A daily download of SME, startup, fintech and tax news from around Australia.
The rate of failure for Australian businesses shot up last financial year and the number of start-ups entering the economy went backwards.
The number of businesses that went under in the 2018 financial year lifted 12.7 per cent to a total of 54,992, according to business start-ups and failures data collected by illion (formerly Dun & Bradstreet).
Small business doesn’t trust the banks. It rates them as slow and too demanding, which suggests an upstart like Judo Capital has a head start in growing its business.
Right now Judo, which opened its doors in April, has just $50 million in loans, which indicates the start-up lender has a way to go.
Payment times have fallen markedly over the last year, new analysis suggests, with the average overdue invoice now standing at 11 days – although there is significant variation by state and industry.
Data analytics firm illion has been tracking payment times in Australia since 2011, and found that in June 2018, the average outstanding time for payments fell by 25 per cent to reach a new low of 11 days.
The government’s pre-election plan to fast track company tax cuts for small and medium business would cost up to $3.6 billion and be complete by as early as 2021-22, five years earlier than scheduled, according to costings prepared by federal Treasury.
The policy, flagged by Malcolm TurnbullThe Hon. Malcolm Turnbull MP, Federal Member for Wentworth Prime Minister from 15.9.15, Scott MorrisonThe Hon. Scott Morrison, Federal Member for Cook Treasurer from 21.9.15 and Mathias Cormann two days before the leadership spill, was developed and costed in anticipation the Senate would block the remainder of the company tax cut package for larger businesses.