28 October 2015

The economy of shopping small, Op-ed published in The Australian

Next to their home, for most families, their superannuation savings are their single greatest asset. How well their superannuation fund performs directly impacts on their retirement income.

The Turnbull Government is creating the economic settings needed to help Australian businesses innovate, grow and create more jobs.

We recognise that small business is the engine room of our economy, which is why we are doing all we can to help them take advantage of the opportunities ahead, after all their success is Australia’s success.

Small businesses, from local coffee shops through to technology start-ups, have never been more important. Today, they account for more than 2 million businesses, employ more than 4.5 million Australians, and contribute over $340 billion to our economy.

Our recent $5.5 billion jobs and small business package includes an immediate tax deduction for small businesses for every eligible asset costing less than $20,000 purchased until the end of June 2017, a 1.5 per cent company tax cut for small businesses, and a five per cent tax deduction for unincorporated small businesses.

To reduce initial start-up costs, new small businesses can now immediately deduct professional expenses.

We are encouraging business to attract and retain talent by issuing share options to their employees, and improving the tax treatment for employees under employee share scheme arrangements.

The Turnbull Government is helping small business access new finance opportunities by bringing forward legislation supporting crowd-sourced equity funding before the end of the year.

Aspiration, opportunity, and entrepreneurial spirit are threads that bind the fabric of our society. It is especially true of our local small business owners across the country.

We have one of the highest rates of entrepreneurial activity in the developed world. But if Australia is going to prosper, we need to continue to foster our entrepreneurial culture to transform good ideas into commercial successes.

Small businesses will be a key driver in taking our economy forward into the age of disruptive technology and a growing Asian market for Australia’s exports and services. Small businesses will lead a growing, diversifying and adapting economy supporting the Australian way of life.

Small business men and women give us so much, and do so at their own risk. Owners invest their savings into setting up a business built around their passions, or a great idea, go above and beyond to deliver a superior customer experience, and make significant contributions to everyday life.

It is critical we – each and every Australian – celebrate and encourage them.

Annual initiatives like the Shop Small movement are a perfect reminder of the value and need of small businesses in our community. While they might be small, their impact on our future is large.

As we embark upon an important and exciting period in our nation’s history I ask you to join government in its support for small business. If we truly value small businesses and want to see them and Australia thrive, as a community we need to get behind small businesses to ensure success for years to come.