How much could your business save?Find out now!
Or, you can call us on:0800 411 8830

What does the Small Business Act mean for you?


The election campaign is now well underway. But one of the last acts of parliament was to approve the Small Business, Enterprise and Employment Act. According to the government the Act will provide small businesses with the opportunity to grow, create jobs and innovate.

The Act covers many issues that concern small businesses such as access to finance, red tape and zero hours contracts.

Improved access to small business finance

SwitchMyBusiness.com recently looked at alternative sources of small business finance and our #whatbizwant campaign found that finance is a big concern for small business owners. It is something small businesses continue to struggle with. New measures will improve access to funding by increasing the availability of investment and alternative sources of finance.

Competition and more open access to credit data in the banking sector should benefit small businesses and make it easier for them to get a loan from a lender other than a bank. Only time will tell if lending to small businesses improves.

Cheque clearing times will be speeded so it won’t take so long for a cheque to clear. There will be an increase in transparency on payment practices and policies to help small businesses to negotiate fairer deals.

Red tape creates obstacles for small businesses

Red tape is always an issue for small businesses with many complaining that red tape creates obstacles to growth. Measures will be brought in to cut red tape and will be reviewed on a regular basis to ensure they are effective. Current targets require that for each new regulation two older regulations have to be phased out. Now during each new parliamentary term red tape will have to be removed to help small business grow and do business.

Fairer provision for pub tenants

The Act will introduce a Pubs Code and Adjudicator. This body will oversee the relationship between companies that own pubs and their tenants. This will ensure fairness for the sole traders and small businesses that run tied pubs – thousands of which exist across the country.

Zero hours contracts

While many of the measures are designed to help small businesses some of the measures will also help workers. For example there will be changes to rules governing zero hours contracts. Zero hours contracts are playing a big part in the election campaign already with Labour announcing they will end this type of employment contract. The Act brings in measures to stop the abuse of zero hours contracts. In the past workers have been subject to ‘exclusivity clauses’. These clauses meant individuals couldn’t work for anyone else, even if their current boss couldn’t offer them any work.

New small and micro business definitions

The Act also sees the introduction of new definitions of small and micro businesses. This will ensure that definitions used to describe these types of businesses are in line with those used within the European Union.

The Business Secretary Vince Cable said “Small businesses provide jobs for millions of people across the country and are driving the economic recovery. The Small Business Act will create the right environment for small businesses to continue to thrive by giving them greater access to finance to help them innovate and grow, and make it easier for them to export goods and services made in Britain.”

Further reading relating to the Small Business, Enterprise and Employment Act can be found on the government’s website. Or read about our small business manifesto and what our recent survey discovered small business owners want from a new government in May.

 

Related Articles

the week's energy news

The Week’s Top Energy News – 02/12/2016

The Christmas season has well and truly begun and, in true business style, you’ll either be incredibly b...

Read More
how to motivate your team

21 easy ways to motivate your team

Being a manager is tough, and understanding how to motivate staff isn’t necessarily straight forward. It...

Read More
small business santa

Could you win our small business Santa competition?

We don’t know about you but we are feeling very Christmassy right now. Carols on the stereo, mince pies for ...

Read More
Excellent, 9.5 / 10

Fixed up in no time!

"I was contacted by Jonathan Burgess after making an inquiry on line, who was very informative in finding me the best deal for my business. There was no pressure selling,only information given to assist me in making an informed decision. There was ample opportunity during the process to question or pull out if need be. Everything was made clear,and would definitely recommend others using the service."

This review was posted by john kril on the 05th of September 2016

Brilliant Service

"I was contacted by Aaron Gallagher after visiting SwitchMyBusiness.com. He was very helpful and knew a lot about the different contracts available but did not push me into an instant decision. Once our Directors had decided on the contract they wanted I called Aaron on his direct line and arranged our new contract. Aaron was at all times friendly and professional, completely different to other companies who contacted me about our renewal who were arrogant and pushy. Would recommend SwitchMyBusiness to anybody who is looking to switch their energy."

This review was posted by Debbie on the 08th of September 2016

First Class Service

"I spoke with Mark Weeks today to get quotes for my business energy and he was extremely helpful. He talked me through the process clearly and also got me better prices than I could have done myself. Comparison sites are just so complicated and he did all the "leg work" for me. Very pleased with his assistance and would recommend SwitchmyBusiness to any of my friends and business acquaintances."

This review was posted by Debbie Andrew on the 08th of September 2016

Excellent

"Jonathan Burgess rang me back straight away and took me through my business switch. Polite thorough and easy to understand. Highly recommend to anyone looking to save money and switch business energy accounts. Thank you."

This review was posted by Suzanne Richmond on the 09th of September 2016

Happy

"Jonathan Burgess did a great job of helping me through switching my business with both gas and electric. He was very thorough ,clear spoken and a pleasure to speak to today. I would recommend anyone to use this service"

This review was posted by Louise holman on the 09th of September 2016