Extra help for young entrepreneurs

Thousands more young entrepreneurs are now eligible for government loans to help turn their business ideas into reality.

Prime Minister David Cameron announced on 3 January that funding for the government’s Start-Up loans scheme would be increased by £30 million to £110 million over three years.

The scheme, previously open to 18 to 24-year-olds, has also been opened up to more young entrepreneurs, with the upper age limit raised to 30.

Start-Up Loans provide a range of support to get business ideas off the ground, including access to a business mentor as well as funding in the region of £2,500.

When their business plan is robust and approved, applicants are able to access the financial support, with a repayment period of up to five years.

The first wave of funding was released in September 2012 and more than £1.5 million worth of loans have already been approved, helping over 460 new businesses get off the ground.  Around 100 more new businesses a week were expected to reach approval stage in January 2013.

Meanwhile, a campaign has been launched to encourage employers to help 18-24 year-olds into work and receive hundreds of pounds in wage incentives.

These give employers hundreds of pounds when they take on a young person who has been unemployed for more than six months through the Work Programme or Jobcentre Plus as part of the £1 billion Youth Contract initiative.

Minister for Employment Mark Hoban told employers: “We’ve got up to £2,275 of cash sitting on the table waiting for you to take it up. So take on a young person who’s been out of work for six months, and the cash is yours.

“There really is no better time to change a young person’s life and invest in the future of your business at the same time, so snap up the money before someone else beats you to it.”

At Milsted Langdon, we understand that starting a business can be a daunting process, which is why we offer ML Enterprise, a specialist ‘one-stop shop’ service for start-ups. For further information on how ML Enterprise can help you in those crucial early stages of your business, please contact us.

Link: Start-Up Loans

Link: Youth Contract

Posted in News.