Small businesses were given a huge boost in the budget speech delivered by George Osborne on Wednesday.
The chancellor’s announcements detailed plans for commercial stamp duty reforms to help smaller businesses, as well as plans to increase the tax relief threshold by a massive £9,000 per year, from £6,000 to £15,000.
This is undoubtedly great news for smaller businesses currently struggling to prosper under the current business tax structure.
Osborne said: “It’s a permanent long term saving for all businesses in Britain. A typical corner shop in Barnstable will pay no business rates, a typical hairdressers in Leeds will pay no business rates, and a typical newsagents in Nuneaton will pay no business rates”.
Small Businesses Given Huge Boost in Budget Speech
This element of Osborne’s statement has proven to be a huge boost for smaller businesses across the country. Thousands of firms will no longer have to face the struggles of tackling those crippling business rates, that in many cases have stunted growth.
Smaller businesses will now have greater freedom to invest in their own futures, meaning products like merchant loans will be far easier to service. Growth, or rather the ability to grow, is a vital ingredient in a prosperous economy.
Many small UK businesses are turning to alternative business finance to fund their desire to grow, and a merchant loan is a great way to achieve this.
The threshold increase will give shops, bars, restaurants and many more the financial flexibility needed to obtain alternative finance for the purposes of growth.
Overall the messages is positive, and the next few years are set to be the strongest yet for smaller UK businesses.