Mic Mac has 'gone live'

[MicMac 0]

Hello all,

 

My name is Paul, and as the title of the thread suggests I am also Mic Mac Disco & Karaoke.

 

I bought a full 'kit' off ebay, and was ...waiting for an oppertunity to take time off work, so I could focus on legitimising the buisness. And this is the week, so I would appriciate some answers to many questions I have to ensure everything is pukka......

 

OK

 

1) Do I need to register an address, if so what are the advantages/liabilities if I register it at my home address, or should I hire a post office box as a buisness address, or what is the norm.

 

What will I require for a buisness account.

 

Would a buisness account allow a loan for equipment (I recon my lighting could do with a little upgrading, and other stuff)

 

 

What is the situation for using downloaded music?

 

I have breifly read something about requiring a licence. (I think this eluded to downloads), but do you need a licence / registration to DJ?

 

Where's a good place to get insurance / PAT testing

 

What is a good way to advertise.

 

I have done some business cards on PC and printed onto card, but they are on cheap thin card....Does this matter. should I invest in some proffesionally done cards.

 

Other advertising tips, and ways to get out there, would be appriciated

 

What is a reasonable rate to charge. was paid £120.00 for gig on Saturday for 4 hours

 

Thereis a load more I am sure, but the first few of these here are the important ones

 

[EdBray 0]

Hi Paul and http://www.dj-forum.co.uk/html//emoticons/Welcome.gif to DJs United.

 

There are many members on here with all levels of experience who should be able to help you with your questions.

 

Whereabouts are you based?

 

Eddie.

[Paul Smith 0]

1st of all http://www.dj-forum.co.uk/html//emoticons/Welcome.gif to DJU. Can I suggest that you have a look through the DJU Knowledge Base where many of your questions will be addressed. Others have been discussed on the forum so carry out a few searches and get ready for lots of reading! You can also add to those topics as well for further advice if required.

 

QUOTE

I have done some business cards on PC and printed onto card, but they are on cheap thin card....Does this matter. should I invest in some professionally done cards.

 

If you want to be seen as professional then every aspect of your business matters inc business cards. The good thing about these is that they are as cheap as chips to have professionally printed (try Vistaprint - although don't go for the 'free' cards as these will have 'supplied free by Vistaprint' on the back which isn't good for image). Once you register with them you'll be offered 'special deals' and can pick up a batch of cards for pennies.

[High Fidelity 0]

Welcome Paul.

 

As Paul (the other other one http://www.dj-forum.co.uk/html//emoticons/wacko.gif ) has said, get proper cards done. Many of us on here use Vista print.

 

Most of my work (note NOT enquiries) comes from the web site, so that's well worth looking into.

 

Most of my enquiries that I don't convert are from Yellow pages etc. I only have the standard unpaid listing, and you can always tell when someone is ringing after getting your phone number from there, as the first thing they say is (Altogether now) - How much is a disco. http://www.dj-forum.co.uk/html//emoticons/wallbash.gif

 

As for what rate: How long is a piece of string. http://www.dj-forum.co.uk/html//emoticons/rolleyes.gif This topic has been discussed loads of times on the forum. Everybody charges different depending on where you're based, and what you think you're worth.

[tonyj 0]

http://www.dj-forum.co.uk/html//emoticons/042.gif Hi and welcome onboard

[DJ Marky Marc 0]

Welcome to DJU

[andyw 0]

welcome to the forum,as eddie said use the search engine to look up subjects that your interested in,a good place to get pli is the music union.

andy

[ChrisPointon 0]

Welcome to the forum http://www.dj-forum.co.uk/html//emoticons/smile.gif

 

QUOTE

1) Do I need to register an address, if so what are the advantages/liabilities if I register it at my home address, or should I hire a post office box as a buisness address, or what is the norm

 

All companies are obliged to include their address on letterheads and business literature. It's not an obligation to register a small business at companies house unless you want to do so, but I see no reason / advantage for you to do this.

 

If you are uncomfortable about using an existing family BT Line to take calls, you may like to consider using a local rate 0845 number, which effectively masks your real landline number as it invisibly diverts to it via your 0845 number provider. 0845 numbers can be obtained for free by following This Link, there are no monthly charges and no call charges to you either, it really is 100% FREE http://www.dj-forum.co.uk/html//emoticons/smile.gif and it can be easily ported to an existing BT landline number.

 

QUOTE

What will I require for a buisness account

 

Most banks will offer you a trading account, although terms and costs for mundane items like cashing cheques can vary from bank to bank. Some banks offer a period of free business banking for a number of months / years to new accounts.

 

QUOTE

Would a buisness account allow a loan for equipment (I recon my lighting could do with a little upgrading, and other stuff)

 

This depends entirely on your credit rating / score, and many other factors such as your ability to pay off a loan, your income, existing debts. If its a new business then you'll probably be expected to produce a business plan for large loans, and probably security as well.

 

If you only need to borrow a small amount, say

 

QUOTE

What is the situation for using downloaded music?

 

If its free then its more than likely illegal!. You can however legally use downloads from recognised sources such as 7 Digital, Woolworths, Napster etc. Most of the pay-a-few-cents-for-each-download style sites (Usually hosted in Russia) such as allofmp3 have also been deemed by the press and the BPI has being illegal in the UK, too as they do not pay UK copyright royalties. Currently in the UK it is also illegal to convert legally owned CD's to MP3 format for use on a laptop or pc, even if you own the cd!.

 

QUOTE

I have breifly read something about requiring a licence. (I think this eluded to downloads), but do you need a licence / registration to DJ?

 

If you use CD's (or vinyl) and you do private functions, then you need no licence whatsoever. If you choose to use a laptop or pc to DJ from, then I advise you to hold fire for a while because the Digital Dj Licence is only half of the story and the whole licensing jigsaw is now back in pieces again http://www.dj-forum.co.uk/html//emoticons/wallbash.gif .

 

QUOTE

Where's a good place to get insurance / PAT testing

 

The Musicians Union offers membership to DJ's. The annual fee starts from £116 a year for Dj's earnng less than £15k per year from their professional activites. This annual subscription is reduced to only £50, for under 21's. As well as getting the usual union benefits, you'll also get £10 million PLI cover. Since the MU is probably actually cheaper than a dedicated PLI policy taken out with an insurer, its actually more cost effective to join them, and take advantage of the free PLI and the many other benefits!. Failing that, click the liability link in my signature below for an individual quote.

 

QUOTE

What is a good way to advertise

 

Have a read Here and Here also do a search for 'advertising' on the forum, as it has been covered in detail.

 

QUOTE

I have done some business cards on PC and printed onto card, but they are on cheap thin card....Does this matter. should I invest in some proffesionally done cards

 

Probably better to go with Vistaprint - they offer FREE Business cards for the cost of Postage only, and they are highly recommended. The free cards have a small descrete vistaprint logo on the rear of the card, but they still look very professional. However cards without the logo only cost a few pounds more, so if it bothers you, the full priced cards are still very cost effective.

 

QUOTE

What is a reasonable rate to charge. was paid £120.00 for gig on Saturday for 4 hours

 

Are you happy with £120.00?. If so, then as long as you are happy and your business model can be supported from that income whilst still making a profit, then that is all that is important. For more information on setting prices and taking an average fee for your area, then have a read of This Article

 

Many DJs will warn you about the risks of DJ'ing with illegal music, and probably warn you about undercharging, having the right paperwork etc etc. But its not fashionable it seems to inform of tax liabilites, and the penalties for tax evasion and not declaring your income are just as severe, if not more so, than the previous examples. Therefore, right from the start if you intend on being paid for your Djing activities then its wise to get off on the right foot and declare your business to the Inland Revenue and keeping basic accounts of profit and expenditure right from the start. Don't worry, if you don't make a profit, then you won't pay any tax. so you stand to lose nothing by staying on the right side of the law.

 

Tax and the Mobile DJ

 

 

(Disclaimer:- I'm not qualified to give financial advice, and non of the above should be considered or construed as a substitute for such. You should always consult somebody qualified in these matters before taking out any loan or credit card or managing a debt repayment. The advice here is given as a suggestion only)

[RezN8 0]

Hi Paul and http://www.dj-forum.co.uk/html//emoticons/Welcome.gif ... You've come to the right place!

[MicMac 0]

Thank you all...:)

 

I absolutly intend to register this, I think I am concerned with is is there any initial expenditure I will have to calculate, if I register my home as the 'buisness address'. will this put any extra liabilities on my home.

 

As I said before, until I start getting bookings I am having to work deconian hours thus have not and will not get oppertunity again for a while, so I need to do as much as humanly possible by this Friday really before I have to go back.

So I would appriciate the step by step processes that I will need to legitamise ie:

 

* Registering....Who, how, cost?

* Using home as business address...Liabilities?

* Bank account...What do I need to walk into my local bank and open a buisness account

(When I spoke to a bank about opening a buisness account a while ago (different buisness), I was told that I would need something from my accountant and two references?. Surley it can't be that complicated).

 

I will take up your advice on Joining MU, and look to Vista...( Can I as a sub-question...I have used a microphone from Microsoft clipart in my logo. Is this legal)

[ChrisPointon 0]

Hi.

 

Whether you register your home address or have a PO Box or different business premises, you are personally liable for debts accrued by your business. So in other words, if you went bankrupt or owed a lot of money you could lose your home whether or not it was registered as a business address or not.

 

The only real way of seperating your personal and business obligation liabilities is to create a Ltd (Limited) Company, but this is where it gets complicated and expensive. More information on this can be found Here

 

Running a Mobile Disco carefully does not have to incur a lot of debt http://www.dj-forum.co.uk/html//emoticons/smile.gif , yes you will have start up costs for buying the equipment from the outset, obtaining insurance and for advertising and obtaining promotional stationary etc but the costs of starting a disco are not perhaps comparable costs to investing in £10,000's worth of goods as if you were stocking a shop for example. So, provided you keep a close check on your outgoings, you shouldn't need to run up debts or put your home at risk in order to start out in this line of business.

 

Probably the best and cheapest way to get established is to buy any equipment second hand, and just add to it as time goes by. Hopefully you will be getting the work coming in, so you can plough back this income back into additional equipment and more importantly building up your music collection and advertising your business.

[Andy Westcott 0]

And remember that top quality gear doesn't make you a top quality DJ.

 

Upgrade when you can afford it.

Buy only the music you need, not every entry into the top 40.

 

There really is little need to run up a debt in this game - a handful of gigs will quite possibly cover most of your running costs for the year, excluding transport, which is another issue.

 

As for prices, I didn't see any suggestions although I did only skim quickly over the posts. I'd suggest somewhere between £100 and £150 for a 4 hour gig to start with until you decide if you are going upmarket or down (to the pubs!).

[otobot 0]

http://www.dj-forum.co.uk/html//emoticons/Welcome.gif

[RobbieD 0]

Welcome Mr Mac! http://www.dj-forum.co.uk/html//emoticons/042.gif

 

It looks like you're getting lots of great advice here already.

[MicMac 0]

Hello all again,

 

Still not too clear if I need anything to open bank account ? (Before I high tail it into the village only for bank to tell me to get certian peices of paper.

 

Do you need to put a landline on letterheads etc, or as a prerequirement to registering a buisness. (Not a problem, but would sooner just use a dedicated mobile for all Mic Mac calls

 

But should you calculate VAT into price.

 

I have my first real gig..... http://www.dj-forum.co.uk/html//emoticons/scared.gif on Saturday for a wedding.

I have quoted him £150 (the event starts at 5pm - midnight.), but figured it was a good idea to receipt for £127.66 + VAT = £150.00.

 

Please could someone help me with the bank issue

[Paul Smith 0]

QUOTE

idea to receipt for £127.66 + VAT = £150.00.

 

Gets in quick before you break the law - you can only issue a VAT receipt if you are VAT registered and you only need to be VR if your turnover is above a certain figure - not sure of the exact amount but it's over £50,000 so at the prices you are going to charge you would need to be out every night of every week plus a few afternoons to reach it. This is one thing you don't need to concern yourself with at present.

[TonyB 0]

QUOTE (MicMac @ Oct 4 2006, 10:48 AM)

Hello all again, Still not too clear if I need anything to open bank account ? (Before I high tail it into the village only for bank to tell me to get certian peices of paper. Please could someone help me with the bank issue

I opened a business account with the Alliance And Leicester and all they required was proof of ID i.e. passport and two utility bills.

 

Suggest you have a search around the internet to see who is giving the best deals. As long as I pay at least £1000 into the account a month then it is free (£1000 limit doesn't apply for the first 12 months i.e. totaly free irrespective of how much is paid in).

 

Not so sure about the VAT aspect apart from if you are not VAT registered then you don't add VAT.

 

You don't need to show a phone number at all but you must show an address where you can be reached as well as your own name as a sole trader e.g. a footer stating "Mic Mac Disco & Karaoke is the trading name of Paul xxxxx" or "Proprietor Paul xxxxx" or something similar

[ChrisPointon 0]

With regard to Business Banking, check out Abbey - they offer FREE Business banking, and you can apply online or by telephone.

 

The only paperwork that you need to open the above account, if you are a sole trader is a letterhead containing your business name, and address details. You can either create these yourself using a PC and a decent quality printer, or contact Vistaprint and obtain a quote for professionally printed material. Their business packages consiting of cards, and letterheads are very competitively priced.

 

Suggest you run your business as 'Your name' T/A 'Your Business Name' - this makes it easier to cash cheques which are made payable to either yourself or the company.

[YourBigEvent 0]

VAT threshold is £61k

[Guest EliteDJ]

It's worth pointing out that in many cities the Inland Revenue provide free workshops to new small businesses to help them with the ins and outs of how the tax side of the business works. Call your local inland revenue office and ask them whats available in your area.

Edited October 4, 2006 by EliteDJ

[DJmoonie 0]

As an accountant in a former life, I can add the following advice:-

 

 

Registering your business address as your home address has no relevance for tax or insurance/liability purposes unless you conduct your trade from the premises, which you aren't doing. (unless you're holding house parties in your own home!)

 

Other than that, I think the rest has been covered already.

 

btw, what 'package' did you go for in the end ?