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The Federation of Small Businesses (FSB) has made its award for the Small Business Champion of 2007.
The FSB said the award was designed to "celebrate and recognise the achievements and importance" of business start-ups and other small firms.
Animal hutch-maker The Happy Hutch Company, run by Graham Barnard, won the top prize at a gala dinner in London this week.
Mr Barnard was awarded £10,000 prize money, a £5,000 charity donation on behalf of the FSB - and £20,000 worth of advertising for his company in "Business Network" magazine.
He said: "It has taken five hard years to get this far. It was very hard to find anyone to help or back me but I had two things you must have - self belief and a family that helps and backs me all the way."
Mr Barnard also added: "I have never done this thinking I would get rich - I do it because I love it."
The company formation of Happy Hutch took place in 1999. It now operates out of a 10,000 square foot factory, employing 11 staff.
John Emmins, recruitment chairman at the FSB, said: "The Happy Hutch and Graham Barnard in particular deserve our warm congratulations.
"Graham demonstrates the drive that a successful business person has to have - he took it on himself to create this firm and hes made a stunning success out of it."
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