The Australian Small Business and Family Enterprise Ombudsman Bruce Billson is urging the Federal Government to deliver practical, targeted measures in the 2026–27 Budget to reduce costs, restore confidence and remove barriers that are holding back Australia’s small and family businesses.
ASBFEO’s 2026–27 Pre-Budget Submission highlights focus areas to improve Australia’s tax and regulatory settings, and the broader enterprise environment, to enable small and family businesses to thrive.
“Small business is central to economic dynamism, productivity, living standards, competition and innovation. Yet for many owners, running a small business has become harder than it needs to be.
“Small businesses are doing the heavy lifting in every town and suburb. They are the strength and vitality of local communities but too many are being worn down by costs, complexity and unfair practices they cannot control.
“This Budget is an opportunity for government to shift from short-term fixes to practical, lasting reforms that make it easier to start, run, grow and transform a small business,” said Mr Billson.
ASBFEO’s submission calls for government action to improve the operating environment for Australia’s small businesses and family enterprises.
“Improving the tax settings to stimulate small business and family enterprise innovation and investment, for example, by introducing early-stage incentives such as a tax discount or offset, would allow businesses to retain more of their initial earnings for reinvestment when it matters most.
“The early years of a business often experience significant financial challenges including cash flow and access to financing, and these incentives will help prevent the ‘valley of death’ for small enterprises,” Mr Billson said.
“Australia's regulatory framework also needs to work better for small business and family enterprises. Requiring a small business impact statement for every Cabinet submission, preliminary and formal regulatory impact statement, and new policy proposal, would help ensure measures intended to affect, or likely to impact, small and family businesses are informed by practical insights and direct input from this community,” Mr Billson said.
“We need to make the enterprise environment better for small business and family enterprises to innovate and invest in their business, to continue to grow and thrive. Low-cost ways government can do this now include establishing transparent merchant fee structures and the ability for small businesses to recover the reasonable costs of processing electronic payments where least‑cost routing is unavailable,” Mr Billson added.
The Ombudsman said ensuring small and family business access to affordable insurance cover and the support they need from governments at all levels will also help improve the enterprise environment.
“Too often, regulation is designed with large organisations in mind and small businesses are left to absorb the cost and complexity.
“A small business first mindset should be adopted where every new policy and program is first be tested through a small business lens, so we are not unintentionally stifling enterprise and innovation,” Mr Billson added.
The Ombudsman said small businesses remain resilient, but resilience alone cannot sustain jobs, productivity and local communities.
“Small businesses do not want special treatment, they want a fair go.
“With the right policy settings, small businesses will innovate, invest, employ and grow. That is good for the economy, good for productivity and business dynamism, good for communities and good for Australia’s long-term prosperity.” Mr Billson said.
More information about ASBFEO and the 2026–27 Pre-Budget Submission is available on the ASBFEO website. MEDIA CONTACT: 0448 467 178 | [email protected]
