Friday 24 January 2025
Hon. Chris Penk
Minister for Small Business and Manufacturing
Parliament Buildings
Wellington
c.penk@ministers.govt.nz
Tēnā koe Minister Penk,
Congratulations and welcome to the Small Business and Manufacturing portfolio/
On behalf of the Restaurant Association of New Zealand, I want to congratulate you on taking up the mantle of Minister for Small Business and Manufacturing, and welcome you to what is an exciting and inspiring portfolio representing an overwhelming majority of businesses in New Zealand.
The Restaurant Association runs a number of industry advisory groups, made up of member businesses who provide us with an on-the-ground view of different policy areas relevant to the hospitality industry. I wanted to take this opportunity to set out two key opportunities that our Economic Development industry advisory group has regularly raised with us, and which we had begun discussing with your predecessor Hon. Andrew Bayly in this role: celebrating an annual New Zealand Small Business Month, and establishing a fund for small business growth.
New Zealand Small Business Month
This proposal started out initially as an annual Restaurant Month, but has grown to become a more holistic recognition of small businesses across the country. We believe a centrally coordinated and supported Small Business Month would help to boost business confidence, and would be a relatively simple and cost effective solution to delivering direct government support for small businesses across the country.
Small Business Months have been used internationally (celebrated in May in the United States, Queensland and New South Wales, and in October in Canada and the United Kingdom) to recognise the importance of small businesses to their economies, and are all delivered in their own unique way.
Our proposal for a New Zealand Small Business Month would see central government (i.e. the Ministry of Business, Innovation and Employment) take on a coordinating role, leading the promotion and publicity for Small Business Month and providing a repository of resources for participants.
In support, we envisage local councils, BIDs and business chambers taking a more granular approach in supporting and promoting local events and “Shop Small” campaigns, while industries themselves would be responsible for delivering actual events and promotions to support central and local campaigns.
Our suggestion is that July is designated as New Zealand Small Business Month – being the middle of winter, it is a traditionally quieter time for businesses and a concerted eff ort to support small business during a slow period will go far in boosting confidence in both our businesses and our economy.
Funding for business growth
At the Small Business Workshop on 25 January 2024, three priorities were identified by those in attendance as important for further work:
- Increasing the vehicles for investment in New Zealand SMEs, including through funds held in KiwiSaver, the SuperFund and ACC.
- Targeting business support to firms with high growth potential.
- Financial incentives for SMEs to invest in their own capabilities.
Many of the discussions regarding access to funding that we have had with our members have been focussed on growth, rather than establishment. An example of a fund that we would like to see replicated in New Zealand is the Queensland Government’s Business Growth Fund, which can be used to purchase equipment that facilitates business growth. At least 40 percent of a total project cost must be funded by the applicant business, with up to $70,000 available per project.
While the specific details would need to be worked out for a New Zealand specific fund, we support the idea of a co-funded model that delivers financial support specifically to small businesses trying to take the next step in their business journey and grow their enterprise.
I would value an opportunity to meet with you to learn more about your plans for the Small Business and Manufacturing portfolio, and to hear your thoughts on the opportunities raised by our Economic Development industry advisory group.
I would be happy to host you at our Head Off ice in Mt Eden, to meet with you in Wellington, or to meet online should that be most convenient. Appreciating the pressures on your schedule which may make a meeting difficult to schedule, I look forward to meeting with you as part of the Small Business Advisory Group.
Once again, congratulations on your new role, and I look forward to hearing from you soon. Please do not hesitate to contact me directly if there is anything that I can assist you with in the meantime.
Ngā mihi nui,
Marisa Bidois
Chief Executive
Restaurant Association of New Zealand