A government scheme is helping to create 450 new businesses every week, according to the latest figures.
The New Enterprise Allowance has so far led to the creation of 60,000 firms across the UK. The scheme is targeted mainly at jobseekers, lone parents and people on sickness benefit. Budding entrepreneurs with a good business idea can apply for financial support up to a total of £1,274, payable through a weekly allowance over 26 weeks.
They can also apply for government start-up loans administered by the Department for Business, Innovation and Skills. More than £130m has been loaned so far to nearly 25,000 new businesses.
The start-ups cover a wide range of fields from manufacturing, design, retail, IT and many more.
More than 4,000 young people, over 11,000 disabled people, and more than 14,000 over-50s have been helped to create new businesses.
The Minister for Employment, Esther McVey, said: “Small businesses are what make this country great – with their hard work, creativity, and entrepreneurial spirit they are fuelling Britain’s recovery. They are also providing a significant share of new vacancies, contributing to the record number of people who now have jobs.
“As part of our long term economic plan, tens of thousands of new and innovative businesses are now up and running – from milliners to caterers and designers to counsellors – all of whom have benefited from the expert mentors who have given up their time to help the next generation of entrepreneurs.”
Starting a new business can be very exciting but it’s important to make sure you do your homework first as there are so many things to consider.
For example, before starting off, you will need to decide on the best structure for your business. Should you be a sole trader, or would a partnership or a limited company suit your purposes better? There are other alternative structures, all of which have different advantages to offer depending on your circumstances.
You will also need to consider several other matters such as whether you need to lease or buy premises, or whether you need to employ people.
All of these issues have legal implications so it is advisable to seek professional advice before making important decisions.
Please contact us if you would like advice about the legal aspects of starting a new business.