How To Launch A Startup In Glasgow

Glasgow, the biggest city in Scotland, has come a long way from its shipbuilding and engineering roots. Today, the city has reinvented itself as a successful ecosystem for technology, renewable energy and hospitality.

The city also has a thriving creative industry. In 2019, the Expat City Index recognised Glasgow as the UK’s top cultural and creative city, putting it in the global spotlight for entrepreneurs from all over.

So with a mix of culture and modern innovation, it’s easy to see why one would want to launch a startup of their own in this historic city.

Why Start A Business In Glasgow?

There are a host of reasons that make starting a business in Glasgow appealing to new and seasoned entrepreneurs alike. These factors are also the reason why so many startups have sprung up in the city and grown successfully.

It’s affordable: Other UK cities like London and Manchester are costly but Glasgow’s costs are much lower for both living and working.

Strong infrastructure: The city has robust transport systems and Glasgow International Airport for easy travel around the UK, Europe and beyond.

Talent pool: Glasgow is home to exceptional educational institutions such as the University of Glasgow and the University of Strathclyde which continue to produce highly skilled graduates.

Connectivity: Glasgow is known for its tight-knit community and there are often plenty of networking events with accelerators and incubators for new startups to connect with the right people.

Industries With High-Growth Potential

Glasgow certainly welcomes innovation across all industries but there are a few in particular that have stood out for their high-success potential.

Restaurants and hospitality: Glasgow was ranked as the UK’s top location to open a restaurant, bar or café and the city attracts food enthusiasts from all over the world.

Medtech: The Queen Elizabeth University Hospital has excellent research facilities, offering opportunities in the biotech and medical devices sectors.

Renewable energy: The city is committed to Scotland’s transition to a low-carbon economy and startups innovating in cleantech are highly supported.

Creative industries: Glasgow is a melting pot for culture and startups in gaming, music and digital media are dominating the city.

Top Accelerator And Incubator Programmes

Accelerators and incubators, in addition to co-working spaces, play a significant role in helping early-stage startups to scale. Here are some of the top programmes available to startups in Glasgow.

CivTech Scotland: This programme assists startups with funding and mentorship.

Techscaler: Part of the government’s startup support, Techscaler connects founders with community events and offers support to the founders themselves.

Strathclyde Inspire: This is hosted by the University of Strathclyde to offer support to student and alumni founders through incubator space and financial resources.

Glasgow City Innovation District: This initiative runs in the heart of the city, supporting startups in innovation and research.

Funding Opportunities For Startups

One of the things that will determine a startup’s success in the early days is access to funding. Fortunately for those looking to start a business in Glasgow, there are several funding avenues to explore.

Public grants and loans: Scottish Enterprise offers grants to startups in innovation, exporting and R&D while Glasgow City Council can provide micro-grants for specific businesses.

Angel investors: Archangels and Equity Gap are active Scottish angel groups with investors to help with early-stage funding.

Venture capital: Scottish EDGE is a funding initiative that supports high-potential startups with loans of up to £100,000.

Visa Requirements For Foreign Entrepreneurs

If you are not a UK resident and planning to launch a startup in Glasgow, these are the visa options that you could apply for in order to be able to set up and run your business.

Innovator Founder Visa: This is suited to seasoned entrepreneurs who can provide an endorsement from a UK-approved body and has a scalable business idea. The visa is valid for three years and could lead to permanent residency down the line.

Global Talent Visa: This visa is aimed at those who work in technology or the arts. It doesn’t require any form of sponsorship and it does allow holders to be self-employed or start their own businesses.

Graduate Visa: International students who are graduating from UK universities are able to stay in the UK for up to two years with this visa to be able to start a business or find work.

How To Start A Business In Glasgow

Starting a business in Glasgow will generally follow the same process as the rest of the UK. Here is a step-by-step guide on how to get started.

Choose Your Legal Entity

There are three types of business structures commonly used in the UK.

Sole trader: This is a simple set up ideal for one person although it comes with full personal liability.

Limited company: This structure has more credibility and less liability, often the most popular choice.

Partnership: Suited for ventures with multiple partners.

Register The Business And Taxes

The next step is to register your business with Companies House. You can then apply for a Unique Taxpayer Reference. If your turnover exceeds £90,000 then you will be required to pay VAT as well. This can be done through HMRC’s online portal.

Open A Business Bank Account

Some banks in Glasgow like Barclays and Monzo Business offer startup-friendly options for you to easily manage your startup’s finances.

Should You Launch A Startup In Glasgow?

Glasgow certainly has all of the ingredients you would need for a successful startup from affordable living to a supportive business environment with plenty of networking opportunities and financial resources.

Given its reputation in the technology and creative fields, starting a business in this vibrant city could be both a strategic and rewarding move.

It will be exciting to watch Glasgow’s startup reputation strengthen even more in the coming years.

Good luck!