4 February 2009 - The Government's small-business relief package is a "brilliant start" to helping small businesses ride out the economic storm, says the Motel Association of New Zealand.

Chief Executive Michael Baines says the impact on cashflows, access to credit, and reduction of compliance costs is "just what we needed."

The Motel Association represents 1,000 moteliers, every one of them small and medium-size enterprises, making it the only organisation made up solely of such businesses. "These are very welcome initiatives for our members. "The tax part of the package gives SMEs a far easier ride in what is a complex area".

"Tax is a complicated area and the 11 tax changes announced today will make it easier for SMEs to manage this area.

"Cashflow will be affected in a positive way, which has got to be good for anyone in a small business in the current business conditions.

"This whole package makes SMEs feel wanted. It's recognition of the tremendous contribution they make to the economy.

"It's not just about the big boys."

Mr Baines said the expansion and promotion of advisory services and mentoring available to businesses is welcome but he would have liked the scheme to have integrated existing schemes run by organisations such as his.

"We have a mentoring programme running and we have the knowledge, and it would have been good to have that integrated into a wider scheme.

"Legitimate trade organisations have a tremendous role to play and need to be included in the programme"

"However, anything that makes advice and information easier to get is welcomed.

"We appreciate today's moves as a start, and we look forward to many more initiatives that work. "Following on from the welcome changes to the RMA announced yesterday, this whole package is really good for the little guy."