New Enterprise Allowance scheme - My story

BathGooner

Don't forget you also get your 4 weeks HB paid as soon as you sign off. I'm delaying going on NEA by a month just so we don't have to worry about paying the rent over the Xmas period.
My business plan has been approved and just waiting to hear back from the loan application which will get my website up. Meanwhile, I have been advertising my business on the online free referral sites and have already quoted 2 jobs, one of which was accepted starts the first week of December and waiting to hear back for the other one.

XEO25

BathGooner wrote: »

Don't forget you also get your 4 weeks HB paid as soon as you sign off. I'm delaying going on NEA by a month just so we don't have to worry about paying the rent over the Xmas period.
My business plan has been approved and just waiting to hear back from the loan application which will get my website up. Meanwhile, I have been advertising my business on the online free referral sites and have already quoted 2 jobs, one of which was accepted starts the first week of December and waiting to hear back for the other one.

Great news, glad to hear so many of you have signed up to NEA without too many issues.

I may have misunderstood you, but are you planning on signing off housing benefit? I've been on NEA for about 2 months now and I haven't had to sign off and I've let the housing benefit office know.

Also, I started up as a web designer, so if you would like a quote for your website

Best of luck with your new business :beer:

sundance55

The Mentors are unpaid volunteers who have or continue to run their own businesses. As anyone who has started a business will tell you running it does not vary greatly. Depending on your business sector you still have to understand the basics of marketing and cash flow to succeed. As has been said the loan company are taking a much higher risk than a bank or other institution would and most applicants would not be accepted by a bank due to poor credit history etc

moneysavingkitten

sundance55 wrote: »

The Mentors are unpaid volunteers who have or continue to run their own businesses.

That isn't true, I was told by the Jobcentre this week that mentors are paid and also receive expenses, though of course they do have to still run their own businesses.

BathGooner

shaneo85 wrote: »

Great news, glad to hear so many of you have signed up to NEA without too many issues.

I may have misunderstood you, but are you planning on signing off housing benefit? I've been on NEA for about 2 months now and I haven't had to sign off and I've let the housing benefit office know.

Also, I started up as a web designer, so if you would like a quote for your website

Best of luck with your new business :beer:

That's odd about your HB. My adviser is certain that I only get the bog standard 4 weeks signing off HB
Edit.. Just spoke to them, you get 4 wks, then you tell them your 'estimated' earnings, say £50 per week, and benefit is calculated on that figure for 3 months. It's then recalculated again after 3 months with proof of your earnings for those 3 months which will then be your 'estimated' earnings for the next 6 months.
The good news is that if you have exceeded your estimated earnings you do not have to pay back any difference

@Shane Message me about a web site design. I've had one quote already if you want to put one in as well :T

dmliverpool

WPN wrote: »

Woah... I am shocked that the APR is 10%!!

They want you off benefits... so they want to reduce your JSA gradually.... (good idea, fair enough) yet they want you to pay 10% interest. I think there should be interest but no more than 5-6%. Also if what you say is true which I am sure it is: "you only have to pay the interest in the first year, which works out at about £9 per month"... it is silly how instead of a smaller interest rate through the 3 year term or a repayment holiday of the first 6-12 months... that you are expected to pay interest whilst still on benefits including when after 13 weeks the benefit is reduced to just £33... £9 is approx £2.25 a week which seems little but on £33 you need every last money you can although I am assuming (maybe wrongly so) you cannot earn any money from the business whilst claiming benefits?

Ey its catch 22, but being on a benefit does restrict you from getting a loan from the high street. Not without a nice looking order in writing.

XEO25

BathGooner wrote: »

That's odd about your HB. My adviser is certain that I only get the bog standard 4 weeks signing off HB
Edit.. Just spoke to them, you get 4 wks, then you tell them your 'estimated' earnings, say £50 per week, and benefit is calculated on that figure for 3 months. It's then recalculated again after 3 months with proof of your earnings for those 3 months which will then be your 'estimated' earnings for the next 6 months.
The good news is that if you have exceeded your estimated earnings you do not have to pay back any difference

@Shane Message me about a web site design. I've had one quote already if you want to put one in as well :T

PM sent

honestinjun

After three months of wrangling, bartering, begging and cajoling I finally sign off JSA tomorrow and onto NEA. £1000 loan approved and on it's way. It's been an exhaustive process probably because I was one of the first and the JC staff etc hadn't a clue what I was talking about. I knew more than them from the off, always a good idea when dealing with these people.

So it can be done, you just need to persevere, whew!

seeke

Good Luck HonestInjun! I would be interested to hear from you how things progress for you. I'll be signing off in the new year...

adm111

I'm unemployed atm.

I have recently been offered work that would take approximately 8 -10 weeks to fulfil. The work is offered on a self-employed basis, but I've been warned that the processing of invoices takes 42 days.

This puts me in an awkward position if I was to take the work.

Firstly, if I take the work I am not eligible for JSA as I am not actively seeking work.

Secondly, if I tell them once payment is received and work has been completed, I would be liable to prosecution.

So I am looking for a way to support myself for the period of time it would take between accepting the work and received payment for completed work, approximately 6 - 8 weeks.

I have been told by the Jobcentre that I need to be put on the Enterprise Allowance. However, this seems to be an awful lot of effort for such a short period of work.

Just to add an extra twist, I've recently been put onto the Work Programme. I have sought advice from the providers and they believe that people who have been put onto the Work Programme are not eligible for the Enterprise Allowance.

Is there anyone who can advise me on this? Since my initial meeting with the Jobcentre asking about my dilemma, they have subsequently rang me twice and told me to attend another meeting. They seem quite insistent and determined that I take this EA route.

If it makes a difference I live in Somerset.