Collect from Freecycle and Sell Online

Here’s an idea for making a little bit of cash: sell items freely obtained via the Freecycle network. This is a worldwide virtual community designed so that users may advertise or request unwanted goods.

There are any number of scenarios where you could find yourself in possession of a perfectly fine item, albeit second hand. It may be that someone is clearing the house of a recently deceased relative, or breaking up with a partner with whom they have decided to give away their “stuff” to make the relationship separation quick.
Each week an automated Freecycle email digest is delivered to my inbox and usually lists appliances, furniture, garden tools and miscellaneous accessories.


There is an implicit code of conduct surrounding the Freecycle network which can be summarized as “please don’t sell this on, because I’m giving it away for free, and in good faith.” My counter argument to this is that you are doing the owner(s) of the unwanted items a favour by agreeing to take them, since these people may not have the time, knowledge or inclination to sell their old gear online or elsewhere. Are they generous, or lazy?
In each email digest there are a few details describing the items plus a short disclaimer. For example, the owner of a bed or washing machine might say something such as, “Please collect by Sunday otherwise I will be taking this to the tip.” For this reason I consider it totally reasonable to do as I see fit with any acquired goods, considering the alternative.

So, if you work out a system for collecting, storing and selling certain items you can quite easily make a part-time income. Scrap & junk merchants do this full time but you could do it on evenings and weekends for extra cash. If you know someone with a van, how about coming to an arrangement in order to compensate him or her for their time and fuel costs? A partnership could be agreed and the two of you can systematically collect, clean and sell goods.

Washing machines and refrigerators have been given away totally free of charge in my area and were in perfect working order. Furthermore, the council charges a fee to remove these items such so if somebody has less than 24 hours to get rid of an old appliance you can both benefit.

Useful links

Freecycle 

How to Organise Your Business Finances

You’ve settled on a business model, planned what service or product your company will offer and how it will be carried out or produced, and have the interest of some potential clients. Starting out in business on your own is a heady feeling, accompanied by a sense of power and accomplishment.

Before you jump in feet-first, however, it’s important to decide how your company will deal with the more mundane tasks of business management - filing tax returns, keeping records, invoicing and paying out salaries. Will you operate your business as a limited company, or would you be better served to enter into a contract with an umbrella company

There are several viable business models for the small company. A limited company offers some protection if things go wrong in your business. Registration gives a business the right to operate under the limited company model, leaving the owner with a great deal of flexibility in the day-to-day operations of the business, but also with all the responsibilities that go along with running the company. The owner in a limited company is responsible for annual returns to Companies House, filing tax returns, handling invoicing, book and record keeping, and paying out wages to any workers.

It will be necessary to hire an accountant to handle tax filing, to avoid running foul of HMRC.
For some small companies with few administrative functions, this model may be the right choice. A limited company protects the owner against catastrophic liquidation, in case the business fails, and offers a good deal of freedom and control over how the company’s day-to-day business is run. Limited companies are best for those on long-term contracts, or those businesses not caught by the IR35 tax law.

For business owners working on short-term contracts, as in, for example, a construction business, and businesses that require a great deal of time and effort to support the product or service offered, the administration of a small company can be overwhelming. Imagine coming home after a long day on the job site and facing a pile of paperwork - filing tax forms, writing out pay cheques, updating records and so on. Most small businesses fail within five years. One cause of small business failure is that the owners are simply buried beneath a sea of paperwork.

Avoiding the hassles of paperwork and dealing with the tax and VAT are two of the main reasons small businesses choose to contract with an umbrella company. This scheme allows a business owner to operate in a manner similar to working for a larger company. Instead of dealing with paperwork, tax law, payroll and recordkeeping, the owner focuses his or her time on building and promoting the business, on fulfilling contracts. The umbrella company takes care of the rest. All the business owner has to do is fill out and turn in expense and time sheets, and receive a regular pay cheque. At the end of the fiscal year, the umbrella company will even print out tax forms for employees. Many business owners consider the umbrella company’s modest fee as money well spent.