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Tomorrow is a dark day for small businesses in the UK

422 replies

lostmybuttons · 12/12/2024 22:32

I run a small business, mostly selling on Etsy. But as of tomorrow, Friday 13th December the introduction of the new GPSR legislation is creating such a huge headache for businesses like mine.

We can no longer sell to the EU or Northern Ireland, without paying for an appointed representative to ensure our products are safe. The cost for this is completely unachievable for most businesses like mine. Obviously, we all want our products to be as safe as possible but is it right that it'll cost me at least £2,000 a year to tell me my paper stationery is safe!!

Our only choice is to stop selling to the EU and Northern Ireland, which is a huge loss in income for those already struggling.

We feel like we are shouting into the void and absolutely no one is listening.

This is compounded by the fact that Etsy refuse to separate Northern Ireland in our shipping settings, so by default we are all breaking the legislation and risking fine of up to £20,000.

All Etsy have advised is to cancel any NI orders, which frankly is terrible customer service.

If there was ever a time to shop independent, your small business friends need you now.

OP posts:
Thread gallery
9
Pollyanna87 · 13/12/2024 13:03

Mum2jenny · 12/12/2024 22:37

Just aim to sell in the UK then. 2k is a minimal cost if your business is any good

NI is the UK.

selffellatingouroborosofhate · 13/12/2024 13:04

2016MyLove · 13/12/2024 12:56

Wow this is incredulous! I sell PDF knitting patterns.

Is it 2k per annum or forever or per sale? So if my pattern went viral and to sell to all 27 EU countries and NI - I would need to shell out 56K!!!

If we had remained in the EU, we would still jump hoops but pay 2k only.

Sod that! So anyone selling to the EU from outside, all over the world, cannot get their goods in without paying these extortion amounts! I would need to sell a lot of patterns to get 2k back, let alone 56k back.

Bye bye EU customers, they have gone under an iron dome.

The point is to try to protect EU customers from dodgy electrical adaptors sold by Chinese Amazon sellers. A noble goal, I would say.

RadioBamboo · 13/12/2024 13:04

DelilahBucket · 13/12/2024 12:05

I have had a company recommended to me to help navigate this. I have requested a free 30 minute call with them. I will report back if it is any good. I sell a lot to the EU and NI so could be in my financial interests to get it sorted.

As an aside, this is nothing to do with Brexit. Even if we were still in the EU, we would have to be jumping through all these hoops. The only difference is we wouldn't need an authorised representative, but labelling and testing of products would be so expensive it would see thousands and thousands of small businesses fold immediately.

There are rumours the UK will adopt something similar so be prepared folks.

As an aside, this is nothing to do with Brexit. Even if we were still in the EU, we would have to be jumping through all these hoops. The only difference is we wouldn't need an authorised representative, but labelling and testing of products would be so expensive it would see thousands and thousands of small businesses fold immediately.

Brexit has made it worse, as it always does.

Whether we were in the EU or not the safety standards themselves would apply. They have a clear benefit for consumers. There is a cost for suppliers/manufacturers. But that in fact would be very small for small businesses selling greetings cards for example. Labeling is hardly expensive, and is already required by existing legislation. Testing by third parties is not mandatory - in-house testing is fine under the Regulation. It's a box-ticking operation for something like greeting cards.

The real costs are caused by brexit. There are the delays, frictions and red tape and the border, which are already well-known. And now the complication of the need for a representative within the EU/single market is absolutely not a trivial expense for small businesses.

More important strategically the UK has lost all say in the regulations that govern trade on its own continent and with which its businesses have to comply. No seat at the table, no say in the Council of Ministers, in the Parliament or in the nitty-gritty of detailed policy-making in Commission. Pre-brexit we were one of the most respected contributors to the dull-but-important process of producing these technical regulations and we could help shape them in ways that favoured us. We are now rule takers, and if regulations cause business to relocate to within the single market no one within the EU will complain about that added bonus.

RadioBamboo · 13/12/2024 13:08

2016MyLove · 13/12/2024 12:56

Wow this is incredulous! I sell PDF knitting patterns.

Is it 2k per annum or forever or per sale? So if my pattern went viral and to sell to all 27 EU countries and NI - I would need to shell out 56K!!!

If we had remained in the EU, we would still jump hoops but pay 2k only.

Sod that! So anyone selling to the EU from outside, all over the world, cannot get their goods in without paying these extortion amounts! I would need to sell a lot of patterns to get 2k back, let alone 56k back.

Bye bye EU customers, they have gone under an iron dome.

If we had remained in the EU, we would still jump hoops but pay 2k only.

If you had remained in the EU you would not need to pay the cost of a representative within the EU because you would be in the EU representing yourself!

Tdcp · 13/12/2024 13:22

lostmybuttons · 12/12/2024 22:54

Thanks for the mostly positive support.

@Mum2jenny It's not as easy as that. Etsy won't let me turn off sales to Northern Ireland. So the very fact my shop is open means I'm in breach of the rules. £2,000 is a minium, there is basically a cost per product. I have a very good business model but to lose such a large percentage on each product seems maddening.

@SereneCapybara has hit the nail on the head. That is exactly my situation.

So yes, we can put notices on our shop but 9 times out of 10 people don't read them.

I dont think we could club together as the authorised representative has to work on a product by product basis and we all source our supplies from different places. I like your thinking though!

This is correct about Northern Ireland. I work for a large company but all N.I goods have to carry the same sticker for the current GSPR regulations.

stanleypops66 · 13/12/2024 13:36

@justasking111

I flew out of Stansted for 15 years for holidays, and my holidays from Belfast are much much cheaper. My sil actually comes to us first sometimes then flies in to get holiday destination.

timenowplease · 13/12/2024 13:52

Grumpyoldpersonwithcats · 13/12/2024 10:25

Thank you.
This is exactly the problem I have with new old stock car spares.

The original manufacturers no longer exist.

No safety documentation (why would there be), no possibility of an EU rep,

no 'batch' information on production.

But this doesn't make sense. The regs don't apply to anything made before 13 Dec 2024.

MarkingBad · 13/12/2024 14:30

ThatRareUmberJoker · 13/12/2024 11:20

This is the attitude that is setting us back making us poorer. It costs more money to run a business now than what it did before we left Europe. More businesses will have to close. I would like someone to tell me how we have progressed and become better off since Brexit?

I'm supposed to do what? Force time back and shoot all leave voters? Hog tie the prime minister and force him to sign back up? Sit here and bemoan the problems Brexit wrought which will change nothing.

Even if I could change things trade agreements take years and in the meantime we're still stuck in this mess. At some point we have to be pragmatic.

I'm not a wallower nor a superhuman. You don't like me just trying to get on with my life and business that's up to you. You are welcome to your opinion as I am to try and get on with my life in the best way I can.

MarkingBad · 13/12/2024 14:38

crummygecko · 13/12/2024 11:41

I don't think you do get the point. OP does have to ensure her products are compliant. It seems clear that she is confident that they are compliant. The issue is she now has to pay a third party to formally take on an 'authorised representative' role to see in Northern Ireland, which is part of the UK, and that third party needs to be sure the products are compliant. So OP now has to pay to prove her products are compliant for a sale within her own country - this isn't international trade: it's a sale by a UK business to a UK customer. This is only considered a cross border sale because of Brexit.

This is requirement new and it's a significant burden on small businesses selling low risk products.

Edited

I'm fully aware of that, I've been doing this for 25 years as a manufacturer and now a distributor.

I have not said it is ideal or even easy but I've been fielding posts about subjects on on prior and existing retail laws.

ThatRareUmberJoker · 13/12/2024 14:38

MarkingBad · 13/12/2024 14:30

I'm supposed to do what? Force time back and shoot all leave voters? Hog tie the prime minister and force him to sign back up? Sit here and bemoan the problems Brexit wrought which will change nothing.

Even if I could change things trade agreements take years and in the meantime we're still stuck in this mess. At some point we have to be pragmatic.

I'm not a wallower nor a superhuman. You don't like me just trying to get on with my life and business that's up to you. You are welcome to your opinion as I am to try and get on with my life in the best way I can.

That's the problem no one says nothing they allow so called governments to get on with it. Rather than say you fed us a lie if you can't do it go back to Europe. Instead we plod along moaning about it. The biggest market is Europe and best of all they are our cousins and next door neighbours. We have gone back to the 70's being the sick man of Europe. It will never be better and it will take years before some bright spark in government puts us back in Europe and why will it take years because of pride.

MarkingBad · 13/12/2024 14:40

selffellatingouroborosofhate · 13/12/2024 12:37

And now the businesses have to pay £2k per EU country to have an "appointed person" verify that the goods are safe. They would not have to do this if they were in the EU.

Yes I know.

MarkingBad · 13/12/2024 14:45

ThatRareUmberJoker · 13/12/2024 14:38

That's the problem no one says nothing they allow so called governments to get on with it. Rather than say you fed us a lie if you can't do it go back to Europe. Instead we plod along moaning about it. The biggest market is Europe and best of all they are our cousins and next door neighbours. We have gone back to the 70's being the sick man of Europe. It will never be better and it will take years before some bright spark in government puts us back in Europe and why will it take years because of pride.

Plenty of people say lots of things about Brexit. As an individual small business I'm not empowered to do anything.

That there isn't a coherent collective voice in the UK for me proving our situation isn't my personal fault. It also suggests the big businesses who could do something are very aware of who their shareholders are.

Follow the money is a good watchword in all these matters

Marblesbackagain · 13/12/2024 14:48

2016MyLove · 13/12/2024 12:56

Wow this is incredulous! I sell PDF knitting patterns.

Is it 2k per annum or forever or per sale? So if my pattern went viral and to sell to all 27 EU countries and NI - I would need to shell out 56K!!!

If we had remained in the EU, we would still jump hoops but pay 2k only.

Sod that! So anyone selling to the EU from outside, all over the world, cannot get their goods in without paying these extortion amounts! I would need to sell a lot of patterns to get 2k back, let alone 56k back.

Bye bye EU customers, they have gone under an iron dome.

🤣🤣😂🤣 no iron dome just protection of our jurisdiction.

Plasmodesmata · 13/12/2024 14:59

timenowplease · 13/12/2024 13:52

But this doesn't make sense. The regs don't apply to anything made before 13 Dec 2024.

Yes, they do. They don't apply for anything offered for sale by you before 13th Dec, but secondhand / vintage items ARE included in the regs. Only antiques (over 100 years old) are exempt.
So - vintage dresses in my Etsy shop that I listed for sale there last week = OK. Vintage dresses in my Etsy shop that I list for sale there tomorrow = not OK.

Grumpyoldpersonwithcats · 13/12/2024 15:01

As usual the regs are contradictory. Apparently they don't apply to antiques that are over 100 years old...

timenowplease · 13/12/2024 15:02

Plasmodesmata · 13/12/2024 14:59

Yes, they do. They don't apply for anything offered for sale by you before 13th Dec, but secondhand / vintage items ARE included in the regs. Only antiques (over 100 years old) are exempt.
So - vintage dresses in my Etsy shop that I listed for sale there last week = OK. Vintage dresses in my Etsy shop that I list for sale there tomorrow = not OK.

Do you have a link for that please? It directly contradicts what I've been reading.

lemmein · 13/12/2024 15:41

Nothatgingerpirate · 13/12/2024 12:58

Small businesses?
Let me give you (probably a common) example.
Some time ago, I had a choice to purchase an item from either a small business or a big cooperation.
Not only the item was more expensive in the small company, they "no longer provide or initiate free returns".
I know my choice from now on, popular or not.
As my husband says, customers vote with their feet.

I mean, yeah, this is often true - however, I sell on Etsy and make baby clothes....I make them EXACTLY how my customers want them. They can choose the colour, the type of fabric, any personalisation - if your baby has chunky thighs I can add a little more material/elastic to accommodate it.

You don't get that buying from Next!

lemmein · 13/12/2024 15:48

I read last night that if your product is already listed online then it's not included - even if it's purchased after the 13th, which doesn't make much sense to me, how will they possibly know?

I'm still gonna send to NI and ignore this - if I get items returned as a result I'll re-look at it. I've stopped listing in the EU though, it's a PITA selling there anyway and I don't get that many orders, most of mine are the UK and US.

EasternStandard · 13/12/2024 15:49

DelilahBucket · 13/12/2024 12:05

I have had a company recommended to me to help navigate this. I have requested a free 30 minute call with them. I will report back if it is any good. I sell a lot to the EU and NI so could be in my financial interests to get it sorted.

As an aside, this is nothing to do with Brexit. Even if we were still in the EU, we would have to be jumping through all these hoops. The only difference is we wouldn't need an authorised representative, but labelling and testing of products would be so expensive it would see thousands and thousands of small businesses fold immediately.

There are rumours the UK will adopt something similar so be prepared folks.

I read this as the main difference being the representative?

But within the EU they have similar testing and labelling rules?

I can see people setting up a service and prices will drive down. Still annoying ik

crummygecko · 13/12/2024 15:51

MarkingBad · 13/12/2024 14:38

I'm fully aware of that, I've been doing this for 25 years as a manufacturer and now a distributor.

I have not said it is ideal or even easy but I've been fielding posts about subjects on on prior and existing retail laws.

I was replying to a post where you were saying (effectively and sorry if I've misunderstood because that would then explain why we're in disagreement!) small businesses never get to negotiate trade deals, and always have to comply with laws that come up from time to time when exporting, often that makes exporting not financially viable. I agree entirely with that

What is different about this is that what OP is doing isn't actually exporting. Global trade deals shouldn't have to come into play when you're not exporting! This isn't a 'normal' situation.

That said, I also agree we can't fix Brexit - the UK population voted twice and they wanted it. It's not like no one was explaining that this was the type of thing (including the issue Ireland /NI and not being able to have a hard border) that would happen if we left the EU. The population made their choice.

crummygecko · 13/12/2024 16:03

EasternStandard · 13/12/2024 15:49

I read this as the main difference being the representative?

But within the EU they have similar testing and labelling rules?

I can see people setting up a service and prices will drive down. Still annoying ik

The labelling requirements apply for sales within the EU but I don't know where the idea that the certifications are required comes from. The labelling requirements are things like batch numbers, warning labels, age requirements and manufacturers details. Within the EU, standards are voluntary guidelines. Unless the product is specifically regulated, no one has to comply with them - it's just if you don't and the product isn't safe you're likely liable, and also it's a selling point (customers tend to like to buy products that comply with standards). OP is selling greeting cards!

When you import a product into the EU, one of the requirements is it meets EU standards. It's all more complicated than that, but broadly that's the jist.

LondonPapa · 13/12/2024 16:04

crummygecko · 13/12/2024 15:51

I was replying to a post where you were saying (effectively and sorry if I've misunderstood because that would then explain why we're in disagreement!) small businesses never get to negotiate trade deals, and always have to comply with laws that come up from time to time when exporting, often that makes exporting not financially viable. I agree entirely with that

What is different about this is that what OP is doing isn't actually exporting. Global trade deals shouldn't have to come into play when you're not exporting! This isn't a 'normal' situation.

That said, I also agree we can't fix Brexit - the UK population voted twice and they wanted it. It's not like no one was explaining that this was the type of thing (including the issue Ireland /NI and not being able to have a hard border) that would happen if we left the EU. The population made their choice.

All businesses or people with a stake in future trade deals can feed into the process in what is called a ‘CFI’ or ‘Call for Input’. These are accessible via the gov.uk site for all trade deals prior to their commencement. Anyone, and I mean anyone, can have a say in any future trade deal.

So while small businesses cannot negotiate directly (only authorised Civil Servants can), small businesses can add their views for consideration at the very least. Some get responses and asked for further discussion as they often highlight what hasn’t been thought of / something which may be impacted and not the way others thought etc.

People cannot continue to complain about Brexit and the future trade deals this country negotiates when they’ve had every opportunity to feed into the process.

crummygecko · 13/12/2024 16:09

But again, this is within the UK. OP knows now but it's hardly the sort of thing you can expect your average small etsy seller to be aware of. Also no one is listening to small voices on this sort of thing - OP needs to join a lobby group. I agree that technically could make a difference, if the lobby group is strong enough. That costs money of course - and the money to lobby is with the big players.

Etsy will lobby on behalf of its small sellers (but likely it's focus was itself!)

crummygecko · 13/12/2024 16:10

I get your point, and I agree we can't keep blaming Brexit (or that blaming Brexit doesn't help - Brexit is a done deal) but OP is right to be frustrated. It's a law change that's screwing her business. It's life, but that doesn't make it easier.