Affordable Support Launched for Small Business Disputes

Australian Small Business and Family Enterprise Ombudsman

The Australian Small Business and Family Enterprise Ombudsman (ASBFEO) has welcomed the expansion of subsidised legal advice for eligible small and family businesses to support more effective engagement in dispute resolution processes.

The expanded service utilises existing funding but extends the kind of cases eligible for support beyond the current ATO tax determination disputes to broader commercial matters, particularly where industry codes may be involved.

'It is pleasing that the Government has expanded ASBFEO's ability to offer eligible small businesses low-cost legal advice to help clarify issues and consider alternative dispute resolution options," Australian Small Business and Family Enterprise Ombudsman, Bruce Billson said.

'There is nothing worse than a small business fronting up to something like a mediation with little idea of what is the legal ground on where they stand, what possible solutions might look like and facing a much better resourced party on the other side of the table," Mr Billson said.

'We have seen how effective and empowering this kind of low-cost legal advice can be for an unrepresentative small business disputing a tax office determination the ATO.

'With the Government expanding the parameters for ASBFEO use of the currently available $663,000 annual funding to include matters beyond tax dispute, we'll be able to assist many more small and family businesses to be better prepared for alternative dispute resolution processes across a wider range of matters.

'ASBFEO is the mediation facilitator for a number of industry codes that seeks to ensure fair and good faith conduct between parties in sectors where significant power imbalances exist, and these sorts of disputes, including with franchising, will be a high priority for the expanded service.

'Our goal is to support the parties through impartial processes that aim to find a mutually satisfactory resolution without litigation, getting parties back to business and with important relationships intact.

'We can't guarantee that every small business will succeed but it is our mission to provide help for those who want to start, grow or transform a business, and that no business fails because the owners didn't know about something that might have helped, Mr Billson said.

The ASBFEO's small business help service is available to eligible businesses who have lodged a request for assistance and are actively engaged is seeking to find a resolution. That same 'resolution mindset' is what legal advisers will adopt with the aim of helping businesses constructively approaching disputes and achieve a negotiated outcome.

Since established, the ASBFEO has helped over 50,000 small and family businesses with a focus on self-help through education and resources, empowering small and family businesses to shape better business relationships upfront and work through their own disputes to find a timely resolution.

When more support is needed, ASBFEO case managers actively assist as an impartial third-party to help find a resolution and, where appropriate, we help businesses access alternative dispute resolution.

'Since our commencement in 2016, ASBFEO has helped over 50,000 small businesses. At a time when most small businesses are facing many headwinds, I hope it is reassuring and supportive to know ASBFEO is here to help,' Mr Billson added.

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