keeping my club from turning into a business?
Discussion
This is a strange one.
A few years ago (about 1999) a few friends loaded a few cars onto a boat. That is nothing new, there are various companies offering tours and such. Its just that I have taken the site offline until I can decide what to do with it.
This is my problem.
Originally it was just a site to record antics photos and other bits, better than a photo album idea. The good thing was slowly more people started to come along, got to about 10 cars 20 people. Not to bad, but this is where my problem is.
In order to arrange and co-ordinate the trips they started paying me and then I would pay for them. This was good for close friends, but I had to stop when others started to come along, fearing being sued or something terrible I called a lawyer, they confirmed my fears and also went into the ins and out of this type of venture.
The problem is that, I want to create something for everyone to use, some free marketing space, a great venture once or twice a year, cars driving and fun. I work full time so the hours I need are taken up by that.
Any advice on getting something running that could not only serve as a public place for our gathering but could also act as a portal would be great..
As I said I am not a greedy person, just someone with a love of motoring. I want to create a usefull service for all no matter what budget, any ideas.
thank you jon.
A few years ago (about 1999) a few friends loaded a few cars onto a boat. That is nothing new, there are various companies offering tours and such. Its just that I have taken the site offline until I can decide what to do with it.
This is my problem.
Originally it was just a site to record antics photos and other bits, better than a photo album idea. The good thing was slowly more people started to come along, got to about 10 cars 20 people. Not to bad, but this is where my problem is.
In order to arrange and co-ordinate the trips they started paying me and then I would pay for them. This was good for close friends, but I had to stop when others started to come along, fearing being sued or something terrible I called a lawyer, they confirmed my fears and also went into the ins and out of this type of venture.
The problem is that, I want to create something for everyone to use, some free marketing space, a great venture once or twice a year, cars driving and fun. I work full time so the hours I need are taken up by that.
Any advice on getting something running that could not only serve as a public place for our gathering but could also act as a portal would be great..
As I said I am not a greedy person, just someone with a love of motoring. I want to create a usefull service for all no matter what budget, any ideas.
thank you jon.
You've done the right thing by treating this venture with caution..........
We run events, as you know, and looked at doing organised travel based stuff too- an absolute minefield as far as assurance, insurance, liability, bonding (financial securities) are concerned.....especially as you are already in full-time employment.
Can I suggest you talk to Nick @ Dettaglio, or contact his profile: v12v8, or click through the Eurohoon forum just to give you an idea of what is involved with this sort of thing.
Also, take a look through the Eurohoon site, and follow that into te Dettaglio site- you'll see what sort of legalities need covering completely, even before you consider putting some meat on the bones of any possible trip itself.
From reading that little lot, you'll then understand why we stick to events, product launches, exhibitions, and production only, and outsource all our travel-type activities.
But apart from that, good luck in your venture.
We run events, as you know, and looked at doing organised travel based stuff too- an absolute minefield as far as assurance, insurance, liability, bonding (financial securities) are concerned.....especially as you are already in full-time employment.
Can I suggest you talk to Nick @ Dettaglio, or contact his profile: v12v8, or click through the Eurohoon forum just to give you an idea of what is involved with this sort of thing.
Also, take a look through the Eurohoon site, and follow that into te Dettaglio site- you'll see what sort of legalities need covering completely, even before you consider putting some meat on the bones of any possible trip itself.
From reading that little lot, you'll then understand why we stick to events, product launches, exhibitions, and production only, and outsource all our travel-type activities.
But apart from that, good luck in your venture.
Thanks for the advice, I have always liked and enjoyed the road trip aspect, such as eurohoon! (looks good).
I dont mean to advertise my ideas or such. The fact is it is vary rare you find good advice online these days.
Thanks
We will see what the designers come up with for mays page!
(student labour dont you just love them!)
I dont mean to advertise my ideas or such. The fact is it is vary rare you find good advice online these days.
Thanks
We will see what the designers come up with for mays page!
(student labour dont you just love them!)
What's wrong with running it as a business?
For a start, if you are making any sort of surplus from this activity, you are probably of interest to the Inland Revenue.
Secondly, if you are making losses from the activity, as a business, you could utilise the losses to reclaim tax paid in other areas of your life, such as PAYE.
Alternatively, you could run the activity under the auspices of a formal limited company, which would, in theory, limit your personal exposure to financial risk. In addition, as long as you took no personal income from the company and the company's trading profits did not exceed £10,000 per annum, neither the company nor you would have to pay any Corporation or Income Tax.
The Inland Revenue treat clubs and societies for tax purposes just like limited companies. Therefore, clubs and societies may be liable to Corporation Tax on their profits.
Finally, depending on how much money is involved, you could find yourself having to register for VAT. Currently, if the gross takings of an organisation exceeds £58,000, you are obliged to register.
For a start, if you are making any sort of surplus from this activity, you are probably of interest to the Inland Revenue.
Secondly, if you are making losses from the activity, as a business, you could utilise the losses to reclaim tax paid in other areas of your life, such as PAYE.
Alternatively, you could run the activity under the auspices of a formal limited company, which would, in theory, limit your personal exposure to financial risk. In addition, as long as you took no personal income from the company and the company's trading profits did not exceed £10,000 per annum, neither the company nor you would have to pay any Corporation or Income Tax.
The Inland Revenue treat clubs and societies for tax purposes just like limited companies. Therefore, clubs and societies may be liable to Corporation Tax on their profits.
Finally, depending on how much money is involved, you could find yourself having to register for VAT. Currently, if the gross takings of an organisation exceeds £58,000, you are obliged to register.
As a slight aside, many trip organisers that I encouter seem to be unaware of their obligations under the package travel regulations.
www.dti.gov.uk/ccp/topics1/guide/packtravel.htm
www.dti.gov.uk/ccp/topics1/guide/packtravel.htm
Thanks for all the advice, and it is not that I dont want to run a business, as much as if I was to commit to this my other income would suffer.
I have looked at many options, and at this stage I feel unsure as to the level of commitment I could get from my target audience. The general plan from myself was to build a community for others such as myself and use this to test interest. Hopefully with time and effort I can organise the idea into a working practise, although at the moment I am unsure of the level of commitment I can give.
All advice is valid and again I thank you all for your advice.
thanks jon,
one last thing, what is the best way to approach companies for sponsorship, are there any rules of the market I must follow?
I have looked at many options, and at this stage I feel unsure as to the level of commitment I could get from my target audience. The general plan from myself was to build a community for others such as myself and use this to test interest. Hopefully with time and effort I can organise the idea into a working practise, although at the moment I am unsure of the level of commitment I can give.
All advice is valid and again I thank you all for your advice.
thanks jon,
one last thing, what is the best way to approach companies for sponsorship, are there any rules of the market I must follow?
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