The research reveals that the dream of running your own business is flourishing and potentially lucrative, as ‘recession baby’ businesses that started continue to grow and succeed.
“Many people secretly hope to run their own business and escape from nine to five employment,” said Steve Cooper, Managing Director of Barclays Business, whose research has produced these statistics.
“These figures show that dream is realistic, and starting your own business can offer a credible, financially alternative to working for another employer. What makes this so extraordinary is that these businesses are ‘recession babies’ – born, grown and succeeding in the current markets. Clearly, there are a lot of opportunities out there for start-ups which our entrepreneurs are aggressively going after.
“Even if your ambition isn’t to reach the financial stratosphere, there are many, many businesses providing their owners with a good income below £100,000 turnover. Figures like these are part of the reason why Barclays is supporting record numbers of people taking the plunge and starting up a business.”
Across the UK around one in 20 businesses started up during the last three years is turning over £200,000, a fantastic achievement against a backdrop of difficult economic conditions. Of course, some entrepreneurs’ dreams are even bigger, with around one in 65 businesses started up in these markets are reaching a half million in turnover. While turnover isn’t the same as profit, there’s no doubt that many of these businesses are on the way towards setting their owners up for the long-term.
Cooper continues: “The record numbers of start-up businesses is partly the ‘Dragon’s Den’ effect – seeing inspirational people on television who are following their business dreams. We’re also seeing a new generation of young entrepreneurs who have learned about business at their school – which is exactly as it should be. Others are entrepreneurs through necessity, as their situation means they can’t get salaried employment.
“The cost of starting a business today can be extraordinarily low. Many businesses exist just with an electronic shop window, rather than a high street presence. They work and trade online, and their customers could just as easily be in Sydney as Sheffield.”
Outside of London and the immediate area including Surrey, the areas with the highest number of firms turning over more than £100,000 in the last three years are Berkshire, Buckinghamshire and Cambridge.