CPA Australia: Career opportunities and overseas prospects for small businesses in Taiwan hit the ground running

TAIPEI, TAIWAN – Media OutReach Newswire – 30 May 2024 – Taiwan’s small businesses are expected to rebound this year, reflecting growing confidence in the country’s economy, a growing number of respondents said. those with new career plans and a positive outlook abroad, a new survey by accounting body CPA Australia has found.

CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS 2023-24 TAIWAN RESULTS

The annual Asia-Pacific Small Business Survey conducted by CPA Australia reveals a significant V-shaped trend in Taiwan’s economic confidence among small businesses. 58 percent expect the local economy to grow this year, up from 39 percent in last year’s survey. This is also the highest result for Taiwan since it was included in this environmental assessment in 2018.

The improvement in the local economy is likely to have contributed to boosting the confidence of small businesses. Nearly two-thirds (63 percent) of Taiwan’s small businesses expect to grow by 2024, up from 48 percent in the previous survey.

Mr Elic Lam FCPA (Aust.) Taiwan’s Honorable Consultant of CPA Australia said: “Business is the pillar industry of Taiwan’s economy. As international trade has gradually developed, Taiwan’s small businesses have continued to send to other countries after the difficult time caused by this epidemic.”

More than half (56 percent) of surveyed businesses expected their sales to overseas markets to increase this year.

“There has been a rapid increase in global demand for high-tech products, especially semiconductors. This provides opportunities for large and small Taiwanese businesses as they play a very important role in the supply chain. of technology, from R&D to production, and logistics.”

Improvements in business conditions are driving labor demand. Last year, 31 percent of small businesses surveyed said they had increased their workforce. This is the highest result for Taiwan since it was included in the study. This trend is expected to continue, with 41 percent planning to expand their number this year, again surpassing the previous survey’s record.

“Hiring more workers last year was one of the most drastic measures many small businesses took when they saw signs of recovery. Only when small businesses are confident about the future, and the environment anticipated, they intend to hire new employees and increase their focus on innovation.

“To face a competitive labor market, employers need to think about ways to retain the best workers to deal with the lack of talent and use technology to control the increase in labor costs.”

Although small business confidence is increasing, concerns about rising costs are also high. Last year, 31 percent of respondents chose cost control as a key driver for their businesses. Although rising costs (32 percent) were identified as the main business challenge. The cost that was considered the most dangerous to the business was labor costs (33 percent), followed by materials (29 percent) and rent (22 percent).

Lam said, “Small businesses can take different measures to deal with the problems caused by cost pressures, such as adopting new methods, improving operations to improve efficiency or using digital tools to reduce labor problems.”

62 percent of surveyed businesses sought foreign funding by 2023. The most popular reason was to use that money to boost business growth. Banks were the main source of that money. This trend is expected to continue until 2024, as three quarters of respondents indicated that they will seek foreign exchange this year or may seek foreign exchange.

There has been a noticeable improvement in access to finance. Last year, 57 percent of respondents indicated that seeking external funding was easy or very easy, up from 30 percent in the previous survey. This year, half of the respondents expected the country to continue.

Lam noted that compared to other markets surveyed, respondents in Taiwan were less willing to seek advice from outside consultants. He suggested, “Taiwanese small businesses should seek advice from experts to help them scale their digital transformation and improve financial performance, such as advice on managing capital expenditures and improving cash flow. .”

Last year, 21 percent of surveyed businesses sought professional advice from investors and 24 percent sought it from banks and finance companies.

The study also highlights unprecedented levels of innovation and adoption of digital tools by small businesses in Taiwan. Seventy-six percent of surveyed enterprises indicate that they intend to innovate by 2024, which is the highest result in Taiwan. Additionally, among businesses surveyed, 59 percent reported that more than 10 percent of their revenue was generated through online sales in the past year, while 57 percent admitted to receiving more than 10 percent. of their income through digital payment methods.

“The profound change in consumer behavior towards online platforms, spurred by this pandemic, has been critical to the digital adoption of small businesses. While this change is evident in many other markets, businesses Taiwan’s small businesses should continue to promote Government support projects such as ‘Increasing the competitiveness of small and medium-sized enterprises’ to strengthen their digital capabilities in online trading. country.”

CPA Australia surveyed 4,222 small business owners or managers across 11 Asia-Pacific markets across Australia, Mainland China, and Malaysia, including 311 respondents from Taiwan.

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About CPA Australia

CPA Australia is one of the largest accounting associations in the world, with more than 173,000 members in more than 100 countries and territories, including more than 22,200 members in Greater China. Our core services include education, training, technical support and advocacy. CPA Australia provides thought leadership on local, national and international issues affecting the accountancy profession and the public interest. We consult with governments, regulators and industries to advocate for policies that stimulate sustainable economic growth and positive business and social outcomes. Find out more at cpaaustralia.com.au