Starting my own local ironing service.. What should I do? Please read

[mrszw1]

I'm employed part- time but it's not really enough to cover all my outgoings.

I love ironing (haha strange I know!) and thinking of starting a local ironing service where I collect ironing from local customers and deliver back to them once done. Maybe offer something like 20 items for £20 or similar.

Question is, what would I need to do from a tax/HMRC perspective to get this little venture off the ground? I imagine it would be quite small and very local to home, not anything on the scale where I'd need premises or to hire staff etc.

I just want to make sure everything is above board and that I don't land myself in hot water with the HMRC. Would I need to pay tax on my earnings?

I pay tax on my 'declared' and 'main' job.

Do I absolutely need to register this ironing business (once set up) with the HMRC?

If anyone can advise, thank you! Sammy x

My friend runs an ironing service and it's a great income booster for her with minimal outlay. She charges £1/item then separately for bedding and shirts (on hangers). She has a fixed day for collection & drop-off as she found she was spending too much time driving and on fuel otherwise. people can come to her but she's always busy and now just has a small number of local regulars that keeps her ticking over.

You'll need space, a large supply of wire hangers, some laundry bags (you can sell these to customers that need one) a decent rail, an amazing iron and a big sturdy ironing board.
Good luck

A fixed day for collection and drop offs is a good suggestion. I think the fuel costs of driving round to customer's houses will be the main cost eating into your profits. I'd advise offering services to only those in your local area and perhaps having a minimum charge, say 10 items or more?

Yes you need to register with HMRC. As you are already employed you need to bear in mind you’ll likely pay 20% tax plus National insurance on everything you earn.

you also need to get liability insurance imo. Just in case someone claims you’ve ruined £1000 worth of designer shirts or something daft. It won’t cost much, policybee are very good.

then work out how you’re going to advertise.

And have terms and conditions for clients to agree to.

The amount of everyday living costs such as those you mention, that could be legitimately offset against an ironing business is minimal.

This is terrible advice.

All income does not need to be declared, that is incorrect.

you can earn up to £1,000 without declaring it.

if you surpass that amount, you then need to deduct all expenses (your electricity, wear and tear of iron/board, your time) and get your profit figure which you’d pay tax on. You can either be a sole trader and do a self assessment tax form or a limited company.

I would also get insurance in case you damage any clothes (cost is deductible as an expense)

No, it really isn’t…

We used to pay by weight. This was YEARS ago and it was £1 for every 1 lb in weight of ironing.

I don't know what today's going rate would be!