Why the North East Is the Best Place to Start a Business – And It’s Time We Talk About It
The North East often finds itself at the bottom of national tables when it comes to self-employment, sitting 2.8 percentage points below the national average. At first glance, that might look like bad news. But from where I stand, as a founder and someone working directly with others through my learning and development agency, FIRST, the real picture is far more hopeful.
What we’re seeing, and helping to shape through our work, and with partners that truly understand it like BEF, is a quiet revolution. Ambition is growing. Determination is taking root. And entrepreneurship is becoming a more visible and achievable path, especially for underrepresented founders who have too often been excluded.
Underrepresented Founders Are Stepping Forward
According to ONS definitions, underrepresented founders include women, ethnic minorities, and people with mental or physical disabilities. These groups are still disproportionality represented in self-employment statistics, and yet, they’re often the most naturally suited to entrepreneurship.
Self-employment offers flexibility that many traditional roles simply don’t. It allows people to work around health conditions, family responsibilities, and life’s realities. It may not be the easiest route, but it can be liberating. For many, it is the first time they get to be in control.
And who better to navigate the highs and lows of entrepreneurship than those who have already overcome structural barriers? Grit, creativity, resilience, and adaptability are not just business buzzwords. They are real traits shaped by lived experience.
Why the North East Works for Startups
There are plenty of reasons the North East is the ideal place to start a business. Let’s start with the practical ones:
- Housing, office space, and general living costs are much lower here than in many other parts of the country. That means your startup budget goes further.
- Yes, average salaries may be lower, but when you're self-employed, you're in charge. You bring in the work, and there is no cap on your income.
Support when its needed:
In 2023, research by SAGE found that 84% of women entrepreneurs in the North East felt supported when starting up — the highest in the UK. This is backed by the region’s top Combined Index Score of 69, 14 points above the national average.
The North East may be a single region, but its approach is rooted in the strength of its places. Local business support providers through the Enterprising North and Durham frameworks understand the unique needs of their communities. Everyone knows what they offer and how to collaborate without duplicating efforts.
Our universities do more than teach business theory. They present entrepreneurship and self-employment as real, viable career paths. They introduce students and graduates to the business ecosystem, while also teaching enterprise skills that are just as valuable in employment. Between 2014 and 2023, more than 1,100 new companies were created by staff and graduates from the North East’s five universities. These companies provided more than 4,000 jobs in 2022-23 (HESA).
BEF and other progressive funders are changing the game. Their funding managers work directly with founders, particularly those from underrepresented backgrounds. They avoid jargon, focus on relationships, and do not hide behind “computer says no” barriers.
While most award programmes charge high ticket prices and limit who can attend, Startup Awards North East is free to enter and free to attend for shortlisted founders. Our partners fund the event because they know that investing in early-stage founders will grow local economies. These awards celebrate people, not profit margins.
Let’s Tell the Right Story
Yes, self-employment figures in the North East may be low on paper. But behind those numbers is something far more important, a growing movement, powered by community, resilience, and real support. The North East is not just ready for more entrepreneurs. It is made for them.
Get Involved
Applications are now open for Startup Awards North East, a free, inclusive celebration of early-stage founders. Whether you're running a startup or planning to launch, this is your opportunity to share your story, grow your network, and get the recognition you deserve.
Or, if you're still exploring whether self-employment is right for you, check out our free courses for North East residents earning under £25,000. These courses are designed to build your courage, grow your business skills, and connect you with a supportive community, no experience needed.
Wherever you are on your journey, there is a place for you here.