Although the rise of the online entrepreneur or the stereotype of the corner shop owner, today’s small business owner in Queensland is much more likely to be a tradie than anything else.
The most typical profile of a small business owner in Queensland is male, aged 45, working as a sole trader in the building and construction industry, most likely a carpenter. In fact, recent data analysis and industry profiling has highlighted that small construction businesses make up the largest share of small business in Queensland.
This finding has emerged as part of Construction Skills Queensland (CSQ) research in the lead-up to Queensland Small Business Month, which runs throughout May. It has highlighted that of the 450,000 small businesses in Queensland, 75,000 are building and construction-focused, representing 17% of all small businesses in the economy.
Since 2015, the number of small construction businesses in Queensland has increased by 5,000 – a growth of 8 per cent.
CSQ Research Director Robert Sobyra said that the small business tradie number is likely to continue growing with elevated home building activity.
“More small businesses have sprung up over the last five years, and we would expect this to continue even more so off the back of the current building boom.
“While the construction industry is a massive employer – employing 225,000 Queenslanders – two-thirds of these people work in a small business,” Mr Sobyra said.
“Ninety per cent of Queensland’s construction businesses have a staff of fewer than 5 people, and sixty per cent of them are working solo,” he said.
“The construction industry really is the home of small business in Queensland.”
Mr Sobyra said one of the benefits of attracting people to working in the construction industry was the ability to quickly become your own boss.
“It is not uncommon to find a tradie in their mid-twenties who has set up their own business and will move on to employing staff before they reach thirty.
“This is a much quicker trajectory than what you will find in a corporate setting.
“The building and construction industry rewards hard work and initiative, and young people can quickly move into business ownership.
“But the flipside of this is that many of these new business owners do not have the professional experience and business management skills to run a business to its full potential.
“They are also extremely time poor, so don’t believe they have the space to study or train to get these business management skills,” he said.
CSQ encourages small businesses in the industry to take up heavily subsidised training opportunities designed to help them bridge this gap.
“CSQ has a range of courses specifically designed for small construction businesses, particularly to help new business owners get essential skills so that their business can thrive. These include courses covering various essential areas such as financial management, legal requirements and risk management.”
May is Queensland Small Business Month. CSQ Research Director Robert Sobyra will present CSQ’s industry profiling data and other insights at the Small Business Friendly Conference on 30 April 2021.
Information about CSQ courses for small business can be found here.
For more information on how to start your own small business, see our guide here.
Franchising allows you to run a business by buying into a ready-made business with an existing brand, systems and offering. In some ways, it is a low-risk way to buy a ready-made income.
Small Business Answers has written a complete guide on buying a franchise.
A franchise does indeed come with its own risks and challenges. Many of these risks and challenges can be avoided by doing your homework before you sign on the dotted line.
According to the Australian Competition and Consumer Commission (ACCC), they receive around 500 contacts in a typical year. These enquiries are about people trying to understand their rights and understand if something is within the law. To help small business, the ACCC has produced a new webpage with helpful franchising tips.
The ACCC covers the following topics:
Can you make an income from a franchise
understanding what flexibility you may have and will you really be your own boss
franchising does not guarantee profitability
Will the law protect me if something goes wrong
Franchising agreements are for fixed terms, and then what happens
The page also looks at several case studies, which help put everything into perspective.
The ACCC tips website “Franchising: Is it for you?” can be found here.
The Australian Taxation Office (ATO) has flicked the switch on for its new service Online services for business, replacing its existing Business Portal.
The change makes Online services for business the ATO’s default service for businesses that interact directly with the ATO online.
ATO Deputy Commissioner Deborah Jenkins said, “The Business Portal has served us well over the last 17 years, but it’s time to replace it with a much more contemporary service that’s been developed with business, so we know they’ll enjoy using it.”
“We’ve done extensive testing with clients. In the spirit of designing with the end-user in mind, many businesses have been involved in developing the service from the very beginning. We are grateful for the valuable feedback we’ve received. We’ve made many tweaks and improvements to the service as a result and continue to work through how we can further improve the experience for all businesses as they transition to our online platform.”
The new service makes it easier for businesses to interact with the ATO online and provides a secure channel to manage their tax and super obligations. It can be accessed on multiple devices, including on devices like your smartphones or tablets.
In addition to providing the services available in the Business Portal, Online services for business allows users to access new services including:
• view and print tax returns and income tax history • create payment plans • switch between your businesses with a single login • customise your homepage • access new secure mail subjects.
“The new time-saving features include the ‘switch ABN’ function, which allows clients to easily move between the businesses they manage without having to log out and back in again. Businesses have also told us they love being able to organise a payment plan with us online using the service rather than calling us, which saves them precious time,” Ms Jenkins said.
“We’ve seen a great increase in participation from small business owners making the switch to the new service. Businesses in the professional, scientific and technical services and construction sectors have been quick to jump on board. We’d like to see more of manufacturing, retail trade, health care and social assistance businesses also start using the service”.
Businesses can start using Online services for business by logging in with their myGovID as they did for the Business Portal. Those new to our online services, will need to set up a myGovID and be linked to their organisation through Relationship Authorisation Manager.
“We understand this year has, and continues to be, challenging for many clients. We know businesses have a lot on their plate. So we will maintain the electronic superannuation tool (eSAT) and Business Portal for a transition period over the coming months to help users adjust to the new service. We are here to support businesses through this transition and whilst the new service will ensure an improved experience across a range of services. It is important to note that it is not a replacement for the professional advisory services provided by tax professionals,” Ms Jenkins said.
For information about Online services for business, including how-to guides, visit www.ato.gov.au/OSB.
Small Business Answers guide to tax returns can be found here.
As many small businesses look for ways to bounce back from the many financial pressures experienced during the global pandemic, it can be difficult to pinpoint exactly where to start. Thus budgeting for your future is important.
Whether business leaders like it or not, a budget will be the guiding force that helps them get back on their feet and make strides towards a financially fit future.
For those looking at the best place to start, here are five ways to map out a business budget you’ll actually stick to.
1. Tally your income sources
Where are your main sources of income coming from?
Start by looking at your sales figures, and then add any other sources of income for your business throughout the month.
Do you run any additional services alongside your main product or service offering? This can all add up when it comes to funds coming into your business.
No matter how many income sources you have, it’s essential to account for any and all income flowing into your business. Then tally all those sources to get a clear picture of your total monthly income.
You may also want to differentiate between recurring and one-off income in your accounting software. If you decide to take on any external funding down the track, this will demonstrate consistent revenue to potential investors.
2. Determine fixed costs
Once you’ve sorted out your streams of income, now it’s time to get a handle on your fixed costs.
Fixed costs are any expenses that remain the same from month to month. These include your rent or mortgage, any loan repayments, as well as operating overheads like recurring equipment leasing payments, licenses, or insurances.
Are there ways you can cut down on these fixed costs? Perhaps refinancing your property mortgage or negotiating a lower interest rate for your loan might be a solution? It’s usually worth doing your research into different, more cost-effective platforms, especially in a competitive market with interest rates at record lows. Even if you don’t feel like you have time to look at your loan, it is important to always revisit your options and do your research on new products and rates in the market. Currently, with interest rates at all-time lows, it is a great time to save a significant amount of money, so it is worth allocating time to assess the options available.
3. Calculate your variable expenses
At the end of each month, work out your variable expenses. These costs don’t come with a fixed price tag and can vary in price from month to month, such as electricity, phone bills, or water bills.
These costs can often fluctuate based on usage, so it’s a good idea to go through them with a fine-tooth comb to work out which expenses you need and what ones you can opt out of. Especially if your team only works from the office flexibly instead of full-time. Still, paying for that unused Spotify subscription for office beats?
Maybe the water cooler is no longer on duty, or the fax machine is out of commission? Do you really need to order that extra box of whiteboard markers and backup printer ink? One benefit of transitioning to remote or hybrid working arrangements is that you can cut out any unnecessary expenses that you’re not using regularly anymore.
4. Set up an emergency fund
As a business owner, you’ll know that accidents, issues or a once-in-a-lifetime pandemic can happen. Whether your computer system crashes, the toaster sparks a fire or a freak flood creates water damage, you need to be prepared for any unexpected costs.
Make sure you have some extra funds (around three months worth) tucked away for a rainy day, so you have peace of mind that you’re equipped to cover any surprise costs that come your way.
5. Evaluate your budget monthly, and stick to it
Once you’ve worked out a snapshot of your profit and loss, and you can determine what needs to be covered in your monthly budget, stick to the budget and track its success.
Health-check your budget at least once a month to ensure you have more revenue coming in than costs going out.
Are you actually maintaining your budget? Or blowing it? What expenses can you minimise? Do you have extra budget to play with? Do you really need another desk plant or novelty mug to get the job done? (spoiler: you don’t).
Again, for those businesses eventually looking to raise capital, demonstrating the ability to maintain a lean-burn rate is gold to investors.
In order to be profitable and accurately budget for the future, it’s important to make the necessary adjustments and be realistic with your financial picture.
6. Make your money work for you
As a business owner, you will always have expenses, it is part of running a company, but that doesn’t mean that it needs to be a dead cost for the business.
It is always a good idea to look at your options and think of ways to make your money work better for you.
Think about different ways to manage your cash flow. Always consider taking advantage of loyalty points and how you can use your business expenses to gain rewards through the loyalty programs on offer.
By Brodie Haupt, CEO and co-founder of digital lending and payments provider WLTH
For more tips on budgeting for the future, see Small Business Answers various guides here.
Epson has launched the EB-L200F Full HD multimedia laser projector with many new features and the ideal replacement for existing lamp-based models. It offers 4,500 lumens brightness, a range of wireless and wired connectivity and a scalable display size of up to 12.7m.
Key Features
• 4,500 lumens brightness produces crisp images and bright colours, even in well-lit rooms • A scalable display from 40 to 500 inches giving a sharp Full HD1 picture for excellent readability • Stream and enjoy content easily with Miracast support to project your smartphone or tablet screens without a cable connection • Wireless LAN, Screen Mirroring and dual HDMI for easy integration • Built-in 16W speaker • Fit and forget reliability using Epson’s durable laser technology supported with our three-year warranty for additional peace of mind • The complete solution delivering an incredible 2,500,000:1 contrast ratio for vivid, lifelike content and deeper blacks
This Full HD1 laser display solution allows you to upgrade to laser performance and reliability without paying a premium. The high contrast of 2,500,000:1 and 3LCD technology provides clear content in any working environment, helping to minimise eye strain and keep audiences engaged so you can deliver outstanding presentations.
Compared to other laser products of similar brightness, the fresh, modern, and lighter design makes it easy to replace existing units with the EB-L200F. It can be mounted at and project from any angle, making the EB-L200F ideal as a portable laser projector you can move from location to location.
You can also project longer with exceptional reliability and longer usage life of up to 30,000 hours in Eco Mode. In other words, an additional 10,000 hours from the normal 20,000 hours usage you would expect.
More information and features
• Up to 3 x brighter colours and reliable performance2 – 3LCD, 3-chip technology for both high colour brightness and high white brightness
• Full HD1 resolution for Full HD presentations, videos, images, digital signage and more
• Split screen means you can project from two different image sources for flexible options in the workplace
• Compact size weighing in at only 4kg for easy travel from room to room
• Simple set-up with auto vertical correction and easy-slide horizontal image correction to help get up and running in no time
• Easy to use with a new simple welcome guide and easy-to-use remote puts all the most used functions right at your fingertips
Availability The EB-L200F multimedia laser projector is available now from epson.com.au, and all authorised Epson resellers and retailers for an RRP of $2899.
No one smartphone suits all – a consumer smartphone may be absolutely the wrong device for a business or fleet phone. Motorola is fixing business pain points with a combination of new technology and new business-oriented services.
First, let me clarify that a consumer smartphone may also be a business smartphone. The difference – business smartphone pain points – comes down to reliability, repair time and policy, financing and the big one – security and fleet management.
For business users, the biggest pain points are similar to that of consumers – battery life is a top pain point, followed by performance, storage space, quality and speed. These features are a priority for us at Motorola, and several devices deliver them. But the one thing that stands out in business is security.
Small Business Answers spoke to Ruben Castano, Head of Customer Experience at Motorola Mobility, about how Motorola is fixing business smartphone pain points.
So, whether you are a small business or a vast corporation, an insecure smartphone is the backdoor to your network and trade secrets.
How Motorola is fixing business pain points
Enter Motorola ThinkShield for mobile
Initially developed for Lenovo as ThinkShield for PCs, this takes the mobility aspect and secures it against loss, theft, leaving it in a bar, malware, and espionage.
Its underlying principles are
A clean, unalterable Android operating system that can’t hide malware
Secure by Design. On top of Android’s Core Security and Policies, features such as Hardware-based Revocation, Hardware Root of Trust, Unlocked Bootloader Fuse etc.) and create a chain of trust through system security (including Code Signing, Tamper Proof Identity, Secure Boot and other features).
AI-backed malware, phishing and network defence solutions
Always-on manageability
Zero-touch seamless deployment
Certifications and partnerships with leading endpoint management solutions
Enhanced enterprise support including <24hr Advance Exchange Dispatch
D-Link’s Vigilance Series Surveillance Solutions cater for those needing a reliable, high-resolution business monitoring solution. This solution does not rely on the internet or Wi-Fi. Instead uses a network video recorder and six different types of surveillance cameras that can be relied upon day and night.
What’s so special about Vigilance Series?
It’s a combination of their functionality, simplicity and ease of use. Traditionally business surveillance solutions have been expensive and complicated. The new D-Link Vigilance Series is the opposite.
The DNR-4020-16P H.265 PoE Network Video Recorder provides powerful, professional-grade surveillance supporting up to 16 cameras and their power requirements. With up to 4K Gigabit Ethernet Network port which ensures sufficient bandwidth and reliability.
Cameras can stream in real-time, as well as record and playback footage anytime, anywhere. It also supports ultra-high definition 4K giving viewing experiences of the highest quality.
The DNR-4020-16P network video recorder also features support for H.265 (also known as High-Efficiency Video Coding) for improved storage efficiency, saving up to 50% more storage space than previous standards.
This is a big deal as, over time, most businesses generally demand more cameras and higher-quality footage. The DNR-4020-16P supports a storage capacity of up to 16TB via its two internal 3.5” HDD SATA slots. This is enough for most businesses to enjoy a reasonable period of retaining their footage for later use.
D-Link’s new Vigilance Series Surveillance Solutions also have an accompanying free JustConnect+ Mobile App, enabling easy on-the-go viewing and management.
Without going into too many tech specs, each Vigilance Series Camera features a 2, 4, or 8-Megapixel progressive CMOS sensor, which means they deliver superior quality video. They are also IP66 weather-resistant to maintain maximum performance in outdoor environments.
D-Link have more smarts, too, with a Wide Dynamic Range that ensures that imaging is clear in high contrast lighting conditions and 3D Noise Reduction, allowing the camera to capture clearer videos even under poor lighting conditions. They also have something called “30M IR illuminators”, which in layman’s terms mean the Vigilance range of Cameras presents a clear image even when in complete darkness.
Finally, features such as Corridor Mode provide vertically oriented streaming for the maximised field of view when users need to monitor areas such as hallways, staircases and tunnels. You can also block out sensitive areas with the Privacy Mask feature. Their in-built Motion Detection helps to save bandwidth and makes it easier for me to review footage.
All in all, as a small business owner who wants a cost-effective, reliable, high-resolution business surveillance solution D-Link’s new Vigilance Series provides an excellent choice.
There’s no question the Covid19 pandemic has forever altered the small business landscape in Australia. Lockdowns nationally have accelerated the rise of pre-existing trends towards digitisation, cementing them as fully-formed patterns across different industries and sectors.
While the pandemic hasn’t been easy on the economy, there are many opportunities Australian businesses can leverage in this new terrain of 2021. Businesses need to understand how Covid19 has impacted the economy if they want to make the most of these opportunities.
2020 in hindsight
Before we look ahead, it’s important to understand exactly how Covid19 has impacted the Australian small business landscape. Federal government research has shown the pandemic has affected most businesses to some degree – Victoria the hardest hit due to the second lockdown, which began in August and didn’t begin to ease until late October.
In the early months of the pandemic, many businesses reported a stark downturn in demand for their goods and services. They also reported having to let staff go or decrease staff hours to remain financially viable. In contrast, recruitment numbers across the country looked more promising in later months. A peak unemployment rate of 7.5 per cent in July had only lowered to 6.9 per cent by October, despite most of the country opening up again to varying degrees.
While it’s true the pandemic in Australia certainly hasn’t blown out to the catastrophic proportions seen in some other countries, the economy will need time to recover. Businesses need to be aware of how Covid has reshaped the trajectory of 2021 to take advantage of all the new economic small business landscape has to offer.
What will the Australian economy look like in 2021?
Recovery will be the theme of the year for the Australian economy. While many businesses in states other than Victoria enjoyed the initial ‘bounce-back earlier last year following the end of lockdowns, Melbourne isn’t too far behind.
That said, businesses can’t afford to depend on an initial ‘bounce back’ to move them forward. Deloitte predicted recession-like conditions in Australia throughout 2021; however, it suggested the bounce back in household spending would occur faster than the recovery in business investment. The Reserve Bank believes the country may have escaped recession as early as September 2020 – with growth in other states outweighing the drag in Victoria – addressing the economy will be at the top of the federal government’s plan, either way. Previously-announced measures such as personal tax cuts and business investment incentives may go some way to reversing the pandemic’s economic effects.
Top emerging trends in 2021 your business needs to know about
Australian businesses can boost their recovery by staying on top of emerging industry trends. With the increasing migration of everyday business operations to the digital space thanks to the pandemic. There is a raft of ways businesses can stay ahead of the curve and take advantage of all the ‘new normal’ has to offer.
From hybrid working-from-home arrangements to the necessity of integrating AI into business operations, the future of business in Australia is exciting. However, businesses need to successfully implement these trends ahead of their rivals if they want a competitive advantage in the market.
Aussie broadband has put together a free ebook covering emerging business trends for 2021.
Small Business Answers have a number of guides to help you improve your digital presence.
A recent US survey of over 3000 IT professionals found that even offering them a A$40,000 rise could not entice 64% of them back into the offices. It looks like the COVID WFH-itis (Work-from-Home-itis) is here to stay.
Now before you take sides – work from home or work from an office – the COVID pandemic and lockdowns over the past 12 months have proven that for many non-public facing staff, WHF-itis’ works. Conversely, employers have reasonable rights to expect a return to the office.
US lawyers are salivating over the possibility of massive class actions enshrining WFH as a significant part of the work-choice landscape. Changing employment laws on a state-by-state and whole of government basis will take years. It seems there is the determination to fight for WFH.
A national survey conducted by the Australian Fair Work Commission last year found that only about 5% of WFH workers want to return to the office on a full-time basis. And 35% want to return on a part-time basis only. That leaves 60% who want to maintain WFH. That is unlikely to change until COVID is no longer a threat.
That reflects the Team Blind US Survey results – 64% want to remain WFH and expect a US$30,000 (A$40,000) rise to return to the office. Now, one can argue that the figure is rubbery, and you would be right.
It is more about the ‘principle’ after another US employer-sponsored survey asked if employees would be prepared to take a pay cut to continue to WFH. That incendiary, lead balloon survey assumed that money saved by not having to travel to work, eat take-out etc., should be shared with the boss.
There is a rapidly disappearing middle ground with each side having polarising views.
The Australian WRH-itis legal quandary
Like the US, each Australian State sets awards and work conditions. Federally there are safety nets dictated by Fair Work Commission.
Fair Work Australia (Coronavirus website here) has made it clear that because employment law varies from State to State, there is no one ruling and probably no value in testing each State’s law.
COVID lockdowns forced changes in work patterns and business survival never contemplated by the Fair Work Act, various awards, employers, and employees. Those changes include employees setting up home offices, buying and depreciating equipment, higher energy and internet expenses, making commitments (like moving to larger homes with office space), childcare arrangements and even taxation claims for home offices. These may be things that you cannot undo quickly or easily.
Union/Employee views
Unions say that WFH employees who can reasonably show no productivity loss have a solid case to renegotiate any employer’s expectation of working at the office. The key here is they were employed under one circumstance. Those circumstances changed. They continued to do a good job, and the expectation changed by virtue of the employer requesting WFH.
Unfortunately, few employees have proved metrics for WFH versus office productivity. Unions are quick to remind employees that the absence of any written warnings from employers about a loss of productivity strengthens the WFH position. You can be sure that productivity metrics will become part of future work at the office and WFH employment agreements.
Given the employee has done a good job, the employer may not want to lose their expertise or loyalty (hard things to replace). Fair Work states, ‘Employers should continue exploring alternative working arrangements in their workplace, particularly while social distancing rules apply, such as supporting different types of work from home arrangements where possible.”
The ideal outcome is not termination but negotiation for WFH flexibility. Perhaps flexible work hours (to avoid transport peaks), two-to-three days a week in the office and the rest at home. And if there is a change of duties (what you did before and now after return), the employer must negotiate fairly with you. They can’t cut your salary but should remunerate you if they ask for additional duties.
Employer views – Work From Home
Employers need some sympathy – if they went out of business, there would be no jobs. They reasonably expect that employees will be on tap at the office. After all, workplace culture – that Je ne sais quoi – is what makes their company different to anyone else. Leadership and relationships from top to bottom.
Fair Work states that the employer has a reasonable right to request a return to a ‘safe’ workplace if that was where you worked when you were employed. Those employed during the lockdown may have a legal loophole to continue WHF!
Please note that both Fair Work Australia and various medical authorities have said that until the vast bulk of Australian’s are immunised, and herd immunity prevails, employees have legitimate concerns about returning to the office or using public transport. They cannot be terminated on these grounds if they refuse to return to the office.
To be even fairer to the employer, they have long term commitments to real estate space, equipment, and other fixed overheads. Many are reassessing how the business will look in the future and downsizing to shared facilities etc. It may take a mind shift to go fully digital and get over the need for permanent office space.
And there is the issue of employer data security. The incidence of highly targeted email spear phishing, business payment scams, business email compromise, and data exfiltration from compromised employee computers has skyrocketed. All because work is being done remotely from largely unsecured computers.
Bottom line – if you refuse to return to the office except under certain conditions (like a legitimate fear for your health and safety in workspaces or catching COVID on public transport), your employer can terminate your services.
The Fair Work Commission has a Swinburn University paper ‘ key working from home trends emerging from COVID- 19’ here.
What is a COVID safe workplace?
A COVID-safe workplace means that the employer has to guarantee that protocols are in place to prevent the transmission of COVID to staff. Failure to do so and contract tracing evidence that COVID emanated from the workplace makes the employer liable for civil court action.
By the way – an employee cannot give up their right to a safer workplace. Even if you cut the boss some slack and don’t follow protocol, it does not lessen their liability. It is not negotiable.
Marshals and temperature measurement on entry depending on the business size
Registration as a COVID safe business
COVID tracking sign-in and out (record keeping) for employees, suppliers, contractors, and clients
Physical distancing (1.5m rule and social distancing between desks)
If required, sneeze guard partitions
No hot desks or equipment without COVID safe cleaning in between uses
Cleaning and hygiene for any shared areas like lifts, kitchens, toilets, break rooms etc. several times a day
Alcohol-based sanitiser at multiple locations throughout the workplace, including entry and exit points
Disinfectant surface wipes to clean workstations, printers, phone handsets, keyboard, and mouse
Flexible work times to help avoid peak transport times
No gatherings in boardrooms unless they meet social distance rules – video meetings preferred
Contactless deliveries where possible
Increase natural ventilation by opening windows and doors, and increase mechanical ventilation by using air purifiers, maximising the intake of outside air and reducing or avoiding recirculation of air
A WFH backup plan and home quarantine plans just in case
Can my staff work from home?
We covered this because the Blind Teams survey was on the mainly desk-bound IT industry that uses collaboration to do their best work. It does not cover front line responders and public-facing staff who face a very different working landscape.
Our key message to both employees and employers is that talking about the issue is preferable to the alternative. In many respects, and particularly as neither party can sign their rights away, it all boils down to flexibility until COVID is no longer a threat. And hopefully, no other pandemics come our way.
