Top 10 suburbs for online shopping

Australia’s delivery company CouriersPlease (CP) has analysed its own parcel delivery data and has published the top 10 suburbs for online shopping volumes in 2022, and top 10 suburbs with the fastest growth in online shopping

Parcel delivery volumes are a good barometer of online shopping volumes. CP delivers more than 20 million parcels a year to online shoppers throughout Australia for retailers such as Myer, Target and Forever New. Since early 2020, CP experienced an exponential and continuing growth in parcel volumes. In the 2021 December quarter, CP received 30 per cent more parcels than in the 2020 December quarter.

Chief Transformation Officer Jessica Ip says: “Even with Australia relaxing pandemic restrictions, our own volumes indicate that, for many, online shopping was a behaviour formed during restrictions and will remain. Research shows that in 2021, 68 per cent of Australians shopped online for non-essentials. Even after the pandemic, 50 per cent plan to use online as their main shopping channel, up from 32 per cent pre-pandemic, while 50 per cent intend to shop in-store, down from 68 per cent pre-pandemic.[1]

The top 10 suburbs for online shopping in Australia in 2022

Based on 2021 parcel delivery volumes, Jessica forecasts this year’s top 10 suburbs for online goods purchases. She says: “With Melbourne living through 109 days of lockdown in 2021, it’s no surprise that its suburbs make up eight of the top 10. Even with Melbourne now open, the lingering ripple effect of lockdowns is that residents may be far more conscious of infection risks and are likely to continue shopping online. Melbourne’s suburbs will continue to top the list in 2022.”

  1. Melbourne (3000)
  2. Truganina (3029)
  3. Pakenham (3810)
  4. Berwick (3806)
  5. Point Cook (3030)
  6. Sunbury (3429)
  7. Sydney (2000)
  8. Adelaide (5000)
  9. Reservoir (3073)
  10. Frankston (3199)

The 10 Australian suburbs that will see the biggest growth in online shopping

Interestingly, outer Sydney suburbs dominate the 10 highest growth areas for online shopping, where parcel volumes have soared by up to 200 per cent in the last year. CP forecasts that online shopping growth from these suburbs will continue to dominate other suburbs.

  1. Clyde North (3978) (200% increase in volumes)
  2. North Kellyville (2155) (185% increase)
  3. Fountain Gate (3805) (184%)
  4. Eastgardens (2036) (146%)
  5. Belconnen (2617) (99%)
  6. Edmondson Park (2174) (95%)
  7. Leppington (2179) (87%)
  8. Denham Court (2565) (81%)
  9. Gregory Hills (2557) (81%)
  10. The Ponds (2769) (79%)

Jessica adds: “The demographics that dominate the list are high-income earners, aspirational, and many of these suburbs have new estates and large houses.”

The weekly household income in suburbs such as North Kellyville, Edmondson Park, Gregory Hills and The Ponds, well exceed Australia’s median household income of $1438.[2]

“Most of the suburbs represented in these rankings are in NSW and Victoria, which experienced restrictions and lockdowns for at least half of 2021.”


[1] Monash University, November 2021 impact.monash.edu/retail/how-covid-19-changed-the-way-we-shop-again/

[2] ABS, 2016 Census data, quickstats.censusdata.abs.gov.au/census_services/getproduct/census/2016/quickstat/SSC11383?opendocument

Budget to help cashflow and invest in workers

Leading non-bank business lender, ScotPac has welcomed federal budget initiatives that will help small and medium small businesses improve their cash flow, invest in digital upgrades, and attract apprentices and young workers.
ScotPac CEO, Jon Sutton said the reduction in the GDP uplift rate – used to calculate quarterly PAYG instalments and GST instalments – from 10% to 2%, would smooth cash flow for millions of SMEs.
“We know from responses to the ScotPac SME Growth Index that cash flow is a constant concern for most small businesses, so budget measures to help SMEs to manage cash flow are welcomed.
“SMEs will also welcome the 20% bonus tax deduction for spending on digital assets and training. This targets expenditures that can boost capabilities and productivity, such as laptops, cybersecurity upgrades, e-invoicing and cloud computing courses.
“And new wage subsidies for apprentices and young people will help those SMEs in sectors facing skills shortages.
“At a time when the recovery from the COVID-19 pandemic has been stalled by floods, supply chain constraints and rapidly escalating costs, we welcome budget measures to help Australian small businesses bounce back,” he said.


The key budget initiatives for SMEs to note include:

  • The 10 per cent GDP uplift rate that applies to PAYG and GST instalments will be reduced to 2 per cent for the 2022/23 financial year (pending support for legislation).
  • $1 billion over four years so small businesses can claim 120% of digital assets and training, like the cost of laptops, cloud computing and other services to help them “go digital”.
  • $550 million to cover 120% of the cost of any external staff training courses delivered to employees in Australia or online by providers registered in Australia.
  • $2.4 billion to boost apprenticeship uptake. Apprentices in high-demand industries will get up to $5000 in cash payments for the first two years of their training, while employers can access a 10% wage subsidy that will drop to 5% in the third year.
  • Petrol excise reduction from 44.2 cents per litre to 22.1 cents per litre for six months from 30 March.
  • Businesses with annual turnovers of less than $50 million will be allowed to lodge and pay excise and excise-equivalent customs duty on a quarterly basis, from 1 July 2023. Currently, most of these businesses report monthly, with some reporting weekly.
  • Real-time PAYG calculations based on financial performance. Companies that report losses or lower than anticipated profits will get an automatic refund of tax paid from 2024.


Mr Sutton said SMEs are currently facing challenges on many fronts and letting small businesses get on with running their business must be a priority for any Government.
“Excessive regulation and compliance is a hand brake on small business and the economy. Some of the budget measures to reduce compliance and red tape are therefore welcome to help small businesses get back on their feet.”
“At ScotPac, we understand the pressures SMEs are currently facing which is why we announced last week the extension of our SME Bounce Back Fund which allows business owners to access up to $1million working capital funding through trade finance and invoice finance with the first three months being interest-free.
“The extension until the end of the financial year of the SME Bounce Back fund is a continuation of our commitment to the SME sector,” Mr Sutton said.

Struggling to find talent?

It’s no question that certain industries are struggling to find talent right now in Australia. 

Although this is a real problem, there are real solutions… Over the previous 3 years, in particular, I have found most owners are unwilling to explore them.

This solution could set you miles ahead of your competitors, could give you an ever-flowing stream of candidates at your fingertips whenever you need them, could increase the longevity of your staff, no matter what industry you are in. You probably won’t like this solution because it is hard work… but at least now you have an option you may not have heard of, that could revolutionise the way you hire. 

Solution to struggling to find talent:

The single biggest factor that could break open your hiring role is widening your criteria. And the best, most valuable way to do this is to create a Training Program to upskill candidates and open the role to diversified and transferable skill sets as well as more junior candidates. 

We can’t always expect other companies to be the training ground – that’s just hypocritical. Of course, there are pros and cons, but here is how I see it:

Almost every single company that comes to me, challenged for finding staff, also refuses to train anyone new. “I want someone who is already trained, Marnie.” They tell me. Although I completely understand this, we are now in an age where, as owners, we must take responsibility for training new team members if we are to have any great staff at all. 

The second route is harder, no doubt. But it opens the door to building a team that would cost you much, much less to build, allow you to cultivate the culture you want, and expands your authority in the market. When you take the second route, you can have your choice. You never have to throw money at someone to convince them to join your team and aren’t in the same race your competitors are in. 

Your focus becomes finding people who have proven they can learn and who have transferable skills that the role requires such as communication, attention to detail, customer service, etc. 

If you build your own Training Program and really spend the time really figuring it out, you can have a pool of candidates to choose from at any one time. Spend the 6 months of hard work really nailing your training program and then after that you aren’t at the whim of the candidate market ever again. Take the first route and you are controlled by the market and restricted in your growth. 

Of course, this may be tricky for some roles that require technical experience but try where you can. 

Here are my top tips in creating the ultimate Training Program:
  1. It helps to add to all staff contracts that they will be required to upskill their teammates as a part of their role. Share the workload of training. 
  2. Define each level of expertise so there is a clear path, and attach bonuses to it. For example, I created a series of Competency Statuses that start from novice and move up into master. I define each status and have an increased bonus at each level. 
  3. Build an online course. Don’t get too serious about it, just lay out the key most vital things they would need to know and lay them out in sequence. I have built an online course for my team that can get someone up and running in 2 weeks with absolutely no experience. 
  4. When hiring, focus on finding those Overachievers who have gone above and beyond in their roles and Reference Check them so thoroughly that you feel you have a grasp on their true value. Then train them on the rest, incentivize them with bonuses, and they appreciate the role more than anyone else ever would (plus they’re cheaper).

In most cases, the second route of building and integrating training programs is the most rewarding and makes the most sense if you’re working to build a dream team. 

Imagine building such an amazing Training Program, that in the future, if your candidates leave you, your competitors will prioritise potential candidates that come from doing your training. How could this elevate you in your field? Not to mention the positive sentiment and brand awareness you would gain as an employer, with word spreading about how you give employees a chance to grow in their own careers.

Whether you like it or not, the businesses that will make it long term are the ones who begin by taking responsibility for the “experience shortage”, broadening their hiring scope and providing a robust Training Program.

Struggling to find talent speak with specialist talent recruiter Marnie Jones Founder and Director of Talent X.

Influencer Marketing 101

These days, influencer marketing is one of the leading strategies for small businesses. Partnering with influencers can be a great way to raise brand awareness, get your products and/or services in front of a new audience and drive real results for your small business. However, with recent advertising changes being flagged for health products, the boundaries for influencer marketing have become more complex, and it can be difficult to navigate for Australian small businesses owners.

Influencer marketing is a social media marketing strategy that connects influential social media users with brands. These collaborations provide brands with access to pre-filtered, like-minded audiences via a trusted, influential source.

What is influencer marketing, and why should you consider it?

Influencer marketing is a social media marketing strategy that connects influential social media users with brands. These collaborations provide brands with access to pre-filtered, like-minded audiences via a trusted, influential source. The biggest benefit of influencer marketing for small businesses is its efficacy and affordability. Influencer marketing delivers a high ROI and has a low barrier to entry. According to the Influencer Marketing Survey from Mediakix,.Influencer marketing is 11 times more effective than other digital media strategies — and while businesses make, on average, approximately $2 for every $1 they spend on Google AdWords, the earned media value for influencer marketing is an astounding $11.69 for every dollar spent.

How can you get started on creating an effective influencer marketing strategy?

The first step is doing your research. Before you start crafting your strategy, consider which social platform your audience is spending most of its time on, the type of content they consume and how they engage with brands. This will provide you with a clear idea of which channel you should focus on and leverage, e.g. Facebook, Twitter, Instagram or TikTok.

Look at what competitors are doing in this space to help guide your strategy. Make sure that you focus on what you could do that is new and interesting based on your own unique brand and product offer and align it with your overall business goals. Finally, draft a clear influencer brief including objectives, key messages, deliverables and timings with a call for influencer collaboration on the concept. Be willing to listen to their ideas, as content creators know their audiences better than you do.

How do you budget for influencer engagement?

While you can “gift” your product to an influencer, you have no guarantee of exposure or content created. Whereas, if you agree with an influencer for a paid collaboration, you have full creative control with final approval of all content before posting.

There are three ways of payment to consider; either contra (providing product), cash, or both. The choice of payment comes down to various factors, including an influencers’:

  • Total followers – Nano (under 10k), micro (10k and 100k followers), macro-influencers (100k and 1M followers) vs mega (over 1M)

*Key to note here that bigger isn’t always better. Never underestimate the power of micro-influencers who typically have highly engaged followers and may be more inclined to a contra agreement

  • Engagement rate – A percentage for social posts based on followers vs audience engagement
  • Level of activity – Social posts vs marketing campaign, one-off vs long-term partnership

How do you find and engage influencers?

Once you have a budget outline, you need to consider what influencers you would like to engage with and your return on investment. Start by auditing your own followers and potentially converting your existing customers into advocates, ultimately positioning them as ambassadors. Next, make a list of influencers who align with your business’ values and your budget and review the content for genuine engagement. After you’ve done your research, it’s time to make contact and start negotiating.

What are the advertising regulations for influencers?

When posting across social media, the influencer is ethically obligated to disclose any partnership with hashtags such as #Ad or an acknowledgment within the caption. For best practice guides, always refer to AiMCO, the Australian Influencer Marketing Council, which have outlined the Influencer Marketing Code of Practice for Australia.

Also, keep a close eye on updates to regulations that might affect your industry. For example, the recent changes to the Therapeutic Goods Administration Social Media Guide prohibit influencers from making testimonials about therapeutic goods but still allows for paid posts.

Implementing an influencer strategy can help your small business grow to align with your brand values while increasing your bottom line. And with the current spike in social and digital consumption and more audiences tuning into trusted online personalities, now is the time to tap into one of the fastest-growing e-commerce strategies and harness the power of influencer marketing.

Vista Australia’s Senior Director in Marketing, Sales & CX, Linda McDonald,  has shared her starting guide to influencer marketing.

Should hybrid workers should be paid less

Poly , today released its Recruit Retain and Grow research which highlights the key benefits and pain points of remote and hybrid working for businesses. The research showed that despite 72% of organisations seeing an increase in productivity as a result of hybrid working, 74% believe that the increase in home working due to the pandemic has made fostering work culture harder than ever.

Poly’s report, Recruit, Retain and Grow, examines how prepared organisations are for the future of work – looking at everything from recruitment and retention to hybrid strategy, workforce and wellness, through the lens of 2,528 global business decision-makers, including 104 decision-makers from Australia.

Key findings from Poly’s new research include:

·        Recruitment and retention are at risk: Over half (56%) of all organisations (53% from Australia) believe that if they don’t address their hybrid work processes and plans, they’ll start to lose staff and will be unable to attract new talent. This was particularly pronounced in the APAC region (60%), compared to 55% in EMEA and 53% in the Americas. Globally, organisations have already felt the effects of this, with 58% seeing a greater turnover in staff since the start of the pandemic. Exiting employees disclosed that the top reasons for leaving are tied to their employer’s approach to hybrid work:

o   Employees discovered better-suited jobs (19%)

o   Employees did not get the desired flexibility of hybrid working (16%)

o   Employees were unhappy about the way employers handled COVID (9%)

Amongst Australian respondents, the key reasons employees left their roles were:

o   They didn’t have enough work/life balance (18%)

o   They wanted more flexibility around any time/hybrid/remote working  (17%)

·        Strategy and equality are misaligned: Less than half (48%) of all organisations (43% in Australia) are fully prepared for agile working, while 37% (38% in Australia) are only prepared in the short-term. A further 52% (49% in Australia) think that hybrid work is a blip. Meanwhile, 24% of the Americas and APAC employers (20% of Australian employers), and 17% of EMEA employers are demanding that their employees return to the office full-time. Other prominent perspectives of employers are:

o   Employees should be given the right to request flexible working from day one (80%) (74% for Australia)

o   Employees are being given rules on the number of days they are required to be in the office (84%) (81% for Australia)

o   38% of organisations (34% in Australia) think it’s fair to cut the wages of employees that opt to work remotely full-time or take a hybrid work approach, with a further 22% (15% in Australia) stating it’s fair to cut wages of remote workers, but not hybrid workers

o   Employees are in offices sporadically, so downsizing spaces is the next step (22%) (25% in Australia)

·        Culture and workforce wellness shortfall is causing productivity lags: 72% of surveyed companies saw an increase in productivity as a result of the shift to hybrid work, with a global average increase of 27%. However, 62%, 61% and 56% of organisations in APAC, EMEA and Americas believe that if employees aren’t in the office, they won’t build the relationships they need to progress their career (however, this figure was far lower amongst Australian organisations at only 21%). Other key concerns included:

o   Employers worry there is an unhealthy culture of overworking (49%) (51% in Australia)

o   Employers aren’t taking steps to prevent people feeling like they need to be always-on (49%) (51% in Australia)

o   Employers are concerned that remote working has made fostering and retaining work culture harder than ever (74%)

Equality, Experience and Evolution to Recruit, Retain and Grow

Poly’s research showed that with so many people now working from home, 65% of organisations (62% in Australia) believe the office is no longer the face of the company, but the technology and experience is. Expanding the quotient of spaces available rather than the definition as to whether the space is virtual, offsite, remote or hybrid, will help employers develop a robust hybrid work strategy.

·        Equalise virtual experiences through meeting equality

Forward-looking companies are investing in software and devices equally with cloud applications and collaboration software at 92% each, and headsets, cameras, and speakerphones at 89%, 86% and 83%, respectively (85%, 86%, and 84%, respectively, for Australia).

·        Equalise office experiences through redesign

77% of companies (68% in Australia) are redesigning their office with more open plan areas, collaboration spaces, quiet zones, and areas to socialise.

“At Poly, we believe that being able to provide hybrid working option is not the endgame, but a starting point for the competitive organisations of today, and our research validates our point of view,” said Bill Zeng, Senior Director, APAC, Poly.

“Employees are voting with their feet in favour of companies that support workspaces with an effective organisational culture for people, and a robust technology enablement approach. Businesses must put an emphasis on achieving work equality – ensuring that those who wish to work away from the central office are not penalised with an inferior experience, and this includes receiving equal remuneration. More than just technology – people and spaces are also critical for any business strategy. This could be the difference between success and failure.” For more information on Poly’s Recruit, Retain and Grow study, please visit: https://www.poly.com/au/

Read Small Business Answers guide to headsets.

EPOS EXPAND 40 Collaboration, Simplified

EPOS, the premium audio brand, meets the growing needs of the hybrid workforce with a plug-and-play Bluetooth® speakerphone designed for small- to medium-sized meeting rooms. The EXPAND 40 Series takes away common meeting frustrations such as complicated setup and disjointed audio, making way for stress-free collaboration where every member of the team can be heard, regardless of the location.  Building on the strong foundations of the EXPAND Line speakerphones, the EXPAND 40 Series comes in three versions: UC Optimised (with or without Bluetooth® USB dongle) and Microsoft Teams Certified* with Bluetooth® USB dongle. 

Take Control of Meeting Room Acoustics
Meeting room acoustics can vary, which is why having a solution that filters out background noise and removes room reverb is critical to smooth collaboration. The EXPAND 40 isolates individual voices on the call with three beamforming microphones, creating a rich sound experience for everyone, whether they’re joining from the office or remotely.

Simplified Collaboration
With more meetings taking place in remote or hybrid settings, it’s more important than ever to recreate some of the in-person energy that is often lost in online exchanges. Industry-leading duplex performance lets teams engage in lively discussions where participants can speak at the same time without being cut off, breathing life back into online meetings and brainstorming sessions.

Connect and Go
The EXPAND 40 Series allows users to easily and quickly connect to meetings using a USB-C cable or Bluetooth® dongle. EPOS’ Software Solutions make it quick and easy for IT Managers to tailor preferences and update the device with the latest firmware, taking the legwork out of device management and leaving time for other tasks.

“The launch of the EXPAND 40 Series is the natural next step for EPOS. As we continue to meet the needs of an ever-changing workforce, we remain laser-focused on removing obstacles from the pursuit of meaningful collaboration online, helping to bring back enjoyment to everyday work settings”, Theis Mørk, VP Product Management.

Click here to find further information about the EXPAND 40 Series.

MRSP: AUD$ 533-625

Recruitable – employment for people with disability

Randstad, the world’s largest recruiter, has partnered with Get Skilled Access, founded by multiple Wheelchair Tennis Grand Slam Champion, Paralympian, disability advocate and 2022 Australian of the Year, Dylan Alcott AO, to launch Recruitable – a ground-breaking mainstream recruitment program to transform employment opportunities for people with disability.

Supported by funding from the Morrison Government, the national pilot is designed to increase the inclusion and accessibility of mainstream recruitment processes by enhancing capacity and capability to employ more candidates with a disability. It will allow people with disability of working age (around 2.1 million Australians, AIHW) to have more choice and control over their careers.

Major Australian organisations including Coles, Tennis Australia, Bendigo Bank, Hydro Tasmania, RACQ and Randstad are amongst the first employers to participate in the pilot, which is initially scheduled to run for two years.

With the backdrop of a national labour shortage, simplifying and creating a more inclusive recruitment process will allow employers to tap into this underutilised talent pool, opening up doors for both candidates and employers.

Recruitable aims to provide organisations with insights into the accessibility and inclusion of the current recruitment process and identify the key areas for increasing the hiring process. The recommendations will guide organisations to better understand their current systems, processes, and behaviours to create a more inclusive recruitment experience for candidates with disability and access requirements, and provide recommendations and training to increase accessibility.

Businesses signing up to the program must commit to training their staff to ensure a supportive environment and meet an initial quota for hiring people with disability. Some businesses will also release new job opportunities to Recruitable ahead of going to their current preferred supplier panel.

Dylan Alcott AO, Founder, Get Skilled Access, said, “People with disability have unlimited potential which is why we’re committed to transforming the mainstream recruitment process and reshaping perceptions towards people with disability. A more inclusive model of recruitment is long overdue. Recruitable will offer all Australians an equal opportunity to go after the job of their choice, fulfil their potential and live the life they deserve.”

Madeline Hill, GM, Diversity & Inclusion, Randstad, commented on the launch: “As a major recruiter in Australia with significant influence on the shape of the workforce, driving diversity is absolutely key to Randstad. All the evidence shows that diverse and inclusive workplaces are happier and more productive and, in turn, support wider positive, societal change.

“We are proud to be extending this focus on diversity with the Recruitable program and carving out a new approach to the recruitment process, which keeps people with disability at its heart, brings enormous benefits to Australian businesses and organisations, and delivers greatly needed progress.”

Recruitable is the first initiative under the Federal Government’s Disability Employment Strategy – Employ My Ability, an associated plan of Australia’s Disability Strategy 2021-2031 which is a commitment across all levels of government to create a more inclusive society where people with disability can reach their full potential.

Minister for Families and Social Services, Anne Ruston, said that the majority of employers indicate an openness to hiring people with disability, but only around a third of businesses show behavioural commitment to doing so.

“People with disability are hardworking and dedicated employees but too often businesses fail to recognise or even consider their skills and capability,” Minister Ruston said.


“The Recruitable pilot will highlight the benefits of a highly talented but regularly overlooked workforce.

“It aims to provide organisations with insights into the accessibility of the current recruitment process and identify the key areas for improving the hiring process.”

The results of the pilot program will be externally evaluated by La Trobe University and the findings will help inform future reforms and initiatives under the Disability Employment Strategy. This strategy was co-designed by the Disability Employment Advisory Committee of which Kerry McQuillan, Queensland State Director and Randstad’s National D&I Lead is a member.

Randstad hopes that a successful pilot program will lead to the wider rollout of the program and a significant shift in employment outcomes for the many Australians with disability.

SME travelling for conference attendance

Research from leading SME travel management company Corporate Traveller on the travel habits of Australia’s SMEs reveals good news for the events industry: businesses value face-to-face interactions, with conference attendance the key reason for their travel. The data also revealed the factors SMEs are placing a high value on and the areas their travel management industry has been excelling in, from an easy booking process to a high duty of care.

Corporate Traveller, the specialist SME travel provider of the Flight Centre Travel Group surveyed 535 businesses – mostly SMEs – to gain insight into the planning, booking and expense management habits of corporate travel customers as well as their views on travel management companies.

The results found that more than two-thirds (68 per cent) of SMEs travel to attend conferences, indicating an appetite for events as the last remaining covid restrictions are being removed. Over half (54 per cent) of businesses travel to conduct sales or conduct or attend training (chosen by 51 per cent of respondents).

Despite the pandemic shifting ways of working, face-to-face meetings still prove to be valuable, with 44 per cent of respondents revealing they travel for board or executive meetings, while a third (36 per cent) travel for internal meetings.

Larger SME businesses are more likely to travel for meetings, with 53 per cent of respondents in companies with more than 200 employees travelling for board and executive meetings and 41 per cent travelling for internal stakeholder meetings. This compares with 34 per cent and 18 per cent (respectively) of small businesses with 2-19 employees travelling for the same reasons.

With travel restrictions continuing to be eased and borders reopening around the world, the prospect of a reinvigorated domestic and international business travel market appears more promising than ever in 2022.

Tom Walley, Global Managing Director at Corporate Traveller, says: “After prolonged periods of restrictions, and as we come out of two years of remote working and virtual meetings, face-to-face communication will be an important part of the recovery and growth of the business sector. An increasing proportion of businesses will gradually resume domestic, then international, travel for meetings and events. Corporate Traveller has seen a significant increase in domestic travel bookings in 2022, and we’re seeing a similar pattern now Australia is open for business once again.

“The anticipated business appetite for events and conference attendance will give the events industry (who are SMEs themselves) the confidence it needs to recover, make networking possible again for businesses, boost business travel further and help economic growth. Business travel leads to significant incidental spending on accommodation, transport, and hospitality.”

Tom also stresses the importance of SMEs outsourcing travel to a specialist management company to help navigate the new complex travel environment. The Corporate Traveller survey found that, for businesses, not all travel management companies were equal and there are some key attributes that make the best in the industry stand out. Respondents were most satisfied with their travel management company’s responsiveness to requests and easy booking process (chosen by an equal 73 per cent of respondents), an understanding of the business’s travel needs (chosen by 70 per cent), a high duty of care (68 per cent), reputation (66 per cent) and 24/7 availability (63 per cent).

Conversely, a quarter (26 per cent) of SMEs are dissatisfied with their travel management company. Specifically, 34 per cent were not satisfied with their mobile app and 49 per cent said their provider did not offer easy reporting.

Tom says: “Partnering with a good travel management company helps businesses navigate the complexity of the current travel environment, which we expect to continue through 2022. User-friendly technology that streamlines the travel journey, a prioritisation of duty of care, an always-on service, and sustainability in travel are key areas that travel management companies must offer in this current environment.

“For example, our SAM app is a powerful pocket travel assistant app fuelled by AI that makes sure travellers have all the essential information they need at hand. Itineraries, notifications, updates, tips, and alerts – they’re all delivered in real time, 24-7.

“SAM organises, curates, and sends information to travellers based on the unique context of their individual trip – whether that’s geo-based alerts relevant to their current location, or predictive intelligence that identifies any local issues before they encounter them.

“The app is designed to be the ‘guardian angel’ for every traveller in times of disruption at home and abroad. SAM sends flight status reports, boarding gate changes, weather, and traffic reports, as well as the latest alerts and information on border closures and restrictions that are impacting the area.”

Bad debt – How to avoid it!

You gave your customer 30 days to pay, but now 60 days have passed without payment. Maybe there is a dispute. Are your cash reserves running dry because the invoices are not being paid? This guide will look at the importance of worrying about getting paid on time and how you can chase up and avoid bad debt.

Bad debt occurs when the payment of an invoice is estimated to be uncollectible. Bad debt is a contingency that must be accounted for by small businesses that extend credit terms to customers when they issue an invoice, as there is always a risk that payment will not be received.

WHY should I worry about unpaid invoices?

It does not matter if it is your best friend that has not paid you or it is a large corporation. If you cannot collect payment promptly, it will affect your cash flow and profitability, and your business will suffer. This situation is further compounded if you have already paid your costs associated with the invoice, such as materials of wages. Essentially you are lending money to your customer, and if you do not have the cash flow yourself, you may be paying interest on a bank overdraft/loan until this invoice is paid, further eating into your profits.

WHAT can I do to prevent bad debt?

When deciding to offer credit to customers, any action you can take upfront to reduce the chance of bad debt is a much simpler process than collecting money from someone who does not want to or cannot pay you.

To prevent bad debts and protect your business ideally you should:
  • Only send out goods or provide services after customers pay their bill
  • Provide simple and clear payment options
  • Invoice customers quickly and properly
  • Give discounts for paying on time or early
  • If you intend to provide credit you should research the customer:
    • Do a credit check (try Equifax, Onedeck or creditorwatch) and ask the customer for references
    • Create a business contract with clear terms and conditions using the help of legal advice
    • Set up effective payment terms
Have a process to manage payments and debt recovery, a good accounting package will help with this:
  • Check contract terms to see when payments are due
  • Ensure you have the right contact details
  • Contact the customer in writing to request payment
  • Keep records of all customer correspondence
  • Set up regular payment reminders (some accounting packages will have an automated system for this)
  • Telephone the customer
  • Send a formal letter of demand

Most important is to create sensible limits on the credit you offer to your customers that they will be able to repay easily.

To prevent bad debts, a factoring company will buy your outstanding invoices from you for a reduced cost and then chase up the debt themselves. It is a fast way to get cash but at a high price as they take on the bad debt risk. (It is unlikely they will not just buy the bad ones)

HOW to deal with bad debt?

The first step is to understand the cause of the debt:
  • How long has it been outstanding?
  • How much is owed?
  • What is the invoice for?
  • Is the invoice disputed?
  •  Is the debtor still trading?
  • How long have you been doing business together?
  • Does the debtor have a history of late payment, is this different to normal?
  • What credit agreement do you have with them and did they sign a Director’s Guarantee?

The sooner you take action to recover your overdue debt, the more likely you will recover your money.

If a customer has not paid you after various attempts, you must decide if the debt owed is worth the additional effort to collect it. For example, $100 is possibly not worth it, but $10,000 is. You must consider your time and cost to recover as well as the likelihood of the debtor paying.

The following avenues can help recover debt:
  • Debt collection agencies – will attempt to collect the debt on your behalf for a percentage of the debt owed.
  • Legal action – a lawyer can issue a lawyers’ letter of demand or start court proceedings.  An online letter service is relatively cheap but going to court is not, however, the recovery costs can be added to the debt.  Court proceedings will enforce an outcome and affect a debtor’s credit rating.
  • Small claims tribunal – provides mediation and a legally binding solution without having to involve lawyers and courts. Is good for resolving disputes. https://www.accc.gov.au/contact-us/other-helpful-agencies/small-claims-tribunals
  • Court – courts will decide on disputes where the amount owed is too high for a small claims tribunal. Consider using a lawyer if your case goes to courts as procedures are more formal and complicated.
  • Community legal centres – can assist with letter writing and filling out court forms https://clcs.org.au/
  • Small Business Commissioner or Ombudsman – advice on how to recover debts and subsidised or low-cost dispute resolution https://www.asbfeo.gov.au/disputesupport

As a small business, you can also take out Trade Credit Insurance which allows a business to insure themselves against bad debts.

As a business owner, you should consider some sort of provision (put money aside) for bad debts, and this is essentially self-insurance. From an accounting perspective, unpaid bad debt can be an allowable deduction as long as it was included as assessable income in the present or even a previous income year and that it is written off as “uncollectable” in the same year that a deduction is claimed.

HINTS

Unfortunately, some scammers ask your clients to pay your recent invoice into a new bank account, being the scammers’ account. Ensure your clients understand that you would not change your payment details, and in the unlikely event you did that, there would be a very clear and robust process in writing and over the phone.

If the business you are dealing with is in administration, liquidation or deregistered, they may not have the ability to pay you. Check whether a company is in liquidation or deregistered on ASIC Registers. https://asic.gov.au/online-services/search-asics-registers/

Let your customer know you plan to take legal action or use a debt collector. This may have an effect without the cost.

SUMMARY – fast action to recover debts

If you decide to offer credit to your customers, you can find yourself in a situation where a customer is refusing or cannot pay your invoice. This is known as bad debt. It is best to have a plan to avoid bad debt, but if it occurs, fast action brings the best results. Your best chance of recovery after your efforts have failed is via a small claims tribunal, using a debt collector or the services of a lawyer.

Politicians to talk at Small Business Summit

Small Business Summit program examines the perspectives, policy and purpose of small businesses in Australia 

The COSBOA National Small Business Summit, 5 – 6 April 2022, brings together Australia’s heavyweights, leaders and influencers, during a prime time for political parties to propose their plans for small business, while discussing the key challenges and directions for the industry.  

Alexi Boyd, CEO of COSBOA, said the Summit couldn’t be happening at a more important time for small business.  

“The Federal election is right around the corner, and over the past two years small businesses in Australia have faced fire, floods and the pandemic.  

“So, the question the industry wants answered is: what about small business now? What does the future look like? How do we recover? Who is going to support us? We aim to address these questions at the Summit and have invited key players in government and policy makers.  

“This is a chance for association leaders, governing bodies, board directors and chairs to hear what’s next, meet with peers and get the information to best support their members.
COSBOA will also launch the Small Business Perspective Report 2022 at the Summit providing key insights into the state of the industry now,” said Ms Boyd.  

The Summit has attracted the likes of the Hon Stuart Robert MP, Minister for Small and Family Business; the Hon Richard Marles MP, Deputy Leader of the Australian Labor Party; the Hon Matt Kean MP, NSW Treasurer; the Hon Bruce Billson GAICD, The Australian Small Business and Family Enterprise Ombudsman; Sally McManus, Secretary of the Australian Council of Trade Unions; and representatives from all the regulators.  

Hot topics being covered at the summit include:  

  • Australian regulation and policy 
  • Innovation – real stories from small business 
  • Digitalisation and cybersecurity 
  • Pandemic problems: insurance and landlords 
  • Workplace wellness 
  • Economic trends and the future 
  • Industrial relations 
  • Competition
  •  

“The Summit looks to the future and what we need to implement now for the good of the industry. It’s the best opportunity for small business leaders, industry associations, regulators and politicians to come together to discuss how we can support the growth of small business in Australia,” said Ms Boyd. 

The COSBOA National Small Business Summit, takes place Tuesday 5 April & Wednesday 6 April 2022 at Sofitel Sydney Darling Harbour. 

To see the full program visit: www.cosboansbs.com.au/program 
To register: www.cosboansbs.com.au