Forty years ago, Crawford Beveridge returned from the sun and entrepreneurship-infused world of California to become the first head of the newly formed Scottish Enterprise. Thirteen Local Enterprise Companies were formed as part of that. Beveridge quickly identified a critical issue:
“We in Scotland have been aware that as a nation we seem to have lost some of that entrepreneurial drive… It is apparent that we have a fundamental problem – a lack of companies in Scotland.”
This concern sparked the launch of an in-depth national enquiry into Scotland’s low rate of new business formation.
The 1991 Business Birthrate Enquiry was followed in 1993 by a groundbreaking Business Birthrate Strategy that was looked at by the OECD and across the world.
That vision has either faded or been eliminated. Today, despite bold strategies and big spending, Scotland’s entrepreneurial engine is misfiring. Growth remains sluggish. Business formation is stagnating. And for all the initiatives, slogans and agencies, we are not seeing the dynamism or diversity of business creation that we need.
This is why I studied what happened and wrote “How Scotland Found Its Entrepreneurial Compass – Then Lost It Again” – and why I’d like to invite you to an event that goes deeper into what’s gone wrong, what we’ve forgotten, and what we might yet recover. This isn’t a nostalgia trip. It’s an invitation to think again about where new business growth comes from, and who gets to be part of it.
A System That’s Lost Sight of Its Purpose
Scotland’s current approach to entrepreneurship has narrowed in scope and ambition. We hear constant reference to “high growth” companies, to scaling tech, and to elite entrepreneurs. Yet when we examine the budgets it is clear that this approach is not delivering broad-based business growth or building the kind of everyday economic activity that once sparked confidence in towns and communities across the country.
Let’s be honest: much of what passes for entrepreneurial policy today is exclusive. It is designed for a perception of “the right kind of entrepreneur” – one in certain sectors and especially one that is seen to create jobs.
But growth doesn’t only come from above. Nor does innovation only happen in the tech sector. New firms are born every day in kitchens, in workshops, in conversations at school gates or corner shops. They’re started by people with grit, imagination, and insight, many of whom will never attend a demo day or pitch to a panel.
Scotland’s entrepreneurial revival, if it is to come, must make space for these people too.
What We’ve Forgotten
In the early days of Scotland’s business birthrate strategy, the focus wasn’t just on unicorns or scale-ups. It was about getting more people started. It was about building local ecosystems of support: business advisers who knew your name, enterprise centres that were open to walk-ins, practical help without jargon or filters.
We’ve forgotten how powerful that was. We’ve also forgotten that business creation isn’t just an economic act, it’s a deeply human one. It gives people agency, confidence, and purpose. It brings vibrancy to neighbourhoods. And it creates resilience. When more people can start and run businesses, communities can adapt and evolve rather than be left behind.
We’ve traded much of that bottom-up energy for glossy presentations and centralised strategies that look impressive but rarely touch the ground.
Why This Matters Now
We are in a moment of profound economic and social transition. Technological shifts, demographic changes, political uncertainty, and climate pressures are reshaping every aspect of our society. We need more creativity. We need more problem-solvers. And we need more ways for people to participate in economic life.
Entrepreneurship—real, inclusive, everyday entrepreneurship—is one of the best ways we can do that. But right now, Scotland is being left behind.
We need to widen the lens, listen more deeply, and rebuild systems that genuinely encourage new business formation across the board, not just among the usual suspects.
Entrepreneurship for all has been displaced by a policy focus on startups that are inaccurately thought to generate maximum employment. An outdated way of thinking in a world of Instagram and AI and deeply prejudicial to rural and island economies, female-led startups and areas with low economic activity.
Let’s Talk About It
Enlighten is hosting an event to bring people together around this conversation. It is built around the research I’ve published in entrepreneurship, mostly, but it’s not just about the past. It’s about the future, and about finding new ways forward.
Whether you’re a policy maker, business adviser, educator, or entrepreneur (aspiring or actual), your insight matters.
We’ll be asking:
– Why has business start-up fallen off the national radar?
– Who gets included in today’s entrepreneurial systems—and who gets left out?
– What kind of enterprise culture do we really want to build in Scotland?
– How do we design support that works for the many, not the few?
This is not a panel of experts talking at you. It’s an open, engaging, and – yes – provocative conversation. And your voice is needed.
A Call to Participation
Entrepreneurship has always been a messy, courageous, personal act. It’s about having a go, and helping others do the same. And it needs space, support, and belief.
If you’ve ever started something, thought about starting something, or worked with those who do, you’ll know how crucial that support can be.
So let’s not let this conversation stay in the past. Let’s ask what it could mean for Scotland now.
Join us. Challenge us. Share your story. Help shape a new agenda for entrepreneurship – one that includes more people, more ideas, and more of the country.
The entrepreneurial compass is still there. We just need to stop looking in the wrong places.
Iain Scott is an entrepreneur, researcher & instigator
🧭 Read the full research here: How Scotland Found Its Entrepreneurial Compass – Then Lost It Again