The number of adults with ambitions to grow their own successful business lags behind that in countries such as the US, New Zealand and Iceland, a major new study has revealed.
According to an examination of high-expectation entrepreneurship (HEE) – the term used to describe wannabe entrepreneurs or existing start-up owners expecting to employ at least 20 people within the next five years – Brits trail behind many of their international competitors.
The poll of 700,000 people by accountants Mazars found only seven in 1,000 UK-based adults could be classed as HEE. In contrast, 15 in 1,000 US adults, 14 in 1,000 New Zealanders and 12 in 1,000 Canadian over 18s had strong enterprise ambitions.
Mazars’ Alistair Fraser said attractive salaries offered by large corporates is a major reason for the UK’s trailing business owning ambitions.
“With a buoyant UK economy providing attractive career options, large companies often fast track the talented individuals who might otherwise make ideal high-ambition entrepreneurs,” he said. “Combined with the high opportunity cost of starting a firm in the UK, the risk-reward balance simply doesn’t add up for many ambitious individuals.”
The UK also did not make it to the top spot in terms of existing entrepreneurs with plans to run a 20-plus employee company by 2012. Although 111 in 1,000 British small business owners were rated as HEE, they came in behind Germany and Ireland who scored 119 and 115 respectively.
China took the title of the most entrepreneurially ambitious population with 17 in every 1,000 adults rated HEE.
Russia was top in terms of its start-up community with 175 in every 1,000 small business entrepreneurs expecting high growth. Second place was secured by Singapore with the remaining top five made up of Israel, Canada and the US.
