The New Year brings about a time of change, sparking many to take the opportunity for a new beginning in both their personal and professional lives. For entrepreneurs looking to pave their own path January is the most common month, with British entrepreneurs up to 10 per cent more likely to start a business in January than any other month. However, with a new business, there are many important decisions that need to be made early on, a primary one being where the business should be based.
MoneySuperMarket analysed and ranked 18 cities across the UK to determine where in the country best caters for new businesses. There were a number of key factors included in this ranking such as the cost per workstation, business insurance and the number of office spaces available to see which cities are deemed the most desirable places to set up shop.
The research found Edinburgh to be the best city to set up a new business, due to its excellent cost per workstation, strong local broadband speed and low number of business insurance claims. Brighton and Hove, on the other hand ranked last, due to the limited and costly desk space.
In the Midlands, both Nottingham and Birmingham held their own:
- Nottingham– Nottingham offers one of the lowest average costs per desk in the country at £218. The Creative Quarter also makes being a start-up business in this area even more attractive, offering grants and funding for tech and life science businesses, including a loan between £500 and £25,000 at a 6% interest rate over five years to start-ups in the area.
- Birmingham – Birmingham’s workstations were only slightly more expensive than those in Nottingham, at £223 a pop. It also saw faster WiFi speeds than the average offered in the UK, along with support and interest in young businesses at a local government level, making it a strong choice for young entrepreneurs.
Despite the highest total number of co-working spaces and decent availability even when high competition for space is factored in, London’s exorbitant workstation prices and high costs on business insurance policies drove it to 16th position out of the 18 cities analysed. The capital beat only Newcastle, where a lack of spaces and indicators of an unfriendly start-up environment lowered local opportunities.
While there are angel investments and finance options for new businesses in the city, the strong profile of grants & opportunities in Midlands cities, along with lower living costs, made them a strong relocation prospect for entrepreneurs thinking of starting a business in the capital.
