Small and medium-sized businesses won over half the number of total contracts tendered by the Australian government and more a third of the contracts by value, official figures show.
Out of 66,047 awarded contracts, 36,487 went to companies with fewer than 200 employees and operating independently of any parent organisation, according to the latest figures published by the government’s procurement information system AusTender. This equates to AUS$16.8 billion (£9.03 billion) out of AUS$48.9 billion (£26.3 billion) worth of contracts going to SMEs.
Businesses with fewer than 20 employees were responsible for winning 20,000 contracts with the government and over 11.6 per cent of the total value of contracts, or AUS$5.7 billion (£3.06 billion) worth.
The Australian government has introduced a range of measured designed to make it easier for small companies to do business with government. These include a simplified process for tendering for contracts worth AUS$20,000 (£10,700) or less, standardised terms and conditions and online templates.
“For small business in particular, the government will continue to focus on further reducing complexity and costs associated with tendering,” a statement read.
“Through a range of red tape reduction initiatives the government is delivering on its election commitment to make it easier for small businesses to do business with the government.”