The fifth and final blog post in this series is a quick wrap up from me.
There is no point in pretending that Europe is perfect, it isn’t and there are many things that need changing, but there is a lot right with it. As I have pointed out in a pervious blog post, as a member state of the EU, we are part of the world’s largest single market that has a total GDP of circa £11 trillion, an economic zone larger than the USA and Japan combined! In the EU there are 500 million people, and, although it is far from perfect, it is a fairly level playing field for UK businesses. There is also an absence of custom duties and a common set of rules, which means you don’t have 27 different sets of country regulations to be aware of and adhere to.
On the figures side, as it currently stands, over 50% of foreign direct investment to the UK comes from other EU member states. 40% of our exports go to the EU and they are tariff-free. These exports help to support over 4 million UK jobs and are worth in excess of £200 billion to the economy.
So, it is hugely important we remain active and engaged in and with the EU.
In the UK we are seeing unprecedented levels of business start up, with 526,446 new businesses being set up in 2013, however, business failure rates are high, recent stats show that of those 526k starting up, circa 20% will fail within the first year and circa 50% won’t be around by 2016. When companies manage to get through the start up stages, are established and have the potential to grow they are faced with numerous challenges on how to develop their market, increase their reach and develop new opportunities.
One area that is often over looked for start ups and small businesses is overseas markets. Yes, the risks are high, but if you have the right introductions, meet the right people and have access to market intelligence, then the opportunities are equally high.
For me it is always a huge privilege to take groups of young entrepreneurs on these types of delegations. The event in Athens was a great example in the benefit of bringing like minded people together, providing a degree of inspiration, challenge them to actively contribute and encourage them to meet, network and work with one another. You can see the connections being made and future business partnerships already being developed. I hope the past blogs in this series really help to give you a young entrepreneurs insights and advantages of being involved in delegations of this nature.
But what about overseas market intelligence? It can cost a lot and it is difficult to find exactly what you are after. There are numerous ways of getting this are low or no costs, UKTI can help, as well as membership bodies like the IoD, but I wanted to flag up an initiative I have recently come across, that I have been hugely impressed by, it is Santander’s Business Trade Portal. It is really impressive and all I will say is check it out, you wont be disappointed.
I would like to finish by saying a huge thank you to the organisations that helped pull the delegation together, these were the Start Up Loans Company, The Institute of Directors, Launch Pad Labs, the Young Brits Network and the G20 Young Entrepreneurs Alliance. And an even bigger thank you to the UK delegates themselves:
- Amy Barker, Founder of Director of Monks & Co Clothing
- Douglas Bell, Founder of Hideout and entrepreneur in residence at Launch Pad Labs
- Nathaniel Peat, Founder of The Safety Box
- Arina Sprynz, Founder of Rinz Sound
- Glynn Pegler, Founder of Culture Group
- Matt Kelcher, Advisor to the Labour Party Business Team