Starting a ‘side business’ without employer finding out

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I think I already know the answer to this, but wondered if anyone was in a similar situation or had any advice.

I work in HR as an advisor and a lot of my knowledge could be offered through a self-employed basis (contract writing, advice, policies etc). However, I have a clause in my contract that states I cannot engage in similar work.

I am pregnant (very early) so feel this would be my chance to see if I can build a business. But how do I do it without my employer potentially finding out. If I register a business via companies house I will have my details on etc so they could find out.

any suggestions? Thanks

Following as I am also interested in this question. There's also the problem of how build a brand /market on LinkedIn when employer is clearly on there and would see it.

@Campestris exactly! I can’t quit my job in the hope it works, but equally can never start it if I can’t create the brand. I know I could do self-employed but not sure that’s going to be viable ?

@Campestris what area are you looking to start a business in?

You're in HR but you want to break your contract..... 🤔

@xyz111 no, I don’t WANT to breach my contract! But it’s like the chicken and egg situation, I know the area I work in is very in demand and I get paid a fraction of what a client is charged on an hourly rate basis. If I went self-employed I would want to build up a few clients and charge a reasonable hourly rate, but I can’t afford to quit my job until I’ve build the brand.

You can register as self-employed with HMRC and that won't show up at Companies House at all. If you start a Ltd Company with yourself as a director then it will.

Not sure you will take this advice, but if I were you, I would take the opportunity over the next few months (and while you are on maternity leave) to do some market research and draw up a business plan. You would be breaking the terms of your contract to start up a business whilst employed by them, so don't do it.

Thank you @incessantpunditry, I think self-employed is the only viable route to at least start it.

i have already done a great deal of research and started preparing my business plan, thank you for your advice 🙂 I know it will be in breach, I guess I will just have to choose to either take the leap or remain employed.

The risk to consider also is that if they find out eg when you're on mat leave, could that affect your payments? Once your name is out there, it could easily pop up for someone to find. LinkedIn works on algorithms so could easily suggest you to someone you know. If you decide to break contract, you need to be prepared for what comes with that just in case.

Perhaps also look into professional indemnity insurance etc.

Is it possible for you to consider working under a company as a fractional CHRO (if so would love to chat)? You wouldn’t have to update your CV and can do so in stealth to see if you can start making an income that way. If so, you know you can take the leap. Remember a salary is the price employers pay for you to give up your dreams…Best of luck with the pregnancy. You got this! 😘

Do you have a supportive partner? I set up as a limited company while still employed but this was after detailed discussion with my employer (as contractor stated no other work without their permission) the side gig was with a seperate company that my company knew already so there wasn't overlap in work, but in a similar field (landscaping) Once I had established a pipeline with the one company I was allowed to work for, it made it easier to get started with others once I had left that job and the non compete was no longer an issue. Don't know if there is a parallel with your work. Alternatively, could you sound out anyone you know to see if they would be interested to Sus out how hot the market would be? Do you have friends who could offer to employ you in the future so you can hit the ground running?

For me, It still meant being fully supported by oh for about 6 months so I could get a few new clients and send my first invoices, no regrets though.

You really can't take a chance, in HR of all professions. I know it's hugely frustrating but it would be unethical and even if your employer doesn't come after you if word got out on the grapevine it could be very damaging to your reputation.