What do Australia's small businesses want from this year's budget?

What do small businesses want from this year's federal budget?

The government will extend the instant asset write off for businesses with a turnover up to $10 million for purchases of up to $20,000

The government will extend the instant asset write off for businesses with a turnover up to $10 million for purchases of up to $20,000 Source: AAP

When , a small business sweetener seemed to be on the budget table.

"Watch this space, we're working through, the answer is yes, it will be," Mr Laundy said.



Businesses have a growing wishlist for this year's budget, SBS News spoke to some small business owners who detailed what they were hoping for on Tuesday. 

John Carias is an SME accountant he told SBS News his clients would like to see an extension of the off which is due to end of the 30th of June.

"We had one person who is in event management, buy a 3D printer which he wouldn't ordinarily have bought, and that generated five-fold worth of income into his business, that's ideal, that's exactly what you'd want to see happen."

With 15 employees, Mr Carias is a small business owner himself, based in the Sydney suburb of Zetland.

He said access to affordable high-speed internet is a problem for him. 



"This particular building, doesn't have access to the NBN. Yet it's a five star rated building, so there's complications associated with that, and for me to connect here for argument's sake, is tens of thousands of dollars to get the pipe into the building, and then very high monthly costs, that's a disincentive straight away."

Eva Hussain, a medium-sized business owner based in the Melbourne suburb of St Kilda, agrees.

"So we might have to consider moving offices for example to have better internet speed."

Ms Hussain runs a language translation services company called Polaris, employing 30 people.

A reduction in red tape and compliance is also high on her list and she wants the government and its services to be even more accessible.

"It is hard to find information and information that is written in plain English that people can actually understand."

Johnathon Miller, Managing Director of Bit Trade wants more spent on research and development.

"The research and development cap would significantly impact the innovation sector in Australia which is starved of the government support and venture capital culture of traditional hubs like Silicon Valley. 

"R&D is a critical investment in an economy and the ability for Australian startups to compete on the global stage requires government support." 



Jennifer Maritz, CEO of online human resources group Novi, said she wants the same.

"With cashflow always in front of our minds, we’d like to see progressive changes to the government’s research and development tax initiatives. There could be an opportunity to offer quarterly incentives, not on a yearly basis, to help small businesses tackle challenges with cashflow.” 

Fadi Geha, CEO of IT company Simble, wants greater spend on infrastructure.

“As a SME committed to helping other SMEs navigate through today’s escalating energy costs, we’d like to see the Federal Government continue to invest in intelligent grid energy infrastructure and implement sustainable long-term policies that focus on energy efficiency for businesses. Advocating for technology and supporting innovation play an important role in making this happen.  

Most businesses told SBS News that at the top of their wishlist is a cut to the .

"It helps with cash flow, it helps with keeping more money in the business that can then be invested in technology, into people, into systems," Ms Hussain said. 

Matt Wynn-Jones, Managing Director of Counterparts Technology, said he'd be able to employ more people if further tax cuts were granted.

"We would probably look at one or two additional headcounts, it just allows us greater cash flow, and that is good for our business."

Staffing is key for the technology consultant who employs 12 people from diverse backgrounds including cognitive and physical disabilities.

"We've got everyone on that spectrum which is great, and I think if there were greater incentives to do that, there would be more businesses to take that approach that we have."

It's also an issue facing John Corias who said his biggest challenge is access to staff, as he competes against the big accounting firms.

"We know we've got a lot of good to offer young trainees, but quite often we miss out on the opportunity to do that, so some sort of incentive to employ these people so that we become competitive with that top end of town."

Calls to combat skills shortage

Addressing the skills shortage in Australia is an ongoing challenge, but none more so than the trades sector.

For the first time in 10 years, Al Roberts has employed a motor mechanic easing an ever-increasing workload.

"I have just been working longer hours, starting earlier, finishing later, and doing half-day Saturday and half day Sunday to keep up, if I had good staff then yes, the problem is there are not enough good technicians out there that want to do the job anymore."

Mr Roberts said the problem is they're difficult to find.

"I think we need more time in schools, even schools to show that being a mechanic or being a plumber or being builder it's not about a grotty job... if I was a kid, I'd love to do it again."

Clive Allwrite co-owner of Our Place Hairdressing in inner Sydney has the same problem. 

"Certainly finding young apprentices that want to take up hairdressing as a career has been a massive challenge in our industry, there's been a shift in dynamics in what people do when they leave school," Mr Allwrite said. 

He said it takes him away from his clients.

"We spent a lot of time washing the colour bowls, doing the laundry, shampooing, making the coffee, sweeping the floor, and obviously when we're running a small business and doing those things, we're not actually being productive and that obviously affects our turnover and our profit."

Peter Strong of Council for Small Business of Australia said it is a problem reaching crisis point.

"The economy will suffer unless we can get our vocational system up and running at the moment, apprenticeships are struggling, people are not sure where the direction of that particular sector is going and it's really worrying my members."



Mr Strong is suggesting an old-fashioned remedy in the federal budget.

"I think they need to get some subsidies out there, to give certain industries a boost, when it comes to employing apprentices. They need to get out there and say here, you get an extra $1000 or $2000 or whatever it is when you employ an apprentice and you get it up front."

Victorian Small Business Minister Philip Dalidakis said his state's budget - handed down last week - is lending a hand to education providers.

"We will have for people so that they can get through what they need to be able to support the industries."

But Mr Strong said employment services need to be restructured.

"In our opinion it's a big failure, and that's one of the contributors to a poor vocational education training sector, so they need to look at that."

In the meantime, the onus is on small business owners like Al Roberts to attract talent.

"I had fun at my apprenticeship, I thought it was great fun, you got to learn new things, work on great cars, go for road tests in very expensive toys."

Clive Allwrite has turned to the gig economy as part of a team which has developed an online platform matching salons with educators and workers.

"You go on the site, find the person you want locally, for a day, half day or to come and educate your team."

The federal budget is handed down Tuesday, May 8. 


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8 min read
Published 6 May 2018 7:37pm
Updated 7 May 2018 8:39am


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