(9 August 2024 – Australia) More than 70 percent of Australian SMEs prefer to keep their business with brokers and advisers who come to the table with actionable business suggestions and recommendations.
The headline findings are contained in the 10th anniversary edition of ScotPac’s SME Growth Index Report, Australia’s longest-running SME sentiment check. Key findings include:
- 53 percent of SMEs want their brokers and advisers to provide specific advice relevant to their business, and 29 percent want specific advice relevant to their industry.
- 44 percent of SMEs (including 52 percent of SMEs in a growth phase) expect brokers and advisers to be proactive and “do what they say they will”.
- 22 percent of SMEs want their brokers and advisers to present them with a wider panel of lending options.
Just one in five SMEs nominated a retainer-based advisory package as a preferred option when it comes to engaging a broker or other professional adviser. The Round 20 research was conducted by East & Partners who directly interviewed 727 SME enterprises with annual revenues of A$1-20 million.
“The findings demonstrate that the best business development tool in a broker or adviser’s arsenal remains personalised service. The last few years have been a rollercoaster ride for Australian SMEs with surging inflation, 13 interest rate rises, and a raft of new awards and workplace laws adding to their compliance burden” commented ScotPac CEO Jon Sutton.
“Against this turbulent economic backdrop, it is understandable that business owners want brokers and advisers to offer dependable advice to help them manage their cashflow, maximise their working capital and simplify their lives. The message from SMEs is pretty clear – brokers and advisers who stay informed and share their expertise about new lending options and industry-relevant news will earn customer loyalty.”