Great times for Bay of Plenty businesses

Business is good for Jo Allum of Yojo Communication Design, who is moving to Basestation co-working space in October. Photo / Sonya Bateson

Small businesses in Bay of Plenty are tracking the most significant growth in the country as national revenue growth hits its highest level in five years.

The latest MYOB Business Monitor shows 45 per cent of small and medium enterprises in the Bay of Plenty increased their revenue in the 12 months to August - 6 per cent more than the national average.

Growth is expected to continue, with 37 per cent of local businesses forecast to increase their revenue in the next year.

MYOB chief executive Tim Reed said it was heartening to see small businesses in such good shape.

"What's particularly positive is that growth is no longer confined to just the two largest centres, with the rebuild in Christchurch and the expansion of Auckland no more the only drivers of the economy," Mr Reed said. The whole country was enjoying "solid levels" of economic growth.

Jo Allum, director of Yojo Communication Design, said her business was the busiest it had been busy since she moved to the Bay seven years ago.

Ms Allum thought this was due to a combination of the economy picking up and businesses being more willing to invest in new technology.

"I work with technology and helping people to enable their business with technology. I think that for me, this is one of the driving forces for being busier."

Implementing new technology was an investment with quick return as it made things easier for customers.

"There's better awareness of making products for your customers instead of finding customers for your products. People are creating businesses that are very customer-focused."

She will join at least three businesses who will move into Basestation on Durham St in mid-October as business continues to grow.

Tauranga Chamber of Commerce chief executive Dave Burnett said small businesses were doing well locally.

"We've got some really good things going for us in terms of the regional economies starting to take off now, he said.

"The likes of the Innovation Hub being signed off, the Tertiary Partnership being signed off, the Kiwifruit industry coming back again - we've got more events coming into the city."

The MYOB report says the most significant improvements were in the retail and hospitality sector, followed by agriculture, forestry and fishing.

Small businesses with increased revenue

Year to Aug 2014
Bay of Plenty 45%
National 39%

Year to Aug 2015*
Bay of Plenty 37%
National 38%

*Forecast