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Im a small business......get me out of here.

• Sandi Rhys Jones
• 26 February 2004

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How small is small?

• a micro business employs up to 9 people
• a small business employs up to 50 people
• a medium business employs up to 250 people
• and of the 200,000 construction companies in
  the UK, 90 of them employ fewer than 6 people
• European Union

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The cost of red tape

• Owner/managers of SMEs spend an average of 10
  hours a week complying, at an estimated cost to
  the economy of 17 billion.
• The Forum for Private Business2002 Survey

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Noel Ford Evening Standard 1985
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Counting the cost

• employing 10-14 people takes 31 hours a month
  complying with regulations and paperwork
• average cost of compliance is 2000 - 4000 pa,
  or between 4 and 6 of turnover
• tendering for public sector work is too complex
• A Government Action Plan for Small Business
• Small Business Service

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Small business bedrock

• 3.8 million small businesses
• employ 12.6 million people
• represent 99 of UK firms
• generate 52 of private sector turnover
• and nearly 50 cite regulation as a key
  obstacle to business success

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Reality test

• many businesses dont know what is required to
  comply and when seeking support from government,
  often find they are not eligible.
• services and organisations are fragmented,
  confusing and hard to find
• too often the process is too complicated, takes
  too long and is not relevant to businesses
• DTI

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Mel Calman The Times 1980
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Where are the women?

• Women in the UK represent
• 45 of the workforce
• 27 of the self employed
• 15 of business owners
• lower than in the Canada, USA, Australia and
  most of the Far East and South America

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Barriers

• accessible/affordable childcare
• inappropriate/inaccessible business support
• transition from benefits to self employment
• access to finance
• DTI

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Clive Collins, Daily Mirror
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Government initiatives

• see at a glance guidance on new regulations
• consider incentives for alternatives to
  regulation
• standardise and co-ordinate change
• improve procurement opportunities for SMEs
• increase turnover audit threshold from 1m to
  5.6m, potentially exempting 69,000 firms
• DTI

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Dont get mad, get active!

• The paperwork associated with a first employee
  costs 5, whereas big business actually makes
  money out of payroll tax deductions.
• Vision for the futureACCA Small Business
  Committee

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Network for help

• Forum of Private Business www.fpb.co.uk
• Small Business Service www.cabinet-office.gov.uk
• Federation of Small Businesses www.fsb.org.uk
• Association of Chartered Certified Accounts
  www.acca.co.uk/smallbusiness
• Institute of Directors www.iod.com

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Play to your strengths

• make the most of your size and independence
• insist on the right advisor, not the usual
  advisor
• think creatively to build a happy workforce
• challenge convention

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• www.rhysjones.com/smallbusiness.ppt