For first-time and student founders
Start here: how to start a startup in the UK
Starting a company in the UK takes five steps, and most founders work through them in roughly this order. Each step below has the short version, the Bizztor guides that go deeper, and the terms you will meet on the way.
Step 1 of 5
Test the idea before you build it
Before you register anything, find out whether real people have the problem and will pay to solve it. Ask potential customers how they deal with it today rather than pitching your idea, and try to get one of them to pay or pre-order. Be honest about why you are the right person to build it, because investors will ask.
Read next
- Before you build a business, find one person who will pay
The first customer test, step by step.
- How to validate your startup idea before writing code
Cheap ways to test demand.
- Founder-market fit: what it is and why it matters
Why investors back people who know the market.
- How to find a co-founder for your startup
Where to look and what to agree first.
- Survivorship bias: what startup success stories leave out
Terms you will meet
Step 2 of 5
Set up the company properly
Most founders who plan to raise investment set up a private limited company, which costs £100 online at Companies House. Every director and person with significant control now has to verify their identity, and you will need a registered office address and articles of association. Agree vesting with your co-founders in a shareholders' agreement, and make sure everything founders and contractors build belongs to the company.
Read next
- International students: read this before you register your first company
Registered office, directors and visa conditions.
- Protecting intellectual property in a UK startup
Trade marks, IP assignments and confidentiality.
- Non-compete clauses and UK startups
What it means for hiring and for leaving a job to found.
- UK tech incorporations hit a record high
Step 3 of 5
Find the right money
Work out how much runway you need to reach a milestone an investor will pay for, then choose the cheapest money that gets you there. Grants and Start Up Loans keep your equity; angels who invest through SEIS get 50% income tax relief, so get HMRC advance assurance before you pitch. Model the dilution before you sign a term sheet.
Read next
- How to create a startup pitch deck
The slides investors expect to see.
- Approaching your first investor
- Business strategies for UK startups, including SEIS and grants
- Early-stage AI startup accelerators in the UK
- Pro rata rights explained for founders
- UK startup funding data: every round since 2023
See who is raising, where and at what stage.
Step 4 of 5
Sort your visa (international and student founders)
On a Student visa you cannot be self-employed, so most student founders test and plan during their course and start trading after they switch visa. The Graduate visa allows self-employment, and for the longer term the Innovator Founder visa needs an endorsement from an approved endorsing body, while Global Talent and High Potential Individual visas suit some founders. Check every fee and rule on GOV.UK, and take advice from a regulated immigration adviser before you apply.
Read next
- Starting a business as a student: what is allowed and when
Student and Graduate visa rules in order.
- Innovator Founder visa guide
- The High Potential Individual visa route
- India Young Professionals Scheme for tech founders
- Sponsor licences for startups
When you are ready to hire from overseas.
- What it costs to hire a Skilled Worker
Step 5 of 5
Win your first customers and grow
Your first customers will come from people you can reach directly: your network, the communities your buyers belong to and well-written personal emails. Make it easy for happy customers to recommend you, and share what you learn in public, because founder-led content builds trust faster than advertising. Track a few numbers every week, such as customer acquisition cost, churn and runway, and hire when a clear bottleneck appears.
Read next
Keep going
Look up any term in the glossary, run the numbers with the calculators, and get new guides and the biggest UK rounds by email.
Last checked . Fees and rules change: check GOV.UK before you act, and take professional advice on tax, legal and visa questions.