Can I work on my new startup while still serving my notice period?

Check your contract for 'Blue Pencil' or non-compete clauses. Generally, UK law protects your right to prepare for a future business, but performing actual trade or soliciting clients while still salaried is a breach of fiduciary duty. Use this time for research and networking rather than active, revenue-generating operations.

What should I do about my tax status after resigning to start a business?

You move from PAYE to self-assessment. Inform HMRC immediately if you are becoming a sole trader or director. In the UK, personal allowance is currently £12,570, but as a founder, your focus shifts to corporate tax and VAT thresholds—specifically the £90,000 turnover limit that triggers mandatory registration.

Should I incorporate a limited company right away?

Incorporating at Companies House costs as little as £50 and provides a legal shield for your personal assets. It makes your venture ‘real’ to investors and partners. However, don't rush into complex share structures until you have confirmed your co-founder equity splits or a clear path to early revenue.

How do I handle the loss of corporate benefits like health insurance?

Founder life means self-funding your safety net. You'll need to replace group life cover and private medical insurance. Researching 'Relevant Life Insurance' can be more tax-efficient for UK directors. Remember, roughly 60% of UK startups fail within three years, so maintaining a personal financial buffer is non-negotiable for survival.

How do I protect the intellectual property I developed while employed?

Usually, you don't—employment contracts typically stipulate that IP created during work hours or using company resources belongs to the employer. To avoid legal battles, ensure your new startup's code and concepts are built entirely on your own time, using your own hardware, and are distinct from your previous employer's trade secrets.