Business Gateway helps start-ups

Business Gateway assisted nearly 500 Aberdeenshire and city start-ups in a six month period from September last year.

Of 484 business, 271 were in Aberdeenshire (56%) with around 80% being self-employed individuals running mainly lifestyle businesses.

The remaining 20% are “Potential High Value” (PHV) start-ups i.e. they aspire to employ staff and/or register for VAT (reach turnover of £79k+) within 18 months of starting to trade.

These businesses receive one-to-one advice and assistance from a business adviser to prepare an Action Plan for Growth, progress these actions and ultimately employ staff and/or register for VAT.

Historically, around 75% of PHV start-ups actually achieve their forecast growth levels.

Survival rate monitoring is carried out each month on a national basis by an independent contractor.

A sample of businesses are contacted to find out if they are still trading. The sample size must be a minimum of 10% of all start-ups reported – for the figures reported below the actual sample was around 15%.

For business start-ups in Aberdeen City and Shire between April and September 2012, 87% of those contacted were still trading after a year. For start-ups between April and September 2010, 77% of those contacted were still trading after three years.

These figures compare favourably with the Business Gateway national average of 81% survival at 12 months and 69% survival after 3 years for the same period.

Chairman of Aberdeenshire Council’s Infrastructure Services Committee (ISC), Peter Argyle, said: “These figures are interesting and encouraging to see, showing the confidence people have locally in setting up their own business and the assistance Business Gateway is able to provide to them.

“I think it’s another indication of how economically vibrant this area is and only serves to give added confidence to anyone considering locating their new business in this area.”

Business Gateway services are delivered by Local Authorities, Scottish Enterprise and Scottish Government, with the support of associated partner organisations.

In Aberdeen City and Shire, Business Gateway is administered and funded by Aberdeenshire Council with services delivered by Enterprise North East Trust Ltd.

More information on Business Gateway services within Aberdeenshire at