Opportunities for business in the Rudd Government’s stimulus package
Tuesday, 21 April 2009 11:10

Recently I ran a business forum where 80 local business people attended to find out more about how they can benefit from the Rudd Government's economic stimulus package. I want to make sure local businesses have every opportunity to take advantage of the stimulus package. We all need to do everything we can to protect jobs with the global recession impacting us locally.

One of the messages I heard at the forum, which is a growing theme in my conversation with business, is that these tough times provide an opportunity to refocus and do some more work on the business as well as continuing the hard work in the business. Derek Ross is one such businessman who attended the forum in search of new opportunities for his business. He owns ‘Pressure Pumps North Queensland' and his story has since been featured in the Cairns Post. He sees real opportunities in the stimulus package with infrastructure funding flowing to support the construction industry. Two thirds of the stimulus package is investment in economic and community infrastructure.

Another message I heard from businesses is there growing frustration with the Liberal and National Party's opposition to the Rudd Government's stimulus package. What the business community is telling me is that they are looking for their political leaders to be promoting confidence, not always taking a negative approach as Malcolm Turnbull seems to be doing.

For example, many businesses want to take advantage of the 30% business tax break to buy new machinery and upgrade their capital. The 'Small Business and General Business Tax Break' is an important measure in the stimulus plan but businesses are concerned that the opposition will oppose this measure in the Parliament. It has yet to be legislated and in order for this to occur, it needs to be voted on and for the Coalition to support it.

This is an example of an email I received from a small business owner wanting to take advantage of this tax break:

"Could you please advise us as soon as possible if this "Small business 30% tax break for investments" is legislation? If not, when will it be? As it is already mid-April we are quickly running out of time to make arrangements for our investment purchase.

We are in the process of receiving quotations to replace our work utility truck & upgrading to a lifting device & specific tool boxes to assist our trade. This upgrade will only be possible if this tax break is in effect . We do not wish to proceed if this puts our business in jeopardy. This upgrade will support three different small businesses in Cairns.

Could you please let us know if this is merely just a false promise or it is actual fact?"

Business, particularly small business, is looking for confidence and certainty right now. So it is time the opposition got out of the way and supported the efforts of the Rudd Government and business  to navigate a way through this global recession. What the Australian people want is for our stimulus plan to work, business to grow and for jobs to be protected.

Jim

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