Tailored support to Scottish micro businesses would make it easier for them to hire staff and could lead to a "serious dent" in the jobless figures, a new report has suggested.

Micro businesses, which have fewer than 10 employees, make up nearly 94% of all businesses in Scotland and employ 27% of all private sector workers. However, the Federation of Small Business (FSB) says there is evidence that they are not recruiting as many people as they could.

In its report, entitled ‘Micros Untapped’, the FSB suggests bosses are put off recruiting by the perceived risks of hiring a new employee, as well as the practical difficulties involved. 

The FSB called on the Scottish government to create a fund, which could "provide a sustained source of HR support for micro-businesses who are planning to recruit".