28-03-2008
FSB highlights issue of growth for SMEs
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The UK's Federation of Small Businesses (FSB) has warned that given the increase in the number of new small to medium-sized enterprises (SMEs), starting up is not a significant issue for such organisations.
Simon Briault, a representative for the FSB, believes that, in contrast with the potential difficulties of starting up, the real issue facing SMEs is one of development. Indeed, Mr Briault cautioned that the ability of SMEs to grow can be affected by the bureaucracy associated with taking on more employees and expanding business operations.
"What we are concerned about is those start-ups being able to grow, and it is here where they tend to run into more difficulties due to the amount of employment law they have to deal with," said Mr Briault.
It was noted however, that despite the recent credit crunch, sales at existing SMEs are still doing well and small start-ups do not appear to have been significantly affected.