While many industries in the UK have the dark cloud that is Brexit looming over them, tech companies are basking in the light of success.
The UK is one of the most tech startup-friendly nations in the world, and it doesn’t seem like the tremulous economic environment has changed that.
According to Forbes, more tech firms are operating in the UK now than ever before.
This information is a bit surprising considering Companies House reported fewer new businesses launched in 2017 and 2018 than years before that.
The Forbes article further points out that the number of tech startups rose nearly 60 per cent in 2017, according to an analysis conducted by RSM International, an accounting and audit firm.
In other words, if you’re considering launching your startup in Europe, whether you’re local or abroad, an entrepreneur or an investor, the United Kingdom is the best European country for tech companies at this point.
The UK Offers Companies the Best Tax Benefits in Europe
Domestic and foreign holding companies find the UK an advantageous country to establish themselves for a few reasons:
- The UK is one the world’s most significant international business hubs
- The UK’s political, legal, and economic systems are relatively stable compared to other European nations
- The UK has established a desirable tax system with numerous tax treaties throughout the world
One of the few tax breaks enjoyed by UK-based startups is the Seed Enterprise Investment Scheme (SEIS) which is designed to “incentivise potential.”
According to information provided by Metric Accountants:
“A company may issue shares for a cash investment of up to £150,000 under the SEIS scheme, which it may use for a wide range of business purposes, everything from research and development to the recruitment of more staff.”
For more in-depth information concerning assistance and programs offered by the United Kingdom to entrepreneurs and startups, feel free to visit the Department of International Trade.
Other Signs That Britain Is a Haven for Young Tech Companies
In February 2019, the Best British Tech Startup Competition 2019, the world’s largest annual mobile industry gathering, will take place. Over 30 tech startups will be competing for a chance to win the following package:
- Showcase their company and innovations at the 2019 Four Years From Now (4YFN) and Mobile World Congress (MWC) in Barcelona.
- Display their exhibit at 4YFN Barcelona in February 2019 where 20,000 or more corporate heads, inventors, and founders from around the world will be attending.
- Talk about their startup with various media outlets throughout the MWC.
- Be permitted to attend the KPMG Inspiring Speakers events along with founders and CEOs of the United Kingdom’s leading fast growth private UK businesses.
What makes the Mobile World Congress such a promising event for new tech companies looking to make their mark?
Last year, over 100,000 people from the mobile tech industry showed up there.
Among them were 7,000 CEOs, 3,500 international media outlets and technology analysts, as well as hundreds of big-time investors looking to pour their money into the next big thing.
In addition to that huge event, on January the 14th, the UK government is hosting its “UK Aerospace Research and Technology Programme: Collaborative Feasibility Studies Round 1.”
According to the government’s website:
“UK organisations can apply for a share of up to £8 million to carry out collaborative R&D, collaborative fast-track and feasibility projects to enhance the UK’s position in civil aerospace.”
In order to qualify for this event, one must be:
- An organization of any size based in the UK
- Intend on conducting aerospace research or technology development projects in the UK
- Agree to and sign the Aerospace Technology Institute (ATI) framework agreement
- Collaborate with other organizations.
The project closes on 27 February 2019.