in association with Abbey

This can be a crucial factor in determining whether your idea will see the light of day. Work out what money your business needs to start up. It’s very easy to forget about some costs related to running a business and they all add up. Below are some costs you may need to think about:

• Electric, water, gas
• Vehicle insurance, fuel, tax, loan repayments
• Business rates
• Specialist advice ie. Accountant, Solicitor
• Computer, printer, fax, telephone, stationery
• Additional insurances ie. property, public liability
• Marketing

Work out how much you need

• Work on a budget showing your sales forecast and expenditure. This should also give you an indication of cashflow.
• When will you need additional finance?
• Will your business operate in a market with peaks and troughs?
• Plan for the total amount you may need to borrow even if you don’t end up needing it all. Work on a worst case scenario.

There are a number of ways this finance can be raised. Examples include finance through a bank, equity from property or even a loan from family or friends.

Tip: Don’t forget to look into grants. Log on to www.abbey.com/businessand check out our FREE grantfinder within business advice. Search across thousands of grants from starting-up and business development to training