Is it the water?

by Paul Kyle, Promotion and Development Manager
Perth & Kinross Council Economic Development

A survey at the beginning of February from business consultants Grant Thornton showed that Perth businesses are less likely to file for insolvency than anywhere else in the UK, with only 0.5% of businesses in Perth going under each year. Add to the above, a survey issued over a year ago showed that Perth & Kinross is one of the most profitable places to carry out business. These surveys beg the question - Why?

Within Economic Development we have been asking companies in different areas of Scotland to take a new look at Perth & Kinross as a good place to live, work and do business as part of an inward investment campaign.

We are frequently asked by the companies we target - what grants and incentives are there are to do business in Perth & Kinross. The simple answer is that there are very few incentives of this kind – unlike some other areas of Scotland. However many of the leads we follow up on do choose to start or bring their businesses here for a variety of reasons including the central location and quality of life the area has to offer.

This selective aid may however be a contributing factor to the success of Perth & Kinross businesses. Whilst the Business Gateway, Economic Development, SET etc are keen to offer business advice and assistance, the companies in Perth & Kinross have to be based on a robust business plan which allows them to trade successfully and succeed. They are not shored up by grants or subsidies which when removed can lead to failure. The fact that the Perth & Kinross economy is based on small to medium sized businesses (89% of businesses in PE&K employ less than 25 people) is also good. It is better to see smaller companies grow in Perth & Kinross than watch larger ones come…and go.

It was announced on 4th February 2003 that Highland Spring overtook Volvic to become the UK's second-biggest mineral water brand. Just a thought but perhaps we in Economic Development should ask them to stop selling Perthshire water to the rest of the country as there seems to be something in the water here that makes business prosper.

As James T Kirk's pointy eared First Officer used to say

'may you(r business) live long and prosper (in Perth & Kinross)'

Keep taking the Highland Spring.