Depending on the type of business you run and how much you spend, that can make voluntary VAT registration worth considering well before HMRC forces you to do it. The important word there is considering. Registering voluntarily isn't automatically a good idea. So let's look at what you can actually claim, what you may be able to reclaim from before registration, and when registering early can make financial sense.

Imagine running a business where you rarely have to wait 30, 60 or even 90 days to be paid. You complete the work. You raise the invoice. And rather than waiting for your customer to eventually settle it, most of that money becomes available almost immediately. There is a cost attached, of course.

You can run a perfectly profitable business and still find yourself short of cash. In fact, a growing business can sometimes feel more cash-hungry than one that isn’t growing at all.

As a sole trader, you wear many hats — business owner, marketer, customer service and bookkeeper. But accounting is a specialist skill, and mistakes can be costly. Professional accounting services tailored to sole traders help you stay organised, compliant and financially confident.