New research by audit, tax and consulting firm RSM has revealed that the number of start-ups in Brighton jumped by 27 per cent in 2018, underlining the city’s reputation as a hot-spot for new business.
The figures show that there were a total of 7,635 new businesses incorporated in the BN postcode area in 2018, up on 6,006 in 2017.
Among the businesses created, there were almost 1,500 new technology, media and telecommunications firms, around 900 professional services businesses and more than 820 in the leisure and hospitality sector.
Mark Crowter, a technology specialist at RSM in Gatwick said: “Last year, Brighton was named as the UK’s start-up capital by Lloyds Bank and it’s great to see that this growth is being sustained – particularly in the technology sector. “The city’s two universities are helping to provide an exceptional talent pool of skilled workers and creative entrepreneurs. Brighton is also succeeding in luring the brightest and the best from the capital, who are drawn the prospect of a better balance of work and home life. Start-ups can live or die by their ability to keep costs under control. As the cost of office space and salaries continue to rise in London well above the rate of inflation, so the relatively low cost of setting up in Brighton becomes more appealing. This lower fixed cost base helps the City’s young businesses survive early challenges. Indeed, research published last year showed that small businesses in the city have an incredible 88 per cent survival rate increasing the likelihood of their being able to scale up. There is also an incredibly supportive ecosystem for small businesses. The growth of hotspots like the NatWest Entrepreneur Accelerator Hub, the Barclays Eagle Lab and the Platform co-working spaces all allow new businesses to build contacts and share ideas much more easily.”