Self-confidence doubts hit North West entrepreneurs as over half a million business ventures go unpursued across the UK
Almost two thirds (60%) of Northern small business leaders have not pursued a potential business venture because of a lack of confidence, new research by YouGov on behalf of the British Business Bank reveals. This crisis of confidence is costing the UK over half a million potential business ventures that are not pursued.
A lack of confidence remains a major barrier to entrepreneurship. Almost half (44%) of North West small business leaders say a lack of self-belief was one of the biggest barriers to starting or growing their business. For over a quarter (28%), fear of failure holds them back more than a lack of funding.
However, on some measures it appears people in the North West are feeling the pressure slightly less compared to the rest of the UK. 27% of those surveyed across the North West feel they’re not the ‘right kind of person’ to run a business against a national average of 30%. Equally, 31% of North West people felt ‘other people are better at running a business’, compared to 38% across the UK.
This has all meant that 29% of small business leaders from the North West have delayed launching their business due to lack of confidence, which is again lower than the national average of 37%.
The impact isn’t merely on potential – it’s also affecting business growth as two in five (40%) of leaders have either delayed pitching to clients, or not pitched at all, due to confidence issues.
Business expansion plans are also being impacted, with 35% of all those surveyed having delayed or decided not to expand or scale their business due to their lack of belief.
From drilling for oil to driving on the range
One entrepreneur who took a leap of faith and overcame self-doubt to start up their own business is Mike Gore, founder of St Helens-based Virtuoso Golf. Having spent 13 years in the army and then 17 years working on offshore oil rigs, Mike wanted a change from such physically demanding work that required him to be away from home.
Mike decided to turn his passion for golf into a career by setting up a virtual golf venue. To make this possible, he sought support from X-Forces Enterprise and secured £50,000 of Start Up Loans financing. Virtuoso Golf now has five state-of-the-art simulators for both beginners and seasoned players, helping to make golf more accessible for all.
Commenting on setting up the business, Mike said: “After spending years offshore, I began to dread heading out for work, so I realised I needed to make a change, and that’s where the idea for Virtuoso Golf came from. However, in giving up my job, and with no supplementary income for household bills, it was a big moment for me to back myself.
“Staying confident in the idea and being nervous when times get tough are both hard things to do. I’m someone who isn’t great with anxiety, so I’ve just had to accept that sleepless nights are part of the deal, and far better than the sleepless nights I used to have offshore. It was certainly a big leap in setting up Virtuoso Golf, but I’m so much happier and confident for it.”
Louise McCoy, managing director of Start Up Loans Products, British Business Bank: “At Start Up Loans, we believe in the power of ideas and the people behind them. Confidence should never be a barrier to pursuing your dreams. We’re encouraging entrepreneurs to back themselves – and we support them with developing a pre-application business plan and post-application mentoring.
“Like in other walks of life, new business owners are often affected by imposter syndrome. This is why we connect Start Up Loans recipients with mentors and provide other post loan support.”
The fact confidence and belief in one’s own abilities are the biggest barrier to starting a business is why Start Up Loans is encouraging budding entrepreneurs across the UK to back themselves and to seek out sources of unbiased support.