Ministers want to encourage more women entrepreneurs

The Government wants to see more women starting new businesses in the UK.

It says it’s important to increase the number of female entrepreneurs as a way of boosting the economy and creating more jobs. The number of new companies has actually grown during the recession. Many of them have been set up by people who’ve lost their jobs and are using their redundancy pay to fund a new enterprise.

Research by Lloyds TSB Business Insurance revealed that there has also been a rise in the number of home based businesses. The figure currently stands at around six million.

However, the majority of new businesses are being set up by men. Ministers say that if women started businesses at the same rate as men it would lead to an additional 150,000 start-ups a year. If female entrepreneurship in the UK reached the same levels as in the US, it would add an extra £42bn to the economy.

In an attempt to help women create new firms, the Government is recruiting thousands of established female entrepreneurs to act as mentors. Leading executives such as Dame Mary Perkins, who founded Specsavers, have already agreed to take part.

Home Secretary and Minister for Women Theresa May said: “Women are vital to Britain’s economic future and the support of a mentor will help even more of them fulfill their true potential.”

Setting up a new business can be very exciting and satisfying but it is not without risk. There are several potential pitfalls that could damage a new enterprise and prevent it succeeding. It’s important that before starting out, budding entrepreneurs should seek legal advice on a whole range of matters from leasehold agreements to business contracts and employment issues.

There are also important questions about the structure of a new company. For example, should you set up as a sole trader, as part of a partnership or as a limited company? You may wish to consider a franchise arrangement.

We have helped numerous new businesses get off the ground and are happy to offer advice on such things as setting up as a sole trader, partnership or new company.

We also have several associates who can bring added value to the service we provide, including accountants, surveyors, valuers and financial advisers.

Please contact Sarah Liddiard if you would like more information about starting a new business or developing an existing company.