COVID-19 Archives - Small Business Connections

Massive marketing campaign failure? How to bounce back

Editor — Tue, 22 Nov 2022 00:44:11 +0000

People in business understand how crucial marketing is. That said, nobody can deny the harsh truth—marketing isn’t easy. Even after planning for months and devoting all your time and resources, a campaign you believed was a fantastic idea can fall flat without making any significant impact.

Marketing is a tricky, unpredictable field; sometimes even the world’s most successful brands can get it wrong. However, the benefits of promoting your business are so enormous that it’s always worth giving it another shot. So, how do you recover from a marketing setback and make a strong comeback? Here are a few steps you can take to get back on your feet.

Listen to what people have to say

When your marketing campaign doesn’t deliver what you anticipated, you need to pinpoint where it went wrong. The first step in bouncing back is to figure out the real reason(s) your campaign failed—was your marketing pitch misunderstood, did you underestimate your competitors, or did you target the wrong audience ? Gathering feedback is one way to find this. Encourage your customers and your target audience to share their opinion about the campaign to understand what specific aspects went wrong. This can save you from repeating the same mistakes in the future. Sometimes, it can turn out that the campaign didn’t perform well because your marketing messaging unintentionally offended people. In that case, accept responsibility and apologise for the error publicly. This can help rectify your brand image and avoid future marketing campaigns from being adversely impacted.

Tip:

You can make your feedback collection process more manageable by using online surveys and forms.
Give participants an option to answer anonymously can get you more honest responses.

Think like a customer

What if your marketing campaign was a flop even though your audience had nothing negative to say about it? This situation calls for assessing the campaign from the customers’ perspective. As a brand, you need to ask yourself:

Are you offering anything unique to the customer?
Is there a compelling reason to choose your brand over your competitors?
Did another competitor already have a similar (or a better) campaign running when yours went live?
Was your offer truly useful to the consumer, or was it merely a way for you to get rid of some inventory?

Answering these questions can shed light on the root cause of your marketing woes, and help you know where to go next.

Tip: Use online forums and dedicated social media groups to find out what people are saying about various businesses.

Analyse your numbers

We can’t stress enough how vital metrics are for measuring and tracking your marketing activities. That said, merely knowing the number of your page views and sessions isn’t enough. You need to dig deep into the numbers to understand what went wrong in your customer’s journey. For example, let’s assume your brand’s Youtube campaign to promote recycling did not result in significant improvement to your brand’s performance. In this case, if your videos have a decent number of views but have a relatively poor watch time, then it’s safe to assume your content was not enticing enough to keep viewers hooked till the end. But suppose your view counts are low, though the ones who played the video watched it entirely? Now you know you need to work on improving your headlines and thumbnails to get more clicks.

Tip: Periodically review your marketing data so you can better understand your audience and make decisions driven by metrics rather than intuition. Learn how to audit your marketing results.

Do one thing at a time

As important as resilience is, trying your hand at too many things isn’t a smart move while on your road to marketing recovery. Sometimes, you have better chances of succeeding when you concentrate on one aspect at a time. Focus your effort on a specific platform, marketing tactic, or market segment rather than a broad list. Avoid investing in a marketing strategy until you have a sense of what works for you. Make it a point to excel at one thing at a time before chasing every opportunity that comes your way.

Tip: Avoid jumping onto every marketing bandwagon or technological fad without analysing how it can benefit your business.

“Failure is simply the opportunity to begin again, this time more intelligibly.”

Henry Ford, Founder, Ford Motor Company

Once you learn from your mistakes, give yourself enough time to come back strong. Take all the data and insights you’ve gathered and start over with a revised marketing plan. Decide if you want to recreate the same campaign from scratch or take a completely different strategy. Whatever you do, remember that failure is an inevitable part of any business journey, and what’s really important is how you learn from it and grow further.

Source: Zoho

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Small businesses are suffering a COVID hangover

Editor — Mon, 13 Jun 2022 14:16:11 +0000

Small businesses owners continue to suffer a COVID hangover, with many who are struggling to pay off accumulated financial and tax debts developed through the last 2 years of COVID, now struggling and dipping into their personal finances to cover rising costs of essential electricity services.

New research into the impact of small business energy policy has found a third of Australian small businesses are experiencing energy hardship due to the COVID-19 pandemic, which has left one in five with an energy service debt.

The research project from the Council of Small Business Organisations Australia (COSBOA) surveyed 408 small business owners to investigate the impacts of energy policies and advocate for better energy consumer protections. The project was funded by Energy Consumers Australia Limited as part of its grants process for consumer advocacy projects and research projects for the benefit of consumers of electricity and natural gas.

As well as revealing energy hardship, the survey found only 1 in 2 small businesses have returned to being fully operational, with 43% still operating below capacity, and another 3% still temporarily closed.

The research also found:

40% of small business owners reported being in a worse financial situation personally because of the impact of COVID on their business and their ability to pay essential bills such as energy.

A third of small business owners delayed paying their energy bills, leaving 1 in 5 owners with an energy service debt which they are still paying off.

Energy hardship was more acutely experienced by larger small businesses with more than 20 staff (41%), businesses operating with an embedded network or shopping centre (56%), newer small businesses (59%), and businesses struck by temporary closures (69%).

COSBOA CEO Alexis Boyd said the impact of COVID-induced energy hardship will be long-term following two years of pandemic conditions that kept many customers at home.

“Right now, small business owners across the country are grappling with how to pay down legacy bills leftover from COVID shutdowns and slowdowns,” Ms Boyd said.

“It’s a double hit, as they are trying to rebuild right as operating costs such as petrol prices and electricity are skyrocketing, supply chains are significantly impacted, and an acute worker shortage makes it nearly impossible to grow revenues.”

“The COVID hangover, including debt from energy bills incurred during the pandemic downturn, is a handbrake on the recovery of the Australian economy because half of Australia’s 2.4 million small businesses have not returned to full operations and support is needed to get them back to capacity.”

Energy Consumers Australia CEO Lynne Gallagher said the research demonstrates the need to set the right policy conditions to support small businesses to manage energy bills as they emerge from the pandemic, and other future economic shocks.

“The research clearly shows that flexibility to pay bills, proactive support and better communication from energy providers are all extremely helpful to supporting small business during difficult times like the COVID-19 pandemic,” Ms Gallagher said.

“The surprising lesson from the research was the number of small businesses that were wary of asking for help and labelling themselves as being under financial distress, with the embarrassment and stigma preventing them from accessing support that was already available.”

Ms Boyd added “There’s work to be done in helping remove that stigma, and the role of direct and independent advice will be essential to achieving that – including awareness raising by bodies like COSBOA and its member associations.”

The survey revealed businesses in New South Wales were significantly more likely to have suffered energy hardship despite longer lockdowns and border closures in neighbouring states.

While half of all small businesses experienced lockdown disruptions, two thirds experienced temporary closures, which is one of the strongest indicators of energy hardship.

This disruption contributed to a significant hit to business bottom lines, with two in five small to medium enterprises reporting high declines in sales and profits.

Energy hardship was felt most profoundly by heavy energy operators and in businesses where electricity demands continued even if customers were hibernating or locked down.

Source: COSBOA

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‘It’s hard to employ people when there is nowhere for them to live’: how housing crisis is impacting regional SMEs

Editor — Mon, 04 Apr 2022 04:28:18 +0000

From the Far North to the South West corner of the state, Queensland businesses are facing disruptions to their ability to grow and scale as the wide-spread housing crisis puts pressure on the labour force.

Chambers from Bowen, Caloundra, Canungra, Gladstone, Goondiwindi, Hills and Districts, Kilcoy, Kingaroy, Logan, Redlands and Stradbroke Islandjoined the Chamber of Commerce and Industry Queensland (CCIQ) in highlighting the impact of the housing crisis on the state’s business sector.

CCIQ Policy and Advocacy General Manager Amanda Rohan said regional Queensland businesses were disproportionately impacted.

Ms Rohan said CCIQ data found skill and labour shortages across the majority of industry sectors and especially in rural, regional and remote Queensland meant businesses attempted to offset a reduction in staff availability through higher wages.

“We’re hearing as part of CCIQ’s Regional Policy Committees the housing crisis is wide-spread and in some regions the impact on local businesses is critical,” Ms Rohan said.

“A lack of housing accessibility in those regions makes it all the more difficult for the right skills to relocate to the right places, when and where they’re needed most.

“It means businesses and the communities which rely on them will struggle to trade day-to-day and plan to be competitive, resilient and diversified long-term.”

It comes as CCIQ joined peak groups in uniting for an unprecedented call for a National Housing Summit.

Stradbroke Island

Straddie Chamber of Commerce President Colin Battersby said small tourism businesses on North Stradbroke Island were having a tough time getting suitably experienced and qualified staff due to the dearth of accommodation available.

“Not only are there a lack of accommodation options for seasonal staff needed to service the tourism sector, but permanent rental options have dried up for existing residents and many have been forced to leave the island all together,” Mr Battersby said.

“This is a tragedy for our small tight-knit community with many long term residents including young families leaving. In many ways it is this exodus that is the most distressing with the social effects long lasting and potentially permanent.”

Mr Battersby’s own businesses, holiday rental management and a fish and chip shop, are under severe staffing pressure.

“With the upcoming school holidays we will not be able to operate and open the café the hours we would normally due to a lack of staffing options,” he said.

“In a highly seasonal sector, tourism businesses like ours rely on Easter holidays to see us through the winter months.

“The accommodation problems together with continuing vaccine mandates is a massive handbrake on all tourism businesses on Straddie.”

Goondiwindi

Goondiwindi Chamber of Commerce’s Terri-Ann Crothers said local businesses were looking to attract more people to the community to supply the shortfall in employees across several industries, including agribusiness, engineering, hospitality and education.

“However, there are not enough accommodation options – to buy or rent – available to house current residents let alone new residents,” Ms Crothers said.

“We have several innovative businesses who continue to grow who face several issues when recruiting very limited staff, including housing their employees.

“It’s difficult to offer a job when there’s nowhere for the new employee and their family to live.”

Kilcoy

Kilcoy Chamber of Commerce President Bronwyn Davies said the housing crisis was critical in the Somerset region and some local businesses were increasing their investment in employee housing to help reduce the impact.

“Our local retail businesses cannot attract the qualified or motivated staff due to the lack of housing in the district while others have closed or reduced trading hours due to staff shortages. The retail sector cannot fulfill shifts without a stronger casual pool of human resources,” Ms Davies said.

“Regional medical operators cannot get staff into the region due to housing and regional service levels.

“Our regional agribusinesses cannot get enough hands on deck to help with crops. Larger businesses and primary producers, manufacturing and building sectors are paying much higher wages to attract qualified staff and then in many cases, have to find them accommodation.

“There is an accommodation crisis every direction.”

Gladstone

Gladstone Chamber of Commerce and Industry Committee President Joe Smith said skilled workers were unable to relocate to the Gladstone region due to limited rental property availability, while lower income earners were forced out of the community due to increasing rental prices.

“While we understand there are a number of factors at play, Gladstone Chamber of Commerce and Industry urges all levels of government to come together to develop a coordinated solution to this complex problem,” Mr Smith said.

“With the region earmarked as a Hydrogen Hub and many large industrial projects in the pipeline, housing availability and affordability will severely impact our ability to attract and retain the people required to meet local demand.

“Housing affordability, as well as liveability and having adequate social infrastructure, are critical factors in the continued growth and economic prosperity of the Gladstone region.”

Kingaroy

Kingaroy Chamber of Commerce and Industry President Damien Martoo said the situation in the Burnett was ‘desperate’.

“We are seeing more people sleeping rough in our region which is something that has never really been visible before,” Mr Martoo said.

“Our manufacturers and trades are desperate for skilled staff who want to come to work in the region but due to the lack of accommodation they cannot get here. If they do, they are paying for motel accommodation.

“The ongoing issue is having a negative impact on people’s wellbeing and consumer confidence. If people don’t feel secure in their housing they will be pinching every penny in the hope to find anything even if it is outside of a comfortable budget.”

The Hills and Districts

The Hills and Districts Chamber of Commerce President Mary Di Marco said there was a need to provide skilled migrants and workers affordable or subsidised housing especially in isolate areas.

“Another aspect is the rising inflation. I have heard people say they are making the decision of whether to feed their family or save for a mortgage. There needs to be assistance. We are rich country. We should be able to provide for our families – they are our future,” Ms Di Marco said.

“When interest rates rise some of the business owners who have mortgaged their homes to support their businesses will make the hard decision, do I sell my business or do I sell my home?”

Bowen

Bowen Chamber of Commerce president Bruce Hedditch said the chamber had been targeting the local council ‘concerning the dire situation confronting regional Queensland for social housing’ and had met with two not-for-profit organisations responsible for creating social housing.

Caloundra

On the Sunshine Coast, Caloundra Chamber of Commerce CEO Brady Sullivan said the housing crisis was just as significant as other parts of the state and the chamber was looking forward the local council’s planning scheme renewal to deliver housing crisis solutions and remedies locally.

Canungra

Canungra Chamber of Commerce President Monique Morcus said some local businesses had reported a reduction in trade, expected to be a reflection of local consumers redirecting their ‘play money’ to higher living expenses including housing.

Logan

Logan Regional Chamber of Commerce President Chyerl Pridham said housing had been unaffordable for a lot of people for at least the last 12 months.

“COVID played havoc with people’s ability to work and pay for mortgages or rent,” she said.

“The construction industry is being pushed to deliver more homes than ever before, but the rising cost of building supplies and supply chain issues are making it very difficult for some to continue – we are seeing smaller construction companies and trades starting to close their doors.

“Demand is out stripping supply at the moment – we are dealing with some very emotional people on a day to day basis which is taking its toll on staff mentally.”

Redlands

Redlands Coast Chamber of Commerce President Rebecca Young said all three major employment sectors, healthcare service, retail and construction, were experiencing labour shortages.

“Not being able to attract and house people in our city means these sectors will continue to face shortages,” Ms Young said.

“Due to infrastructure issues in our main corridors leading in and out of the city, travelling to the Redlands to work is not desirable.”

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SMEs beware; up to 20% of Australian workers seeking a career change this year

Editor — Wed, 23 Mar 2022 03:20:07 +0000

Today, recruitment expert and Group Managing Director Mark Smith from leading recruitment company people2people is predicting that the “Great Resignation” will still happen in Australia, but may be delayed. A 2022 online poll of Australian workers by them has revealed over 40% are looking to change jobs or make a career change, a 3% increase from pre-Christmas results.

“The Omicron variant has certainly thrown another spanner in the works for employers and employees alike over the past two months. The fast-paced spread of the virus coupled with close contacts all in isolation has not only caused staff shortages, but uncertainty. We have seen an increase of over 40% in requests for temp staff across all industries,

“For those who spent the summer break reconsidering their career path, now is the time to get your CV in order. With such a high percentage of workers indicating they plan on resigning or making a career change, your first impression through your CV will become even more important,” says Smith.

Between 10 and 20% of Australians also indicated that they are looking for a career change in 2022 according to people2people’s online poll.

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Is now the time for SME vaccine mandates to be reviewed and removed?

Editor — Wed, 23 Mar 2022 01:53:35 +0000

Emotionally and financially exhausted Queensland businesses have a right to know what the state’s 90% vaccine mandate review included and what it meant for rules impacting their day-to-day trade.

Chamber of Commerce and Industry Queensland (CCIQ) data shows business confidence in the future of the state and national economies is the lowest since the start of the COVID economic crisis in Queensland while mandates and disruptions drag on two years later.

More than 60% of business owners or staff are suffering mental health impacts due to COVID stressors while many businesses were still trading under vaccine mandates and directly or indirectly impacted from natural disasters.

CCIQ Policy and Advocacy General Manager Amanda Rohan said a vaccine mandate review was promised when the state reached the 90% target, but to date, there had been no certainty as to what the review included, what it meant for businesses, or if it happened at all.

“For close to two years Queensland communities have been doing everything they’ve been told to, everything they can, to get to this point in the state’s COVID recovery,” Ms Rohan said.

“Now is the time for government to level the playing field and bring businesses, their staff, customers and communities still operating under the vaccine mandates into line with those businesses operating without any restrictions.

“Interstate and international tourists can travel about the state, mask rules have been relaxed and the double vaccination rate is well over 90%.

“Businesses and Chambers of Commerce across Queensland are calling on the Premier and Small Business Minister to review these mandates. Business have done their bit, now the State Government needs to do their bit and deliver the review businesses were promised.

“We’ve been calling for this review since January but now businesses are desperate to know what’s next and how they can plan ahead.”

Ms Rohan said there were still disruptions to supply chains, staff availability and consumer behaviour and confidence so any opportunity for businesses rules, red tape and mandates to be reviewed, relaxed or removed was essential.

“Let’s show our local and visiting communities we are open for business and support Queensland businesses who are ready to get back to what they do best supporting their staff, customers and communities,” Ms Rohan said.

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COSBOA CEO calls sick leave for casuals ‘absurd’

Editor — Mon, 21 Mar 2022 04:27:31 +0000

COSBOA notes with apprehension the Victorian Premier’s announcement of a $246 million trial for 150,000 Victorian casual workers to receive 5 days of paid sick leave. The Premier has explained that any continuation of the scheme would be funded by a levy on businesses, the details of which are unclear.

COSBOA CEO Alexi Boyd said “First of all, none of COSBOA’s 45 industry association members were consulted about this idea. You would think the pandemic experience had taught us all the value of consulting with affected stakeholders before making announcements to the media and general public.”

Ms Boyd continued “The idea of giving casuals sick leave is naive and shows a lack of understanding for how the system works. Casuals are already paid 25% more than permanent staff to compensate for the lack of entitlements like annual leave and personal/carers leave (sick leave).

“Providing casuals paid sick leave is double dipping and disadvantages permanent part-time staff who would have the same entitlements but lower wages. It could even incentivise casual staff not to take up offers for permanent work, requiring employers to pay the casual loading as well as the new Victorian government ‘levy’ to fund sick leave.”

“It is also unclear how such a levy would work. State governments are unable to access payroll data – how will the Victorian Government know how many casuals are employed in a particular business? Or will the levy not actually be based on how many casuals are employed? What about those businesses who switch between casual and permanent part-time staff?”

Ms Boyd added “It’s awful that there are casual employees who can’t afford to take a day off even though they are paid higher wages to compensate for the lack of sick leave. However, that speaks to a much broader problem regarding the cost of living. The solution for that isn’t to punish small businesses with another payroll levy.”

“COSBOA and its members would welcome discussion on an appropriate system that supports both employers and employees to address the issue.”

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Remote workplace productivity: 52% of Australia across all generations feel stagnant or falling behind

Editor — Thu, 17 Mar 2022 01:19:19 +0000

Nearly two years into remote working, Australia’s businesses are still facing barriers when it comes to meeting the needs of the workforce, with 40% of workers seeing no change in their productivity since working from home, and 14% seeing a decline in their productivity all together.

New research from DocuSign, titled The evolution of working from anywhere, finds that despite a majority of businesses embracing a flexible working model since March 2020, 74% of Australian workers admit that working from home still poses its fair share of challenges.

“Our research shows that in this new work world, organisations need to continuously analyse and act to design the optimal workspace.

In today’s workplace culture, employee needs are continually evolving, and as a result, businesses need to invest in innovative solutions to ensure their staff have the right support in their field of work. All the while remembering that in this new era, one size doesn’t fit all,”

– Dan Bognar, DocuSign’s Group Vice President and General Manager for the Asia Pacific and Japan (APJ) region.

The survey of more than 500 Australian full time senior business leaders, managers and employees, conducted in partnership with YouGov, finds that across the generations, barriers to successful remote working environments remain.

Millennial and Gen X employees find that they still lack the right technology support for their jobs (31%), compared to Baby Boomers (4%). Meanwhile, 7 in 10 Gen Zers find that they do not have the right tools to collaborate and communicate with their teammates, impacting their ability to learn and grow as the newest members of the workforce.

In light of these barriers, more than half (52%) of Australia’s workforce, across all generations, feel that they are remaining stagnant or are falling behind when it comes to their workplace productivity.

Despite 6 in 10 organisations introducing new tools to improve the workplace experience since the start of the pandemic, 74 per cent of Australians admit that working from home still poses its fair share of challenges –with 40 per cent seeing no change in their productivity and 14 per cent actually seeing a decline.

Two years since mandated remote work, “The Evolution of Working from Anywhere,” found that Australian businesses have room for improvement when it comes to creating optimal WFH environments –with workers demanding better tech.

The newest entrants to the workforce, Gen Z, are some of the most frustrated – with 8 in 10 admitting that working from home has been challenging, particularly when it comes to collaborating and communicating with teammates (70%).

Across the board, the most challenging parts of WFH include:

– Teamwork/collaboration (43%)

– Document storage (18%)

– Managing current/new customers (18%)

– Managing contracts (14%)

If businesses are to continue to embrace flexible working on a permanent basis (53%), they must think beyond what tools will enable their employees to work from home, and consider what will enable them to be more connected, engaged and productive.

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High risk industry workers to receive five days of paid sick leave

Editor — Tue, 15 Mar 2022 04:42:44 +0000

Victorians who work in casual or other insecure jobs will no longer be forced to choose between a day’s pay and looking after their health, thanks to the Andrews Labor Government’s Victorian Sick Pay Guarantee.

“When people have nothing to fall back on, they make a choice between the safety of their workmates and feeding their family. The ultimate decision they make isn’t wrong – what’s wrong is they’re forced to make it at all,” said Premier Daniel Andrews.

“The last two years have shown just how difficult that choice can be for casual workers – so we’re doing what we can to make sure it’s a choice they don’t have to make.”

An Australian-first, the $245.6 million scheme will transform casual and contract work in Victoria by providing vulnerable workers the safety net they need to take time off when they‘re sick or need to care for loved ones.

Before the pandemic, many casual and contract workers were forced to choose between a day‘s pay or their health. Around one in five casual and contract workers work more than one job to earn a living – many without access to sick and carer’s pay.

Workers are now able to register for the two-year pilot program, and it is anticipated that more than 150,000 workers will be eligible in this first phase.

Eligible casual and contract workers in certain occupations will receive up to five days a year of sick or carer’s pay at the national minimum wage.

Occupations included in the first phase include hospitality workers, food trades workers and preparation assistants such as chefs and kitchen hands, supermarket and supply chain workers, retail and sales assistants, aged and disability care workers, cleaners and laundry workers and security guards.

The Labor Government is fully funding the scheme over the first two years, which is expected to demonstrate a reduction in workplace injuries and illness, general productivity improvements from healthier workers, and lower staff turnover rates.

The Government will also administer the program directly to workers, minimising the impost on businesses so they can focus on economic recovery.

The Victorian Sick Pay Guarantee builds on the temporary measures implemented during the pandemic, including the COVID-19 Worker Support Payment (now the Australian Government’s Pandemic Leave Disaster Payment) and the COVID-19 Test Isolation Payment.

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Prepared for anything: Aussie SMEs are more resilient post pandemic panic

Editor — Tue, 15 Mar 2022 04:34:35 +0000

Australia’s small and medium sized enterprises (SMEs) are 12% more resilient as a direct result of the challenges they have faced in the pandemic, according to MYOB’s new SME Success Report.

The SME Success Report, which comprises four years of anonymised data insights from business management platform MYOB, captures key resilience indicators in the form of a Resilience Index. The Resilience Index is made of sub-indices tracking balance sheet strength, gross income margin and invoice payment times to provide an overarching resilience score.

The data shows that pivoting behaviours adopted during the pandemic have prepared SMEs in planning for their future growth.

Additionally, MYOB surveyed 500 SME owners and operators, finding 78% have the same or more appetite for risk and more than half (52%) have higher business confidence than before the pandemic.

MYOB CEO Greg Ellis says the data provides rich insight into the strength of Australian SMEs, and their ability to withstand future disruption.

“Now we’re moving closer to COVID-normal, we can look back on how SMEs have fared throughout this challenging period, and how equipped they are to operate in this environment,” Mr Ellis said.

Cashflow and profitability

The balance sheet data in the Current Ratio Index indicates SME cashflow levels stayed high during the first year of the pandemic, after being initially bolstered by the economic stimulus measures introduced by the Government in April 2020. In November 2020 the index was 23.4 percentage points higher than the January 2020 baseline and mostly remained that way, up to 25.8% in December 2021.

Profitability metrics did not see such significant change, though they still improved. In May 2020 gross profit margin was 7.5% higher than in January 2020 but dropped a few points and ended 3.6% up in December 2021.

“It’s encouraging to see stability within SMEs, even after Government funding was reduced, improving their resilience against further challenges,” Mr Ellis said.

“Holding onto higher cash reserves for emergencies bolsters resilience, though investing in growth opportunities and keeping the economy flowing is what will keep the SME sector thriving long term. The survey results show strong levels of confidence, which is an encouraging sign for long term recovery.”

Invoice payment times

Around the onset of the pandemic SMEs invoices were paid faster with the On Time Invoices index 8.8% up in November 2020 compared to January of that year, a trend that the data suggests is continuing. Surveyed SME owners and operators said the top reasons for faster payments include applying more effort to ensure timely payment (40%), customers are more conscientious (39%) and changing how their invoices are issued (38%).

“It’s unsurprising that business owners would be more conscious of invoice payments when they’re in survival mode during the pandemic. Seeing customers more conscientious and supportive of SME invoice payment times is a welcome outcome and one that will greatly assist with cashflow into the future,” Mr Ellis said.

“If the last two years have taught us anything it’s to expect the unexpected. For the country’s SMEs, moving to COVID-normal has meant continuing adaptation of business operations. While it’s by no means been an easy road, the resilience of the sector is strong and will hold them in good stead for the next chapter.”

Read the full report here

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Pandemic lease protections extended for small business tenants

Editor — Wed, 09 Mar 2022 03:29:33 +0000

Small businesses doing it tough due to COVID-19 are set to benefit from further NSW Government support following a decision to extend mediation protections under the commercial leasing regulation until 30 June 2022.

Treasurer Matt Kean said the challenges facing small business have been significant which is why we are moving to extend mediation protections to support tenants and landlords to work together to negotiate mutually beneficial outcomes.

“Throughout COVID-19 we have made it our mission to listen to the small business community and understand what they need to keep the lights on so they can continue to provide jobs and support to our economy,” Mr Kean said.

“The small business community is the backbone of our economy so anything we can reasonably do to support their operation through the challenges, we will do.”

“We appreciate and acknowledge the constructive approach of commercial property owners in working together with their tenants in these very challenging circumstances.”

Under the extension, from 14 March to 30 June 2022, landlords will be prevented from taking certain actions including evicting and locking out, unless they have attempted mediation with tenants that:

Had a turnover of less than $5 million in 2020-21; and
Received at any point in time the 2022 Small Business Support Grant, 2021 Micro-business Grant, 2021 Business Grant, or the 2021 JobSaver payment.

Minister for Small Business Eleni Petinos said extending mediation provisions until 30 June 2022 would provide practical benefit to both tenants and landlords.

“Small businesses have experienced enormous challenges over the past two years,” Ms Petinos said.

“Extending mediation protections under the commercial leasing regulation is a sensible move that will help keep businesses open for trade.”

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