Business without borders
Taking a small business to the world is easier than ever.
In a digital world, well-serviced by freight carriers, businesses are no longer constrained by geography. So, as the Australian economy slows to levels not seen since the recession of the early 1990s, business owners can look beyond our shores for growth opportunities.
According to the Bureau of Statistics, about 62 per cent of Australia's more than 56,000 exporters are small businesses, employing fewer than 20 people. And although by value they are dwarfed by big businesses and miners, these minnows still accounted for $2.9 billion worth of exports in 2019/2020.
Small businesses that have been able to tap overseas markets with great success often leverage diverse factors where Australia is seen to have an international edge, such as quality and expertise, strong green credentials and even time zone advantages (see Catch the Sun's profile below). Uniquely Australian products are also popular, from food and wine to beauty products containing native ingredients.
To get an idea of the size of each sector, the most-recent ABS data attributes the following values to these industries:
  • Wholesale trade (businesses buying and reselling local products): $955 million
  • Manufacturing: $409 million
  • Retail: $217 million
  • Postal, Transport and Warehousing: $85 million
  • Farming, fishing and forestry: $81 million
  • Construction: $57 million
  • Other (which encompasses professional and scientific and technical services, education and training, healthcare, and arts and recreation): $1141 million
The rise of social media channels, such as TikTok and Instagram, have helped level the playing field for all businesses, but particularly e-commerce brands, who want to compete on the world stage. A strong focus on these channels is often the key to cracking export markets with a low barrier to entry and minimal ongoing costs to drive engagement. Melbourne company Lash Therapy (see below) became an overnight success during Covid lockdowns when promotional videos and reviews on TikTok gained huge traction as people were glued to their phones and online shopping spiked.
For business owners who want to begin exploring export options, there is now a wealth of information and funding options to get small enterprises export-ready.
While it may seem a daunting journey, the Australian Government's online Go Global Toolkit has easy-to-understand but detailed resources to help businesses get an idea of how to get started and where their best opportunities may lie. This includes export guides that can be tailored by industry and sectors. For example, businesses in Vocational Education and Training can find out their best prospects lie in Indonesia, India, Thailand, Vietnam and the Philippines, with country guides for each region offering detailed advice on how to budget and market in the area along with relevant trade agreements and business conventions.
There are also a range of introductory export training programs run by state and federal governments, the Export Council of Australia and Australian Industry Group. This includes online and in-person training, and industry specific courses such as dairy exporting.
For e-commerce businesses, the Australian Government is about to launch a new round of Export Market Development Grants (EMDG), which match funding for small businesses looking to start exporting for the first time. Applications open in November, but before lodging businesses must show they've done the necessary groundwork, including completing a recognised 'export-readiness' course.
Here are some diverse Aussie small to medium enterprises who have leveraged a home-grown competitive advantage to grow their business overseas.
Location
Innovative media company Catch the Sun has built a thriving business around a factor many view as a stumbling block to international success: inverted time zones.
When it's 8am in Australia, it's 11pm in London. So, an average Aussie working day takes place while most of Europe sleeps, and vice versa. Founder Maddie Sinclair saw this as a competitive opportunity when she moved to Australia from the UK in 2016. Australian-based staff were perfectly positioned to work "through the night" for UK businesses with urgent deadlines in need of Catch the Sun's copywriting, editing and proofreading skills. Using her contacts, Maddie also recruited a team of UK freelancers to do the same to help Australian companies maximise efficiency and Catch the Sun was born.
Innovation
Tasmanian company Scoot Boots has leveraged innovation, high-quality Australian manufacturing and animal welfare concerns to take their equine product to the world.
Scoot Boots aims to take horse shoes - for centuries made of iron and nailed to hooves - into a more humane 21st century. The company designed and made removable hoof boots that not only perform better than traditional iron, but are better for horses. They launched in 2015 with 8 products and now have about 400, taking out an Australian Export Award last year, with major markets in the UK and US.
Along the way, Scoot Boots has overcome hurdles such as distribution, by linking up with major industry players and using technology to create a sizing app to allow buyers to order with confidence. In 2024 they used the Paris Olympics as a springboard to launch into the potentially lucrative French market.
Native Flora
Skincare company Bondi Wash has combined an iconic Aussie location with iconic native plants to take their brand to the world. Their range utilises unique ingredients such as wattleseed oil, lilly pilly extract and banksia seed oil to create distinctly Australian products that appeal to both the local and international markets.
Similarly, The Lime Caviar Company, a small family-owned operation, has taken native finger limes to international gourmet buyers by marketing the fruit's unusual caviar-like pearls.
Advanced Manufacturing
Queensland's Sunshine Coast has become a surprise hub for advanced manufacturing in Australia with aerospace company HeliMods one of the star performers. The company is cementing Australia's reputation for engineering excellence, designing and installing aircraft modifications for specialised missions such as medical transport, search and rescue and aerial policing.
Green Credentials
Australia has an international reputation for producing 'clean and green' products. Melbourne start-up Lash Therapy used this as a base to launch a cult range of natural eyelash-growth products in 2020. At the time, the three founders had noticed a gap in the market when lockdowns prevented people visiting salons to get eyelash extensions refilled. Savvy promotional videos and customer reviews on TikTok sent Lash Therapy through the roof. It now exports to more than 140 countries, turning an initial investment of $4,000 into a monthly turnover of $1 million.
The information provided in this document is a selection of information taken from publicly available sources and is current as at the date specified in the information. It does not contain all information or all public websites that may be relevant to our brokers and their customers. Please note Australian Finance Group Ltd (AFG) does not provide tax, legal or accounting advice. Any information provided is of a general nature and/or for illustrative purposes. It does not take into account our broker's or their customer's objectives, financial situation or needs and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. AFG encourages our brokers and their customers to consult their own tax, legal and accounting advisors before engaging in or considering the appropriateness of any transaction.
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The information provided in this document is a selection of information taken from publicly available sources and is current as at the date specified in the information. It does not contain all information or all public websites that may be relevant to our brokers and their customers. Please note AFG does not provide tax, legal or accounting advice. Any information provided is of a general nature and/or for illustrative purposes. It does not take into account our broker's or their customer's objectives, financial situation or needs and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. AFG encourages our brokers and their customers to consult their own tax, legal and accounting advisors before engaging in or considering the appropriateness of any transaction.