Beginner’s Guide on Starting a Data Centre Business in the United Kingdom

Starting a Data Centre Business in the United Kingdom

The strong purchasing power of the people, a stable and free economic system, and the availability of developed resources are only some reasons people opt to start a business in the United Kingdom. Furthermore, with the country being a hub for technology and innovation, any good tech company can succeed, which makes starting a data centre business in the United Kingdom a great idea.


What is a Data Center Business?

A data centre is a repository of company data and applications. It is a physical facility where organizations can store their critical applications and data.

The two essential characteristics of a data centre are the availability of resources and security. They have a very big facility in which multiple organizations and companies can store their data simultaneously. A data centre also has safety protocols to ensure their client’s data is always safe.

Thus, if you are considering starting a data centre business in the United Kingdom, you have a great scope as most companies have already opted for digitization. They have data, and they are worried about storing it, and that is where you come in with your resources.


Industry Practices for a Data Center Business

To succeed in the data centre business, you have to know about the industry trends. These are the things you need to know about the market before investing in a data centre business.

Process Automation

The COVID pandemic has made automation more relevant in various fields. Of course, it is the same for data centres, but the effect has become more apparent in this business.

Many companies have remote management systems in place due to movement restrictions. With more people working from home, data centre operators are becoming busier, and some data centre companies have had to increase the number of staff.

Thus, if you want to open a data centre business, you should opt for maximum automation. This will help you reduce costs and deliver better results. Automation can be helpful for various tasks such as component inventory, automatic discovery, hardware replacement for malfunctions, etc.

Growing Expectations of the Customers

Data centres are becoming busier and thus more competitive. Businesses now have a lot of digital data, and many have decided to opt to move to proper data storage facilities rather than their own IT servers.

With the ongoing competition, you have to understand that the size and the security of the data centre might not just cut it. You may have to offer various other features like operating system installation, data analytics metrics, and firmware updates.

Hence, it is a great idea to start a data centre business after doing proper research and planning about what you want to deliver.

Edge Computing

Edge computing is comparatively a newer concept but very important for data centres and repositories. The essence of edge computing is to store data as close to where you get it rather than to move everything to a central server.

For implementing edge computing, data centres may need to build various smaller facilities alongside their central office. Especially if you plan to provide services all over the United Kingdom, you will have to spread out various offices around the country.

With edge computing, your clients will be able to store data and access them easily and swiftly. To manage your own operations, you may decide to build a central platform to manage the hardware in the locations you choose to place them.

Cloud Computing

Cloud computing is more of a necessity than a trend. The technology has already hit its stride off in recent years, and you shouldn’t be surprised when most of your potential clients would want to know how well your company has been optimized with the cloud.

Your clients would want to create a hybrid cloud for themselves. It is a virtualized private cloud network in a data centre, where an organization can store its data separately. In other words, the main cloud server itself has been allocated into different sub clouds, each of which has been assigned to a separate company.

Data-Driven Monitoring

Data-driven monitoring is for your own good. However, remember that there are various monitoring tools, and a traditional one that sends you notification for new data won’t be enough. Instead, you require one that uses Big Data, AI, and Machine Learning to analyze the data and give you statistics to help you fix issues and make your centre more efficient.

With data-driven monitoring, you can get various benefits like superior uptime, a better view of the infrastructure, an understanding of where to optimize, etc. But again, make sure that you use the tool that has all the features you need for collecting, assessing, and implementing the given data.


Business Registration Process for Starting a Data Center Business

Since a data centre is a medium to big business, the only practical choice for the business entity is a private limited company. Furthermore, the company registration process can vary for foreigners and locals in the United Kingdom.

For easier registration, you can opt to contact a corporate service provider.

These are the steps to register a private limited company in the United Kingdom:

Choose a Company Name

These are the rules for choosing a company name in the United Kingdom:

  • The name can’t be the same as or similar to other companies.
  • The name can’t be offensive or promote bad behaviour.
  • You can’t use trading names such as limited, Ltd, limited liability partnership, etc.

Make your company name short and easy to remember. You will have to do a company name availability check, as you can’t also choose a trademarked name.

Choose a Director and a Secretary

In the United Kingdom, a limited company doesn’t need to appoint a secretary. However, since you are opening a data centre business, you may require someone on secretarial duty. The company auditor can’t be a secretary, and a bankrupt person also can’t take that responsibility, as long as they don’t have special permission from the court.

On the other hand, a company must appoint a director. They won’t necessarily need to reside in Singapore, and the same person can be the director and the secretary. However, remember that the person shouldn’t be disqualified from being a director, for example, a criminal offender.

Choose a Shareholder

This is given that you open a private company limited by shares.

You need at least one shareholder for your company. There isn’t a minimum share capital for startin89 a business in the United Kingdom. However, if you are a foreigner, you may have to spend a good amount to convince the officials to provide you with a visa.

Find a Registered Address

To start a business in the United Kingdom, you will need a local registered address. This address should be a physical address and not PO Box Number. All of your mails and government documents will need a registered address.

Register Your Company

For easier and hassle-free registration, you should consider working with a company registration service provider. Especially if you are a foreigner or new with registration, you may not have a good idea regarding which documents that you will need to produce. Furthermore, when you work with a professional service provider, you can focus on your business rather than the confusion of the registration process.

For more information, you can see guide to company registration.

Get Your Licences

Even after the company registration is complete, you will need to get various licences to start your company. Now, the licences you will need mostly depend on the service you provide, the equipment you need, and the location.

For example, to start a web hosting server, you will need to notify the Information Commissioner’s Office (ICO) if you will be collecting users’ personal data and get a public space surveillance licence if you are using CCTV.

These requirements will vary based on what other things you wish to do on the premises. Thus, it is always a good idea to consult a lawyer before starting the business; or you can also ask your company incorporation services provider about what you will need.



Starting a data business centre in the United Kingdom can be one of the best ideas you have ever had, especially with the amount of digital data produced and processed in the present scenario. However, you have to be up to date with the trends and also know how to register your company.

If you are looking to start a business in the United Kingdom, you can contact 3E Accounting. We are a group of qualified and experienced professionals who will help make your company registration a breeze. You just need to contact us, and we will register your company for you. We will also help you get the permits and the licences.

Starting a Data Centre Business in the United Kingdom