Business confidence is at its highest levels in six years but if you're running a retail business in the country you'd have no idea.
A new survey reveals an eight point rise in confidence taking the net balance to 46 points with most small businesses believing the economy has shifted to positive ground.
However, the report by Sensis Business Index covering the last quarter of 2016 also showed regional business confidence dropped two points and the retail sector is down 23 points.
Rhys Allan, owner of Digital Done Printing in Ballarat said he had hoped to turn his retail merchandise and printing business into a full-time income last year but customers were reining in spending.
"I started eighteen months ago quite organically, people were interested in my graphic design skills and it turned into a business opportunity," he said.
"I had the goal of making it into a full time job and dropping my current job as a development manager for a regional hotel chain but it just hasn't panned out. I'm still working full time and putting about 20 hours a week in the business," he said.
Allan said his client base of medium sized businesses were putting effort into customer retention rather than customer acquisition.
"I've noticed the amount of merchandise orders I'm getting has diminished in the last six months, there's less discretionary spending."
Waiting for NBN
Another study by Reckon of 600 small businesses said 50 per cent of small businesses are unhappy with the government's management of the economy, including the NBN.
" Businesses want to move to cloud based computing but they can't because they don't have the download speeds. I use neighbourhood cable for my home office because the NBN is too slow," said Allan.
"With Telstra bringing out 5G wireless data next year, it will be outdated by the time it's rolled out," he said.
His view is echoed by Council of Small Business Australia chief Peter Strong."In regional areas there's a lot of uncertainty, the NBN isn't getting out there on time," he said.
Retail woes
The retail sector confidence drop is another concern amongst the positive results of the Sensis Business Index.
"The reason retail would be showing that is there is so much uncertainty, with the internet and with Amazon getting ready to enter the Australian market," said Peter Strong of COSBOA.
"Some parts of retail are going well, the book industry had adapted well and groceries are not competing online but everywhere else is facing big competition," he said.
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