Making up close to 60% of our nations Gross Domestic Product currently, SMEs are leading the way for innovation, change, adaptability, and growth.
According to Kate Carnell, AO Australian Small Business and Family Enterprise Ombudsman “Tens of thousands of small businesses are entering and leaving the economy every year” and the challenge for Australia is in supporting, nurturing, and promoting these businesses.
“The small business environment is a very dynamic medium that allows entrepreneurs to pursue their dreams, unencumbered by the strictures of larger and more bureaucratic business structures. As such, small businesses …. are perfectly placed to pursue innovative opportunities in the new Australian economy” Kate Carnell, Small Business in the Australian Economy, Commonwealth of Australia 2016.
To better understand the current SME market, we took a look at the National Australia Bank Moments that Matter report which surveyed over 800 small and medium businesses in Australia. What this report uncovered was the measure of success, and therefore the priority, for small and medium businesses in Australia is:
- financial management (58%)
- positive word of mouth (56%)
- productive staff (49%)
- happy staff (45%)
As reported by NAB, a business considers their milestones, or achievements, to include their first big sale, investing in machinery, or employing their first staff member. NAB’s Moment’s that Matter report indicate that one in 10 (12%) of SMEs are in a constant state of expansion and “investment made by businesses over the last 12 months also demonstrates a focus on growth“.
“You constantly need to adapt. I’ve been in business 27 years and I’d say every two years we’ve had to change in some way, either because of market forces or changes to industry regulations or tax/employment regulations.” commented one of the business owners surveyed by NAB.
The “One thing all SMEs seem to have in common is the knowledge that in order to succeed they need to be adaptive to change” Cec Busby – The future looks bright for Australia’s small businesses agrees.
Contact us today to find out how The Alternative Board can help you prioritise your business goals, reach your milestones and drive growth.