Before the general election date was even announced, David Cameron caused waves throughout the company formation sector as he claimed that when he was Prime Minister the ‘bureaucracy’ involved in company formation.
While we weren’t sure how he could make company formation any easy than us – three hours, £24.99 for fully formed and registered company – we looked forward to hearing his plans on how to make running a company less about administration and more about profit. And according to a recent report, these changes cannot come quick enough for the small business sector.
According to a report conducted by the Federation of Small Businesses the cost of running a company rose almost twelve billion in 2009, as a consequence of increase corporation legislation and tax laws. And from the feedback we have received from our clients, it seems that most small business owners spend the majority of their time dealing with administrative red tape, rather than concentrating on how to grow their company.
William Baker, chief enterprise advisor to the FSB, comments; “The UK’s economic recovery is still in an extremely fragile state. The new government needs to realize that the small business and company formation sector can drive significant economic growth and provide thousands of jobs. “
“The government needs to review current legislation and administrative red tape and endeavor to reduce it as soon as possible.”