Helping hand can save a struggling business

By PAULA OLIVER

When his wife of 30 years left him, all he wanted to do was shut the doors of his troublesome business forever.

Feeling like many other small business owners, the Christchurch employer of seven was about to throw in the towel - a move that would have had an enormous impact on his staff and their families.

Instead, he made a plea for help from a mentor scheme known as Business in the Community. Before he knew it someone was at his side, his old enthusiasm was flooding back and business was turning around.

Business in the Community chief executive Sarah Trotman says the 270,000 small businesses in New Zealand are absolutely critical to the rest of the country, providing a huge percentage of new jobs and the backbone of the economy.

If you walk out the door and ask the next 10 people you see how many people they work with, she says, most will say fewer than eight.

But running a small business is a lonely experience, where things can go wrong and it is hard to know where to turn.

Ms Trotman says the Christchurch man's story is a common one among the thousands she hears in a year, from people who are either struggling to cope with their business or want to expand it and don't know how.

A common problem among those struggling is a lack of accounting skill and planning, while those who want to expand often don't think far enough ahead.

Putting an experienced mentor in can make all the difference.

"You can't talk to your staff about your problems because they are often quite serious and financial," she said. "I think people really underestimate the impact a mentor can have on a small business."

Business in the Community is a charitable trust organisation running on a budget of $1 million a year, offering mentors free of charge to people in small business.

Supported by private-sector patrons, the programme has come into contact with 25,000 small businesses and directly mentored 3000 last year. Since 1996, client numbers have soared.

Many of the patrons giving cash to the programme also offer senior executives as mentors. Others come from successful small- or medium-sized businesses.

The mentors are handpicked by Business in the Community, which seeks listening skills, experience and empathy.

Ms Trotman says many are flattered to be asked for advice.

Working tirelessly behind the scenes of the organisation is Sir James Fletcher, who believes that a vibrant small-business sector means more employment opportunities and a healthy business environment.

With a diverse mentor database of 1200, Ms Trotman says her programme has every area covered - IT to human resources, from Bluff to Northland.

A business must be at least six months old and employ fewer than 25 people. Meet those requirements and a mentor will be matched and sent to the premises.

* Business in the Community's contact number is 0508 103 400.