You’ve probably heard the phrase “turn your passion into profit.”
It’s a beautiful idea—especially for the ones who turned sourdough starters into side hustles or candle-making into Etsy empires. From hand-poured soaps to backyard catering, more people are running micro-businesses than ever before.
But what no one tells you? Running a small business also means spreadsheets. Deadlines. Taxes. And weird acronyms like MTD that make your eyes glaze over faster than biscuit dough in July.
Let’s talk about it. The business side of your business. The unglamorous, often ignored, but absolutely vital stuff that keeps your passion running more than one season.
A Business Is More Than a Logo
Starting a homegrown venture usually begins with love. A love of baking, crafting, storytelling, or feeding people. You throw up a name, maybe snag a cute Instagram handle, and boom—you’re off.
But here’s the truth: once money changes hands, it stops being just a hobby. You’re officially running a business. And that means you’re responsible for more than great customer service and pretty packaging.
You’re now the marketer, the strategist, the accountant, the compliance officer. Some days, you’re the dishwasher too.
The Scary Word: Taxes
Let’s not sugarcoat this.
The first time someone mentioned VAT or digital tax filing to you, you probably panicked. Maybe you ignored it and hoped it’d go away. Maybe you Googled for hours, found conflicting advice, then gave up and poured a glass of wine.
You’re not alone.
Most creative or homegrown business owners aren’t accountants. But as your business grows—even just a little—you can’t afford to stay in the dark. One major change many UK small businesses are now dealing with? Making Tax Digital (MTD).
It’s HMRC’s plan to modernise the tax system. Basically, it means businesses must keep digital records and submit VAT returns using compatible software. For some, that’s exciting. For others? It’s just more tech stuff to figure out.
But here’s the kicker: it’s the law. And getting it wrong could mean fines—or worse, unexpected stress when you’re trying to launch your new product line.
Don’t Wait Until You’re Drowning
Lots of small business owners wait until they’re swamped—during tax season, a surprise audit, or when they hit a certain income threshold—to start paying attention to their back-end systems.
By then, it’s messy.
You’re trying to sort receipts from six months ago while answering customer emails and packing orders. It’s a mess. It feels impossible. Here’s the thing: the sooner you treat the financial side of your business with the same love you give your craft, the smoother everything gets.
Systems Aren’t Just for Tech Bros
You don’t have to be a startup in a glass office to use systems. Simple tools like online invoicing, automated receipts, and MTD-compliant software don’t just tick the “legally required” box—they make your life easier.
Want to apply for a loan, get a grant, or even hire help someday? Lenders and partners want to see that you’re organised. They don’t just care about how many followers you have—they want clean books. So no, this isn’t about sucking the soul out of your business. It’s about protecting it.
Your Business Deserves to Be Taken Seriously (By You First)
There’s this mindset a lot of makers and creators carry:
“It’s just a side hustle.”
“I’m not really a business owner.”
“It’s just me selling pies to friends of friends.”
But let me ask you this: would you say the same thing if it were someone else? If your best friend ran a handmade soap brand and cleared £800 a month, would you say she’s “just dabbling”? Of course not.
When you start taking your business seriously—by tracking expenses, planning for taxes, and keeping digital records—other people will too. Customers. Banks. Even your own family.
Profit Isn’t a Dirty Word
Lots of creative business owners feel weird about profit. Like it makes them greedy or inauthentic.
But profit isn’t about yachts and champagne. It’s what allows you to keep going. To upgrade your tools. To take a day off. To invest in yourself.
And you can’t track profit unless you’re paying attention to your numbers. It’s not romantic, but it’s real.
And real is what lasts.
MTD and You: A Love Letter to Future You
Yes, Making Tax Digital (MTD) might sound like another faceless government scheme—but it’s also a safeguard. It pushes small businesses to move out of shoebox accounting and into something cleaner, smarter, and more sustainable.
Think of it this way: every time you log income properly, track a purchase, or file on time, you’re doing future you a huge favor. You’re saying, “Hey, I’ve got our back.”
And you don’t have to do it alone. There are professionals who actually enjoy this stuff. (Weird, I know.) Find someone who understands small businesses like yours and can guide you without jargon or judgment.
You Can Still Keep It Personal
Taking the admin seriously doesn’t mean you have to become a corporate robot.
You can still handwrite thank-you notes. Still take local markets. Still mess up and laugh about it on your blog. Still have a living room packed with shipping boxes two days before Christmas.
But behind all that? There’s a solid business. One that pays its taxes. Knows its numbers. And doesn’t panic every January.
A Final Thought (or Two)
Running a small business isn’t for the faint of heart. You’re juggling creativity, logistics, emotions, and math—all on top of family life, maybe even a full-time job.
It’s okay if it’s messy. It’s okay if you’re figuring it out as you go. Just promise yourself one thing: don’t let the business side fall through the cracks. It’s not boring—it’s your lifeline. The more you embrace it, the more freedom you’ll actually have.
Freedom to grow. To rest. To dream bigger. And maybe—just maybe—to hire someone else to do the dishes.
