Starting a business

xoAmyox

Hi all, I am 24 and looking to turn a hobby and skill of mine into a business, intially starting out on my own with a view to expanding to 1-2 employees over time.

I'd really like to know where I can find help and support with the technical aspects of starting out, effectively planning and maintaining my business. Are there organisations out there that could offer this type of advice.

Also, are there places/organisations that offer grants/loans for startups, perhaps for young people (am I still classed as young??)

Thanks in advance

InsideInsurance

Start with reading https://www.gov.uk/business which replaced the old Business Link website. It has details on the practicalities of running a business as well as covering topics such as financing.

Unless you are fortunate to qualify for the Princes Trust or such then it'll be an uphill struggle to get someone else to invest money into your business unless you've a genius new idea or can put up a sizeable sum yourself (investors dont want to be the only ones carrying the risk)

Depending on what your business is then the startup capital may not be too high and you can take a slowly slowly approach until you have the money in the bank to do the bigger elements

londonTiger

market research is CRUCIAL.

make sure there is demand for your service, and dont try to enter a market already swamped with competition.

you have to play your chips smart. you dont have much start up capital so you will need to work out a niche for yourself. b2c distance selling seems to be the go to spot. Like on ebay but most people struggle to expand out of a one man band because margins are so slim and profits are so low.

B2b opps are better IMO, but you need a lot of luck to find a market and patience to look for opportunities. Most people have some knowledge of an industry before starting so know what is in demand.

I have a b2b business supplying events equipment. I started it with £0 investment capital. Used sales revenue and business credit card to buy all my stock. Not huge. will have 8K sales in year 1 (all used to pay off credit card debt for capital assets). Year 2 I will have a set of produced accounts to get investment. Nature of the business means that I need to have a lot of capital assets (needs cash). If I had a wider range I would have been able to sell a lot more.

Flawless

Hi Amy,

I would really recommend the Prince's Trust - they offer different types of training and also loans and grants for start up businesses!

I can't post the link but if you google 'Prince's Trust' the website will come up.

I recently set up my own business and they have been so incredibly helpful! Good luck.

xoAmyox

Thank you so much for the replies, am I right in thinking that the Princes Trust are only able to help those not already in employment or training?

I currently work - and initially would build up my business around my contracted hours.

I have some start-up capital (up to £1k), but more than half of this would be spent on equipment, and although the business is mostly word of mouth, I would like to do some advertising.

I think that InsideInsurance's idea that I can build up slowly in order to avoid the need for investment is going to be the best route

DKLS

Validate your business model to work out if its a viable business or a self funding hobby.


Please be very aware of any grants as most of them come with various hoops you have to jump through and as I discovered some are simply not worth the hassle.

saintjammyswine

Depending on where you live, there may be Social Enterprises around that offer mentoring, support & training for free. Prince's Trust etc. maybe able to advise.

londonTiger

Sue. without giving away your entire business plan. It would be helpful for you to give us a general idea on what type of business you have in mind so we can guide you best.

I'm at the latter end of the age bracket to apply for princes trust assistance and also I think I'm far beyond any help the princes trust could have given me since I'm already incorporated, vat registered and have a good and consisten (although small) cash flow.

I was wondering if there are any other sources for micro businesses to get assistance from? There are three council/public sector business development organisations in my area. There's a 3 month long wait to see someone through are they helpful?

Such as these:
http://www.islington.gov.uk/services/business-licensing/support/Pages/business-resources.aspx?extra=9

http://www.towerhamlets.gov.uk/lgsl/301-350/349_business__enterprise/business_support.aspx

I just rang a few companies there, I need some support on outbound sales training so far none seem to be able to help.

SailorSam

You better get your finger out if you're going to ask the Princes Trust, looks like they stop at age 25. And 'cos you're already working you may not be able to get help.

http://www.princes-trust.org.uk/need_help/grants.aspx

londonTiger

SailorSam wrote: »

You better get your finger out if you're going to ask the Princes Trust, looks like they stop at age 25. And 'cos you're already working you may not be able to get help.

http://www.princes-trust.org.uk/need_help/grants.aspx

Edit: just called them to clarify. They are primarily pretty much just to get your business idea into fruition and give you a small grant to help you on your way. pretty much as it says on the website.

I called to find out if they offer help with networking and sales and they said they can't help with that.

I do agree with your sentiment though. You have to take the risk first and show some initiative before anyone else will help you.

Finally, I'm very skeptical about these public sector organisations. I'm not sure how a public sector employee will be able to give any meaningful support to someone starting a business. Quite frankly they wouldn't have a clue. I got all my startup advice from www.ukbusinessforums.co.uk

Sales training, networking all requires some exchange of money..

Was hoping on a wing and a prayer to see if a government funded organisation could assist with that.

SailorSam

Is there anything on here that would interest you ?
CAB and benefits which you can possibly claim while you're working.

http://www.adviceguide.org.uk/england/benefits_e/benefits_benefits_in_work_or_looking_for_work_ew/benefits_and_tax_credits_for_people_in_work.htm