You’re a health blogger and you absolutely love it.
Maybe your blog has been going a while and you want to start freelancing or maybe you’re a new blogger wanting to know how the money side works.
You want to turn your blog into a business and you need to know what to do, where to start, how to pay yourself and how to make the right decisions for you.
It can feel exciting, overwhelming, liberating, uncertain, confusing, happy and scary – all at once!
In this series of blog posts, I’ll start you off with the first steps:
- When is your blog a business
- Choosing between sole trader and a limited company
- How to set up as a business
- Paying yourself
When Is Your Blog A Business?
When is your blog a business?
Your blog can create money and it may not be a business – or your blog can lose money and it is a business.
Confused? It’s because of your intention for your blog.
Whether your blog is a business is to do with your intention to create a profit.
If you’re an emotional health blogger, you’ll know about the importance of intention.
Blogging only for the pleasure it gives you
If your health blog is for your personal pleasure and the money you create from it covers your costs with not much left over, then you have a personal blog.
Keep track of income and expenses and don’t offer any freelancing services from your blog.
Blogging to create money as well as the pleasure it gives you
If your health blog is intended to create money for you (profit) you have a business.
Even if your blog loses money, to begin with, it’s a business and you need to register as a sole trader or limited company and can claim expenses.
Choosing Between Sole Trader and A Limited Company
So you know you want to turn your blog into a business.
You want your blog to create money for you as well as be a joy in your life and change others lives for the better.
This is where adulting starts because your first decision is your legal structure. In the UK, you decide between a sole trader and a limited company (most countries have similar options).
A sole trader is easiest and has lower cost. You register with HMRC, you keep records of your income and expenses and you do a tax return every year (you can do all of this yourself).
A limited company gives you more protection but has more requirements and has a higher cost. You register your company with Companies House, you keep records of your income and expenses and your accountant does a tax return, 2 sets of accounts, an annual statement, possibly PAYE and a bunch of other compliance admin.
There are pro’s and con’s to both options and it’s important to choose the right one for you (most especially because it makes a big difference in cost and how you pay yourself).
If nothing else, this is a good time to get some support to talk through what you want to do with your blog and how you want to freelance so you can feel confident you understand what the best decision is for you right now and for the next few years.