Victoria Treasurer Tim Pallas
New Business Growth Fund To Create Jobs
Victor P Taffa
Andrews Government will establish a $250 Million Victorian Business Growth Fund for small and medium enterprises to help them access capital and create jobs to grow the Victorian economy.
Treasurer Tim Pallas today announced a $50 Million contribution towards the Fund, which will be developed with leading industry superannuation groups First State Super and VicSuper.
“Victorian Business Growth Fund will give some of our best small and medium sized businesses the incentive to take on new ventures and employ more Victorians.” Treasurer Tim Pallas said.
Victorian Business Growth Fund will be the largest of its kind in Australia, seeking to create thousands of jobs by investing in established Victorian businesses with compelling potential for growth and jobs creation.
Andrews Government, First State Super and VicSuper are continuing to work together to finalise the design of the fund, which is subject to a formal agreement.
“Industry super is a partner for people through their working life and we’re proud to join with First State Super and VicSuper to help businesses grow and provide even more jobs for Victorians.” Minister for Jobs Innovation and Trade Martin Pakula said.
A high-quality, independent fund manager will be appointed through a competitive process. Many Victorian small and medium enterprises find it difficult to access affordable capital, limiting their ability to expand their business.
“This Fund will help break down the barriers small businesses face in obtaining the capital they need to grow.” Minister for Small Business Adem Somyurek said.
Reserve Bank and the Small Business and Family Enterprise Ombudsman have repeatedly noted that the economy is being held back by a lack of access to finance.
“So many promising small and medium-sized businesses are unable to reach their full potential because they simply can’t access the capital, they need to take the next step.” First State Super CEO Deanne Stewart said.
Victorian Business Growth Fund will complement the Andrews Government’s programs which already support businesses, such as the Victorian Jobs and Investment Fund and payroll tax cuts announced in the Victorian Budget 2019/20.
“We’re committed to investing responsibly to generate long-term value for our members and the communities that we live in. The Victorian Business Growth Fund is an exciting example of how Government and super funds can think differently and work together to drive great outcomes.” VicSuper CEO Michael Dundon said.