# Albanese Government Enhances Support for Small Businesses

The Albanese Government is steadfast in its commitment to bolster support for Australia’s 2.66 million small businesses. By extending crucial assistance programs and pushing for faster, fairer payment practices from large companies, the Government aims to create a more equitable business environment.

## Additional Funding for Mental Health and Financial Counseling

Effective from **July 1**, the Government will allocate an impressive **$8 million** in additional funding to continue the NewAccess for Small Business Owners (NASBO) program and the Small Business Debt Helpline for another year. This extension is crucial for small business operators who often navigate a multitude of challenges.

Since its inception in **2021**, NASBO has successfully provided support to over **8,000 small business owners** across the nation. It offers free, confidential mental health assistance facilitated by trained coaches who understand the unique pressures of managing a small enterprise. This support is vital, especially during times of stress, as it allows business owners to focus on their operations without the burden of mental health issues.

On the financial front, the Small Business Debt Helpline offers independent, confidential financial counseling to small businesses struggling with cash flow challenges. This service assists owners in navigating complex financial landscapes, negotiating terms with lenders and suppliers, and ultimately making informed decisions that secure their business’s future.

### Complementary Measures for Small Business Growth

These measures are part of a broader array of initiatives that the Albanese Government is implementing to alleviate the financial strains on small businesses. This includes the extension of the **Instant Asset Write Off**, additional tax reliefs benefiting **1.5 million sole traders**, and a significant **$5,000** incentive for apprentices in key sectors.

## Insights from the Payment Times Reporting Regulator

Recent data from the Payment Times Reporting Regulator sheds light on payment practices and highlights areas needing improvement. The **Payment Times Reporting Scheme** mandates that large companies with annual consolidated revenue exceeding **$100 million** must publicly report their payment timelines to small business suppliers. This transparency helps to hold these larger organizations accountable for their financial interactions with smaller counterparts.

The January update indicates that Commonwealth entities are leading the charge, settling small business invoices within an average of **16.4 days**—a marked improvement compared to the national average of **27.4 days**. Such progress is vital, as timely payments can be the determining factor between survival and success for small businesses.

In an effort to enhance accountability, the Regulator has reached out to over **1,300 large entities** suspected of underreporting their payment practices. This proactive approach has resulted in numerous corrective actions, including the lodging of hundreds of missed reports and the issuing of formal warnings. Notably, infringement notices have also been administered for the first time under this scheme.

### New Powers and Reporting Portal

To further reinforce good practices, the Regulator is introducing new powers that may compel the slowest **20% of small business payers** to publicly disclose their poor payment habits. This transparency will extend to their websites and other company-related materials, illuminating practices that undermine the health of small businesses.

Set to launch in **February**, a new Payment Times Reporting Portal aims to simplify reporting requirements while reducing bureaucratic hurdles for businesses that prioritize fair dealings.

## Minister for Small Business, Anne Aly’s Statements

### A Commitment to Small Businesses

According to the Minister for Small Business, **Anne Aly**, “Australia’s small businesses are foundational to our economy and communities. They are not just economic units; they are the job creators and community pillars that shape our regions and cities. This is why the Albanese Government is committed to supporting Australia’s record high **2.66 million** small businesses as they navigate growth and success. Since taking office, we’ve seen the establishment of **26,000 new businesses** every month—a testament to the ambition, resilience, and forward-thinking spirit of Australians.”

### The Economic Impact of Small Enterprises

“Employing **5.2 million** people, small businesses contribute nearly **$600 billion** to our nation’s economy each year. This additional funding will enable small business owners to access free mental health and financial counseling resources during challenging times. It’s crucial that no entrepreneur feels they have to shoulder these burdens alone,” Aly emphasized.

### The Importance of Timely Payments

“Cash flow is paramount. Receiving payments on time can be the defining line between merely surviving and genuinely thriving. It is imperative for large enterprises with annual revenues over **$100 million** to fulfill their responsibility to pay their small business suppliers in a fair and prompt manner,” she concluded.

## Utilizing AI legalese decoder for Enhanced Compliance

In navigating the complexities of financial obligations and regulatory frameworks, small business owners can significantly benefit from tools like the **AI legalese decoder**. This innovative AI tool simplifies legal language, making it easier for entrepreneurs to understand their rights and obligations under various assistance programs, including the Payment Times Reporting Scheme.

By translating complex legal terminology into clear, accessible language, the AI legalese decoder empowers small business owners to make informed decisions. It aids in comprehending financial counseling options and ensures compliance with reporting requirements without the headache of deciphering legal jargon. This level of clarity can enhance confidence and facilitate better financial management practices, ultimately aiding in the growth and sustainability of small businesses in Australia.