Budget 2021: New franchise disclosure registry to be established as Ombudsman’s office gets more funding
Eloise Keating
May 11, 2021
The federal government appears to be listening to ongoing concerns in the franchise sector, using the budget to announce plans for a new mandatory franchise disclosure registry to help prospective franchisees access the information they need before signing up to a new franchise agreement.
The new registry comes amid a broader focus on dispute resolution for small and medium businesses in the 2021 federal budget, with the office of the Australian Small Business and Family Enterprise Ombudsman to also receive a funding boost.
Small Australian Mining Firms Being Squeezed Out by Climate-Change Activism
Local Australian resource firms say financial institutions driven by climate change are constricting the industry by withholding vital insurance and loan services crucial for new mining projects.
Leading some companies to warn that global mining conglomerates who can go offshore for financial support will become more entrenched as smaller businesses risk closing. This comes as a parliamentary inquiry examines the impact the financial sector is having on Australian exports.
Chair of the Joint Standing Committee on Trade and Investment, George Christensen, said mineral exports generated billions in revenue for the country, and any impact on the industry needed to be scrutinised.
Source: AAP/Tracey Nearmy
Small Business Ombudsman Bruce Billson is backing the federal government’s new $10 billion reinsurance scheme, saying it will make insurance premiums more affordable for businesses in northern Australia.
The $10 billion reinsurance pool, announced on Tuesday, will cover cyclone and related flood damage in northern Australia from mid-2022.
The fund will act as a government guarantee to help reduce insurance premiums for small businesses, households and strata by over $1.5 billion over 10 years, and is expected to cover 500,000 eligible property insurance policies.
SmartCompany the federal government’s proposal “is an important step forward in addressing what is a complex area”.
Source: AAP/Tracey Nearmy
Small business ombudsman Bruce Billson is calling on the federal government to require financial institutions to explain why they withdraw or deny insurance and banking services to small businesses.
In a submission to an inquiry into the prudential regulation of investment in Australia’s export industries, Billson said many small businesses are “unable to obtain insurance or banking services based on industry, location and other factors”.
The inquiry was established on February 17 to examine opportunities for the nation’s export industries, and how changing practices across banking, insurance and superannuation institutions are challenging businesses.
Speaking to