BUSINESS GURU Kieron Hill offers some timely expert help on how to grow business this year.
Maybe I’m a witless optimist (certainly my wife thinks am!) but at the start of the year I always look at how I’m going to grow my business.
If you are in the same position here are a few things to remember:
# Use Self-employed staff: You can outsource the work. This is generally more expensive per hour than employing people but you don’t have the administrative costs. However if the HMRC does an audit and decides these people are not actually employed you may end up having to pay all the back tax and face a fine.
# Use casual staff: A good way to cover irregular work and is generally less costly. However you need a pool of people for this kind of work because you can’t insist that they work for you when you want them to. Also casual staff some rights that self-employed people do not.
# Employees with fixed work: you can insist they work at particular times and work in particular ways.
However you will need payroll system in place and they will have employment rights. If you do decide to go down this route there are ways you can reduce your overheads.
# Only employ people part time so no one earns more than £107 per week therefore don’t become eligible for sick pay and you save 11per cent by not having to pay employers national insurance payments.
Employees with a variable work pattern (sometimes known as zero hours contracts). This falls somewhere between my earlier points but you don’t guarantee them work every week.
Remember if you do employ someone you have two years to decide if they fit in before they gain the right to claim unfair dismissal.
If you want to talk about how to get more people involved in your business give me a call on 0161 850 1122 for free advice.