How to fund your business: the start up loan!

Little did I know that when I had the idea for Mini Magoos Sensory Play, seven years later I would be sitting down to write this!

It has been an epic journey of business ownership over the past few years and one that has had many highs (watching so MANY gorgeous children grow!) and lows (er…hello, pandemic!).

But today, I’m going to speak to you a little about how my journey began. A humble idea which was submitted to the start up loans company on the gov.co.uk website! A few clicks later and I was well on my way to making the application to check my eligibility, submitting my business plan, and securing the funding.

This seems like a simple list, and in some respects it was. However, now being a few years into running a business, I wish I had a cheerleader helping me with that business plan that was submitted. Knowing that the chunk of money I had just been granted was going to be invested well and having the ongoing support of someone teaching me what to do and how to progress. I didn’t have that type of safety net.

But if you are thinking about applying for a start-up loan, I want you to know you are not in the minority. Its very rare to have the spare capital to start a business, just saved up for a rainy day. Most businesses have been started using funding that has came from an external source. Over 100,000 start-up loans have now been granted in the UK, meaning this is the most common way of raising the capital to start you new venture. And the average start-up loan granted is just over £9000.

But once you have that new investment burning a hole in your pocket, its wise to know where and what that money should do. And most importantly, what is the quickest way of making that investment back! Don’t be immediately disheartened, as this type of loan usually operates over several years, all the while your business is building gaining you extra and important value. It won’t happen overnight. There is no quick route to success, any anyone telling you otherwise is lying!

However, if you are clever enough, like me, you might end up paying that loan off two years early! Which is reason enough for a celebration!