A Third of UK Graduates Plan to go it Alone in Business

LONDON, July 23, 2010 /PRNewswire-FirstCall/ --

- The Next Generation of Entrepreneurs Are Already Open for Business With Nearly a Quarter (23%) of Students Surveyed Now Running or About to Launch Their Own Enterprise

- Almost One in Three (30%) say a Shortage of Jobs has Made Them Consider Working for Themselves

Enterprising students are responding to a quiet post-recession job market with plans to go it alone, according to new research from specialist SME insurer Hiscox (http://www.hiscox.co.uk/business-insurance/).*

Hiscox's research into students graduating in 2010 and 2011 has revealed a strong entrepreneurial spirit with almost one third (32%) of those surveyed already having a business idea and making plans to become entrepreneurs in the near future. Retail and IT lead the sectors they hope to succeed in, with three in five (60%) opting for 'bricks and mortar' businesses over pure online enterprises.

The research shows that the 2010 and 2011 graduates are choosing to follow their entrepreneurial dreams:

    - Nearly one in five (19%) started their courses intending to be
      self-employed at some stage
    - Almost a quarter (23%) have been running money-making enterprises while
      studying or are in the process of setting up now
    - One in ten (10%) won't go into running their own business straight
      after graduation but intend to work for themselves in the future
    - Over a quarter (28%) of the would-be entrepreneurs plan to be running
      their own business by the age of 25, while a third (34%) say they'll
      be their own boss by the age of 30.

Youthful success

The UK's graduates also see the value of starting young. Four in five (82%) believe some of the best businesses have been set up by young entrepreneurs and the same number (80%) say some of the most inspiring business people are British. No surprise then that Sir Richard Branson - who started his first business venture aged just sixteen - is the figure they consider to be the most inspiring entrepreneur globally, closely followed by Sir Alan Sugar.

Commenting on the findings, John Heaney, SME expert at Hiscox (http://www.hiscox.com/), said: "It's extremely encouraging that despite the knock on effects of the recession on the job market, the best of British entrepreneurial spirit is alive and kicking amongst the next generation as many look to set up in the future.

"However, there are both risks and rewards in the business world, and aspiring entrepreneurs may find that gaining some life and employment experience or gaining specific professional qualifications before taking the plunge, would give them the best base for future success."

Enterprising UK

Students are also confident about enterprise in the UK with over half (55%) believing that the UK encourages entrepreneurship, although over four in five (87%) say the UK must invest more in entrepreneurs in order to create jobs down the line.

John Heaney added: "It's encouraging that students are so positive about entrepreneurship - this can only mean good things for the future growth of the small business sector, the lifeblood of the UK economy."

    Starting young: the best of British entrepreneurs**

    - Richard Branson started his first business, a magazine called Student,
      aged just 16 and is currently worth GBP2.6 billion

    - Phillip Green first worked for a shoe importer aged 15 before setting
      up a clothes shop at the age of 27, and is currently worth
      GBP4,105 million

    - Duncan Bannatyne joined the navy aged 15 before setting up his first
      business venture, an ice cream van, aged 29, and is currently worth
      GBP320 million

    - James Dyson invented the 'Sea Truck' aged 22 whilst still at college,
      and is currently worth GBP920m

    - Sir Alan Sugar's first business venture was selling car aerials and
      electrical goods out of a van aged 16, and is currently worth GBP730m.

    Notes to editors

    *  Research conducted amongst 1,000 students by independent market
       researchers Redshift during June 2010.
    ** http://www.thesundaytimes.co.uk/sto/business/BusinessRichList/

About Hiscox

Hiscox, the international specialist insurer, is headquartered in Bermuda and listed on the London Stock Exchange (LSE:HSX). There are three main underwriting parts of the Group - Hiscox London Market, Hiscox UK and Europe and Hiscox International. Hiscox London Market underwrites internationally traded business in the London Market - generally large or complex business which needs to be shared with other insurers or needs the international licences of Lloyd's. Hiscox UK and Hiscox Europe offer a range of specialist insurance for professionals and business customers, as well as high net worth individuals. Hiscox International includes operations in Bermuda, Guernsey and USA. Hiscox Insurance Company Limited, Hiscox Underwriting Ltd, Hiscox Europe Underwriting Ltd and Hiscox Syndicates Limited are authorised and regulated by the Financial Services Authority.

For further information, visit http://www.hiscox.com.

SOURCE Hiscox