate your account via telephone or the internet)
- Be a member of the FSB - Federation of Small Businesses - get free business banking for life via the Cooperative bank, as long as you are a FSB member and apply via their site. FSB membership costs from £170 per year for 1-4 employees. There are more benefits as well so take a look.
- Operate online and via the telephone - if you never need to use the facilities of a branch network then HSBC and RBS offers free business banking if you interact with them via the phone or internet. There are no monthly charges either.
These basic steps will give you the right start and save you time and money.
I have missed out the most important and most basic step though...
Decide what you are going to do - but stay flexible.
Although it sounds simple, this needs some consideration and is often a question that is difficult to know the answer to. I advertised myself as a landscape gardener and wanted to do lots of big garden creations. I didn't expect the sheer number of enquirys I received for simple grass cutting. Although at the time I begrudged taking some of these on I've now turned this into the main part of my business. There's a big hole in the market where I live for reliable people willing to cut domestic lawns. Whereas landscaping jobs are generally more costly than most people realize. The serious customers normally obtain several very competitive quotes making the market difficult and obviously saturated.
When the credit crunch started lots of landscape construction businesses found they were short of work whereas many garden maintenance firms were still very busy.
I'm not saying you should cut grass, but it helps to be flexible so that if you do start off with grass cutting then find there is more money for you in selling hanging baskets or setting up water features or whatever, then you can quickly switch your talents to something more lucrative.
Make money!
This is the most important step apart from all the rest!!!!!!
This is why you want to go into business for! Isn't it?
Even if you've gone into business to do something you love, you won't be doing it long if you don't make money.
So don't feel bad about making a profit, on the other hand if people feel that you are ripping them off then word will spread and you will make less money.
Providing a good service or product that people are happy, with will enable you to charge enough to make money.
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