The question as to whether now is the right time to start a business is often a personal one because the start of a new business isn’t always a smooth process & therefore you should always make sure that the timing is right for you, your family & everyone else involved in the business start-up. London, like most cities, has seen many businesses experience a tricky time over the past couple of years, which means that those interested in business start-ups and venture capital projects might well be wondering whether the capital is the right place for a new venture and whether now is the right time?
Businesses in London
Statistics show that London business owners are still confident that new businesses and venture capital projects can work, with investment figures across the capital on the rise. Understandably, various lockdowns and periods of restrictions affected business across the UK and London was certainly no exception. However, the closure of physical venues drove plenty of custom online, so not all was lost. Over recent weeks we have seen most restrictions across England being lifted and this has certainly given plenty of industries a boost. Recent news seems to indicate that even the need to self-isolate, if you are diagnosed with Coronavirus, will be removed, allowing businesses to move even further forward.
Businesses That are Thriving
Although there can be no denying that every single industry was affected by the events of Coronavirus during 2020 and 2021, it is short-sighted to assume that all businesses were negatively affected. It is well-versed that supermarkets were busy during the strict lockdowns, and as such, it stands to reason that they would have seen some positives in terms of revenue during this time. This is especially true when you consider places such as clothes shops were closed, but supermarkets that sold clothes were not – so it is obvious that where people shopped would have shifted during this time meaning that some businesses benefited from the misfortune of others.
During this time, the only sector thrived massively – with more people than ever forced to use online services for entertainment, shopping, banking and so much more. Of course, we have seen an increase in the number of services that people access online anyway but with non-essential shops closed for large periods of time, lots of people turned to the internet to get what they need.
The online finance sector is one that has thrived over recent years, with people taking advantage of easy to access online banking and investment platforms. Gone are the days when you needed to visit a branch to carry out transactions or wait 3-5 business days for a financial transaction to complete. Online banking revolutionised the finance sector, with people able to carry out financial transactions on the go at any time of the day – with money reaching the intended recipient immediately.
Online entertainment is another sector that has continued to do well and did extremely well throughout 2020 and 2021. People needed entertaining while forced to stay at home for longer periods of time and many turned to the likes of online casinos. A big part of the attraction when it comes to things like online casinos is driven by the improvements that we have seen in the online finance sector – with PayPal casinos in the UK allowing people to carry out gambling transactions quickly and easily.
Starting a Business in London
The good news is that London has most definitely picked up and in terms of investment figures, things are looking promising. Of course, with any business that you wish to start up you need to do some research and ensure that things will work for you – but the fact that your business is to be based in London shouldn’t put you off. We’re seeing some great post-pandemic investment figures and London as a city is once again busy. Most of us saw the pictures taken during lockdown, where much of the capital city resembled a ghost-town and these images could understandably worry those businesses that rely on footfall to be successful.
However, with next to no restrictions now in England we’re starting to see numbers of visitors in London on the increase – and with this summer hopefully being restriction-free it is likely that people will be keen to take advantage of this and visit places such as London – making now the ideal time to get your business off the ground and ready for these potential customers.
It is also worth considering that the government will be wanting businesses to do well, particularly those in London. Although many feel as though there has not been enough financial support for struggling businesses, there are a number of business grants that you may be eligible for, so this is something worth exploring.
The Future for Small Businesses
Although there are no guarantees when it comes to starting a business of any size, there are plenty of positive predictions for small businesses in 2022. One thing that the pandemic and restrictions did was drive people towards supporting small businesses and wanting to shop local – this is something that is likely to continue. There has been a lot of talk about sustainability and businesses that look after their staff, so businesses that have a reputation for caring about the well-being of their staff are likely to be on the radar for money.
One thing that the last 2 years has taught all businesses is that the need to be diverse is huge. When businesses were forced to close their doors it was those that were able to shift immediately to offering online service that did the best. Having a business plan that not only has a backup plan but ideas for how you can be as diverse as possible is recommended.
It is hard to say whether all trading will return to pre-pandemic levels, after all, there are many people that feel as though the world we are in now is the ‘new normal’ and that things won’t go back to how they were in 2019. This doesn’t have to be a bad thing and for the right business is the ideal opportunity to grab onto something new and carve yourself out a successful future; so yes – now is the right time to start a new business in London as long as you go about things the right way.
