![\"Mairi](\"https:\/\/dailybusinessgroup.co.uk\/wp-content\/uploads\/2025\/10\/Mairi-Spowage-2.png\")
Start-up rates in Scotland have stalled compared with other parts of the UK, while scaling businesses remain a challenge, according to a report from a new initiative designed to boost entrepreneurship.<\/p>\n
The \u2018State of the Nation\u2019 report is the first from the Scottish Entrepreneurship and Innovation Observatory\u00a0(EIO)<\/strong>\u00a0a collaboration between the\u00a0Hunter Centre for Entrepreneurship, Strategy and Innovation\u00a0and the\u00a0Fraser of Allander Institute. <\/p>\n It finds that solo entrepreneurship is on the rise, but larger firms \u2013 which drive jobs and growth \u2013 have seen little expansion.<\/p>\n The Observatory aims to become a hub for ideas and collaboration. It has also produced a paper revealing that most of the \u00a3765 million invested in early-stage Scottish companies is concentrated in Edinburgh.<\/p>\n Three sectors \u2013 Information and Communication, Professional, Scientific and Technical Activities, and Manufacturing \u2013 attracted more than 85% of total investment.<\/p>\n Professor Mairi Spowage, director of the Fraser of Allander Institute, said:\u201c Our analysis shows that entrepreneurship in Scotland is shaped by complex factors.<\/p>\n \u201cThe challenge \u2013 and opportunity \u2013 is to ensure that this investment reaches more parts of Scotland and helps create inclusive growth across all communities.\u201d<\/p>\n Professor Niall MacKenzie, head of the Hunter Centre, said: \u201cThe Observatory is about starting a conversation on how Scotland can strengthen its entrepreneurial ecosystem. <\/p>\n \u201cBy providing robust analysis, we can understand what works, what doesn\u2019t, and how to turn research and ideas into real-world impact.\u201d<\/p>\n \t <\/div>\n