The FSB's 2010 Election Manifesto is a 'Must Read'

I am not a political person - and this blog was never intended to be anything but a simple 'how to' guide to credit management - but at the moment I find that the 'politics' of keeping SMEs alive and flourishing are being pushed under my nose so often and from so many reputable sources that I feel that I have no choice but to relay all the information I find or receive, even if I don't choose to comment on it.

My latest 'find' comes via the The Federation of Small Businesses .

The Federation has joined forces with the Institute of Credit Management to produce the FSB-ICM 'Voice of Small Business" Survey 2009. It has also produced something called "Small Business - Big Vote: The Route to Recovery - FSB 2010 Election Manifesto".

It isn't clear to me that the Institute of Credit Management has anything to do with the Manifesto, but be that as it may, the Manifesto is certainly worth a read.

TheManifesto runs to twenty pages.

'Promote Self Employment', Generate Opportunities for Youth Employment', Declare a Moratorium on Employment Regulation', 'Cut Payroll Taxes' and 'Stop the Repeal of Furnished Holiday Letting Rules' will only take you up to page 7, but I have to say that the Manifesto doesn't get any less interesting, informative and thought provoking until you get to page 18, which is lined page entitled 'Notes'.

However, and as the Manifesto is in pdf format - which means that you can print it off - the lined page is probably a kindly and thoughtful provision considering the volume of statistical and other information that preceeds it.

You can find the Manifesto by going to the FSB's Home Page and clicking on the 'Small Business - Big Vote article.

I"m not commenting - but I have to say that I found the contents of page 15 particuarly interesting and important. 'Small Businesses are not just part of the local community - they are the the local community' says it all, doesn't it?

Vote 'No' to An Increase in National Insurance Rates

The Forum of Private Business completed a snap poll of its members last week, and produced its results last Friday.

Unsurprisingly, nine out of ten smaller businesses were disappointed by last weeks budget - and more than two thirds of the members polled stated that they were expecting 'a more realistic budget' to be delivered after the General Election.

Eighty-seven percent of members thought that the Chancellor's budget would not increase business or consumer confidence - and the poll reflected widespread anger at the planned hike in National Insurance rates.

You can't do anything much about the Budget - save to vote for a party that will produce another, hopefully less political and less cynical one - but you do still have time to say 'NO' to the proposed rise in National Insurance Rates by signing the Petition . You can find more information about the Petition on the Federation of Small Businesses website - which, incidentally, is a good, informative, place to wander around in when you have the time.

Please take the time to sign the Petition today. Given the numbers of people who are unemployed at the moment, and its potential effect upon them, the one per cent raise in National Insurance rates is a thoroughly disgraceful idea - and never mind that it isn't scheduled to come into effect until April 2011. This is a tax on jobs - and it's going to mean fewer jobs, slower recovery, and yet more people having to sign on.

Sort Code Checker Relaunched

The on-line Sort Code Checker has been relaunched, and now covers BACS, CHAPS, cheques and paper credits as well as Faster Payments.

By inputting the sort code of the account to which the payment is to be made, customers can see whether that account can receive a Faster Payment, BACS credit or CHAPS payment - or whether a Direct Debit can be set up, or a cheque or paper credit can be paid into the account through the clearings.

The Sort Code Checker was originally developed to help customers see whether the account they wanted to send a payment to was linked in to the Faster Payments service which was launched at the same time. It has proved very popular - and is obviously of great benefit to businesses looking to avoid or prevent any possible delays to a payment or the registration of a new customers' Direct Debit details.

The Checker stores all of the UK's sort codes, and is regularly updated to ensure that data is current. You can find the Sort Code Checker at UK Payments .

How to Get a Lot For Not a Lot

Going back to the benefits of joining the Forum of Private Business , I find that the FPB has partnered with F A Simms & Partners , an independent business rescue and insolvency practice, to provide members experiencing financial problems with a free, confidential helpline to get independent, professional advice.

Yes - you did read that correctly. The helpline is FREE to FPB members.

The more I read about the FPB and its services to its members, the more impressed I become - particularly considering the more than reasonable amount it costs to join the Forum! It really is worthwhile taking the time to investigate their site thoroughly.

The Budget - Forget the 1p Here and 3p There, and Consider the Knock-on Effect

The 3p fuel duty rise is due to phased in - a penny at a time - between April this year, and January 2011.

It will immediately impact upon haulage firms, delivery companies or any company that runs a fleet on its own behalf, taxi and bus companies, and small businesses that rely on their own transport to stay in business - like, for example, plumbers, painters, and building contractors.

All of those firms will be paying at the pump, and all of them will have no choice but to pass on those extra pennies to the customer - and that means you! - not once, but three times, over a very short period of time.

And, of course, you'll be paying at the pump yourself if you drive a car for any reason at all.

You'll also, by the way, be paying at the pub - if you can find one that can still afford to stay in business.

A penny here and three pennies there? Doesn't sound too bad until you consider the knock-on effect, does it?

Cynicism - Or Common Sense?

Research undertaken recently by the Forum of Private Business shows that barely a fifth of SMEs believe that the upcoming Budget will have a significant impact on their businesses (only twenty-two per cent are factoring it into their plans for 2010)and that even fewer (nineteen percent) consider that the general election will affect their plans.

According to Thomas Parry, the Forum's Research Manager, most SMEs are more concerned with running a business in a struggling economy than considering the potential effects of a Budget that may well be followed by another Budget straight after the election. Mr.Parry remarked that "I think there's a certain amount of cynicism about this year's budget and this research reflects this."

Personally, I think that common sense rather than cynicism may be the factor behind the 'who cares' and 'what difference' attitude revealed by the research. Whichever party inherits 'the mess', the major concern for SMEs will be to stay in business - and staying in business is therefore what they are (very sensibly!) concentrating on.

What effect that will have on voter turnout is, of course, another matter altogether...

About Those Accounts - And the Fact that You Need to File Yours

A couple of days ago, I mentioned that MEPs have approved changes to European Union Rules, and that - if the UK decides to accept the exemption - many SMEs will be exempt from drawing up and lodging Annual Accounts.

I think it worthwhile to add a link here to the Institute of Credit Managements' comments on this proposal .

Please take the time to follow the link and read the the Press Release because it really says it all.

SMEs need to provide relevant and up-to-date information if they are to get credit. And the more information they can provide, the more likely they are to get the credit they need.

Giving - and sharing - information is very, very important. Which is why this proposal is, as the Press Release states - utterly absurd.

Fast On-line Credit Reports -

Credit Risk Manager is a new initiative of Graydon International, which is a subsidiary of the Graydon Group. The Group is owned by Atradius, Coface, and Euler Hermes - and I learned about Credit Risk Manager where I learn about a lot of other useful things; it came in from a member of the one of the Groups I belong to on LinkedIn .

Credit Risk Manager is a fast way of ordering an on-line business credit report - and according to its website, if a Company isn't in its database, a fresh investigation can be ordered. That isn't instant, and it isn't free - you can have normal speed (12 days maximum) or something called 'super flash' (5 days maximum) - but the fact that you can have such a report from such a reputable provider is worth bearing in mind.

Read your way through the website - you might, as they point out, be able to: "Save yourself money and get a good night's sleep."

By the way: joining LinkedIn is free. Joining the Credit Groups you will find there is free. And getting information there is free, too. It might take up half an hour of your time to sort yourself out on LinkedIn - but it would be a well-spent half hour.

Don't Be Tempted Not to File Your Accounts!

MEPs have approved changes to European Union Rules, which - depending on whether or not the UK chooses to adopt the exemption - may mean that small companies may be exempt from drawing up and lodging annual accounts. MEPs believe that this will 'cut red tape' and 'save very small firms around a £1,000 in accountancy and audit fees'.

Gosh! As much as that!

£1,000 in accountancy and audit fees is peanuts in comparison to the sums you could lose by not filing your accounts - and, incidentally, by failing to take advantage of the credit management tools that are available to to you and making as much information about your Company and its financial status readily available to everyone who needs it.

As Philip King the CEO of the Institute of Credit Management tweeted a couple of days ago: "less info = less credit = less growth".

This mad proposal may be adopted by the UK. Don't accept it at face value as an opportunity to save money and cut down on overheads. Think "less information=less credit=less growth" and look for the tools that will allow you to give more information more easily, get more credit, and grow.

Beware of 'Cowboy' Rating Surveyors

The Valuation Office Agency's website seems to be down this evening - but both that organisation and the Forum of Private Business are warning people to beware of 'cowboy' rating surveyors attempting to profiteer from the recent rates revaluation.

LeaseholdersUnited provides an on-line service designed to help SMEs keep their property costs down - and they publish a list of 150 genuine rating surveyors with at least a one in three success rate at appeal. You can view the list for free on its website.

'Cowboy' rating surveyors tend to 'cold call' businesses. If you are unhappy with the Valuation Office Agency's assessment of the rateable value of your business, and need help to appeal, then you would be best advised to choose someone from the list provided by LeaseholdersUnited.

Savings - if any! - made by cold-calling 'cowboys' tend to be minimal, and are often far exceeded by their fees.

Incidentally, Leaseholders United can help SMEs with many other aspects of property costs - rent, for example, or service charges and claims for Small Business Rate Relief. Their membership fee is £100 a year - but membership of the Forum of Small Business includes discounted access to Leaseholders United's on-line services.

I appreciate that you probably don't have much time to spare - but really is worth spending some of it checking out the two organisations I've mentioned here. They could save you a lot of money and a lot of grief.

The Cut-off Date to Appeal Against Business Rates Set in 2005 is March 31st Next

If you believe that your Company has been charged too much for rates since the last revaluation on March 2005, you have until the 31st of March next to appeal.

There are two main grounds of appeal:

• If you can show that you are paying more than neighbouring properties, then you can appeal.
• Alternatively, you will need to show that there has been a 'material change' in the surroundings of your business and that that change has had a detrimental effect on trade.

This latter might be due to a change in the size or use of your premises, a high proportion of empty shops in the near vicinity, streets being closed off due to roadworks, or new traffic systems which have effectively directed trade away from your location.

To learn more about what neighbouring premises are paying, go to the Valuation Office Agency where you will be able to find out what neighbouring premises pay and whether they have appealed against the amounts set for them.

Making an appeal is free of charge - but the burden of explaining what you believe is wrong in the valuation will be down to you. It's therefore important that you do some research at the Valuation Office Agency, and understand how your business rates have been calculated and why you believe the calculation to be wrong before you make the appeal.

CreditWho?

The Institute of Credit Management will shortly be launching a new on-line Business Directory through which a range of cashflow services can be promoted.

The purpose of the new Directory is to provide information and links to businesses, services and products and create a reliable and trustworthy resource to which businesses can turn when they need help in a particular field.

The Institute says that it will not be vetting those promoting services on the site, but it will be insisting that participating providers belong to their own respective trade associations or professional governing bodies.

Watch this space!

Cheque Payments to H.M. Revenue and Customs

As of April 1st this year, all cheque payments made to HMRC by post will be treated as being received on the date when cleared funds reach HMRC's bank account.

The change does not affect payments made by Bank Giro, but if you are still paying by cheque and by post, you will need to ensure that you allow enough time for the payment to reach HMRC and clear by no later than the due date shown on the invoice.

There is (need I say it?) a surcharge for late payment.

It's worth remembering, incidentally, that electronic payments give firms up to 7 extra calendar days to pay - and that payments by Direct Debit provide businesses with at least 10 extra calendar days to pay.