As your accountant, we won’t just look after the financial side of your business, we can also advise you on the strategic side of your company, including the importance of business development as vital part of your growth plan.
Business development (BD) is what helps your company move from slow, organic growth to fast-paced, hypergrowth. And it’s only by putting the right drive and expertise behind your BD that you can turn your strategic ideas into real success stories.
So, how can we help you achieve this?
Talk to you about your strategic goals
The starting point for any kind of BD activity is to pin down your goals and aims as a business. When you know what you want to achieve over the coming months, it’s far easier to define a strategy for success. And that’s easier to do when you talk to an objective adviser, like us.
We can sit in on your board meetings, talk to your executive team and get a real handle on what makes the business tick. And, armed with this knowledge, we’ll work with you to drive the direction of your BD and find the best opportunities for you to focus on.
Help you create a clear BD strategy and plan
Having a defined set of BD goals is a good starting point. But to put this all into action in a productive way, you’re going to need a comprehensive plan for your BD projects.
Our years of experience advising business leaders and their teams really comes into play here. We know the best routes to take, the budgets that will be needed and the right tactics for bringing in more contracts, sales and partnerships. By putting these strategies into a clear plan, and linking this to agreed timescales, you have a BD route map to follow and action.
Introduce you to a broader network of business partners
We work with a wide range of businesses across many different sectors, industries and niches. By introducing you to our network of clients, we welcome you into a supportive community of like-minded business owners. And that’s excellent news when looking for new partnerships.
Whether it’s attending a local conference, an online webinar or one of our in-house client events, you’re going to meet new people, share new ideas and make the right connections. This is a great way to build alliances and work together with other local businesses. And when you’re well-connected, you set the very best foundations for your future BD activity.
Provide better routes to funding and investment
Whatever goals you’ve set for your BD projects, it’s likely that you’re going to need additional funding to finance this activity. Investing in your expansion, or new partnerships, is vital to getting a good return on your BD, so great access to finance is a definite bonus.
We’ll advise you on the most appropriate funding channels and how you can use these facilities to finance your BD plans. And we can also link you up with banks, lenders and business finance specialists – so you get the advice and finance you need to bring your BD to life.
Help you track and measure your BD performance
Meeting your BD targets takes time – and a whole lot of dedication. Measuring your BD performance over time, helps you stay on track and gives you a good indication of how well you’re tracking against your planned progress.
We’ll help you create the reporting and metrics you need, so you have clear data to track your progress over time. You can log your activity in your project management system, or your client relationship management (CRM) software, and keep clear notes on contacts made, relationships built and targets converted etc.
If you want to get more from your BD, please do get in touch. We’ll partner with you to put some real drive, experience and impetus behind your BD strategies.
There are so many apps in the Xero store now that it can be hard keeping up to date with the latest additions. To make your life easier, we’ve got the lowdown on the top dozen apps.
Dext
Automate your bookkeeping with Dext. Capture receipts, track expenses and mileage, and connect to Xero, 11,500+ apps, banks and more.
A2X
A2X automates ecommerce accounting into Xero for Shopify, Amazon, eBay, Etsy and Walmart sellers worldwide.
LeaveCal by Finlert
Manage team availability with your existing apps by connecting LeaveCal to Xero. Approved leave is fed into your calendar, email or Slack.
Stripe
Stripe makes it easy to accept payments from debit cards, credit cards, Apple Pay and Google Pay for online invoices sent from Xero – so you can get paid faster.
Syft from Xero
Analytics is an interactive and collaborative financial reporting tool that delivers everything from simple reports through to integrated forecasts.
Approval Max
Makes it easy for Xero customers to build robust financial controls across accounts payable (AP) and accounts receivable (AR).
Square
Whether online or in-person, get paid quickly and securely with a variety of hardware and software to process credit cards, Apple Pay, and Android Pay, including touch-free options.
ServiceM8
The job management app for trade contractors and service businesses, with everything to help you cut paperwork, complete more jobs and provide amazing customer service.
Tradify
The job management app for tradespeople! Tradify is the best tool for the job. Manage enquiries, quoting, job tracking, staff management, timesheets, invoicing & more!
Workflow Max
The all-in-one job management solution for Xero users. Save time, boost performance, improve profitability and reduce admin headaches.
Shopify
Connect your Shopify store to your Xero account for easy management of your ecommerce business finances.
RosterElf
A simple cloud-based rostering system that takes the stress out of scheduling your employees. It integrates seamlessly with Xero to process timesheets and save you hours.
We’re here to help you build the perfect Xero app stack
Having a custom app stack at the centre of your business can be transformative. With all your tools and solutions connected to Xero, you have a system that’s 100% tailored to your needs.
We’ll help you explore the app store and build your perfect Xero app stack.
Keeping on top of your finances is a critical part of keeping your business on track. But are you doing everything you can to optimise your financial management?
In this series, we’ll look at some key ways to optimise your business, exploring different avenues to evolve your enterprise and create a legacy you can be proud of.
Let’s see how you can better control over your financial numbers.
Having the right numbers at your fingertips
One of the biggest causes of business failure with new startups is poor cashflow and a lack of capital. Having enough money to cover your expenses, pay your workforce and invest in growth is what separates the successful businesses and those that fall by the wayside.
But what can you do to improve your cash position and keep yourself in the driving seat when it comes to managing the financial side of the business?
Here are five simple things you can to get more proactive with your finances:
Embrace financial technology and cloud accounting
Make sure you’re using cloud-accounting solutions like Xero or QuickBooks, with integrated bank feeds, expense tracking, simple invoicing and a real-time view of your numbers. You can also use the advanced reporting features to get deep insights into financial performance.Use financial metrics and KPIs to monitor performance
Develop a framework of financial key performance indicators (KPIs) including gross profit margins, operating expenses, customer acquisition costs and revenue growth rates. By tracking these metrics, you can gauge your performance, spot any financial threats and make well-informed decisions about your financial management.
Forecast your cashflow position and potential challenges
Use the latest cashflow forecasting tool to track your expected cash inflows and outflows. These projections give you an overview of your cash position for the months ahead, allowing you to top up your cash as required. It’s also sensible to build up some meaningful cash reserves, so you have capital behind you when cashflow gets tight.
Work on your aged debt and debtor management
It’s important that customers pay on time and that your payment terms are clear. Use your accounting software to send out automated reminders and have structured follow-up procedures in place for overdue payments. It’s also a good idea to offer early payment incentives and to nurture strong customer relationships to minimise your aged debt and improve cashflow.
Get strategic with your working capital and access to finance
Having a viable level of working capital in the business is a must. Explore the various financing options for boosting your capital. This can include business lines of credit, invoice financing or term loans to, all of which help to increase funding and raise the company’s capital.
Talk to us about ways to improve your digital transformation
There have never been more tools to help you manage your finances. By embracing the best in financial and accounting tools, you give yourself (and your finance team) the superpowers to become cashflow positive, with capital behind you to drive your business to new heights.
If you’re looking to upgrade your financial management, come and talk to us. Our team will suggest the ideal accounting tech stack and the best ways to control your numbers.
The ATO has extended the amendment period for income tax returns from 2 years to 4 years for small and medium businesses. The period commences from the day on which the Commissioner gives notice of the assessment to the taxpayer. The extended period is applicable for assessments in relation to income years starting on or after 1 July 2024.
The previous 2-year period was considered too short, as outside of this window you would otherwise have to engage in costly and lengthy objections and appeals processes with the Commissioner.
Your application for an amendment must be in the approved form and given to the Commissioner before the expiry of the 4-year period.
These amendments intend to reduce some administrative and financial burden for small and medium business entities and avoid some instances of pursuing objections and appeals.
Small and medium business entities
You are a small or medium business entity for an income year if you:
carry on a business during the income year, and
one or both of the following applies:
the aggregated turnover of your business in the previous income year was less than $50 million, and/or
your business’s aggregated turnover for the current year is likely to be less than $50 million.
What doesn’t change
The Australian Taxation Office (ATO) may continue to decline amendment requests where they believe that the requested amendment would result in the assessment not correctly reflecting your taxable income.
Also note that there is no change to the length of time you are required to keep records for your business. You need to keep records for your business in case the ATO wants to audit your tax return. Generally, records are required to be maintained for 5 years from the date on which the record was prepared or obtained, or from the time the relevant transaction or act was completed, whichever is the later.
For instances such as fraud and tax evasion, the amendment period does not apply and the Commissioner may amend your return at any time.
Please do not hesitate to contact our office should you have any queries.
Originally announced in the 2023 Federal Budget were measures to encourage investment and construction in the build-to-rent (BTR) sector.
Currently, a tax deduction is available on the cost of constructing of a building (eg a rental property), once the building has begun to be used for a deductible purpose. One such method to get the tax deduction is to begin renting out the newly constructed dwelling.
Draft legislation for construction projects that are build-to-rent accommodation that commence after 9 May 2023, the owners of the accommodation will be entitled to a capital works deduction of 4% per annum.
This is an increase from the current 2.5% per annum that will continue to be available for other construction projects.
Eligibility criteria
To access one or both the concessions, the BTR development must meet the following eligibility criteria:
the development consists of 50 or more residential dwellings made available for rent to the general public
all the dwellings (and common areas) in the BTR development are under a single ownership, for at least 15 years (may be sold to another single entity during this period and retain eligibility)
dwellings in the BTR development must be offered for lease terms of at least 3 years
at least 10 per cent of the dwellings are available as affordable tenancies, and
all of the dwellings must be residential premises (s 995-1 ITAA 1997), taxable Australian real property and not be commercial residential premises.
Managed investment trusts
Australian tax residents have the option to invest directly in a build-to-rent accommodation project, or indirectly through a managed investment trust.
The change in the capital works deduction will also apply to managed investment trusts, meaning that you have the option to invest whichever way you wish and still get access to the increased deduction. However, please note that eligibility criteria do apply, meaning that only bona fide build-to-rent accommodation projects will get the additional deduction.
Foreign investors in a managed investment trust that choose to commence a build-to-rent accommodation project will also benefit from a reduction in withholding tax after 1 July 2024, from 30% to 15%.
Active BTR and misuse tax
A BTR development will be active if it meets all the eligibility criteria, if a new building was initially commenced as a build-to-sell development and later converted to BTR during construction, it can still be regarded as an active BTR.
An active BTR development will cease to be active if any of the dwellings fail to meet an eligibility criterion during the compliance period of 15 years (beginning on the day when the development commenced being an active BTR).
Misuse tax
If an active BTR development ceases to be an active during the compliance period, BTR development misuse tax will be imposed to approximately neutralise the tax benefits obtained both through the reduced MIT withholding rates, and the accelerated capital works deduction.
The misuse tax is roughly equal to the accelerated depreciation and reduced MIT withholding rate benefits obtained, increased by 8%. Any misuse tax assessed by the Commissioner will not be deductible and will be subject to the general interest charge.
If you have any questions about this proposed change, and its progress through the parliamentary process, please contact our office.
The sun is shining, the end is near, and we begin to look forward to celebrating with friends, family and coworkers. As your advisor we wanted to make sure that you are fully aware that the end of year celebrations that you put on for your employees may hit you with unintended tax consequences. This message is to provide you with information so that you are fully informed.
Christmas Parties
These are some common scenarios relating to work Christmas parties, and their tax consequences:
Party held on business premises
Where the party is for current employees only, there is no fringe benefits tax (FBT) to pay. However, there is also no income tax deduction or GST credits claimable.
If the party includes current employees and their associates or some of your clients, it depends on how much the cost of the party is per head.
If your party costs less than $300 per head, then there is no FBT to pay, but also no income taxdeduction or GST credits claimable.
If the party costs more than $300 per head, then the amount that is attributable to your employee’s associates (such as their spouse/partner) is subject to FBT. Any amount that is subject to FBT is claimable as a tax deduction, and you can claim GST credits as well. All the other amounts are not subject to FBT, but also are not deductible for income tax and no GST credits to claim.
Party held away from business premises
If the party costs less than $300 per head, then no FBT is payable. However, you also cannot claim a tax deduction and no GST credits are available to claim.
If the party costs more than $300 per head, then FBT is payable with respect to each employee that attends, as well as their spouse/partner. Again, if FBT is payable on an amount, then you can claim an income tax deduction as well as any GST credits.
If any clients of yours attend the party, and it costs more than $300 per head, then no FBT is payable, but also no income tax deduction or GST credits can be claimed.
However, if the party costs less than $300 per head, and at the party guests are provided a hamper (or other non-entertainment gift) worth less than $300, then the hamper is allowable as a tax deduction and GST credits can be claimed.
This is because the hamper is considered a gift which is separate from the party.
Christmas Gifts
If you provide your employees with a non-entertainment Christmas gift to thank them for their service, there is no FBT payable as long as that gift is valued at less than $300. Examples of non-entertainment gifts include a Christmas hamper, a bottle of wine or spirits, giftvouchers, flowers or other similar types of gifts.
If your are not sure where you stand with your holiday gifts and entertainment get in touch and we can help.
