self employed or employed starting a business

ginjim

Been out of work for a while and have been offered a full time job.

We do however want to start our own business.

Is the support out there the same for employed or unemployed people with access to grants,start up advice etc.

the start up costs are around £5000.

thanks for your help

Savvy_Sue

ginjim wrote: »

Been out of work for a while and have been offered a full time job.

We do however want to start our own business.

Is the support out there the same for employed or unemployed people with access to grants,start up advice etc.

the start up costs are around £5000.

thanks for your help

If you've been unemployed for long enough, you MIGHT get some start up advice via the Job Centre, but frankly if you only need £5000, given what's available and the hoops you'll have to jump through, you'll probably get on better by taking the job and saving hard, also consider ways of reducing those costs.

Grants, next to nothing for anyone. If you're young enough, Prince's Trust is a possibility.

im-lost

Grants will be pretty much nonexistent, if you are unemployed you can get the jobcentre to refer you for a government backed loan, thus is u to £2000 but you can also get an allowance of £50 odd a week, for I think 26 weeks, it's called the new enterprise allowance.

The same scheme, if you go direct to the provider, can give up to £5000 as capital, but you don't get the weekly allowance.

They are both administered by startuploans.co.uk but one via the jobcentre, and one by different providers dotted around the country. Both are loans that need to be paid back, both offer support and mentoring at various levels.

So depending on your circumstances at the time, the same funding is a avaliable to you, but via different sourses, but grants for start ups are in all likelyhood not going to be avaliable.

It's a good option if you can't get a personal or business loan via the conventional ways, because the startuploans are generally given regardless of credit history / status etc providing your not bankrupt etc

paddyrg

Businesses don't generally get grants as they're supposed to make, not lose money.

Do you actually need £5k in one go, or do you need to stage investment? Instead of capital purchases with money you don't have, can you rent the equipment you need? Instead of renting an office can you rent a desk in a shared serviced facility? Basically you reduce your upfront cash and commitments at the expense of paying a higher rate for the convenience. If the business is successful you'll soon have the cash to take it ahead (and maybe even buy out the kit you've been renting if you're a good negotiator), if not at least you can walk away.