News (Small Business)

Over £100m in online sales expected christmas day

Alice Galletly — Tue, 23 Dec 2008 23:40:09 GMT

More than £100 million is expected to be sold online this Christmas, by over five million Britons seeking holiday bargains.

The web store trade body, the IMRG, predicts spending online on Christmas Day will exceed £100million for the first time.

Around £84million was spent online last Christmas Day, predominantly at sites such as eBay, Amazon, Argos, Play.com and Apple iTunes.

This year John Lewis and some electrical chains will launch their internet sales on Christmas Eve.

Internet can help small businesses weather the downturn

Alice Galletly — Wed, 17 Dec 2008 19:11:00 GMT

Advertising products and services over the internet could help small businesses increase turnover by a firth, according to new figures from the Federation of Small Businesses (FSB).

The FSB's biennial survey of 8,700 members found that 43 per cent of respondents improved their sales after linking to suppliers and using the web to advertise their firm, showing the ever-increasing value of the internet to business transactions, particularly during an economic downturn.

The survey also revealed that the number of small businesses who have a web presence has leapt by a quarter to around 70 per cent since the last survey.

Barclays to announce £1.5bn small business package

Alice Galletly — Fri, 12 Dec 2008 07:24:00 GMT

Barclays is set to unveil plans to help small and medium-sized enterprises (SMEs) survive the credit crunch, as banks continue to be criticized by the government and small business representatives.

HSBC pledges £1bn of extra funding for small businesses

Alice Galletly — Fri, 12 Dec 2008 05:15:00 GMT

In the latest move between the government and UK banks, HSBC has pledged to make £1 billion of extra funding available to UK small businesses.

FSB urge banks to lend to small businesses

Alice Galletly — Wed, 10 Dec 2008 23:02:00 GMT

A third of small businesses are still struggling to attain affordable credit from banks, despite commitments to lend fairly, according to new figures from the Federation of Small Businesses (FSB).

The poll of over 5,000 FSB members indicates that 30 per cent of small businesses have experienced an increase in the cost of new or existing finance in the last two months.

The figures reveal a worrying economic situation for small businesses: over 60 per cent had experienced a decrease in trade in the last two months, and forty per cent are being paid later for services and supplies.

Super SME's using IT to beat downturn

Alice Galletly — Wed, 10 Dec 2008 22:48:00 GMT

While 30 per cent of small to medium enterprises (SMEs) expect to fail in 2009, SMEs with a strong investment in IT infrastructure, have been dubbed ‘super’ because of their readiness to survive the downturn.

According to a survey by Plantronics, two out of three SMEs are expecting a reduction in financial turnover within the next six months, while three out of ten expect to fail by autumn 2009. 21 per cent however, have either not been effected by the slowdown or have found that business is booming.

Investing in IT has helped 47 per cent of so-called super SMEs stay afloat. Super SMEs are also three times more likely to have a plan to follow in times of economic crisis while six out of ten SME managers will not.

Major bank to freeze SME overdraft fees

Alice Galletly — Mon, 24 Nov 2008 08:45:00 GMT

The UK’s second largest bank will freeze overdraft charges for small businesses, in an attempt to relieve growing financial pressure on the sector, it has been announced.

NatWest, owned by the Royal Bank of Scotland, said up to a million customers could benefit from the move, which comes into effect on December 1 and will last until the end of 2009.

The bank also said overdrafts for small businesses would stay in place for 12 months without demands for repayment.

A spokeswoman for the British Banking Association (BBA) said the move was an attempt to support struggling clients.

Government should lend directly to small firms

Alice Galletly — Wed, 19 Nov 2008 20:30:00 GMT

The government should consider lending directly to businesses and mortgages as banks fail to deliver more, the Lib Dems have suggested

The government made its recent multi-billion pound bailout of three of the UK's largest banks, on the condition that they would restore the level of funds available to small businesses to 2007 levels.

But the Liberal Democratics say that despite this, lending rates are still low.

Party leader Nick Clegg has called the government "supine" and "weak" for not forcing banks to act after giving them billions of taxpayers' pounds, telling BBC Radio 4:

Support vital to small business broadband

Alice Galletly — Fri, 14 Nov 2008 12:47:00 GMT

According to a new survey, over 70 per cent of small and medium enterprises (SME’s) would switch provider if their service became unreliable.

The survey conducted by Zen also revealed that the level of support offered buy the ISP was the most important factor in choosing a business broadband provider, with 85 per cent of SME’s placing this at the top of their criteria.

However, the survey revealed that small businesses do not switch ISPs often, and will generally stay with one provider until problems arrive. Just 13 per cent of businesses are currently considering a switch, while more than half of SME’s said they were happy with their current provider. Just over a third of small businesses had made a switch in the past year.

As 98 per cent of SMEs find a reliable broadband connection to be vital to their business operation, it is unsurprising that just 40 per cent would switch on the basis of saving money.

Small businesses to cut back on staff

Alice Galletly — Mon, 10 Nov 2008 20:12:00 GMT

More than a quarter of small businesses will be cutting back on staff over the next 3 months, as the demand for UK goods weakens with the financial crises.

According to the latest SME Trends report from the Confederation of British Industry (CBI), employment is shown as beginning to fall in the last quarter, after a year of growth.

A balance of +13% of SME’s were found to reducing their staff, representing the largest quarterly fall since October 2003. The figure shows a dramatic change from 3 months ago, when a balance of +6% of SME’s were increasing their workforce,

A decrease in orders both domestically and abroad seem to be behind the cuts, with 30% of SME’s claiming that orders have dwindled

FSB calls for interest rate cuts

Alice Galletly — Wed, 05 Nov 2008 11:21:00 GMT

As the Bank of England’s Monetary Policy Committee starts it’s meeting today, the Federation of Small Businesses (FSB) is calling for an interest rate cut to save millions of UK small businesses.

A recent poll by the FSB revealed that almost 1.5 million small businesses risk going bust, with unemployment figures expected to rise as a result.

According to the poll, 75 per cent of FSB members would welcome interest rate cuts, where a third of respondents said they would have to close their business if the current credit crises continued. More than half of respondents said they had experienced reduced trade in the last two months

Nearly 40 per cent of respondents said they had felt less optimistic about the future in the last two months, and round 20 per cent had already been forced to cut staff, while 32 per cent were considering it.

Small businesses feeling the crunch

Alice Galletly — Mon, 03 Nov 2008 17:35:03 GMT

One in ten small firms can no longer afford to run their business, according to new research from RSA, experts in small business insurance.

The research revealed that the credit crunch has forced approximately 470, 000 small and medium sized businesses (SME’s) into a position where they can no longer afford to operate.

The research illustrates the difficulties for small businesses in coping with the economic climate, showing that 81% of employers have experienced rising costs from suppliers, 56% of which have had to pass these costs on to consumers.

Banks urged to accept £4m for small business lending

Alice Galletly — Fri, 31 Oct 2008 11:01:00 GMT

High Street banks have been urged by Prime Minister Gordon Brown to accept the offer of £4 billion of EU money to make credit more easily available to small businesses.

Mr Brown and Chancellor Alistair Darling say the money, which would come from the European Investment Bank (EIB), could have a significant impact on struggling small businesses if it were to be passed on as loans.

Business groups called for assurances that small and medium sized businesses would receive their share of the money, as they have recently suffered at the hands of reduced credit and increased interest rates from lenders.

EIB officials warned that the money available to UK SMEs would depend entirely on how much of the cash UK banks applied for. A total of £24 billion is on offer over the next four years, and any EU state may apply for a share of the fund.

Small businesses should have access to £125bn deal

Alice Galletly — Wed, 29 Oct 2008 11:54:00 GMT

In the latest move to win the small business vote, The Tories have urged ministers to give SMEs a share of the £125 billion Government procurement project.

Tory leader David Cameron and shadow chancellor George Osborne called on Labour to allow SMEs access to the scheme, which currently they are locked out of.

The proposal follows the Daily Mail’s “fair deal for small firms” campaign last week, during which the Tory leader proposed a six month deferral on VAT tax for SME’s, as well as a 1p cut on payroll tax and a reduction of the small company corporation tax.

Mr Osborne stressed that as Whitehall is the biggest purchaser of supplies in the UK economy, SME’s should be able to benefit from the deal.

£125 billion worth of government contracts are available, but work is primarily dished out to large companies who can afford the officious tender process.

NI cuts propsed for small businesses

Alice Galletly — Tue, 21 Oct 2008 13:00:00 GMT

David Cameron has called for a temporary tax cut of 1p on national insurance contributions, to be given to small businesses in order to help them cope with the downturn. Speaking on the Today programme, the Tory leader told BBC Radio 4 that the tax cut – which would cost the treasury £225m – could help alleviate pressures on small firms struggling to pay their bills.

Government urges banks to help small businesses

Alice Galletly — Mon, 20 Oct 2008 15:43:00 GMT

Peter Mandelson, will meet with banking chiefs this week, to urge them to do more to help struggling small businesses and homeowners. The country’s newly appointed business minister will discuss measures to protect small businesses, which according to a government source; will include an extension of the export credit guarantee scheme, in order to protect firms involved in deals overseas.

FSB warns bank of credit crunch effect

Alice Galletly — Mon, 13 Oct 2008 10:43:00 GMT

The Federation of Small Businesses (FSB) has sent results of a snap poll to the bank of England, which demonstrates the devastating impact of the credit crunch on small businesses. The poll revealed that a majority of respondents (80%) had seen an increase in operating costs in the last year, and 40% had seen decrease in trade.

Two thirds of small businesses are yet to adopt wage rise

Alice Galletly — Thu, 02 Oct 2008 11:49:00 GMT

Approximately one million workers were set to benefit from a rise in the National Minimum Wage on Tuesday; however a survey has suggested that many businesses are yet to take action. The hourly Minimum Wage has increased by 3.8 per cent, meaning those over 21 will be guaranteed at least £5.73 an hour, up 21p from £5.52...

Rising costs putting the squeeze on small businesses

Alice Galletly — Fri, 19 Sep 2008 12:04:00 GMT

According to new research, one in 10 small businesses have experienced a rise in cost by over 25% in the past year. Continued inflation is said to be putting a severe strain on profitability. Research from credit rating firm Creditsafe, found that 10% of businesses have experienced a 25% increase in costs over the last year...

Prime Minister urged to create rate relief measures

Alice Galletly — Wed, 17 Sep 2008 12:44:00 GMT

The Federation of Small Businesses (FSB) has urged the Prime Minister to introduce new measures with regards to rate relief for small businesses. The FSB delivered a letter to No. 10 Downing Street last week, which called for two measures to be introduced as part of the governments economic revival package.

FSB launches Keep Trade Local tour

Alice Galletly — Tue, 02 Sep 2008 09:27:00 GMT

Federation of Small Businesses (FSB) is launching its UK Keep Trade Local photography tour, in order to raise awareness of the need to protect Britain’s small independent retailers. The tour, which is being sponsored by the Arts Council England, will include photographs of independent retailers across the country. The photographs will be displayed in empty shops and town market centres, to display how the spaces could be better used by small businesses...

Small businesses are suffering in the face of late payment practice, according to a recent survey.

Alice Galletly — Fri, 29 Aug 2008 10:55:00 GMT

A survey by the Forum of Private Businesses (FPB)has revealed that 88% of small businesses are not receiving payments from some of their larger customers within the contractually agreed time, which 72% say is having a serious impact on business. The effect of the credit crunch has been significant, with 56% of businesses reporting that it had worsened over the last year...

Small firms could cash in on London 2012

Alice Galletly — Thu, 28 Aug 2008 12:54:00 GMT

With the Beijing Olympics now over and attention starting to turn to Britain, government organisation Business Link has launched an information campaign on how small firms will benefit from London 2012. Organisers believe hosting the games will provide a significant boost to British business, with the colossal event expected to generate contracts worth £6bn and covering 75,000 projects.

Government plans to extend flexible working rights

Alice Galletly — Wed, 27 Aug 2008 17:04:00 GMT

The government is investigating ways to help businesses deal with flexible working requests more easily, as part of a new consultation. The consultation comes as part of the Walsh Review, commissioned by the government to investigate the issue of flexible working...

Red tape too heavy-handed for small businesses, warns FSB

Alice Galletly — Wed, 27 Aug 2008 09:27:00 GMT

The Federation of Small Businesses is urging the government to reduce regulation on training, believing small businesses will suffer as a consequence of the extra red tape. The reaction was spurred by a recent push by the government to allow employees to request time off for training. The issue lies in regulation that says each request should be witnessed by a union...

Despite market conditions, small businesses still borrowing

Alice Galletly — Fri, 22 Aug 2008 13:37:00 GMT

According to a study by Barclays Commercial Bank, one in six businesses are taking out long-term bank loans in order to fund growth.The study found that since the beginning of the year, 16% of businesses with a turnover of more than £1m had taken out loans of £500,000 or more...

£200m in rates relief unclaimed every year

Alice Galletly — Thu, 21 Aug 2008 11:37:00 GMT

Small businesses could be missing out on a rate reduction of up to £2500 if they are one of the 450,000 businesses who have not yet applied for Small Business Rate Relief. A survey by the Local Government Association (LGA) has revealed that only a quarter of eligible North West businesses have taken advantage of the small business rate relief scheme. This means that around £200m in small business rate relief goes unclaimed in England every year...

Small business owners working 50-hour weeks

Alice Galletly — Mon, 18 Aug 2008 14:47:00 GMT

clocking up more than 50 hours a week, and are not taking the UK statutory holiday minimum, a survey reveals. The survey by the Bank of Scotland revealed that small business managers are working an average of 50 hours a week - three more than at this time last year.

Diplomas should be given same weight as A-levels, say FSB

Alice Galletly — Fri, 15 Aug 2008 11:47:00 GMT

The latest press release from the Federation of Small Businesses (FSB) calls for equal marks to be awarded for A-levels and diplomas.The FSB say they congratulate students on achieving excellent A & AS-level results, but would like to see diplomas given equal weight in the next academic year...

Small businesses fighting back against late payments

Alice Galletly — Thu, 14 Aug 2008 10:54:00 GMT

The FSB revealed that small firms are taking increasing legal action against larger firms, in order to claim late payments. Research by the Federation of Small Businesses shows that small firms are waiting up to 105 days to receive payments from larger companies.

Manufacturers under pressure as costs rise

Alice Galletly — Wed, 13 Aug 2008 10:10:00 GMT

Small and medium-sized manufacturers are facing record growth in costs, according to an industry survey. The survey conducted by the Confederation on British Industry (CBI), found that cost pressures are the worst in 13 years, forcing manufacturers to raise the price of goods, and to limit the squeeze on profit margins...

FSB urges public sector support for micro-businesses

Alice Galletly — Tue, 12 Aug 2008 10:41:00 GMT

The Federation of Small Businesses (FSB) is calling on an influential review to ensure small businesses win at least 30 per cent of all public sector contracts.

Small Businesses could save £300m on health & safety, says BERR

Alice Galletly — Fri, 08 Aug 2008 10:39:00 GMT

Small businesses could save £300m a year through better access to health and safety information, a report from the Department for Business, Enterprise and Regulatory Reform (BERR), claims.

Boris pledges to save small shops

Alice Galletly — Wed, 06 Aug 2008 10:31:00 GMT

Boris Johnson has recently unveiled plans to help save the departure of small shops from UK high streets.

FSB says: Keep Trade Local

Alice Galletly — Tue, 05 Aug 2008 09:42:00 GMT

The Federation of Small Businesses (FSA) is urging government support for its ‘Keep Trade Local’ campaign, an effort to reverse the departure of small businesses from UK high streets.

Upwardly mobile: small business communications are on the move

Alice Galletly — Wed, 23 Jul 2008 09:48:00 GMT

A recent report by Quocirca has shown that small and medium sized businesses (SMBs) are using mobile networks as a key point of business communication.

Microsoft to launch server for small businesses

Alice Galletly — Tue, 08 Jul 2008 14:46:00 GMT

Yesterday, Microsoft announced that in November this year they would be launching a new series of products aimed at specifically at small businesses.

Entrepeneurs won't crumble under credit crunch

Alice Galletly — Thu, 03 Jul 2008 16:30:00 GMT

A recent survey by Deloitte and the London Business School has found that entrepreneurs are remaining confident about future growth, even in the face of a credit crunch.

Facebook gets down to business

Alice Galletly — Fri, 20 Jun 2008 15:24:00 GMT

Whether it’s on TV, in the newspaper, or from your teenage daughter at the dinner table, ‘Facebook’ is a word many of us encounter on a daily basis.

Growing Business Online profiles Christian Nellemann

Alice Galletly — Fri, 20 Jun 2008 14:17:00 GMT

BT are very clever, but they can’t slash prices because it would be anti-competitive. That’s why it’s such a land grab for companies that do the right things – literally a goldmine,”