A spotlight on the little guys - what small businesses want from government
New Zealand is a nation of small businesses, but their owners don't feel their political heft is to scale.
Small businesses in New Zealand are facing tough times, with many struggling to stay afloat amid rising costs and declining customer numbers. In the last few months, three hospitality businesses and a contracting firm have gone out of business, leading to discussions about the resilience of the local economy. Melanie Short, the CEO of the Rotorua Chamber, expressed concern about the sharp drop in business confidence, which has been the steepest in nine years since the organization began conducting its business pulse survey.
While businesses in the region are resilient and innovative, they are feeling the strain of an extended pandemic fallout and are seeking stability and improvement. Catherine Beard, the advocacy director for Business NZ, acknowledges that small businesses don't have the same resources as larger firms to navigate complex regulations, and they struggle with issues like employment agreements and immigration regulations.
Despite New Zealand's reputation for being business-friendly, Beard believes the country's regulatory complexity can be a hurdle for small businesses. The latest data shows that over 97% of firms employ fewer than 20 workers, and there are more than 600,000 enterprises in the country. However, the liquidation rate has risen by more than 70% over the past three years, indicating that many small businesses are finding it difficult to survive.
Written by urgent.news from RNZ Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
