Small businesses across the country will breathe a collective sigh of relief after the 2022 Budget earmarked $100 million of capital funding for a Business Growth Fund.
Buy NZ Made executive director Dane Ambler said many small businesses are "teetering on the edge" and are in desperate need of more financial support.
"The Fund is intended to improve access to finance and enable small businesses to grow.
"Small businesses have shown resilience to get through the past 12 months, despite a perfect storm comprised of Covid in the community, staff shortages, a closed border and shipping costs and delays.
"With the threat of a looming recession, inflation and ongoing shipping issues, we need to continue to help local businesses get back on their feet and thrive.
"We have reached out to hundreds of manufacturers, retailers and service providers, many of whom are closing or facing real difficulty staying afloat.
"The flow-through of Covid is only just reaching some businesses. We needed decent support for Kiwi companies from today’s Budget, and we look forward to seeing how businesses can benefit from the fund in the next 12 months."