You’ve turned down two jobs this month because you simply can’t be in two places at once. That’s usually the moment the sole trader question turns into the business question: do you stay as you are, or start building a team?
There’s no single right way to grow. But there is a fairly predictable sequence of decisions most tradespeople face on the way from working alone to running something bigger.
Paying another self-employed tradesperson to help on a job, rather than employing them directly, is the lowest-friction way to take on more work without becoming an employer overnight. If you’re paying subcontractors, you’ll already be dealing with CIS — the Construction Industry Scheme, which we’ve covered in a separate guide — so it’s worth checking your CIS setup is right before you scale it up.
The moment you pay someone a regular wage above a certain weekly threshold, you generally need to register as an employer with HMRC and run PAYE — even if that “someone” is just you, paying yourself a salary through a limited company. Registration needs to happen before the first payday, not after, so it’s worth sorting early rather than catching up later. An accountant will usually save you more in avoided mistakes than they cost in fees at this stage.
If your turnover crosses £90,000 in any rolling 12-month period, VAT registration becomes mandatory, not a choice — and the clock starts from the month you cross it, not the end of the tax year. Some growing businesses register earlier by choice, since it lets you reclaim VAT on tools, materials and van costs. Worth a proper conversation with an accountant either way, since the right timing depends on your specific numbers.
Public liability cover that made sense for one person on site rarely stretches sensibly to cover a team. Employers’ liability insurance becomes a legal requirement, not an optional extra, the moment you have employees. This is one area not worth cutting corners on to save a few pounds a month.
None of this is a reason to stay small if staying small isn’t what you actually want. It’s simply the honest list of what changes — so that when a big job lands that needs three people instead of one, you’re not turning it down because the admin caught you off guard.
NEXT STEP
Whether you’re subcontracting out for the first time or hiring directly, a wider trusted network makes the transition easier. Search verified tradespeople by trade and availability on MESHHH before you need them.
