3/30/2010 10:46:00 AM
Budget boost for SME dealers
The Chancellor’s 2010 Budget announcement has drawn a positive reaction from dealers that work closely with SMEs.
The key business support measures announced by Alistair Darling included £94bn of lending from Lloyds TSB and RBS for businesses, with nearly half going to small and medium businesses.
He also announced the creation of one organisation – UK Finance for Growth – to streamline the initiatives, and promised a further 15% of Government contracts will go to SMEs.
Another key initiative includes a tax reduction for over half a million small businesses.
As operators look towards the indirect channel as an area for potential growth, dealers working with SME customers are becoming increasingly important.
One distribution source said: ‘Dealers’ bread and butter is the SME market. They actively target that segment because they understand how they work.’
Dealers were also upbeat about the announcements. Savin Communications MD Vinod Zada said: ‘The biggest help will be an increase in lending from the bank, which I hope will lead to more connections.’
Uplands MD Paul Hooper said: ‘We actually had a post budget meeting in the operations office. It will immediately help our customers, and we will be prompting SMEs to think about the budget. This news will enable us to put a positive spin on the current climate.’
Paul Lappage, business development manager at Grapevine Telecom, said: ‘I think that anything that can be done in the current climate is a good thing. I do not think it will stimulate an increase in trade though, but it will have a stabilising effect.’