Small Business Payment Times must be addressed
Tasmanian Liberal Senator Eric Abetz has welcomed the recommendations from the Australian Small Business and Family Enterprise Ombudsman’s report into payment times and practices for small business.
The report highlights that Australia has some of the worst business to business payment timeframes in the world with some multinational conglomerates using small businesses as an interest free bank and makes common-sense recommendations for Government to lead the charge and for businesses to publish more information about how they treat small business.
“Payment terms is one of the biggest issues that small businesses in Tasmania and around Australia encounter and this welcome review should draw a line in the sand,” Senator Abetz said today.
“Big businesses and big government shouldn’t be using small businesses as a cash-cow to make their balance sheets look good and it’s important that we as a nation lift our game so that we can better support small business. I was pleased to recently meet with the Ombudsman, Kate Carnell, to discuss the importance of this issue to small businesses and I am pleased that this review is so comprehensive.”
“All of the Ombudsman’s recommendations make eminent sense and are worthy of adoption by the Government. The additional reporting requirements on some big businesses would ensure that the business to business red tape burden placed on small businesses by big business are reduced which is only positive.”
“I am hopeful that the Government will positively consider this review and implement its recommendations as a matter of urgency,” Senator Abetz concluded.