This year has been one of unprecedented hardship for many people, but for some it provided a much-needed jolt. Starting a business has been a way to take back a measure of control and provide a sense of hope. Prior to the lockdown, interest in the idea of starting a business had been growing steadily. The total number of UK Google searches for ‘start a business’ understandably took a sharp dip at the beginning of lockdown, then bounced back to reach an all-time high in June 2020. The number of new companies being created in the UK compared with last year soared in the second half of 2020, according to the Office for National Statistics. Since then, at Nordens, we have had a surge in enquiries into our start-up services.
Why are there so many new start-up companies?
The pandemic has provided an opportunity for entrepreneurs to recalibrate what is most important to them. In fact, many of our clients at Nordens have said that lockdown had provided them with the ‘perfect opportunity to focus on what they really want from their career’. This was closely followed by others stating that their new business focused on a hobby or passion rather than specific work experience. Others created their own companies due to loss of jobs, or feared they were about to, and so were desperate to generate income.
One other explanation for the rise in start-ups relates to the emergence of the ‘COVID economy’. This was a demand for supplies and coronavirus-related goods which naturally grew during the pandemic, creating numerous opportunities for new companies to step in and take their share of a rapidly developing market.
Thinking of taking the leap yourself?
Launching a successful start-up is no mean feat. Starting a business requires understanding and dealing with many issues; legal, financing, sales, marketing, intellectual property protection, liability protection, human resources and much more. Interest in entrepreneurship is at an all-time high. If you’re thinking of starting your own business, you probably have lots of questions. Watch our business start-up video where you will hopefully find the required answer.
A large number of start-ups formed over the last few months have been online-only businesses, created with a view to selling products through third-party channels. As digital-first companies begin to grow and expand their operations, it is predicted that a rise in the number of lockdown start-ups will be looking for their first office spaces. The boom in direct-to-consumer sales has opened up more opportunities for small producers, to bring new products to market. The willingness of consumers to buy from multiple, small producers is massive and means the democracy of supply has fundamentally shifted.
There have been spectacular success stories of early-stage start-ups growing to be multi-billion-dollar companies during economic hardships, such as Uber, Facebook, WhatsApp and Airbnb to name but a few. Check out our previous start-up video with our CEO Mitch Hahn who goes into more detail on the topic.
There are no limits on who can become a great entrepreneur. You don’t necessarily need a university degree, a large sum of money in the bank or even business experience to start something that could become the next major success. However, what you do need is a strong plan and the perfect team with the resources to see it through.
What do you need to consider when starting up a business?
As with most things in life, preparation and research are key when planning a start-up. A good business plan is your foundation. It will guide you through each stage of starting and managing your business. You’ll use your business plan as a roadmap for how to structure, run, and achieve growth. It’s a way to analyze the key elements of your business.
Business plans can help you get funding from banks or other lending institutions or even bring on new business partners. Investors want to feel confident they’ll see a return on their investment. Your business plan is the tool you’ll use to convince people that working with you, or investing in your company, is a smart choice and the right one. Read our article on the importance of a business plan.
Now more than ever, it’s important to have a strong value proposition that enables you to stand out in a crowded market. Whether you’re selling products, services or somewhere in between, observe your competition and discover what it is that makes your business unique and more buyable for the consumer.
Every business is unique, and every business owner is in a different financial starting position, however all need access to resourceful and experienced services. Our expert team are always happy to provide bespoke guidance to meet your specific needs. There is no time like the present, so if you have a business idea you believe in, go for it! Some of the best businesses have been set up in the toughest of times.
Contact us to find out more about our business start-up package and how we can help you on your journey in becoming a successful business owner. Call 02085300720 or email businessdevelopment@nordens.co.uk for a free consultation today.
