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Jenny
Jenny, Solicitor
Category: Law
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Experience:  Qualified Solicitor specialising in Employment Law and general legal matters. Please start your question For Jenny Only
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I'm thinking of developing a website which will promote

Resolved Question:

Hi I'm thinking of developing a website which will promote limo or party bus hire service.
I don't own any of the vehicles however I intend to promote companies that offer the hire services onto my website.
Example: if I find a company that would charge £450 for a party bus from Brighton to london return , I would promote that offer on my website as £500. I would then Make the booking and make £50 profit.
I intend to have an online payment system that would process all payments made for similar deals.
Are their legal implications with this type of business idea?
Submitted: 1 year ago.
Category: Law
Expert:  Jenny replied 1 year ago.
Hello my name is***** am a solicitor and I am happy to help you today. Do you have any specific concerns?
Customer: replied 1 year ago.
Are there any legal implications I need to be aware of with this business idea?Considering it will be a new business, when would I need to VAT?Would I need a license?
Expert:  Jenny replied 1 year ago.
Hi you would not need a licence to do this as it is not an activity that requires a licence, effectively you are just facilitating a service and it is for those who provide the service to have the correct licences in place. You do not need to VAT register a business unless your turnover is more than £82,000 in a calendar year. Please let me know if there is anything else?
Expert:  Jenny replied 1 year ago.
Some further considerations: You should have good contracts in place with both the people who are paying you and the businesses who are providing the service. These should clarify the position with regards ***** ***** in the event the end user does not provide the service or is in any way negligent in doing so. As you have been paid you will be liable in the absence of any provisions to the contrary. You may want to take out liability insurance. You need to consider how to take payment and the cost implications of doing so, as taking payment by card over the internet can be costly. You need to be sure that you comply with Data Protection rules, it is likely that you will need to register with the information commissioner as you will be holding personal data. Details can be found at https://ico.org.uk/ the relevant part is 'register your organisation' on the right hand side. These are just initial legal considerations. If you need any specific further information please let me know. if I have answered your question I would be grateful if you would kindly take the time to rate my answer. Thank you and all the best.
Customer: replied 1 year ago.
Can I still register the business with company house?Can I use a bank which offers a merchant service to take payments online?Can I still register as a vat company just Incase some consumers ask for a vat receipt?Can I produce the receipt under my company name or it has to show the company that owns the vehicle?Should I register it as a limited company or sole trader?
Expert:  Jenny replied 1 year ago.
I have answered these in turn: 1. Yes, you can set up a limited company and register it at companies house. 2. Yes3. Yes, there is no lower limit, it's just that you MUST register over that amount. 4. Yes, as you are providing the service (albeit outsourced) This is why your contracts must be carefully drafted. 5. It is probably best to do it as a limited company as that way you limit personal liability. If there is anything further you would like to know please ask. I would be grateful if you would kindly rate my answer before leaving the website as I am not otherwise credited for my time. Thank you and all the best with this.
Customer: replied 1 year ago.
What about registering the company as a sole trader or limited company? As I'll be the only one running the business?Is the liability insurance optional? Or I'm I legally required to have one?
Expert:  Jenny replied 1 year ago.
I have answered that in point 5. You can do either but it is probably safer to go down the limited company route to avoid personal liability in event of something going wrong. Liability insurance is optional but advisable. It is not necessarily expensive either. You can look at this site and contact a broker to get an idea of cost. http://www.biba.org.uk/
Expert:  Jenny replied 1 year ago.
Hello Zayne is there anything further you would like to know?
Customer: replied 1 year ago.
Ok one more where is the best place to get the contracts drafted?Is there a website I can you use for this?zOne last questionWould I be legally required to have terms and conditions on my website
Expert:  Jenny replied 1 year ago.
I would suggest you invest in seeing a lawyer face to face rather than using a website. This is because the best you will achieve through a website is generic terms and conditions. If you are serious about starting a business of this nature and want to be successful you are far better off investing in good terms and conditions which are specific to your business needs. Most good high street solicitors firms would be able to assist with this or would point you in the right direction to a lawyer suited to your needs. Again this is not a legal requirement but it is recommended. As a lawyer I can see various risks to you and your business if you do not have terms and conditions displayed in the correct way. I know you are probably trying to avoid what you perceive to be unnecessary cost but I have very often seen people regret this when landed with a claim from a client or a supplier. Please do let me know if you require anything else. Otherwise please remember to rate my answer before leaving the site.
Expert:  Jenny replied 1 year ago.
Hi Zayne is there anything else you would like to know?
Expert:  Jenny replied 1 year ago.
If I have answered your question please remember to rate my answer before leaving the site as it is an important part of the process. I will be happy to answer your follow on questions and good luck with your new business venture!
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