Understanding the Legal Side of Starting a Website
Starting a website is easier than ever. With tools like WordPress, Webflow and Wix, anyone can get online in a matter of hours. But while the design and launch process is simple, the legal requirements can be a little less clear — especially when it comes to whether or not you need to be registered as a business in the UK.
Here’s the good news: you are legally allowed to run a website in the UK without registering as a business — as long as it’s for personal use. That includes hobby blogs, creative portfolios, CV websites or passion projects. You only need to consider registering as a business when you start earning income or offering services in a commercial way.
However, many people start websites with the intention of “maybe making some money later.” If that sounds like you, it’s important to understand when your casual site becomes a business in the eyes of HMRC — and how to stay on the right side of the law. At InfaCloud, we work with hundreds of small UK businesses every year, and many of them started from simple websites that turned into real income sources.
When a Website Becomes a Business
The UK’s rules on this are fairly simple: the moment you start trading — even part-time or as a side hustle — you need to tell HMRC. This includes selling products, offering services, receiving client payments, or running ads for regular income. You don’t need to be turning over thousands of pounds — if you’re making any kind of income on a recurring basis, you’re considered a trader.
For example, if you set up a blog and occasionally get a free product for a review, that’s unlikely to be considered a business. But if you start charging for sponsored content, affiliate links, or offer paid consultancy, you are trading and must register — usually as a sole trader. It’s quick and free to do on the HMRC website, and you’ll simply start submitting a self-assessment tax return each year.
This also applies to sites promoting services like hairdressing, photography, trades or freelance work. Even if you only do a few jobs a month, your website is helping you earn, and that makes it commercial. We often advise clients looking for affordable web design to consider this step early — it makes planning future growth and SEO much easier too.
Legal Requirements Beyond Business Registration
Registering as a business is just one part of running a legal website. If you operate a site that collects any kind of personal information — such as names, emails or phone numbers — you need to be GDPR compliant. That means including a Privacy Policy, a Cookie Notice, and a clear explanation of how you store and process user data.
If you’re selling products or services online, you must also provide Terms & Conditions, include a Returns Policy, and make your contact details clearly visible. If you’re operating as a limited company, UK law says you must display your registered business name, company number, and registered office address on the website.
It’s worth having these pages created during the site build process. At InfaCloud, we include these legal pages in all our bespoke website packages, especially for online stores or professional services. They don’t just protect you — they show customers you’re a legitimate, trustworthy business.
When It’s Best to Register Early
While you’re not legally required to register a business from day one, there are big advantages to doing it early. Registering as a sole trader is simple, and it allows you to:
- Open a business bank account
- Deduct business expenses (such as hosting, plugins or advertising)
- Apply for local business support or grants
- Build trust with clients and suppliers
- Get a proper invoice and accounting system in place
Even if your website only brings in small income to start with, registering early gives you a professional edge. If you plan to grow the brand, secure more clients, or run paid ads in the future, it’s good practice to get set up properly from the start.
Some business owners go further and form a limited company, but for most freelancers, creators and side hustlers, sole trader status is more than enough.
If you’re unsure when or how to register, we often walk clients through this as part of our startup website design process. We’re not accountants, but we can flag when your project is likely to need registration — and recommend next steps to keep everything above board.
Final Thoughts: Personal Websites vs. Trading Sites
To recap: if your website is a personal space, hobby blog, or CV, you don’t need to register anything. But once you begin trading — through services, product sales, affiliate income, or sponsored content — you’re a business in HMRC’s eyes and must register within 3 months.
While it might sound intimidating, registering as a business is easy and free. It gives your online project legitimacy, legal protection, and unlocks benefits you can’t access otherwise. And when combined with a properly designed website, it’s a powerful way to build a brand, find customers, and grow your income online.
Whether you’re just starting a side hustle or looking to launch a full business, InfaCloud is here to support you with expert web design, SEO, and technical support. Want to start with something simple and scale up later? We can help you do it the right way.
