25.01.13
The GDP figures today showing a decline of 0.3% may not inspire confidence in recent performance or assurances about the future, however as well as the good news concerning rising employment there is a surge in entrepreneurial activity bubbling beneath the surface.
It is widely recognised that entrepreneurs and SMEs are going to be instrumental in getting us on the road to recovery. Prime Minister David Cameron said at an event in Preston, hosted by CDFA member Business Finance Solutions, earlier this month:
“We have seen the fastest rate of new companies starting in any time in our country for a decade, for the year that has just passed and for the year before that.’[1]
“It is by backing our entrepreneurs and championing small business that we can drive forward and grow the economy, and equip this country for the highly competitive era we are in.”[2]
The number of start-ups in the past year has increased. A particular area for strong growth is the rate of increase in young people starting a business which is a result of the Government funded Start-Up Loans Company, chaired by James Caan.
James Caan said:
“At the end of the first week of January we had 3000 applicants in this programme, we now have 7,000 applicants. Last week alone we approved over half a million pounds of investment in new businesses by young people and started over 100 businesses.”
“I believe this surge we are seeing from young people starting their own businesses is simply the beginning of an emerging and lasting trend in entrepreneurship in Britain”
“Entrepreneurship is a viable career option for young people. Self employment and small business is the heart-beat that keeps us ticking and in todays economy I am delighted to see so many young people have the confidence to take their future into their own hands.”
“Start-Up Loans are unsecured which is exactly what young people with no track-record of business or collateral need to get their idea off the ground. We are giving these people a chance and are willing to back great ideas and passionate people who have a viable business plan – and if they haven’t, we provide business advice and support to take them on the journey.”
With over £100million to distribute in the next three years, there’s still a long way to go. But if the beginning is anything to go by, the Start-Up Loans Company is taking their ambitions very seriously, and believe they can start tens of thousands of new businesses by 2015.
What next?