Good advice: Age no bar to starting a business

Jun 30 2008 by Suzanne McCreedy, The Journal

SETTING up and sustaining a business is a real challenge and young people can find it particularly hard to turn business ideas into a working reality.

However, with the right approach, guidance and support from Business Link, young entrepreneurs can succeed.

Before launching a business, it is worth considering whether you have the typical characteristics of an entrepreneur – often said to include persistence, enthusiasm, ambition and self-belief. This list is not exhaustive, nor is it intended to be a blueprint for becoming a successful entrepreneur.

Ultimately, there are no hard and fast rules.

When setting out, entrepreneurs could consider their skills, interests and hobbies to see if any have the potential to be the basis of a profitable business.

It is also important to think about short, medium and long-term goals.

An important part of the service which the Business Link website provides to young entrepreneurs is guidance on setting up legal structures. This structure will have an impact on the number of people that can be involved, the profits received, financial liability, the records a business is required to keep and the tax and National Insurance it will be required to pay.

There are several structures to choose from, including registering as self-employed, as a limited liability partnership or a franchise.

Business Link can help young entrepreneurs to choose the most appropriate one, for example, if an entrepreneur wants to carry out work for a number of clients, be responsible for losses and profits and hire people on their own terms, then setting up as self employed would be suitable.

The Business Link website can help young entrepreneurs to set up and register under their chosen structure.

Young entrepreneurs may encounter obstacles when setting up a business because of their age. Securing finance may be the biggest hurdle to overcome. Without a track record and with few assets to use as security for a loan, it can be difficult to raise money.

There are a number of schemes that can help and Business Link is able to advise on which ones are the most appropriate.

A lack of business experience can also seem an obstacle.

Talking to experienced entre- preneurs can be helpful as they may have faced similar problems and can offer guidance on how to overcome them. There are various valuable mentoring schemes available.

By Suzanne McCreedy of Business Link