Amongst all the doom and gloom surrounding the economy at the moment, it’s easy to forget that the UK is a pretty great place for tech startups. We have a big skills base in all sorts of technologies, we have first class academic institutions and we have a tax system that encourages crucial angel investment, via the EIS and SEIS (even better). The tax system acknowledges the superhuman efforts required by entrepreneurs to make a business work by offering specific tax relief on gains once a business is sold (entrepreneurs relief). The latest budget has even made small steps to reduce the burden of NIC’s for small business. I’d like this to go further, perhaps by introducing a NIC holiday for a limited period of time, but I suppose with current Government finances, we can’t have everything.
All we need now are a few more ‘poster child’ success stories to encourage entrepreneurs to push harder and faster. I suspect that with a nearly 50% increase in EIS scheme applications in the last year, we may soon get one.