40,000 SMALL BUSINESSES HELPED BY OMBUDSMAN

standardised procedures be put in place to enable a timely resolution for small business disputes with digital platforms.

“We have been active in directly seeking resolutions for small and family businesses. When we contact the digital platforms, most have engaged constructively and have provided us with a direct contact to enable these disputes to be escalated and regularly leads to satisfactory outcomes.

“However, they are not always consistent and the need for a government body to step in to resolve every small business dispute is not the answer,” he said.

Mr Billson said there had also been a doubling over two years in the proportion of cases relating to the construction industry which now accounts for just over one in 10 of the calls for assistance.

“This coincides with the rising number of insolvencies in the construction sector,” he said.

“In one example, a family enterprise that subcontracts in the construction industry contacted us because they had not been paid and this was affecting their ability to pay their own subcontractors. As a result of these difficulties, a family member working in the business also suffered mental health problems. They were grateful for our guidance to resolve their issues.”

Mr Billson said the main type of dispute continues to be about payments which accounts for 38%, up from 30% two years ago.

There has also been a rise in the proportion of disputes about contracts but an easing in calls about franchise disputes, which is the third area of most concern for small and family businesses.

“It’s worth highlighting that we are encountering more instances where we are dealing with the substantive matter as well as providing support and resources regarding mental health,” Mr Billson said.

Small and family businesses with a dispute can find more information on the ASBFEO website - www.asbfeo.gov. au – which also includes resources, check lists, tools, more information about the Tax Concierge Service and the Quarterly Report.