Small business registration

NSW Government policy requires government agencies to pay small businesses within 30 days of receiving a correctly rendered invoice.

The government has introduced a policy requiring government agencies to pay small businesses within 30 days of receiving a correctly rendered invoice.

This will improve support to small business by ensuring they are paid in a timely manner.

How it works

If a government agency does not pay a small business within 30 days of receiving a correctly rendered invoice, the agency must pay a penalty interest payment on the amount owed if interest exceeds $20.

The requirement to pay interest to small business is effective from 1 January 2012.

Reporting

All government agencies will report their payment progress and performance on a quarterly basis to the Department of Finance, Services and Innovation.

These reports will be published on the Department of Finance, Services and Innovation website.

More information

This policy is outlined in NSW Treasury Circular 11/12 Payment of Accounts and NSW Treasury Circular 11/20 Implementation of Penalty Interest on Late Payment of Accounts.

NSW Government has a dedicated on-line small business resource and support centre on the Smallbiz website where there is more information on the 30 day payment terms initiative.

Return to top of page