BUSINESS WIPEOUT? Late VAT REGISTRATION - HOW MUCH It COST ME.

Taking your eye off your finances could cost you your business. This is my story of missing the Vat registration threshold and how much it cost me.

Thanks for watching.

[dizzyspliff]

I’m pleased you put your seatbelt on to talk about VAT, I always feel the same when it is mentioned 😂

[betterlawnsu]

Open, up front, honest. Just three reasons I like your channel buddy. 👍

[bchgardenservices]

Hands down one of the most sensible video I have seen on spewtube. This is what I like about your channel, there is no bullshit.

[steeshyboy]

I don’t have a business, I pay normal workers tax and have no knowledge or interest in vat and yet I just sat and watch you speak eloquently about vat and thoroughly enjoyed it!! Great job!

[mcpheesgardeningservices]

What a great story especially for new comers . In Australia we have a good and service Tax of 10. % turn over 75k when it kicks in .
You are spot on
Being registered you are professional in the eyes of commercial customers
gets rid of tight arse customer
you make a bit extra when deducting purchases especially if you buy a van
disadvantage of course the companies that are not registered are cheaper for residential clients, but then again they are the tight ones!

[gunton]

Wise words, we've just bought a one year old pick up, that's £6, 600 back in vat, yes when we started charging vat, out of 70 regular customers not one refused to pay it. Even though we've really become a money collector for the government.

[tommathias-hjdu]

Cheers Nathan, really interesting video. Only been in the game a few years but loads of work on so often think about growing things. Thanks bud.

[Bacrenfencing]

I registered a few years ago, it was more stressful trying to stay under the threshold all the time then just actually just biting the bullet and registering. I buy a lot of materials for fencing, so very easy to go over the threshold. It can be a pain, but there are benefits, and yes, people will take your business more serious if you are VAT registered. Glad it all worked out for you, it's funny how we humans worry about things (20k) when in reality if you just sort things out it is never as bad as you think.

[slowmarchingband]

I can confidently state, that at 64, I am in no danger whatsoever of breaking the VAT threshold.. Very interesting vid though Nathan 👍

[brickrightbuildinglandscaping]

Everyone should be vat registered from the start up of business in my opinion it just makes it all fair .
If a garden costs 10k for us now it's 12k so for us it's a lot of money Nathan. It's a very continuous subject it can catch you out I was lucky I kept an eye on earnings so I caught it in time.if your commercial great private not good mate .It makes things on private work an unfair playing field. I just did it as I had to spent years and years worried about it.Some pay vat some don't in my mind every one should pay from day 1 be so much easier and more fair .
Great video business isn't easy is it mate good video 👍

[Roots_to_Revenue]

Super video, I'm just below the vat, have been for a couple of years and its getting harder and harder to stay under it. Though I have the videos under a separate business so that makes it easier. The last 2 years I have increased prices 10%, so really didn't want to go over it. Maybe next year

[dagtailgroundmaintenance]

I've been VAT registered for many years. It wasn't compulsory and I wanted to move in a commercial trajectory.
Im on a scheme where I keep 2/5 of the VAT I charge. Good if you don't buy many materials and don't use a lot of fuel. I only claim back on purchases 2k or above, including VAT.
It works out well for me. We do the sums each year. Just had 7k back for the Isuzu.

[MrDOB]

In Ireland, depending on accountants, you would definitely get away with not paying it in and around the threshold. But it is a lot of cash instead of bank transfers etc. I guess businesses really prefer transfer payments, but i do a lot of private households personally. Cheers & good informative video. Happy gardening 👍

[jameswyeth]

What a great informative video mate, glad it's working for you, have a spend up at grounds fest ! Just hope Mrs Jones is still happy with the vat 😂

[stuartpalmer]

Great video, many companies dont understand the vat threshold is a rolling 12 months period not your tax year turnover. Normally if you go over the threshold temporarily and dont expect to go over again you can apply for an exemption from registration.

[acolourfullife]

I haven't got enough fingers to work that out😂 Glad it worked out in the end.

[lifeoftreedom]

I registered voluntarily because when I started up I spent a load on gear and I got it back. Which I then used to buy more gear.

My idea is that I’d rather start off 20% more expensive as I started off with no customers. Now the business is growing and I’m now over the hump. I’m pretty savvy with digital accounts in and it is basically zero effort being vat registered.

I get to state I’m a vat registered limited company and fully insured. Of course, It doesn’t mean anything about my quality but that perception is invaluable and did I say everything is 20% less expensive? That's a biggy.

Solid video. (edited because my original comment was done on a phone and full of autotroll typos>

[scottgiam]

just make sure you keep your VAT payments as a separate entity and don't be tempted to dip into VAT cash and think i will just pay it back in later . has caught many a business out in the past when using it as ready cash up front and not having enough when Quarterly VAT payment reminder lands in the post.

[nathanmiller]

great expalnation nathan, keep it up mate. Are you taking on domestic work such as big conifer hedge trims at all ?

[AbbasReef]

Everyone or know one should have to pay VAT imo. Makes being competitive with people 20% more difficult.