Yahoo Finance The best region for business in each industry
When starting a business it's important to consider all factors for future success, including where you decide to base it.
After analysing seven booming business sectors, Workwear Giant has uncovered the top region for each start-up industry, based on competition and turnover share.
Real estate
If you live in London and want to start a real estate business, great news – a whopping 43% of the UK’s real estate turnover is generated in the capital.
This is despite the fact that real estate companies make up just 2% of the city's businesses – in line with the national average.
This is likely to be due to London’s house prices, which are the UK’s highest, with the average property costing £472,230.
READ: 1.6m northerners are paid less than the real living wage
Manufacturing
London also stands out as the best place to launch a manufacturing business. Manufacturing only accounts for 3% of business in the capital, making for very little competition.
Despite this, London manufacturing companies account for a significant 8% of the industry's turnover.
Manufacturing business also amounts to 3% of London’s workforce, suggesting potential. The city has a huge working age population of over 4.8 million people.
Construction
The north-east has the smallest amount of construction companies - 15% of businesses. What’s more, just 6% of the region are employed in this sector - 2% lower than the UK average.
However, despite the north-east’s construction industry being considerably smaller than other regions, it shares 12% of the area’s turnover.
From a wider outlook, it also contributes 3% to the British construction turnover, showing the area is the best place for a construction startup with plenty of room to grow.
READ: The highest-paying industries in Britain right now
Food and accommodation
Instagram-worthy food has boosted the food service sector 6% to a massive £100bn, since 2013 – making it an incredibly profitable option for entrepreneurs.
The east midlands make up 3% of the accomodation and food service sector – the UK average. However, it only employs 5% of people – well below the average of 9%.
A big concern for hospitality operators is rising rent costs with 39% of hospitality owners identifying this as their worry. However, the east midlands has the lowest office rent out of all the regions in the study at just £18.17 per sq ft.
Information and communications technology
The UK placed second in terms of information and communications technology (ICT) spending per head, making it a profitable business proposition.
Starting an ICT business in Northern Ireland should give you a fair chance, with only 3% of businesses in the region focusing on the information and communication trade.
The region also has an abundance of talent, being home to top universities such as Queen’s University Belfast and Ulster University, both with renowned ICT and computer science courses.
Transport and storage
If you want to start a transport and storage business, there are plenty of opportunities for business in Northern Ireland. Transport and storage companies make up 3% of business in the region, which amounts to just half of the national average.
What’s more, office rent is considerably cheaper than the UK average, at £10.75 per square metre, making it a cheaper option for startups.
Northern Ireland’s businesses also have a huge 92% success rate, so it’s much less risky to launch your business here than in other regions.
Arts, entertainment and recreation
If you’re thinking of opening up a yoga studio, Yorkshire and the Humber is the hotspot.
This region is the least competitive place for an arts, entertainment or recreation company – with only 3% of businesses in this area being in this sector, and 2% of the industry's turnover coming from Yorkshire, there’s room to grow here.
Kingston-upon-Hull was named the UK's city of culture in 2017, and will hold the title until 2020.
