Is now a good time to start a business?

World events have created a lot of uncertainty in recent years. With so many things affecting the UK economy, wondering if now is a good time to start a business seems a fair response.

After the 2020 pandemic, many people were forced to take a new career path. Since then, the UK has experienced a period of turmoil, so starting a new business venture may not be your top priority.

With higher interest rates and fewer entrepreneurs taking the plunge, there’s generally less competition for new businesses.

So what could a new start look like for you?

Why is now a good time to start a business?

Looking at the data, now could be a really good time to start a new business as a tradesperson.

For example, there are three key considerations to take into account. Particularly for those who work in different trade industries.

New homes

In July 2024, the incoming UK government pledged for at least 1.5 million new homes to be built during the next parliament. Naturally this will help create a high demand for skilled trade work.

Non-movers

Another factor to consider is the increased demand for home improvement. The Häfele UK ‘Homes for Living’ report (produced January 2024) highlighted that over a third of homeowners are prioritising home improvements over moving home. 

Skills gap

On top of these factors, there’s also a huge shortage of skilled tradespeople. The continued impact of both Brexit and Covid-19, coupled with net zero targets have heightened the scale of the skills shortage in the UK.

If you’re already a skilled tradesperson, it makes a lot of sense to consider starting a new business over the coming months.

What business is good to start now?

Due to the changing nature of homes, renewable energy and retrofitting are important industries to consider.

As part of its ‘green industrial revolution‘ plans to reach net zero emissions by 2050, the UK government announced a target of 2 million ‘green jobs’ by 2030. These are specifically to tackle the urgent and emerging skills challenges in the green economy.

The Net Zero Strategy states that in the construction and heating sectors, up to 230,000 skilled tradespeople could be required to deliver the required work.

With this intended influx of work, skilled tradespeople will continue to be in demand.

What trades are useful to learn?

It’s not just trades that work on energy-efficiency projects that are in high demand. Trades such as builders, electricians, and carpenters are always desired.

Whether you’re looking to learn a new trade, retrain following redundancy, or simply make use of existing skills, there are always opportunities to try something new.

Based on data from Checkatrade users, coupled with home improvement trends, we’ve looked at ideas for new businesses to consider. Including more niche markets. For example, you could consider:

• Starting a loft conversion business
• Offering a niche specialism like green oak framing
• Focussing on one job like cat flap fitting
• Planning ahead with an electric car charging business
• Setting up a seasonal service like pond maintenance
• Taking one for the team with your own gutter cleaning business

Whatever skills you have, whether in renewables or practical trades, there will always be a market for your services. Want some more inspiration?

What’s the best business to start with little money?

The good news is the government is supporting people to gain the skills they need.

There are a number of funding options and government grants that tradespeople can consider. Without too much money you can still start your own business.

This involves National Skills Funding (NSF) investment to deliver short, flexible courses covering:

• Construction
• Housing retrofits
• Digital skills
• Technical skills
• Green and renewable energy

It’s also possible to get bursary funding from training providers such as City & Guilds. It has been created to help tackle the skills shortage in a variety of sectors, including construction.

Be the boss of your own trades business

You don’t need us to tell you that launching your own business is a big decision. It’s not something to leap into without careful consideration.

However, we have free business advice to help guide your decision in our ‘Become the Boss‘ series.

Once you get going, you could get your business started in just 7 days. Want to make a change?

Just add your email below and you’ll receive:

• 7 emails with actionable tips to get your business started
• Plus, one bonus email with additional helpful content from those who’ve already taken the leap

Key considerations before starting your own business

Perhaps you’ve earned your stripes grafting for someone else, or you have a passion that you’d like to turn into paid work for a complete career u-turn.

Either way, it’s never too late to take the plunge and start up your own trade business.

However, before you get going, there are a few important elements to think about first.

Getting skills and qualifications

If you’re experienced in the field, you may already have the necessary skills, experience, and qualifications to go it alone.

There are a host of courses available to hone your skills if not. Remember, experience combined with accredited qualifications will help to boost the credibility of your new business.

There’s more to running a successful business than knowing your trade inside out. It is also good to have:

• Attention to detail and highly organised
• Interpersonal skills and great customer service
• The ability to lead and manage and have conviction in your decisions
• Fairness, integrity, and self-awareness
• Enthusiasm and endurance

More than ever in your working life, as a trade business owner, you’ll need a healthy dose of determination, patience, passion, and self-belief.

For anyone starting a new business, it’s essential to learn from setbacks, take guidance, and reach out for support from those who’ve done it.

Writing your business plan

A business plan forms the cornerstone of any successful business so it’s well worth taking the time to write one. It will:

• Set out your business idea, goals, and objectives
• Help you to be well-organised and make informed decisions
• Support you in making more efficient and productive plans
• Allow you to understand how your business is performing against your targets
• Help you to avoid costly mistakes

Download our free business plan template to help you get started:

Planning your finances

Starting a new business will involve an initial financial outlay. That means having a chunk of money to get the basics in place.

• Registration
• Business insurance
• Tools and equipment
• A work vehicle
• Marketing

Before you even consider doing the work, or taking a wage, the additional costs need to be taken care of.

If you need financing to get your business started, you’ll need to weigh up the pros and cons of the options available to you. A business loan can help with initial overheads, but make sure the interest rates are affordable.

It it also worth thinking about your services and pricing. You want to price fairly to attract new customers, but of course, you need to do the sums to make sure you cover your overheads and make a decent profit.

Marketing your business

Nailing your marketing strategy will be key to initial and continued success. And there are a number of ways to do it.

Traditional marketing techniques such as word of mouth and print marketing (flyers and adverts in the local newspaper, for example) are still very valid ways to promote a new business.

However, digital marketing will really ramp up your efforts to build awareness. It’s a very effective way to increase your online presence and reach new customers.

Digital marketing is an umbrella term for the many different ways you can build awareness of your new business online, including:

• Creating a company website (with all of your key details)
• Using social media (to reach and engage with potential customers)
• Pay-per-click (PPC) is a way of promoting your website for relevant searches
• Doing search engine optimisation (SEO) helps you appear for local searches
• Joining a trade directory such as Checkatrade
• Using affiliate marketing through relevant partner sites

Using a combination of marketing techniques improves your chances of being found. With people always needing work doing in their homes, you want to be found when they search.

Give your new business the best chance of success

Getting on Checkatrade can expose your business to just under 2 million monthly site users.*

With our digital marketing strategy and strong online presence, becoming a Checkatrade member makes it much easier for customers to find you.

Our fixed membership option lets you build the plan that’s perfect for you and your business needs.

As a member, you can:

• Display customer reviews
• Gain testimonials
• Show examples of your work on your profile page
• Enjoy discounts on business essentials (such as tools, workwear and materials)
• Get money off your public liability insurance
• Offer a backed guarantee on jobs booked through us (T&Cs apply)

And with the Checkatrade tick by your name, your business will have a competitive edge from the off. People know the Checkatrade name, and so may trust a member, just on the strength of our brand.

Starting our in business can be a daunting prospect. But with the right time, and the right backing, you could build for success right from the beginning. Let’s go!

* Internal search data showing users of the Checkatrade.com website between 1st January and 31st December 2024