Step #15 of my Top 20 Tips for Small Business Start Ups varies enormously by industry. A freelance copywriter for example might need almost nothing. A mobile caterer, a driving instructor or a financial adviser will need quite a bit. The aim of this blog is to help you work out where you fall, so you can be taken seriously in your field and stay on the right side of the law.
Most of it is a matter of knowing what to look for, rather than to scare you, and check that you are ticking the boxes early and keeping a record.
Understanding the different types of requirements
People mighy lump these together, but they're slightly different:
• Licences and permits. Official permission to carry out an activity, usually from a local council or a regulator.
• Registrations. Telling an authority that you exist and what you're doing (for example, registering with a regulator or professional body).
• Certifications and qualifications. Proof that you're trained or competent, sometimes legally required, sometimes simply what customers expect.
• Regulations and laws. Rules you must follow whatever your business, such as consumer law, health and safety, advertising rules and data protection.
1: Use the free GOV.UK licence finder
Start with GOV.UK's Find a licence tool. You can search by keyword (for example "sell alcohol"), then filter by your location (England, Wales, Scotland or Northern Ireland) and by business or activity type, which ranges from beauty and hairdressing to events, hospitality, street trading and markets, property, retail and more. At the time of writing it lists 451 licences, though GOV.UK warns that it may not include every licence you need and is regularly updated.
To give you a flavour of what's out there:
• You must be an approved driving instructor if you want to charge people for car driving lessons.
• To carry out regulated financial activities, you must be authorised by the Financial Conduct Authority.
• Art therapists must register with the Health and Care Professions Council to practise in the UK.
• Selling goods by auction in a stall or other premises might need registration with your local council.
• Adventure activities, such as caving, climbing, trekking and watersports, can need a specific licence.
If you're not sure what category you fall into, that's a sign to ask someone, and the next step is how.
2: Ask the right people
The licence finder is a great start, but it won't catch everything. Also try:
• Your local council. It handles many licences and registrations, such as street trading, premises-related permissions and food business registration.
• Your trade body or professional association. They'll know industry-specific requirements and often offer training and insurance.
• A business adviser. In England, the Business Support Service (0800 998 1098) and your local growth hub can point you in the right direction. GOV.UK lists services for all four nations.
• Competitors and peers. Ask people who do what you do what they had to sort out and how long it took.
For food businesses, the Food Standards Agency has guidance on registering a food business.
3: Check the rules that apply to everyone
Even without a licence, you'll have legal responsibilities as a business owner. The main ones to be aware of:
• Consumer law and trading standards. Rules about how you sell, describe and price things, and what customers can expect. Business Companion is a free, impartial guide to these laws, with guidance organised by sector and a section for start-ups.
• Selling online or at a distance. There are rules on the information you must provide and on customers' cancellation rights. See GOV.UK on online and distance selling.
• Advertising. All UK ads, including those on your website and social media, must follow the rules. I know there’s a lot that don’t and this the danger of everyone online being able to call themselves an expert digital marketer, when they’re really not! We'll cover this in Step #17.
• Data protection. If you hold customer details, you have responsibilities on how you hold that data. See Step #16.
• Health and safety. The Health and Safety Executive has simple health and safety guidance for small businesses, and GOV.UK covers workplace fire safety.
• Employing people. If you take on staff, there's a whole separate set of obligations. GOV.UK has a step-by-step guide to getting ready to employ someone.
4: Keep a Compliance checklist
Once you know what applies, put it all in one place. A simple checklist (I do love ‘em) works well:
· Requirement e.g. Food Business Registration
· Who’s it from: e.g Local Council
· Cost
· Deadline/Renewal requirement
Add renewal dates to your calendar as well, because many licences and registrations expire.
5: Build the time into your plan
Some licences need inspections, training or waiting periods. Check how long each takes, and make sure it's reflected in your launch timeline (Step #5). It's much better to discover a six-week wait before you've promised customers a launch date.
Why it's worth doing properly
Beyond staying legal, getting this right:
• Builds trust. Customers (and bigger clients) often ask for proof of qualifications, registration or insurance.
• Protects you. Insurers can refuse claims if you weren't properly licensed or registered.
• Avoids penalties. Operating without a required licence can bring fines or enforcement action.
• Helps you stand out. In some fields, being accredited or a member of a trade body is a real selling point.
Your homework on this.
Remember, you don't have to do everything today!
• ☐ Search GOV.UK's Find a licence for your type of business and location
• ☐ Contact your local council and ask what applies to you
• ☐ Look up the trade body for your industry
• ☐ Make your compliance checklist, with renewal dates
Not sure where to start?
Regulations aren't my specialism, so I'll always point you to the experts for the detail. If you'd like help planning your launch around the checklist, book a call with me.
Next up in the series: Step #16, Data Protection (Minefields). GDPR, in plain English.
