19-06-2008
Think small to achieve big results for SMEs advises corporate expert
A leading business expert has welcomed proposals from the European Union to introduce a number of measures designed to ease difficulties faced by Europe’s small and medium-sized enterprises.
Solicitor Simon Morris, a SME specialist within BPE’s eight-strong corporate team, welcomes the European Union’s commitment to introduce new measures, collectively known as the EU “Small Business Act” aimed at reducing barriers and improving conditions for European SMEs.
“Although described as an “Act”, no new legislation is expected to accompany the proposals and officials have been keen to stress that laws relating to SMEs remain largely the preserve of national governments,” said Simon.
“The steps that will need to be taken to move these measures forward are due to be published within the next few weeks. Drawing attention to the particular challenges facing SMEs operating in Europe can only help to raise awareness of the issues,” he added.
The measures were based upon consultation undertaken by the European Commission earlier this year. It is expected that recommended changes will be designed to create new initiatives to reduce the regulatory burden for SMEs, improve access to single market/public procurement, provide support with human/financial resources and help SMEs face the challenge of globalisation and climate change.
“As well as recommending steps to deal with some of the common complaints from SMEs such as administrative burden, overregulation and bureaucracy, the “Act” is likely to include guidance for SMEs seeking to expand their businesses in Europe,” said Simon.
Significant changes are anticipated in the areas of access to finance, taxation (most particularly with regards VAT), lack of skills, access to public procurement, unfair competition and labour law. Each of these issues was identified by businesses taking part in the consultation phase.
“Our SME clients would like to see the “Small Business Act” eventually create a legal framework that supports businesses such as theirs so that they can realistically consider doing business in countries currently out of their reach,” said Simon.
“However whether the new Act will offer any genuine and tangible benefits to SMEs will depend upon the level of commitment from the UK Government and whether or not the “Act” becomes legally binding,” he added.
Simon Morris is a solicitor within BPE's 8-strong Corporate team. Companies wanting advice on the Small Business Act should contact him on 0121 200 5618 or email simon.morris@bpe.co.uk
Solicitor Simon Morris, a SME specialist within BPE’s eight-strong corporate team, welcomes the European Union’s commitment to introduce new measures, collectively known as the EU “Small Business Act” aimed at reducing barriers and improving conditions for European SMEs.
“Although described as an “Act”, no new legislation is expected to accompany the proposals and officials have been keen to stress that laws relating to SMEs remain largely the preserve of national governments,” said Simon.
“The steps that will need to be taken to move these measures forward are due to be published within the next few weeks. Drawing attention to the particular challenges facing SMEs operating in Europe can only help to raise awareness of the issues,” he added.
The measures were based upon consultation undertaken by the European Commission earlier this year. It is expected that recommended changes will be designed to create new initiatives to reduce the regulatory burden for SMEs, improve access to single market/public procurement, provide support with human/financial resources and help SMEs face the challenge of globalisation and climate change.
“As well as recommending steps to deal with some of the common complaints from SMEs such as administrative burden, overregulation and bureaucracy, the “Act” is likely to include guidance for SMEs seeking to expand their businesses in Europe,” said Simon.
Significant changes are anticipated in the areas of access to finance, taxation (most particularly with regards VAT), lack of skills, access to public procurement, unfair competition and labour law. Each of these issues was identified by businesses taking part in the consultation phase.
“Our SME clients would like to see the “Small Business Act” eventually create a legal framework that supports businesses such as theirs so that they can realistically consider doing business in countries currently out of their reach,” said Simon.
“However whether the new Act will offer any genuine and tangible benefits to SMEs will depend upon the level of commitment from the UK Government and whether or not the “Act” becomes legally binding,” he added.
Simon Morris is a solicitor within BPE's 8-strong Corporate team. Companies wanting advice on the Small Business Act should contact him on 0121 200 5618 or email simon.morris@bpe.co.uk
