ScotPac has released the latest version of its SME Growth Index report, indicating that thousands of Australian SMEs were facing a ‘survival test’ as rising costs and ATO collections accelerate insolvencies.
The report, an established pulse check of SME confidence and growth prospects, found 25 per cent of Australian SMEs said they could be tipped into insolvency risk if they suddenly lost just one key client or supplier.
ScotPac said this came off the back of a year of surging business insolvencies driven by the two main factors of escalated cost pressures and increased collection by the Tax Office.
ScotPac CEO Jon Sutton said despite the current economic indicators raising concern, businesses that sought professional…