Small businesses are a major economic and socio-economic driver at a local, regional, and national level. When small businesses and the self-employed succeed, so do local communities and economies. At the Federation of Small Businesses (FSB), we see this every day in the work we do to bridge the gaps between small businesses and local authorities.
Here in Lancashire and Cumbria we’ve been out speaking with local authorities about what it means to become a signatory to our Local Leadership pledge and building a commitment to closer collaboration with small businesses.
‘Let me be clear, this is not about the FSB coming back to the council and holding your feet to the fire on a series of promises, but an opportunity to bring the voice of our members into the decision-making process, helping you to create policy that supports their development.’ Sitting around the table with the Leader and Economic Portfolio holder of a local council, it was clear that they understood the benefits of sincere engagement with their small business community and welcome our help to understand how to do that effectively.
We know that local authorities face significant pressures from reduced funding and competing priorities, but they have the power to bring key stakeholders together, and our representatives stand ready to play an active role in this, bringing their combined expertise and local connections.
Through our research we identified some key tasks that can make an immediate impact on how small businesses engage with their local councils:
- Engagement with small businesses and the self-employed – appoint a dedicated Small Business Champion and ensure that local authority representatives meet with small businesses, the self-employed and business groups regularly and at a time convenient to them.
- Net Zero – local authorities should set out a net zero engagement plan and should act as a point of contact for signposting businesses to better understand their role and the actions they can take in supporting net zero aims and ambitions.
- Employment and skills – Ensure that the needs of small businesses and the self-employed are well understood by actively engaging them in discussions and providing opportunities for educators and businesses to work together to address local challenges.
- Public Sector Procurement – raise awareness of public sector procurement contracts and encourage small businesses and the self-employed to submit tenders, ensuring that the application process is clear, simple and easy to follow with feedback provided on unsuccessful applications.
- Business Rates – Keep lists and data current, including properties which qualify for Small Business Rates Relief, and support eligible businesses in their applications for relief.
- Prompt payment – Ensure information is regularly updated on payment practices in relation to small businesses and self-employed suppliers. 30-days payment terms are the maximum for local authorities, paying on time is critical for small businesses.
These are of course only starting points; each local authority will have their own priorities and areas of focus which is where our local knowledge and business engagement can help tailor that response. That’s the beauty of the Local Leadership Pledge, we know that one size doesn’t fit all, and we work to ensure that it’s the voice of local small business leaders that shapes how support is delivered.
We’re expecting to welcome some new local leadership partners over the coming weeks and months, so keep an eye out for future announcements!
Interested to find out more? Download and read the full Local Leadership report here.