Help for small businesses with new law

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Help for small businesses with new law

Those who wish to start a new business are to be given help from a law that went through on 26th March.

The Small Business, Enterprise and Employment Act 2015 was designed for businesses that desire to innovate and to grow, to offer support to the work of people in this country. This particular act is also a way for the UK to become a model setting for those who start to create a new company.

Ex Business secretary, Vince Cable, supported the new law, affirming the measures will help the many new companies to grow in Great Britain, where they will have monetary support, as well as making it less complicated for companies to export merchandise. The legislation, Cable added, will also be more difficult for those businesses that choose not to fall in line with the law. He said that, “in addition, the Bill means that there is no place left to hide and companies must play fairly, be it regarding zero-hour contracts for the company to conceal or through non-payment of the minimum wage.”

How does the law benefit small businesses?

The Small Business Act has 11 sections, which are intended to give assistance to SMEs. They are:

• Regulatory improvement
• Education and child care
• Finance
• Transparency of the company
• Public sector
• Filing necessities of a business
• Excluded directors
• Education assessment
• Employment
• Bankruptcy
• Pub codes

According to the data, there are approximately 5 million small companies in Britain, and the law will contribute to the growth of the business process. Business Minister, Matthew Hancock, believes the measures taken will help to deal with late payments. Hancock similarly agreed that the Small Business Act was the reason he entered the world of politics, and was heavily involved in the case.

Other measures in the act

Employers are going to be prohibited from mistreating zero-hour contracts, because the law stops employers using the exclusivity clause. This is sometimes taken to stop a person who wants to work for other employers that use, regardless of the fact they can’t provide any work themselves.
The full sum a boss can be penalised for underpaying their worker will be larger than before. Presently, the total is £20,000 as a highest fee, but this amount is going to rise to an amount of up to £20,000 for each employee.

For further information and news stories from the world of finances, visit The Cheap Accountant.

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