Small businesses in Hasluck will benefit from the Liberal National Government’s introduction of a $2 billion Australian Business Securitisation Fund.
Federal Member for Hasluck, Ken Wyatt MP, said many small business owners in Hasluck find it difficult to obtain finance unless they put up their family home as collateral.
“Even when small businesses can access finance, funding costs are higher than they need to be,” Mr Wyatt said.
“To overcome this and ensure small businesses in Hasluck are able to grow, the Australian Business Securitisation Fund will invest up to $2 billion in the securitisation market.
“This will provide significant additional funding to smaller banks and non-bank lenders to on-lend to small businesses on more competitive terms.”
The Government is also in consultation with regulators and financial institutions in regard to the establishment of an Australian Business Growth Fund. This fund would provide longer term equity funding to small businesses as many small businesses find it difficult to attract passive equity investment which enables them to grow without giving up control of their business.
“The Government has introduced a number of measures to support Australian small businesses including our small business tax cuts, the $20,000 instant asset write-off and cutting nearly $6 billion of red tape,” Mr Wyatt said.
With more than three million small businesses employing around seven million Australians, enhancing small business access to funding is part of the Liberal National Government’s plan for a stronger economy.