Starting a business is super exciting, especially in a capital city like London – but with it being such a big place with so many different areas, where do you choose?
We’ll take a look at some of London’s hot spots, so you don’t have to.
Where should I set up my London business?
The decision boils down to much more than overall costs of running the actual business space (although that’s a big factor).
It’s also about where you’re based. For example, let’s say you’re starting up a coffee shop. While having it tucked away in a quiet area may be lovely, you’d likely benefit from being amongst the hustle and bustle where people rushing to work can get their morning coffee or nip in for lunch. In other words, it needs to be easily accessible for customers.
Accessibility is key for any employees too – can they easily (and safely) commute to work?
Another thing you must consider is competitors. You don’t want to set up a coffee shop next to a Costa and a Starbucks!
The truth is, there are pros and cons to any location, but some locations will be better for you than others. To help you get started, we have listed some of the best locations in London to run your small business.
City of London
We know what you may be thinking – the cost of a city centre office must be extortionate, but believe it or not, 90% of businesses in the city are small to medium sized businesses. Small businesses, like yours, can set up there and thrive.
While the finance sector dominates a large amount of space, it’s home to an array of different businesses and would be perfectly accessible for employees and customers who can reach you via the transport links across the city.
The West End
The famous West End area is home to some of the best-known tech and finance businesses out there – Sony Entertainment being one of them. It’s accessible to get to, and could be the perfect space for a creative business as you’ll be amongst lots of art and culture.
If you want a cultural, thriving destination without the hustle and bustle of the city centre – The West End may be a perfect choice!
Shoreditch
If you’re looking at setting up a coffee shop or restaurant – Shoreditch may be for you. It’s where all the foodies on Tik Tok hang out, due to its reputation of being one of the best areas to eat in London.
It’s a vibrant community that attracts a diverse amount of start-up businesses (especially the creative kind), so even if you don’t have a hospitality business, it’s a perfect place to set up – and you’ll never run out of places to eat!
King’s Cross
King’s Cross is an exciting area to start a business – with a large tech hub. It’s home to some of the most well-known businesses in the world (and we’re not overexaggerating either, think Facebook and Google!).
It would be an exciting time to set up a business here, with it being one of the fastest growing business districts in London. Not to mention it’s accessible to get to!
What do I need to think about before I choose an area in London to set up my business?
There’s so much to think about – but here are a few major things to consider before you put your name down on any properties.
Your industry
Consider things such as how easy it will be to network with clients and other businesses where you’re based. If you need customers, for example running a restaurant or cafe, are you near an area where they’ll be (for example near office buildings, shopping complexes etc). And if you have clients that meet you face-to-face, will they be able to find you easily?
The location and its surroundings
Let’s say you’ve set up a Greek restaurant in Shoreditch, but there are already three established eateries on that same street – it’s probably a risky move. Another example might be a health and wellness spa. Your clients might not feel very relaxed if you’re based next-door to a rowdy pub doing lunchtime specials!
Accessibility for staff
Can you find employees who can get there by train or bus? And are they able to make safe journeys to and from work?
Your budget
Considering all these things, will you be able to make a profit as well as pay your rent or mortgage (and employees if you have any)?
Careful, realistic financial forecasting will help you weigh up if the location is worth the costs.
Important reminder: Claim your businesses expenses so you don’t end up paying more in taxes than you need to!
If you’re looking for more guidance and advice, head over to our blog on setting up a small independent business in London.
Find more support and advice for London businesses in our resource centre.
