Debt forgiveness
“Pardon” is a word that can sound somewhat archaic — which could be why the term “debt forgiveness” is barely mentioned in discussions on “bankruptcy”, even though the two concepts are related. Bankruptcy is dramatic, Hollywood; debt forgiveness seems dated, even mildly medieval. In reality debt forgiveness, on the face of it, is a means […]
Pitfalls of Cash Flow Loans
We have witnessed the rapid rise of short-term lenders, lending on cash flow. These loans tend to signal the end, rather than the start of the business lifecycle. We see these options as being a six-month indicator for the business to completely fail.
Reminders for Directors
As though business owners and principals don’t already have enough on their minds, the words “slowing economy” are being heard around the barbecue again — just to add to the list of excuses for not sleeping well at night. Company directors especially need to keep in mind that the Corporations Act holds directors personally liable for many […]
UPEs on sub trusts
As we are now all aware, via tax ruling TR 2010/3, the ATO has outlined its position that a UPE from a trust to a corporate beneficiary represents a loan for the purposes of Division 7A of the Income Tax Assessment Act 1936. In TR 2010/3 however, the ATO provide specific exclusion for UPEs created […]
Am I going to lose my house?
As the Director – am I going to lose my home if I liquidate the company? The most common question we are asked when clients contact us for advice is – will I lose my home if I liquidate the business. Well, the short answer is NO. I have seen hundreds of liquidations where Directors […]
The Importance of Communication in Restructure
Restructuring a business is generally a step towards the end of a period of uncertainty, creditors, stakeholders, staff and the owners are on tenterhooks, communication is generally stressed or non existent and it’s now necessary to re-engage. Often in the lead up to a restructure there has been a period of mixed communication, business owners accentuating the good often to the detriment of the bad.
Is my company in trouble?
It has been reported that business closure rates are as high as 60 per cent for small businesses within the first three years of operation. Operating a business comes with uncertainties, and sometimes it can be difficult to pinpoint the exact signs telling you your business is in trouble. Whether you’re an owner, director, or manager, you […]
Which Structure?
Start up businesses need to make one important decision from the outset – what type of business set-up will suit your enterprise best? And which structure will be best for the future? You’ve got a choice of four basic business structures – sole trader, partnership, company or trust. Of course, there are also more sophisticated […]
Departing Australia Superannuation Payment
Whether you’ve been on a working visa and have been slogging away bagging bananas in Tully for six months, or decided to quit your city job and move to Peru, your employer has been putting money aside for your superannuation. Among sorting out all your affairs, you’re probably also wondering what will happen to your […]
Basics of trusts
Trusts 101: What are they, and how do they work? One of the big motivations for considering using a trust will be to protect assets. Property and other assets can be moved into a trust for protection from creditors, to maintain an estate until a beneficiary becomes old enough to have legal possession, or isolate […]
