The Small Business Identification (SBI) Tool helps reporting entities identify their small business suppliers. Find out how it works and how to change tool details.
On this page
- How the SBI Tool works
- Small businesses under the scheme
- Opting in or out of the SBI Tool
- Updating details in the SBI Tool
- Providing feedback
How the SBI Tool works
The SBI Tool helps reporting entities to identify which suppliers they need to report on. It's only available for reporting entities – not the general public. The tool is available from the Payment Times Reporting Portal.
The tool works by a process of elimination. It contains a database of ABNs of:
- large businesses
- medium sized businesses
- small businesses that have opted out of the tool.
When reporting entities use the tool, they provide a list of their supplier ABNs. The tool compares this list to the database of ABNs. ABNs that don't have a match in the database are small businesses for reporting purposes.
The tool returns a text file that separates out the ABNs of small businesses that need to be included when preparing payment times reports.
Find out how to use the SBI Tool to identify your small businesses suppliers.
Small businesses under the scheme
The SBI Tool identifies businesses as small businesses if they:
- carry on an enterprise in Australia
- have an ABN
- had annual turnover below $10 million for the most recent income year.
This also applies to businesses that are subsidiaries of a larger business group.
Opting in or out of the SBI Tool
Small businesses can opt in or out of the SBI Tool.
If your small business opts out, reporting entities won't include payment times and terms for your small business in their reports.
To remove your small business from the SBI Tool:
- Set up a Digital Identity with at least a Standard identity strength and link it to an ABN in RAM to act on behalf of the business.
- Register your entity in the portal using your Digital Identity.
- Log in to the portal.
- On the portal home page, select the option to opt out of the SBI Tool.
- Follow the instructions in the portal.
If you decide to opt back in later, follow the same process but select to opt in instead.
If your small business doesn’t have an ABN (for example, if you’re a foreign entity) it won’t be included in the tool or in payment times reports.
Updating details in the SBI Tool
You can update the SBI Tool directly if you think it incorrectly identifies your entity. For example, if the tool:
- lists your ABN as a small business, but you're a medium or large business
- doesn't list your ABN as a small business, but you are one.
If you're already registered to use the portal and the SBI Tool lists you incorrectly, your business details could be wrong. When you update your business details in the portal, it will update the tool.
Log in to the portal, check your business details and update them if required.
If you're not registered in the portal
To update the tool, you must register your entity in the portal. The tool determines your business size based on the details you enter when you register. Registering your business doesn't mean you must report. You only need to report if you meet the eligibility criteria.
Update another business's details in the SBI Tool
If you believe a supplier or entity in your corporate group shouldn't be identified as a small business, you can either:
- ask the business to register and update their details in the reporting portal
- complete an SBI Tool update form (statutory declaration) [PDF 190KB | DOCX 25KB]
Email the completed form to firstname.lastname@example.org
Providing feedback on the SBI Tool
If you have feedback on the SBI Tool, let us know through our online form.