The scheme will feature up to 40,000 business mentors from existing business backgrounds across the whole of the UK.
Cable claimed at the announcement that ‘businesses which receive mentoring are 50 per cent more likely to succeed and grow, than those which are started without the founders receiving this form of advice and support’
It is understood that those providing the mentoring will not be paid for their time, but will receive tax breaks for providing their time.
Mark Prisk, minister for business, added about the role of mentors in enterprise support when he spoke at the event that: “The grey hair is important”.
The Angel Investor Julian Ranger welcomed these plans, but also sounded a note of caution saying: “Vince’s new policy is excellent, but please don’t surround it with red tape – make it easy to understand and arrange, and publicise it well”
Ranger went on to say: “David Cameron and the Government must do more to support entrepreneurs, but so must the existing business community – Vince’s point on mentoring is a perfect blend – the business community doing the mentoring and Government providing the incentive.”
We will follow this announcement and bring you more once the details are known in more detail, but we did cover the initial stages of this announcement a few weeks ago regarding the tax breaks here: Mentors to be offered tax breaks in new business support plans