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Helping region's businesses through the economic downturn

02 January 2009

Businesses in the South West are increasingly seeking advice on cash flow management and effectively planning their way through the economic downturn, according to figures from Business Link and survey evidence from the South West RDA.

More than 900 businesses in the region have received intensive, one-to-one help from Business Link advisers since the end of October 2008 , with more than three-quarters of these being firms with nine employees or less and many thousands more businesses have accessed essential information online at www.businesslinksw.co.uk.

Top of the agenda has been the issue of cash flow and late payments, which is now becoming critical to many small businesses. This is followed by requests for advice on spreading risk associated with over-reliance on a one major customer and then effective business and staff planning.

Approximately one-fifth (18 per cent) of businesses state that cost of finance is their main cost pressure at present. Access to finance is an important consideration for competitiveness for 45 per cent of businesses.

The South West RDA is playing a key role in co-ordinating and managing a diverse range of support for more than 418,000 businesses in the region, with much of the work on the front line being done through its delivery partner, Business Link, which is funded by the Agency.

Stephen Peacock, South West RDA Executive Director of Enterprise and Innovation, said: "Our research shows that companies of all sizes and across a growing number of sectors are experiencing real difficulties or weakening confidence in the current economic climate.

The region's economy has made strong progress in the last decade and we are taking a lead in helping businesses through this difficult time, as well as planning for future growth, by simplifying and improving access to all of the business support products we invest in and implement as well as developing new initiatives.

This broad package of support includes coordinating the response to large companies in difficulty and timely advice and guidance, through Business Link, to help businesses manage through these challenging times."

Within the package being coordinated by the RDA, Business Link is offering a dedicated support package including a Business Health Check with an adviser, access to finance expertise, credit crunch presentations, finance clinics and guidance and events on how to survive and thrive in difficult times. There is also an online tool available to check the health of a business at www.businesslinksw.co.uk/healthcheck which can be accessed 24 hours a day.

Business Link is also able to offer advice on accessing to the RDA-funded Resource Efficiency Programme, specialist skills assessment and the Train to Gain service and analysis and information on new business opportunities and markets.

Ian Gent from Business Link said: "Business Link is providing a frontline service to help businesses already affected by the credit crisis and will also be on hand to provide guidance to help others take some essential action to help 'recession proof' their business. We are here to help businesses of any size or sector from across the region to get through these challenging times and would encourage them to get in touch."

Companies wishing to have a Business Link Health Check or interested in accessing the other initiatives being developed by the RDA, Business Link and other partners should contact: 0845 600 9966 or visit www.businesslinksw.co.uk

Ends

Notes for Editors

The South West RDA leads the development of a sustainable economy, investing to unlock the region's business potential. It is helping companies respond to the economic crisis and charts a course for recovery. The RDA is developing or expanding initiatives which include: establishing a Business Loan Fund; coordinating the response to large companies in difficulty; preparing for economic recovery.

Contact Details

Name: John Casey
Tel: 01208 77900
Email: john.casey@dca-pr.co.uk