Queensland’s Minister for Employment and Small Business Shannon Fentiman is calling on big business to do the right thing and pay their small business suppliers on time.
The Minister has added her voice to that of Australian Small Business and Family Enterprise Ombudsman Kate Carnell in the campaign for big business to step up.
“We know our thousands of small businesses are doing it tough right now and we need to do everything we can to help them stay open and keep people in jobs,” Ms Fentiman said.
“Our small businesses don’t have the financial resources of the large corporations and they need to be paid as early as possible to give them the best chance of surviving COVID-19.
“I am disappointed by reports of big businesses using the coronavirus crisis as an excuse to delay payments.
“Our small business sector is struggling and businesses need cash flow to stay afloat.
“More large corporations should follow the lead of companies such as Telstra, BHP, Rio Tinto and Woolworths and introduce faster payments to help the small suppliers.”
“BHP is reducing payment terms from 30 days to seven days for more than 1,100 small businesses across the country.
“And they are making immediate payments of outstanding invoices which is a big help to small suppliers, especially right now.”
With the current COVID-19 crisis accelerating, the Queensland Government will be fast-tracking payment times to support our local businesses as a matter of urgency.
“Because we know cashflow is key to businesses and jobs,” she said.
“The Director General of Department of Premier and Cabinet has said all suppliers should be paid as soon as service or goods have been provided.
“I would encourage companies to do the same so we can support our local economy and businesses to get through this crisis together.”
The Minister also encouraged small businesses to register for faster payments from the State Government.
From 1 July 2020 businesses will be paid within 20 days if they register on the Business Queensland website www.business.qld.gov.au/starting-business/advice-support/support/small-business/on-time-payment-policy/on-time-policy