BUSINESS START-UP SURGE EXPECTED ON ‘FOUNDER FRIDAY’ 6TH JANUARY

Virgin StartUp predicts Friday 6 January 2023 is the day that budding entrepreneurs will begin their start-up journey

New data from Virgin StartUp, a not-for-profit organisation which helps budding founders start or grow their new business, predicts that Friday 6 January 2023 will see a surge of interest from Brits who want to start their own business.

Virgin StartUp has coined the day ‘Founder Friday’, as data shows the first Friday in January is a peak time for new entrepreneurs to begin their start-up journey.  To support new founders, Virgin StartUp has opened a free business support line on Founder Friday where anyone can book a 30-minute slot with an experienced business advisor.

For the past two years, Virgin StartUp has seen a spike in traffic to its website on the first Friday of January, as well as a significant increase in applications for Start Up Loans across the first month of the year, as future founders set their intentions for the year ahead and decide to turn their passions into a business.

In January 2022, VSU saw a 177% increase in web traffic and a 50% increase in Start Up Loan applications*. Start Up Loans, which is part of the British Business Bank, also reports a similar increase in web traffic each January. Last year it saw a 40% increase in web traffic, a 56% increase in loan applications and a 29% increase in loan draw downs. Google Trends data also reveals search terms ‘start a business’, ‘how to start a business’ and ‘business ideas’ peaked between, 2-8 January 2022.

When it comes to Brits registering their business, the first quarter (January-March) of each year sees significantly higher rates of business creation. In 2022 alone, there were 46% more new businesses registered in Q1 than Q2 and over a six-year period (2017-22), January to March saw 25% higher rates of business registrations*.

The data is supported by research from Virgin StartUp which reveals that more than one in four (26%) UK adults say they plan to launch a business in 2023, with 46% of 18-24 year olds saying they are planning to become an entrepreneur this year. The survey of more than 2,000 UK adults found more than a third (36%) of people had planned to use the festive break to work on their business plans whilst one in three (33%) said they will have spent less money over the festive period to help fund a new venture. Those who said they would consider starting a business will spend an average of five hours per week researching business ideas, business advice, or setting up a new business. The most popular source of business start-up advice is ‘online’ (20%), followed by ‘speaking to an expert advisor’ (19%), a ‘spouse or partner’ (18%), a ‘family friend’ (15%) or ‘parent’ (13%).

To coincide with the predicted surge of interest, Virgin StartUp is opening up a free business advice line, on ‘Founder Friday’. Anyone in the UK can register for a free 30-minute virtual meeting with a Virgin StartUp advisor who will answer questions and take future founders through the first steps of getting a business off the ground – from business plans to financial forecasting. With their support, budding entrepreneurs could go on to draft and submit their own Start Up Loan application. 

Andy Fishburn, Managing Director at Virgin StartUp, comments:

“As a New Year begins, we have historically seen January to be a peak period for founders looking to get their business idea off the ground. Many will have used the time between Christmas and New Year wisely to do their research and see where their business fits within the marketplace. To help these future founders who are looking for trusted sources of advice when it comes to launching a new business in 2023, Virgin StartUp has opened an expert business advice line, available for free on “Founder Friday”. By doing this, we hope to give new founders the best start on their entrepreneurial journey.”

Richard Bearman, Managing Director at Start Up Loans, adds: “January is a time when we think about making resolutions and what we want to achieve over the coming year. With that in mind it’s inspiring to see that the new year remains as popular a time as ever for aspiring business owners to take a leap of faith and become their own boss.   

“Given the tough economic climate, it’s vital that small businesses are given as much support as possible. Virgin StartUp’s business advice line is therefore a great opportunity for company founders to take advantage of free counsel that could positively impact their enterprises over 2023.”

Jeroo Cherag Doodhmal, case study, says:

“From personal experience starting a business in January, it’s understandable that many entrepreneurs try to use some of the downtime over the festive break to help turn a business idea into a reality. It’s important to take advice from a range of trusted sources when making key business decisions.

“Thanks to my Start Up Loan and the support I received from Virgin StartUp, I was able to get my business off the ground at the start of a new year. I’d definitely encourage other founders to explore Virgin StartUp’s diverse range of services as they search online for business advice this year.”