Business Growth Strategy - Factors Driving Business Growth

The levers which can be pulled to help secure growth are limited. We will:

• focus our resources and efforts on controlling those factors that we have the most direct influence over; 
• work in collaboration with businesses, investors and regional government to use their powers to help us achieve our goals, and; 
• tactically design our interventions to minimise the impact of those negative factors we cannot directly control, whilst capitalising on the more positive trends which create opportunities for Walsall businesses. 

Factors Driving Business Growth 

There are five factors that could influence business growth: 

1. Economic Environment

Walsall has an industrial history and an inherited context that presents us with opportunities and challenges both today and into the future. The long-term reliance of the area on manufacturing jobs that have migrated overseas and the rising number of more insecure jobs that have come into their place are national trends that have impacted Walsall and many similar local economies. The more recent national trends in flatlining productivity, more adverse exporting conditions and falling levels of investment have also constrained our realistic horizons. This should not be a cause of despair or inaction. It simply means we need to work harder to focus on the factors of growth that can realistically affect and navigate Walsall towards the opportunities that come from the emerging megatrends shaping the global and UK economy. 

2. Supply of Land 

Most businesses need premises to operate from and expand into as they grow. Places that wish to attract and retain growth need to ensure the supply of land can meet the business ambitions and demands. Employers want certainty that they can easily access land quickly, so it is ready for occupation and provides access to markets. We have some influence on the supply of land through statutory planning powers, securing grants to address contamination and supporting infrastructure, managing council assets and through convening and coordinating developers. The allocation of employment land will be determined in the Local Plan and supporting activity by Walsall Council (and its regional partner, WMCA) will be required to influence and bring forward supply. This links to the Business Growth Strategy because of the importance of adequate land and premises in supporting business growth. 

3. Match of Labour & Skills 

A ready supply of suitably qualified and motivated staff is a critical factor in day-to-day business operations, and the capabilities of the workforce is an increasingly important factor that drives innovation and growth among businesses. Businesses need to keep adapting to stay competitive. That means the roles in which people are employed need to keep changing. The competition for talent, as well as the labour market dynamics of Walsall, can make it harder for businesses to secure the range of skilled labour they may require to grow. Much of the decision-making about education provision is also made by employers and training providers. Nonetheless, we do have some influence as we work in partnership with businesses and training providers, schools and colleges to try to better align the offer with the needs of employers and can support initiatives to help local people find, get to and stay in local jobs. Our Learning, Skills and Employment Strategy sets out the priorities for addressing this business growth factor and aligns with this Business Growth Strategy.

4. Levels of Investment

Finance is the life blood of any businesses’ growth ambitions. Relocations require substantial financial backing; start-ups need financial support to get to the stage where they can trade profitably; and changes to the way a business operates requires investment. The risks and complexity associated with assessing investment options (grants, loans and equity) and getting a business ready for investment can be burdensome and slow growth down. It is right that businesses fully understand the risks they are taking on, and there is an established marketplace of investors who are ready to step forward where they can generate a fair return. We are not positioned to significantly drive the investment market or directly supply risk-based finance to local businesses. However, we do have an important role to play (alongside regional support) helping businesses understand the options available to them and getting ready for investment. We can also improve our chances of attracting investors by showcasing the areas assets and plans, reducing the barriers to investing in Walsall and offering prospective investors an easy landing when they decide to arrive. 

5. Business Support and Ambition

The businesses, entrepreneurs and workers of Walsall have great potential to shape their own destiny and drive growth in the economy. We have an important role to play in setting a vision for growth, making the case for Walsall to investors, securing the support to stimulate businesses growth, and maximising the take up of support from local businesses. We can deliver, promote and convene stakeholders, investors and entrepreneurs behind a shared strategic plan for Business Growth.