"AUSTRALIA'S economic growth rate remains stuck at a decade low but the government has what’s needed to get it moving again,” according to Denita Wawn, CEO of Master Builders Australia. 

“What’s urgently needed is an acceleration of infrastructure projects to the construction phase and more discussion of measures to encourage business investment.  We need investment in new plant, equipment and other assets need to be sharpened so that the appetite for growth and expansion returns,” Ms Wawn said.

“This morning’s GDP figures show that Australia’s economy grew by 0.5 percent during the June 2019 quarter equivalent to a 1.4 percent annual growth rate – the lowest since September 2009.

“Many components of domestic demand have shrunk over the past year – including key elements like business investment in addition to both residential and commercial building. Even though household spending has grown it has done so at the weakest pace in years,” Ms Wawn said. 

“We back the government’s transport infrastructure agenda and the announcement by the Federal and Victorian Governments today of $367.5 million for Melbourne’s Monash Freeway is good news, but today’s figures also show that the volume of engineering construction actually dropped by some 14.8% over the past year.

“Announcements won’t kick-start economic growth. That’s why governments need to streamline planning and approvals processes and harness the capacity of smaller construction contractors.

“In addition to commitments in Melbourne and Sydney there is great opportunity to unlock growth by targeting projects to other major cities, towns and regions and the government’s new skilled migration visa measures would help support that ambition. Master Builders has made a submission to Infrastructure Australia with a proposed package of projects that fits this criteria,” Ms Wawn said. 

“Our industry provides the most full time jobs and has the most small businesses of any sector but we need growth to continue being a major driver of economic activity. That’s why we also want to see more discussion around other policy measures to encourage business investment. 

 “The key thing is to get the work happening as quickly as possible on this and other previously announced infrastructure projects. So far, the official data show that the infrastructure wave has yet to make an impression on the ground,” Ms Wawn said.

www.masterbuilders.com.au

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THE House Standing Committee on Agriculture and Water Resources will launch an inquiry into growing Australian agriculture to $100 billion by 2030.

Australia’s agricultural industries currently generate products valued at approximately $60 billion annually. The National Farmers’ Federation has suggested that with careful planning and investment this figure could grow to $100 billion by 2030.

Rick Wilson MP, chair of the Agriculture and Water Resources Committee, stated that "the global demand for food is projected to grow 54 percent by 2050. Australian agriculture is well placed to make a significant contribution to supplying this growing demand and in the process increase its value and profitability".

"Whether it be improving market access, investing in marketing, or embracing innovative technologies that increase the efficiency, sustainability, and productivity of our farms, the Committee is interested in all the opportunities available to drive growth in Australian agricultural businesses in the coming decades," Mr Wilson said.

The Committee is accepting submissions to the inquiry until Monday, 14 October 2019. For further information on making a submission please visit the inquiry website.

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THE Australian Small Business and Family Enterprise Ombudsman (ASBFEO), Kate Carnell is seeking feedback on the ground-breaking Business Funding Guide.

The guide, released in July by ASBFEO in partnership with Scottish Pacific Business Finance, is an industry-first publication primarily written for accountants, bookkeepers, brokers and other financial advisers, to help their small business clients find the right funding and get ‘finance fit’ to increase their likelihood of having funding applications approved.

Its companion guide – FitsME- Essential Guide to Business Funding gives small business operators the most important information they need to know about preparing to apply for finance.

“The overwhelming feedback from the small business community is that a lack of access to funding is their biggest barrier to growth,” Ms Carnell said.

“The Australian Banking Association (ABA) has even acknowledged that small business loan applications have fallen by 33 percent since 2014.”

While ASBFEO and Scottish Pacific consulted widely with adviser associations and other key stakeholders representing the small business sector to produce the first edition of the guide, feedback is now being sought to finalise the guide.

“We welcome feedback on the content and usefulness of the guide from all interested parties," Ms Carnell said.

“At the moment this is a living document that can be amended and improved based on the feedback we get, with a final version of the guide to be available later this year.

“Importantly, this guide is designed to help small businesses become ‘finance fit’ to give them their best chance at securing the funding they need.

“Our Business Funding Guide offers comprehensive information on the range of financial products on the market – it’s crucial small business understands that the big four banks are not the only game in town," she said.

“There are so many variables in running a small business, but the one constant is that SMEs need funds to grow,” Scottish Pacific CEO Peter Langham said.

“By incorporating broad feedback, the guide will be able to really engage businesses and their advisers about a wide range of bank and non-bank funding options and give them the tools to find the right one for them.”

Ms Carnell said while the guide covered a wide range of funding options, for those small business operators considering obtaining finance through a mainstream financial institution, the ABA is promoting its website financingyoursmallbusiness.com.au which is a helpful resource.

Provide Business Funding Guide feedback by emailing This email address is being protected from spambots. You need JavaScript enabled to view it. before the October 18 deadline.

www.asbfeo.gov.au

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THE Institute of Public Accountants (IPA) has engaged senior adviser to the Office of International Trade at the US Small Business Administration (SBA), Eugene Cornelius, Jr to present and co-facilitate a major conference focusing on Australia’s flagging productivity on September 4 and 5 at Deakin University Downtown in Melbourne.

Mr Cornelius was responsible for the establishment of the SBA’s Office of International Trade and previously, as deputy associate administrator of that Office, overseeing four program divisions: Federal State and Trade; International Trade Finance; International Affairs & Trade Policy; and Administration & Operations.

In addition to his SBA role, Mr Cornelius has accepted a one-year detail with the International Council for Small Business (ICSB), with headquarters in Washington DC.

Mr Cornelius will be joined by fellow American, Dr Winslow Sargeant.  Dr Sargeant is ICSB’s President Elect and Managing Director of S&T.  Previously, he was the Chief Counsel for Advocacy appointed by and reporting direct to President Barack Obama.  Dr Sargeant was also a managing director at a Madison, Winsconsin-based capital firm, Venture Investor LLC.

Mr Cornelius and Dr Sargeant will form part of a large line-up of talented presenters at the Small Business: Big Vision event being run by the IPA Deakin SME Research Centre on 4 and 5 September 2019.  Keynote speakers include the Hon Michael Sukkar MP, Minister for Housing and Assistant Treasurer, and Ms Kate Carnell, the Australian Small Business and Family Enterprise Ombudsman.

Other international speakers include: Prof Charles Matthews, University of Cincinnati; 2017-18 Fulbright US Scholar, USA; and Ms Diah Yusuf, entrepreneur, business consultant, Vice President ICSB, Indonesia.

Details of the program can be found at:  www.publicaccountants.org.au/events/smallbusinessbigvision

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