Silicon Valley has earned its reputation as the dream destination for tech start-ups. Migrating to Silicon Valley has always been conventional but innovators, entrepreneurs and inventors are now saying goodbye to the norm.
We caught up with our EoR Divisional Director, David Fleckner, to get the scoop on the freshest tech hubs in 2021.
First up, we’re heading across the pond from Silicon Valley to London.
The Brits have something to shout about - did you know that London has recently been named the number 1 tech city for the second year running?
The English capital undeniably deserves recognition and Mayor of London, Sadiq Khan, vouches for it being the global tech capital of Europe. London’s tech hub status arguably stemmed from the financial crisis, with rent prices and competition skyrocketing in Silicon Valley. Early stage start-ups face many challenges, and costly office space only adds to the ever-growing opposing factors they come against.
“London is always going to attract; it’s always going to have innovation and have that appeal because it’s London!” - David Fleckner.
London’s attractiveness is increasing due to its access to deeper pools of capital. It obtained £10.5B in 2020, which is expected to grow even more in 2021, and has already attracted more tech investment than Berlin, Paris and Stockholm combined.
Additionally, London benefits from having English as the dominant language, a rich talent pool from world renowned universities, and time zone favorability. Why not make it as easy as possible to ensure the success of your start-up by building your business in London, where start-ups are encouraged?
Fleckner pointed out that the COVID-19 pandemic has massively increased the number of tech start-ups, with people really taking time to re-evaluate what they want from their lives and careers. This has enabled London to become a hotbed for innovation, with over 700 patents registered in 2021. These spikes in tech start-ups will continue, but remote working and global mobility will impact the working environment indefinitely.
“It comes down to talent.” - David Fleckner
Although hubs are important for maintaining company culture and promoting team interaction, the global market is being unlocked and companies are becoming aware that they can employ internationally. Fleckner notes that companies are “thinking less about setting up an entity, but how they can payroll talent.”
If, like these organisations, you’re interested in payrolling talent globally to reach wider talent pools, get in touch with our team about our Employer of Record solution.