Cash aids business pioneers.

A pounds 1.5m fund has been launched to help people in North Tyneside set up their own businesses.

About 1,500 potential entrepreneurs are expected to get help from the Raising Enterprise North Tyneside project in the next three years.

It will work in the heart of disadvantaged neighbourhoods, holding drop-in sessions and workshops in community centres throughout the borough to help people overcome barriers to enterprise.

Mentoring and business diagnostic advice will help them develop their plans before they take the next step into the mainstream Business Link service.

Half the investment is coming from the European Regional Development Fund (ERDF) for the 2007-13 period through One North East.

North Tyneside Council is providing the rest.

North Tyneside's elected mayor John Harrison said: "The key aim of the whole project is to turn people's interest in self-employment into viable business opportunities, as well as giving them the confidence, motivation and know-how to start up. We will be specifically targeting activity at the four most deprived wards in the borough: Riverside, Wallsend, Chirton and Howdon.

"We need to create, promote and support a new culture of enterprise in these communities and their surrounding areas."

Meanwhile, the Business Opportunity Sourcing Service will operate alongside the Neighbourhood Enterprise Team, focusing on local openings for those looking to start up in business, including franchises.

It will assist 450 fledgling entrepreneurs who would like to be self-employed, but lack the business ideas to progress further, guiding them at the pre-start stage and referring them to Business Link when they are ready.

One North East head of European and skills strategy Lesley Calder said: "Start up rates have dropped in North Tyneside and the statistics also show that the self employment rate is well below the national average. So this is a crucial intervention underpinned by substantial investment from the European Union.

"The service is about creating opportunities for potential business start-ups and bridging the gap between existing community infrastructures and mainstream business development support."

Business generation workshops will assist participants to assess their suitability for self-employment and provide information on potential franchise opportunities.

Advisors will work with individuals on a one-to-one basis to help them develop ideas by considering their existing skills, experience and interests to explore opportunities.

For further information about the Raising Enterprise North Tyneside project, contact North Tyneside Council on [phone].

For information on the wider package of support available to businesses, please contact Business Link on Tel: [phone] or visit www.businesslink.gov.uk/northeast.

CAPTION(S):

KNOW-HOW Mayor John Harrison.