Backing small business in the New England
03 May 2019
Member for New England, Barnaby Joyce, has welcomed the Coalition Government’s plan to back small business including the announcement of the establishment of the Australian Business Growth Fund.
Mr Joyce said small businesses are the key economic driver across regional Australia, including here in the New England, and the Government’s plan will create the right conditions for these enterprises to grow and create jobs.
“Our policy recognises the hard work and risk that small business owners take when they start up their firm and we want to do whatever we can to help even more of them succeed,” Mr Joyce said.
“Just like the $739,750 grant we provided recently to an Armidale business which specialises in lithium battery technology, it is all helping to grow and expand local enterprise.
“Additionally, there are 20,236 small and medium sized businesses in the New England that will benefit from our decision to cut taxes and able to take advantage of our decision to increase the instant asset write-off for machinery and equipment up to a value of $30,000.”
The new Australian Business Growth Fund will be established with $100 million seed funding and look to partner with financial institutions to provide equity to small businesses. The aim is for the Fund to expand to $1 billion as it matures.
Many small businesses find it difficult to attract passive equity investment which enables them to grow without taking on additional debt or giving up control of their business. The Fund will focus on backing 30 to 50 businesses each year with turnovers between $2m and $50m.
“This is great news for regional Australia as the Australian Business Growth Fund will also support small businesses in regional areas including farms,” Mr Joyce said.
“Along with the $2 billion Small Businesses Securitisation Fund that will allow smaller banks and non-bank lenders get cheaper access to credit, we are making it easier for small businesses to get access to credit when they need it.
“Only the Coalition Government understands the importance of creating the right conditions for small businesses to grow and succeed. In contrast, all Labor understands is how to raise taxes and weaken our economy.”