Ministers Phil Twyford and Stuart Nash announced the funding at a local business in Napier on Tuesday morning. Photo / Paul Taylor
Ministers Phil Twyford and Stuart Nash announced the funding at a local business in Napier on Tuesday morning. Photo / Paul Taylor
The Government has announced another $40 million for the Regional Business Partners (RBP) Network.
Minister for Economic Development Phil Twyford and Minister for Small Business Stuart Nash made the announcement at local small business STIM Craftsmanship in Napier this morning.
The funding follows $15 million invested since March.
Paul Freeman is the co-owner of small Napier business STIM Craftsmanship where the announcement was held today.
Just before Covid-19 the business had started to make a profit but this dropped to turning over just $70 in April so they got in touch with the Regional Business Partner in Hawke's Bay.
"I think the [additional funding] is definitely in the right direction. Small businesses need all the help we can get. I know the help we had, it was instrumental to our success.
"It's been able to get us back to greater than pre-Covid levels, and that's been because of the assistance we got through regional business partners," he said.
The Regional Business Partners Network is a partnership between NZTE and Callaghan Innovation which offers support to businesses by connecting them with business advice.
"It offers a fast and localised way to get practical support to business, especially the small and medium firms that are the backbone of the economy," Twyford said.
"Advice covers topics like business strategy, finance and cash flow, continuity planning, HR and employment relations, digital services, marketing, and health and wellness for owners and staff.
"The funding enables the RBP Network of 1300 registered professional service providers to deliver free business advice and training to SMEs to build their capabilities," Nash said.
Leonie Wallwork from Regional Business Partner's Hawke's Bay said 600 businesses in the region had accessed the scheme following the initial funding announcement.
Now that more funding had been announced other businesses "in the pipeline" could receive the support.
NZTE information shows that 620 Hawke's Bay businesses have participated in the online webinars offered and 359 businesses have used the voucher system for advice tailored to their business.
A further 45 have registered for RBP Network for support post-Covid and will now be able to access support.
Twyford said the RBP scheme has been "hugely successful" since the first Covid related cash injection of $15m.
"More than 6200 businesses have benefitted from free advice. Another 4600 have registered to take part. Support for firms with up to 100 staff is delivered via vouchers for professional advisory services worth up to $5000.
"We now have one of the most open economies in the world but we know it remains a challenging time for businesses. We want more of them get professional advice to help grow and innovate as our economy continues to open up.
Nash said the professional support is in huge demand from the smallest businesses with 10 or fewer staff.
"This is the same cohort of SMEs who have been most enthusiastic about other government support like interest-free loans and the wage subsidy.
He said about 60 per cent of businesses who have used the network are firms with five or fewer staff and about 80 per cent had 10 or fewer workers.
"There's strong interest from manufacturing, tourism, construction, and retail businesses.
"We don't underestimate the struggle small businesses are facing at the moment, and the pressures they are under, be they financial or mental health. This is the time to leverage personal and business networks and use local contacts to help innovate and grow."
