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John Mart

Re: Commercial contracts and vat
« Reply #20 on: December 11, 2018, 09:20:02 am »
eight weeks work for free when you go from not being vated  at 20% think long and hard before you make that jump
take it you prefer to stay under the VAT threshold or keep the business at a particular level?

I understand that VAT is an issue but I think it's quite easily tackled. Basically a £10 job has to go up to £12 if you still want to make £10 before profit.

Literally this is what I would do when the time comes personally I would not just say I'm uping prices I would say thanks to your fantastic custom we are now VAT registered and I would literally just up the prices straight away from next clean
I would only do this on the houses which are Borderline priced any houses which were priced better I would just absorb the hit because the profit may already be reasonable if you get cancellations due to the price going up this may just keep you under the VAT threshold and then as new work comes in you make sure you price it appropriately so technically you're not losing a week's work whatsoever you're just charging more
One other thing if you're hitting those figures you are certainly employing which means you are no longer doing a lot of the work it's a bit different in other words you can still technically charged the same price your charging and make profit from an employee rather than doing it yourself which would be a bit of a Stinger because you were used to more money. That's the best way to think of it if you ask me

any new work we'll be priced plus VAT if I am to lose work because I'm charging that little bit more that's all part and parcel of being a bigger business.
I think it's silly to stay small grab the bull by the horns I hope most of you agree and make sense out of this
I'm sure Susan has 5 or more vans. No way will they be under the VAT threshold.

If you don't intend to employ, it's stupid to go over the VAT threshold.

Crystal-clear

  • Posts: 3029
Re: Commercial contracts and vat
« Reply #21 on: December 11, 2018, 02:43:25 pm »
Hi 8 weekly. Yes I was thinking the same just the way she said was kind of negative of vat so wasnt sure.

richard connett

  • Posts: 292
Re: Commercial contracts and vat
« Reply #22 on: December 11, 2018, 04:39:46 pm »
I thought everybody on here was vat registered !! Was a bit surprised 😁 I don’t see how you could employ and stay under the threshold .
I put a lot of customers up by a couple of quid today. Spoke to those that were in and all good so far. 
I’ll give an update when it’s all done and for anybody that’s interested or getting near making the leap ..?