Adventures In Micro-Business: How To Raise Finance And Patent Your Ideas
Question: I’ve been in business for a year but understand that regulations will change on 6 April. Where can I find information about such changes?
Answer: Many government departments issue information about such changes twice a year: on 6 April and 1 October. These dates are called the Common Commencement Dates or ‘CCDs‘. A good place to see an overview is the Business Link website on their Regulations Update page. They also offer an e-mail alert free subscription service that keeps you up-to-date throughout the year.
Question: I need to raise finance for my business. Is there a simple rule that governs how to choose between equity and debt finance?
Answer: Basically, equity finance involves selling shares in your company to investors while debt finance involves borrowing money. Investors get their money back, hopefully with a profit, when they later sell those shares. Borrowed money has to be repaid by your business. In general terms, debt finance is appropriate if the business can quickly come into profit and be able to repay the loan. By contrast, equity finance is often used to fund the development of a business that takes longer to come into profit. However, the two forms of finance are not mutually exclusive and therefore many businesses access finance from both sources. I recommend that you discuss any financial needs with your accountant before making a decision.
Question: I have come up with an idea that I believe could be patented and form the basis of a great business. What should I do?
Answer: Firstly, don’t tell anybody about your idea! You must keep ideas secret before filing a patent. The first step would be to consult a patent attorney. If you are unsure about who to visit in your local area, your solicitor should be able to recommend one. General information about patents can be found from the Patent Office website. I also suggest that you visit the excellent website of NESTA – the National Endowment for Science, Technology and the Arts. NESTA provides a wealth of information and support for inventors and also invests in innovative ideas.
Also Read
- Before You File Patent Applications In The UK Lawdit Commercial Solicitors: Before you apply for a patent...
- Protecting The Patent System For Entrepreneurs New York Times: Recently, a number of companies from...
