Since the year 2000 there has been a 55% increase in the number of UK micro-businesses. The sector is booming and now it’s the second biggest employment sector, employing 8.4 million people. The economy is changing, yet too many people still talk as if all small and medium businesses of up to 250 staff are in the same category, with the same needs.
We believe micro-businesses, officially recognised and defined by government as firms employing 9 staff, are a hugely important part of the British economy. Encompassing freelancers, the self-employed and smaller businesses it’s time their unique strengths and challenges are more widely recognised and supported.
Everything we do at Crunch Chorus is about championing the huge importance of micro-businesses. Not every company can nor should become a multi-billion pound gorilla. We don’t all want to be the next Google. Running a successful one-person or five-person company is a valuable contribution to our economy. So we are changing the debate to value the diversity of micro-businesses. Micro-businesses matter.
In particular we are calling for government to consistently consider the specific impacts of policy changes on micro-businesses. Too often impact analysis published by government departments looks at the business sector overall or ‘the economy’, failing to recognise the distinct needs of the self-employed and micro-businesses. Despite recent progress in getting micros recognised in the Making Tax Digital impact analysis there’s more work to do.