Forty percent of the Tasmanian businesses had failed to meet their revenue targets over the previous 12 months, which is not that much different from elsewhere in the country. While only 20 percent of Tasmanian respondents expect to cut employee numbers in the current year, 40 percent believe their headcounts will remain the same.
Main concerns for Tasmanian businesses are the overall economic environment, attracting and satisfying customers and dealing with government policies and legislative changes. The ability to enter new markets is seen as a key driver of business growth, probably reflecting Tasmania’s status as a relatively isolated, island economy. Concerns about government policy centre on reducing regulation, reform of state taxes and charges and healthcare.
Just over two thirds of Tasmanian respondents admit to having no business continuity plan. A slightly higher percentage has failed to consider a business exit strategy for the next three years. Interestingly, more than half of these say that if they were to execute an exit, sale of the business to existing employees would be the preferred option.
Eighty-three percent of Tasmanian respondents say they are not contemplating any change in their present banking arrangements.