Low-cost ideas for UK small businesses

Want to start your own small business but lack capital?

Creating and launching a low-cost start up business on a shoestring is possible - we've gathered together 35 of the best low-cost small business ideas to help you get started.

If you think that starting a business demands a bulging savings account or rich relatives then think again.

Starting a business on a budget taps directly into the entrepreneurial spirit that can make your new business a great success.

A huge number of companies have started with nothing more than an idea, determination and a clear vision of success.

Successful businesses have started operations from garages or spare rooms including Amazon with Jeff Bezos selling books from his garage, and Disney which began when Walt Disney started creating animations in his uncle's garage.

Starting a business is hard work but armed with a brilliant idea, creative thinking and determination, anyone can make a business succeed - regardless of the starting budget.

To help we've collected together some of the best small business ideas and some essential tips to make the most of starting a business without investing a fortune.

How to succeed in starting a business on a budget

Brilliant cheap business ideas are one thing but if you've got to keep the lights on and meet repayments it can be daunting trying to launch a business without much investment.

While a decent amount of investment can help a business get off the ground it's no substitute for careful planning and creative thinking.

Here are some tips that apply to anyone starting a business from scratch.

• Work from home - it sounds obvious but turning a spare room or garage into a workshop or office immediately saves on overheads, rent and commuting costs. Check that you can legally run the business you want from home and remember that some costs can be charged as expenses against your business profits.

• Keep costs low - resist the temptation to incur costs wherever possible. Reuse old equipment such as laptops and computers, buy second-hand office furniture and source office supplies from cheaper online stores. Avoid signing up for any long-term contracts and push hard for discounts when sourcing new suppliers.

• Discounts rule - discounts are the lifeblood of new business so negotiate deals that discount bulk purchases or recognise that you're a new customer who will return and spend more. Seek out trial services for online services such as bookkeeping and use free cloud storage to back-up files and free online software such as Google Docs to save buying expensive office software.

• Set up online - an online business is the most cost-effective business you can run. Using social media and a cheap website that's highly optimised for the product and audience you're selling to it's possible to set up an online store for less than £50 per month with all the whistles and bells, including payments and credit card processing.

• Avoid inventory - while you may carry some inventory smart businesses keep inventory (and therefore expenses) as lean as possible, only creating inventory when a customer orders a product. Look for suppliers who ship directly to customers thus saving on distribution and warehousing costs.

• Do it yourself - low-cost start ups mean you're going to have to multi-task as a marketer, stock controller, receptionist, accountant, packer and administrator. Try to carry out as many tasks as possible but look to hire specialist help on a per project basis to keep overheads low.

If you're willing to work hard, scavenge resources, and do what it takes to get a business off the ground then you're halfway there.

If you still need inspiration we have highlighted some low cost and cheap business ideas you can start easily and without much capital.