Brexit Not Discouraging New Tech Companies

uk technology business growth

An interesting thing has happened to the tech sector since June 2016's Brexit vote. Rather than seeing large numbers of businesses either flee the UK or decide not to establish operations here, the exact opposite has happened. The tech sector is exploding. Tech company owners are certainly not being discouraged in their small business strategic planning or establishing new start-ups.

According to numbers published by City A.M. and other media sources, Companies House registered 2,325 tech companies in the eight months leading up to the Brexit vote and another 5,995 since. Making things even better was a recent announcement by the government that they intend to do everything to ensure the UK remains the tech sector leader in Europe long after our separation from the EU is complete.

Numbers indicate that London is still the strongest region in the UK for the tech industry. Before the vote, there were 944 new tech companies established in the capital; 2,685 have been incorporated since. Other strong players include Manchester and the Home Counties.

Plan Well and Prosper

The key to success in any business and sector is proper small business strategic planning. Unlike a traditional business plan, a strategic plan doesn't just lay out generic goals along with a mission and vision. It also includes a detailed strategy outlining how resources will be used to achieve specific goals as determined by a broader mission and vision.

In the tech sector, the broad goal for the UK is to be the dominant force in Europe as well as one of the most important players in the world. We already have something going for us, something that is attracting thousands of new tech sector companies every year: an unwavering commitment to technology.

More than a decade ago, we embarked on an ambitious plan to develop cutting-edge technology and infrastructure that would be second to none. Through a good combination of private sector investment and public support, the UK quickly became Europe's leader in technology. We haven't looked back since.

Small business strategic planning for start-ups begins with the notion that UK tech companies are expected to succeed. Planners then devise strategies designed to not only ensure their companies thrive but that they also contribute to keeping the tech sector here on the leading edge.

A Potential Problem

The one thing that could significantly slow down the tech sector in the coming years is a shortage of talent. If Brexit negotiations create a way for EU workers to remain in the UK, everything should be fine. But if the negotiations result in a large number of foreign workers returning home, UK tech sector companies may not have enough staff to keep them operating.

Smart business owners and managers will keep the potential talent shortage in mind as they make plans over the next couple of years. If there's any indication that Brexit negotiations could hamper tech hiring, the best planners will devise strategies to overcome whatever Brexit brings.

Sources:

City AM – http://www.cityam.com/262181/number-technology-companies-setting-up-uk-more-than-doubles

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Author: Peter Smith

Hello I am Peter and I have been helping business owners of small and medium businesses since 2005. If you are a business owner or CEO that would like things to be better in your business then ...


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