Setting up a new business is hard work. It’s all-encompassing, time consuming and for the first few heady months money can be tight.
Yet the latest figures show that instead of being on the fringes of British business, in fact increasing numbers of individuals are setting up their own companies. The UK’s start-up culture is in full bloom with £4.9m worth of SMEs responsible for 60% of employment in the country. It’s a major part of why the UK economy is recovering so well.
So why have more people decided to forge ahead on their own? Why, increasingly, is a start-up in the business future of so many of the UK’s workers.
Technology has made an entrepreneurial spirit much easier to achieve. Starting your own business is, now, thanks to cloud computing and open source IT a much more cost-effective and achievable goal.
The most optimistic tend to be those under 35 with over half (54%) saying their are upbeat and confident that it’s much easier to set up a company than it used to be.
The truth is our digital culture has transformed how we do business and has change the way of life for many of the UK’s entrepreneurs. Selling online is now common place. E-marketplaces and e-commerce are much cheaper than buying a bricks and mortar store, having to invest in staff and having an expensive outlay before you’ve even opened the doors. A great online presence can give a company the edge, helping it to engage directly with customers.
The Cloud is a major part of that. Reducing costs enable start-ups to emulate major international firms with half of the overheads. It enables communications and marketing to become much more flexible. Sales are conducted easily and the entrepreneurs themselves can test and try out new ideas and ways of engaging without investing in an expensive piece of kit. That allows entrepreneurs to be more dynamic, innovative and braver. Innovative companies tend to grow faster and make more money in the long term so giving these start-ups room to breathe bodes well for their future success.
It’s easy for cloud computing providers to see the UK economy going in the right way, to see confidence rising amongst SMEs and to take credit for it. Much of it is about being in the right place and the right time. How many companies would have experimented with the cloud if the downturn hadn’t demanded the majority of firms needed to look for more cost-effective ways of doing things? The downturn has created a generation of entrepreneurs who are independent, braver and willing to try new things, they are confident in their ability to get their online presence right and know what they’re looking for. The growth of cloud computing and the birth of this new wave of entrepreneur is a marriage made in heaven.