THE ECONOMIC DOWNTURN

The news headlines are tending to concentrate on the national effects of the recession on the larger companies in the economy - the collapse of Woolworths, the stopping of production at Honda, the loss of jobs in City banking firms and, of course, the breath-taking amounts of money being made available to the banks.

But the causes of this recession mean that it is set to affect every business in every sector in every community and nobody knows how long it will last or how deep it will be.

WHAT THE FSB IS SAYING...

There are many aspects of the recession over which government in Britain at whatever levels has no control. Global forces and decisions taken in foreign capital cities or in boardrooms overseas will have a direct impact on Britain and on Britain's businesses.

 

However, as Britain's largest business organisation representing the self-employed and small businesses, the FSB is pressing for everything to be done to minimise the impact those decisions have on us.

 

We are calling for every possible measure to be taken by government in the UK  to give small businesses the advice and support they need to weather the economic storms - ensuring they can survive and benefit from the opportunities which will arise when the economy picks up.

...NATIONALLY

We have taken the small business message to the heart of Government.

For example, in November, the Chancellor announced in his Pre-Budget Report the creation of a £1billion scheme to help small businesses. This was a measure the FSB had called for. We have been working with the government on how the scheme can best operate and on January 14th, the government announced the launch of its Enterprise Finance Guarantee and other measures.

A one-page FSB briefing paper about the Guarantee and how to access it has been produced.

 

The FSB also launched a Five-point plan to create 400,000 new jobs. It calls for:

 

1. Cut payroll taxes
2. Simplify access to public sector procurement
3. Declare a moritorium on business regulation
4. Prromote part-time work through tax exemptions
5. Simplify and promote apprenticeships

The FSB is regularly meeting with the banks, the Government and financial institutions.We are keen to hear of the experience of small business owners trying to access the new Government funds or other evidence of the credit crunch. Please email Delia Colegate with your stories.

...IN DEVON

The FSB sits on the SW Regional Economic Task Group and the Regional Skills and Employment Partnership which are spending an increasing amount of effort on the recession.

...LOCALLY

We have worked with Devon's Councils, pressing them to do more to support their local economies.

 

They are often the first port of call for a business on a range of issues and will need to increase the range of advice services they can offer, as well as making sure their staff are best qualified to give the best possible advice.

 

WHAT MORE CAN WE DO?

The FSB will continue to call for further measures to support small businesses.

Among our current key concerns are:

 

• Access to the £1billion of European Investment Bank funds.
  The EIB has made the money available to help small businesses. Other UK  regions are looking to use the fund. London should do likewise.
• 
  The automatic awarding of Small Business Rate Relief to eligible businesses.
  The money for the relief is available. The relief is an entitlement. While the benefit to individual businesses might only be a few hundred pounds, in the  words of a well-known small retailer "Every little helps".
• 
  A huge expansion in the provision of business mentoring
  Many business owners admit they do not have the skills or information to help  them steer their business through the recession. Mentoring can play a key role in making the difference between success and failure.
   
  

WHAT ARE THE KEY QUESTIONS TO ASK YOURSELF?
The London Policy Unit, working with its members, has produced a short briefing paper which raises some of the problems that are typically faced by a business and which might, in the current recession, make the difference between a business surviving or failing - acting as a check list of some of the questions it might be useful to ask of yourself or of your business.

This briefing paper was a need identified during a survey of FSB members in December 2008 which suggested that 50% of business owners admitted that they did not feel they had the advice or information they needed to help steer their business through the recession.

 

This paper does not seek to give advice to individual members or business owners. That is the job of either external organisations such a business advisors, accountants, solicitors or Business Link, or - in the case of FSB members - for some issues the legal helpline (08457 727 727) or the financial helpline (08000 193 633).

 

We are grateful for the help, advice and suggestions from members who assisted in the production of the briefing paper. We are also eager to hear of suggestions and ideas for inclusion in the paper, so it can develop and reflect the key issues which businesses are facing.
 

WHERE TO GET ADVICE?

There is no shortage of providers of advice to business.

 

Indeed, the FSB has argued that it is very difficult to business owners to know they are accessing the best possible advice, and it is not the role of the FSB to provide advice to individual businesses.

 

Business Link 0845 600 9966 website, maybe your first port of call for many enquiries.  Equally you may already use an accountant, solicitor, business adviser or rely on colleagues, friends or a trade associate.

 

In addition, various publications are appearing from banks and other institutions,
We quite like a NatWest publication, Trading through the Economic Downturn, which has useful information and tips.

 

Other possible sources of information include:

FSB Customer Helpline 01253 336000
The British Library                                            

Business Start-up Community                           

Business Debtline                                           

Business Link                                                  

Credit management issues                                

Enterprise Agencies in Devon (North Devon +)     

                                            Enterprise South Devon        01626 837000
                                            West Devon Information Point  0800 592872
For late payment interest issues                       

To check if a CCJ exists against a company      

For monies owed by insolvent companies          

 

The FSB is pressing for more to be done to get the message across to business about the advice services which are available. We are calling for every mailing from Government to businesses - VAT forms, business rates bills, tax documents, licensing forms - should all have inserts detailing available sources of business advice.

TELL US YOUR VIEWS AND STORIES - HELP US TO HELP YOU

Events in this recession are changing very quickly. Official statistics and data are often out-of-date even before they are published.

That is why regular information from business owners is so important - not just to the FSB, but to the people we are lobbying.

Whether we are talking to the Government, the banks or the advice providers - the more evidence we have of what business owners are experiencing, the better we can argue for the measures which could make a difference.
 

The more case studies we have, and the more respondents we have to our surveys, the stronger the case we can make.

Please contact the South West Policy Manager Viv Rayner to let her  know what is happening in your business or in your area.