Win £3,000 for a Joke!

A new contest has been launched that will see one lucky winner receive £3,000 – all for a one-liner joke. Here’s what you need to know…

Flaming Grill, of Greene King pubs and restaurants, recently launched a survey that revealed just how much Brits believe in banter. However, there are some things we don’t like to be teased about, regardless of who is telling the joke!

Over 20% of respondents said that a joke about finances was in their off-limits lists, as were intelligence, love life, and fashion sense coming in close behind. Almost one third of millennials said that their usual response to banter is to reply with a sarcastic remark, while only 79% of those aged 65 and older laughing it off instead.

There were a few things people did agree on: the line not to cross includes jokes about mental health, physical appearance, and gender or sexuality, with the majority of respondents saying they’d avoid jokes about these topics. But when it comes to grilling your friends, 12% said there is nothing off-limits.

So, how does this all tie in to a chance to win £3,000? Greene King have decided to award their favourite one-liner response with the cash prize! All you need to do is submit a single line joke that you’d like to use to banter with your friends and family, and the winner will walk away with £3,000.

Hurry – the competition closes on Tuesday 7th May 2024. Full details and entry here.

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5 Professions Desperate for Workers

Updated 18th April 2024

With recovery slow after the huge economic impact of the pandemic, and current global upheaval disturbing markets, PLUS the cost of living crisis, it’s easy to see why many people are worried about their jobs, while others know it could be time to change careers to secure their future.

Here are some professions you should consider if you’re looking for a change:

• Adult Social Care
• Architects
• Programmers and Developers
• Plumbers 
• Drivers
• Got a question about employment?

 

1. Adult Social Care

Adult social care is a bigger employment sector than the NHS – and yet there are around 152,000 open vacancies. This number reduced slightly when the Government introduced the Health and Care Worker Visa, but with strict immigration laws in place now, the number of open vacancies remain open as retirement living centres, residential carers, and those working with adults with learning or physical disabilities in independent living homes cry out for support workers.

You don’t need qualifications to get started in many adult social care professions, as training will be provided. Hours can also be more flexible if you want a part-time job, and others might offer accommodation with the role as a live-in carer. If you’re compassionate and like people, adult social work could be for you. Most jobs will require a DBS check – it is worth registering for the annual check update to ensure your DBS is always up to date which makes moving jobs much easier.

2. Architects

This is one of those long-game professions that will pay off big time. Training to be an architect takes seven years – but the end result can be a healthy salary of £80,000 or more.

You can train solely on a university course, or take an architect apprenticeship which gives you work experience and a salary to learn ‘on the job’. Starting salaries for fully qualified architects are around £30,000 quickly rising to £75,000 or above, particularly in London and other metropolitan areas.

Architects are in demand as the UK tries to keep up with the need for more housing as well as improving city centres with public architecture that is accessible and provides pleasant surroundings. It is the type of job that will always be needed, even as we move into a digital age – computers can do the drawings, perhaps, but the vision and skill required will always be human-focused.

3.Programmers and Developers

Software developers and computer programmers are in increasingly high demand as world digitisation shows no sign of slowing down. Companies that previously had openly spoken against tech developments like AI are now investing in the UK and crying out for staff – such as Microsoft’s new centre for AI, which is opening in London soon.

It might seem that getting a computer job while we’re teaching computers how to run without our input is putting yourself out of a future job, but that won’t be the case. AI is a tool that will always need human input at some stage – and we’re still very early stages in the technology development. A software developer starting salary is around £26,000 but can quickly and easily rise to well into six figures for those who show they can handle complex scripts and have good problem solving skills.

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4. Plumbers, Bricklayers, Construction Workers

Professions that can’t be automated, like plumbers and construction workers, are in dire need of new recruits. A recent study by Checkatrade revealed over a million new recruits are needed in the trades to fill the huge skills gap the industry currently faces.

Some of the problem is recent changes to UK immigration law, which has eliminated a large portion of the potential workforce from qualifying and taking up vacancies. Schools are also not promoting the possibilities of apprenticeships to their students, while parents are worried about the stigma of taking an apprenticeship instead of following a university-based further career path and that it might limit their child’s financial opportunities.

These fears are unfounded: the average salary for a qualified contract plumber in the UK is £31,000 – and self-employed plumbers earn around 8% more. Bricklayers can expect to start on around £20,000 rising quickly to an average £46,000. Carpenters and joiners earn an average of £37,000 a year rising to over £50,000 with experience. These salaries also rise considerably if you take further qualifications and specifications, such as being able to operate heavy machinery.

5. Drivers

Logistics companies and local courier services are crying out for drivers. The pandemic saw so many businesses turn to online ordering and delivery – and most have kept it in the years since. Food delivery, for example, is a popular way for many people to earn some extra money on the side a few nights a week – and there are always vacancies because it’s a service that is in constant demand.

There is a national shortage of bus and coach drivers, which impacts travel infrastructure. Since the pandemic, there has also been a shortage of national and international HGV drivers. In response to this, the Government is considering relaxing the age rules from the current minimum age of 21, to allow for recruiting drivers from a wider age range.

Professions in driving don’t have to be something that takes you away from home for a long time – such as bus and coach drivers working relatively regular shifts in a local area on a salary around £30,000 a year. However, if you are prepared to drive longer distances, the salary can be significantly higher: an HGV driver can earn upwards of £50,000 a year.

 

 

Disclaimer: MoneyMagpie is not a licensed financial advisor and therefore information found here including opinions, commentary, suggestions or strategies are for informational, entertainment or educational purposes only. This should not be considered as financial advice. Anyone thinking of investing should conduct their own due diligence.

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Make money from the local elections – be a poll clerk

Updated 15th April 2024

The local elections will be held on Thursday 2nd May 2024. Many people don’t realise that local elections are more than a chance to cast your vote — they are an opportunity to make money!

When you vote in any election, you’ll have noticed the poll clerks overseeing everything.

However, have you ever considered making a bit of extra cash as a poll clerk yourself? Can you make yourself free for the whole day?

If so, you can earn around £250 for a day’s work in a polling station. It’s a quick and easy money-making idea and ideal if you are retired or a student.

• Who Can Become a Poll Clerk?
• What’s Involved?
• How Much Can I Make?
• How Do I Apply?

Who Can Become a Poll Clerk?

Anyone is eligible to act as a poll clerk, providing they are over 18, literate and numerate and not have worked for a candidate standing in the current election. You must also have the right to work in the UK. There are some things you need to declare on your application form too, including whether you are a member of a political party, you’re an active campaigner in the elections, and if you’re a close relative of a current candidate. This may not go against your application chances, but it must be declared.

The only other requirement is that applicants must be on the electoral roll – if you’re not, you really should be. Not being on the electoral roll can damage your credit rating!

If you’re not on the electoral roll you can register to vote on the Government’s official website. You can also find your local Electoral Registration Office by clicking here. Alternatively, give your local authority a call. 

What’s Involved?

As a poll clerk, you are there to set-up the polling station and make sure correct procedure is followed throughout the day, including after voting closes.

Your duties include checking people are eligible to vote, checking and marking electoral numbers, stamping and issuing ballot papers, and, crucially, making certain that votes are cast in secret and put into the ballot box. For the first time ever, all in-person voting requires photographic ID at all polling stations in the UK for Parliamentary elections – so you’ll need to have a good eye for faces, because you’ll be checking voters’ IDs to confirm their identity.

You answer to the  Presiding Officer, who is the official in charge of a polling station.

It’s a long day, usually from early morning (usually 6am) till at least 11pm when the voting finishes.

You can also apply to help count the ballot papers in the evening, but be aware that this is, as you can probably imagine, pretty frantic work. You’ll need to be able to work well under pressure and also focus in busy environments.

For more information on the duties of a poll clerk, and the requirements to become one, look at the Handbook for Polling Station Staff here.

 

How Much Can I Make?

The amount you earn varies from council to council so it depends on where you apply.

You should be getting at least £150 for the day and councils who pay the most will offer £250 or more.

To find out how much your local council pays, simply visit their website and search ‘poll clerk’. For a list of local authorities in England and Wales, click here.

It’s also worth bearing in mind that if you have worked at a polling station on at least two other occasions, you can apply to become a Presiding Officer, which means more money! (For example, a Presiding Officer in Herefordshire makes over £350 while in Merton, London, it is £430. 

There are other roles available which may not require you to be available for the full day. Bristol Council has some great videos and leaflets describing the different job roles and expectations.

How Do I Apply?

Usually, poll clerks have worked for their local council, but this experience is not a prerequisite. Most councils and local authorities have information on how to become a poll clerk on their website. Either visit their website and search ‘poll clerk’, or simply Google ‘become a poll clerk’ followed by your town, city, or council. For a list of council websites, click here. 

Alternatively, you can call your local authority and ask for the Elections and Registration Office, or send them an email telling them that you’re interested. They’ll send you a form if they need clerks. Don’t leave it until a week before an election to apply because the positions will probably already be filled – it’s better to apply sooner rather than later.

Some local authorities recruit all year round so you can keep applying and be put on a waiting list for the next election.

If you are selected as a poll clerk you will attend a training/briefing session and then be sworn in the day before the election.

On Election Day, a Presiding Officer oversees the whole station and will supervise and instruct you.

Have you ever made money as a polling clerk? Do you have any other good money making ideas? Let us know in the comments section below – we love to hear from you!

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10 Ways to Stay Motivated as a Freelancer

Updated 4th April 2024

Going it alone as a freelancer is a brilliant feeling… until the work seems to dry up or get repetitive. Staying motivated as a freelancer is essential for your business success – but it can take a bit of tough love and discipline to keep going!

Use these strategies to stay motivated and keep pushing your business forward, even when you’re in a bit of a slump. You’ll feel productive even on days without client work AND you’ll get out of the doldrums, too!

• Join a Virtual Networking Group
• Diarise Your Day
• Set Goals
• Change Your Workspace
• Exercise Daily
• Get Dressed
• Make an Appointment Every Day
• Take Regular Breaks
• Use Apps to Improve Your Focus
• Arrange Social Engagements
• More Freelance Tips

Join a Virtual Networking Group

One of the most effective ways to find work is through your network. It doesn’t matter if you’ve been freelancing for years or you’re just starting out! Finding an industry group to join will make a difference to your work.

Not only will you earn referrals and hear of job opportunities through your group, but you’ll benefit from ‘shop talk’ with a wide range of people. Freelancers aren’t as competitive with each other as you may initially believe. In fact, they’re a supportive group of people who champion others who’ve taken the freelance leap!

Look for Slack communities, Facebook groups, or LinkedIn groups to start with. Look at your local Chamber of Commerce to find out what they’re doing in terms of virtual meetings. They’re a great way to meet other local business people AND promote your work without being too salesy.

Some groups run webinars, others like a Zoom meeting. Some are continuous chat channels like Slack, that you can dip in and out of depending on how much time you’ve got. Keep regular contact and answer questions as well as asking them. Giving back to the community makes others more receptive to helping you out, too.

Diarise Your Day

Even if your books are bare and there’s no work coming in, spend time planning your day or week in a diary. Stick to your appointments!

Block out times for research, cold pitching, or training webinars. Use the time you’ve got spare to learn more about your industry or how to run your business. These skills come in handy later on, so it all counts as business-related activity even if you feel it’s not earning you money right this moment.

When you’ve got a lot of clients on your plate and you’re juggling tasks, a diary plan helps to break your workload into manageable chunks. Set out blocks of time – say every 60 minutes – and write a schedule for your work. Include time for social media and emails, too! Often, block-checking emails then ignoring them for an hour or two is a great way to improve focus and productivity.

Set Goals

As part of your diary planning, or a larger project, make a list of goals. These could be short-term business goals for the week or month, or longer goals such as what you want to achieve by the end of your first year freelancing.

Having something to focus on and work towards keeps you focused on work and reminds you why you went freelance in the first place. When work is slow, these goals help you decide what you need to do next to get where you want to be – such as taking extra training courses or increasing the number of cold pitches you do each week.

Change Your Workspace

Working as a freelancer at home means you can go a little la-la from staring at the same four walls.

If you’re stuck in a rut, change your workspace. This could mean any number of things: rearrange the furniture in your home office, or move from the sofa to the kitchen table. Perhaps you can take your laptop to the local park for an afternoon of work in the sunshine, or maybe you can visit a friend to work together at their place.

Regular freelancers who don’t have a home office, or like the differentiation of work/home space, find co-working spaces revive their motivation. You get the benefits of going to an office, but for your own business. Look for local workspaces in your area – you can often rent a hotdesk space by the day or week, and some offer free trials to get you started.

And remember one of the best, free, places to work: your local library. Many now have cafes too, and lots of useful resources – even things like business networking events sometimes – so make sure you check out your local library. It’s warm and dry, friendly, quiet, and FREE. Sounds perfect to us!

Exercise Daily

There’ll be days when you feel like you’re too busy to get some exercise, and other days when your motivation for doing anything except watch Netflix is nil. Don’t let it get to you!

Take time for at least 15 minutes of exercise – even on the days you don’t feel like it. Not only does it get you away from your desk/bed/sofa, but exercise also stimulates mental ability and can help you find inspiration. It also staves off depression – and is something you can do with a friend, to boost your social interactions, too.

Try the NHS quick workouts, pop to the gym to lift some weights, or get out for a brisk walk around the block. Alternatively, start your day with a yoga routine to feel invigorated, or arrange to meet a friend for some tennis or a kickabout in the evening after work.

Exercise doesn’t have to cost you a penny, but it’s essential for keeping you motivated as a freelancer. It helps you find mental clarity, boosts your health so you’re not at risk of taking (unpaid) sick days, and helps relieve strains from poor posture sat at a desk all day.

Get Dressed

Your pyjamas might be the comfiest clothes you own – but it’s not going to put you in a work state of mind!

Every day, get up and get dressed. Even if you’re changing from ‘sleeping PJs’ into what’s officially known as ‘lounge wear’, that act of getting changed into something different helps change your mindset into work mode.

Some people find the simple act of putting shoes on is all it takes to give them confidence for that all-important client call! It can help you feel like you’re a professional at the office (which you are, just at home), and resets your thinking into a business-like attitude.

At the end of the working day, change back into your PJs! This helps signify the end of your work time and start of your wind down evening time.

Make an Appointment Every Day

Treat your working week as if you’re going to the office. Even if you’re a part-time freelancer, use your working days as efficiently as possible.

Avoid losing focus by making sure each work day has at least one appointment in it. This might be calling a potential new client, catching up with an existing one, or attending a training webinar. Just pick something that forces you to get your business head on!

It’s also a good way of making sure you’re moving towards the goals you set. An appointment doesn’t have to be with a client or potential customer. It can be an appointment with yourself! Promise yourself you’ll spend one hour reading about a topic, or that you’ll spend two hours developing your business plan. It puts your business at the forefront of your daily routine – and helps you stay motivated as a freelancer.

Take Regular Breaks

On the flip side, don’t stuff your day with back-to-back calls if you can avoid it! The likelihood is, you chose freelancing to get away from the 9-5 grind and find a flexible way of working that suits you.

The trouble with that – plus the knowledge that you’re responsible for every penny that goes into (or out of) your pocket – it it’s easy to get carried away. You’ll realise you’ve been sat in the same position for hours on end, trying to finish your latest project or sending off ‘just one more pitch’.

Set a timer on your phone to go off every hour. Get up, stretch, make a cup of tea. Spend at least five minutes away from screens in each hour and revive yourself! Take a lunch break, too. Going full force all day long is the guaranteed route to burnout – and no freelancer stayed motivated when that happens!

Use Apps to Improve Your Focus

Sometimes, you can do everything right and yet still find it hard to stay motivated as a freelancer. The world in 2020 is a particularly big challenge: there are many, MANY distractions going on around us and it’s easy to get sucked into a mental wormhole about it all.

If you struggle to stay focused on your work during the day, consider using apps to help. For example, if you know that social media drains your time AND energy, use a blocking app on your computer. Apps like AppBlock let you set the times you are – and aren’t – allowed to access other apps on your phone or desktop.

It means that, even if you’re tempted to check Facebook instead of write that proposal, you physically can’t! You can go one step further with similar apps for things like writing, too: Cold Turkey Writer blocks EVERYTHING until you reach a set goal!

Many freelancers struggle with their focus overall. Staying motivated as a freelancer involves an ability to cut out the distractions – which are often caused by a busy mind and that leads to a lack of sleep! Try apps like Flipd or Calm to help you learn techniques for coping with a busy head. Meditation strategies and even the sound of a crackling fire to lull you to sleep at night can all help you manage your mental focus.

Arrange Social Engagements

Don’t forget to have a life, too! Staying motivated as a freelancer is nigh on impossible if you’re all work and no play. It’s so easy to keep cancelling plans because you want to work on your next pitch, or you’ve got client work you really want to get finished (even if the deadline isn’t until later in the week).

Taking time for yourself to have social interaction is vital to maintaining your motivation during your working day. Set time aside to spend time with your family, and make sure you have at least one full day off every week to do things with your friends, family, or even just some ‘me-time’ that’s away from your desk.

Social interaction is important for your mental health and maintaining your relationships. However, it can also boost your enthusiasm for your freelance work. Taking time away from your computer to do something entirely different gives your brain time to percolate ideas in the background. You’ll return to work revived! Going out to do things, like taking a walk with your family or watching a film with friends, also brings inspiration from other places that you can introduce to your work.

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Benefits and funding for the newly self-employed

Article updated 4th April 2024

Did you know there’s support for the newly self-employed? Even at this difficult time, there are still many resources of financial and business support you can access.

If you’ve found yourself with a sudden drop (or total loss) in your earnings, being self-employed could be the way to go.

So, what help is available for the newly self-employed?

• Universal Credit
• Help to Save
• Access to Work
• Personal Independence Payment
• Business mentorship
• Prince of Wales Trust
• Startup funding
• Peer-to-peer lending and ‘angel investors’
• Crowdfunding
• Local authority funding
• Social enterprise funding
• Training grants
• Apprenticeship funding

There’s a lot to get through, so let’s get started!

Universal Credit and Self Employment

Universal Credit is a flexible benefit. You don’t have to be out of work to access it. When you’re self-employed, you’ll submit a monthly assessment of your income and expenses.

When your net profit is below a certain amount (depending on your circumstances), you’ll receive some or all your Universal Credit payment. The months you earn more, you’ll receive less or no Universal Credit.

This means you can continue to be a UC recipient until your business returns a solid income every month. Unlike Job Seeker’s Allowance, which stops as soon as you find work, UC is an ongoing safety net.

You will need to prove that you are ‘gainfully self employed’. This means that:

1. Your job is your only or main income
2. You have regular work
3. You can show business activity, such as client invoices

There is something called the Minimum Income Floor. This varies from person to person, and is based upon what someone on PAYE in a similar role to yours would earn at National Minimum Wage. If you earn over this amount, your Universal Credit is worked out based on what you’ve earned over this floor (so deductions are made from your earnings to the level of the MIF). If you don’t meet the MIF, your Universal Credit deductions are based on what the MIF would be. The MIF only applies if you are not in a start-up period (see below) or you are gainfully self employed. If you are not gainfully self employed (for example, you have a main PAYE job and a small self-employed job on the side), the MIF won’t apply.

If you’re just starting out, you have one year during the launch of your business to get Universal Credit support without a MIF applied. You don’t have to look for other work, though you will meet with your work coach every few months. Your Universal Credit is based on your monthly income – and losses (such as a month where your expenses outweigh your income) are rolled to the following month.

Universal Credit eligibility

There are some limits to accessing UC.

You must:

1. Have less than £16,000 in capital or assets
2. Not own a second property
3. Apply jointly with your partner if you live together.

This means if your partner earns above a certain amount, you won’t be eligible for Universal Credit. You don’t have to be married – if you live with your partner, their income is taken into account.

Universal Credit, Self Employment, and Disability

Self employed people who claim Universal Credit but have a disability or mental condition which affects their ability to work full-time will be able to apply for a Work Capability Assessment. You will be assessed to decide if your health impacts your self employment opportunities, and could be placed in one of two groups for extra financial support if it is deemed your health puts you at a disadvantage to finding work. You will either be in the Limited Capability to Work group or the Limited Capability for Work and Work-Related Activity group – the former has some additional financial support, the latter has more (how much depends on your circumstances).

If you are found to be in these groups, other exceptions may apply – such as removing the requirement to meet the Minimum Income Floor after a start-up period.

Help to Save

If you do qualify for Universal Credit, you can plan to open a Help to Save account, too.

Once you earn above £793.17 in one monthly assessment period, you can apply for the account. You don’t need to earn this income every month – just the once. That’s your household income, too – so the £793.17 can be the total earned between you and your partner in one month. You can both open a separate Help to Save account.

Help to Save is a useful savings account with a hefty government bonus. Save between £1 and £50 each month, and the government pays you a bonus worth 50% of the highest balance you’ve saved.

The account lasts for four years, and the bonus is paid to you in year 2 and year 4. The maximum bonus you can receive is £1,200 (£600 in both year 2 and year 4). After the fourth year, it automatically closes and you can’t open another one.

This extra money – and savings habit – is a great way to make sure you’re setting aside some money for your tax bills. Things like Payments on Account can take newly self-employed people by surprise, so an emergency buffer like this helps.

Read our in-depth Help to Save article to find out more.

Access to Work

A little-known resource, Access to Work helps people with disabilities get the right equipment or help to do their job well.

Employers can access the scheme to receive a portion of costs for special equipment. Self-employed people, however, can use the scheme to have most or all of the cost covered.

The grant covers things like desk equipment or speech-to-text software. It can also cover things like assisted travel to and from a workplace, or support worker services. You can also get help with work support such as ADHD counselling and work coaches, to help improve your productivity and find ways to cope in work environments.

Access to Work is not taxed and doesn’t have to be paid back.

How to apply

To be eligible, you must have a disability (a chronic physical or mental condition that affects your day-to-day tasks). You don’t have to receive disability benefits to qualify. You’ll also need to be in paid work (including self-employment) or due to start paid work imminently.

First, apply online for an Access to Work grant. There’s a slightly different scheme to apply for if you live in Northern Ireland.

You’ll be asked about your health condition, how it affects your ability to work, and what equipment you need to help.

Next, someone will come to assess your needs either at your office or home (if you’re working from home). If, for example, you need a special desk chair, they’ll measure you for this at the same time. You may not require an assessment to receive your grant – or your grant could be delayed until assessments are available again.

If your grant is accepted, you’ll receive the report along with information about the equipment and supplier. You can then order that equipment from the supplier – and either pay direct and be reimbursed, or have Access to Work pay the supplier direct.
If you work from home, you may have to pay a portion of the cost (usually around 7%) if the equipment could be used for personal use. For example, if you order a foot rest for your desk, but use your computer outside of work hours, this is personal use.

Personal Independence Payment (PIP)

Personal Independence Payment is not means tested, which means you can apply whether you’re in work or not. It is designed to help people cope with the extra costs that come with having a disability. This might be hiring support workers, getting taxis if you can’t drive or walk with ease, or even things like getting a cleaner once a week so you can focus your energy on work-related activity instead.

You can spend your PIP on whatever you need to, in order to make your life a bit easier living and working with a disability.

There are two parts to PIP, and a lower and higher rate for each. You might qualify for one or both, at whichever rate an assessor deems suitable. The Daily Living component is £68.10 for the lower rate or £101.75 for the higher rate each week. The Mobility component is £29.60 lower rate or £71 higher. Qualifying for one component does not necessarily qualify you for the other.

Find out more and how to apply here.

Business Mentorship

Not strictly a funding opportunity or a benefit, but business mentorship programmes are a great place to start when you set up your business.

Your local Job Centre and your Citizens Advice Bureau will have plenty of advice about accessing local business mentorship schemes.

Getting a local business mentor means you’ll have access to important networking opportunities. They’ll also know where you may be able to access grants and funding on a local level, too.

Some local authorities run a business mentorship programme with lots of free workshops to educate new business owners on everything from marketing to managing taxes. You may also be able to access free (or very cheap) co-working office space, equipment, or storage units for inventory.

Prince of Wales Trust

The Prince of Wales Trust offers business mentorship and funding support to entrepreneurs aged 18 to 30, inclusive – so if you’re already 30 you can apply.

The Trust has an excellent reputation for helping young people launch their careers. Its team offers mentorship and support, from business planning through to funding applications and beyond. You can also access the Development Awards for some training grants, too.

Take a look around the website to see if they can help.

Startup Funding

If you can start your business without borrowing, that’s a great position to be in. However, most new business owners will need to borrow some capital to get their business off the ground.

Startup loans offer a low-cost way to fund your new business plans. You don’t need the same established business requirements of a typical business loan, either. For example, you don’t have to have several years’ accounts to be approved for a loan.

Shop around for your startup loan. Like any other loan, some deals are better than others. Borrow only what you need – not the maximum amount available. This helps keeps costs down in the long-term without impacting your short-term cash flow.

Try the Startup Loans Company or Funding Circle as a first stop.

Peer-to-peer Lending and ‘Angel Investors’

A so-called ‘angel investor’ is like a dragon from the Dragons’ Den. They’ll fund part of your business venture in return for a percentage of the profits. You’ll often receive business mentorship as part of the deal, too.

There are lots of angel investor platforms available. Try to meet with (or, these days, video-call) potential investors before signing anything. Always read the small print and make sure you speak to several possible investors before choosing your partner.

Peer-to-peer (P2P) lending is a bit more anonymous. You don’t get the business mentorship but you can access a larger fund.

Investors pay into a P2P fund in return for a percentage on their money. The P2P platform takes a percentage, too. Think of it like a loan – but without the need to satisfy high lending requirements of a high street bank.

Crowdfunding

We’ve all seen the success of Kickstarter and Crowdfunder. But how do they work?

You create an online pitch for anyone to see. This includes details about the products you want to develop, what it does, and what the crowdfunded money pays for. You can entice investors by giving them something in return for their cash. For example, they can buy the product early and at a reduced price, or you can offer them a listing on a sponsors page – anything you think will entice investors.

You have to set a target. If you fail to reach the funding target, you won’t get any of the money.

If you do reach your funding target, on the other hand, you will get your money. However, it doesn’t stop there. You’ll be held accountable for the cash and will have to prove you’ve done what you said you’d do with the cash.

Local Authority Funding

Check your local council’s business pages to see what assistance it offers. You might be surprised!

Many local authorities offer funding or mentorship programmes for new business owners. These schemes are often more prevalent in deprived areas, to encourage new companies to set up in that region.

Regionally, Wales and Scotland tend to have more local funding options for new businesses than England and Northern Ireland.

The funding available could be anything from a one-off grant to ongoing business support in the form of a rent-free office or shop space. Many grants need to be matched – so if you need £1,000, you’ll need to put £500 up yourself and ask for a further £500 in the grant.

In a post-lockdown world, you may also find new grants and schemes popping up as local authorities try to stimulate the economy and reduce regional unemployment. So, if you have no luck right now, keep an eye on it!

Social Enterprise Funding

 

If you want your new business to be a social enterprise, this opens you up to many more funding opportunities.

A social enterprise puts surplus profits back into the business to aid the community. You can still earn a profit and wage, but your overall work needs to have a social or environmental mission that benefits your local community and surrounding areas.

Running a business like this is similar to any other business model. However, instead of sharing profits in the form of dividends to shareholders, you put that money back into your business efforts to maximise your impact on the community.

Social enterprises qualify for all sorts of grants, including those offered by the National Lottery Community Fund.

Loans are available as a funding option, often with a percentage grant. This means you won’t have to pay back everything that’s borrowed, only the loan element. For example, the First Steps Enterprise Fund offers loans up to £30,000 – with 90% of that as a loan and 10% a grant.

Try The Grants Hub to find social enterprise grants and loans for your business type.

Training Grants

If you need to achieve a qualification before you can open your business, you may receive training funding to help.

For example, people on Universal Credit may apply to have some or all fees paid for, if they enrol on a short professional development course. The course needs to be an essential item – for example, your Gas Safe certification if you want to start a boiler engineer business. It could also include things like health and safety training for mobile beauty therapists, licence courses for security staff, or a PTTLS adult teaching qualification for tutors and workshop leaders.

The National Careers Service has some funding opportunities for courses, too.

If you’re on a low income, it’s also worth looking at your local adult education centres and courses. They’ll often offer free or discounted places to people on benefits or who can prove a low income.

Look at charities centred around your industry of choice, too. Screenskills, for example, offers bursaries and training opportunities for all kinds of people wanting to work behind the scenes in television and film.

Apprenticeship Funding

Do you want to set up a business with staff? If you’re not planning to go it solo as a freelancer or contractor, staffing costs will make up a huge overhead as you set up your company.

Apprenticeships offer a way to staff your company while training the new generation. New businesses have to fund 5% of apprenticeship costs, with the rest covered by a Government scheme.

You’ll need to follow the rules about working hours, and time off for study and exams, and assist with mentoring your apprentice.

Your apprentices could become full-time staff once they pass their course a few years down the line, too!

More Business Ideas and Tips

Feeling inspired now you know you’ve got lots of ways to fund your business idea? Check out these other business and freelance tips, too!

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