Latest figures from United Kingdom’s Department for Works and Pensions (DWP) show that over 111,000 businesses have been launched with New Enterprise Allowance (NEA) support since 2011, and that 13% of the entrepreneurs were from a black and minority ethnic background.
Support from the NEA means budding entrepreneurs receive a weekly allowance for 6 months to help them set up their business.
They also benefit from the advice of a business expert who will mentor them for up to 12 months, from drafting their business plan to starting to trade. People can also access a start-up loan, worth up to £25,000.
The full programme of support is available to people who are out of work, but some people who already own their own business can also access the mentoring support.
One of the entrepreneurs who has benefitted from NEA support is Monica Whyte who set up a food stall in Nottingham Market.
Monica Whyte
Monica Whyte
Monica, 51, has always loved cooking traditional, flavoursome Caribbean food.
As a child she would spend her Saturday afternoons making salt fish fritters with her mum. She dreamed of one day turning her love of family cooking into a business.
In June 2016, Monica was out of work and began claiming Universal Credit. But with the support of her work coach, Beverley, the time had come for her to follow her dream.
It was a training class about setting up a market stall which kick-started her journey to self-employment.
And with the support from New Enterprise Allowance programme Monica also received business mentoring and coaching to help nurture her business mind.
Monica said: “My mentor has given me confidence, while guiding me through the journey of developing a business.”
Today, Monica’s Caribbean Kitchen is a popular and growing market stall in Nottingham. Her delicious fried fish, mutton curry, jerk chicken and Saturday Soup special ‘chicken and pumpkin’, have kept customers coming back.
And, through Universal Credit, Monica has had the flexibility to start working more hours, grow her business steadily and build her clientele while still getting financial support when she needed it.
Monica added: “This has been a journey for me where I have become more confident about getting my businesses up and running. The future looks bright - I’m looking into getting more equipment and working on outside catering, summer fetes and other events.”
Tasty from Monica’s Caribbean Kitchen
Tasty from Monica’s Caribbean Kitchen.
Minister for Employment Alok Sharma said: “Successful small businesses are the engine of our economy and the New Enterprise Allowance has made a real positive difference in supporting people like Monica to start their own business, with a business mentor proving invaluable. And with the roll-out of Universal Credit, self-employed people are supported for up to a year while they establish their business.”