Where will support for new (and existing) businesses come from now?

The Government’s new white paper, Backing Small Business, has been published describing small business as “a major part of [their] forensic approach to growth.”

They set our six steps that they view as vital to stimulating the growth of the economy through small business:

1. Improving access to finance 
2. Opening up government procurement and ensuring prompt payment 
3. Supporting those starting a business 
4. Making sure our competition framework helps new companies access existing markets 
5. Providing targeted support to those that have high-growth potential 
6. Ensuring that Government is deliberately reoriented towards their needs

But the business support landscape is set to change radically. Those of you who are accustomed to seeking help through a Business Link Adviser had better make the most of this service while it lasts. Business Link will cease to exist from March 2012, to be replaced by an online resources (I’m presuming not much change from the current Business Link web site), with access to mentors and small loans for those setting up business from a state of unemployment.

Last week I spotted Cameron “hoping” that “hundreds of thousands” of new businesses will be created but what shape will these take, I wonder?

Government strategy is clearly aimed at new businesses that are planning for high growth in targeted sectors and I’ll be keeping a close eye on Government ambitions to:

• establish a network of ‘growth hubs’ to provide specialist support for businesses with growth potential to enable them to achieve transformational levels of growth.
• invest over £200m in a network of elite Technology and Innovation Centres to drive innovation and the commercialisation of new technology and ideas.
• £3m of in-year savings made by the Intellectual Property Office will be used to fund projects to help companies develop new technologies and offer advice in developing their intellectual property
• put £600k into a new “Launch Pad” competition aimed at small companies with disruptive solutions to energy, digital, healthcare, and sustainability problems
• continue to help businesses to develop their international trade potential and access international markets through the services of UK Trade & Investment

But I also wonder where smaller businesses in more traditional sectors will find the support that has been available. Not through public sources, that’s for certain. How can the private sector shape services for boot-strapping start-ups and still make their own profit? That’s one that many of us will be wrestling with in the near future.

Francine Pickering

Clarity Marketing - marketing advice for small businesses