The network for enterprise support professionals highlights barrier for start up and established businesses

ACT, the network for enterprise support professionals, has added its thoughts to the growing debate on broadband inconsistency and its effect on start up and growing small businesses - with a large number of rurally based business owners coming to ACT members in frustration over a poor quality broadband connection. 

The recently published ‘Autumn 2009 Online Business Index’ shows that 44% of online businesses are in rural areas. These businesses are providing a much needed boost to rural economies and generating income in a way that may be increasingly difficult or even impossible without the internet. However, the ACT network is hearing first hand that many of these rural areas are still dependent on slow and unreliable connections and this is a huge challenge to those entrepreneurs running a business or considering a start up venture in these areas.  

An ACT member who is hearing the concerns first hand is Val Robinson, Funding & New Start Manager at Furness Enterprise, an enterprise support organisation in Barrow in Furness, Cumbria. Commenting on the broadband situation, Val said: “We know from talking to our rurally based clients that access to broadband is now seen as an essential utility - both for those considering running a business as well as for existing entrepreneurs. It is important that our rural communities are not left behind, as access to broadband supports the growth of entrepreneurship in these isolated areas.”

With the rise of knowledge based businesses and home based enterprises, the internet is a vital tool, with online working seen as standard. However, digital exclusion and the quality of broadband speeds in rural areas are also leading to concerns about the future development of such businesses. The ACT network has questioned if these small or start up businesses can reach their full potential without a guaranteed high quality internet connection. 

Speaking of this issue, NFEA Chief Executive George Derbyshire said: ”There is a huge assumption that online working is available to everyone across the country, however, we know from talking to our rural networks specifically that the internet is not always accessible - to some of those who need it the most. Business owners face enough challenges in getting a business off the ground, and in today’s day and age, quality and accessibility of an internet connection shouldn’t be one of them.”

ACT welcomes the Digital Economy Bill’s commitment to offer at least 2Mb per second broadband across the country by 2012, but believes we need to go further and faster to ensure all our businesses have access to competitive broadband speed and availability. 

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For more information and case studies, or to speak to NFEA Chief Executive George Derbyshire about the issue outlined above, contact Hayley Williams, NFEA Head of Communications: 01234 831623 / hayley.williams@nfea.com

About NFEA

NFEA is the national enterprise network. Its members, drawn from local enterprise agencies and a wider range of enterprise support organisations, provide a range of services to new and emerging businesses including independent and impartial advice, training and mentoring. www.nfea.com

About ACT

ACT is the network for enterprise support professionals. Launched in April 2009 and managed by NFEA, ACT provides a unique network for like-minded professionals who offer advice, coaching, mentoring and training to those starting and running small businesses.  www.nfea.com/act