From the teenagers creating ‘the next big app’ in their bedroom, to the experienced business professional trading in their job in the city for a stab at being their own boss, new tech companies are popping up with greater regularity than ever before. This means that there is in turn far greater competition when launching a tech start-up.
There are many factors which come in to play and can shape whether commercial success can be achieved, as seen in one of our previous Insights blogs. Location, however, is critical and over the last few years, there has been a real shift in power towards the UK and here are five reasons why:
Red tape and unnecessary obstacles are definitely additional challenges that tech start-ups could do without. The UK can’t claim to be faultless in this area but huge strides have been made. Recent findings from The Institute of Management Accountants found that the UK has one of the most SME-friendly governments in the world along with Singapore and the UAE. Granted, it is widely accepted that more could still be done but there is a conscious effort in the UK to make sure entrepreneurs and their start-ups get the support they need.
Finances are always going to play a part in a company’s early life; it would be naive to suggest otherwise. Funding can come in a number of ways via the government, angel investors or crowdfunding. The burrito bond helping Mexican restaurant Chilango has been particularly successful. With the accepted rise of the UK’s tech sector, there is now a greater amount of investors who are prepared to part with their hard-earned money while also offering the business and strategy advice which has previously been missing.
Specialist Tech Arenas
The UK is now officially recognised as Europe’s tech hub and can lay claim to being home to some of the brightest and most innovative individuals. With areas such as Silicon Roundabout in London and Creative Quarter in Nottingham now signalled as arenas of vast excellence and growth in the tech sector, where else would you want to be? These are just two examples of how the UK is helping to drive its tech and innovation segment and can only serve to complement further development.
‘Networking’ is a rather lazy and often overused word which can drum up visions of stuffy conference rooms where nobody feels in the slightest bit at ease. It is, however, a hugely vital tool and one made inordinately easier if you are in the hub of operations. The UK is now managing to attract some of the best talent in the world. To have the opportunity to gain contacts and learn off experts and people who have been in your position is invaluable. Such opportunities will appear more readily if you can operate on a daily basis in the same area as key individuals in the tech sector.
Centre of UK’s economic resurgence
We keep hearing from the current government that the UK is finally out of the financial doldrums and is enjoying a period of sustained growth, and despite the natural cynicism, the statistics back this up. This economic resurgence owes a lot to the country’s burgeoning tech sector. According to KPMG’s research earlier this year, it found the tech sector had enjoyed its biggest period of growth since 2007 and this arena has received more equity investment than any other across the UK. It’s about time that our nation accepted its strengths and shouted about them, so let’s continue to embrace the technology community and open our minds to more.