Tim Hayes decided that he had grown tired of executive stress and set up the People’s Web, an online service for retailers, traders and consumers. He tells Startups.co.uk about the perils of internet middlemen, expensive websites and how he plans to change this.

Name: Tim Hayes
Age: 46
Business: The People’s Web
Type of business: Online trading company
Start date: To trade: November 2004. To consumers: March 2005

When did you first decide you wanted to start your own business?
The concept of The People’s Web arose from the lack of user-friendly, cost-effective channels through which to buy, sell or swap goods and services. The online services were all based on a pay-per-transaction basis as were the newspaper options. We launched The People’s Web because as consumers we were frustrated by the unnecessary overcharging made by internet middlemen. We developed the website to break the stranglehold of the high-fee auction sites and search engines.

Tell us about your business
The People’s Web is a revolutionary low-cost internet service launched to help retailers and consumers buy and sell through a one-stop online marketplace. We view our company as a nationwide market place, where companies pay a small annual fee to advertise and sell as much as they want. It costs just £5 a year for consumers and £25 a year for retailers. Companies can have their entire inventory automatically uploaded via XML spreadsheet for unlimited use for just £100 a year. Following our trade launch we took time to listen to users reactions and enhance functionality. The People’s Web can be browsed free of charge and the search process is effortless.

Was it your first business idea and where did it come from?
I was previously the marketing director at Stena Line, the world’s leading ferry company, where I helped introduce the revolutionary HSS Craft, which halved the crossing time to Ireland.

What makes you think there’s a market for your business?
The response we’ve had from business and consumers has been staggering, and entirely positive. The Peoples Web has been inundated with messages of support since its launch last year, with consumers commenting on the need for an alternative to amongst others eBay. The fact that we donated our entire company turnover from 15 June to July 2 to Live 8 has been a popular move amongst People’s Web account holders.

Once you’d decided to start a business, what did you do first?
We set about building a prototype and proving the business model.

What research did you do?
We developed a prototype of the site and tested this on users – in the end we developed three versions of the site before going public.

What advice did you seek?
We approached many of the government agencies that support businesses and I have to say that they have been fantastic. They have assisted us on all manner of things that a small start up needs – from sourcing finance to legal help. We were also awarded a business mentor, from the South East England Development Agency, that has assisted us as an impartial and independent ‘third voice’.

Does the government need to provide more help to people trying to start a business?
From our experience there is already a lot of help for small businesses – my only request that this help becomes more widely known. In many instances the business entrepreneur needs to go and chase it.

Talk us through the process of writing your business plan.
I already had a great deal of experience in writing business plans so that part of it came naturally to me. A business plan does not need to be extensive or complicated – in many ways it can be therapeutic as it helps you crystallize what needs to be done.