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Government Promises Less Red Tapeby Stefan Töpfer on Jul 31, 2007Red tape can not only hold back the rate of growth of a business but can also curb the initiative of entrepreneurs. It is official now, red tape can and does hold back small businesses and they can become more efficient and effective if it is reduced, says the Forum of Private Businesses (FPB). In response to a recent report from the business enterprise and regulatory reform minister, John Hutton, the FPB commented that while the government did recognize the need for change in its ‘Next Steps to Regulatory Reform’ it also needed to take proactive steps to alter the existing rules.
By 2010 the government has promised to cut down red tape by 25%. Small businesses also need to focus on creating flexible working conditions that employees would benefit from and having an online office is the first step in this direction. The on-demand small business infrastructure approach is also an asset for any SMB. 
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