Huge rise in number of home-based businesses

The number of businesses operating from people’s homes has increased dramatically over the last year.

Research by Lloyds TSB Business Insurance revealed there are currently 5.9m home-based businesses in the UK. More than a quarter of them were set up in the last year.

The new businesses cover a wide spectrum from IT and computer consultancy to gardening.

Unemployment and redundancies due to the recession were the main reasons for the increase, although many people said they simply wanted to be their own boss or to explore a new direction.

Stuart Curtis, head of commercial lines at Lloyds TSB, said: “”The number of enterprising people opting to turn their home into their business hub is set to increase over the next year as the recession continues to bite.””

Starting a new business can be very exciting and even a little scary. Budding entrepreneurs need to make sure they do their homework as there are several pitfalls that could easily stifle progress or lead to failure.

Start-up businesses need to consider a variety of issues from employment matters to business contracts. There could also be concerns about how to structure the business.

Getting good legal advice at the outset can prevent damaging problems emerging later.

We have helped numerous new businesses get off the ground and are able to offer advice on such things as whether to set up as a sole trader, partnership or a new company. We also have valuable contacts including accountants, surveyors, valuers and financial advisers who can provide added value to the services we provide.

Please contact us if you would like more information about starting up a new business.