business plan experts london

business plan experts london

The Ultimate Guide to Starting and Growing a Successful Business in London

1. Introduction to the London Business Landscape

1) Overview London is a fantastic place to start a business, and entrepreneurs from all over the world are drawn to the city by its wealth of opportunities and exceptional business climate. London’s vibrant and diverse economy offers emerging companies access to international markets, capital, and talent, and the support to help accelerate their development. Also important for entrepreneurs is the support and shared knowledge that running a business in a city of over 3.7 million start-ups provides to make the journey to establishing and expanding a business in London a successful one.

The Mayor of London, Sadiq Khan, also recognizes the key role entrepreneurs play in London’s economy and believes business is a force for good. The Mayor is committed to helping start-ups and small companies break from the pack and become London’s global, high-quality, and socially responsible companies. The Mayor’s two business-led initiatives, Here East and the London Growth Hub, work with a variety of partners and experts to support entrepreneurs through mentoring, education, networking, and access to markets. These initiatives are also a valuable source of information available to start-ups at different life stages.

2. Key Steps in Developing a Solid Business Plan

Preparation is the key to building a successful business. One of the most important steps in developing a successful business plan is to fully understand the dynamics not only of the market but your proposed business in that market. If a business is to be successful, a potential business owner must be able to identify and develop new opportunities. You need to identify important business concepts such as market size, niche markets, demand, growth rate, population demographics, consumer profile, buying patterns, competition, pricing strategies, profit margins, probability and risk assessment, industry indicators, and other important business issues.

It is also very important to know and understand who your competitor is. Know how many other similar businesses are in your market today and how this might change in the future. Try to gauge a sense of scale and proportion and to reflect on whether they have a specific edge that you don’t have. Know what draws people to them today and why they choose to buy from them. Know their market positioning and identity. Understand and independently assess how well you know this organization, its message and role, the world in which it operates, and how fulfilled you would be as a customer.

3. Utilizing Expertise and Resources in London

Setting up your business in London offers you abundant resources and expertise at your disposal. There are more than 700 specialists from China, India, Russia, and the Middle East in the UK to help companies establish business operations in the UK. There are at least six China Business Advisers in London alone to help Chinese businesses who want to expand and grow.

The UK has Expert Trade Advisors and High Growth Units that are often funded by UKTI or UK Trade and Invest. They help UK companies to take advantage of high growth markets or businesses. There are a number of UK and international law firms with core subject matter knowledge and expertise to navigate complex legal landscapes and regulations. Public relations companies, financial advisers, recruitment consultants, management consultants, tech companies, project managers, marketing and design companies, training, education, and professional development companies – the list goes on. The expertise is here to set up, launch, run, and grow your business. With all this expertise at your disposal, it is important to step back, to make sure you have a clear and consistent business strategy to save you the endless task of managing resources and the high costs of specialist expertise you may or may not need and/or use. Small to medium businesses can also benefit greatly from being a member of the CBI, the European American Chamber of Commerce, or being part of a Business Improvement Government Regiment (BID’s).

4. Navigating Legal and Regulatory Requirements

The simplest structure under which you can operate your business is as a sole trader or partnership. There’s very little legal formality involved in this. There isn’t a legal requirement to draft formal documents to start operating as a sole trader, and whilst you’re required to keep business records and complete a type of organisation: nominate an individual or select a legal structure sole trader tax return each year, that’s about all the extra admin that you need to take on. However, there’s less protection for your personal assets if you operate your business in this way.

If you receive an official looking letter asking for £40,000, they’re likely to deduct this from your bank account before you’ve had a chance to set the record straight. Limited companies have their own legal identity and as such you’re not personally liable for the financial happenings of the business, unless of course you have been particularly naughty and have personally guaranteed something. The financial reporting burden is greater for limited companies than for sole traders. However, relatively speaking, the administrative task is no harder, and in fact, with excellent accounting software such as Clear Books, and the Companies House Web Filing software at your disposal, completing your own limited company accounts is much easier than you’d think.

5. Scaling and Sustaining Your Business in London

Scaling your SME to a ‘larger’ SME, however, can be challenging. More often than not, your business starts at the beginning of the growth curve – achieving any form of sustainability is unlikely. The first few years of scaling your SME are challenging and, in numerous cases, just plain hard work. Scaling your business rapidly is a commendable goal, but there are other considerations business owners should be aware of. Engaging with the right people about your aspirations and encouraging self-financing can be a route to a very successful business. A broad view of available options is essential, as funding your business organically can help you avoid giving up control of your company, particularly if you are happy with organic growth.

If your business has reached the point of needing additional funding, there are four common sources in London: debt finance, venture capital/private equity finance, wealth finance, and corporate ventures. Building a successful SME is one thing, but building a successful, bigger, and sustainable SME is quite another. Modest targets should be eschewed, or the risk is that the business doesn’t exploit its full potential. As a business owner-developer, you are constantly looking to improve your current business model and may even succeed in these endeavors. However, scaling the business should form a part of your strategy, not as a whim but as a clearly defined goal for the company – without it, you can never look to exit the marketplace. With a solid foundation in place, entrepreneurs can scale and grow their business. You should be prepared to grind it out, even when corners are cut, so that there is always a clear route to exit. Keep your working partnerships in place and re-energize your vision periodically.