New lending fund a much-needed boost to small business

New lending fund a much-needed boost to small business

Hunter Business Chamber has welcomed the announcement of the Australian Business Securitisation Fund, which is intended to make it easier for small business owners to access finance.

The federal government announced plans last week to create the $2 billion taxpayer-funded scheme to provide an alternative line of credit for small businesses, which often have difficulty securing loans from the big banks.

Chief Executive Officer, Bob Hawes said restricted access to finance was a key barrier to start-up, growth and diversification for many small businesses in the Hunter.

“For many small business owners, mortgaging the family home is the only option for securing additional funding for their business operations,” Bob said.

“Just last week, chamber members heard that very scenario from our business breakfast presenter, Port Stephens-based Bondi Chai owner Melissa Edyvean, who had to refinance her home to get her business up and running.

“It’s a situation that takes start-ups and small business owners down a path known as the valley of death, a cycle of borrowing to cover negative cash flow while enabling the continued growth needed to make a business profitable.

“We are yet to hear the detail of the government’s proposed fund, but we welcome in principle any program that will improve accessibility to finance for SMEs.”

The issue of small business access to finance was first raised by the NSW Business Chamber in its 2013 Thinking Business Report – Small Business Access to Finance.

“This is an issue that we’ve continued to advocate for on behalf of our members to all sides of the political spectrum and it’s pleasing to see it finally being acted upon by the Morrison Government,” Bob said.

“Through the proposed new measure, we hope to see greater access and more affordable finance for small businesses everywhere. This access to finance is so important for future small business growth, sustainability and job creation.”

IMAGE | Bob Hawes with a local business owner.

Business Hunter

Business Hunter is the new name for the organisation formerly known as the Hunter Business Chamber. We are the largest regional peak business group in Australia, representing members across all business and industry sectors. Business Hunter is a not-for-profit member organisation dedicated to connecting people in business with what they need to succeed.

We have been the voice of business in the Hunter since 1886. Our members are part of a network of more than 2,500 businesses across the region. That network includes members of 20 aligned local chambers across 10 local government areas, stretching from the Mid North Coast to Lake Macquarie and inland to Scone. From main-street retailers to ASX 100 corporates, our member businesses power Australia's strongest regional economy. 

The name Business Hunter was adopted in February 2020 to better reflect the vibrant and diverse businesses the organisation represents. The new name also aligns with our affiliates Business NSW and Business Australia.

Business Hunter has been through a number of name changes; what has never changed is our commitment to helping our members do business better, to drive growth and prosperity in the Hunter region.

Trending Articles

Advertise with us

Affordable and engaging advertising to a business community

Submit an article

Tell your story to the Hunter business community

Does your business need a little help with its marketing?

Marketing strategies

This website uses cookies
We use cookies to personalise content and ads, to provide social media features and to analyse our traffic. We also share information about your use of our site with our social media, advertising and analytics partners who may combine it with other information that you’ve provided to them or that they’ve collected from your use of their services.