Why now is a good time to start a business
Inflation is soaring, energy bills are going through the roof, and the UK is teetering on the brink of recession. So now would be a terrible time to start your own business…right?
Such a volatile and disrupted economy will, sadly, lead to the shutters coming down on many businesses across a whole range of sectors. But it will also create opportunities for others.
In times of strife, companies re-evaluate what they do and why, jettisoning old ways for a new approach. Consequently, this will create gaps and opportunities for those well-placed to take them.
So when you’re setting up your new business, the secret is to eliminate risk (as far as possible – there will always be some risk, of course). This, basically, means being savvy and doing your homework.
Find your niche. There’s no point in setting up in a sector that’s already well-served with suppliers. They will have better contacts, contracts and probably more know-how than you.
Do your business plan.If you’ve done one in the recent past, re-visit it. If you put one together a while ago then scrap it – times have changed. Speak to a trusted business advisor or mentor (see below) when you’re doing this; they will be able to steer you if/when you lose your sense of direction.
What do you need to know?Understanding all the tools, admin and paperwork required to run a business was cited as particularly important for 56% of UK business owners asked in a recent survey by Oneday (see below). So it’s vital that you do your research.
Utilise technology at every opportunity. This will improve performance, save you time (and so money) and make your start-up more efficient.
Focus on marketing. This is where you can stand out, so get involved in LinkedIn, relevant Facebook groups and the like. And make sure your website is clean, functional and regularly updated.
Consider getting a mentor
A recent survey by Oneday of 500 UK business owners found that nearly three-quarters (73%) believe that one of the main reasons many entrepreneurs’ first start-ups fail is due to a lack of experience and awareness.
The survey also found that a lack of mentorship or guidance was one of the main challenges when starting (and maintaining) a business.
Some 68% of business owners said they had almost no mentorship or guidance at all when starting their own business, and three-quarters (76%) said that the process would have been far easier with better support networks and mentors in place.
As a result, two-thirds of respondents said that with community-led support and guidance in place, the success rates for start-ups will surge. This explains why 68% of business owners always try to lend support to ‘new’ business owners or aspiring entrepreneurs.
There will always be excuses for not doing something, and there will never be a moment in time when conditions are perfect for you to launch your business. But, so long as you have prepared diligently, done your homework and spoken to the right people, then you’ve every chance of making a new venture work.
Licensed insolvency practitioners are here to keep businesses open.
Licensed insolvency practitioners are here to keep businesses open. Research by R3, the trade association for UK insolvency and restructuring professionals, shows that in 2019 our sector saved 7.2k businesses from closing.