The Department for Business, Innovation and Skills (BIS) has announced that a start-up scheme for ex-service personnel will be expanded to include all military leavers.

The Be the Boss scheme, which opened for applications in June 2010, will receive £5m in funding from the government to extend its reach after attracting interest from over 1000 armed forces leavers.

Explaining the scheme’s extension, business minister Mark Prisk said: “This scheme provides a means for many ex-service personnel, whose employment options are limited by injury, to become entrepreneurs.

“Service people face distinctive difficulties in starting businesses, such as a lack of network, after a mobile career, and this is reflected in the low rate of self-employment in this group (6%).”

The scheme is delivered by the Royal British Legion (RBL), due to its UK-wide coverage and reputation among ex-service personnel. This £5m injection from BIS will now be used to fund business start-up training, mentoring, grants and loans up to £30,000, with many services provided by delivery partners to increase reach and efficiency.

The RBL will also lever additional private sector co-investment to maintain the scheme’s sustainability. Prisk added:

“We are very grateful for the sterling work done by RBL. They had not previously been involved with enterprise, being a charity principally concerned with providing welfare services, [but] are now very switched on to encouraging enterprise amongst members.”

Rupert Honywood, director of Personal Development Bureau, a start-up formed to assist former fire service, police service and armed forces personnel into new careers, added his support for the scheme, saying:

“The Be the Boss scheme is a terrific initiative which is going to be of real benefit to armed forces personnel wanting to set up in business.

“With 80% of businesses failing within five years, this scheme is considerably enhanced by the funding attached – dramatically increasing the chances of success for ex-service personnel and their families.”

© Crimson Publishing 2011