Given the last two turbulent years and the challenging economic conditions, it seemed like a good bet that the number of people setting up their own businesses could fall. But it seems that the opposite may be true. In addition, as a business startup owner, you need to know about all types of business structures, such as sole proprietorships, partnerships, limited liability companies, and corporations. The advantages of an LLC include limited liability protection, pass-through taxation, management flexibility, and tax advantages. Choosing the best state to register an LLC and considering these structures are also important to the success of your business.
New research from small business support organization Enterprise Nation shows that one-third of adults are considering starting or “earning” a business this year — with nearly half of 18- to 24-year-olds considering such a move.
Of those who wanted to start their own businesses, just under a third said they wanted to follow their dreams or earn money from a skill or hobby.
Vision: In Good Company’s Alex Birtles and Sarah Kingston
Emma Jones, founder of Enterprise Nation, which is hosting its annual StartUp Show for entrepreneurs this month, says: ‘There is a huge hunger to start a business in the UK.
Recessions are known for motivating people to start a business. Usually the reason is unemployment, but this time many are planning to start a side job in addition to a full-time or part-time job.’
We speak to some of those who started their own businesses and find out how they did it.
Tess Caven, 56, from Essex, will be launching the charity walking app Trundl in the coming months with founder, Hil Mines, 54, from Cheshire.
“A recession may seem like a crazy time to start a new business, but a lot of people have new business ideas when times are tough,” says Tess.
“Only the brave launch when there isn’t much money in circulation. It means you really need to add value and fine-tune your business idea to be more likely to succeed. In addition, post-Covid, there is a general sense of the need to make the most of every moment you have.”
Trundl, which kicks off in “soft-launch” mode after nine months, helps transform a daily walk into a fundraiser for charity.
Users sign up for £3.99 a month and hit ‘Go Trundl’ in their app when they go for a walk. The more steps they walk, the greater the amount Trundl will donate to the chosen charity.
At least 10 percent of revenues go to outdoor activity and mobility charities such as National Parks and The Trussell Trust.
Commercial brands can sign up with Trundl to offer discounts on products like hiking boots and pet food, which also generates revenue for the website’s charitable partners.
Companies can buy Trundl memberships for their staff or sponsor specific walks.
Tess adds: ‘Trundl itself is not a charity, but a social enterprise that collects money for charity. It’s creating a community of people who love their daily walk or run and want to put their steps to good use.’
Former telecoms executive and consultant Alex Birtles, 36, is the co-founder of In Good Company, a website and app that helps people find the best ethical and sustainable companies in their area.
The website will go live soon and will initially focus on London before expanding to other parts of the country. Over the past year, Alex and co-founder Sarah Kingston have been hard at work building the site and forging partnerships with local retailers.
Alex says: ‘The pandemic turned people’s attention to their local environment and sense of community. I wanted to build something that would make it easier to find local businesses. Everyone has less disposable income these days, so it’s very important where they spend their money.’
Alex and Sarah both work full-time on In Good Company and have funded the company through a mix of grants and fundraising from friends and investors.
The app is free for users, but generates revenue from businesses that sign up for the site.
Alex says: ‘We applied 30 companies, from a zero-waste grocery store to an ethical coffee company in Shoreditch, East London, and a sustainable home goods company. We work with a number of accreditation providers, such as the Living Wage Foundation, so all the companies we have on the list have been verified.”
She adds, “I’ve worked in large organizations before, so it was quite a journey to start a business when I was in my mid-thirties. But I love it.’
Gardening passion: Holly Tyers launches Can I Dig It? next month
Holly Tyers, 49, from Batley in West Yorkshire, is a gardening enthusiast, but with busy, full-time jobs she could never devote enough time to her passion. Then she came up with the idea of The 15 Minute Gardening Club.
Subscribers receive packets of seeds in the mail every month, along with instructions on how to grow them.
“It’s perfect for the permanently busy person who wants to live a more sustainable life,” says Holly, who runs her company Can I Dig It? next month. She adds, “Subscribers also receive bite-sized chunks of information and motivational messages telling them exactly what to do with the seeds—and when.”
Subscriptions cost £24 per month and customers receive four packs of seeds each month – everything from lettuce and beetroot to sweetcorn, carrots and onions.
“People may think they don’t have time to grow their own vegetables,” says Holly. ‘I will show them how to grow lettuce all year round and how to organize their vegetable garden.’
Mark Morton, 54, from Bromley, Kent, was bullied at school and suffered lasting effects on his mental health. Later in life, he decided to do something about it.
“I finally realized I had to deal with it, and I did it with a combination of therapy and self-help, including journaling,” he says.
Keeping a journal, writing down thoughts and feelings to better understand them, is good for mental health, but, says Mark, “it’s often hard to know where to start.”
This led Mark to start Journalise, making and selling magazines that each day have a page with an exercise to do, or a prompt to meditate and relax.
“I’ve added things like habit tracking and a goal list so you can write down what you’re doing each day and where you want to go,” says Mark. “You can write down your gratitude, or things you want to deal with. It means you don’t just stare at a blank page and wonder what to write.’
Mark found a manufacturer to produce the magazines and is launching a Kickstarter campaign later this month to raise money for his fledgling company.
‘It would be nice if it helps people with their mental health,’ says Mark. “After everything that’s happened in recent years, this feels like the right time to launch.”
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