Presented at Bizruption 8 on the 25th May 2016
with The Hon Kelly O’Dwyer MP
Great to see so many start-ups and small business owners at this packed audience. The Hon Kelly ODwyer is here to spend time with you, yes with SME owners and start ups. On behalf of NetStripes and everyone here a warm welcome to you.
How many of you run small businesses or start ups? We all know the importance of small business to our economy. We’ve seen the data on the video… Over 95% of all businesses, Over 60% of employment over 33% of national GDP.
We are one of the few countries in the world with a federal minister for small business and minister for small business in nearly every state or territory. Yet the report card is startling with re to small business in this country are startling.
814,000 small businesses closed
According to the ABS between 2010-2014 : 814,000 small businesses closed down, that’s nearly 40% of all small businesses. And that number is increasing… The internet is changing everything… and is having a huge impact.
We know the minister took over her portfolio recently and is actively working on many fronts… the reduction of tax at the recent budget for small business was certainly encouraging.
Urgent initiative to stem the closure of businesses and boost Growth
Yet with so many businesses struggling very few are making profits to really benefit from the tax reductions.. so is it a case of the cart before the horse. We believe what is needed as a priority are initiatives to stem the closure of businesses and boost growth of struggling business.
What we are proposing minister is an initiative to super charge our small businesses and bullet proof them from the vagaries of the internet. We are proposing to provide small businesses with matching grants to help them get fully digitally engaged.. not handouts but 1 for 1 investments…
Create over 700,000 jobs
Because fully digitally engaged businesses according the research by access economics grew faster in fact over 20%, earned over $350,000 and had double the revenue per employee than those who were not… if we can only make 30% more businesses digitally engaged it has the potential to create over 700,000 jobs it will also fuel economic growth
This is not a piped dream it can be done… it will however take vision and commitment and hopefully not get lost amidst the elections, as it easily can. We must stem the number of small businesses going to the wall..over 800,000 in 4 years..now..when a small business fails its the family that suffers… and too many families are, this is a matter of urgency…
Cost Neutral – Revenue Generating Initiative
Considering our welfare budget of over $155 Billion dollars FY2016 and $170Billion, the matching grants we are proposing can be cost neutral initiative… and yet it can simultaneously widening the tax base by increasing the number of businesses that are profitable bringing in much needed revenue to the government.
We would like to continue our discussions to super charge small businesses and bullet proof them through matching grants initiative for digital engagement.
Minister, thank you again for joining us… we are delighted to have you amongst us… and all the very best for the forthcoming election.