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Business loan as government support falls short
Reported on Tue, 31 Jan 2006
Small businesses should consider taking out business loans, as the government's support schemes for businesses are failing, claims the Confederation of British Industry (CBI).
The CBI's report states that financial support, advice and guidance offered by the government is "conflicting and untrustworthy".
Ian McCafferty, chief economic adviser for the CBI, explained that small businesses were in need of sustained financial and consultative support.
"Quality business support is proven to boost survival. However, there are too many overlapping, confusing and inconsistent schemes," he said.
"With eight billion pounds spent a year on services to small businesses they should be exemplary but this is not the case."
Mr McCafferty used the government's principal business support scheme Business Link as an example of central failings, as despite receiving £140 million annually only six per cent of businesses nationwide said they were satisfied with its services.
In light of failing government support for small businesses and entrepreneurs, a specialist, low-rate business loan is an ideal way for businesses to fund commercial activities and invest in new business areas. 