Doing Business in the UK

Discussion Points

• How big is the market

• Doing Business in the UK

• Business Etiquette in the UK

• London Bridge Project

How big is the market?

Businesses in the UK

• In 2016, there were 5.5 million private sector businesses in the UK.

Up 2% from 2015

• Since 2000, the number of businesses in the UK has increased each

year by an average of 3%

• In 2016, there were 5.3 million micro businesses (0-9 employees)

in the UK. This accounts for 96% of all businesses.

• Large businesses (more than 250 employees) accounted for 0.1%

of businesses but 40% of employment and 53% of turnover.

Businesses by region

• In 2016, there were 1040 businesses per 10000 resident adults

• In London, there were 1464 businesses per 10000 residents

• A third of all businesses are in London or the South East ( 1

million in London and 900,000 in the South East

• In 2016, Scotland saw a 5% drop in the number of businesses,

while the UK saw a 2% increase.

Businesses by industry

• In 2016, there were 4.1million businesses in the services industries –

75% of all businesses in the UK. This accounted for 79% of all

employment and 72% of total turnover

• The biggest of the services industries in terms of number of

businesses was the professional, scientific and technical industries.

Retail accounted for 10% of all businesses.

• Construction sector businesses accounted for 10% of all businesses

and manufacturing 5%

Business births and deaths

• In 2015, there were 383,000 new businesses. In the same

year, there were 252,000 businesses that ceased trading

• In 2015, the largest number of new businesses were in

London (101,000). The largest number of business deaths

also occurred in London (57,000)

Doing business in the UK

The Place to do business

• The UK has a prime global position in:

- World Trade

- Tech Innovation

- Creative talent and skills

- Financial services and Banking

- Competitive Tax System

- Transparent regulation

Choosing the right structure

• Choose a structure that suits your needs deciding

ownership, financing and decision making

• The UK is the easiest major economy to do business with

• Use a global treaty network to plan your tax, protect your

capital investment, Protect your IP.

Types of business entity

• Limited Liability company, Public or private

• Branch or subsidiary

• LLP

• Consortium, Joint venture

• Trading/Manufacturing or agent/distributor

Various tax issues

• Low rate of corporation tax (20%)

• Low rates of capital gains tax (20-28%)

• Tax incentives for SME’s

• Tax reductions for Research and Development

• Tax relief for Creative Sector Film & video games

Employment & Immigration

• Employing EU Nationals – Unrestricted (Currently)

• Employing non-EU nationals – need to apply for correct

Sponsorship licenses and visas

• The UK business employing established workers from an

overseas business within the same organisation –

Intragroup transfers

Employment

• Educated growing labour force

• Generally business friendly employment laws

• Simple, flexible laws protect and promote the interests of

employees while making it easy for you to manage and

hire the right people with the right skills

Business etiquette

Geographical distinctions

Social Rules & Behaviour

• Business people- experienced in interacting with other

cultures

• Interested in building long term relationships more than

making quick deals

• Personal integrity and dependability is important

• Indirectness/ ‘stiff upper lip’, Humour

People and diplomacy

• Place diplomacy before directness in communication

• Fear bluntness will offend other party – may seem

evasive in meetings

• Use language in a coded manner

Communication

• Handshakes- most common form of greeting

• Personal space- generally very litte touching

• First Names

• Punctuality and courtesy**

• Business meetings- Senior official most of talking

• Personal Questions – best to keep out of the workplace

• Salary talk is taboo

• Avoid loud talking or disruptive behaviour

• Tea – Milk & Sugar!

The Bridge

www.londonbridgeproject.com

kamal@londonbridgeproject.com

+44 7871 456784

Thank you / tesekkur ederim