Start up grants

cpbella

Hello, I am seeking some advice for my daughter. She will soon be a qualified dog groomer and wants to set up her business and work from home. Permission has been granted as we will have a purpose built summer house to work from.  As this is a start up and she will be 20 when qualified what business grants could she apply for?  Looking more at grants than loans. 
Thanks in advance for your help. 

CKhalvashi

You're going to be looking more at startup loans than grants, unless she has a disability or is from a severely disadvantaged background. Most grants require at least 50% funding from another organisation (or yourselves/your daughter), and therefore grant funding isn't as easy as many people think.

The Startup Loan scheme will be a first port of call (click here), as they can offer sensibly sized loans based on a business plan without the same capital requirements as banks.

Assuming you are not going into business with her, from your post it's not clear, the Princes Trust may be able to help you. They run dedicated courses to assist with business planning, although due to the current situation, I'm not sure how much is available right now (click here)

A purpose built summer house sounds like a significant home improvement, so it will be important to have a financial plan in place depending on the costs (you don't give us a guide in your post).

For more detailed advice, we'll need to know the following, which should already be covered in the business plan as you are looking at funding at this stage;

• What local market is there for such services?
• How will the business be marketed? How much will this cost? How much of a client pipeline is there in the works already?
• What are the capital requirements for the new business?
• What capital does your daughter have to put into the business in the form of startup costs?
• What are the financial projections for the first year? The cashflow element is the important part here, not necessarily overall profitability.
• How much of a reserve is there in case projections are not hit?
• In the case of grant funding, where is any portion of the above not covered by the grants (although they're not overly likely) going to come from?
• Are dog grooming businesses allowed to open now? What will be the tier requirements for this post-lockdown? (I honestly don't know the answer to this, but she should)

I hope this has been able to help and give some pointers as to what will be looked at in financing the business.

[Deleted User]

 Many grants have closed to new applicants with funds being diverted to causes related to the pandemic. That said most funds are looking for applications from groups not individuals, who benefit communities not the individual. 

martindow

She is young enough to be eligible for the Prince's Trust.  Have a look there

https://www.princes-trust.org.uk/

cpbella

Thank you for your comments. 

hunnie

My daughter applied to The Prince's Trust when she set up her Dance School.
But their criteria for grants were that she had to have come out of care, or out of prison or been a drug user. I forget the rest but she didn't fulfil any of it.
They said that she was capable of making it on her own.
They were right and she did.
You don't need much money to get started. Just print off a few flyers and post through doors, if that's still allowed in lockdown

martindow

hunnie said:

My daughter applied to The Prince's Trust when she set up her Dance School.
But their criteria for grants were that she had to have come out of care, or out of prison or been a drug user.

There's a perverse incentive.  Maybe taking up drugs would be a good route into starting a business?

hunnie

martindow said

There's a perverse incentive.  Maybe taking up drugs would be a good route into starting a business?

She did write to them saying she would endeavour to meet their requirements.

LizTon

Theres some good information here 

lincroft1710

LizTon said:

Theres some good information here 

Not only have you replied to a thread that's 4 years old, but there is no link in your reply. However the latter is understandable because as a newbie you can't post links