Company Formation Services

Among the advancement of innovative technology for the consumer and the potential for increased business, "Big data" is a great opportunity that is already exploring markets in both consumer and corporate industries. While there is a wealth of data available to the public domain, most discussion focuses on its application to corporations with the financial power to capture and exploit them.What position does that leave small businesses that strive for success and growth in competitive markets? Although success certainly depends on the individual company and its ability to seize the opportunity, Big Data is not just for big companies. In fact, it is an area of modern technological development that can be used by any company regardless of its size, thanks to the various cloud hosting solutions that exist in the market.

The role of social networks

One of the biggest contributors to the growing volumes of data that companies are trying to understand is social media, according to a recent study by eMarketer. An important factor is that 7 out of 10 of European users participate in social networks, making this their primary online activity. The obstacle facing SMEs is how to harness this data and apply them in their business operations to expand their businesses.1.5 billion people worldwide use social media actively and so it is crucial that SMEs resort to the opinions that consumers can offer. Different businesses can benefit from the information circulating and being captured via social media, including retail. They can use aspects such as demographics, trends and by "listening" to what consumers are saying - to be at the forefront of a changing market and leading consumer preferences.

Find what's important to you

Managing data growth is just the beginning for SMEs. However, having never handled such volumes of data, SMEs need to be able to identify the most important and relevant information for business growth; effectively, to deepen it.Therefore, effective social platforms need online analysis, which examines trends, habits and discussions. This is crucial in SMEs to have the data they are collecting through social networks. To hear what is being said can identify the gaps and blanks in different markets, as well as areas that can be developed further. This means that companies can meet the demand of consumers. This information may also allow SMEs to build a brand with the right audience, market their services effectively and address the complaints and customer inquiries more quickly.To access data on the habits of consumers, to the discussions and demographics of a particular market, SMEs can shape their offerings to match market demand and to shape the future of their businesses to be more tailored, reacting and interacting with the right people.Big changes are being made to ensure that the benefits of Big data is more accessible to small businesses. With this wealth of information, the issue for SMEs should be not about the access to these, but to have opportunities, development and the appropriate requirements for the industry in which they are operating. Once this is established, the thing SMEs need is to address the business needs that have been targeted by consumers, who will then guide the company in the right direction. This essentially leads on to the growth of your business.The evolving nature of technology and communication, the constant changes in trends and huge potential therein, means that Big data is an opportunity not to be passed up on by SME`s. With such unlimited reach, everyone should be taking their first steps towards this huge prospect.Your Virtual Office London have helped many SME's and startups become more successful through our tailored services which include mail forwarding, call answering and full virtual office packages. If you enjoyed this blog you can read more on our business blog here.

Companies constantly launch new products or services after market research, because this kind of activity is a tactic to renew its validity in the market. However, before committing to this strategy, you should ensure that new items will be well accepted by customers.To understand their customers, companies often use market research, consisting of three elements: competition, consumer and strategy; which serve to determine the viability of a product before making them available to customers.Such studies provide insight into accurate data on numbers and percentages of sales between certain types of consumers or areas where data favours the process of planning a more accepted marketing strategy.Conducting personal interviews via online or phone calls will let you know the opinion of prospective consumers and who are the main source of feedback. This is because they express the acceptance or rejection of the product, and the places where you will have greater penetration.Market research also helps a company to learn about the areas of sales, production and distribution; in this way you will know what the most profitable markets are and which need further attention.Always remember to use your market research to complement your sales strategy that fits your needs in the market.The information obtained through scientific market research is usually reliable and should be used as a guide for developing business strategies.

Market research is a guide to communicating with customers and prospects

If you make good research, the results will help you design an effective marketing campaign, giving to potential consumers the information with which they are interested.

The research will help identify market opportunities

For example, if you plan to start a business in a certain geographic location and discover that there is little competition there, then you already identified an opportunity. Opportunities for success increase if the region in which you plan to do business is highly populated and residents have the characteristics of the selected group.

Market research minimizes risk

If instead of identifying market opportunities, the results of the investigation indicate that you should not continue with the plan of action, then it's time to make adjustments. For example, if the findings show that the market is saturated with the type of service or product you plan to offer, then you know that it might be better to move to another location.

Market research identifies future problems

Through research you may discover, for example, that in the place where you want to establish your business, the council plans to build an bypass or an alternate route in order to relieve traffic congestion. You have identified a possible problem!

Market research helps you evaluate the results of your efforts

With research you can determine whether you have achieved the goals and objectives you set out to start the business.Demographics: This is specific information about a population. It includes:

• age
• sex
• approximate income
• academic preparation
• marital status
• family composition
• nationality
• residential zone

Demographic data is based on findings from the national census, government agencies and private companies engaged in collecting such information.Psychological data: The data collected information is in the consumer's mind:

• attitudes
• lifestyles
• interests
• values
• culture

By obtaining this information, we will either determine what factors motivate the consumer to buy your product or service, identify any willingness by consumers for cultural or environmental reasons, and meet consumer preferences.Obtaining demographic and psychological data save time and money for the company. The information used will help to delineate the profile of our client.If you found this article interesting you can read more on our blog here.

Making decisions is an essential part of our lives. Our choices shape our lives, and of course, a business decision is what makes a company successful or not. But often it can be difficult deciding on either option, so here are a series of tips to help you.

Collect data, but not too much

We hate uncertainty, and by nature a decision is to opt for something without guarantee of what might happen. One way to reduce uncertainty is to gather data. If you are reporting about the pros and cons of each decision and their potential impacts, you can at least make an informed decision. But beware of the risk of spending too much time collecting and analysing. The danger of "analysis paralysis" is always present.

Looking outside for counsel

Sometimes two minds work better than one and three better than two. If you get stuck, you can seek advice from others. In the end the decision is yours anyway, but it can give you a different approach.

What advice would you give to someone in the same situation?

Sometimes what blocks us is the emotional part of the decision. Therefore, imagine that a friend has the same problem, and think about what you would recommend to them. It does not always work but it can be helpful if in doubt.

Be devil's advocate

Sometimes we have an immediate preference for any of the options, with no rational basis or data to support it more than others. This has its own danger, because we can let ourselves unconsciously be influenced by the facility, or other emotional factors. Taking the opposite party and acting as devil's advocate is an excellent exercise that allows you to better weigh the alternatives.

Confront the tough decisions

As a business, there are many decisions to make and it is quite common that our human nature drives us to neglect or postpone the most difficult dilemmas. This is very dangerous because opportunities are then lost and you can even jeopardise the future of the company. Therefore, be courageous and proceed to take action sooner.

Have a plan B

Deciding fast does not mean being reckless. Every major decision you make should have a plan B in case things do not work as expected in the beginning. This is so you can quickly adapt your strategy, should you meet an unforeseen obstacle, without going back to square one.

Having decided to be your own boss, you have to do away with the job search and all the stress that employees undergo. This kind of thought brings out the entrepreneurial spirit in you. However, the decision is yours when it comes to the kind of business you want to go into. You can choose to set up a limited company or to register as a self-employed sole trader. Here are some questions you need to answer to help you with the kind of business that is best for you.

What industry will you be working in?

The industry you get into plays an important role in how clients view your business. In some industries, it`s very common for freelancers to be sole traders. On this basis, clients are usually very happy to deal with them. For instance, writers or artists may decide to form limited liability companies. Clients prefer to deal with bigger organisations that are registered. The main reason for this is due to their transparency as the details of the company is displayed publicly in the company house.

How much paperwork do you want to do?

Whether you are a sole trader and the owner of a Limited Company, or you are a director of a Limited company, you`ll have to complete a self-assessment tax return with HMRC every year. The difference is that there will be extra paperwork for the director of a Limited company. The penalties for wrong filing of paper work are usually higher for the directors of a company than it is for sole traders. Limited companies must produce Year End Accounts (also called statutory or annual accounts) and also send HMRC a Company Tax Return and Companies House an annual return.Both limited companies and sole traders must register for VAT if their estimate for annual takings is estimated to be up to £81,000 at the year.

How much responsibility do you want?

As a sole trader, you are entitled to all the profits as long as you have paid tax and National Insurance contributions. However, you are responsible for the losses your business incurs. For this reason, you might lose all your assets if you eventually run into debt.If you form a limited company, you will be taxed for any money you withdraw from the business. More so, you have to record what you want to use the money for (e.g. salary or loan). As a director, tax and both employee and employer`s NI contributions will be deducted from your salary by PAYE. This means that you`ll pay more NI this way than you would as a sole trader. However, the benefit is that your personal assets are all protected against any debts your business may incur. Again, your legal liability is limited as well.

How much money do you need?

It is much easier for a freelancer to work for a big organisation or apply for business loans if he chooses the limited liability route. The Limited company gives you an edge due to its legal and financial protection.

Don`t forget you can change your mind.

If your decision is to form a limited company, we can help you with that. You will receive a certificate of incorporation indicating the registration date and the company number.However, if you choose to be a sole trader, you will need to register for self assessment with HMRC by 5th October following the end of the tax year. Contact us if you need more advice or information on registering as a sole trader.It is very possible to shift to the structure that suits you if the nature of your work or that of the clients you hope to attract, changes.For more information on this matter and lots more tax and financial news, see Your Virtual Office London blog today!

Forming a business is available to almost everyone today, as new technologies allow us to start at a fraction of the cost of traditional businesses. Of course, it all depends on the type of startup you are going to want to form, so here are summarised six basic tools for those thinking of beginning a journey into the business arena.

1. A Smartphone

Because the Internet is going to be one of your main tools, you'd better have a smartphone. No need to have the latest iPhone or Samsung, but choose a device that allows you to at least access basic services like Skype (to make free phone calls), Whatsapp and of course email.

2. A good internet connection

Obviously, you'll need to have an Internet connection. You could opt for a 4G solution, but many data plans are usually quite expensive, so you will an ADSL line (or cable).

3. A good laptop

It`s better to have a laptop than a desktop, mainly because you'll need to move from one side to the other, and if you want to limit investment, it is better to have only one device.

4. Business Cards

Some say they belong to the past, but they`re still very practical in many cases, especially in those moments when you meet many people in a short time, such as conferences, seminars, fairs and other events of this type. Also, if you always have a card available, you can communicate about your project even if you had not anticipated it, and always with a professional image.

5. A point to meet with customers or suppliers

Starting a business from home is certainly one of the easiest ways to start. However, sometimes you need another place to meet with clients. You can use various tricks, but it is important to have it clear before, because you never know when you'll have to. There are places that rent offices for days, or you can opt for a quiet coffee shop.

6. A web or blog

Having a website with your own domain will cost you very little. With the tools available, and without knowing anything about computers, you can make a rather professional page in a few minutes. Another option is to have your own blog, where you can demonstrate your expertise in the field you're trying.

Have you ever wondered what would happen if a natural disaster, epidemic or a widespread power failure affected the operation of your business? Do you think your company is ready to face this kind of adversity, without stopping its production processes?If the answer is no, it's time to think about implementing a business continuity plan. A BCP is a program of actions aimed at protecting the critical processes of the companies and of generating activities for risks and contingencies.The continuity plan, unlike what many people think, is not limited to creating mechanisms to react to the loss of sensitive information. It is also not exclusively a response to events that violate the technological infrastructure of business, or to create backups or backups of data - as envisaged by the disaster recovery plan – but to trace the guidelines for action if every segment of the business face risk.Experts note that the BCP is not only designed for corporations, but also for small and medium enterprises (SMEs), regardless of their order or their specific characteristics. The business continuity plan seeks to make events, such as those discussed earlier, have the least possible impact on the assets, human factor and finances of the company.Some of the risks covered or that should be covered by a business continuity plan are: infrastructural damage phenomena or natural disasters such as floods, high winds, explosions or fires, the loss of confidential information, computer breakdowns and diseases that threaten the health and productivity of workers.To develop this program, you must follow this process:1. Define processes and potential risks. The first step in creating a BCP is to analyse the operation of your business. Determine which are essential to generate profits and those you think are at most risk, so you can time the project activity after an unforeseen event. Identify weaknesses and work on them.2. Know your infrastructure. Check your facilities and equipment. Determine what its significance is for the purposes of your productivity and evaluate their strength.3. Fix critical needs. Imagine you experience any of the events described above and think about what you need for your business to remain active. Create multiple scenarios and define the activities that are most important for your business to remain standing.4. Solution Document. Create a document of possible solutions to the likely risk scenarios and include mechanisms you can use to implement them.5. Test the plan. You need to run simulations of dangerous events and define the roles of each area and make the necessary corrections. Remember that all staff must be capable of performing the practices mentioned in the plan.It should be added that while the development of this should be encouraged and promoted by the company management, the staff are key in detecting vulnerabilities and the subsequent execution of the program.

An essential concept in the financial management of business is cash flow. Financial analysts explain that cash flow refers to the resources generated by companies in a given period from its operating activities, investing and financing. The indicator is the result of the comparison of the financial inputs and outputs over a financial year.The measure of cash flow represents the ideal solution for companies to identify their value, assess their finances and make decisions for the future.Such measurement is the basic substance of cash flows. It portrays the sources and uses of money in circulation by companies, i.e. where it came from and what was used.The cash flow statement includes three types of activities:

1. Operating activities. This is the main source of cash for companies without considering those practices relating to investment or obtaining financing.

Within this category you have to consider:

• Collection of cash from the sale of goods and services
• Cash payments for the acquisition of goods and services
• Collections and payments made to ensure the operation of your business
• Lost income, be it interest or cash payments.

2. Investing activities. These are the activities that relate to the acquisition or sale of fixed assets.

In this category are:

• Payments and receipts inherent in the sale of machinery, buildings, equipment, and in general all those enduring intangible assets and fixed assets.
• Investments in debt management and loans made by your business.

3. Financing activities. These are the practices associated with the hiring of financial obligations.

In this section you should include:

• Obtaining external financing or any other source provided it is not operating an internal financing source.
• Cash payments for the obligations of your business.
• Disbursements, cash reimbursement or distribution partners of your company.

After analysing all these components, your company should know its liquidity. This means its ability to meet financial commitments and generate immediate cash.

Are you one of those who say`s "I`d like to create my business but ..."? If you really want it, it's likely that what is holding you back are not valid reasons, but excuses. And the excuses often disguise apparently very rational reasons. So here is a list of 10 tips to refute excuses and move on to success.

Are you afraid?

Normal. Doing something different always produces some fear. But do not confuse fear and real risk. Instead, streamline. Discuss what might happen and see how you find solutions to keep going even if things go wrong. If we let fear control our lives, we would not come out ono the street. And what about the feeling of overcoming your fears? It's called courage, and it is very rewarding.

Don`t have contacts?

Nobody has at the beginning. Unless you come from an entrepreneurial family, the contacts you build will come slowly. There is no magic formula, but it gets easier.

Do not have money?

This is even more common than having no contacts. It means that you`ll have to think of a more efficient system. Look for ways to start small, get your first customers, and see it grow. If you need a little more money, then work and save. You can also borrow money from family and friends. But again, there are ways to start a business without money, especially online.

Do not have time?

This excuse is also used by those who do not want to do sports or always postpone the day they will learn this or that. We all have some time spare. If you want something bad enough, you have to prioritise what you do.

Do not have the knowledge?

Before you learn something, usually no one knows. This is an easy solution and it`s called training. You can read information online as you are doing now or look for something more structured, online or offline, through public or private education. You have many options.

Do not have the required skills?

One of two things: either you have chosen a business that does not suit you, and then the solution is to perhaps look elsewhere. Or you only have some skills because no one can do everything, and in this case you need to surround yourself either with external advisors or professionals who can guide you.

Do not have a business idea?

Sure you have it. How many times have you seen the failures of other business and thought you'd do differently if you were the owner? Those are business ideas. What works best is to improve the existing ideas. Do the same as the other, only a little better.

Cannot afford the risk?

You may have the responsibility of a family, but this is again turning to the excuse of fear. To live is to risk. Starting a business is risk. The issue is you have to take calculated risks.

Are you still refining the concept?

There is no perfect product. When you put your product or service in the market, you might feel a little embarrassed because it will never be as you wished it to be. You have to then strive for a better version depending on what your customers want, not your personal concepts.

Are you too old, or young, or your health is not perfect?

There is no optimal age to undertake ventures. Young people are generally more enthusiastic and have greater energy, while the older enjoy a wealth of experience and more contacts. And health? Unless you have something very serious, it should not be a barrier. As mentioned earlier, when you undertake what you choose, you can usually find a way to overcome your problems.

When one of the partners of a limited liability company dies, the other fellow members may take any of the following acts:If otherwise not stated in the partnership agreement, they should continue with one or more heirs of the deceased.If a term is established in the bylaws for any of the partners who could obtain shares of the deceased partner within the term, then partners may acquire these.The shares of the deceased partner who wishes to acquire these can be purchased by the commercial value of these at death.The company will continue with one or more heirs of the deceased partner, unless otherwise specified. However, the bylaws may provide that within those mentioned, one or more of the surviving partners are entitled to acquire shares of the deceased, the market value at the date of their death. If there is not a reached agreement on the price and payment, terms will be determined by experts appointed by the parties.If there are several partners involved who will acquire the shares, they will be distributed among them in proportion to those held in society.Keep in mind that when acquiring shares of the deceased by the other partners, it is necessary under the necessary provisions that the period provided in the bylaws is met, so that other members can acquire the shares.Make preparations for these kinds of events. The resolution of shares within a private business if one of the shareholders dies is a crucial problem that company directors and owners need to discuss and have correctly recognised. It is not the kind of thing that anguished families and co-directors should need to deal with after a death. There are lots of different possible provisions, which include:

• A previous arrangement that the shares can pass to specific people, such as the shareholder's spouse or children and so on.
• Pre-emption rights in support of current shareholders (or some of them)
• Measures to buy the deceased shareholder's interest, to make estimates on the valuation and possibly time to pay
• A cross-option contract. This is made amongst the shareholders for the sale and acquisition of a late shareholder's shares and also occasionally those of the family members too. This in tandem with life insurance policies to deliver the money that pays for the shares, should the situation arise.

If you found this article helpful you can read more insightful blog posts in our company formation blog section.

Access to the media, having the support to win a place in the business world and get tools to facilitate contact with users are just some of the benefits that a PR agency can offer to businesses.Communication specialists explain that the greatest benefit accruing to companies hiring the services of a PR agency, is the provision of a great ally to solve crisis communications offline or online.The question is how to choose the appropriate PR agency? Experts agree that this decision must be the result of a thorough analysis, since the idea is to find a strategic partner, not an obstacle on the road to success.Specifically, you should consider the following:- Degree of specialisation. Before making contact with a PR agency, you have to define the objectives and implement it accordingly, determining how specialised it should be. There is, for example, a huge difference in the management of the communication of a convenience store to that of a technology company or large pharmaceutical business.- Performance and continuity. The agency must show you your work schedule and their way of offering metrics to analyse the development of their work, whist holding a relationship with your business.- Organisational Culture. Another key to choosing the best PR agency is to know its organisational culture. It is important that your values match the values of the agency, so creating lasting bonds are feasible.- Human Factor. It is essential that people know how to help make your image a hit in the media. Not only that, but you establish what the channels of communication and feedback between your company and the agency will be, to facilitate the resolution of crises and approach new positioning strategies.Your Virtual Office London has helped form many companies for start ups businesses throughout the world. If you would like to discuss your new business and how we can help please get in touch with us today.