Nov 26, 2019
The Federal Treasurer, Mr Josh Frydenberg has announced details on the Australian Business Growth Fund which the Australian Government is contributing to along with investments from the top banks (a total investment of $520 million).
The Fund which is expected to launch in the near future will provide long-term patient equity capital to 30 to 50 firms a year with annual turnovers between $2 million and $50 million.
The aim is to make it easier for small businesses and medium sized enterprises to access equity, which will allow them to grow and employ more people.
The Government believes that access to equity capital will help to reduce business risks for small businesses and medium sized enterprises because it will reduce their reliance on debt financing and will give greater confidence to the SME community.