h2g2 The Hitchhiker's Guide to the Galaxy: Earth Edition

Yes it's good to be in that position re turnover but they can do one!

I am dropping some services, not just for this reason, and creating others, as obviously I need to replace the income. But as the new services will be selling a 'product' to other small businesses (fingers crossed that carries on growing) instead of selling a service to customers I will be opening a second company (legitimately).

For those that don't know you can't split your company into two (which would usually only be for purposes of avoiding VAT) if it's still you working in both ie I can't split dog walking and dog boarding, or the pet care from the dog training because it's still me doing the work.

That the product I am selling is the same service I work in is not the point.

Oh VAT. Ghastly memories I've probably said this before, and more than once - my VAT number is indelibly etched on my brain, and will be until the day I die, the way my dad's army number was.

You have my sympathies

Thank you! They want all sorts of figures, and projections, which I hate. So I just sent them last years figures, minus the service I'm giving up which brings us back down below the threshold. Once that's sorted I'm starting up a new company which will be a ltd co, selling to other businesses and will be registered with VAT from the start. Ha.

Then I just have to work out how to split my expenses between the two companies...