The factsheet outlines steps to manage debt concerns and provides key resources
The Australian Banking Association (ABA) has partnered with Chartered Accountants Australia and New Zealand (CAANZ), CPA Australia, and the Australian Taxation Office (ATO) to issue a factsheet aimed at assisting small businesses struggling with debt repayments.
The initiative builds on the ABA’s ongoing campaign reminding small business owners facing financial difficulties of the various support options that are available to them.
ABA chief executive Anna Bligh (pictured) urged small business owners to seek help if they are concerned about their financial situation.
“If you’re feeling stressed about your finances or existing debts, seek help from your bank, accountant, or a financial counsellor right away,” she said. “For any debts you have with the ATO, get in touch with them early on so they can work with you on managing the debt.”
ATO assistant commissioner Anita Challen also stressed the importance of early engagement, urging businesses to reach out to the taxation office or a trusted advisor to explore support options.
“We want to work with businesses to help them get back on track with paying their tax debts,” Challen said. “For small businesses who need support, there are a range of support options available.”
The factsheet includes steps to take if an owner of a small business is concerned about his debts, along with helpful resources and contact information.
Bligh noted that rising costs are impacting many small business owners, emphasising the importance of contacting banks early to seek assistance.
“Our small businesses are incredibly resilient, but banks want customers to know they are not alone if they feel like they are struggling to make repayments,” she added. “Don’t be afraid to contact your bank as soon as possible. They have specialised teams ready to help, and the sooner you get in touch, the sooner your bank can review your circumstances.”
Ainslie van Onselen, chief executive of Chartered Accountants Australia and New Zealand, encouraged small business owners to consult with their chartered accountants at the first sign of financial stress.
“Chartered accountants have the expertise to help your small business find the best path forward from looking at your business structure, to identifying cash-flow improvements and helping manage outstanding debt,” van Onselen said. “In a cost-of-living crisis, having a chartered accountant in your corner supporting your business is a great way to manage through economic and financial pressures.”
For his part, CPA Australia chief executive Chris Freeland highlighted the critical role of small businesses in the Australian economy and urged those experiencing difficulties to seek support.
“Small businesses are an essential part of our economy, and millions of enterprising Australians live and breathe their business,” he said. “When circumstances change and financial pressure builds, seeking advice from your accountant or bank is key to making informed decisions and ensuring the survival and growth of your business.”
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