The government is taking action to cut the red tape surrounding small businesses, by cutting the amount of regulations businesses must adhere to.
Half of the 115 existing regulations on setting up and running a business are to be scrapped, merged or simplified after an announcement by Business Minister Jo Swinson.
There will be more freedom for new businesses when choosing a name, with previously restricted words such as ‘British’, ‘Group’, ‘Accredited’ and ‘International’ now allowed in business names.
Companies with less than 10 employees will also be subject to simplified accounting requirements, with relaxed rules on balance sheets and annual accounts.
Business Minister Jo Swinson said: “The Companies Act is understandably a complex bit of law. However, there are many areas where this has resulted in companies unnecessarily being tied down by red tape,”
“These changes are common sense and make business sense. We are determined to create a flexible business environment for companies to flourish in so they can compete globally and help grow the economy.”