The federal government is investing an additional $89 million to “encourage entrepreneurship” and support young job seekers who want to start their own businesses.
The expanded New Enterprise Incentive Scheme (NEIS), which will come into effect from December 1, 2016, aim to increase access to self-employment training and mentoring for job seekers not currently in employment, education or training.
An additional 2300 NEIS places will be funded resulting in 8600 places across the country as part of Tuesday night’s budget.
As part of this initiative, ‘Exploring My Own Boss’ workshops and self-employment starter packs aimed at younger people will be established to help those unemployed explore and gain access to services to help them start their own businesses.
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River City Labs general manager Josh Anthony says the initiative is a step in the right direction.
“This gives young people a chance to do laps around the block and hone their skills,” Anthony says.
“Some of the best entrepreneurs I know have failed once or twice and succeeded much bigger with the battle scars of the real world.
“It’s good to see entrepreneurship now as a real career path, not just trades and university.”
Inclusive Entrepreneurship Facilitators will also be appointed in areas with high youth unemployment to collate supports like startup incubators and micro-finance services.
These facilitators will also be responsible for providing practical assistance, access to local mentors, business partners, finance, equipment and even office space.
Treasurer Scott Morrison listed the government’s innovation and science program for startup businesses as a key component of its federal budget plan.
Morrison outlined a plan to support jobs and growth by investing in the commercialisation and acceleration of STEM ventures.
In line with this, Morrison also mentioned there will be reforms to employee share schemes and equity crowdfunding to make it easier for startups to access capital.
The focus on commercialising STEM ideas is also heavily vested in the government’s defence force agenda with Morrison announcing investment in a pipeline of work to secure defence manufacturing in Australia.
“The nine future frigates, 12 offshore patrol vessels and 12 new regionally superior submarines will do the job of boosting our defence capability, but they will also drive jobs and growth in the new economy we are building – not just in the ship yards in Adelaide and Perth, but right across the supply chain of our national economy,” he said.
Investment in tech ventures solving “complex problems for government” were among those prioritised.
“That is why these investments are not just about national security but are an important part of our economic plan for Australia for jobs and growth,” he said.