Case Studies

Understanding the contribution of micro businesses

The City of Darebin is a diverse and dynamic inner municipality of metropolitan Melbourne.
Date
DarebinMicroBusiness_PeopleMeeting

Understanding the contribution of micro businesses

Employment & Innovation

Background

Micro businesses (those with less than five employees) are the most prolific type of business entity in Australia, representing approximately 90 percent of all businesses in 2018. However, the small business environment is also volatile with thousands of business entities entering and exiting the Australian economy each year. This and other reasons, means that small and micro businesses tend not to receive the same support as their larger counterparts, are often underreported and overlooked by governments.

The City of Darebin recognised the important role that micro businesses play in the local community, both economically and socially. In order to provide an effective eco-system of support, The City needed to gain a greater understanding of the needs and characteristics of this dynamic sector.

Project Goals

The City of Darebin wanted to gain a greater understanding of micro businesses that operate within the municipality. This included preparing a demographic profile, understanding the motivations of owners, and estimating the scale and economic contribution of micro businesses within the City.

Findings would assist the City of Darebin in meeting identified goals within the Council Plan and provide effective support for the micro business sector in the future.

REMPLAN’s Involvement

REMPLAN prepared a comprehensive analysis of the local micro business sector drawing on a range of primary and secondary data sources. This included:

  • Background analysis establishing the number, location and clustering of micro business across the municipality.
  • Quantifying the economic contribution of micro businesses.
  • Establishing national benchmarks and identifying key trends impacting micro businesses.
  • Preparing a demographic profile of micro business owners.
  • Facilitating engagement with industry stakeholders as well as preparing a survey to delivery to micro business owners over an extended period.

Results

The City of Darebin was provided with a comprehensive assessment of the micro business sector in the municipality that can be used as a basis to provide effective support that will help micro businesses grow and thrive. Key outcomes of the report included:

  • Overview of the micro business sector in Darebin.
  • Identifying the economic contribution and social benefits of micro business ownership.
  • Identifying current and emerging issues, and types of services and facilities needed by the sector.
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