Australian Small Businesses Need Greater Access to Finance, According to Taulia
Small businesses in Australia continue to unnecessarily struggle when accessing affordable finance and deserve greater options, according to Taulia, the leading fintech provider of working capital solutions. In a new paper, Taulia has outlined the multiple challenges facing Australian small businesses - who often act as suppliers to large local and international businesses - regarding access to finance.
Small businesses are the driving force behind Australia’s economy, accounting for 35% of GDP and 44% of employment, but the Reserve Bank of Australia’s analysis of the COVID-19 pandemic shows that lending to these smaller firms has been relatively flat since January 2019. Taulia attributes this ongoing lack of finance to five key causes:
- The long-term challenge small businesses have had in accessing finance, particularly from traditional banking sources
- Fewer resources within small businesses dedicated to understanding liquidity risk and cash flow, which can mean they only realise their need for finance once it’s too late
- The spread of interest rates between small business loans and the Reserve Bank of Australia cash rate - small businesses often have rates more than 10% higher than large businesses, in Taulia’s experience
- Misunderstanding around the use of alternative finance - a cheaper, more accessible form of finance that is prevalent in other major economies such as the UK and Europe
- Traditional bank supply chain finance programmes lacking the technology platforms capable of onboarding large numbers of small companies, thus preventing small firms’ access to this type of finance.
Steve Scott, Head of Asia Pacific at Taulia, commented: “Access to credit for businesses of all sizes is critical to future economic growth in Australia. This is particularly acute for small businesses, who have borne the brunt of a deeply challenging 18 months, following the onslaught of the global pandemic. One route for smaller businesses to have greater access to low-cost finance is participating in early payment programmes - but these have not yet been widely adopted due to misunderstanding and nascent supporting regulations. Helping small businesses to understand and access forms of alternative, cheaper finance, such as supply chain finance, should be placed high on the priority list for Australia’s business landscape.”
The Australian government has rightly been focused on supporting the growth of small businesses through the current challenges of the global pandemic, according to Taulia. It has introduced reporting requirements to improve transparency and proposed regulations to limit payment terms for small businesses to 30 days to improve small business cash flow.
Steve Scott added: “The Government’s regulatory initiatives will go a long way to further improving understanding and transparency, while contributing to changing businesses’ behaviour in accessing different forms of finance. While supply chain finance will not solve all the problems that small businesses face, it is clearly one of the most efficient forms of cash flow finance and should work alongside more traditional forms of finance to support small business growth. Technology-driven supply chain finance solutions, implemented responsibly with the long-term in mind, will also help to foster the growth of Australian businesses, small and large.”
Taulia’s white paper ‘How supplier finance supports Australian businesses’ can be downloaded here: https://taulia.com/resources/how-supplier-finance-supports-australian-businesses/
Taulia is a fintech provider of working capital management solutions headquartered in San Francisco, California. Taulia helps companies access value tied up in their payables, receivables and inventory. A network of more than 2 million businesses use Taulia’s platform to determine when they want to pay and be paid. Taulia processes more than $500 billion each year and is trusted by the world’s largest companies including Airbus, AstraZeneca, Nissan and Vodafone. For more information, please visit www.taulia.com.
For more information, please visit www.taulia.com
To view this piece of content from cts.businesswire.com, please give your consent at the top of this page.
About Business Wire
For more than 50 years, Business Wire has been the global leader in press release distribution and regulatory disclosure.
Subscribe to releases from Business Wire
Subscribe to all the latest releases from Business Wire by registering your e-mail address below. You can unsubscribe at any time.
Latest releases from Business Wire
PMI Calls for Science-Based Discourse on Smoke-Free Alternatives27.9.2021 11:03:00 EEST | Press release
Misinformation threatens progress toward a smoke-free future, reveals a new international survey released today by Philip Morris International Inc. (PMI) (NYSE: PM). Well-funded groups continue to promote false narratives and spread confusion even as societal support increases for smoke-free alternatives that are scientifically substantiated to be a better choice for adults than continued smoking. The survey—fielded among nearly 30,000 adults in 26 countries by independent research firm Povaddo and commissioned by PMI—reveals that too many adult smokers remain unaware that better alternatives to cigarettes exist, are unable to access them, or are confused by false or misleading information that prevents them from making an informed choice. There is clear public demand for a collective review of the facts and science about smoke-free products. Nearly eight in 10 respondents (79%) agree that adult smokers who would otherwise continue using cigarettes should have access to and accurate in
VFMCRP announces approval for TAVNEOS® (avacopan) for the treatment of ANCA-associated vasculitis in Japan27.9.2021 09:02:00 EEST | Press release
Vifor Fresenius Medical Care Renal Pharma (VFMCRP) today announced that Japan’s Ministry of Health and Labor Welfare (MHLW) has granted its partner, Kissei Pharmaceutical Co., Ltd., marketing authorization approval for TAVNEOS® for the treatment of patients with granulomatosis with polyangiitis (GPA) and microscopic polyangiitis (MPA), the two main types of ANCA-associated vasculitis, a rare and severe autoimmune renal disease with high unmet medical need. “We are delighted that TAVNEOS® has been approved in Japan, the first market worldwide, and congratulate our partner Kissei for this significant milestone,” said Abbas Hussain, CEO of Vifor Pharma Group. “ANCA-associated vasculitis is officially designated an intractable disease in Japan, indicating a rare disease without any effective treatment but for which long-term treatment is required. There is significant unmet medical need of over 10,000 patients in Japan, and we believe in the potential of TAVNEOS® for treating it. We are co
BIOCORP and NOVO NORDISK Sign Global Partnership Within Diabetes on Digital Health27.9.2021 07:45:00 EEST | Press release
Regulatory News: BIOCORP (Paris:ALCOR) (FR0012788065 – ALCOR / Eligible PEA PME), a French company specialized in the design, development, and manufacturing of innovative medical devices, today announces an agreement with Novo Nordisk, a world leader in diabetes care, for the development and distribution (pending successful development) of a Mallya smart add-on device for the Novo Nordisk FlexTouch pen used by people with diabetes. Mallya is a Bluetooth enabled smart add-on device for pen injectors that collects dose and time of each injection and transfers information in real time to a companion software. Mallya helps people with diabetes maintain a reliable dose log, using technology to help improve understanding and allowing people to dose with confidence. Most Novo Nordisk's insulins are offered with the FlexTouch pen, and it is part of the launch map for all new insulins. A specific version of Mallya will be developed for FlexTouch, the first prefilled insulin delivery device with
New Study Evaluates the Feasibility of Using Masimo EMMA® Capnography on Mechanically Ventilated Neonates27.9.2021 02:00:00 EEST | Press release
Masimo (NASDAQ: MASI) today announced the findings of a study published in the European Journal of Pediatrics in which Dr. Masashi Hotta and colleagues at the Osaka Women’s and Children’s Hospital in Japan found that the Masimo EMMA® Portable Capnograph “may be considered an effective monitoring device” for mechanically ventilated preterm infants (neonates).1 This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20210926005040/en/ Masimo EMMA® (Photo: Business Wire) Noting the importance of maintaining an appropriate range of partial pressure of arterial carbon dioxide (PaCO2) in preterm infants, especially while undergoing mechanical ventilation in the neonatal intensive care unit (NICU), the researchers sought to evaluate whether noninvasively monitoring end-tidal carbon dioxide (EtCO2) with EMMA could help clinicians maintain neonatal PaCO2 in the delivery room. They chose EMMA not only because of its portability but because it of
Spirit of Wipro Run Brings Together Participants From Over 35 Countries26.9.2021 15:57:00 EEST | Press release
Wipro Limited (NYSE: WIT, BSE: 507685, NSE: WIPRO), a leading global information technology, consulting and business process services company, today organized the 16th annual ‘Spirit of Wipro’ (SOW) Run, drawing thousands of participants from over 35 countries to run together in spirit. For the past sixteen years, Wiproites around the world have come together to celebrate Wipro’s core values. The annual SOW run aims to inspire employees to be responsible citizens of the world. This year’s theme was “Together. To greatness,” inspired by the resilience demonstrated by Wiproites in a year of unprecedented disruption. Along with outperforming across all business parameters, Wipro teams have remained committed to supporting their colleagues and creating a lasting social impact across communities. Like last year, this year’s race was also virtual, and runners strictly adhered to the local COVID-19 guidelines and safety protocols while participating in the event. Even under these conditions,
Pencil Lab Inks Debut in ADIHEX 202125.9.2021 13:04:00 EEST | Press release
The 18th edition of the Abu Dhabi International Hunting and Equestrian Exhibition (ADIHEX) on September 27 - October 3 marks an opportune platform for Pencil Lab Design Studio’s first major participation in the massive event, the largest of its kind in the Middle East and Africa. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20210925005016/en/ Pencil Lab Inks Debut in ADIHEX 2021 (Photo: AETOSWire) Featuring more than 800 brands and companies, the event is held under the theme of ‘Sustainability and Heritage… A Reborn Aspiration’, highlighting heritage, culture and authentic sports and their strong relation with Arab history. As part of its inaugural participation in a major exhibition as a company, Pencil Lab, a UAE initiative, will showcase their artworks with three large oil paintings by Pencil Lab’s citizen artist, to highlight the strong connection of arts, like painting and photography, to Arab history and civilization.
DXC Technology Completes Refinancing Actions24.9.2021 23:30:00 EEST | Press release
DXC Technology Company (NYSE: DXC) (“DXC”) today announced the completion of its refinancing. DXC previously completed the offering of €1.35 billion Senior Notes priced on September 2, 2021 and $1.35 billion Senior Notes priced on September 7, 2021. DXC completed redemption of $2.5 billion principal of (i) EUR term loan in the amount of €400 million due FY23 and FY24, (ii) $500 million 4.25% Senior notes due FY25, (iii) £250 million 2.75% Senior notes due FY25, (iv) $467 million 4.125% Senior notes due FY26, (v) $500 million 4.75% Senior notes due FY28, and (vi) $234 million Senior notes due FY30. The applicable make whole premium for these redemptions was $300 million and accrued and unpaid interest was $40 million. Ken Sharp, Chief Financial Officer, DXC commented: “Our opportunistic debt refinancing of $2.5 billion of our high coupon debt further solidifies our financial foundation by extending our debt maturities, lowering our maturity towers and reducing our ongoing interest expen
In our pressroom you can read all our latest releases, find our press contacts, images, documents and other relevant information about us.Visit our pressroom