Category: Business

Franchise Freedom: 5 Ways It Boosts Your Business, and 5 Ways Your Accountant Guides You

Hey guys, Nathan here.

I want to dive into a topic that could be a game-changer for your business journey: Purchasing a Franchise.

It’s an exciting venture that offers many benefits, but before you take the plunge, it’s crucial to consult your accountant. Let’s explore the 5 benefits of buying a franchise and the 5 reasons why having your accountant on board is a must.

The Benefits of Purchasing a Franchise

Proven Business Model:

Franchises come with a tried-and-true business model. You’re not starting from scratch; you’re investing in a system that’s already successful. This significantly reduces the risks associated with entrepreneurship.

Brand Recognition:

Franchises often have established brands that are well-known in the market. This brand recognition can give you a head start in attracting customers and building trust.

Training and Support:

Franchisors typically provide extensive training and ongoing support. You’ll receive guidance on everything from operations to marketing, ensuring you have the knowledge and tools to succeed.

Economies of Scale:

As part of a franchise network, you can benefit from bulk purchasing power. This means lower costs for inventory and supplies, potentially increasing your profitability.

Marketing and Advertising:

Franchises usually have dedicated marketing and advertising strategies in place. This shared marketing effort can help you reach a broader audience and compete more effectively.

 


Why You Need Your Accountant’s Expertise

Financial Due Diligence:

Before diving into a franchise, you must perform a thorough financial analysis. Your accountant can help you assess the financial health of the franchise opportunity, including reviewing the franchise disclosure document, financial statements, and projections.

Understanding Franchise Fees:

Franchises often come with fees, including initial investments, royalties, and marketing contributions. Your accountant can break down these costs and help you understand how they will impact your cash flow and profitability.

Business Structure and Tax Implications:

Your accountant can advise you on the most suitable business structure for your franchise. Whether it’s a sole proprietorship, partnership, or corporation, the right structure can have significant tax implications that your accountant can help you navigate.

Budgeting and Financial Planning:

Developing a comprehensive budget is essential for managing your franchise. Your accountant can assist in creating realistic financial projections, setting budgets, and monitoring your financial performance.

Compliance and Legal Aspects:

Franchises often have specific legal requirements and contracts. Your accountant can review these agreements to ensure you understand your obligations and protect your interests.


Purchasing a franchise can be a fantastic business opportunity, offering a proven model, brand recognition, and support. However, it’s equally important to have your accountant by your side to navigate the financial complexities, assess the costs, and ensure you make an informed decision. Remember, your financial success is our priority, and we’re here to support you every step of the way.

I hope this blog has shed light on the benefits of franchise ownership and the vital role your accountant plays in this exciting journey. If you’re considering a franchise or have any questions, don’t hesitate to reach out to us at NGR Accounting. We’re here to help you achieve the best financial outcomes possible. 🚀💼

If you have any questions, please feel free to contact NGR Accounting at 02 9011 6669 or via email at info@ngraccounting.com.au


 

FULL DISCLAIMER:

The information provided by our firm is of a general nature and does not consider your specific financial circumstances, needs, or objectives. The information is not intended to be relied upon as specific advice and should not be treated as such. Before making any financial decisions, we recommend that you seek professional advice tailored to your specific circumstances.

Whilst every effort has been made to ensure the accuracy of the information provided, we do not guarantee its accuracy, completeness or suitability for your intended use. We are not liable for any loss or damage resulting from your reliance on the information provided.

Our firm is not responsible for the content of any third-party websites that may be linked to or from our website. The inclusion of any links does not imply our endorsement of the website. It is your responsibility to evaluate the accuracy, completeness and usefulness of any information provided by these third-party websites.

By accessing or using the information provided by our firm, you acknowledge and accept the terms of this disclaimer.

 

Updated: 8th August 2023

JM

Launching a New Business? 8 Vital Reasons to Team Up with Your Accountant!

Launching a New Business? 8 Vital Reasons to Team Up with Your Accountant!

Hey guys, Nathan here. Starting a new business venture is an exciting and ambitious undertaking that requires careful planning and execution.

One of the most crucial steps you can take to set yourself up for success is to engage with a seasoned accountant, especially one who, like the team at NGR Accounting, specialises in the Profit First cash flow methodology.

While it may be tempting to go it alone, the expertise and guidance of an experienced accountant can provide you with a solid foundation for your business.

In this blog, I’m going to discuss 8 compelling reasons why reaching out to your accountant is essential when embarking on a new business venture. So, let’s go.


1. Choosing the Right Business Structure:

The first decision you’ll need to make is selecting the appropriate business structure.

Profit Generator Tip:

Check out our blog 5 Reasons to Consult your Accountant before Changing from Sole Trader to a Company for more information about the difference in business structures.

Whether it’s a sole trader, partnership, or company (pty limited), each structure has its unique advantages and tax implications. As an accountant we can help you assess your business goals, risk tolerance, and tax obligations to determine the optimal structure that aligns with your financial objectives.

 

2. Understanding Taxation Compliance and Requirements:

Navigating the intricate landscape of taxation can be overwhelming for new business owners.

We can guide you through the maze of tax regulations, ensuring you’re aware of your obligations and helping you implement effective tax planning strategies. By staying compliant, you can avoid costly penalties and setbacks that might otherwise hinder your business growth.

 

3. Creating a Realistic Budget and Financial Plan:

A sound financial plan is the cornerstone of a successful business.

Collaborating with us, you can develop a comprehensive budget that outlines your projected income, expenses, and investments. This budget will serve as a roadmap, helping you make informed decisions that align with your goals and prevent overspending in crucial areas.

 

4. Implementing a Profit First Methodology:

Profit First is a transformative approach to financial management that emphasises setting aside profit first and allocating expenses accordingly.

A specialised accountant, like the team at NGR Accounting, can guide you through the Profit First methodology, helping you establish multiple bank accounts to allocate funds for profit, owner’s compensation, taxes, and operating expenses. This disciplined approach enhances your financial stability and ensures that your business remains sustainable.

 

5. Managing Cash Flow Effectively:

Cash flow is the lifeblood of any business, and poor cash flow management can lead to serious financial challenges. We can assist you in developing strategies to optimise your cash flow, such as setting up regular cash flow projections, monitoring accounts receivable and payable, and identifying potential cash bottlenecks before they become critical.

 

6. Minimising Tax Liabilities:

An experienced accountant can identify legitimate deductions and credits that can significantly reduce your tax liabilities. By leveraging tax-saving opportunities, you can keep more of your hard-earned revenue and reinvest it back into your business.

 

7. Analysing Financial Performance:

Regularly assessing your business’s financial performance is crucial for making informed decisions.

We can provide you with accurate and up-to-date financial statements, helping you analyse key performance indicators and identify trends. With this information at hand, you can adjust your business strategies and capitalise on growth opportunities.

 

8. Adapting to Changing Circumstances:

The business landscape is dynamic, and your financial strategies must evolve to meet changing circumstances.

An accountant specialising in Profit First can help you adapt your financial plan as your business grows, ensuring that your resources are allocated effectively, and your Profit First goals remain achievable.


Embarking on a new business venture is an journey that requires careful planning and expert guidance.

By partnering with an accountant (who also specialises in Profit First methodology), you can lay a solid foundation for your business’s financial success.

From choosing the right business structure to managing cash flow, minimising tax liabilities, and implementing Profit First principles, your accountant will be a valuable ally in navigating the complex world of business finance.

Remember, seeking professional advice from the outset can save you time, money, and stress, setting you on a path toward long-term profitability and growth. Contact us today to discover how our specialised expertise can help you achieve your business goals.

If you have any questions, please feel free to contact NGR Accounting at 02 9011 6669 or via email at info@ngraccounting.com.au

 


FULL DISCLAIMER:

The information provided by our firm is of a general nature and does not consider your specific financial circumstances, needs, or objectives. The information is not intended to be relied upon as specific advice and should not be treated as such. Before making any financial decisions, we recommend that you seek professional advice tailored to your specific circumstances.

Whilst every effort has been made to ensure the accuracy of the information provided, we do not guarantee its accuracy, completeness or suitability for your intended use. We are not liable for any loss or damage resulting from your reliance on the information provided.

Our firm is not responsible for the content of any third-party websites that may be linked to or from our website. The inclusion of any links does not imply our endorsement of the website. It is your responsibility to evaluate the accuracy, completeness and usefulness of any information provided by these third-party websites.

By accessing or using the information provided by our firm, you acknowledge and accept the terms of this disclaimer.

 

Updated 17th August, 2023

JM

Claiming Work from Home Expenses on Your 2022/2023 Income Tax Return

Have you considered the new ATO requirements for recording your Work from Home hours?

Did you know that there has been changes to the rates for Working from Home deductions?


Hey guys, Nathan here, and as we start to get some enquiries to complete our client’s 2022/2023 Income Tax Returns, I thought I would revisit these changes.

As we all know, the way we work has drastically changed over the past couple of years. The COVID-19 pandemic has accelerated the adoption of remote work, and many of us have found ourselves working from home more frequently.

If you’ve been working from home during the 2022/2023 financial year, you may be eligible to claim deductions for your work-related expenses. However, it’s important to be aware of the recent changes announced by the Australian Taxation Office (ATO) in March 2023. Let’s dive into the details:

Revised Fixed Rate Method

Starting from March 2023, the ATO has introduced the Revised Fixed Rate Method, which simplifies the process of claiming deductions for work-from-home expenses. Under this method, you can claim 67 cents per hour for every hour you work from home. By using this method, you no longer need to calculate specific expenses individually, making it much more straightforward to claim your deductions. However, you will need to maintain a diary of these hours that you do work from home. See below Changes to Record Keeping.

 

Actual Cost Method – Claiming Your Specific Expenses

If you prefer to claim your actual expenses rather than using the fixed rate method, you can still opt for the Actual Cost Method. This method allows you to claim deductions for the actual expenses you incur because of working from home. To claim using the Actual Cost Method, it’s essential to keep accurate records of your expenses throughout the year. This can be achieved through receipts, invoices, or other documentation that clearly shows the costs you’ve incurred. While this method requires more record-keeping, it may result in higher deductions if you have substantial work-related expenses.

Changes to Record Keeping

As part of the ATO’s effort to ensure accurate claiming and compliance, all individuals claiming work-from-home expenses are now required to complete a Work from Home Diary. This diary is crucial for both the Revised Fixed Rate Method and the Actual Cost Method.

The Work from Home Diary serves as a logbook where you record the number of hours you work from home. This record of hours worked is necessary for calculating your deductions accurately. Make sure to note the start and end times of your work-from-home sessions, as well as any breaks taken. Work from Home Diary Template example - full version available on our website at www.ngraccounting.com.au/resourcesWe understand that record-keeping can be challenging, so to help you stay organised, we have provided a user-friendly Work from Home Diary template on our website: https://www.ngraccounting.com.au/resources. You can easily download and print the template to start tracking your work-from-home hours effectively.

Resources from the ATO

The ATO provides valuable resources and tools to assist taxpayers with their work-from-home deductions:

Online Calculators: The ATO offers online calculators to help you work out the decline in value of assets and equipment purchased for your home office. This will aid you in determining the correct amount you can claim for depreciation.

myDeductions Tool: The ATO app features the myDeductions tool, which can be a handy way to keep track of your work-related expenses. You can use this tool to record your expenses as they occur, making it easier to compile your deductions at tax time.

We like to remind our clients that accurate record-keeping and documentation are essential to ensure you can claim the deductions you’re entitled to while complying with the ATO’s regulations.


As tax time approaches, we want to make the process as smooth as possible for you. Feel free to reach out to us for guidance and assistance with your work-from-home deductions. Our team is here to help you navigate through these changes and maximise your tax benefits.

Claiming work-from-home expenses doesn’t have to be complicated. With the right knowledge and tools, you can ensure you’re making the most of the deductions available to you. Let’s work together to achieve your financial goals while staying compliant with the ATO’s requirements.

If you have any questions, please feel free to contact NGR Accounting at 02 9011 6669 or via email at info@ngraccounting.com.au

 

 


FULL DISCLAIMER:

The information provided by our firm is of a general nature and does not consider your specific financial circumstances, needs, or objectives. The information is not intended to be relied upon as specific advice and should not be treated as such. Before making any financial decisions, we recommend that you seek professional advice tailored to your specific circumstances.

Whilst every effort has been made to ensure the accuracy of the information provided, we do not guarantee its accuracy, completeness or suitability for your intended use. We are not liable for any loss or damage resulting from your reliance on the information provided.

Our firm is not responsible for the content of any third-party websites that may be linked to or from our website. The inclusion of any links does not imply our endorsement of the website. It is your responsibility to evaluate the accuracy, completeness and usefulness of any information provided by these third-party websites.

By accessing or using the information provided by our firm, you acknowledge and accept the terms of this disclaimer.

 

Updated 22nd July, 2023

JM

5 Reasons You Might Need a Bookkeeper

Hello everyone, Sue, your Xero Hero, here to discuss Bookkeeping, and why it’s so important for your business.

There are a few questions I like to ask clients when looking into whether having an external bookkeeper. These are:

  1. What are your current bookkeeping processes and who handles them in-house?
  2. Are you satisfied with the accuracy and timeliness of your financial records and reports?
  3. How much time are you or your employees currently spending on bookkeeping-related tasks?
  4. Have you experienced any challenges or issues related to bookkeeping, such as compliance errors or inaccuracies in financial records?
  5. Are you looking for additional support and guidance in financial management, tax planning, or strategic decision-making?
  6. Would you prefer to have more time and resources to focus on core business activities rather than bookkeeping?
  7. Are you open to exploring the services and expertise offered by professional external bookkeepers to enhance your financial processes?

As you know, many business owners are becoming increasingly time poor with all the compliance and documentation required to continue to run a business.

5 Reasons to Consult your Accountant before Changing from Sole Trader to a Company

Here are 5 reasons to talk with your accountant before considering the change.

In the world of small to medium-sized businesses in Australia, there often comes a point where the decision to transition from being a sole trader to establishing a company structure needs to be considered.

Hey, Kathryn here. I wanted to discuss one of the biggest business decisions that you might make as a business owner. However, before making any changes it is crucial to consult with us, your accountant.

We can provide valuable insights and guidance to ensure you make an informed choice that aligns with your business goals and financial situation. In this blog post, I will explore the difference between a sole trader and a company and present 5 reasons why discussing this change with your accountant is essential.

Sole Trader vs. Company

Before delving into the reasons for consulting your accountant, it’s important to understand the fundamental difference between a sole trader and a company.

Sole Trader: A sole trader is an individual who operates a business on their own, you are still required to register for an Australian Business Number (ABN). As a sole trader, you are personally liable for the debts and obligations of the business. The profits and losses generated by the business are considered personal income or deductions on your individual tax return.

Company: A company, on the other hand, is a separate legal entity from its owners, known as shareholders. A company requires formal registration with the Australian Securities and Investments Commission (ASIC).

The liability of those who own shares is limited to their shareholding unless they also act as a Director and have acted illegally or continued trading while the company is insolvent.

The company’s profits and losses are taxed separately from the individual shareholders.

 

Now that we have established the difference between a sole trader and a company, let’s explore why discussing this change with your accountant is crucial.

 

1. Legal and Compliance Requirements

Establishing a company involves various legal and compliance obligations that differ from those of a sole trader. We can guide you through these requirements and help you understand the implications and responsibilities associated with operating as a company. We can provide information about the necessary registrations, permits, and licenses, ensuring that you comply with all relevant laws and regulations.

 

2. Tax Implications

Transitioning from a sole trader to a company can have significant tax implications. We can assess your current tax situation and determine whether incorporating as a company would be beneficial from a tax perspective. We can explain the tax implications, such as changes in your reporting obligations, deductions, and tax rates. Additionally, we can advise you on the most tax-efficient structure for your business and help you navigate any potential pitfalls.

 

3. Asset Protection and Risk Management

Operating as a company offers certain advantages in terms of asset protection and risk management.

By separating your personal assets from your business liabilities, you can mitigate the risks associated with business activities. NGR Accounting can assess your business’s risk profile and advise you on the potential benefits of incorporating in terms of asset protection. We can help you understand the legal ramifications and liabilities associated with your business structure and recommend strategies to safeguard your personal assets.

 

4. Access to Capital and Funding Opportunities

Incorporating your business can open opportunities for accessing capital and securing funding. NGR Accounting can help you explore different funding options available to companies, such as bank loans, venture capital, or issuing shares. We can guide you through the process of preparing financial statements and business plans that meet the requirements of potential investors or lenders. Additionally, we can assist you in assessing the financial viability of your business and determining the most appropriate funding sources.

 

5. Long-Term Business Strategy

Transitioning from a sole trader to a company is a significant decision that should align with your long-term business strategy.

(If you want more information about Business Planning, check out our previous Blog, Are you Planning for the Short Term or the Long Term?)

At NGR Accounting, we can review your business goals, financial projections, and growth plans to determine if incorporating is the right move for you. We can provide valuable insights into the pros and cons of each business structure and help you evaluate the impact on your future. By considering your unique circumstances, we can offer strategic advice that supports your business’s overall objectives.

 

The decision to change from a sole trader to a company is an important one for small to medium-sized businesses. It is crucial to consult with the team at NGR Accounting before making any changes to ensure that you understand the implications and benefits associated with the transition.

NGR Accounting can provide guidance on:

  • legal and compliance requirements,
  • tax implications,
  • asset protection,
  • access to capital and funding opportunities, and
  • long-term business strategy.

 

I would recommend having some questions to discuss your options with your accountant, and the top 11 questions are:

By seeking professional advice, you can make an informed decision that aligns with your business goals and maximises your chances of success. NGR Accounting is a trusted partner who can provide the expertise and support you need throughout this process.

If you have any questions, please feel free to contact NGR Accounting at 02 9011 6669 or via email at info@ngraccounting.com.au


FULL DISCLAIMER:
The information provided by our firm is of a general nature and does not consider your specific financial circumstances, needs, or objectives. The information is not intended to be relied upon as specific advice and should not be treated as such. Before making any financial decisions, we recommend that you seek professional advice tailored to your specific circumstances.

Whilst every effort has been made to ensure the accuracy of the information provided, we do not guarantee its accuracy, completeness, or suitability for your intended use. We are not liable for any loss or damage resulting from your reliance on the information provided.

Our firm is not responsible for the content of any third-party websites that may be linked to or from our website. The inclusion of any links does not imply our endorsement of the website. It is your responsibility to evaluate the accuracy, completeness and usefulness of any information provided by these third-party websites.

By accessing or using the information provided by our firm, you acknowledge and accept the terms of this disclaimer.

Updated: 13th July

JM

Considering a Self Managed Super Fund?

Nathan Rigney wearing a white shirt standing in an office

Long Term Financial Goals? Considering a Self Managed Super Fund?

Time to speak to an Accountant!

Hey guys, Nathan here. A lot of clients have been considering their long-term financial goals, and one solution may be Self Managed Superannuation Funds.

Planning for your retirement is a critical aspect of financial management, and many Australians opt for self-managed super funds (SMSFs) to have more control over their retirement savings. However, before embarking on the journey of setting up an SMSF, I recommend that you should consult your accountant.

In this blog, I will explore 5 key reasons why seeking professional advice from an accountant is crucial before considering an SMSF. I will discuss taxation advice, compliance advice, accounting services, investment advice, and the importance of ongoing support to ensure a successful SMSF journey.


Taxation Advice:

Managing the tax implications of an SMSF is complex, and seeking taxation advice from NGR Accounting is crucial. We will be able to help you understand the tax obligations associated with SMSFs, including:

  • contributions,
  • investment income, and
  • pension payments.

The team at NGR Accounting will guide you on tax planning strategies to maximise your SMSF’s tax efficiency, ensuring compliance with Australian Taxation Office (ATO) regulations. By leveraging their expertise, you can minimise tax liabilities and optimise your retirement savings.

 

Compliance Advice:

Operating an SMSF involves strict compliance with legislation and ATO regulations. Engaging with an accountant who specializes in SMSFs can provide you with valuable compliance advice.

We will ensure that your fund meets all regulatory requirements, such as:

  • preparing financial statements,
  • conducting annual audits,
  • lodging tax returns, and
  • complying with superannuation rules.

By adhering to compliance obligations, you can avoid penalties and maintain the integrity of your SMSF.

 

Accounting Services:

Managing the accounting aspects of an SMSF requires accuracy and attention to detail. We can offer comprehensive accounting services tailored to your SMSF’s specific needs. We will take care of bookkeeping, financial reporting, and preparation of financial statements. Additionally, we will assist with maintaining accurate and up-to-date records, facilitating the smooth operation of your SMSF. By entrusting your accounting tasks to a qualified professional, you can focus on achieving your retirement goals.

 

Investment Advice:

Making informed investment decisions is vital for the success of your SMSF. Consulting NGR Accounting will provide you with valuable investment advice tailored to your financial objectives and risk tolerance. We will analyse various investment options, such as shares, property, and cash, considering both short-term gains and long-term growth. We can also guide you on diversification strategies and asset allocation, helping you build a well-rounded investment portfolio within the confines of the SMSF investment rules.

 

Ongoing Support:

Establishing and managing an SMSF is a long-term commitment, and having ongoing support from your accountant is invaluable.

We will keep you updated on legislative changes, ATO rulings, and compliance requirements relevant to your SMSF. Regular reviews and discussions with us will help you stay on track with your retirement goals and adapt your strategies as needed. Additionally, we can provide guidance during major life events, such as transitioning to retirement or transferring wealth to beneficiaries. The ongoing support from your accountant ensures that your SMSF remains robust and aligned with your evolving needs.

 

Considering a self-managed super fund (SMSF) is an important decision that requires careful planning and expert advice.

By consulting with us before embarking on an SMSF journey, you can benefit from our expertise in taxation, compliance, accounting, investment, and ongoing support. We will guide you through the complexities of SMSF management, ensuring compliance with ATO regulations and optimising your retirement savings.

Remember, engaging an accountant who specializes in SMSFs will provide you with the tailored advice and services necessary to make informed decisions and achieve financial security in your retirement years.

If you have any questions, please feel free to contact NGR Accounting at 02 9011 6669 or via email at info@ngraccounting.com.au


FULL DISCLAIMER:

The information provided by our firm is of a general nature and does not consider your specific financial circumstances, needs, or objectives. The information is not intended to be relied upon as specific advice and should not be treated as such. Before making any financial decisions, we recommend that you seek professional advice tailored to your specific circumstances.

Whilst every effort has been made to ensure the accuracy of the information provided, we do not guarantee its accuracy, completeness or suitability for your intended use. We are not liable for any loss or damage resulting from your reliance on the information provided.

Our firm is not responsible for the content of any third-party websites that may be linked to or from our website. The inclusion of any links does not imply our endorsement of the website. It is your responsibility to evaluate the accuracy, completeness and usefulness of any information provided by these third-party websites.

By accessing or using the information provided by our firm, you acknowledge and accept the terms of this disclaimer.

 

Updated 30th June 2023

JM

Starting a New Employee?

6 Compelling Reasons to Consult Your Accountant before Starting a New Employee

Hello everyone, it’s Sue. I thought it might be a great idea at this time of year, to discuss putting on a new employee, and in this blog post, I thought I would highlight 6 reasons why contacting NGR Accounting before employing a new staff member is highly recommended.


ATO Compliance:

The ATO has specific regulations and requirements that employers must adhere to when hiring new employees. We are well-versed in these obligations and can ensure that you meet all ATO compliance requirements. From obtaining Tax File Numbers (TFNs) to registering for Pay-As-You-Go (PAYG) withholding, we can guide you through the necessary steps to avoid any penalties or legal issues.

 

Employment Structure and Tax Implications:

Employment structures can significantly impact your tax obligations. Consulting with NGR Accounting before hiring a new employee will allow you to determine the most suitable employment arrangement for your business, such as full-time, part-time, or casual.

We will provide insights into the associated tax implications, including payroll tax, superannuation contributions, and fringe benefits tax (FBT), helping you make informed decisions that align with your financial goals.

 

Financial Impact Assessment:

Adding a new employee to your workforce entails financial considerations beyond the employee’s salary or wages. NGR Accounting can conduct a comprehensive financial impact assessment, considering factors such as recruitment costs, payroll taxes, superannuation contributions, and workers’ compensation.

This assessment will provide you with a clear understanding of the financial implications associated with hiring a new employee, helping you plan and budget effectively.

 

Award Interpretation and Payroll Setup:

Navigating the complex landscape of employment awards can be challenging for business owners. NGR Accounting can assist in interpreting relevant industry awards and determining the correct rates of pay, allowances, and entitlements for your new employee. Additionally, we can guide you in setting up your payroll system accurately, ensuring compliance with award conditions and avoiding potential underpayment issues.

 

Employment Contracts and Policies:

Creating appropriate employment contracts and policies is essential for establishing clear expectations and protecting your business’s interests. NGR Accounting can review and provide guidance on drafting employment contracts and developing workplace policies that align with legal requirements and industry standards. This will help you mitigate risks and maintain a harmonious work environment. We can also recommend the right specialist, if required, to make sure you and your employee are covered.

 

Tax Incentives and Grants:

NGR Accounting can also inform you about any available tax incentives or grants related to employing new staff members. We can help you identify and leverage government programs designed to support businesses in hiring and training employees. By taking advantage of these opportunities, you can potentially reduce your overall recruitment costs and receive financial support during the onboarding process.

 

Engaging the expertise of the team at NGR Accounting before employing a new team member is crucial for a smooth and compliant onboarding experience.

Our knowledge of ATO requirements, tax implications, financial assessments, and employment regulations will help you make informed decisions and avoid costly mistakes. By proactively involving us, you can focus on building a successful team and nurturing your business while ensuring adherence to ATO regulations and maintaining financial stability.

If you have any questions, please feel free to contact NGR Accounting at 02 9011 6669 or via email at info@ngraccounting.com.au

 

FULL DISCLAIMER:

The information provided by our firm is of a general nature and does not consider your specific financial circumstances, needs, or objectives. The information is not intended to be relied upon as specific advice and should not be treated as such. Before making any financial decisions, we recommend that you seek professional advice tailored to your specific circumstances.

Whilst every effort has been made to ensure the accuracy of the information provided, we do not guarantee its accuracy, completeness or suitability for your intended use. We are not liable for any loss or damage resulting from your reliance on the information provided.

Our firm is not responsible for the content of any third-party websites that may be linked to or from our website. The inclusion of any links does not imply our endorsement of the website. It is your responsibility to evaluate the accuracy, completeness and usefulness of any information provided by these third-party websites.

By accessing or using the information provided by our firm, you acknowledge and accept the terms of this disclaimer.

 

Updated 21st June, 2023

JM

When should I talk to my accountant? When you’re Buying Big

Nathan and the NGR Team, walking in a park

Hey guys, Nathan here… I thought I would take some time to discuss Capital Expenditure.

As a business owner, I know that making decisions on capital expenses can be challenging.


It is essential to consider these expenses carefully as they can have a significant impact on your business’s financial health. This is why it’s important to speak to an accountant before making any Capex purchases.

In this blog, we’ll go over ten reasons why you should speak to an accountant before making any Capex purchases for your business.

Tax Implications

Making Capex purchases can affect your business’s tax obligations. We can advise you on the tax implications of Capex purchases, including depreciation and how to claim them on your taxes.

Cash Flow Management

We can help you manage your cash flow (check out our blog on Cash Flow Forecasting) and determine the best way to finance Capex purchases. We can advise you on different financing options and help you decide which one is the best for your business.

Financial Analysis

Before making any Capex purchases, it’s important to conduct a financial analysis to determine the impact on your business’s finances. We can provide you with that financial analysis and projections to help you make informed decisions.

Budgeting

We can help you create a Capex budget and determine the appropriate amount to allocate to these purchases.

Opportunity Cost

Capex purchases involve opportunity costs, which are the benefits you give up by choosing one option over another. We can help you evaluate the opportunity cost of Capex purchases and determine if they are worth the investment.

Return on Investment (ROI)

An accountant can help you calculate the ROI of Capex purchases, which is the measure of the return on your investment. This can help you determine if the investment is worth it.

Business Valuation

Capex purchases can affect your business’s valuation. We can advise you on how Capex purchases can impact your business’s value and help you make informed decisions.

Compliance

Capex purchases can be subject to different compliance requirements. We can advise you on compliance requirements and ensure that you are meeting all necessary regulations.

Risk Assessment

Capex purchases can involve risks, such as the risk of equipment failure or technological obsolescence. We can help you assess these risks and determine the best way to mitigate them.

Strategic Planning

Capex purchases can have a significant impact on your business’s strategic planning. We can help you align your Capex purchases with your business’s long-term goals and objectives. (If you need help working out your strategic plans, please check out our Blogs on Planning!)


Taking time to have a genuine conversation with myself and my team before making Capex purchases can help you make the informed decisions that will benefit your business in the long run.

We can provide you with valuable advice and guidance on:

  • Tax implications,
  • Cash flow management,
  • Financial analysis,
  • Budgeting,
  • Opportunity cost,
  • Roi,
  • Business valuation,
  • Compliance,
  • Risk assessment, and
  • Strategic planning.

I absolutely recommend that before you make any Capex purchases, please take some time to reach out and talk to myself and the team at NGR Accounting.

It could be the best investment you can make for your business’s financial health and success. Further reading, I would also check out our last blog: What is PPSR? And Why is it Good for My Business

If you would like to discuss this further, please feel free to contact NGR Accounting at 02 9011 6669 or via email at  info@ngraccounting.com.au


FULL DISCLAIMER:

The information provided by our firm is of a general nature and does not take into account your specific financial circumstances, needs, or objectives. The information is not intended to be relied upon as specific advice and should not be treated as such. Before making any financial decisions, we recommend that you seek professional advice tailored to your specific circumstances.

Whilst every effort has been made to ensure the accuracy of the information provided, we do not guarantee its accuracy, completeness, or suitability for your intended use. We are not liable for any loss or damage resulting from your reliance on the information provided.

Our firm is not responsible for the content of any third-party websites that may be linked to or from our website. The inclusion of any links does not imply our endorsement of the website. It is your responsibility to evaluate the accuracy, completeness and usefulness of any information provided by these third-party websites.

By accessing or using the information provided by our firm, you acknowledge and accept the terms of this disclaimer.

Updated: 17th May 2023

JM

What is PPSR? And Why is it Good for My Business

Nathan Rigney in front of an image of Cronulla Beach and Cronulla RSL
Hey guys, Nathan here.
 
Recently, I was in a conversation with a Bookkeeper and a client, and we were discussing PPSR.
 
It’s important for me to stay up to date with the latest regulations and practices that can impact the financial health of a business. One these is such practice that can be beneficial for businesses – the Personal Property Securities Register (PPSR).

So why is PPSR good for your business?

Security for your assets

As mentioned, by registering your security interests on the PPSR, your business can have greater security over your assets.
 
In the event of a debtor’s insolvency, secured creditors are given priority over unsecured creditors. By registering on the PPSR, businesses can ensure that their assets are considered secured and so, have a higher chance of being recovered.

Reduction of credit risk

By registering on the PPSR, your business can also reduce their credit risk. This is because creditors are more likely to extend credit to a business that has secured their assets. This increased security can also result in lower interest rates for credit, which can save businesses money in the long run.

Easy registration process

The registration process for PPSR is simple and can be completed online. This means that businesses can register their security interests without having to spend a lot of time or resources. Also, the cost of registration is low, making it an affordable option for businesses of all sizes.

Increased transparency

The PPSR also promotes transparency in business dealings. By registering on the register, businesses can view the security interests of other parties, providing greater transparency around the financial health of potential customers or partners.

Compliance with regulations

t’s important to note that registering on the PPSR is a legal requirement for businesses that wish to protect their assets in the event of a debtor’s insolvency. Failure to register can result in the loss of assets, which can be devastating for businesses of any size. Staying compliant with these regulations, you can ensure that you’re protected.
 
The PPSR can be a valuable tool for businesses of all sizes. Registering security interests on the PPSR, businesses can
  • protect their assets,
  • reduce credit risk, and
  • increase transparency in business dealings.

 

If you want to discuss, please feel free to contact either myself or the team at NGR Accounting on 02 9011 6669 or info@ngraccounting.com.au.

FULL DISCLAIMER:

The information provided by our firm is of a general nature and does not take into account your specific financial circumstances, needs, or objectives. The information is not intended to be relied upon as specific advice and should not be treated as such. Before making any financial decisions, we recommend that you seek professional advice tailored to your specific circumstances.

Whilst every effort has been made to ensure the accuracy of the information provided, we do not guarantee its accuracy, completeness or suitability for your intended use. We are not liable for any loss or damage resulting from your reliance on the information provided.

Our firm is not responsible for the content of any third-party websites that may be linked to or from our website. The inclusion of any links does not imply our endorsement of the website. It is your responsibility to evaluate the accuracy, completeness and usefulness of any information provided by these third-party websites.

By accessing or using the information provided by our firm, you acknowledge and accept the terms of this disclaimer.

 

Updated 9th May 2023

JM

Superannuation Guarantee Payments – What you need to know!

Kathryn Vial dressed in a white business shirt with the Royal National Park behind her. Text: Superannuation Guarantee Payments - What you need to know

Hey everyone, Kathryn here.

I wanted to highlight the importance of making your Superannuation Guarantee payments on time, and even more importantly, in advance of their due date.

The Superannuation Guarantee Charge (SGC) can be a costly penalty imposed by the Australian Taxation Office (ATO) on employers who fail to meet their superannuation obligations. That’s why it’s crucial to understand the significance of paying these contributions on time and preferably in advance, and recently we have received a lot of feedback from clients, and our network, that these payments can get delayed, especially closer to the due dates.


As a business owner, it’s your legal obligation to contribute a minimum of 10.5% of your employees’ ordinary time earnings to their chosen superannuation fund. This must be paid by the quarterly due dates, which are as follows:

It’s important to note that these due dates are the latest dates by which the contributions must be received by the superannuation fund. To ensure your contributions are made on time, it’s best to make your payments well in advance of these due dates.

We recommend you should be scheduling these payments at least 2 weeks ahead of the deadline. To make this even easier, please note that these payments can be made weekly, fortnightly or even monthly.

In fact we encourage paying the Superannuation payments at the same time as the wages or salaries for your employees. This approach ensures that you are meeting your obligations as an employer. It will also avoid having a large sum of payment make a dent in your cash flow. Of course, if you are using the Profit First system, you would have already put aside the cash into your designated account. If you wish to discuss how Profit First can assist you in this, please reach out to Nathan or myself.

Failing to meet these due dates can result in severe consequences for your business, including penalties, legal action, and even prosecution. By making your payments in advance, you can ensure that your contributions are received on time and avoid any potential issues.

Meeting your superannuation obligations is not only a legal requirement but also essential for the financial well-being of your employees. These payments provide your employees with a reliable source of income in their retirement years, so by meeting your obligations on time, you’re ensuring your employees receive the necessary contributions to their superannuation accounts.

In addition to the legal and ethical obligations, meeting your superannuation obligations on time can also have tax benefits for your business. Employers who make their superannuation contributions in line with the ATO’s deadlines can claim the payments as a tax deduction. This deduction can help to reduce your business’s taxable income and, in turn, reduce your tax liability.

Paying your Superannuation Guarantee contributions in advance of their due date is essential to avoid legal penalties, provide financial stability for your employees, and enjoy the tax benefits of contributing on time.

If you have any questions, please feel free to contact NGR Accounting at 02 9011 6669 or via email at  info@ngraccounting.com.au

 

FULL DISCLAIMER:

The information provided by our firm is of a general nature and does not take into account your specific financial circumstances, needs, or objectives. The information is not intended to be relied upon as specific advice and should not be treated as such. Before making any financial decisions, we recommend that you seek professional advice tailored to your specific circumstances.

Whilst every effort has been made to ensure the accuracy of the information provided, we do not guarantee its accuracy, completeness, or suitability for your intended use. We are not liable for any loss or damage resulting from your reliance on the information provided.

Our firm is not responsible for the content of any third-party websites that may be linked to or from our website. The inclusion of any links does not imply our endorsement of the website. It is your responsibility to evaluate the accuracy, completeness and usefulness of any information provided by these third-party websites.

By accessing or using the information provided by our firm, you acknowledge and accept the terms of this disclaimer.