A new grant of £1.2 million will be made available to the ‘Get Mentoring’ scheme from the Small Firms Enterprise Development Initiative so it can enlist 10,000 business volunteers from SMEs, the Department of Business Innovation and Skills has confirmed.

This latest move comes in addition to the funding announcement for 5,000 mentors to support female entrepreneurs earlier this month, and will add to the 11,000 business mentors already available through the website mentorsme.co.uk.

The online portal – operated by the British Bankers Association – was launched in the summer to match mentors and mentees throughout the UK.

Business minister Mark Prisk said today’s new investment would “broaden the range of experienced people” available to mentor both entrepreneurial start-ups and established companies.

“Businesses tell us they want to get advice from other experienced business people and we know that those seeking support are more likely to succeed,” he said.

“Mentoring can deliver significant economic benefits from just a small commitment of time and resources. Building a relationship with a mentor can have a positive effect on your business, whether you are just starting up or are already established.”

A range of private-sector project partners including the Institute of Directors, British Chambers of Commerce, Federation of Small Businesses and the Forum of Private Business are providing further support and time contributions to the mentoring scheme, worth up to £3.7 million.

National chairman of the Federation of Small Businesses, John Walker, added: “Mentoring is an extremely useful tool for all firms, and we know that start-ups that receive mentoring support are more likely to survive.

“It is important that mentors come from all walks of life, including those that have ran successful small businesses, so that they can offer a wide range of experience from different sectors for businesses to get the best out of their knowledge."

The government’s new investment announcement comes in Global Entrepreneurship Week – seven days of events designed promote enterprise across the UK and internationally.

Taking part in a live web chat with the wider business community this morning, Mark Prisk said that a new programme, Business Coaching for Growth, would be launched in January to help up to 10,000 high growth businesses every year address barriers to expansion.

The minister maintained that the government was reducing red tape for small businesses, will be changing procurement rules to enable SMEs to bid from more government contracts, and would “hold banks to the Merlin agreement to increase lending this year.”