QSBC Update

Update from the Queensland Small Business Commissioner - February | 2024

The data is in and small business numbers are growing in Queensland, increasing by 9,793 (2.1%), since 30 June 2022. Queensland is now home to 482,836 small businesses, representing 19.2% of all Australian small businesses. When compared to 20.4% of Australia’s population living in Queensland, we are certainly demonstrating our value!

Other data worth noting includes employment:
• 62% of Queensland small businesses have no employees
• 28% have between one and four employees
• 10% have between five and 19 employees.

The top 10 small business industries in Queensland are:
• Construction (17.4%)
• Professional, scientific, and technical services (12.5%)
• Rental, hiring and real estate services (11.9%)
• Agriculture, forestry, and fishing (8.6%)
• Health care and social assistance (7.5%)
• Transport, postal and warehousing (7.4%)
• Retail trade (5.8%)
• Other services (5.6%)
• Administrative and support services (4.5%)
• Financial and insurance services (4.2%).

It’s great to see that, along with our small business population growing, the number of Small Business Friendly (SBF) Program members is growing too. I’m excited to report that in late February, Barcaldine Regional Council became the 48th council to join the SBF Program, meaning 96% of the Queensland small business community is supported by the program. Welcome to the SBF family, Barcaldine!

During our visit to Barcaldine, we enjoyed learning about the council’s current initiatives and meeting with many of the region’s small business owners from a diverse range of industries. We also travelled to Longreach and Barcoo to meet with council representatives and small businesses in their areas. It was a great adventure getting to Barcoo and a true learning experience in avoiding livestock on the roads and getting bogged, and at one point I was chief herder and car pusher!

At the end of 2023, small businesses were regularly reporting concerns about finding staff, housing, and the general cost of doing business. Since then, there has been a distinct shift in small business concerns to the cost of electricity and insurance. We use the data and the feedback we get from our visits, assistance work, and stakeholders to raise awareness about the issues impacting the Queensland small business sector and to push for positive change. I’m pleased to inform you that QSBC has been appointed as a member of the Insurance Council of Australia’s business advisory council. We look forward to working with the Insurance Council and their members to provide better outcomes for small business.

We’re also working closely with the Energy and Water Ombudsman Queensland to assist small businesses to get better outcomes, as we’ve heard instances of electricity bills rising by 300% despite measures taken by the small business to reduce their power bills. We look forward to working with the Ombudsman and her team to explore these issues and ensure the experiences of small businesses are heard.

This month we attended our first National Small Business Commissioners meeting of 2024. Recent severe weather events and their impact on the small business community was top of the agenda. Each of the commissioners shared similar concerns regarding rising electricity and insurance costs across the country and we will now work to collectively advocate about these issues. If you have experiences that you wish to share with us about electricity and insurance, please get in touch.

I am also excited to report that the QSBC is a finalist in the Australian ADR (Alternative Dispute Resolution) Ombudsman and Commissions Group of the Year category. I’ll be attending the Awards ceremony with Peter Maddock, Director Assistance—wish us luck!

I will be presenting at the following events:

Celebrating International Women’s Day with WAVES 2024, Fortitude Valley, 8 March 2024.
COSBOA National Small Business Summit, Sydney, 3-4 April 2024.
8th Annual Australian ADR Conference & Awards, Sydney, 21-22 March 2024.

If you are new to our newsletter or would like to learn more about our services, resources, initiatives, and projects, visit the QSBC website. If you are ever unsure and are looking for more information, give us a call on 1300 312 344 or submit an enquiry.

Photo: The Wellshot Hotel's Tracy Hatch with Commissioner Dominique Lamb in Ilfracombe (the hub of the West), February 2024.

Queensland Small Business Commissioner

A common question we receive on our assistance line (1300 312 344) is whether a commercial or retail lease bond needs to be registered with an agency or held in a particular way in Queensland. As we explain in our fact sheet, Security for lease (cash bonds and bank guarantees), there is no legislative requirement for a commercial or retail shop lease security (bond) to be held in a particular manner, registered with a government body, a solicitor, or other authority.

Experience tells us that although leases are often silent on how the bond is to be held, you should check the lease to see if it contains bond conditions or details. If you have questions about bonds or bank guarantees check out the Security for lease fact sheet, or contact our office.

Recently, we published a suite of dispute resolution fact sheets covering topics, including:

Our suite of fact sheets will grow to include more topics and we are preparing to publish translated versions of the same fact sheets in Simplified Chinese, Thai, Vietnamese, and Japanese.

Noosa Council joined the SBF Program in April 2023 and is already making great progress on its small business friendly journey in partnership with the Noosa Chamber of Commerce and Industry and are currenntly working through our SBF Accelerator.

In late 2023, they co-hosted the inaugural, ‘Noosa Connects’ breakfast, a café style event connecting 70 local small business owners with 14 Business Support Program representatives. The keynote speaker, Peter Drennan from Qi Insights delivered a deep dive into the Noosa economy and spoke about influencing economic and social conditions, and local consumer behaviour.

The event was well-received by participants with many not aware of the breadth and depth of support and programs available. The Chamber and Council agreed the event cemented an already positive relationship, and both are committd to maintaining this strong collaboration.

Businesses that haven’t lodged their Taxable payments annual report (TPAR) or submitted a non-lodgment advice form may face penalties if they don’t lodge now.

From 22 March, the ATO will apply penalties to those who:

did not lodge their 2023 or prior year TPAR
have been sent three non-lodgment letters about their overdue TPAR.

Have you received a tax bill that you can’t pay in full and on time? Or maybe you’ve accumulated a tax debt? There is help available if you’re experiencing financial difficulties. You may be eligible to set up a payment plan yourself online.

When you set up a payment plan, you'll need to make an up-front payment and should pay within the shortest possible timeframe to help you avoid interest charges. The later you lodge and pay, the more it will cost you in interest charges and penalties. Interest on overdue tax debts is currently 11.38%, and compounds daily. If you need additional support, reach out to your tax professional or the ATO.

When starting a new business, we have discovered three key resources tailored to different learning styles.

Ideal for those who prefer one-on-one support, the Self-Employment Assistance program helps turn your business idea or existing small business into a viable venture. Access workshops, coaching, a small business health check, business plan development, and advice sessions.

If you're a self-paced learner, explore the ATO's new learning portal offering 21 online courses and tutorials covering general business processes with broad coverage of major industries.

For those who enjoy the journey as much as the destination, the Business Readiness Health Check is a simple tool that assesses the strengths and weaknesses of your new business startup approach. Receive a personalised business report highlighting areas for development and practical resources.

A report commissioned by the Australian Small Business and Family Enterprise Ombudsman (ASBFEO), found that 1 in 3 small businesses face disputes with their digital marketing provider. Sadly, nearly 70 per cent part ways within 12 months! One of the key reasons for disputes arising is a mismatch in expectations, which mirrors the cause of many of the disputes we receive. Here is a best practice guide to better match your needs and expectations with those of digital marketing service providers.

If your business needs to verify customer information (such as age, identity, authority to drive or other details), your customer may use the Digital Licence app to present this information to you. The Digital Licence is legally equivalent to the physical licence under Queensland law. Plus, you don't need to purchase any specific equipment to verify the Digital Licence.

Regional small business groups, industry associations, and councils can now apply for the $2,000 Regional Networker Grant to help bring small businesses and support crew together during Queensland Small Business Month in May. This funding opportunity is designed to support events outside of South-East Queensland, aiming to strengthen networks for small businesses in regional and remote areas. Applications close on 14 March 2024.

Eligible Queensland-based small to medium manufacturers can apply for matched grant funding of between $5,000 and $25,000 to buy equipment or introduce processes that will reduce energy consumption and carbon emissions. Applications for the Manufacturing Energy Efficiency Grant Program close on 30 June 2024 or when funding is fully allocated.

If you are a tourism operator and were unable to trade for a minimum of 14 days due to the impact of Tropical Cyclone Jasper, you might be eligible for a Tourism Exceptional Assistance Grant. The grants of up to $500,000 can be used to cover costs such as wages and salaries, fuel, rent and supplies. Applications close on 11 March 2024.