Havering has always been a borough of grafters: market traders, tradespeople, salon owners, caterers, consultants working from the spare room. This year’s Small Business Award winners, from Paul Perfect Heating, the overall Small Business of the Year, to Varleys in Upminster, Best Newcomer, show what local founders can build. If you’re thinking about taking the plunge in 2027, the timing has rarely been better.

Step 1: Test it as a side hustle

From 6 April 2027 the trading allowance triples from £1,000 to £3,000. If your side income stays under £3,000 a year, you won’t need to register for Self Assessment or pay tax on it. Above that, you can deduct either the £3,000 allowance or your actual costs, whichever is better.

That makes it cheaper to test an idea at evening markets, online or through friends before you give up a salary. Keep simple records from day one anyway: if the idea takes off, you’ll need them.

Step 2: Choose the right structure

Most founders start as sole traders: simple, cheap, quick. A limited company costs more to run but separates your personal finances from the business. Changes to dividend tax (the basic rate rose to 10.75% in April 2026) have narrowed the tax advantage for very small companies, so take advice from an accountant rather than following a rule of thumb.

Remember Making Tax Digital: once your self-employment and property income exceeds £30,000 a year, quarterly digital reporting applies from April 2027 (see Article 5). Pick accounting software that is MTD-ready from the start.

Step 3: Find the money

• Start Up Loans: £500 to £25,000 per founder at a fixed 7.5%, repayable over one to five years, with 12 months of free mentoring. Since April 2026, businesses trading for up to five years can apply.
• Young Entrepreneurs Allowance: announced in the Budget, this pilot will help young founders cover living costs during their first year of trading. Details and eligibility are still to be published.
• Female founders: the Budget committed £100 million from the British Business Bank to a programme aimed at removing barriers to early-stage fundraising for female-led businesses.
• High-growth ambitions: a new Founders’ Relief from April 2027 will apply a 10% Capital Gains Tax rate to up to £10 million of lifetime gains for founders of qualifying high-growth companies. A new Scale UK programme will give 200 high-growth firms tailored support.

Step 4: Get free help

Grow London Local, run by the Mayor’s growth agency London & Partners, is the free “front door” for small business support in the capital, including a hub for understanding finance options. It has helped more than 40,000 entrepreneurs since it launched.

Locally, the Havering Chamber’s monthly networking meetings are free to members and £10 for non-members, and first-time visitors are welcome. For a new business, ten minutes with an accountant, a solicitor, a printer or a web designer who has seen it all before can save months of mistakes.

Step 5: Get the basics right

• Register with HMRC once you’re over the allowance, and diary your tax deadlines.
• Check whether you need a licence from Havering Council, for example for food, street trading, beauty treatments or alcohol.
• Get the right insurance: public liability at minimum, and employers’ liability as soon as you take on staff.
• Open a separate business bank account and save for tax from the first sale.
• Trading from home? Check your mortgage, tenancy and home insurance terms.