You can start a businesses on a shoestring

You don’t need to be rich to start a business. The latest Entrepreneurs Index report from Barclays and Business Growth Fund claims:

• 49% of start-up businesses began with less than £2,000 of business funding
• 12% used credit card funds
• 11% borrowed from friends and family
• almost one in 10 got going with no funding at all

And in the first six months of this year, more than 90,000 new businesses were created – 3.4% more than during the first half of 2012.

The report also looked at entrepreneural activity across the UK and found that London had the highest increase in the number of enterprises. However, Yorkshire and the Humber were home to the highest proportion of high growth companies, followed by the midlands. 

Seek out savings

Starting a business on a shoestring can be tricky, but it is possible. Some entrepreneurs save money by initially running their venture from home, so they don’t need to sign any leases or find money every month for rent.

But homeworking is not for everyone. Some people find working at home too distracting and it can also be isolating. Some homeworkers can find it difficult to achieve a proper work-life balance, as they are never able to get away from their place of work.

Co-working as a cost-effective option

Co-working offers a fantastic alternative to working from home and is much cheaper than taking on business premises.

Co-working spaces allow you to rent a desk in a professional workspace by the hour. As you only pay for the time you use, it is cost-effective, completely flexible and there are no start-up costs. You can use the workspace as much or as little as you like, which makes this option ideal as a part-time base for your business or as a temporary place to work while you are travelling to see clients.

Co-working spaces also offer relief from the isolation homeworkers can experience, because they allow entrepreneurs to work alongside like-minded people in an atmosphere of enterprise, innovation and creativity.

Our initiative The Work Lounge aims to open up a network of co-working facilities around the UK to help businesspeople who want the benefits of a business environment, without the expense or commitment. Our first Work Lounge opened at the Letchworth Pixmore Centre in September and another two are opening in the New Year at the Shakespeare Business Centre in Brixton and the Empress Business Centre in Manchester.

As well as being flexible and affordable, our co-working spaces offer a number of other benefits including high speed WiFi, free parking and complementary drinks, plus use of our kitchen facilities.

The Work Lounge also offers good networking opportunities and a more professional place to meet your customers than your own home. Further details of our new co-working spaces will be released soon.