Dr Ali: Threshold too high for SME
2 April, 2015, 12:00 am
THE $5million threshold for the definition of small private companies in the Companies Bill is too high considering the number of micro-level businesses in Fiji, says Women in Business president Dr Nur Bano Ali.
While presenting the organisation’s submissions on the Bill to the Parliamentary Standing Committee of Justice, Law and Human Rights in Suva yesterday, Dr Ali said section 19(1) needed to be investigated further regarding the definition for SMEs.
“Many of our members represent micro and small business enterprises. As such, we’re interested in clause 19(1) of the Bill and the definition of a small private company,” she said.
“The Women in Business recommends the committee either investigate the introduction of an additional level of company such as micro private company, where the threshold could be the consolidated revenue for the financial year of $1million. Most micro businesses in Fiji may not even reach the $100,000 threshold and as such it is unfair to categorise all businesses below $5million together.”
However, she said, they welcomed the reduced lodgment and disclosure obligations on small private companies.