Business News Releases

CBA’s response to ASBFEO Report is much better than ABA’s feeble effort

THE Australian Small Business and Family Enterprise Ombudsman (ASBFEO) is disappointed with the Australian Bankers Association’s (ABA) response to the inquiry into small business loans.

ASBFEO Kate Carnell said the ABA’s decision not to accept the ASBFEO's definition of a small business loan as any loan under $5million is disappointing.

The ABA released its response to the ASBFEO Inquiry into Small Business Loans on Friday.

Ms Carnell said: “The ABA's very restrictive definition would mean that any business with more than 20 employees would not be deemed a small business under the banking code of practice.

“Equally restrictive and unworkable is their approach to their $3million loan limit. The ABA is saying that any business that has aggregate loans above $3million, including loans with ALL financial institutions and including ALL associated entities, will not be treated as a small business.

“This would mean that all loans taken out by directors of the business and their partners would be aggregated to determine if a loan taken out by the small business would be able to access the removal of non-financial default clauses and the other recommendations of the ASBFEO Report.”

Ms Carnell said this would exclude a very large number of small businesses and make a nonsense of the ABA’s claim that its response will cover 95 percent of business customers.

“I will be asking the ABA how they came up with this figure,” she said.

“The ABA talks about ‘covenant light’ loan contracts with small businesses - ASBFEO recommended that ALL non-financial default clauses should go except for situations where the small business breaks the law or goes into liquidation.”

Ms Carnell said the Commonwealth Bank’s undertaking last week was a better response than the ABA’s feeble effort.

“We think the ABA should go and talk with the Commonwealth Bank to consider its approach and go back to the drawing board.”

Ms Carnell noted the range of undertakings given by the ABA, including working with ASIC to implement a new Code of Banking Practice in line with the Khoury Report.

“We welcome the ABA’s undertaking that it will work on a new Code of Banking Practice this year with the aim of publishing it by the end of this year. We will closely monitor its progress,” she said.

www.asbfeo.gov.au

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ARA pushes for immediate implementation of low-value GST

THE Australian Retailers Association (ARA) opposes any delay in implementing GST to low-value imports and strongly supports the Government in closing the Low Value Threshold (LVT) loophole for the purchase of offshore tangible goods under $1000.

Executive Director of the ARA, Russell Zimmerman said any delay to low-value GST legislation will result in a number of job losses throughout the industry.

“The retail industry is already operating in a tough environment and any delay to this much-needed legislation will significantly affect employers and employees working in this sector,” Mr Zimmerman said.

“Levelling this unfair playing field for retailers is an area that both the industry and unions strongly agree on, and collectively support.”

The ARA firmly believes that the proposed GST collecting system is the best model at this point and should not be postponed.

“This legislation should be implemented as soon as possible, as we already know that overseas retailers have the capability of charging similar taxes online in Australia,” Mr Zimmerman said.

“These big global players already collect GST for digital products, therefore we want to see these retailers register and collect GST as of July 1 this year."

The ARA called on the Senate Crossbench to pass this GST at the Senate Economics Legislation hearings last Friday 21 April, and pushed for overseas retailers to immediately start collecting this tax from low-value imports.

“It is unreasonable for global retailers like eBay, who currently don’t pay any tax in Australia, not to register and collect the GST,” Mr Zimmerman said.

The ARA have been working with the Federal and State Governments to reduce the low-value threshold and provide a level playing field for Australian retailers.

“This legislation for low-value imports was first introduced in 2011 by then Assistant Treasurer, Bill Shorten, and has been supported by both parties,” Mr Zimmerman said.

“Therefore, there should not be any issue in adhering to the agreed implementation date of 1 July 2017.”

About the Australian Retailers Association:

Founded in 1903, the Australian Retailers Association (ARA) is the retail industry’s peak representative body representing Australia’s $310 billion sector, which employs more than 1.2 million people. The ARA works to ensure retail success by informing, protecting, advocating, educating and saving money for its 7,500 independent and national retail members throughout Australia. For more information, visit www.retail.org.au or call 1300 368 041.

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Celia Murray explains IP licensing opportunities to AIEA

LICENSING opportunities for progressive Australian businesses is the topic at the next Australasian Interim Executives Association meeting in Brisbane.

Intellectual property (IP) and licensing specialist and Trademarks Attorney Celia Murray will present on 'Fast Innovation Growth Strategies for the Interim or New CEO' on Tuesday, May 2, at 10am at the new AIM Brisbane Member Lounge at Level 16, 40 Creek Street Brisbane.

At the ‘coffee and cake’ session, Ms Murray will explain what IP licensing is all about on a global scale and why Australian CEOs are slow to adopt this global strategy.

“The event is free to members and their guests and just $20 for non-members,” AIEA CEO Mal Walker said. “If you haven't met Celia before, this is an excellent opportunity to do so.”
“We are delighted that the Australian Institute of Management (AIM) is our principal sponsor and will be hosting our networking events on the first Tuesday of each month.”

Register now.

www.aiea.org.au

 

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Premium coal country open for bids

IN ANOTHER positive sign for the coal sector, the Queensland Government today released 270sqkm of land in the Bowen Basin for exploration, according to the Queensland Resources Council (QRC).

QRC Chief Executive Ian Macfarlane said the announcement was a compelling case for investment into the sector with some of the best quality coal in the world already being exported from the area.

“This is a significant land release with four blocks in the coal-rich Bowen Basin opened up for bids from explorers and it’s the first land release in four years.” Mr Macfarlane said.

“I congratulate the government on this proactive step to encourage more exploration which will not only benefit the coal sector but is good news for local communities and local businesses.

“It has been 15 months since the government appointed its first Resources Investment Commissioner focused on identifying and driving economic opportunities for the sector and local and overseas investors will be interested in these blocks.”

The land will be released nearby existing mines in Middlemount, Cook and Blackwater which are serviced by the Goonyella and Blackwater rail networks.

Queensland’s Exploration Council Chairman Geoff Dickie said certainty is starting to return to exploration.

“It comes at a time when there is increasing confidence in the exploration sector, and opens up some particularly prospective areas,” said Mr Dickie.

www.qrc.org.au

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Do you know an inspirational Melburnian?

NOMINATIONS are now open for the City of Melbourne’s prestigious Melbourne Awards, which recognise community groups and corporations who have made a positive and valuable contribution to the world’s most liveable city.

Lord Mayor Robert Doyle said the awards, now in their 15th year, highlight the achievements and service of many dedicated and inspirational Melburnians.

“The Melbourne Awards are our city’s highest accolade,” the Lord Mayor said.

“They celebrate the inspirational achievements of those who devote their time, energy and passion to make Melbourne the great city that it is; the world’s most liveable city.

“If you know a worthy recipient, please nominate them today: I know we have no shortage of contenders.”

The Lord Mayor will bestow the title of Melburnian of the Year on one outstanding individual.

“You only have to look at the calibre of the past winners to appreciate the magnitude of this award. Neale Daniher AM is the current Melburnian of the Year: his courage and drive galvanised an entire community to join him in the fight against Motor Neurone Disease.

“Other recent winners include Bryan Lipmann AM, the founder of Wintringham Specialist Aged Care, Major Brendan Nottle of the Salvation Army and music pioneer Michael Gudinksi AM.”

In addition to the Melburnian of the Year, the awards will recognise four community organisations and four corporations for their outstanding contribution to the community, environmental sustainability, multiculturalism and strengthening Melbourne’s profile.

An independent judging panel of industry leaders and Melbourne personalities will decide this year’s Melbourne Award recipients. Winners will be announced at a gala ceremony at Melbourne Town Hall on Saturday 18 November.

Nominations for the 2017 Melbourne are open until Monday 5 June.

For information or to nominate, please visit www.melbourne.vic.gov.au/melbourneawards or call 9658 9658.

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