Getting money for your startup in the UK: Key opportunities
Great Britain is experiencing massive interest in entrepreneurship: 7 out of 10 Englishmen aged 25 to 34 years want to start their own businesses. The UK holds the first positions in the world ratings. For example, the United Kingdom occupies 8th place in the Doing Business rating of the World Bank. However, starting your business from scratch is rather difficult. Below, we will clarify some nuances of getting financial support for your startup.
How to get financial support for your startup?
To get the status of an “entrepreneur”, you need at least £50,000 on your bank account. The candidate either keeps this money in an account in a UK bank or invests in a business. By the way, the company formation with a bank account via GoSolo is less complicated than doing everything yourself. But what about those who do not have such a sum yet? If a person is confident in the success of his business idea, he has every chance to get the support of private or public organizations. There are three possible ways for them:
- Join one of the numerous government business support programs;
- Get support from venture capital firms. Some of them are engaged in “angel” investing, providing large sums of money on the early stages of the development of a business project, others accompany an already strengthening business;
- Apply for participation in accelerator programs.
In England, there are many entrepreneurial programs to support businesses and tax holidays for investors that encourage large companies to invest in small businesses. For example, EIS (The Enterprise Investment Scheme), which removes 30% of taxes from investors who have supported small companies with a high risk of financial instability. Also, any startup can join one of the hundreds of accelerators to accelerate its growth.
There are many professional communities and information groups for startups in London, for example, Meetup, London Startups, TechCityNews, or 3-Beards. This helps beginner entrepreneurs to communicate more, follow events, and develop their network of business contacts.
Startups in the UK: Things to do
The British keep up with the world’s leading trends: a healthy lifestyle, a conscious attitude to the environment, self-education, and high technologies. And where there is interest, there is always an opportunity to make money.
England may not have developed its own culinary traditions, but the United Kingdom is always open to new ideas. If the British are already fed up with pizza, wok, and burritos, then, for example, Peruvian, South African, and Vietnamese food are still exotic. A good old burger can also be an idea for a startup. However, it will have to undergo a rebranding: 52% of visitors to fast food restaurants have expressed a desire to try a gourmet burger – made from selected meat, high-quality bread, and sauce from the chef.
Overall, this is in line with the British desire for healthier food. Thus, numerous healthy products are gaining popularity: “gluten-free”, “sugar-free”, “lactose-free”, “animal-free”, and so on. Eco food, ethical fashion brands, natural cosmetics – all these ideas are relevant today.