Cash-strapped businesses in Shrewsbury could be given a lifeline after a county MP compiled a step-by-step dossier on how firms can beat the recession.

The office of Shrewsbury MP Daniel Kawczynski has produced the 33-page document for small to medium-sized firms to learn how to apply for special grants, receive extra government support and even delay tax payments.

The Conservative  MP said that he was aware of a number of county businesses who had gone to the wall for the sake of just £10,000 because their cash flow had dried up.

He said that the new dossier entitled “Business Funding Options for Small and Medium Size Enterprises in Shrewsbury & Atcham”, could help prove the difference between survival and going bust during the global recession.

Mr Kawczynski added: “We have compiled a dossier covering of all the different areas of financial advice and support that local small businesses can apply for during the economic downturn.

“The reason we have done it is that although there are a lot of national organisations and money available to help, the Government has done a terrible job in letting people know about it.

“A lot of Shrewsbury businesses are not aware of the financial advice and support out there.”

In addition to the report, Mr Kawczynski’s intern Chris Rea has also produced a mini guide with the key information condensed onto an A4 sheet.

The report highlights schemes such as the Capital for Enterprise Fund which allows businesses to sell debt in exchange for equity, which may take many different forms including profit, and can raise anything between £250,000 to £2 million.

It also offers suggestions of how to raise finance through regional loans and equity based investment and advice on how to apply for grants.

The report includes information about Small Business Rate Relief which some small rural businesses can apply for of they are considered crucial to the community.

Mr Rea said there was also an important section about delaying tax payments to deal with temporary cash flow problems.

Copies of the report are available by by calling Mr Kawczynski’s office on (01743) 466477 or by e-mailing mail@daniel4shrewsbury.co.uk

By Russell Roberts