We’ve listed seven New Financial Year resolutions to set up the best systems and practices in your business, encompassing digital, investing and budgeting.
Start planning from day 1
Avoid the last-minute tax crunch and minimise the amount you have pay back by planning early and setting up the systems and process that support your business goals, especially if you are looking to expand or tackle a new direction. Implementing fail-safe strategies early in the piece will set you on the right track, especially as the more profitable you become, the more complicated finances get.
Are you a start-up getting your business off the ground? Don’t make mistakes like invoicing in Word. Find an accountant who’s ruthless with money, as you’ll want to make every cent stretch in the early days. Bartercard has a range of bookkeepers, accountants and financial planners available without the cash price tag so you won’t break the bank – jump on the Online Directory to find them.
Lose the paper
Are you still storing shoeboxes boxes full of faded paper receipts? Don’t. Photograph receipts as you spend and file them away to de-clutter and reduce time searching in the last-minute tax rush. The ATO accepts storing receipts electronically and many accounting software apps will let you photograph and file receipts – so you won’t get buried under paper.
This year the government has introduced a small business-friendly budget that includes instant tax write-offs on equipment purchases up to $20,000, applicable to small businesses in the under-$10 million turnover bracket. Instead of waiting to the last minute to invest in new technology, give your business the best opportunities from July 1 and make important purchases sooner rather than later.
Technology essentials include the latest smartphone devices to capture the highest quality digital content, and the latest industry equipment, whether specific machinery or hardware at the core of your business, to maximise quality. Don’t restrict business spending to operational essentials – invest in yourself too through courses and education to maximise your business success.
Cut the non-essential spends
Do you still need that ‘Knitting Baby and Beyond’ magazine subscription? If it’s outdated, redundant or no longer applicable, cancel or sell it to make room in your budget for spending that will work harder.
There are hundreds of media outlets within Bartercard where you can conserve cash on advertising while gaining exposure and cut-through in the cash market - July 1 is the right time to review your budget, cut any unnecessary spending and re-allocate your funds.
Did you know?
Bartercard members have the option to purchase products from other Bartercard suppliers at wholesale or retail rates, adding new stock to their product line which they can on-sell in the cash and/or trade economy.
Reconcile your bank accounts and credit cards
We all know how much time and attention bookkeeping can take – ensuring all your bank and credit card transactions are matched in your accounting software is important to get your tax right. Bartercard is shortly launching Bartercard MYOB Feeds where Bartercard transactions are automatically sent to MYOB each month.
This makes reconciliation simple and takes the manual work out of recording every Bartercard transaction into your accounting software. Win win!
Re-visit your personal wealth
As a business owner it’s easy to get caught up in the present and take your focus off the future. A new financial year is a good time revisit your long-term wealth-building strategies including real estate that can really set you up for the future. Bartercard’s Real Estate and Development Specialist Carl Hassard said that many members are investing in real estate right now, a space where Bartercard cracked $100 million in listings this financial year.
"As well as investors, we have vendors taking advantage of our cost-effective marketing channels to business owners seeking to turn the extra business they generate through Bartercard into an investment property,” he said. “Listing a property through Bartercard is an effective way to sell relatively quickly compared to the cash market and conserve costs in a range of areas. There’s no upfront costs including advertising; and transaction fees are charged on the Bartercard component only when it sells.” Visit bartercardproperty.com to browse listings.
Know the basics of bookkeeping
Even if you already have a reliable bookkeeper or accountant, knowing how to do your own bookkeeping means you will know exactly what information you should be taking to your advisor to get the most out of tax time. You will also know what your accountant is talking about, so you’ll get the maximum value out of every meeting.
Even if you’re short of time, it’s worth investing in a short course or reading up on the basics of bookkeeping. Look up short courses at Tafe and universities around Australia (many courses are offered online) or visit mybc.bartercard.com and search ‘training’.