It’s an exciting time for British technology companies. At the Tech Media Invest 2010 event in London on Monday, there was an overriding feeling of optimism as business owners and investors discussed the state of the industry.

Sean Seton-Rogers from PROFounders Capital described London as the “epicentre” of European start-up tech firms, and explained how the power was shifting back to the entrepreneur, as funding terms are becoming kinder to businesses. Despite recent concerns over small business access to finance, the discussion panel painted a positive picture, highlighting the emergence of a number of new micro funds that look to invest specifically in small tech companies, while offering cleaner terms.

The contemporary conference rooms in the Cumberland Hotel were the ideal setting for an event that celebrates the best in technology innovation. As well as panel discussions on topics ranging from globalisation to innovation and finance, technology start-ups were given the opportunity to present their business models to investors, and to pitch for funding.

We thought two particular companies stood out: online lettings agency Upad, who featured in our own Startups 100 list earlier in the year, and virtual games creator nDreams, both of which delivered polished and convincing pitches. James Davis, co-founder of Upad, told us after his presentation: “We found pitching to investors a worthwhile exercise because it’s useful to understand what motivates venture capitalists and how to best package up a business to meet their requirements.” Incidentally, Upad won the Best Presentation Award at the event and was chosen to be one of five companies to go through to the next stage in Dusseldorf in December.

While the overall mood of the event was very positive, there were still a few issues raised as possible threats to the growth of the small business tech sector. One such concern was the government’s immigration policy. Entrepreneur Matthew Hunt, from Adconion Media Group explained that access to talent was crucial to the success of his business: “We need to bring in people from all over the market to get the best talent; the UK is a very international market and we are always looking to attract talent and expertise,” he said. Similarly, the clampdown on immigration to the UK was labelled a “significant threat” by Tom Bradley from DN Capital. With so many small businesses relying on talent coming from outside the UK, many entrepreneurs are worried about the effects these policies will have on their growth.

All in all, the day’s events offered good insight into the tech industry, but while the general picture was one of optimism, the reality of the current economic environment could not be ignored. Alan Bristow from ICON Corporate Finance summed up the general sentiment by admitting: “It is still pretty tough for entrepreneurs.”

We really enjoyed the day, but for those of you who couldn’t be there, we’ve summed up a few of the main messages:

• The internet is a cheap business platform – there are low overheads, a wider consumer range, and it’s possible to outsource labour to other countries for cheaper prices
• Your team is the most important part of your business
• Keep your growth plans simple and look for the most straight forward strategy
• Don't try to do lots of different things at the same time
• Allocate your resources efficiently
• You can’t change people or consumers but you can influence them
• People will only pay for content that’s original and reliable
• Social networks will continue to gain importance and will become more tailor-made services
• When seeking funding, you must have a clear validation that your business is going to work by focusing on the fundamentals
• It’s all about getting the right balance with investors – make sure you define with them what your plans and targets are
• Investment terms in London are better for entrepreneurs