Research, as part of American Express’ Shop Small initiative, reveals Australian small businesses might be their own best customers, with $204 billion flowing between businesses each year.
Despite the belief that small businesses are struggling, the reality is they are supporting each other to success, with the news that Australian businesses source goods and services from 4.4 other small suppliers each month, spending an average of $8,600 in a typical month or $104,000 annually.
Other key findings include:
- Small Australian businesses source goods and services from 4.4 other small suppliers each month, spending an average of $8,600 in a typical month or $104,000 annually.
- A quarter of these businesses (24 per cent) spent more than $10,000 and 10 per cent spent more than $20,000 each month.
- 24 per cent said the arrival of new businesses had made it easier to locally source products and services, 32 per cent said it has increased customer footfall and 31 per cent said it had increased profits.
- Small businesses are also keen to collaborate more than they are currently, with 26 per cent of small businesses say they would definitely like to collaborate more than they currently do and 58 per cent say they may be open to greater collaboration.