Research by AXA UK discovered the key reasons would-be entrepreneurs are put off starting a business, with many unaware of the support available to them
A recent poll of 2,000 adults has revealed the key things stopping aspiring entrepreneurs from launching their businesses. Common issues include lack of relevant experience, fear of failure and not wanting to give up the security of their current job. And while confidence and age are among the top reasons, six in 10 said lack of funding is the biggest stumbling block preventing them pursuing their entrepreneurial vision.
Tax and accounting were the issues those surveyed said they would struggle with most (28%), while staying up to date with technology (10%) and time management (8%) were viewed as other less demanding challenges.
Despite hesitations, there is still a desire among many to go it alone, with more than a quarter (26%) believing everyone should strive to start their own business and 32% already looking for advice.
AXA UK commissioned the research following the launch of its annual AXA Startup Angel competition, where two budding entrepreneurs can win £25,000 to help get their business off the ground plus mentoring from successful startup owners.
Mike Crane, managing director of AXA Insurance UK – Commercial, said: “Starting a business is fraught with challenges, from securing the funding to being confident enough to take the plunge and go it alone.
“The hardest step is often the first and having the right support from the beginning can be the difference between success and failure.
“Our survey found some people think age – whether too young or too old – is a barrier, but there’s plenty of evidence to show it’s not an issue when it comes to launching a successful business.”
Three quarters (76%) didn’t know government help was available for startups. However, the survey showed people thought more support should be provided, with 29% calling for lower business rates, 24% saying energy bills should be slashed and 24% citing reduced National Insurance contributions.
In the research, conducted by OnePoll.com, almost half (47%) said they would be more likely to start a business if they felt protected from things going wrong.
To explore potential small business ideas and offer expert advice to would-be entrepreneurs, AXA UK is taking a kitchen table to the streets of London.
The insurer will be at Broadgate Circle from 10.30am on Thursday 7th May with AXA Startup Angel mentors Raphael Sofoluke and Izzy Obeng, who both founded successful businesses from scratch.
Mike Crane added: “The best ideas for businesses can come at random moments and are often brought to life by burning the midnight oil at the kitchen table.
“We’re taking to the streets to find out what’s holding people back from starting out on their own and to offer advice from leading entrepreneurs.
“It can feel like a leap into the unknown, but if you equip yourself with the necessary knowledge and surround yourself with the right people, amazing things can happen.”
