| Tue 4th Sep 2007
As someone with an interest in small business, you are probably aware of just how many issues there are that can affect it. A new report from the Institute of Directors (IoD) has identified the key issues that cause businesses the most trouble.
While regulation, taxation and education continue to be of concern to business of all sizes, the report identifies five issues that are highlighted specifically by small and medium-sized enterprises (SMEs).
These top five SME concerns were:
- Late payment
- Lack of business finance
- National Insurance contributions
- Business rates
- Levels of government business support
Commenting on the release of today’s report, Miles Templeman, Director General of the IoD, said: “While figures for start-ups in business are broadly favourable, this report demonstrates some clear obstacles to growth, which need tackling before they become endemic.”
Citing the key issue of late payment, Miles Templeman added: “At present there are gaps in the Government’s policy programme on SME issues. For example, late payment was highlighted as the factor causing the most significant negative impact on smaller companies, yet government have withdrawn support and reduced funding on the very initiatives aimed at tackling this growing problem. The new ministerial team at BERR (Department for Business, Enterprise & Regulatory Reform) will be judged by how they tackle our members’ issues over the next 12 months.”
The report’s key recommendations include:
- Rejection of the Lyons Report recommendation proposing the introduction of Supplementary Business Rates
- Calls for a government led investigation into the extent of late payment, its consequences and potential solutions
- An appeal to the Government to reduce the heavy burden of taxation on business – especially in the areas of Corporation Tax and National Insurance.
- The introduction of a clear set of criteria requiring a certain level of economic return for every pound spent on government business support.
Source: http://www.bizhelp24.com/news/aug-07-business-problems-197.php | 
