Many people – in companies all over the world in fact – face the problem of trying to start a business. It is a classic dilemma: you have an idea to make money, but you need money in order to start the business. It’s a classic “Catch-22″ scenario. So, that is where a government business grant can come into play. As it happens, the United Kingdom is one of the very best places on Earth to either start or expand a small company. They offer business grants to native UK residents but also people relocating their businesses in the UK for overseas, so you can get in on the act too!

The good news about business grants from the government is that there are lots of them out there. The bad news: you have to seek them out and apply; they do not come looking for you. There are close to two dozen different business grants in the UK. So, let’s look at just a few of them. First, there’s the direct grant, where a program will give you some funds to pay part of the costs for training, product development etc. Now, that’s a key point: part of the costs. It’s rare for a grant to completely cover the costs of some aspect of your business, but it will at least cover a portion.

Then there are grants that are much like a small business loan. The difference is, if your business fails, you do not have to repay the money. And then there are real business loans; they are called soft loans because the terms and conditions are very generous. The interest rate is usually quite low, some are even interest free. Next, you can get what is known as equity financing. With this type of grant, you don’t pay the grantor back in cash, but in shares in your company. In this case, the grantor looks at your business as an investment; they believe you have the potential to grow your company into something profitable, and that will mean that the shares they own will increase in value.

Sometimes, business grants in the UK aren’t about money at all; they have to do with skills. After all, many new businesses often lack knowledge or skills in a particular area: marketing, promotions etc. So, some grant programs have come to recognize this, and they offer free (or greatly reduced) advice on those critical subjects. Then there’s the issue of resources. For some small business owners, it’s not that they don’t know what they’re doing; it’s that they don’t have the physical materials or maybe a factory / store to develop their product or service. So, some grants are made of up raw materials, office equipment etc. Going hand in hand with this type of grant is the transfer of technology. Very often, new and innovative inventions or processes are created by large corporations or government labs. In the U.S., NASA was responsible for incredible breakthroughs in fuel cells, computers etc. So, sometimes large corporations or governments will share these new developments with some small companies as a means of both helping they to get started, and to disseminate the technology.

Then there is the issue of not new technology, but merely the best way of doing something. As an example, a dozen people will have a different way of laying bricks. Yet, one of them might do it the best and most efficient way. Over time, that way will become the industry standard. This is also known as “Best Practices”, and some companies will share these with start-up firms to help them operate in the most efficient means possible.

Americans’ increasing concerns about the economy haven’t hurt the leisure travel industry but business travel is taking a hit, according to the 2008 Travel Industry Association annual report, “Travel and Tourism Works for America.”

U.S. travelers spent a record amount–$739.9 billion–last year. But it was leisure travel that kept the industry in the red. Business travel declined by about 1.7 percent in 2007, following a 0.3 percent decline in 2006.

Business travelers face even more obstacles in 2008 as airfares and hotel room rates are expected to rise.

American Express projects domestic economy fares will increase this year by as much as 5 percent, while long-haul business class fares are expected to rise by 10 percent.

PKF Consulting projects room rates to rise by 5.3 percent in 2008. And American Express projects meeting costs to increase by 8 to 10 percent.

But there is good news for business travelers. Those who continue to hit the road will enjoy increased perks as desperate airlines and hotels try to keep their business or lure them away from competitors.

Airlines are upgrading passenger lounges, increasing business class comforts and working to streamline security for business travelers.

Even discount carriers Southwest and JetBlue are looking for ways to attract business travelers who regularly eschew their discounts to avoid the pitfalls of a discount airline.

Both airlines now offer fully refundable fares and are among those racing to introduce in-flight Internet access. And Southwest finally is making its fares available through the computer systems that corporate travel managers use to book tickets.

Hotel chains hope to lure business travelers with more amenities – above and beyond those that the modern corporate traveler has come to expect. High-speed Internet is a must, but some hotels are now offering free wireless access-a great perk for a traveler who wants to work by the hotel pool. And many large chains are putting a modern twist on frequent-stay programs by offering room upgrades and exclusive club floor memberships to loyal customers.

But even as these perks accumulate, many businesses, especially small businesses, are faced with the real challenge of keeping their travel budgets under control. Unlike corporate travelers who are backed by expense accounts, small businesses face a much tighter bottom line – especially as the economy takes its toll on all parts of the their business.

Some are cutting travel altogether; others are asking employees to drive to reasonable close destinations. Some companies are even requiring employees who travel together to room together.

If you’re not ready to go to such extremes, here are 10 tips for getting a handle on your travel budget from Allbusiness:

1. Create and distribute a clear travel policy.

2. Search the Web for bargains.

3. Volunteer to get bumped if your schedule is flexible.

4. Join your preferred airline’s frequent-flier program.

5. Streamline paperwork by creating a uniform reporting system for travel expenses.

6. Meet virtually.

7. Negotiate lower travel and lodging prices.

8. Use a single corporate credit card for all travel and entertainment expenses.

9. Take advantage of convention discounts.

10. Take advantage of tax deductions.

Travel and entertainment expenses are the second largest expense for a lot of companies and many could face serious shortages if the economy continues to falter. While it’s time for belt-tightening, there are ways to save money if you just do a little homework.

Six local authorities in South East Wales have secured European funding to provide financial assistance to support local businesses. Thankfully BRIDGEND is one of those authorities taking part in the South East Wales Local Investment Fund scheme using funding from the EU’s Convergence Programme, available until 2013.

FUNDING

The funding offers up to 35% of grant support for approved project costs, normally up to £5,000, with a minimum grant of £1,000.

Projects considered could include:

- investment in capital equipment
- specialist software
- website design
- marketing costs
- refurbishment of premises

Applications for funding will be assessed against criteria, Businesses will need to demonstrate that a significant amount of their activity is business-to-business. Businesses must be SME s (under 250 employees). Funding is not available to the retail sector or services operating in a purely local market. Projects will need to show that new investment is taking place, and the grant will not be used to just replace items or for routine maintenance.

Projects considered under the scheme could include investment in capital equipment, specialist software, website design, marketing costs and refurbishment of industrial premises. Applications for the funding will be assessed against criteria, which will include potential job creation, job safeguarding and private sector investment.

All businesses will be required to submit an application form and a business plan with at least 12 months Cashflow and Profit & Loss forecasts. Applicants are advised to discuss eligibility with an Economic Development Unit Project Officer before submitting an application for support.

The South East Wales Local Investment Fund is part-financed by the European Union’s Convergence Programme.

FURTHER INFORMATION

Contact the Business Enquiry Line on Tel: 01656 641706

In quieter times, during the credit crunch advertising and promoting your business is more important than ever. Raising awareness about you, your company and your services will help bring in more business and create greater awareness of your company in the long run.

Making cutbacks on your advertising budget is not recommended – if customers don’t know about you they won’t call!!

Have you ever wondered why big department stores spend a great deal of money advertising on TV, Radio and in the Media “When their closing down!!” – Because they KNOW spending on advertising reaps rewards, it brings in the customers.

Why not take this opportunity to advertise your business or services on Activ Bridgend.

We have special offers on at the moment for advertising and we even have our own special Discount promotion area for you to directly benefit the residents of Bridgend by offering time limited discounts that will bring in the business as soon as they see your offers.

By promoting your business online with Activ Bridgend not only will this increase awareness of your business, but it will also improve your website rankings in the search engines. Getting your company associated with us will offer a huge boost to your link building strategy and SEO.

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