As Your Business Grows, Payroll Can Become A Millstone Around Your Neck
When you start a new business, it is the beginning of what should be an exciting journey that should also be very profitable. After all, if you have spent time working for somebody else as an employee, and learned your trade, you have concluded that you could do whatever it is that you do better and make more money by having your own business. Instead of being limited to whatever your employer decides you are worth to them, the world is now your oyster and you can call your own shots.
Those first days can be heady too, as you gain your first customers or clients and realise that you can be a success.
However, along with all the excitement comes responsibility too. Not only do you have to gain those first customers, but you have to provide the goods or services or whatever it is that you offer. As the weeks go by and you get more customers you realise that you simply cannot handle everything on your own and that you need some help.
In the world of work, that is called an employee. Yes, you have to take on somebody and pay them a salary. However, the minute you do that and we do mean the minute, you are faced with certain legal obligations. This may very well include starting up a pension scheme for them. You also have to comply with all the legal requirements surrounding their pay, deducting tax, reporting to HMRC and paying the tax of course. That is what is known as payroll.
Now when you only have one employee, you can probably just about manage that on your own, even if it does mean learning the ropes and making sure that you are compliant with the law. However, as your business expands, you’ll need to take on more employees and you may pay them at different rates depending upon what their job roles are. You may also employ salesmen on commission, so their pay packet will vary from one month to the next depending upon the sales they have made.
You may have two employees doing the exact same job yet being paid at different rates because one gets government benefits and the other does not. When you run a business that is successful, you can suddenly find yourself spending a lot of time on payroll, which is simply an overhead. At the same time, it means that while you are doing that you cannot be doing other productive things such as expanding your business. It’s either that, or you end up doing payroll in the evening or at weekends, so you are actually working even longer hours.
The bigger your business grows, the more employees you have and the more employees you have the bigger and more complex your payroll becomes.
This is why so many businesses today utilise the payroll processing services in the UK that we provide at Pay Check. Yes, we can take over all of your payroll, lock, stock, and barrel and you can let us handle all that while you're focusing on expanding your business.
Our payroll processing services in the UK will ensure that your employees get paid on time, every time and that you are compliant with the law. There is no reason why you should stay bogged down with all of that admin when there is no need to. We can also handle all your pension scheme requirements for you as well. Not only that, but surprisingly, our services will also save you money on your payroll. What’s not to like?