Where you set up your new business is as crucial as the nature of your business in determining its sustenance. The first five years are the most challenging. Establishing a customer base, evening out the cost of rent, beating the competition, and ensuring regular cash-flow can be tricky for a small business owner to juggle – and the location of your business is a major deciding factor in this.
We decided to do some digging around the friendly web and have curated this list of top 5 UK cities that offer conducive environments for prospective new businesses. The factors that impacted our decision include weekly salary, survival rates, population, average rent, and the number of working adults in the location.
Take your pick:
5-year new business survival rate: 44.9%
Average weekly full-time pay: £542.10
The average rent for a 1-bed apartment: £585
Employed adults: 227,822
The Steel City is known for its rich, industrial heritage. It was the best city in 2019 to start a new business. Although the steel business has been declining since the 1980s, Sheffield still produces advanced manufacturing technology. The public sector is a major employer here. Sheffield is also a prominent sports centre.
5-year new business survival rate: 44.8%
Average weekly full-time pay: £575.70
The average rent for a 1-bed apartment: £828.75
Employed adults: 197,915
Aerospace, electronics, and creative media hold up Bristol’s economy. It is also a popular tourist destination that has helped shape its artistic and sporting influence. The government has given it the status of Science City in 2005 due to its contribution to the country’s innovation.
5-year new business survival rate: 43.4%
Average weekly full-time pay: £506.40
The average rent for a 1-bed apartment: £579.41
Employed adults: 112,861
Nottingham was once famous for its lace-making and bicycle manufacturing industries. Today, it’s home to major companies in life-sciences, finance, retail, low-carbon technologies, digital media, and leisure.
5-year new business survival rate: 42.9%
Average weekly full-time pay: £613.30
The average rent for a 1-bed apartment: £763.63
Employed adults: 272,000
The UK’s second most popular city is not just known for its history and culture as the Scottish capital but also for the Fringe and Edinburgh International Festival. The city is new business-friendly too, and financial services, scientific research, and higher education account for a significant chunk of the local economy of Edinburgh.
5-year new business survival rate: 42.2%
Average weekly full-time pay: £595.10
The average rent for a 1-bed apartment: £616.07
Employed adults: 128,764
Historically, Coventry was famous for ribbon-making and car manufacturing. Present-day Coventry, however, also includes finance, research, logistics, creative, and leisure industries apart from the automotive sector.
Finding the right location for your new business determines how well it will do. Make sure to start somewhere with a demand for your products or services with cost-effective living and working standards.