Helping micro businesses in Europe

The EU wants to help small businesses across Europe grow and show more innovation.

The reason is that some 23 million small and medium sized enterprises (SME) employ 67% of the private sector workforce and if just 50% of them employed one extra person that would create 10 million extra jobs.

One step the EU commission has initiated is a new initiative to speed payment of invoices, due to come into effect within the next 18 months.

The EU has now put in place a late payment directive providing a statutory right to interest 60 days after the date of an invoice, for example. But to work it must be backed by national legislation and less bureaucracy.The UK government has placed a moratorium on regulation coming out of Europe for the next three years.

But the British Federation of Small Businesses (FSB) remains worried about red tape originating in Europe, saying that 72% of the total cost of UK regulation now comes from Brussels. It said Brussels has enacted more than 100,000 pages of regulations since 1997, annually costing EU businesses an estimated £109bn. What do you think governments could be doing more about to help micro businesses growth and innovation?

About Wanobe, the business knowledge network
Writer, journalist and broadcaster, sixty-something David likes nothing better than being with family and friends, eating out and drinking great wines, and scuba diving.

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