Designed to reduce red tape and help UK SMEs access funding more easily, the Small Business Bill could be brought into action by Parliament next year. But will this new legislation have any real impact if it is eventually implemented?
The results of research carried out by private equity firm Key Capital Partners suggests that British SMEs are in fact feeling positive about the changes this law could bring.
Out of 100 firms questioned for the Growth Panel Report, 95% are backing the proposals and 80% believe that the government’s Small Business Bill will be effective in providing greater access to funding.
Peter Armitage, Partner at Key Capital Partners, said: “SMEs have often struggled with accessing the finance necessary to maximise growth, and up to this point they have received little in the way of assistance from the government.
“However, our results show that the measures in the Small Business Bill are a step in the right direction.
“With the government now standing firmly behind SMEs, growth continues to be a talking point for many businesses.”
Small businesses backing plans
While the majority of small businesses appear to be supporting this proposed new bill – in the hope that it will tackle problems such as poor access to finance, slow cheque clearing and restrictions to overseas expansion – this report also highlighted some discontent.
This research revealed that 40% of SMEs believe the bill does not do enough to address the problem of late payments – an ongoing issue that is having a massive impact on businesses across the UK.
On top of this, around half of the business leaders surveyed want the government to do more through actions such as training measures and additional tax breaks.