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Federation of Small Businesses

The Federation of Small Businesses (FSB) is a UK business organisation representing small and medium-sized businesses.
Federation of Small Businesses
Leadership team

Julie Lilley (Chief Executive Ofiicer)

Martin McTague OBE (National Chair)

Melanie Ulyatt (National Vice Chair Internal Affairs)

Tina McKenzie MBE (National Vice Chair Policy and Advocacy)

Headquarters
Blackpool, England
Region served
UK
Year stablished
1974
Summary

The Federation of Small Businesses (FSB) stands as a stalwart advocate for small and medium-sized enterprises (SMEs) across the United Kingdom. Established in 1974 under the name National Federation of Self Employed (NFSE), it transitioned to its current identity in 1991. Registered as The National Federation of Self Employed & Small Businesses Limited, the FSB operates as a member-led, not-for-profit, and non-partisan organization, representing the interests of small businesses and the self-employed. With a commitment to amplifying the voices of SMEs, the FSB engages in lobbying efforts at various levels of government, including UK-wide, national, local, and devolved administrations.

At the heart of its mission, the FSB aims to provide invaluable support and resources to its members, facilitating their growth and success in a competitive business landscape. Recognizing the diverse needs of SMEs, the FSB offers a comprehensive suite of benefits, ranging from round-the-clock legal advice to access to free business banking services. Through these offerings and its lobbying endeavors, the FSB serves as a vital ally for small businesses, empowering them with the tools, knowledge, and representation necessary to navigate regulatory challenges and thrive in the dynamic economic environment of the UK.

History

The Federation of Small Businesses (FSB) traces its roots back to 1974 when it was originally established as the National Federation of the Self-Employed (NFSE) by Norman Small. Small founded the organization in response to the introduction of Class 4 National Insurance contributions, which imposed additional taxes on self-employed individuals and small business owners. The NFSE quickly gained momentum, with Small inviting those affected by the new tax to a meeting in Lytham St Annes, where he proposed the creation of an organization to represent their interests. Similar meetings were held across the country, leading to rapid growth, with the NFSE attracting 25,000 members within nine months, and gaining approximately 200 new members each day.

Over the years, the NFSE evolved to become the Federation of Small Businesses (FSB), reflecting its expanded focus to advocate for the interests of small and medium-sized enterprises (SMEs) in addition to self-employed individuals. This transformation culminated in the adoption of the new name in 1991. Since then, the FSB has played a vital role in championing the needs and concerns of SMEs across various sectors.

In its early years, the FSB operated through a network of 184 branches organized into 33 regions, each with its own committee. A national committee, comprised of representatives from these regional committees, provided overarching governance. However, in January 2018, the FSB initiated a modernization program, transitioning from elected branches and regions to a new election and selection process aimed at streamlining operations and enhancing governance effectiveness.

In addition to structural changes, the FSB underwent a branding overhaul in November 2015, adopting a new logo and redesigning its website to reflect its commitment to modernization and relevance in the digital age. Despite these changes, the core mission of the FSB remains unchanged: to champion the interests of small businesses and entrepreneurs across the UK by advocating for supportive policies and providing essential resources and support to its members.

Goals and Purpose

The Federation of Small Businesses (FSB) is dedicated to serving as a comprehensive and inclusive representative body for the entire small business community across the United Kingdom. With the goal of being fully representative of this diverse landscape, FSB works tirelessly to ensure that all voices within the small business sector are heard and represented in decision-making processes. By fostering a strong sense of community among its members, FSB provides invaluable support, advice, and practical solutions to address the unique challenges and opportunities faced by small businesses on a daily basis.

In addition to supporting its members, FSB actively advocates on behalf of small businesses and the self-employed, amplifying their concerns and priorities to governments and key decision-makers. By providing a powerful and unified voice, FSB influences policy discussions and legislative measures to create a more conducive environment for small business growth and success. Through strategic advocacy efforts, FSB aims to shape policies that promote entrepreneurship, innovation, and economic prosperity, ultimately driving positive change for the entire small business community.

Furthermore, FSB is committed to ensuring the financial sustainability and longevity of the organization, thereby safeguarding its ability to continue serving its members effectively in the future. By maintaining a prudent financial climate and prioritizing the best interests of its members, FSB aims to provide long-term value and stability while remaining adaptable to the evolving needs of the small business sector. Through its corporate objectives, FSB remains steadfast in its mission to empower and champion small businesses across the UK, driving forward positive change and creating a supportive environment for entrepreneurial success.

Impact

The Federation of Small Businesses (FSB) plays a pivotal role in advocating for the interests of the self-employed and small business owners across the UK. Through its grassroots campaigning efforts, the FSB aims to promote and protect the rights of small businesses, offering them the support and guidance they need to succeed in today's competitive market. With a focus on influencing critical policy decisions in government, the FSB provides specialist advice and guidance on various topics, including HR, insurance, and financial management. Additionally, the organization hosts virtual events tailored to the needs of small business owners and sole traders, fostering networking opportunities and knowledge-sharing within the community.

Over the years, the FSB has achieved significant milestones in its advocacy efforts, securing policy changes that directly benefit small businesses. Examples include securing a reduction in business rates, freezing the VAT threshold and fuel duty, and advocating for reforms to address late payments to small businesses. The FSB's successful campaign to exclude small businesses from the IR35 extension and its efforts to secure funding for the Future High Street Fund demonstrate its commitment to supporting the growth and sustainability of small enterprises.

The benefits of joining the FSB extend beyond policy advocacy, encompassing a range of practical support services designed to assist small business owners in navigating challenges outside their expertise. Members gain access to legal, tax, and HR expertise, as well as financial products and support. From protection in the event of a tax inspection to advice on legal and HR matters, FSB members benefit from a comprehensive package of services tailored to their needs. Moreover, the FSB provides opportunities for local networking and business banking, enabling members to connect with peers, share insights, and access valuable resources for business growth and development.

FSB Awards: The FSB Awards recognize and celebrate the outstanding achievements of small businesses across the UK, highlighting their innovation, resilience, and contribution to the economy. These prestigious awards honor businesses of all sizes and sectors, from sole traders to established enterprises, acknowledging their commitment to excellence and entrepreneurial spirit. With categories ranging from Best Small Business to Young Entrepreneur of the Year, the FSB Awards provide a platform for businesses to showcase their successes and gain recognition within their communities and beyond. Winners of the FSB Awards receive valuable publicity and exposure, helping to raise their profile and attract new customers. 

References
Federation of Small Businesses
Leadership team

Julie Lilley (Chief Executive Ofiicer)

Martin McTague OBE (National Chair)

Melanie Ulyatt (National Vice Chair Internal Affairs)

Tina McKenzie MBE (National Vice Chair Policy and Advocacy)

Headquarters
Blackpool, England
Region served
UK
Year stablished
1974