The role of the government in ensuring a sustainable environment for business owners can not be overemphasized.
Jordan Messoud, a United Kingdom-based entrepreneur and has explained that the government has a crucial role to play in reducing the country’s rate of unemployment.
According to him, a successful business helps to increase employment opportunities which automatically contributes to a country’s growth and development.
Government policies can either make or mar businesses but a good government should look forward to improving the situation of all business owners in the country by establishing the right policies to spike growth.
“There are many government policies that can be implemented to reduce the high spate of unemployment: It is easy to understand that successful businesses can help reduce unemployment. So It should be in the interest of the government to support businesses because this would have a direct impact on unemployment rates,” he said.
Messoud also mentioned that the government can also help provide funds in various forms to assist start-up businesses to gain their ground in the entrepreneurship space. I would personally say that the government can support “innovative start-ups” by increasing the finances available to them (Grants, Loans, and Disbursements).
Some businesses may need financial backing at their early stage so, I feel like there should be more funding available to help businesses survive through the tough times.
A new survey from Acas has found that nearly 1 in 5 employers (18%) are likely to make staff redundancies over the next year. This may be due to the lack of funding available.
“So therefore, new government policies can be put in place to help support small businesses from making staff redundancies which will then have a positive impact on the unemployment rates,“ Messoud opines.
Messoud also added that networking is a very important aspect that the government can take charge of to assist business owners by ensuring international business opportunities across the globe.
“Government Funding isn’t the only way to support businesses and decrease the unemployment rates there are a few other policies that can be put in place, such as helping entrepreneurs access networks, good networks help businesses grow. For example, Trade Missions abroad allow businesses to expand and explore international business opportunities,” he said
Another important aspect he pinpointed is the tax rate issued by the government on all business owners. To him, the rate of VAT has always been a major setback for small businesses in the UK.
“This may cause some customers to not purchase the product or service. A reduction in customers will = a reduction in profit which can then cause a reduction in the workforce needed which will spike up the unemployment rates,” he added.