According to official figures, over half a million new companies are set up in the UK every year, and the number is on the rise. Being independent, getting out of the rat race, developing a talent, making more money and greater flexibility in their work schedule are just some of the reasons people give for going it alone. Advances in new technology have made it easier than ever before for people to start up a new business and as techcrunch can testify, there is no shortage of innovative ideas.
How can you find the right idea?
The type of start-up you establish will depend on your professional, educational and/or practical experience. Other factors to consider are your character, your likes/dislikes and your funding options. The latter is the one that can be the most decisive for many new entrepreneurs. There are ways to drastically reduce the funding you need, however.
Every year in the UK, 2.9 million people choose to start working from home, contributing a total of £300 billion to the economy. For some, this is just a beginning until they establish themselves in the marketplace while for others, it’s a practical solution which allows them to drastically cut their overheads. From eligibility for small business rate relief and tax breaks, working from home helps them to keep more of the profits for themselves.
What are your funding options for your new business?
The latest research would tend to suggest that debt finance is the most popular choice of financial backing for start-ups. 39% are funded by High Street banks or building societies in the form of business loans, overdrafts, etc. In order to receive the funding, new start-ups have to draw up a business plan and prove to the lender the affordability of the loan.
Other new companies opt for a less orthodox type of funding. With generous tax relief from the British government, there are many ‘business angels’ ready to take a risk on less tried-and-tested types of business models by offering equity finance. Apart from that, peer-to-peer lenders and crowdfunding platforms are becoming increasingly popular options for new businessowners.
For some, Click Here is the solution. This best payday loans alternative can offer them an affordable loan and allow them to finance their business through the difficult opening months, or when a cash flow problem is strangling a promising enterprise.
Where can you get advice for your start-up?
Throughout the UK, there are plenty of national and regional networks, organisations and groups which are ready and willing to offer advice and support regarding all aspects of running a business. Some also have a mentoring programme of experienced business people to help answer any query or suggest ways to overcome difficulties.
Some groups are aimed at specific groups of people. The New Entrepreneurs’ Foundation targets those who are seeking to set up a business because they are unemployed while the Women in Enterprise organisation addresses problems which may be unique to women.