Novated Leases
A novated lease is a popular way for employers to reward and incentivise their staff. Through a salary sacrifice arrangement that includes a novated lease, employees are provided with a vehicle and can also reduce their personal tax liability. However, employees should understand how fringe benefits tax (FBT) might apply to their arrangement and what […]
How do we Protect Subbies from Builders like JM Kelly?
Many businesses are not aware of how their assets could be caught up in someone else’s liquidation or administration. For subcontractors, one of the hidden dangers when dealing with builders is the potential to be hit with a preferential payment demand if the builder enters into liquidation.
Basics of Dividends
Mum and dad investors in receipt of dividends from their share portfolio often benefit from investing in blue chip shares because they usually have franking credits attached. As a general rule, an Australian resident shareholder is assessed for tax on dividends received plus any franking credits attached to those dividends. The shareholder is assessed on […]
Initial repairs
The ATO frequently re-focuses its attention on claims that investment property owners make for repairs to rental residences that it deems to in fact be “improvements”. The scenario where investment properties have work done on them often happens shortly after the property is purchased, and has led to the term “initial repair” being commonly used […]
Managing Cash Flow
The cash flow is the lifeblood of your business. Poorly managed, it can start to hurt the profitability and stability of your business, and as such it’s important to keep close track of and control over the way that cash moves through the business. There’s a popular saying that 60% of businesses that go bust are still […]
Realistic Budgets
Is your business budget realistic, or have you set yourself up for failure? Even before your business is up and running, it’s essential to have a financial plan in place. It’s easy to become engulfed by all the other routine essentials, but never underestimate the importance of a good budget and sticking to it. Each […]
Separating Business and Personal
As the owner of a business, generally you’ll have a personal vested interest in the finances. But it’s essential to keep your personal finances separate from your business finances, and vice versa. Separate your finances and you can ensure long-term success and growth, but if you don’t maintain a distinct separation then you could face […]
Employees after liquidation
When businesses become unprofitable and are unable to service their debt, the business could be ordered to go into liquidation or administration, or be voluntarily liquidated. As the company is wound up, employees are one of the first parties to be affected and, in addition to losing their job, they’ll be most concerned about getting […]
Avoiding Predatory Business Loans
With online lending and cash flow loans gaining popularity among small business owners as an “easier” financing option, it’s worth being cautious and noting some of the characteristics of predatory business loans.
Landlord insurance
Just like we protect ourselves with life and income protection insurance, and our home with building and contents insurance, it is important to adequately protect our new investment property with not just building insurance but with landlords insurance too. Many investors make the very costly mistake of assuming that building insurance is sufficient, however building […]
