FSB: SMEs need support to grow
Red tape and regulations can prevent new start up businesses expanding, a small business adviser claims.
Simon Briault from the Federation of Small Businesses (FSB) said the increase in new start-ups over the last year was marred by concerns over
difficulties they faced.
He added small and medium-sized enterprises (SMEs) had so far escaped effects of the credit crunch; however he conceded that it may still be too early to tell if it would impact on them in the future.
Research by the Department for Business Enterprise and Regulatory Reform found that ten per cent of London businesses considered regulation
was the key obstacle to the successful growth of their enterprise and this opinion applied to 14 per cent of UK firms.
He also noted that businesses needed more encouragement to take up government support for their enterprises.
"We think there should be a shift in focus for those government agencies so that they are more proactive in actually seeking out business owners and telling them what it is they need," he said.
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