With popular programmes such as Dragon’s Den, The Apprentice, and the film The Social Network, it is not surprising that some entrepreneurs start young, as they show that you do not need to be in your twenties or thirties before you start a business. If you are ‘early shoots’ and just starting to see a small income from your efforts than the timing might not be quite right just yet to take that big leap and creating a formal business right now. However, if you are starting to see some real financial returns with little marketing promotion or exposure, and you think this could turn into a serious business opportunity – this might be the beginning of something very exciting!
A survey carried out with more than 2,000 entrepreneurs of all ages showed that the idea of having their own business was present in their minds from an early age. One in three respondents (32%) thought about it before turning 18 years old, rising to 80% in 19 to 24 years.
Starting a business at any age is a big challenge. Thinking of a good idea is one thing but being able to turn it into a profitable business is quite another. Thankfully, this has not deterred the growing numbers of entrepreneurs aged under 18, and the numerous hurdles that may have to jump over, to achieve entrepreneurial success. One of the main obstacles is financial, as you are not granted automatic access to either opening a business bank account, raising business finance, or accessing credit because you are a minor.
It is not just about opening a business, but an ability associated with discovering the wider purpose or goal. It is also about developing technical and social-emotional skills capable of delivering value to others, whether cultural, social, or financial.
Fusion Accountants in London supports many start-up businesses with essential accounting support and advice overseeing all their finances so you can focus on building a successful business.
Young Entrepreneurs to inspire you!
Need some inspiration? Find out more about the journey these young people have been on, to achieve their goal of having their own successful business.
- Joe Binder, founder of WOAW, a personal branding agency that builds personal brands for founders and CEOs.
- Grace Beverley, 23 – TALA, SHREDDY and B_ND
- Timothy Armoo, 25 – CEO and Co-Founder of Fanbytes
- Jack Parsons, 26 – The Youth Group
Bank accounts and raising finance.
As mentioned above, people aged under 18 are legally considered to be minors, so this does mean that you will not be able to open a business bank account, borrow money or have a credit card. So, what do you do if your business needs a cash injection? Luckily, there are still have several options open to you:
- Ask a family member to fund your venture in their name.
- Open a joint account with an adult/family member who can legally access finance.
- Apply for a grant from a variety of enterprise schemes or trusts.
Thanks to the internet, many businesses can be set up with very little or no finances. All you need is a laptop or device with access to a good internet connection, and you are ready to start up an online business and begin to build it and watch it grow. Do not let a lack of funds be a barrier to your fantastic business idea.
Did you know that wealthy entrepreneur Peter Jones started his own tennis academy at his local club at just 16?
Organisations that can help young entrepreneurs.
There are number of organisations that can provide practical business support and advice as well as information regarding applying for funding:
- Young Enterprise & Young Money: Business, financial and entrepreneurial development.
- Youth Enterprise Bank: Offer grants of up to £1,000.
- YES: Information and inspiration for young people starting out in business.
- Jack Petchey Foundation: Helping young people across London to understand the skills needed for future employment.
- Department for Business: UK Government support for young businesspeople.
Inspirational young entrepreneur story
One of the main reasons for young people to become entrepreneurs is the difficulty in finding work. The lack of formal employment and training in the labour market ends up encouraging them to seek other professional possibilities elsewhere.
High school student Kimberly Taylor, 18, is part of this group. She decided to open an accessories business at the beginning of the quarantine. “I started to produce and sell necklaces, bracelets, necklaces, and strings for glasses, made of beads, nine months ago.” She then started to divide her time between studies and the creation of costume jewellery. During vacation times, she is fully dedicated to the brand.
Made to order, the sale of the pieces is still a challenge for Kimberly. “When there is an event at my mother’s cafe, I can sell well, or when customers want to give someone a product as a gift.” She thus found a way to make extra money since she was not getting a job or an internship. “I’m still trying it all out because I don’t know what my profession will be yet. I don’t know, either, if I will continue in the business of entrepreneurship”, she says.
Accounting support for your start up business
Starting your small business venture is likely to be hard work when you launch it, but it is also the beginning of an exciting period in your business journey. We love helping new start-up businesses succeed and enjoy hearing about great commercial ideas, their vision, and long-term goals.
As specialist eCommerce accountants, Fusion Accountants understands exactly how your business operates, enabling you to grow through smart accounting and financial insights. Hiring an eCommerce accountant will help break down all your accounting requirements into more consumable data allowing you more time to focus on what you do best, which is managing and growing your business.
In summary
Remember, as a teenager, it is still very important to strike a good balance between dedicating time to studies as well as developing and growing your business – pursue your dreams, but not at the exclusion of your school assignments!
Starting your own business needs determination, self-belief, and good organisation skills – just as if you were working for someone else. But as this article has shown, if you have a great idea, pursue your dreams of starting your own business. Believe in yourself, and good luck!