Well, well, you know that there is an election coming when politicians get a bit more sensitive. That’s the thing about your average politician.

Small business needs less talk and more action. Picture: Lyndon Mechielsen.

They all want to be praised for their good work and want us to overlook their failures. The problem is that sometimes there is little or no good work, and plenty of failures.

This brings us to the small business policy area. It’s an area where few politicians venture, except to say how important small businesses are to the economy.

There are lots of motherhood statements, and even more hollow promises. It’s a challenge for both sides of politics.

The Small Business portfolio is a particularly challenging one. That’s why we rarely see meaningful action from the relevant Minister. Minister Craig Emerson is but one example. Now, sadly Minister Emerson doesn’t like this author reviewing the Minister’s small business policy statements.

After my last column the reaction from Minister Emerson was barbed as it was personal. What had this author done? Well, this author had pointed out that the Minister’s announcements regarding his proposed changes to unconscionable conduct and franchising laws were window dressing. With this author having helped craft those original laws and having over 20 years experience in those areas of law one would have thought the author would have some standing to make such comments. Not so, according to Minister Emerson.

When asked on Canberra radio about the author’s comments regarding the window dressing exercise that the Minister was undertaking regarding laws of importance to small business, the Minister appeared to suggest that this author’s views should be discounted because this author had been seen “campaigning for the Liberal candidate for the Federal seat of Hughes.” Further, the Minister suggested that the author should have disclosed that.

Now that’s interesting for a number of reasons. To begin with, there is the obvious point that this author’s column is concerned with informing readers about issues and not personalities. The old adage of “playing the ball rather than the person” is firmly in this author’s mind. Where relevant, of course, the reader is informed that the author is more directly involved such as when writing columns about the Birdsville, Blacktown and Richmond amendments to our competition laws.

As for campaigning for the Liberal candidate in the Federal seat of Hughes it’s apparent that as Minister Emerson is doing such a splendid job informing all and sundry that one would have thought that this author’s involvement in the campaign in Hughes is already well known, especially to radio listeners and newspaper readers.

Of course, we should not lose sight of the fact that this is not about this author, but about what is being done for small business. So, who is really campaigning for small business?

Now that’s where it gets really interesting about this author’s involvement in Hughes. For starters the Liberal candidate – Craig Kelly – is a friend of mine. He is a small business person who has worked in a very successful family business all his adult life. He is the President of a small business association called the Southern Sydney Retailers Association. He and this author have been working on small business issues for years and did so long before he joined a political party. Craig Kelly is a model small business person.

So, what changed? Well, for years Craig Kelly would ask the author why politicians on both sides of politics were doing very little, if anything, for small business. The simple answer was that many of the politicians simply don’t understand small business. Where they did try and stand up for small businesses, they were quickly jumped on by the big end and town and their hired guns including industry associations and the big end of town lawyers.

This author’s advice was simple. If you want to make a difference, then you need to do it yourself. Why don’t you think about standing for Parliament? It’s advice that this author has given to many over the years, including to his students. What Party does this author suggest joining? This may sound corny, but that’s a matter for the person to decide.

This author does, however, tell the want –to-be politicians that his support, if sought, is given irrespective of what party the person joins. Do you know why? Simply because if the person believes in small business it doesn’t matter which party they join. The person’s convictions and willingness to enter public life will drive that person to work towards the particular party delivering meaningful law reforms for small business.

This author’s advice and support is freely given whether or not the person joins a political party or irrespective of which political party the person joins. Small business is and should always be bipartisan.

Now if Minister Emerson feels that it’s important that this author’s “campaigning” be at all times revealed, then the following provides a convenient summary of this author’s “campaigning” for all sides of politics.

Let’s start with the Labor side of politics. Minister Emerson may perhaps like to consult with his Federal Parliamentary colleagues such as Ministers Chris Bowen and Stephen Conroy regarding this author’s campaigning with them on competition issues over the years, especially when Federal Labor was in opposition.

Then there is Tony Piccolo, a South Australian Labor backbencher for whom this author wrote a franchising law which was heavily relied upon during his recent very successful re-election campaign. Of course, we should also mention this author’s appointment to the NSW Small Business Development Corporation by a NSW Labor Government.

This author wrote the Birdsville Amendment against predatory pricing for Senator Barnaby Joyce, an amendment that received support from the then Liberal Government and ultimately Parliament. We should also mention advice given to Family First’s Senator Steve Fielding and the Australian Greens. Finally, there is well known campaigning on small business issues with Independent Senator Nick Xenophon.

What’s the common thread? No conspiracies here Minister Emerson. Just a willingness by this author to support anyone that supports small business regardless of political colour or flavour!

Maybe there’s something in that for everyone. Let’s stop talking about how we are going to support small business, and actually move to enact strong and effective competition laws to ensure that small businesses are not driven out of business by the anti-competitive conduct of larger players.

And, just in case you’re wondering Minister Emerson, this author is not a member of any political party.

With this Federal Labor Government’s love of “revolutions” this author would invite the Minister to come out and visit the Federal seat of Hughes where there is glorious revolution taking place. One where a small business person is actually standing up for small business so that if elected he can take the small business message straight to Parliament.

And, yes, this author is proud to help Craig Kelly in the same way he has been proud to help others right across the political spectrum to deliver the small business and competition message.

13 comments

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    • Jolanda says:

      07:31am | 23/06/10

      The reaction from the Minister is of no surprise.  It is part of the process.  If you question something that they do not like or do not want to deal with they call it personal and turn on you making sure that they do everything in their power to discredit you so that nobody will give you the time of day.  For years they have been getting away with doing this.  I can’t help but wonder what has to happen for this to change.

      Education – Keeping them Honest
      http://jolandachallita.typepad.com/

    • Chris Lehmann says:

      07:42am | 23/06/10

      Great article frank.  The people that bleat about “them”, and say that “they should do something”, should get off their arses and join the political party of their choice, (as their concience dictates), to have some input into decision making, and access to decision makers.  I am a small businessman and a member of the LNP, and I joined one of the mainstream parties for the very reasons that you outlined in your article. 
      You will get a lot of comment on here from anonymous armchair critics who would be better getting of the computer, and joining a political party or pressure/action group and get involved in their communities rather than angrily/indignantly/sarcastically furtively tapping at keyboards as their whole contribution to public debate and the exercise of their citizenship.

    • Wayne Fehlhaber says:

      09:54am | 23/06/10

      Yes , well said Chris , if those who complained and whinged about small business pressures put the same vehemence into actions resulting in federal representation at the workface, small business would benefit from a direct focus of common sense.
      I too , am a member of the L.N.P. , having been involved in small business all of my working life . There is much to be gained in letting go of undirected frustration and anger and channeling that energy into
      action with a clear focus on the benefit to small business outcomes.

    • James Darby says:

      10:29am | 23/06/10

      THE ADVERT IS A LEMON

      We shall continue to offer advice to the Liberal Party as to how the Liberals can Help Get Rid of Rudd and so help save Australia. They are not listening and that is why this Party has come into being.

      From: James Darby - Small Business (and their) Employees Party.
      To: liberal Party HQ ; Tony Abbottt
      Sent: Tue, 22 June, 2010 1:52:30 AM
      Subject: The Lemon Advert. 220610
      Attention : Brian Loughnane, Federal Director Liberal Party

      Dear Brian,

      I implore you to reconsider the broadcasting of this ad.
      Briefly:
      An ad has to have a purpose. On replaying the 07 Lemon Ad here are some consequences I see taking place. The ad writer will be patting themselves on the back for turning 07 upside down. The viewing population sees this sort of computer imagery all the time and sub-consciously realizes that the image is not true.

      Another consequence of the ad is to insult the intelligence of those who voted for Rudd on one hand and then on the other hand the ad complements Rudd for appearing at the 07 Election as a man who promised changing circumstances that appeared real , savoury, achievable, decent, to be expected, and Rudd didn’t deliver because he was a Niva? That’s a serious worry because the lemon looks like Howard (and Howard did not deliver on everything either.).

      Also much of the population are bamboozled by Rudd’s double speak and believe he does deliver. The Lemon speaks so conclusively that Rudd delivered nothing therefore the Lemon lies as Rudd did deliver something in most Laborvoters’ heads.
      Soon the newspapers are going to be flush with news how Kevin is bringing in strike breakers to take over where the likes of Professor Palmer’s and fellow members of the “Save The Billionaires Club” threatened to pull back from mining “our” wealth.

      The media will be announcing Kevin Rudd’s signing of a $10b+ deal with One State (Commo) China (Mainland). The media will not be asking “Were tenders called for the building of these ports>, these mining and transport developments?” They will not be asking Kevin Rudd “What is going to happen with Mainland Govt controlled owned and run companies when you drop a new ‘Rent” or super tax on them?”

      The Media will not even be asking “Who else was offered this deal, were tenders put out? What the Media will be doing is singing the praises of Mr Congenial Kevin Rudd. No media will be suggesting that when Rudd calls the election he will be dumping the Miners’ Tax and reintroducing the ETS in a ‘more tax stays here less tax goes to Africa’ format.

      The ad creates no friends and inspires no one to help Abbott. Directs no-one where to go (to help squeeze the lemon). The Ad simply draws mental comparisons between Howard and Rudd. Both similar men. High taxing and in favour of an ETS.

      So one has to look at the economic cost of the lemon. Instead of a lemon, a plum 32 secs advert. that stamps Abbott as a leader, as a piper, saving us from typical Labor squander.

      Due to Rudd’s smarty ads you are now facing a problem with strong Labor advocates who will, (no doubt) know that the wealth in the ground belongs equally (or more) to them, that the Billionaire Miners have been ripping them off for ever and Kevin Hood is going to give decent working families back their fair share. And now the Chinese are going to help. And we cannot insult the Chinese in any way as they are our biggest trading partner and buy our wealth and are paying for the right to share our wealth with us and we will be better off with our fair share because Kevin is smart and gets the Chinese to pay us to make us better off.

      What is the Lemon going to do with that? For an ad to go viral, it must have subtitles. Subtitles also help the deaf and cost no more. People listen better as they read what they are hearing.

      James Darby 23rd June 2010
      —————————————————————————————————————————————————-
      The National and Liberal Partys will be preferenced before Labor and Green (who will be preferenced last.)

      Now - full steam ahead with the Small Business and Employees Party. 1st July is cut off date for inaugural Party Membership. We already have enough members for Registration. The draft Policy will be completed shortly with the Party Constitution for Party Members to ratify and then we set about working for the prosperity of Small Business and their Employees. An employee is a trainee Employer (or manager) and will be encouraged to treat the business as their own, and encouraged (trained) in how to assist in the making of money for their boss so that the employee can advance up the income chain as their goals dictate. When Registered we shall be calling for nominations for the coming Federal Election.
      jamesdarby@y7mail.com 23st June 2010

    • Alex says:

      01:29pm | 23/06/10

      Mr Darby,

      Need I ask, have you bothered to go into the details of the 10+ Billion dollar deal?  I would think that there was no need for the government to call for tenders as it was negotiated that the miners build the infrastructure they require rather than the tax payer.  And these will go out to open tender when they are being built, the tender let by the companies running them.  As for the RSPT factor, I am sure that the chinese backers of these mines have done the required investigation into the financial security of these mines under all proposed taxes and the current system.

      And nice to see you seem to treat “labor votes” as a different class of people.  I am one of these supposed Labor voters because I voted for Rudd, well to be correct I voted for my local member, who I believed the Labor candidate was better than the Liberal candidate.  I however was seriously considering voting the other side this time, however with the change of Abbott to leader I believe he does not offer a viable alternative.  I am seriously worried about what he shall do to this country.  He has no policy apart from anti-labor.  He proceeds to block Labor policy in the senate and then accuse the Rudd government of back flipping on its promises, and the entire time enciting the Australian public with scare tactics rather that adopting alternate policies.

      And where does the Anti-Chinese attitude come from?  Whether it is Rio Tinto or Chinalco, China is the major purchaser of our resources, all China is doing is attempting to cut out the middle man, that seems smart business to me.

      As for the topic, I don’t see why small business shoudl be afford a different set of rules.  Why should a small business get different employment rules than a large corporation.  The reality is, employees of a small business need to survive just like those of major business, so why should they be hung out to dry so Mr Small Business owner can make a few more bucks.

    • stephen says:

      10:47am | 23/06/10

      If small businesses cannot operate in a system that appears equitable for everybody else, then they should get out of business.
      An alternative, of course, is to vote in Mr. Abbott, and start breeding.
      (Not for love, but for money.)

    • Adam Diver says:

      11:43am | 23/06/10

      Written by someone who has never been involved in a small business except to pick up there paycheck.

      Spoken by an ignorant person.

    • Iva Tarbell says:

      11:46am | 23/06/10

      Stephen, you have hit the nail on the head.

      While the system that small business operates in Australia might “APPEAR EQUITABLE”  it isn’t.

      Small business in Australia is unfairly discriminated against in just about every business input cost they have – from rents, to bank fees & charges, to electricity costs, to the merchandise they purchase to re-sell, etc, etc, etc.

      The only thing that is equitable for small business in their competitive fight with larger businesses, is the costs of postage stamps.

      Take rents for example; if small business rents a smaller space than a larger business - naturally the small business expects to pay more per m2 in rent than their larger competitor.

      No one argues against this principle, it’s a natural law of business, that recognises genuine economies of scale.  But how much more ?

      10% more ? ...........20% more ?............. even 50% more ? 

      No-one would object if these percentages represented the higher prices paid for rent by small business, as the superior entrepreneurial efficiencies of small business (in comparison with the bloated bureaucracies of their larger competitors) enables small business to overcome these natural lyhigher costs that arise through genuine economies of scale.

      But if you walked into any major shopping centre, to an ill-formed observer, while the system might “appear equitable”, (as Stephen appears to believe) but the truth is that the small retailer is paying between 500% to 1000% higher for his rent than his larger competitor.

      This massive unconscionable and hidden discrimination against small business has nothing to do with any genuine economies of scale. 

      Its nothing other than an economic distortion, and a perversion of the free enterprise system,  for which the anti-competitive effects permeate throughout the entire Australian; economy, society and political system – to the ultimate determent of all three.

      If we want to get this country back on track, the answer is simple -  we need the “system” not to just APPEAR equitable, but we need one that actually provides real equality of competitive opportunity for small business.

    • Alex says:

      01:41pm | 23/06/10

      Iva, How is that the government’s fault?  Are you suggesting the government should regulate the retail industry and tell them how much they can rent their space out for?

      But what if it is a small business owner who is renting out retail space?  He should be allowed to rent it out for whatever price he wishes?

      The issue you are talking about is the free market, the same free market that lets you charge whatever you want for the products or services you sell, though competition may limit that price.

    • James Darby says:

      04:29pm | 23/06/10

      Alex,
      I have no access to the Federal Parliamentary Library to verify the S.M.H’s reporting of The P.M. signing a $10b deal with China.
      A democratically elected Government must act for the well being and security of it’s own citizens and I dare also to say to provide it’s citizens with the greatest possible chance of their genes being perpetuated.
      Labor Voters are a different class of people. They believe what is best for the tribe is best for the individual whereas I believe what is best for the individual is best for the tribe.  Employers are a different class of people to employees and landlords are also different to tenants.
      Employees who take on the personal responsibility of treating their bosses’ business as their own will learn how to produce added profit and therefore learn how to increase their own income. Tenants who treat their rental as their own and respect and improve that property will become a landlord one day. The teaching of “all are equal” stifles the capacity of the inexperienced to learn from the experienced.
      Like you I am seriously worried about the future of my Nation and I am glad that you are dwelling on changing your vote from Labor.
      No two people have the same thought patterns or belief system, thank goodness, otherwise we might as well be clones.
      With regard to I.R.  Tony Abbott has become little different from Rudd.
      Image yourself owning a business and being unable to dismiss an unsatisfactory employee with due notice? All employers must be able (with due notice) to dismiss an employee should the employer so choose. Can you foresee an “Unfair Quitting Law” where the Govt sues an employee for leaving an employer?
      It was Turnbull who failed to block the Stimulas in the Senate resulting in far and long reaching damage to the market place.  I fear socialism as socialism has caused the death of more people than war. I don’t have an Anti-Chinese attitude, I have an anti-socialist attitude. Big business uses Govt to increase tax on small business to take over small business.

    • Daniel says:

      10:14pm | 23/06/10

      “Update 10.10pm: Kevin Rudd is about to hold a press conference and Sky is reporting there will be a challenge first thing tomorrow morning.”

      This is getting serious now. I think Rudd will be gone in the morning much like Turnbull was?

    • James Darby says:

      09:36am | 24/06/10

      If Ruud goes that certainly makes the Lemon ad the biggest Lemon of political advertising.

      Julia Gilliard becoming PM will be a disaster for Small Business. Rudd is a disaster for Australia and deliberately set about preparing Australia for an AustAsian Union. Julia will attack small business for different reasons.

    • James Darby says:

      10:00am | 24/06/10

      Out of the Archipelago into the Gulag.
      Rudd came from a Public Service backgound with no understanding of the relationship between individuals in a enterprise society.

      Jullia Gillard’s background goes with a desire for a non enterprise society. She has sworn to work for the socialisation of industry, distribution, production and exchange. If Julia were to win it is goodnight for small business. Every Australian will never forget the new PM screaming support and loyality for the former PM days before she rubbed out Rudd.

      The horror now facing Australia is that Turnbull will jump on Abbott and then Gillard may well win. The contempt that Australians feel for pollies continues to grow,

 

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