Aberdeen is best place in the U.K. to start a business in 2018, according to card payment firm Payment Sense.

In an analysis of the city’s business credentials, Payment Sense praised Aberdeen’s increasingly diverse economy, which has seen the growth of emergent sectors alongside the continued prosperity of traditional industries such as textiles and fishing.

In particular, Payment Sense remarked upon the success of the city’s flourishing technology sector, claiming that Aberdeen is now a “leading place for technology, with a focus on electronics design and development”.

Only last month, the Granite City became one of the first areas in the U.K. to be granted a fibre-to-the-premises broadband trial, while its public sector will soon be the first in Scotland using superfast broadband as part of the ‘Gigabit City’ scheme run by CityFibre.

Two Scottish Cities in the Top Five

The only other Scottish city to make Payment Sense’s list  was Edinburgh, ranked as the fifth best place to start a business in 2018.

Among the reasons for Edinburgh’s inclusion were its role as a “major player” in financial services and the strength of its economy, which was deemed to rival that of London.

Both cities feature among the best start-up destinations in the country, particularly when it comes to longevity. In Edinburgh, 44.2% of start-ups survive their initial five years, while Aberdeen boasts a five-year start-up survival rate of almost 54% – the highest in the U.K.

Other factors Payment Sense took into account included population, total weekly professional earnings, rate of self-employment, and average utility bills.

“It’s all about balance”

Guy Moreve, Head of Marketing at Payment Sense, underlined the importance of striking a balance between supporting conventional business practice and investing in the future.

He commented that “The cities we’ve outlined stand out because they are places that already have an established business community with a pool of potential customers, and yet they still have potential for further growth”.

“You need to find somewhere that fits in with your target demographic, but is also sustainable for you […] To be successful, entrepreneurs need to find their niche within these places”.