Shropshire start-up loan scheme sucess
Shropshire’s reputation as a hot bed of entrepreneurship has risen even further after a £112 million initiative to boost start-up business revealed the county-based delivery partner, Young Britain, was the second most active organisation for youth enterprise in England.
Figures released from the government-funded Start Up Loans scheme show that the Young Britain campaign launched in Telford has attracted more young entrepreneurs to the lending and mentoring package than any other organisation, apart from The Prince’s Trust.
Since it began delivering the scheme regionally, 85 young entrepreneurs from all over the West Midlands have benefitted from the start-up finance and support offered by Young Britain, a public-private venture co-funded by Telford-based husband and wife team Graham and Jenny Wynn of The TTC Group, Telford & Wrekin Council, and the European Regional Development Fund (ERDF). A non-profit organisation, Young Britain encourages self-employment as a viable alternative to the traditional jobs market and helps the under 30s ‘make their own job’ by setting up their own business.
Would-be entrepreneurs are able to access loans ranging between £500 and £10,000 to help fund start-up costs including equipment, staff salaries, stock, setting up a website, and marketing their idea, with the loans repaid over up to five years at a low fixed interest rate of the Retail Price Index (RPI) plus 3%. In addition to a crucial cash injection, Young Britain also provides young entrepreneurs with mentoring support, assistance with developing business plans, and ongoing advice and guidance to help make a real success of their ideas.
“Lord Young of Graffham, Prime Minister David Cameron’s Enterprise Advisor, came to the birthplace of industry last year to launch our aptly named Young Britain campaign at the Telford Enterprise Hub, and Graham, Jenny and I and are delighted to have helped so many bright young business ventures through the Start Up Loans initiative so far,” Fay Easton, Co-Founder of Young Britain and a StartUp Britain Local Champion, commented. “Getting access to the finance needed to start a business can be tricky at the best of times, but especially so for young people who have limited credit records and struggle to raise finance from traditional lenders. These loans are vital to enable start up numbers in the young age groups to soar.
“And while getting the finance is crucial, the ongoing advice, guidance, and mentoring central to the Young Britain offer is absolutely priceless too. We’ve already helped start-up businesses ranging from an online lettings agency and a renewable energy company, through to microbrewers and beauticians – the whole country is simply alive with bright young talent and buzzing with great ideas, and Young Britain is here in Telford to help turn those ideas into reality.”
Launched in September by Lord Young, and backed by serial entrepreneur and former Dragons’ Den star James Caan, the Start Up Loans initiative aims to tackle the crisis of more than a million young people being unemployed by supporting 18 to 30-year-olds to start a business.
The initial pilot phase of the Start Up Loans scheme is due to run until the end of next month [March], with a total of £10 million available across England. From thereon, funding pots totalling £42.5 million and £60 million will be on offer in 2013-14 and 2014-15 respectively.
“This pilot phase has been all about proving that the Start Up Loans funding needs to continue, so we’d urge any young entrepreneur interested in setting up their own business to get in touch as soon as possible by emailing iain@youngbritain.com or calling 01952 677230. Applications take between 14 and 21 days to process and Mentor Mastermind clubs are being organised across the region,” Fay concluded.
