The future of up to one million Australian SMEs is hanging in the balance
Up to 1 million small businesses in Australia aren't profitable. Small business lobby group COSBOA has a wishlist of measures it thinks could help many survive.
Australia may end 2024 with fewer small businesses than it started the year with. And there’s every chance that as a result, young people will shun entrepreneurship for a different career path altogether.
This is the grim reality that Luke Achterstraat is currently grappling with. Achterstraat is the CEO of the nation’s small business lobby group, the Council of Small Business Organisations Australia (COSBOA) and sees the next few months and upcoming Budget as critical for the sector.
“There are 2.5 million small businesses in the economy. According to the [small business] ombudsman, 43% of them aren’t break-even,” he tells Capital Brief. “That’s a million small businesses currently hanging in the balance … “This is a bit of a wake up call.”
Achterstraat is currently focused on the upcoming Budget in May, where he’s hoping to see the government focusing on reducing red tape, improving competition policy and working with the states to tackle payroll taxes.
