With the budget out of the way, it is interesting to note the impact of the announcements on business confidence. Down for many months, recent Roy Morgan Research has revealed that confidence in May has slightly improved compared with the month previous.
Taken from more than 1,300 interviews with firms across industries, business confidence has grown up 9.6 points to 114.7 points – up 9.1 per cent. According to Roy Morgan, this is the highest figure since January 2015 – indicating the rocky path since the turn of the year.
However, 114.7 points is still well below October 2013’s peak of 136.3 points and the five-year average of 117.3 points.
Roy Morgan Research’s Industry Communications Director Norman Morris explained that the media had a lot to do with the positive nature of this year’s budget.
“The increase in business confidence in May was most likely the result of a generally positive immediate media reaction to the federal budget and its focus on small business,” he said.
“It now appears that the combination of a decline in interest rates, the reduction in tax rates for small business and the proposed immediate tax write-offs for expenditure up to $20,000 are likely to have only limited positive impact while a number of economic headwinds remain.”
Time for growth?
Regardless of whether the media promoted the budget announcement too heavily, a growing number of businesses are confident about their potential moving forward.
According to Roy Morgan, 60 per cent of respondents believe that there will be good economic conditions for the 12 months – this up nine per cent from April and the highest recorded level since November last year.
In fact, the survey reveals more than half the businesses (63 per cent) feel the positive trend is here to stay for the next five year.
Taking real measures
With many of the budget initiatives planned to be implemented over the coming months, businesses can take it on themselves ensure growth through Oncore Services.
We have a number of solutions to help manage your growing contractor base and ensure the best outcome for all parties. This includes online timesheets, payroll management, expense processing and risk mitigation.
Whether you have one contractor or 1,000 on your books, Oncore Services is committed to providing a solution that is tailor-made to your requirements.
For more information about how Oncore Services can help your business grow to the next level, contact our expert team today.