Over 40% of new SMEs fail within four years!

A recent report by Lord Young, David Cameron’s enterprise adviser, has proposed that the Government’s loans scheme to help young entrepreneurs start a new business is to be extended to the over 30s. When the scheme was originally launched the age limit was only 24. But this was raised to 30 earlier this year. Now it has been announced that the age limit for the loans is being extended to over 30s. Along with a range of other reforms aimed at helping “fire up business growth” for SMEs in the UK.

This is good news and business groups including the CBI and the FSB have broadly welcomed the package of measures. However there are calls for the choice of business support that is linked to the Government’s schemes to be put in the hands of the businesses themselves. And not in the hands of providers so they can choose the best advice available to them.

This is a good point. SMEs that pro-actively set out to get the advice and support that’s right for them are the ones most likely to succeed and thrive. It’s vital they understand the areas where new businesses traditionally have problems. It is important to know how to avoid them and how to give their business the best chance of success. These areas include; Business Planning, Financial and Cash Controls and Sales & Marketing and not just Loan Finance.