Contrary to some reports, the entrepreneurial spirit is alive and well in the UK and more people than ever before are starting a business or considering doing so.

So what help is available for them? What can people do to try and ensure success? Are there really people prepared to give cash grants and free advice to budding entrepreneurs? Should you get business insurance from day one?

Where to get advice
When it comes to answers to these questions, there is a plethora of organisations and groups dedicated to helping new businesses nationwide, from Business Eye in Wales and Invest NI in Northern Ireland, to Highlands and Islands Enterprise and Business Gateway in Scotland and Business Link in England.

Indeed, there is plenty of 'official' advice available to anyone starting out with a new business. A quick check on the Business Link website www.businesslink.gov.uk/bdotg/action/directory will give you all the main pointers. And yes, there can be grants from the likes of local enterprise companies and the Prince's Trust.

In addition, a growing number of larger law and accountancy firms offer an advisory service on a variety of topics. But, getting down to brass tacks, you have to ask yourself what do you personally need to do, what qualities do you need to have, to make the business work.

Plan thoroughly
First of all, be hard-headed about yourself and your plans. Most new businesses start up to offer a new or different product or service, but would-be entrepreneurs must carry out extensive and solid research to ensure that there really is a market out there for the new business's wares. You need proof that there really is enough demand out there to make it worth starting a business.

Be cautious in your forecasts, especially those in your business plan - a properly-prepared plan is an absolute must - and given the statistic that 50 per cent of new businesses fail within three years of establishment, the most realistic aim of any new business must be to survive at first, then consolidate and expand.
Most business advisers or mentors concentrate on reducing the opportunity for mistakes, to keep potentially fatal errors to a minimum - you can only insure for so much.

Honesty is the best policy
Be tough on yourself and others. Are you really dedicated enough for the task? Will you work the hours and make all the other necessary sacrifices required for success? If you are using your property as collateral to gain finance, are you really prepared to risk losing it?
When going into business with partners and fellow investors, honesty at the beginning might save a lot of heartbreak later. Even if you have known your colleagues since primary school, it is still a very good idea for everyone to be up-front and open about their own financial status and commitments. Marketing a new product, for instance, can be hugely expensive. Are you robust enough financially to face this burden?

Get ready for the paperwork
The most basic decision is whether to go ahead on a self-employed basis, or as partnership or a limited company. Tax and VAT are an unavoidable headache for all new businesses. People going into business on their own - even if you already are an employee and working in your spare time - should also be aware of the Class 4 National Insurance contributions which, from April 2008, will be set at 8 per cent on earnings between £5,435 and £40,040.

Whether you rent or own your own premises, do you have proper business insurance?
Does the building comply with the constantly updated health and safety regulations, for instance?

There may come a time for employing staff and that is a whole new minefield, especially since legislation has lowered the number of employees in a company for which health rules and pension rights apply.
The key to managing human resource issues is prior research. Indeed, in general, good research is the key to any successful new business.