Fresh ideas to shape post-Covid economy

THE end of JobKeeper in March with little continuing support for impacted businesses showed us once again how the COVID response has affected small businesses more than larger, established businesses in traditional industries.

Small businesses employ about 50 per cent of all people working in Australia and they would usually drive employment as we recover from a recession, but this time may be different. There is a lot of work to be done to avoid a continued downturn in small business activity.

Throughout last year we saw businesses largely disregarded during the health response and, even when stimulus was made available, the time required to understand the eligibility and submit applications became onerous for small business owners fighting to keep operating to keep their staff in jobs. We saw many small businesses fall through the cracks, finding themselves ineligible for any decent funding, while many larger businesses received significant support, leaving many local business owners shaking their heads.

We’re now in a situation where many businesses are still significantly impacted and there is no ongoing support to allow them to flourish once we revert to a normal functioning system. This is having a detrimental effect on the wellbeing of business owners and it’s important we push to provide them with a sense of hope. We need to take everyone with us.

While no one can turn back time, the worry is small businesses are losing confidence and this could have significant consequences on our local economy. Some businesses will close their doors for good and new businesses will be hesitant to enter the market, leaving gaps in small business numbers. This will result in fewer jobs in Geelong, pure and simple.

We don’t want to see small business numbers below traditional levels and this needs to be addressed. We need to see programs supporting new businesses with the practical information they require to succeed in business as well as connecting them with the peer support networks who understand their challenges and can help them succeed.

With the appropriate support we can rebuild our small business ecosystem and have them driving new ideas and innovation. This is fundamental to our city’s growth and it all comes down to confidence — that’s our job now, to rebuild confidence.

Savvy entrepreneurs are noticing the gaps caused by the disruption and they are already exploring new ways to service their customers. Those who are willing to back their idea and be first to market put themselves in the best position to succeed.

The broader economy is bouncing back and the next year looks set to be a very strong year. If you are willing to absorb some risk, then it could be a very good time to follow your dreams and become your own boss.

Small businesses have had a difficult 12 months and it has been heartbreaking to witness some of the inequity. We hope we can rely on this resilient cohort to pivot and reinvent themselves in increasingly favourable conditions. They will need support and we also need to encourage new businesses to come to market. If this can be done, it’s actually quite exciting to imagine a small business ecosystem that’s stronger than ever before.