Becoming a business and silver wastage...

[Angeltruist]

Sorry, a very novice question .ive never had a business so I dont know how the forms look or what I need to know but I'm keeping all invoices etc just incase....

I've been making jewellery as a hobby and also for gifts for family and friends but I have also been making a small collection too.

I have been buying sheet silver and just designing off this but I have a lot of scraps which I don't believe I will ever use.

When filling out Self assessments, is there a way to get relief from wastage of silver, ie buying a sheet of silver, making a couple of pieces but the rest is unusable.
I am worried I loose out buying bulk silver to make a piece and half of it ends up scrap, I don't want to over charge on a piece to recoup scraps, especially if it's not a custom order.

...I'm hoping this makes sense...

[Dennis]

Scrap is usually recycled by casting, fusion, or sending it in to a bullion dealer such as Cookson (see our search box under 'scrap').
You expenses will be the total of bullion invoices for a period of time, minus what you get paid for your scrap.

Don't be too ready to get rid of all your scrap, because most of us root around in our scrap pots for handy small pieces. Once you have a mill, then unpromising bits of thick sheet can be rolled down to make usable thinner pieces. Dennis

[Angeltruist]

Thanks so much Dennis, this has put my mind at rest now,
I've hesitated selling because of the information I thought I had to provide but this makes it seem a bit easier.

Xxx

[Goldsmith]

If you do intend to go self employed and do self assessments for tax purposes, remember that the cost of tools is also totally reclaimable against tax. Also when working out your sale prices add at least a third to the value of each gram of silver you use and this will help towards the loss of metal value when you sell any scrap. So at today's silver sheet cost of £0.66 per gram, I would charge at least £0.90 per gram for the silver used when pricing the item, plus labour cost and profit of course.


James

[Angeltruist]

Thank you so much for the great advice James! This is really going to help me.
I work full time so this will be a part time venture so I'm bamboozled with all the items I need to consider but the thought of losing money has always held me back.
Xx

[pearlescence]

If you do lose money it will be set against your other income.