How to Register a Business with HM Revenue & Customs
Registering your business with HM Revenue & Customs is one of the most important steps when starting a business in the UK. Whether you are a sole trader, starting a limited company, or launching a side hustle, registering correctly ensures you stay compliant and avoid penalties.
In this guide, we’ll walk you through how to register a business with HMRC step by step, and explain how Akount can support you throughout the process.
Why Do You Need to Register with HMRC?
When you start a business, you must inform HM Revenue & Customs so they can track your tax obligations.
Registering allows you to:
The type of registration depends on your business structure.
Choose Your Business Structure
Before registering, you need to decide how your business will operate.
The two most common options are:
Sole Trader
You run the business as an individual and keep all profits after tax.
Limited Company
Your business is a separate legal entity registered with Companies House.
💡 Your structure determines how you register with HMRC.
How to Register as a Sole Trader
If you are self-employed, you must register as a sole trader with HM Revenue & Customs.
Register for Self Assessment
To register as a sole trader, you need to sign up for Self Assessment.
You will need:
Receive Your UTR Number
After registering, HMRC will send you a Unique Taxpayer Reference (UTR).
This number is used to:
Submit Annual Tax Returns
As a sole trader, you must:
Register Your Company
First, you must register your company with Companies House.
Once your company is incorporated, HMRC is automatically notified.
Register for Corporation Tax
You must register your company for corporation tax with HM Revenue & Customs within 3 months of starting business activity.
Set Up PAYE (If Required)
If you plan to:
You must register for PAYE with HM Revenue & Customs.
Register for VAT (If Required)
You must register for VAT if your turnover exceeds the threshold set by HM Revenue & Customs.
Some businesses also choose to register voluntarily.
What Information Do You Need to Register?
Depending on your structure, you may need:
Deadlines You Need to Know
Missing deadlines can lead to penalties, so it’s important to stay on track.
Sole Traders
register by 5 October after the end of the tax year you started trading
Limited Companies
register for corporation tax within 3 months of trading
Common Mistakes to Avoid
Many new business owners make mistakes when registering with HMRC. Avoid the following:
Getting this right from the start can save you time, stress and money.
What Happens After You Register?
Once registered, you are responsible for:
Using accounting software such as Xero or QuickBooks can help you manage your finances effectively.
How Akount Can Help
Registering your business with HM Revenue & Customs is straightforward—but ensuring everything is set up correctly is essential.
Akount provides complete support for business registration and ongoing accounting.
Business Structure Advice
We help you decide whether to operate as a sole trader or limited company based on your goals.
HMRC Registration
We handle your registration with HM Revenue & Customs, ensuring everything is completed accurately and on time.
Company Formation
If you choose a limited company, we can register your business with Companies House.
Accounting Setup
We set up your accounting system using tools like Xero or QuickBooks.
Ongoing Compliance
We manage your:
Ensuring your business stays compliant year-round.
Why Getting It Right Matters
Registering your business correctly is not just a legal requirement—it sets the foundation for your business success.
Proper registration ensures:
Get Started with Akount
Starting a business is an exciting journey, but it comes with responsibilities. Registering with HM Revenue & Customs is one of the first and most important steps.
Akount makes the process simple.
From registration to ongoing accounting, we provide everything you need to run your business confidently and efficiently.
Contact Akount today to get started and ensure your business is set up correctly from day one.