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Brief file resolve the scale up institute launches to help boost uk economy.
The Scale-Up Institute PRESS RELEASE
16
th
June 2015
For immediate Release
The Scale-Up Institute launches to help boost UK economy
? World’s first organisation dedicated to ‘Scale-ups’, based in UK
? Reid Hoffman, co-founder of LinkedIn, gives inaugural Scale-Up Lecture
? The Scale-Up Institute builds on the Scale-Up Report, written by Sherry Coutu in
2014
London, UK, 16 June 2015 - The world’s first organisation devoted to encouraging the
growth of ‘Scale-ups’ is to be set up in the UK, as announced today by serial entrepreneurs
Reid Hoffman and Sherry Coutu CBE.
The Scale-Up Institute will unite industry and the public sector in a collaborative partnership
to help increase the proportion of Scale-up Businesses across the whole of the UK.
The creation of the Scale-Up Institute was marked today by the inaugural Scale-Up Lecture
at the Royal Society in London. This first annual lecture was delivered by Reid Hoffman,
co-founder of LinkedIn and investor with Greylock Partners, who will become a Trustee of
the Institute. Reid has played an integral role in scaling many of today’s leading consumer
technology businesses and has long advocated for the importance of scale-ups, noting “first
mover advantage doesn't go to the first company that launches; it goes to the first company
that scales."
The Scale-Up Institute will build on the recommendations of the Scale-Up Report, written by
Coutu in 2014. The report called for greater government and private sector emphasis on
policies and practices directed towards businesses growing by over twenty percent per year,
because policies and practices focused on scale-ups have the greatest potential to create
jobs and grow the UK economy. In the Report, analysis by Deloitte showed the potential for
£225 billion of additional Gross Value Add and 150,000 net jobs created by 2034 on a net
basis; on a gross basis, analysis by Nesta shows an additional boost of £92 billion per annum
attributable to addressing the productivity gap, should the recommendations be
implemented.
The Scale-Up Report has galvanised many new initiatives such as the Scale-Up Group, who
will be a partner with the Scale-Up Institute on its work with technology companies. The
Scale-Up Institute will embrace partnerships like this across industries, working at a
national, regional and local level to harness existing support and catalyse additional scale up
activities.
Sherry Coutu, who will be the Scale-Up Institute’s Executive Chair, says:
“I am humbled by the support that has gathered behind scale-ups and excited by the
opportunity to make the UK not only the best place on the planet to start a business, but also
the best place to grow it into a substantial one.
T he Scale-Up Institute will collaborate with others to shape and energise the UK scale-up
ecosystem, close the gaps that have been identified, and be the coordinating force to
encourage and target support to scale-ups at a national and local level and subsequently
report on it. We will work with others collaboratively to make sure that all scaling business
leaders understand what is available to themand we will direct our activities to monitor and
track results. Our aim is to bring about and report on the increase in the proportion of
scale-ups in the UK and the economic growth we will enjoy as a result.”
The Scale-Up Institute will be a not-for-profit membership organisation, working with its
Partners and Members so that each region and city has the resources they need to support
the development of their scaling businesses. It will seek to help others build leadership
capacity, skills and support for their export, finance and infrastructure needs, and promote
the ‘scale up message’ nationally and locally.
The Institute plans to be fully operational in September, and already has partnership and
member support from Google, Business Growth Fund, London Stock Exchange Group, Smith
& Williamson, the Enterprise Research Centre, GP Bullhound, private equity investors,
leading universities, the creative, life science and technology industries, the leading bank
founders of Better Business Finance, advisory firms, research companies, science park
associations, local enterprise partnerships, research councils and a number of industry
sector associations. New partners continue to join and a full list of partners will be
announced in September.
Stephen Welton, CEO of Business Growth Fund, says:
" I want all businesses with big ambitions to have the opportunity to realise their full
potential; to attract the talent, skills and investment needed to become the big businesses of
tomorrow. The Scale-Up Institute will play a leading role in raising awareness of these
businesses and the entrepreneurs behind them, and helping to close the scale up gap. BGF is
delighted to be a founding member."
Xavier Rolet, CEO of London Stock Exchange Group, says:
“The UK is already one of the best places in the world to start a business, and the launch of
the new Scale-Up Institute today is an exciting newinitiative. Growth businesses, looking to
scale, are the job creators, the innovators and the economic powerhouses of tomorrow.
Anything we can do as a business community to support these dynamic and vital
organisations should be warmly welcomed.”
Ends
For more information please contact:
Tamara Rajah, Trustee
[email protected]
Media enquiries:
Chris Blundell, Andy Rivett-Carnac, Brunswick
[email protected], [email protected]
+44 207 404 5959
Notes to Editors:
The Scale-Up Report
Creation of the Scale-Up Institute builds on the recommendations of the Scale-Up Report
(http://scaleupreport.org) written by Coutu in 2014.
The Report found that a small group of rapidly expanding ‘scale-up’ccompanies create a
significant proportion of the UK’s economic growth; however, the UK lags behind the US and
other leading economies in the relative proportion of these vital scale up companies. If this
‘Scale-Up Gap’ could be closed, the reward for the UK would be huge:
? In the short-term, RBS analysis suggests an additional 238,000 jobs and £38 billion
additional turnover is possible within three years of reversing the scale-up gap.
? In the medium-term, Nesta research shows a possible boost of £96 billion per annum
is possible.
? Long-term analysis by Deloitte shows a potential of £225 billion additional GVA and
150,000 net jobs by 2034.
? Increased productivity in all sectors of the economy (productivity gap is currently
costing the UK £92 Billion per annum)
? Thousands of knock-on opportunities for firms in the UK supply chain
The Report called for greater government and private sector emphasis on those businesses
growing by over twenty percent year-on-year as companies with the greatest potential to
create jobs and grow the UK economy. It identified that most scale ups and growing
companies face similar issues and needs across capital, management, skills and
organisational processes: It recommended 6 key areas to work on to close the scale-up gap
namely:
1. The Evidence Gap: public and private sector organisations identify, target and
evaluate their support to scale-up companies.
2. The Skills Gap: improve the ecosystem so scale-ups can find employees to hire who
have the skills they need
3. The Leadership Capacity gap: building leadership capability
4. The Export Gap: accessing customers in other markets / home market
5. The Finance Gap: accessing the right combination of finance
6. The Infrastructure Gap: navigating infrastructure
The Scale-Up Report's Twelve recommendations
Across the six key areas, The Scale-Up Report identifies twelve specific recommendations
which the Scale-Up Institute will be tasked with implementing in order to close the gap.
These recommendations will be driven forward by the Scale-Up Institute with stakeholders
across the whole ecosystem and consist of:
1. National data sets should be made available so that local public and private
organisations can identify, target and evaluate their support to scale-up companies,
and evaluate their impact on UK economic growth.
2. Publicly funded organisations such as Local Enterprise Partnerships and cities seeking
public funding should review and report on the extent to which the top 50 scale-ups
in their areas are increasing their turnover and job growth fromyear to year with the
objective of increasing the proportion of scale-ups with more than 250 employees by
three per cent by 2025.
3. 50% of public funding and promotion currently reserved for ‘entrepreneurship’
should be directed towards collaborative initiatives based on track-record
4. A Minister should be made responsible for reversing the scale-up gap by 2025 with
cross-departmental resources allocated, independent bodies named to monitor and
a task-force appointed to deliver a scale-up report to the Prime Minister every
November for the next five years.
5. The Department of Education and LEPs should ensure that students at schools,
colleges and universities come into contact with the top 50 scale-up business-leaders
within 20 miles of their establishment
6. Local city / cluster/ ecosystemleaders should work with existing private collaborative
initiatives to promote the top 50 scale-up companies in their jurisdiction to adults for
the next phase of their careers.
7. A ‘Scale-Up Visa’ should be made available fromLocal Enterprise Partnerships to the
top local scale-up companies so they can recruit staff from overseas within two
weeks of applying. These foreign workers help expand the distribution of local
scale-up companies’ existing products to foreign markets and help local scale-ups
introduce new products and services.
8. Local Enterprise Partnerships, universities and the private sector should work
together to ensure effective learning programmes are available in their areas aimed
at leadership development of scale-ups.
9. The government should draw attention to scale-up companies and their leaders so
that it is easier for them to act as role models to others and to find customers,
partners and investors, both at home and overseas:
• UK Trade and Investment should ensure that scale-up companies are well
represented on international trade missions, and publish details annually.
• Central and local government should publicly report on the level of procurement
they source from scale-up companies and their funding should be reviewed in
terms of the amount of procurement they do with scale-ups.
10. The impact of regulation ‘cycle time’ on rapidly growing companies should be a
major consideration for regulators and agencies. Agencies that interact frequently
with scale-ups, like the border authority, listing authority and HMRC should report
on their efficiency in relation to regulatory peers in other countries.
11. Government and industry must ensure that progress in closing the finance-gap is
maintained and reviewand report on the extent to which scale-ups, in particular, are
supported
12. Government and industry must ensure that progress in infrastructure areas is
maintained and reviewand report on the extent to which scale-ups, in particular, are
catered for.
About Sherry Coutu CBE
Sherry is an Entrepreneur, Non-Exec Director, Investor and Advisor to Companies,
Universities and Charities. She possesses a deep understanding of the dynamics of both b2b
and b2c businesses, portfolio management and macro-economics.
She currently chairs Founders4Schools and is a non-executive director of the London Stock
Exchange Group plc, Zoopla plc, Cambridge University (Finance Board), Cambridge
Assessment, Cambridge University Press, Raspberry Pi and Artfinder. She also serves as an
advisor to LinkedIn, Harvard Business School European Council and is a former Trustee of
Nesta.
As an angel investor, she works with entrepreneurs to solve problems that she feels matter
and specialises in consumer internet, information services and education. She has made
angel investments in more than 50 companies and holds investments in 5 venture capital
firms. She was voted by TechCrunch as the best CEO mentor / advisor in Europe in Nov
2010. In May 2011, she was voted by Wired magazine as one the top 25 ‘most influential
people in the wired world’, and one of the top ten most influential investors and women.
As an entrepreneur, Sherry has founded a number of businesses and charities. The first
business (acquired by Euromoney plc) has operations in more than 70 countries. The
second, which she was CEO and chairman for was responsible for the first e-commerce
transaction in the financial services industry in Oct 1995 and was the most over-subscribed
IPO on the main market when it was floated in February 2000 (on London and Nasdaq).
Philanthropically, she supports the Prince’s Trust, the Crick Institute and SVC2UK. Sherry has
an MBA from Harvard, an MSc Economics (with distinction) from the London School of
Economics, and a BA (Hons with distinction) from the University of British Columbia,
Canada. She was awarded Commander of the Order of the British Empire (CBE) for services
to entrepreneurship in the New Year’s Honours List 2013 by Her Majesty the Queen.
About Reid Hoffman
An accomplished entrepreneur, executive, and investor, Reid Hoffman has played an
integral role in building many of today’s leading consumer technology businesses. In 2003
he co-founded LinkedIn, the world’s largest professional networking service. In 2009 he
joined Greylock Partners. His venture and angel investments include Airbnb, Facebook,
Flickr, Mozilla, and Zynga. He serves on a number of not-for-profit boards, including Kiva,
Endeavor, and DoSomething. He is co-author of two books: the NewYork Times bestsellers
The Start-Up of You and The Alliance. He is an Aspen Institute Crown Fellow, a Marshall
Scholar at Oxford, and a graduate of Stanford University.
doc_937278371.pdf
Brief file resolve the scale up institute launches to help boost uk economy.
The Scale-Up Institute PRESS RELEASE
16
th
June 2015
For immediate Release
The Scale-Up Institute launches to help boost UK economy
? World’s first organisation dedicated to ‘Scale-ups’, based in UK
? Reid Hoffman, co-founder of LinkedIn, gives inaugural Scale-Up Lecture
? The Scale-Up Institute builds on the Scale-Up Report, written by Sherry Coutu in
2014
London, UK, 16 June 2015 - The world’s first organisation devoted to encouraging the
growth of ‘Scale-ups’ is to be set up in the UK, as announced today by serial entrepreneurs
Reid Hoffman and Sherry Coutu CBE.
The Scale-Up Institute will unite industry and the public sector in a collaborative partnership
to help increase the proportion of Scale-up Businesses across the whole of the UK.
The creation of the Scale-Up Institute was marked today by the inaugural Scale-Up Lecture
at the Royal Society in London. This first annual lecture was delivered by Reid Hoffman,
co-founder of LinkedIn and investor with Greylock Partners, who will become a Trustee of
the Institute. Reid has played an integral role in scaling many of today’s leading consumer
technology businesses and has long advocated for the importance of scale-ups, noting “first
mover advantage doesn't go to the first company that launches; it goes to the first company
that scales."
The Scale-Up Institute will build on the recommendations of the Scale-Up Report, written by
Coutu in 2014. The report called for greater government and private sector emphasis on
policies and practices directed towards businesses growing by over twenty percent per year,
because policies and practices focused on scale-ups have the greatest potential to create
jobs and grow the UK economy. In the Report, analysis by Deloitte showed the potential for
£225 billion of additional Gross Value Add and 150,000 net jobs created by 2034 on a net
basis; on a gross basis, analysis by Nesta shows an additional boost of £92 billion per annum
attributable to addressing the productivity gap, should the recommendations be
implemented.
The Scale-Up Report has galvanised many new initiatives such as the Scale-Up Group, who
will be a partner with the Scale-Up Institute on its work with technology companies. The
Scale-Up Institute will embrace partnerships like this across industries, working at a
national, regional and local level to harness existing support and catalyse additional scale up
activities.
Sherry Coutu, who will be the Scale-Up Institute’s Executive Chair, says:
“I am humbled by the support that has gathered behind scale-ups and excited by the
opportunity to make the UK not only the best place on the planet to start a business, but also
the best place to grow it into a substantial one.
T he Scale-Up Institute will collaborate with others to shape and energise the UK scale-up
ecosystem, close the gaps that have been identified, and be the coordinating force to
encourage and target support to scale-ups at a national and local level and subsequently
report on it. We will work with others collaboratively to make sure that all scaling business
leaders understand what is available to themand we will direct our activities to monitor and
track results. Our aim is to bring about and report on the increase in the proportion of
scale-ups in the UK and the economic growth we will enjoy as a result.”
The Scale-Up Institute will be a not-for-profit membership organisation, working with its
Partners and Members so that each region and city has the resources they need to support
the development of their scaling businesses. It will seek to help others build leadership
capacity, skills and support for their export, finance and infrastructure needs, and promote
the ‘scale up message’ nationally and locally.
The Institute plans to be fully operational in September, and already has partnership and
member support from Google, Business Growth Fund, London Stock Exchange Group, Smith
& Williamson, the Enterprise Research Centre, GP Bullhound, private equity investors,
leading universities, the creative, life science and technology industries, the leading bank
founders of Better Business Finance, advisory firms, research companies, science park
associations, local enterprise partnerships, research councils and a number of industry
sector associations. New partners continue to join and a full list of partners will be
announced in September.
Stephen Welton, CEO of Business Growth Fund, says:
" I want all businesses with big ambitions to have the opportunity to realise their full
potential; to attract the talent, skills and investment needed to become the big businesses of
tomorrow. The Scale-Up Institute will play a leading role in raising awareness of these
businesses and the entrepreneurs behind them, and helping to close the scale up gap. BGF is
delighted to be a founding member."
Xavier Rolet, CEO of London Stock Exchange Group, says:
“The UK is already one of the best places in the world to start a business, and the launch of
the new Scale-Up Institute today is an exciting newinitiative. Growth businesses, looking to
scale, are the job creators, the innovators and the economic powerhouses of tomorrow.
Anything we can do as a business community to support these dynamic and vital
organisations should be warmly welcomed.”
Ends
For more information please contact:
Tamara Rajah, Trustee
[email protected]
Media enquiries:
Chris Blundell, Andy Rivett-Carnac, Brunswick
[email protected], [email protected]
+44 207 404 5959
Notes to Editors:
The Scale-Up Report
Creation of the Scale-Up Institute builds on the recommendations of the Scale-Up Report
(http://scaleupreport.org) written by Coutu in 2014.
The Report found that a small group of rapidly expanding ‘scale-up’ccompanies create a
significant proportion of the UK’s economic growth; however, the UK lags behind the US and
other leading economies in the relative proportion of these vital scale up companies. If this
‘Scale-Up Gap’ could be closed, the reward for the UK would be huge:
? In the short-term, RBS analysis suggests an additional 238,000 jobs and £38 billion
additional turnover is possible within three years of reversing the scale-up gap.
? In the medium-term, Nesta research shows a possible boost of £96 billion per annum
is possible.
? Long-term analysis by Deloitte shows a potential of £225 billion additional GVA and
150,000 net jobs by 2034.
? Increased productivity in all sectors of the economy (productivity gap is currently
costing the UK £92 Billion per annum)
? Thousands of knock-on opportunities for firms in the UK supply chain
The Report called for greater government and private sector emphasis on those businesses
growing by over twenty percent year-on-year as companies with the greatest potential to
create jobs and grow the UK economy. It identified that most scale ups and growing
companies face similar issues and needs across capital, management, skills and
organisational processes: It recommended 6 key areas to work on to close the scale-up gap
namely:
1. The Evidence Gap: public and private sector organisations identify, target and
evaluate their support to scale-up companies.
2. The Skills Gap: improve the ecosystem so scale-ups can find employees to hire who
have the skills they need
3. The Leadership Capacity gap: building leadership capability
4. The Export Gap: accessing customers in other markets / home market
5. The Finance Gap: accessing the right combination of finance
6. The Infrastructure Gap: navigating infrastructure
The Scale-Up Report's Twelve recommendations
Across the six key areas, The Scale-Up Report identifies twelve specific recommendations
which the Scale-Up Institute will be tasked with implementing in order to close the gap.
These recommendations will be driven forward by the Scale-Up Institute with stakeholders
across the whole ecosystem and consist of:
1. National data sets should be made available so that local public and private
organisations can identify, target and evaluate their support to scale-up companies,
and evaluate their impact on UK economic growth.
2. Publicly funded organisations such as Local Enterprise Partnerships and cities seeking
public funding should review and report on the extent to which the top 50 scale-ups
in their areas are increasing their turnover and job growth fromyear to year with the
objective of increasing the proportion of scale-ups with more than 250 employees by
three per cent by 2025.
3. 50% of public funding and promotion currently reserved for ‘entrepreneurship’
should be directed towards collaborative initiatives based on track-record
4. A Minister should be made responsible for reversing the scale-up gap by 2025 with
cross-departmental resources allocated, independent bodies named to monitor and
a task-force appointed to deliver a scale-up report to the Prime Minister every
November for the next five years.
5. The Department of Education and LEPs should ensure that students at schools,
colleges and universities come into contact with the top 50 scale-up business-leaders
within 20 miles of their establishment
6. Local city / cluster/ ecosystemleaders should work with existing private collaborative
initiatives to promote the top 50 scale-up companies in their jurisdiction to adults for
the next phase of their careers.
7. A ‘Scale-Up Visa’ should be made available fromLocal Enterprise Partnerships to the
top local scale-up companies so they can recruit staff from overseas within two
weeks of applying. These foreign workers help expand the distribution of local
scale-up companies’ existing products to foreign markets and help local scale-ups
introduce new products and services.
8. Local Enterprise Partnerships, universities and the private sector should work
together to ensure effective learning programmes are available in their areas aimed
at leadership development of scale-ups.
9. The government should draw attention to scale-up companies and their leaders so
that it is easier for them to act as role models to others and to find customers,
partners and investors, both at home and overseas:
• UK Trade and Investment should ensure that scale-up companies are well
represented on international trade missions, and publish details annually.
• Central and local government should publicly report on the level of procurement
they source from scale-up companies and their funding should be reviewed in
terms of the amount of procurement they do with scale-ups.
10. The impact of regulation ‘cycle time’ on rapidly growing companies should be a
major consideration for regulators and agencies. Agencies that interact frequently
with scale-ups, like the border authority, listing authority and HMRC should report
on their efficiency in relation to regulatory peers in other countries.
11. Government and industry must ensure that progress in closing the finance-gap is
maintained and reviewand report on the extent to which scale-ups, in particular, are
supported
12. Government and industry must ensure that progress in infrastructure areas is
maintained and reviewand report on the extent to which scale-ups, in particular, are
catered for.
About Sherry Coutu CBE
Sherry is an Entrepreneur, Non-Exec Director, Investor and Advisor to Companies,
Universities and Charities. She possesses a deep understanding of the dynamics of both b2b
and b2c businesses, portfolio management and macro-economics.
She currently chairs Founders4Schools and is a non-executive director of the London Stock
Exchange Group plc, Zoopla plc, Cambridge University (Finance Board), Cambridge
Assessment, Cambridge University Press, Raspberry Pi and Artfinder. She also serves as an
advisor to LinkedIn, Harvard Business School European Council and is a former Trustee of
Nesta.
As an angel investor, she works with entrepreneurs to solve problems that she feels matter
and specialises in consumer internet, information services and education. She has made
angel investments in more than 50 companies and holds investments in 5 venture capital
firms. She was voted by TechCrunch as the best CEO mentor / advisor in Europe in Nov
2010. In May 2011, she was voted by Wired magazine as one the top 25 ‘most influential
people in the wired world’, and one of the top ten most influential investors and women.
As an entrepreneur, Sherry has founded a number of businesses and charities. The first
business (acquired by Euromoney plc) has operations in more than 70 countries. The
second, which she was CEO and chairman for was responsible for the first e-commerce
transaction in the financial services industry in Oct 1995 and was the most over-subscribed
IPO on the main market when it was floated in February 2000 (on London and Nasdaq).
Philanthropically, she supports the Prince’s Trust, the Crick Institute and SVC2UK. Sherry has
an MBA from Harvard, an MSc Economics (with distinction) from the London School of
Economics, and a BA (Hons with distinction) from the University of British Columbia,
Canada. She was awarded Commander of the Order of the British Empire (CBE) for services
to entrepreneurship in the New Year’s Honours List 2013 by Her Majesty the Queen.
About Reid Hoffman
An accomplished entrepreneur, executive, and investor, Reid Hoffman has played an
integral role in building many of today’s leading consumer technology businesses. In 2003
he co-founded LinkedIn, the world’s largest professional networking service. In 2009 he
joined Greylock Partners. His venture and angel investments include Airbnb, Facebook,
Flickr, Mozilla, and Zynga. He serves on a number of not-for-profit boards, including Kiva,
Endeavor, and DoSomething. He is co-author of two books: the NewYork Times bestsellers
The Start-Up of You and The Alliance. He is an Aspen Institute Crown Fellow, a Marshall
Scholar at Oxford, and a graduate of Stanford University.
doc_937278371.pdf