Branson’s bank to launch small business services

SIR RICHARD Branson has said that his new Virgin bank created from the purchase of Northern Rock will begin to rollout services to small businesses within 12 months.

Speaking at a press conference following his keynote address at the Global Entrepreneurship Congress (GEC) in Liverpool yesterday, the Virgin Group founder and chairman said that although his fledgling banking business was not yet offering products directly to business customers, they should “watch this space”.

“Over the next 12 months, we’ll be rolling out products which will benefit the small business customer.”

He added that the Virgin One account – a mortgage offsetting account that allowed people to make flexible monthly payments – was used by many people to start businesses.

“Within a few months, the Virgin One account will be back on the market again and we will be getting into lending for small businesses in the future.”

Sir Richard also reiterated his suggestion to government that an alternative form of government support should be available to young people who would rather to start their own business than go to university.

“If the government were to give the same loans they give to students to people who have got great ideas, manybe somebody like Virgin or other banks could match this.

“I think that would be a great way to start a new business. It could be that they go to university for 18 months and then they get the money for the remaining 18 months to start their business. Businesses don’t need an awful lot of money to get going.”

Sir Richard had earlier been interviewed about his career by Mike Southon – author of The Beermat Enterpreneur.

He had given the audience in the arena tips on everything from delegation through to marketing and customer service.

He also said that it was “important for entrepreneurs to get out and about to encourage the next generation”, and stressed the importance of motivating, inspiring and looking after staff.

“Never lose your temper, make sure you have the happiest company and everything is possible.”