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Grants for New Business Start-Ups

By: Jennifer Lowe - Updated: 2 Dec 2019 | comments*Discuss
Business Start-up New Business Setting

Money is one of the main concerns for any small business owner looking to start-up on their own.For new businesses, there is financial help available. However, the application process is often very complicated and can be a stressful process.

There are a number of different schemes available to budding entrepreneurs and each of them has a different set of criteria.

The government, local authorities and various groups within the community offer funding schemes to encourage new businesses to come to the area to help the growth of wealth and create new jobs.

Business Start Up Grants Explained

Business start-up grants can come in a variety of forms and can be put towards a variety of things relating to your business, from recruitment and training to partly funding the entire project.

The Direct grant is awarded to cover activities, including employee training, recruitment or capital investment projects. With this scheme, the business owner is responsible for raising 50 per cent of the cost.

There is, however, the option of a repayable grant. This type of cash funding is offered to new businesses that are confident that future revenues will cover the repayments. From the outset, this seems like a dangerous route to take. However, if the business venture fails then the grant is written off.

Getting a loan from a bank can often seem rather daunting to a new business owner, especially if the business is still in the pipeline. A soft loan, however, is a special grant that has more generous repayment terms. These terms may come in the form of a lower interest rate, for example.

Another option would be equity finance. This basically means that a significant amount of capital is invested in the business in return for an equity share.

The hopeful outcome would be that the value of the firm increases by enough of a margin that the original stake can be returned to the investor. However, this form of public funding has fewer expectations and less stringent requirement than, say, that of a venture capitalist, an example of which you might see on Dragons' Den.

Business Training

It is often the case for a new venture to be in a situation where a particular set of skills are needed, either by the new employees or the employer. There are a number of schemes that offer training courses for free, and others at a subsidised rate.

Train to Gain was launched in 2006, and since then it has helped more than 52,000 employers to improve the skills of their workforce and over 240,000 employees have taken part in training. The funding available to these providers was doubled in November 2007 and plans have been made to further develop the service. It is hoped that the Learning Skills Council will be able to offer a skills brokerage to aid employers in their search for training in specific skill areas.

Train to Gain: A Plan for Growth was launched by Innovation, Universities and Skills Secretary John Denham and Learning and Skills Council (LSC) Chairman Chris Banks on 28 November last year (2007). A Plan for Growth sets out how more than £1 billion - around a third of the adult skills and further education budget - will be routed through Train to Gain by July 2011.

As well as the provision of more funding for a broader range of skills, the plan's key elements include the lifting of the funding cap for the best training providers, an increase to £30 million a year for small to medium-sized enterprises' (SMEs).

So, for example, if you are a Managing Director, Owner, Director or Senior Manager with direct responsibility for the leadership and development of your business, you could receive up to £1,000 of funded Leadership and Management training.

New Deal is a government scheme that aims to give people on benefits the help they need to get back into work. Specifically, the New Deal programme offers advice, support, training, job preparation and more.

Through the New Deal scheme, employers are able to contribute to the future success of their company through and tackle unemployment by employing staff with that have undertaken the appropriate skills training through this programme.

This scheme was set up to assist people back into the workplace and in some cases Employers will be paid a subsidy for six months towards the cost of Employing a New Deal client. This will be £60 per week for an 18-24 year old and £75 per week for someone aged 25 or over.

The easiest way to find out what is offered in your region is to call your local council and talk through your needs with one of their advisors, you never know, you could be eligible for a grant that would save your company thousands.

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I am a Trainer or an Instructor providing corporate short courses in business, employed by the International Training Institute in Port Moresby city of Papua New Guinea for over 20 years now. By next next year 2020 I am intending to resign in order to start my business in providing corporate short course training. In mean time I am knocking at your door seeking financial assistance of about U$60 000. The money is mainly to be used for working capital, such as buying 15 computers and other accessories for training purposes, refurbish a training room, a reasonable printing machine to print training manuals, certificates for participants, etc.Your kind support is a great blessing. to me and my family
BAGELO GOIOBU BAGELO - 2-Dec-19 @ 12:42 AM
I stay in Glasgow and am just wanting to know if there and grants for new business am in full time work am 32 i already have some money saved up but need about £2500
Cleaning - 25-Sep-19 @ 4:25 PM
Sorry I also need to know of s free or cheap business start up course that I can download and print off. Thank you. Ollie.
Oliver Ashton - 23-Jul-19 @ 10:21 AM
I am a disabledman of 50 years of age. I have a business idea of making soaps, Candles, Cards and Candy. Need finance of about £7000 to £10000 to start the first phase of my business of soap making and Card making. Then in a year time further finance of £5000 to make Candles. Then in 3 years time makingSugar Candy. I will sell via the internet and market stalks craft fairs etc. I would like assistance to draw up the business plan. Thank you. Ollie
Oliver Ashton - 23-Jul-19 @ 10:18 AM
My name is Esther Shikongol amcurrently working as health careassistant and support work with young children and adults. My determination is to have my own business in my community to help many single parents that are going through suffering like methat are not able to go to work because they're unable to afford child minders like me. I also want to expand my place with good andsuitable facilitiestobe able to provide a safe environmentfor the kids that are looking forward to havenew families through fostering good place where they can callhome .
Star - 10-Jul-19 @ 1:09 AM
We are women society from Kolhapur District in Maharashtra state of India. We are looking grant fund support for A2 milk production. We need grant fund for Indigenous Cattle farm ; cattle feedand hydroponic foder unit. Send us details for funding program and documents. Thanking you
Ashok - 4-May-19 @ 6:16 AM
Hi . I've been working in the dental trade now for 12 years . servicing X rays compressors suction motors and autoclaves for sterilisation .But now is the time to go alone and work for my self .I have the customers but not the money to set up .would I be considered for a grant
Spiderman74 - 2-Jan-19 @ 9:30 AM
Hi, I have run fitness classes for the last 6 years and last year decided to take the plunge and opened my own personal fitness club. I need help please. Cash flow is always tough and my main bill, the rent has to be paid. Is there any help for women in business who need advice or even a help with a grant to promote the business ?
Gym buddy - 12-Mar-18 @ 4:06 PM
tired - Your Question:
Getting small grants for business equipment is like trying to pull out your own back teeth, very few can manage.I have been trying for years to get a proper laptop and drawing monitor for my Fashion and Creative Arts business but there are always numerous hoops to jump through that are irelevant to what I do.I have no plans to employ someone else and have outsourced as much as I can to keep things simple and have tried cheaper laptops that I can barely afford only for them to struggle to cope with 3d modelling programs and eventually kick the bucket.As a self-employed, student and single parent with recurring depression it's exhausting trying to make life better for myself when the people who claim to have the funding/support needed make it impossible to access.

Our Response:
If this equipment will help you with your business and will result in profit in the future, it might be worth looking at a business loan. Check out the fair finance initiatives etc.
GrantsExpert - 5-Dec-17 @ 12:53 PM
Getting small grants for business equipment is like trying to pull out your own back teeth, very few can manage. I have been trying for years to get a proper laptop and drawing monitor for my Fashion and Creative Arts business but there are always numerous hoops to jump through that are irelevant to what I do. I have no plans to employ someone else and have outsourced as much as I can to keep things simple and have tried cheaper laptops that I can barely afford only for them to struggle to cope with 3d modelling programs and eventually kick the bucket. As a self-employed, student and single parent with recurring depression it's exhausting trying to make life better for myself when the people who claim to have the funding/support needed make it impossible to access.
tired - 2-Dec-17 @ 8:12 PM
I am starting a business. Doing cafe sandwich shop . I have so much of the funds that I need . Just need that bit more funding .. could I get a grant or funding thanks troy
Troysten - 17-Aug-17 @ 4:08 PM
if you are a Managing Director, Owner, Director or Senior Manager with direct responsibility for the leadership and development of your business, you could receive up to £1,000 of funded Leadership and Management training. As quoted above in your statement can you advise how I can access this grant funding please
kaks - 30-Apr-17 @ 8:47 PM
My business partner and I are in the process of making an application to open a Family Assessment Centre, we have purchased the property and have self funded some of the renovations. Can you advise if there are any grants available forthe following 1. New business start ups in Wales 2. Purchase equipment, computers,and hi tech equipment. 3. Renovation and development of the property 4. Purchasing equipment.
kaka - 30-Apr-17 @ 8:44 PM
i am a mother with two unemployed daughters. i want to start a business of growing chickens and sell them. my challenge is money to build for them and to buy chicks and to feed them. again i dont have money to make business plan. i have a business partner who have space and knowlege of this business .can you please help me.
tsuna - 24-Mar-17 @ 7:33 PM
HeyMy name is lenah, and I'm working as a cashier part -time.I did courses of business business start ups and obtained the certificate of that course.I'm a person who is determine, to have her own business so that I can help my kids and also our community especially for does who have qualified and skills to provide for their family. I also have thequalifications on the diesel motor mechanicand also in the cleaning side. The reason why I wanted to openMy own company is because of the suffering,love and fulfilling the goal and dream of our country especially for those who did have the opportunity to go to school but end up being unemployed just like know. The business that wantis fixing car and giving the job for those whocame to school so that they can help their families and also to fulfilled theirdreams. My prayers to God is if I can havefunding or grant so that dreams of our youth and theirparents can come true
linky - 14-Jul-16 @ 9:51 AM
I wan to start clothes business to serve my people from travelling to far towns to buy.
brain - 25-Apr-16 @ 2:24 PM
My story is that I'm 38 an my eldest daughter is 19 now an studying buisness studies at volleyed with very high prospects an we have decided that we would love to go into property development together an buy our first property together to renovate to a nice standard an sell on at a healthy profit , now we have looked into this 8n great detail an we don't want to pay to much for the property an would love to put our stamp on in to most if not every body's liking an carry on to keep buying more until we have earned enuff to build up a portfolio and start to rent them out now 8 don't know if I'm on the right site here to get this help but I know that if I put a good buisness plan in place then we have a good chance of getting g this off of the ground an doing well we would do some of the decorating in the property's our selves but the other work we would hire others in , now we have good contact to help us with an electrics or building work that needs to be done but pkz can some body let me know wot is the chances of us getting g the help we need with this probject as it something that would get us off the bennifits an help us provide for our children together as my daughter has just had her child an I have 2 age 3 an 5 so it's vital we receive the correct information as we take this very serious so any help or feed back is most apreciated thanks lynne
Mrs c, - 21-Feb-16 @ 9:46 PM
I am man aged 30 looking for a fund to start my own business lodge or hotel .I am working in the one of the lodge based at niani as marketing representative
manu - 24-Jan-16 @ 7:19 AM
as you know the arts and crafts industry in the uk is a multi million pound business, but the craft fair is firmly stuck at the beginning of the last century. we intend to change that and bring the arts and crafts movement into the high streets of our towns and cities. One of my problems is because i have walking difficulties and i am over 50, no one takes me seriously. Another problem is finding properties suitable for our shops, most do not have disabled toilets, not just for me. A surprising amount of crafters are disabled, so the question is are there any grants available so that no matter what property we get we can put a disabled toilet into it. this would mean that we could help more people become self employed. Not only that but one of the things we aim to do is help those who suffer from trauma, whether it is physical, mental or both, to use crafting as a way rehabilitation. Also are there any other grants that i would be eligible for? thank you
misspiggy62 - 28-Sep-15 @ 9:38 PM
I would love to start a home base meat processed food like sausages, ham and preserved eggs. I wish I could get a grant to start it up. Please advice me. Thank you.
Jes - 21-Sep-15 @ 4:48 PM
hii have been in the cleaning industry for many yearsworking from shopping complex,train cleaning,and my current job cleaning with in a museum now i enjoy cleaning but i think i need to start up a cleaning buisness but i think there are skills that are missingwith in me and i would like to put these skills in to my new buisnesswith going on training coarses that give a speacialized cleaning could i get a grant or some sort of funding to help me do it
craigso1 - 9-Jan-14 @ 7:28 PM
I am 56 year man and disabled , I am a working Luthier in Guildford Surrey I lost everything I had in a con , My Home , Business and my recording studio and all the money my Grandparents left me . Now I am starting over Making and refurbishing stringed instruments , Mostly Guitars Violins Banjos Ukulele AKA Bonsai Guitars , I have made over 300 Guitars in my life . I have been given written permission my the Duke of Northumberland`s agent my Land Lord to build a studio workshop in my garden, This will allow me to work again as a Luthier However I do not have the funds to do this , To put together this business will cost £60,000 this funding will able me to make many of the things that other luthiers have to buy from the USA, as well as making my own instruments for sale . If I am unwell in the day and feel better at night I can start work as everything I need is at hand. I also have plans to take on two trainees one of whom is disabled . I look forward to hearing from you at your convenience Kind Regards Phill Marsden-Scarfe I hope the word in the box below is not an omen
Phil M-S/ Phillippe - 9-Sep-13 @ 2:25 PM
Hi i have started a business which is a play junction for kids so i would love to ask for some funds from lotto to run my business succesfully thank you
Joyce - 3-Aug-13 @ 11:18 AM
Continuing: ? ? In order to be able to achieve have me all as I have mentioned as above:I will need: ? The UK’s Business grant bodies from the UK Government to offer sucha small funding toward Care4you _Viet Nam Centre but to gain a massive benefit as mentioned as below as: o Care4you_ Viet Nam Centre will be a great asset toward all involved as I has stated as above. o o help & assist the UK government offering highly and effective practical training office skills experiences for life and help to set up a self business development skillsfor communities & as well as help to reduce the unskills ongoing claim Jobs seekersallowance and housing benefits to become a skilful Jobs seekers and managed tobein employment for many years to come o o helping the UK’s Government to be more helpful toward the whole communities by practical spending in most effective achievement practical proven projects rather than just spending massive money in to employing many staff for just adding s the numbers of services available because of well proven projects in theory announcement only. o I am also looking for the practical help in for not grant / funding / loans from the private trust / bodies / organisations as well as from the National Lottery, BBC children In Needs, National or local County & Borough Council in order to expanding my care4you_Viet Nam Centre projects but also you are welcome in your advice & practical involvement in practical process for many years to come.
Natalie Diem Tien - 28-Jul-13 @ 2:50 PM
I have great multiple experiences & Skills from: I had 1.self designed community as well as a business planning projects with highly effective action performer & management trainer, 2.a vast proven successful target with high levels skills in office management trainers for over 30 years, 3.also been successfully in managed to get many fundraising grant from many County Council, Borough Council, Social Services levels but also managed to obtained many different kind of grant / funding from BBC Children in Needs, National Lottery and other grant / funding bodies for the Vietnamese communities for over 23 years. I am presently started to set up my own business as Care4you_ Viet Nam Centre with the aims of 4 ways benefits as mentioned as below:I will be going to: Have myown successfullyself- business as a Care4you_ Viet Nam Centre Help me employ more staff when Care4you_ Viet Nam centre has more demand in wellknown centre of offering a great help and opportunity tohelp UK’s communities as a whole Be a solid bridge’s named “ the languagebarrier crossing “ in order to assist the fully understand of English communication fromthe National local government statutory Agencies via the Vietnamese & other ethnic minorities Nationally in UK Help the British Government projects in training such multiple office skills for all levelsin practical skills for life to for not only from well educated young undergraduate degree to ongoingUK ‘s Job seekersas well a Care4you_ Viet Nam Centre is willing and in a position of offer practical support&advocacy anyone who in need s of improve the knowledge in different idea in career prospects, in order to reduce the unemployment people in UKand will be producing more skills & experience Jobs’ seekers ready for jobs seeking in action & more JS will be placed in jobs/or setting up a small self business for many years to come. To offer a highly rate of success in reducing the unemployed jobs seekers proper skills and practical experiences to the real confident in office and others related skills jobs seekers to obtain a ready in with others when apply for a desire job/career for life and after they have gone through the practical training at the Care4you_ Viet Nam Centre. Have many more offers and opportunity in due course as for not only the care4you_ Viet Nam centre director has so much skills and experiences in life to offers but always looking for others who have such as kind hearted and will to offer a chance or willing to be side by side with her to help the practical improvement of UK‘s Government services to the whole communities in UK from 2013 onward. ? ? In order to be able to achieve have me all as I have mentioned as above:I will need: ? The UK’s Business grant bodies from the UK Government to offer sucha small funding toward Care4you _Viet Nam Centre but to gain a massive benefit as mentioned as below as: o Care4you_ Viet
Natalie Diem Tien - 28-Jul-13 @ 2:43 PM
I am 50 years old and I am in the process of setting up a rubber recycling plant which will take at least 5 people off unemployment benifits and into work. This is proving difficult as I am a single parent and myself unemployed but things are moving forward slowly. I am looking for help in funding and advice from councils and organisations in the local area and would appreciate any helpor advice you could give. Thank you and I look forward to hearing from you Cheers mickyjay
mickyjay - 9-Jul-13 @ 12:50 PM
Am 25 years old from Tanzania,east Africa, holding a first degree of public relations and marketing.I want to employe myself,and I want to start by engaging in Agricultural activities because it can fast speedup my capital to establish other activities.But my problem is capital to starts engaging in such activities,can you helpme a loan if not a grant.Please help me about 4000 US dollars,only such amount of money andpoverty life will be history to me since Agriculture is the backbone of our economy.Please help me because since I completed my studies last year,I remained unemployed and I'm interested in doing my own business activities rather than be employed by others. Am waiting to hear from you soon.
kals j - 13-Jun-13 @ 10:59 PM
Im 48years old i want to set up my own cleaning buisnessi have several years experience i have supervisary and management experience i just need to no if i can get any form ofgrant to help me get started
Jan - 2-Jun-13 @ 1:31 PM
I wish I can get a business grant to start a businessI been on j.s.p for three years I oil need 1500.00 to start a wallpaper shop in Nottingham I worked in a shop but she closed I no can make a go of it please can any one help methankyou. Paul.
none - 25-Mar-13 @ 12:48 AM
im 25 years old and looking to get some kind of funding to set up my business, im an artist and have a small collection of custom designed tshirts all handpainted, i've studied art for a long time now and have tried a fair few places for a grant but due to bad credit i have been turned dow, any kind of help would be really helpful, thanks for your time,
mikeo - 21-Mar-13 @ 9:13 PM
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