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News release


2 February 2009

City of London Corporation bolsters SMEs in City fringes

City of London Corporation launches six new projects to add to existing SME business support activity

As the economy toughens and small and medium sized enterprises (SMEs) face increasingly new challenges, the City of London Corporation has unveiled six new supply chain business support projects to help SMEs in the City and City fringes secure business. These initiatives will add to the City of London Corporation’s existing wide ranging programme of SME business support in operation in the City and the surrounding boroughs[1].

The new business support projects have been launched in response to research published in September 2008 on ‘The City of London’s Supply Chain and its relationship with the City fringes,’ jointly commissioned by the City of London Corporation and the City Fringe Partnership. This research found that the City fringes’ SMEs could improve their share of City expenditure from the current 4% to as much as 13% of the City supply chain.

Stuart Fraser, Chairman of Policy and Resources Committee, City of London Corporation, says, ‘Small and medium-sized businesses tend to rely on one or two main clients which can leave them extremely vulnerable. We’re working to nurture the business pipelines of SMEs in the City fringes and simultaneously allow them better access to business growth opportunities on their doorsteps. Local SMEs in the supply chain benefit purchasers in terms of the range, diversity, flexibility and innovation of offerings.’

John Wright, Chairman of Federation for Small Businesses, says, “We are delighted that the City of London Corporation is working to support local small businesses with its SME business support activity. This mirrors our Keep Trade Local campaign which calls for measures to support independent businesses in supply chains and sustain the high street. “Small businesses are as important in the Square Mile as in the outer suburbs of the capital. The City of London Corporation’s supply chain business support projects, as well as advisory, workspace and financial support will provide opportunities for small businesses to prosper in this economic climate.”

Local procurement

Following the publication of the research, ‘The City of London’s Supply Chain and its relationship with the City fringes,’ City of London Corporation launched a Local Purchasing Strategy Toolkit to assist City businesses in sourcing local personnel, products and services, targeting the areas classed as some of the top 10% most deprived boroughs in the UK including Tower Hamlets, Lambeth and Camden. As well as offering working groups for City businesses wishing to buy locally, the City of London Corporation has launched a seminar series for City businesses which will cover all procurement agendas from supplier diversity to both green and ethical procurement.

Supply chain business support projects

To support local SMEs’ role in the City’s supply chain, the City of London Corporation is funding six new supply chain business support projects which will form a 15 month-long programme of activity including: programmes focusing on quality and management assistance; one-to-one sessions with business counsellors; seminars improving SMEs knowledge of the tendering process and workshops covering quality assurance, environmental, and health & safety policies. This will culminate in a large scale ‘Meet The Buyers’ event scheduled to take place in March 2010 in which 125 tender-ready SMEs in the City fringes will meet over 30 City businesses and their outsourcing firms.

SME accounts payable system

In November 2008, the City of London Corporation acted to support the Government initiative to shorten the remuneration period for SMEs and reduced its payment terms on the accounts payable system for any suppliers understood to be SMEs to 10 days.

SME finance

With publicly backed finance playing a critical role in promoting the development of SMEs, particularly within deprived communities, accordingly since 1999, the City of London Corporation has invested £8.5m in SME loan funds.

SME workspace initiative

The City of London Corporation works in partnerships to make certain properties with affordable workspace and flexible leasehold opportunities available for let to SMEs. The major SME Workspace Initiative increases the amount of space for SMEs available in the City fringes and beyond by identifying opportunities for investment in premises and sites. Two developments have been completed to date: 1 Alie Street, a former Bank of America property in Tower Hamlets and now a high spec office space for SMEs in financial services and ‘City support’ sectors; and Waterhouse, an energy efficient, eco-friendly office space in the East End for creative sector businesses. For more information, please email partnerships@cityoflondon.gov.uk

Gateway to London

City of London Corporation contributes £20,000 a year to Gateway to London, a public/private sector partnership which aims to encourage investment and business expansion projects in the Thames Gateway Region. As well as promoting the benefits of the region to investors, Gateway to London provides businesses with a wide range of advice and guidance about relocation to the area. For more information, please visit www.gtlon.co.uk

GLE oneLondon

Every year, GLE oneLondon supports 5,000 new and early-stage businesses and entrepreneurs in under-served communities with finance, training, advice and mentoring. City of London Corporation makes an annual contribution of £25,000 towards GLE oneLondon’s business support activities and, in 2007/8, funded the delivery of the Community Outreach Project in Stockwell, North Lambeth which explored self-employment as a route out of unemployment. For more information about GLE oneLondon, please visit www.gle.co.uk/onelondon

Inward investment services

The City of London Corporation Inward Investment team provides free general advice and assistance for SMEs as well as larger businesses looking to set up in the City and surrounding fringe boroughs. This includes financial services expertise, identification of suitable office space, contacts and connections to help identify professional services such as accountants, lawyers and suppliers, research. For more information, please email inward.investment@cityoflondon.gov.uk

City Property Advisory Team

The City Property Advisory Team aims to ensure that SMEs and larger businesses find and retain premises in the City and fringes most suitable for their needs. The team provides a general point of contact for estate, facility and property managers to advise on key issues such as infrastructure and streetscene and has detailed knowledge of upcoming building developments, all of which is provided on a free of charge and confidential basis. The team will also arrange briefing meetings on major works and events happening in the City which may affect occupiers. For more information, please email cpat@cityoflondon.gov.uk

Ends

For further information, case studies or quotes, please contact Rain UK - rosalind Jeffcoat or Neil Cassley on 00 44 (0)20 7222 4345 or email rosalind.jeffcoat@raincommunications.co.uk

Notes:
For more information about the City of London’s SME support programme, please visit /Businesssupport or see below.

The City of London Corporation
The City of London Corporation is the “business authority for the business district” and supports the international financial services industry based in the UK, with its heart in the Square Mile. It provides local authority services for the Square Mile but also works across wider London and UK.

The City of London’s Supply Chain and its relationship with the City fringes,’ September 2008

Local Procurement
For more information, please visit the local procurement pages.

www.cityoflondon.gov.uk/Corporation/LGNL_Services/Business/Tenders_and_contracts/local_procurement.htm

Supply Chain Business Support
For individual business support projects, please visit: ·

SME Workspace Initiative
For more information, please email partnerships@cityoflondon.gov.uk

Gateway to London
For more information, please visit www.gtlon.co.uk GLE oneLondon For more information about GLE oneLondon, please visit www.gle.co.uk/onelondon For more information about the Lambeth Community Support Project, please email liam.h@gle.co.uk, Senior Business Adviser, oneLondon South Central.

Inward Investment Services
For more information, please email inward.investment@cityoflondon.gov.uk

City Property Advisory Team
For more information, please email cpat@cityoflondon.gov.uk

 [1] Local Procurement; Supply Chain Business Support Projects; SME Accounts Payable System; SME Finance; SME Workspace Initiative; Gateway to London; GLE oneLondon; Inward Investment Services; and the City Property Advisory Team.


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