Malta Chamber of SMEs

Abigail Agius Mamo to depart from CEO Role at the Malta Chamber of SMEs After 10 Years of Success

Posted on 09.07.202409.07.2024 by Andrew Aquilina

Abigail Agius Mamo to depart from CEO Role at the Malta Chamber of SMEs After 10 Years of Success

The Malta Chamber of SMEs wishes to announce that its CEO, Abigail Agius Mamo, has decided to step down from the position. Ms. Agius Mamo has been an integral part of the SME Chamber for the past 17 years and in the position of CEO for the last 10 years, during which she along with the Council spearheaded major changes nationwide. During her tenure as CEO, the Malta Chamber of SMEs achieved numerous milestones, significantly enhancing the organization’s presence and impact. This included a comprehensive journey of renewal while at the same time, supporting local SMEs during the unprecedented challenges of the Covid-19 pandemic. The organization’s gold standard handling of the Covid-19 repercussions gained EU-wide recognition, being awarded the EU’s Civil Solidarity prize.

As CEO, Ms Agius Mamo performed her role with passion, inspiring the team she built to work for the continued growth and evolution of the organization building trust, and giving a very credible voice to Malta’s SMEs to shape opinions and policies effectively. Ms Agius Mamo and the SME Chamber worked hard to build a robust support structure for SMEs and to create numerous opportunities to highlight the importance and contributions to local businesses. Another great achievement spearheaded by Ms Mamo was the Malta Business Awards.

The Malta Chamber of SMEs President and Council and staff wish to thank Ms Agius Mamo for her exceptional service and leadership and wish her all the best in her future endeavours.

Increase in Interest rates for late commercial payments

Posted on 05.01.2024 by Andrew Aquilina

As of January 1, 2024, the interest rate for late payments in commercial transactions in Malta has increased to 12.5%, previously being at 12%. This adjustment is made on January 1 and July 1 each year.

The Late payments directive was implemented in 2012, addressing late payments in commercial transactions. Under this directive, creditors have the right to charge interest on late payments at a rate of 8% plus the European Central Bank reference rate. This interest is calculated from the day following the agreed payment date or contract-end date.

When payment terms are unspecified, the creditor can claim interest 30 calendar days from the receipt of goods or services, or from the invoice date. The agreed payment period in the contract cannot exceed 60 calendar days, unless both parties expressly agree on a longer period that is not grossly unfair to the creditor.

Creditors can pursue late payment claims without reminding debtors, especially in transactions between undertakings and public authorities. In such cases, the payment period is 30 days unless otherwise agreed, with a maximum of 60 days if specified in the contract.

Conditions for interest on late payments in commercial transactions also include:

Payment period limited to 60 calendar days, unless mutually agreed upon for fairness.
Supplier can claim late payment without a reminder.
Business-public authority transactions have a 30-day default payment period, not exceeding 60 days if specified.
Public authorities engaging in economic activities have a 60-day payment limit if unspecified.
Any extension of the invoice receipt date is void.
Supplier entitled to a minimum €40 compensation in addition to interest charges.
Retention of title in contracts until the buyer pays in full.

The Late payments directive is currently being revised in order to ensure more proportionality adding more safeguards to clauses already included. This is to ensure SMEs are safeguarded.

If you would like to know more about this directive, please do not hesitate to get in touch.

SME Chamber Confirmed as Best Business Supporter

Posted on 08.07.202213.07.2022 by Andrew Aquilina

SME Chamber confirmed as best business supporter as it wins national award for second consecutive year

The Malta Chamber of SMEs has once again won first prize at the National Supporting Business Awards under the remit of the Ministry for the Economy.

The Award was won on the basis of supporting businesses in their sustainable transition and support environmental aspects such as the circular economy, climate neutrality, clean energy and resource efficiency. The SME Chambers’ project is called ‘A Fair Deal for Maltese Businesses’.

The Green Deal, which was first announced in December 2019, came with a very innovative concept. The European Commission (EC) immediately stated that the Green Deal is very ambitious and will require a big change in the private sector. Yet, The EC also said that this transition would be a fair and just one and that it will ask the Member States to ensure that nobody is left behind.
The SME Chamber has risen to this great challenge and has taken it upon itself to ensure that, with the collaboration of many stakeholders, Malta would not just be on the forefront of the Green Deal but would also champion the theme and impact of having a just and fair transition.
By engaging and collaborating with different stakeholders the SME Chamber is aiding in the implementation of new EU targets and requirements from a small business perspective and ensuring that these small businesses are at the heart of every strategy related to the green deal.

The Malta Chamber of SMEs takes this opportunity to thank its collaborators in this project, mainly, the Ministry for Energy, Environment and Enterprise, Malta Enterprise, the Energy and Water Agency, the Water Service Corporation, CE Malta and the Ministry for the Economy and EU Funds.

Ms. Abigail Agius Mamo (Malta Chamber of SMEs), Mr Godwin Warr (Commerce Department) and Mr. Anthony David Gatt (Malta Enterprise)

Malta Chamber of SMEs positively welcomes measure aimed at addressing banking issues

Posted on 07.07.202207.07.2022 by Andrew Aquilina

The Malta Chamber of SMEs has been very vociferous in pushing for the improvement and the accessibility of banking services. Multiple discussions were held with the Prime Minister, the Minister for Finance, the Minister for the Economy and the banks and their representative Association.

The SME Chamber therefore greatly welcomes the measure announced yesterday by Economy Minister Hon. Silvio Schembri, some of which come out of proposals pushed by the SME Chamber itself. The SME Chamber commends the government on prioritising this important subject, given the drastic deterioration

of the banking services and also the failures in the market functioning. This marks a very courageous move from the governments’ side in support to businesses, something the SME Chamber greatly appreciates.

Enshrining the right to a bank account to self-employed and businesses is an important basic right that is a very good step forward. It is unfortunate that escalating the matter to a level that required legislative action was needed to give businesses this basic need.

The Steering committee that has been launched is also an important tool to define a common due diligence process so as to ensure consistency. Whilst the SME Chamber is in favour of having a robust and rigorous process, the Malta Chamber of SMEs maintains its position that businesses should not be overburdened with what is unnecessary, therefore much fine-tuning is required in that respect. The process should also run efficiently and automated as far as possible. Additionally clear timeframes must be set to avoid undue delay, and provide better guidance to all stakeholders.

The SME Chamber looks forward to seeing these measure implemented for the benefit of Malta as a whole and to ensure a fair and adequate eco-system for businesses to operate in Malta.

The Malta Chamber of SMEs will continue its work with the stakeholders involved to achieve further advancement in this respect.