Newbie needs help

[aimar]

I've been unemployed for a while and I was pointed in this direction by the Job Centre.

Now basically I'm looking at starting a custom build computer business with a sideline in repairs, virus removal and one to one tution.

I think it will be mostly based from home so really no need for premises and stuff in the shorterm.

I really have no idea where I would start so any help, advice would be appreciated.

[SoulSeeker]

Well first, I would go back to the jobcentre and slap the advisor. Why? Because he or she knows you are unemployed, which means you are more than likely to have little to no finance to start a business. This is what tax pays for eh? ...

My father did that around 1998 (repaired and built pcs). He advertised in the local paper for something like £25 saying pc repairs and custom built pcs. It brought in about £10-50 a week, it was more a hobby than to make it a full time business. If he did market it right he could have gained more I guess.

My current analysis is that there are so many places open online and offline (shop owners and non shop owners) selling PCs and repairs that its a struggle already for existing companies to gain customers, especially with the likes of eBay (which almost everyone online knows about) selling some of the best spec PCs retailing at above £1500 for only £300-700 at an extreme! As well as huge companies selling £2 magazines with all the knowledge you could ask for and the amount of free info about Computers online.

However, that aside it all depends on you, anyone can tell you how good or bad your idea is but only you can reach its true potential. If you live in an area where there arent any pc shops, or only one or two you could be successful quite easily.

You need to ask yourselfd though

Do you have knowledge and experience/qualifications? For business and for your targeted market

What amount of money can you invest?
Are you prepared to lose it all if it fails?
Do you have the neccasary suppliers?
Will you / do you know how to market research?

A few of many questions you need to ask yourself before you make the big leep. Try the main page of this website, plenty of really good advise for starters.

Good luck in your venture!

[thickchick]

Hi aimar

If starting up your own business is something you want to do then don't let being unemployed stop you - your adviser was right to point you in our direction!

There are schemes to help those that are unemployed gain finance.

Try Princes Trust www.princes-trust.org.uk

and New Deal is a government programme which can help you get started with a mentor and assistance with finance http://www.jobcentreplus.gov.uk/JCP/...ent/index.html

All the best

Sharon

[SoulSeeker]

Originally posted by thickchick
Hi aimar

If starting up your own business is something you want to do then don't let being unemployed stop you - your adviser was right to point you in our direction!

Not necessarily, the purpose of advisors is to help find the client a job or sufficient training to gain a job. Telling a person who probably has little to no money to run a busines is not wise when the UK already has the hugest amount of debt than ever before. Thats not to say they could not succeed, but its a dim chance that they will, gaining a job would be better for them and for the country. I am surprised the advisor said that after the huge reform the government put the jobcentres through.

[thickchick]

SoulSeeker

I would imagine the advisor discussed all the options with Aimar of which self-employment is one!

I have hands on experience working with successful young businesses started by people who were unemployed through the New Deal programme.

I know a lot of members here have had assistance from the Princes Trust - I'm sure some were unemployed.

Originally posted by SoulSeeker
gaining a job would be better for them and for the country. I am surprised the advisor said that after the huge reform the government put the jobcentres through.

You are not in a position to say what is right or wrong in the interests of an individual. It is up to that person to research and plan before considering starting up their business.

Shell Livewire actively promote self-employment as an option for the unemployed through the Jobcentres.

Sharon

[James Smith]

Several of my client have come off jobseekers allowance and started successful businesses. Good luck to them! In fact an awful lot of business are started when people don’t have any other option - redundancy is actually a very large factor in peoples reason to start up on their own – they have often thought about it but not had the opportunity to do it.

I disagree than you need money to start up – it helps but it isn’t essential. I personally invested very little other than my time in my business, the only start-up funds I needed where to cover professional insurance and other fees which was a bit of a stretch at the time but well under £1,000. Many people start up on a lot less than this.

I do however agree than getting into building PC's is going to be really hard due to the competition and wafer thin margins in this area - if PC's are you thing you might do better with the service side of things......

[SoulSeeker]

Originally posted by thickchick
SoulSeeker

You are not in a position to say what is right or wrong in the interests of an individual. It is up to that person to research and plan before considering starting up their business.

Shell Livewire actively promote self-employment as an option for the unemployed through the Jobcentres.

Sharon

I know all that, but I am entitled to my opinion. The way I see it, he is 36 and basing my assumption on the fact he has little to no qualifications and maybe some experience, advising him to start a busines isnt good advice. My advice would have been to gain some education or knowledge on businesses and how they are run, what they require, etc.

Originally posted by James Smith
Several of my client have come off jobseekers allowance and started successful businesses. Good luck to them! In fact an awful lot of business are started when people don’t have any other option - redundancy is actually a very large factor in peoples reason to start up on their own – they have often thought about it but not had the opportunity to do it.

Of course! its possible im not saying its not. I am just stating that based on the individual I feel (in my opinion) that the advice given was bad thats all.

Originally posted by James Smith


I disagree than you need money to start up – it helps but it isn’t essential. I personally invested very little other than my time in my business, the only start-up funds I needed where to cover professional insurance and other fees which was a bit of a stretch at the time but well under £1,000. Many people start up on a lot less than this.

The reason you disagree with needing money to start up is because in your line of work you dont need stock like you do in other areas. So yes, in some areas you wont need much money at all, whereas in others you do.

[James Smith]

Soulseeker, I would suggest you have a think about what you are posting? You have made some completely random assumptions which may well be very wide of the mark.

Please accept with good grace (and not further debate!) the fact that both Sharon and I have seen people get out of this position with great results, and this person should be encourage to do the same. Its bad enough being unemployed without random people assuming you are useless!

I bet if you ask around your older family members you will find almost all of them have been unemployed at one point or other, its just not something most people talk about.

[ECI]

First off.

I got as far as Soulseekers first sentence and went straight to reply, too busy to ready the rest of the replies.

Your post is exactly the kind of thing this site needs less of. If someone wants to start a business, they don't need finance! There are many many ways people with no finance, or even a bad credit rating, can start up in business.

To post that on a public forum may put others off the idea of setting up in business.

I started my business with £700 of my own money and a terrible credit rating, and have grown it to the award winning success that it is today.

This is exactly what i tell many young people in Aberdeen, and spend lots of time telling others online who are interested in starting up.

I am not saying that ANYONE can start a business, this is just not true, but comments like yours may be putting off those who MAY have it in them to run a very successful, fulfilling business.

It is posts like this that enrage me, as it is very discouraging to those going through a scary time of their life to be told they cannot do it.

YOU CAN START YOUR BUSINESS, YOU CAN MAKE MONEY, YOU CAN HAVE FUN!!!!!

[FitnessCrazy]

Completely above with Whitesparks...... what are you talking about SoulSeeker???

I started my business when I was 19, with a few hundred quid out my pocket and now I compete with some of the largest competitors in the industry. I dont have a Uni degree, and didnt have a great credit rating either. There's no reason why you can't start a business (even if it needs stock) ona budget and make it a success with loads of work.

Aimar, if you want to get in touch for some advice etc, do so at sales @ fitnessgold.co.uk.

Anyway, thats my 2 pence,

Deren

[SoulSeeker]

Meh, my points been taken completly the wrong way, nevermind. My intention wasnt to put anyone off or anything, sorry.

[MclearyCycles]

SS

The purpose of an advisor is to get people of the brew. Job, self employed etc doesn't matter, get em of the dole is what they want and they are trained to look at ALL the options with a client.

I was on the dole for ages. I got stuck on new deal, told them I had a business idea and they done everything they could to help me.

[James Smith]

ok soul thats cool.

Aimar - this is a bit of a weird way to come into the forum. By way of showing that we all really do want to help new businesses, if you would like a free copy of any of my ebooks drop me an email. You may find the strategy one useful at this stage, it actually uses the example of somone building PC's and why its a tough businesses to get into.

http://www.jamesesmith.co.uk/ebooksplan.htm

Good luck, and no other freebies before I get a flood of other cheeky gits asking for one!

Regards,