Mayor Jodie Harrison and council general manager Brian Bell this week signed the Small Business Friendly Councils Program Charter, which the Small Business NSW Commissioner and NSW Business Chamber established.

Cr Harrison said small businesses are "the powerhouse of our local economy".

"It is vital we ensure they have ample opportunity for growth and sustainability through improved relationships with all levels of government," Cr Harrison said.

"By signing up to the program, council has the opportunity to review its procedures and practices in dealing with small businesses, explore new initiatives and share small business-friendly strategies with other councils."

Southlake Business Chamber and Community Alliance president Robert Kemmis said the signing is a big step forward for small businesses.

He hopes the announcement will make it easier for small businesses to get development applications through.

"We all know it's important to have a flourishing small business sector," Mr Kemmis said. "In the past there has been a little bit of difficulty getting DAs through - hopefully council will start to develop a 'yes' mentality when it comes to small business DAs."

Toronto Chamber of Commerce president Gail Ryan said there are a number of things council could do to instantly become more small business-friendly, such as adding more car parking spaces around Toronto's CBD.

"As a chamber, the lack of parking in Toronto is our biggest concern," Ms Ryan said.

Ms Ryan also said a council-backed small business expo would provide opportunities for business in the area.