PM boost for small business

MALCOLM Turnbull has ordered thousands of mum-anddad businesses be paid within days to help them keep their doors open and pay their staff.

The Prime Minister will today announce that the Commonwealth will now have to pay invoices within 20 calendar days, to recognise small business should “not be used as a bank”.

It is an acknowledgement the Commonwealth takes too long to pay its bills, which has hurt small business.

It is also one of the Government’s responses to the Australian Small Business and Family Enterprise Ombudsman’s report into payment times and practices.

Under the plan, Commonwealth agencies will be forced to publish their payment time performance.

Mr Turnbull will reveal the changes today while spruiking the Government’s track record for small business.

“The Government will now be required to pay invoices for contracts worth up to $1 million within 20 calendar days, an improvement from the current policy of 30 days.

“This will put money back in the pockets of small business, helping them invest, grow and employ more workers.”

The Prime Minister will herald the change as a “major win” for Australia’s 6800 small businesses that work with the Commonwealth.

Mr Turnbull will say the reform will encourage other levels of government to make life easier for small businesses.

“Our new payment benchmark will set an example to industry and to other levels of government.

“It will establish a new payment culture within Australia – a culture that recognises small business should not be used as a bank.”