Australian small businesses are in good shape compared to international management standards, according to Telstra (ASX:TLS).
An analysis by the NSW Business Chamber of more than 400 entrants in the 2010 Telstra Business Awards found that many Australian small businesses show a high degree of financial competency.
Many SMBs are focused on consumer satisfaction, with 71% of those analysed stating they contact their best customers over six times a year.
As a result, 31% of businesses said that all customers were satisfied with the service they received and a further 65% said over 80% of their customers were happy.
“[SMBs] are leading the way when it comes to managing customers and their bottom line,” Telstra Business group managing director Deena Shiff said.
The companies are also using technology to their advantage. Around 73% of respondents said they had a website – higher than the broader small business sector.
But less than half of the businesses had a detailed plan for future growth, and 40% lacked a detailed risk management plan.
And while 79% said they had concentrated on innovation in their businesses, 72% do not have an R&D budget.
TLS shares fell 1.83% in Thursday's trading to $2.680.