Update from the Queensland Small Business Commissioner

February 2023

Thank you for the warm reception we have received in the regions this month - meeting businesses, councils, chambers, and industry bodies.

Our advocacy relies so much upon what we hear on calls to our Assistance line and the data collection efforts driven by different agencies across Queensland. Without this information we cannot advocate for change or improvements for small business across Queensland and I cannot stress enough – how important your stories and your voices are.

You told us that your demand and profitability was improving but that your biggest problem was hiring and retaining staff. You raised your concerns around the increasing costs and challenges associated with wages and workforce planning.

This month, the Chamber of Commerce and Industry Queensland released their Pulse survey results for December 2022. The survey reflected the views we have been hearing on the ground and shows a divergence between business confidence and steady business performance.

Approximately 37% of Queensland businesses have seen their sales and revenue improve. Yet, businesses overall are reporting that costs continue to hinder their profitability which is what we have discussed with small business owners on our travels.

To provide further support with workforce planning, the Queensland Government has just announced a free workforce planning course for business owners and managers. This is a valuable opportunity for you to work smarter, to recruit and develop the workers required NOW.

We have seen a 60% increase in call volumes to our Assistance line. Most calls have been enquiries or disputes associated with ‘options’ within a lease. Many callers were not familiar with the meaning of an ‘option’ or were seeking more information. You might find this new QSBC factsheet, Option to renew a lease helpful.

To advocate for small business at a federal level within a Queensland context, I met with Bruce Billson – the Australian Small Business and Family Enterprise Ombudsman. We discussed federal issues impacting small business including the cost of labour, insurance, and taxation.

If you are experiencing any issues relating to federal matters or have any suggestions about how the federal government or its agencies could streamline their interactions with small business, please get in touch. I will be attending my first National Small Business Commissioner’s Meeting chaired by Mr Billson on 7 March. This is a fantastic opportunity for your voice to be heard at a federal level.

If you are new to our newsletter or would like to learn more about our services, resources, initiatives, and projects, visit the QSBC website. If you are ever unsure and are looking for more information, give us a call at 1300 312 344 or submit an enquiry.

Dominique Lamb
Queensland Small Business Commissioner

Changes to work from home tax deductions

The ATO have recently announced changes to the fixed rate method for calculating working from home tax deductions, as well as the records that need to be kept for claims.

From the 2022-23 income year, the revised fixed rate method:

The records you need to keep have also changed. You need to record:

the actual hours you work from home during the entire income year,
at least one record for each of the additional running expenses you incur (per work hour) i.e. for electricity and stationery expenses keep one quarterly bill for your electricity expenses and one receipt for your stationery expenses.

Check now to make sure you’re keeping the right records and make tax time easier.

How to check and apply for a trademark

Myth: A trade mark is the same thing as a business name, company name or domain name.

Fact: It’s not. A trade mark is a sign used to differentiate your business from others in the market who are providing goods or services like yours. The most common types of trade marks are:

brand names
logos
distinctive phrases.

Before you apply to register a trade mark it’s important to check your idea is new to the Australian market. Some words, phrases or images can't be registered as trade marks. That's because they're common words that should be available for everyone to use e.g., 'warm' for heaters.

To help small businesses, IP Australia is piloting a new trade mark checker tool so you can check if a trade mark is available to register in Australia, and then easily apply. An initial check only takes a few minutes and is free.

Business valuation for tax purposes

The ATO has updated its guidance on market valuation for tax purposes. If you are preparing for succession, planning a restructure, or thinking about selling, the ATO will have questions about the value of your business.

The updated guide may help you reduce tax risks associated with valuations. Learn what market value means for tax purposes and the evidence and processes the ATO generally expect to see to support a valuation.

Small Business Friendly Update

This month, the Commissioner met with Mayor Mark Jamieson and the Economic Development team from the Sunshine Coast Regional Council - one of our exemplary Small Business Friendly program members.

The Small Business Friendly conference is designed for local councils and chambers of commerce and will be held at the Maroochy RSL Events Centre on 28 April.

The conference program ‘Ignite – Ideas into Action’ will cover topics including renewing local economies and creating memorable places. The program is coming soon!

Photo caption (L to R): Andrew Eves-Brown, Head of Economic Development; Luke Forster, QSBC Director, Advocacy; Dominique Lamb QSBC Commissioner; Sunshine Coast Mayor Cr Mark Jamieson; Mandy Day, Team Leader – Place Activation and Business Support, and Tim McGee, Head of Business and Industry Development.

Queensland Training Awards

Small businesses making a big impact through training opportunities for their staff can submit a nomination for the 2023 Queensland Training Awards.

In five easy steps, you can recognise your star staff performers including apprentices, trainees, vocational students, school-based apprentices and trainees, teachers, or trainers. Nominations close 15 March 2023.

Case study – Renewing a lease

Our Assistance team has seen a marked increase in the number of assistance requests regarding ‘options to renew’ a lease.

Recently, a tenant who had just finished an extensive fitout realised they had left it too late to exercise their option to renew. Under the non-retail lease involved, the tenant missed the date by which the extension had to be exercised and as a result had forfeited the right to have the lease extended. This meant the landlord had no obligation to renew the lease.

Through negotiation, the tenant was able to sign a new lease and avoided having to remove the fitout which would have cost several hundred thousand dollars. However, the new lease increased the rent significantly, in line with increased demand in the local area.

Tip: Business owners need to understand the requirements to exercise an option under their lease (or under the Retail Shop Leases Act 1994 if it’s a retail shop lease). Read the new QSBC fact sheet, Option to renew a lease.

If you are ever unsure and are looking for more information, get in touch with the Assistance team at 1300 312 344 or submit an enquiry.