Women’s enterprise: the ‘secret weapon’ for recovery of UK economy?

A Multi Billion £ Opportunity

Women’s enterprise: the ‘secret weapon’ for recovery of UK economy?

Already female-led businesses contribute more than £75 billion to the economy – and their role in growing the economy, and creating and sustaining new jobs, is crucial to recovery and growth.

But despite this level of activity, women are too often invisible within the business arena, and at a time when many businesses are struggling to survive and grow, there is a danger that the progress made to date will falter. The ‘multi-billion £ opportunity’ which growth from women-owned enterprises can bring to the economy may not be realised.

In a government survey published in June 2011[1], two-thirds of female employers want to grow their businesses over the next two to three years. If even half that number achieved modest growth, and created a new job, the economy would receive a £5bn boost and the creation of more than 240,000 extra jobs.

The Women’s Enterprise Policy Group[2] is calling for more support and advocacy from Government to make this happen. In a briefing paper going out in advance of the Labour and Conservative Party conferences, the Group is asking for:

• More business growth support for existing entrepreneurs
• A women’s enterprise Government champion within BIS or the Treasury
• A charter to ensure more women-led businesses are included in public and private sector procurement
• Support from Local Enterprise Partnerships to promote women’s enterprise in their economic development strategies

As long as women remain under-represented in enterprise through lack of practical support, the government is wasting a multi-billion pound opportunity to grow the economy.

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[1] Annual Small Business Survey 2010, BIS

[2] A UK-based group representing entrepreneurs, networks, corporates and business representative organisations

Mentors Needed to Help with New Enterprise Allowance Success

September saw the launch of the Government’s much heralded New Enterprise Allowance Scheme, and there has been great interest in it across the West Midlands.

In the first month Business Enterprise Support Limited, who is delivering the scheme across the Mercia District and Staffordshire and Shropshire has already spoken to more clients than was projected, which shows the pent up demand in the system for support to aspiring entrepreneurs.

This of course presents its own challenges as clients have to be matched to volunteer business mentors.

Chief Executive Judith Kirkland at Business Enterprise Support Limited said ‘It’s encouraging to see so many business people volunteering their time to help our New Enterprise Allowance clients with their diverse business ideas. We appreciate that in the difficult economic circumstances that time is money, but mentors are already finding the experience rewarding, and some are finding that they might be building relationships with clients of the future.’

Mentors typically work with clients for 6 hours over an 8 week period to advise and guide clients through the all important business planning process, and once the business is up and running we continue to offer support to make sure the business is able to survive and thrive for the future.

Anyone interested in becoming a Volunteer Business Mentor should email marlan@enterprisesupport.org

New Events for August

KEEP WATCHING FOR NEW EVENTS FOR AUGUST…..

The Home Secretary has today told UK companies: ‘improve your organisation by helping more women to get into top jobs’.

The Home Secretary has today told UK companies: ‘improve your organisation by helping more women to get into top jobs’.

In a joint letter to FTSE 350 companies, Theresa May and Business Secretary Vince Cable have set out a strong business case for increasing representation of women in senior positions to at least 25 per cent by 2015.

Recent figures show that companies with more women on their boards were found to out-perform their rivals with a 42 per cent higher return in sales, 66 per cent higher return on invested capital and 53 per cent higher return on equity.

Davies’ report

Today’s letter follows Lord Davies’ review of women on boards, which suggests that companies should set themselves challenging targets to achieve 25 per cent female representation at board level.

The Home Secretary, and minister for women and equalities, said: ‘Giving women the opportunity to achieve their full potential must be at the heart of our approach to economic growth. The business case for increasing the number of women on boards is clear.

‘It’s about improving performance and having a board that reflects and understands its customers. The government will continue to encourage companies to set their own targets to ensure talented women can access top jobs.’

Code of conduct

This comes a week after the launch of a code of conduct for companies who help find and recruit individuals to fill senior positions.

The voluntary set of principles – recommended by Lord Davies – sets out how gender balance on the boards of top UK companies should be improved.

New statistics

Lord Davies’ published his review in February this year and, since March, 31 per cent of new board members were women.

In the same period, the number of all-male boards on the FTSE 100 has dropped to 14 (down from 21 in October 2010).

Opportunities for Business Mentors

Last year, the Secretary of State for Work and Pensions announced that the Government will give extra help to unemployed people who want to start their own business, through the New Enterprise Allowance (NEA). NEA is available to Jobseekers Allowance (JSA) customers who have been claiming for 26-weeks or more.

BES secured the contract for delivery of the NEA across Staffordshire, Shropshire & The Mercia District (Coventry & Warwickshire, Hereford & Worcestershire).

NEA participants have access to a Volunteer Business Mentor who will provide guidance and support as they develop their business plan, which must be completed within 8 weeks of their first appointment. Once the participant can demonstrate they have a viable business proposition with the potential for growth in the future, they will be able to access financial support up to £2,274.

BES are urgently seeking Volunteer Business Mentors across the region who are able to work with participants on the NEA programme in the Mercia District.  The quality of referrals from the Jobcentre Plus Agencies to date has been exceptionally high.  Many of the participants have worked all their lives, and since being made redundant are keen to pursue self-employment/business ownership opportunities.

Volunteer Business Mentors must ideally have experience of running a business, coupled with knowledge of the local business market and of the support available for new businesses.  There is no requirement for mentors to have mentoring qualifications.

For those involved in the delivery of this scheme, there are undoubted opportunities for future involvement on other BES projects and initiatives, as there are ‘many irons in many fires’ at present.

If you are interested in becoming a Volunteer Business Mentor on the NEA and would like to know more, please email kellym@enterprisesupport.org

Additional information for mentors.

New Enterprise Allowance Scheme – Information for Mentors

 

Jobcentre Plus (JCP) will identify interested and eligible clients.

 

Only those referred by Jobcentre Plus to Business Enterprise Support (BES) will be matched with a Volunteer Business Mentor.

 

BES must provide an initial assessment/ pre-screen of potential NEA customers that are referred to them by JCP within 5 working days of the referral date.

 

This will include an initial assessment of the customer’s self-employment prospects, their business proposition and growth potential and their overall suitability for the NEA programme.

 

If the assessment is positive, the client will be matched to a Volunteer Business Mentor to support them in developing their business plan.

 

If not, they will be referred back to JCP and signposted to other sources of self-employment support if that is considered appropriate.

 

BES must assign clients to Volunteer Business Mentors within 10 working days of their initial ‘sifting’ assessment.

 

Each client must have a mentor who works with them while they are preparing to become self-employed (the pre start-up period) and for a period of at least six months to support them in the early month of trading (the post start-up period). BES will provide post-start up support internally.

 

Once the clients have the initial 1-2-1 face-to-face meeting with their mentor they will have up to eight weeks to prepare their business plan for an approvals stage. The period from referral to business plan approval will be kept tight – up to 8weeks or less.

 

This period may be extended in some circumstances, where agreed by BES and Jobcentre Plus, but this will be subject to clients fully meeting benefit conditionality rules.

 

BES will monitor that Mentors are providing mentoring and business advice, including making an initial assessment of the customer’s business proposition, helping customers to prepare a business plan.

 

BES will provide on-going support (via telephone & email) for a minimum of six months once the client has signed off JSA and has begun trading –

 

Clients must have their business plans approved by the Mentors by the end of the 8^th week, and the client will need to demonstrate that their business plan is viable and has potential for growth.

 

Volunteer Mentors must ensure the required Management Information is captured for each client on the relevant project paperwork.

 

Although referrals will cease by the end of March 2013, there will be some rollover activity after that date. This will include, but not exclusively:

Pre start up mentoring for those who are referred before the end of March 2013, but are still developing their business plan; and

 

Post start up mentoring support for customers who are referred before the end of March 2013, who have had their business plan approved and are trading.

New Enterprise Allowance

BES are pleased to be working with Job Centre Plus in the Mercia District, to give extra help to unemployed people who want to start  their own business, through the New Enterprise Allowance (NEA).

NEA will be available to Jobseekers Allowance (JSA) clients who have been claiming for 26-weeks or more.

Participants will  get access to a volunteer business mentor who will provide guidance and support  as they develop their business plan and through the early months of trading.

Once a client can demonstrate they have a viable business proposition with  the potential for growth in the future, they will be able to access financial  support. This will consist of:

• a weekly allowance worth £1,274 over 26 weeks, paid at £65 a week for the first 13 weeks and £33 a week for a further 13 weeks, and
• if they need start-up capital, they may also be  able to access a loan up to £1,000 to help with their start-up costs.

BES are delivering the NEA contract across the Mercia District, which consists of the following Local Authority Districts:

Herfordsire, Redditch, Bromsgrove, Malvern, Worcester, Wychaven, Coventry City, North Warwickshire, Nuneaton & Bedworth, Rugby, Stratford on Avon, Warwick and Wyre Forest.

 

BUDDING ENTREPRENEURS -UPCOMING EVENTS

Experienced and qualified Business Link Advisers will be available and will be attending various venues and events across the region in coming weeks. You have an opportunity to come along and find out much more about what is available to you to help make a real positive difference in your proposed business.

These Business Link services are delivered by Business Enterprise Support Ltd in Staffordshire and Shropshire

Business Support

Starting your own business from scratch will be the most daunting prospect you will have to face.  Most people who start up in business do so because they have a good business proposition and the enterprise and commitment to see it through, not because they are experts in the legal and financial aspects of running a business.

Our team of experienced business advisers are on hand to guide you through all the questions you need answering:

• Am I making the right decision?
• How can I raise finance to get me started?
• Should I be a Limited Company or a Sole Trader?
• How do I complete a Business Plan?
• How do I work out my NI and Tax?
• Will the business be viable?

Statistics reveal a high percentage of new start up businesses fail in the first 12 months, with our advice and support the chances of your business succeeding improves beyond measure.  That’s where we fit in….

We will help you with all the key issues at the crucial planning stage – where to find finance, developing a business plan, completing your cashflow and survival budgets.  We will guide you on important issues such as whether you should be a Limited Company or trade as a sole trader.

Many obstacles you come across in setting up your business often seem daunting to a budding entrepreneur.  We will guide you step by step in the planning stages of the biggest decision you’ll ever make.  Bring us your business idea and we’ll help you to evaluate them in a constructive and realistic manner.