Plugging the gap after Business Link disappears

The government's business advice service Business Link is to be closed down, reports Real Business. Apparently it will be replaced by an enhanced online service with call centre backup, but its regionally based business advisor services, currently funded by the soon-to-be-extinct RDAs, will go.

Interesting if unsurprising news, since there had been doubt over the future of Business Link for some time. Even voices within the last government, which had increased investment in Business Link, were starting to ask questions about the return on its £190 million annual budget.

There were lots of smaller arguments to be had about whether Business Link was doing the right things. Too much signposting? Too much advice-giving? Were individual advisors good, bad or indifferent? But ultimately, with deep public sector cuts now on the agenda, it simply isn't obvious why the state should remain involved in advising private businesses on matters not directly related to government.

So what happens next? Undoubtedly, confusion will reign for some time. Business Link has played a big role in sign-posting sources of help for small businesses, and in channelling funding to other support bodies, so there will be knock-on effects for others. The coalition government is now talking about Local Enterprise Partnerships between local authorities and the private sector, but as yet it's not at all clear what these bodies will do.

It will be interesting to see if the coalition can stick to its purpose and keep 'mission creep' in business support under control. After all, the time seems ripe for a fundamental shake-up. Let's not forget just how much the Web has changed things in the past few years, let alone since 1993 when Business Link was first established. There are now probably hundreds, if not thousands, of private organisations looking to support SMEs in a wide variety of ways.

Knowledge Peers is one of them and we think we have a pretty innovative approach. We don't want to be yet another middle-man or signpost. And we also think the way forward is not necessarily top-down forms of advice, but informal groups of business leaders who get together to share ideas and practical insights. In our experience, CEOs would rather learn from other CEOs than from government.

For more information about Knowledge Peers' Growth Companies Programme, click here

What do you think about the end of Business Link? We'd like to hear your comments.

Comments

[Jessica Figueras]

Another interesting story on Business Link via the BBC - questions being asked about the high cost of building and running businesslink.gov.uk: £105 million over three years!

http://www.bbc.co.uk/blogs/thereporters/rorycellanjones/2010/07/the_105m_website.html

[Dick Willis]

"There are now probably hundreds, if not thousands, of private organisations looking to support SMEs in a wide variety of ways." Is this supposed to invoke a sense of relief or horror?

I'm sure that some business link advisers are poor quality (as are some CEOs - some of whom are paid surprising sums of money!) others are fantastic. Certainly their current target regime, which enforces a huge case load rather than decent quality advice, serves no purpose but don't throw out all babies with the business advice bathwater.

My wife recently set up a small business. She doesn't want advice from a CEO (or me!), she wants advice from someone who can convey simple business essentials in straightforward ways and in manageable chunks. That's exactly what she's had from a local enterprise agency.