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Read up to date information about New Enterprise Allowance eligibility and how to apply.
The government's New Enterprise Allowance helps you get your business idea off the ground if you're on benefits.
After losing her job, Nicola was receiving Jobseeker’s Allowance and struggling to find work. Within 6 months of being made redundant, Nicola had started her own successful social media business, Pepamint. Nicola was able to do this with the help of New Enterprise Allowance. She was also a finalist for the Forward Ladies Young Woman in Business Award 2014. Nicola’s situation was like many people around the UK who want to get off benefits and find success in their careers.
Here are 3 things that Nicola did to turn her situation around and become a successful entrepreneur.
1. Take advantage of the support offered by the New Enterprise Allowance
A mentor will help you create a business plan and if your idea is approved you may get financial support.
2. Research the market
The more you understand the industry you want to be in, the better you’ll be able to develop your idea. Can you find a niche in the market?
3. Go to networking events
This will help you widen your circle of contacts and find out about potential opportunities. Contact your local Job Centre Plus to find out about networking events in your area.
What is the New Enterprise Allowance?
If you want to start your own business, New Enterprise Allowance offers a mentoring service and financial support.
You must be aged 18 or over, have a business idea and get one of the following benefits:
- Jobseeker’s Allowance
- Income Support as a lone parent
- Employment and Support Allowance, if you’re in the work-related activity group
A Jobcentre Plus adviser can refer you to the scheme as soon as you get a qualifying benefit.
You don’t qualify if you’re part of the Work Programme, but you can still get help setting up a business elsewhere.
There’s more help available from the government
The New Enterprise Allowance is just one of many government schemes that offer support. Here are a few more examples of schemes you may be interested in.
Tax credits - financial support from the government given in a number of circumstances
Free early education or childcare - 15 hours per week for 38 weeks for 3 and 4 year olds - some 2 year olds are also eligible
Apprenticeships - combine practical training in a job with study
Help to Buy - helps you to buy your home
Right to buy - helps council tenants buy their home
Other useful services: