Improve profitability by reviewing a range of key business drivers and finding ways to make them work better for you. Take a look at the key areas we’ve identified where you can get the most bang for your buck. Improving Profitability in your Business Have you been thinking that it’s time to take your business to the next level? Or are you concerned about growth targets that just aren’t being met? When business owners consider growing their business, thoughts immediately turn to revenue and ways to get more sales. But, increasing revenue isn’t the only way to grow. You can improve profitability by reviewing a range of key business drivers and finding ways to make them work better for you. Take a look at the key areas we’ve identified where you can get the most bang for your buck. Gearing Up For Growth – Improving Profitability In Your Business 1. Know Your Client – Create the Right Mix of Clients to Improve Profitability There is a perfect client for every business. But we all know that most businesses will have a mix of different types of clients. There are ones who are highly profitability through to ones where inefficiencies in meeting their request makes them less profitable. By knowing your client base and using data to segment them – you will gain greater insight into the type of client you should be targeting.Imagine if you could attract even more of the clients that improve your profitability.
Are you considering letting go of the reins in your business? Succession Planning is a process that allows you to plan for that moment. From increasing the value of a possible sale, through to ensuring the business operates effectively and remains profitable before, during and after the transition. Preparation and planning is the key. Succession Planning Are you considering letting go of the reins in your business? Succession Planning is a process that allows you to plan for that moment. From increasing the value of a possible sale, through to ensuring the business operates effectively and remains profitable before, during and after the transition. Preparation and planning is the key. Letting Go of the Reins – Succession Planning for your Business There are many reasons you may decide to sell or pass on your business. It might be a long-awaited retirement, health forcing you to consider your options, or you might just want to take a break. Preparation and planning are important components of exiting your business when the time is right. Succession planning is best done in advance and when are not pressured to make decisions for you and your business. We know it can be difficult to start making plans to loosen the reins – but advance planning can help with the emotional side of leaving your business too. What is Succession Planning? Succession Planning is a process by which you start considering the ownership and/or management options for your business when yourself or a
Business improvements, how do you choose what to do first? New Year’s Resolution time. Ok so it’s not the calendar year end, but there’s no reason why the end of financial year can’t provide the trigger for you to make some improvements to your business. Or, more specifically, one improvement. What if you could pick one thing in your business that you’d like to change? Which area would you choose? Which element of your business gives you the most stress? If time and money were unrestricted, what would you do? We haven’t got an answer but we’ve done a little research on which areas of your business might benefit most from your attention. Business improvements… how do you choose what to do first? It’s not calendar year end, but there’s no reason why EOFY can’t be the trigger for you to make improvements to your business. No matter how successful, every business has areas that could use some attention. It could be the way you’re doing your marketing, it could be your sales department, it could be customer service, or improving your finance function. Deciding which one to work on means projecting which one will, once improved, give you the most benefit. Remember, benefit may not be obviously financial. It could mean your people are happier or more productive, or more of your customers become raving fans. Of course, happy staff and customers will translate to more sales and better service, but the financial benefits are not
Federal Budget 2018: Other Proposals Federal Budget 2018 Initiatives: Other Proposals Tax integrity measure for testamentary trusts Effective 1 July 2019 Concessional tax rates for minors receiving income from a testamentary trust will be limited to income derived from assets transferred from a deceased estate or proceeds from the disposal or investment of those assets. This initiative is designed to prevent minors from obtaining the benefit of adult marginal tax rates on a high amount of income. Created by transferring assets that are unrelated to a deceased estate into a testamentary trust.
Federal Budget 2018: Tax (Business) Federal Budget 2018 Initiatives: Tax (business) Small Business instant asset write-off extended CGT Concession integrity measure introduced Small Business instant asset write-off extended Effective 1 July 2018 Until 30 June 2019, small businesses with aggregated annual turnover of less than $10 million may continue to immediately deduct purchases of eligible assets costing less than $20,000. The assets must be first used or installed ready for use by 30 June 2019. Assets valued at $20,000 or more (which cannot be immediately deducted) can continue to be placed into the small business simplified depreciation pool (the pool). Which will have them depreciated at 15 per cent in the first financial year and 30 per cent each financial year thereafter. The pool can also be immediately deducted if the balance is less than $20,000 over this period (including existing pools). The current simplified depreciation rules ‘lock out’ laws which prevent small businesses from re-entering the simplified depreciation regime for five years if they opt out, will continue to be suspended until 30 June 2019. CGT concession integrity measure introduced Effective 8 May 2018 A tax integrity measure has been introduced to partnerships that are eligible for the small business CGT concessions and who alienate their income by creating, assigning or otherwise dealing in rights to the future income of a partnership. The initiative is designed to stop small business taxpayers, including large partnerships, from accessing the concessions in relation to their assignment of a right to
What to do if your business is your only asset or investment If your business is your only asset or investment, it’s important to protect your livelihood and plan for your future. Read our tips on how to safeguard your financial future while still growing your business. SOURCE: Photo by rawpixel.com on Unsplash Help! My business is my only asset or investment It’s not unusual for business owners to throw their heart and soul into their business. But are you pouring your life savings into it as well? This can have a significant impact on your financial future and retirement. So, what can you do to protect yourself and secure your future if your business is your only asset or investment? Protect your livelihood Risk Management is one of the most critical things you can do to ensure you and your business can survive when unforeseen events or situations arise. It’s law that you need insurance to cover your employees, but what about you? What happens to your income, or the business if you can’t run it anymore. It’s important that your business continues to run effectively even if you can’t be at the helm. If your business is your only asset, you’re also likely to be heavily reliant on the income for personal and lifestyle expenses. There are many risk considerations when you’re self-employed. But there are also ways to mitigate these risks. Some aspects that affect you personally is making sure the business can continue to
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