Understanding Your Statement of Cash Flows The statement of cash flows, (also known as the cash flow statement), shows how your business has generated and used cash (and cash equivalents) within a specific time period. For each of the reporting categories, receipts and payments are listed (money in and money out), and this is reported as a net increase or decrease in cash held for that category. The net change in all categories is added to the amount of cash on hand at
What are your business goals for the year ahead? The beginning of a new calendar year is an excellent time to review last year and reflect on what worked, what didn’t, what you’d like to change and new things you want to implement. Take the time to review the year and acknowledge all that has happened, good, bad or indifferent. Examining the year with an objective perspective can provide valuable insights to prepare for the coming business year. Planning and goal setting
Five big business challenges for 2025 ‘Uncertainty’ has been the defining phrase for the first half of the 2020s. The markets are unstable, supply chains have been wobbly and finding talent has been difficult. But as we head into 2025, and the second half of the decade, what are the major threats, opportunities and challenges that your business should focus on? We’ve highlighted five of the big business challenges. Five big business challenges for 2025 (and beyond) However well-organised you are, there are elements in
5 common accounting mistakes (and how to avoid them) Starting a business can be a challenging experience, especially when it comes to managing your numbers and staying on top of your financial management. Unless you’ve got some experience in finance, the bookkeeping and accounting requirements can be quite daunting. And even with today’s helpful cloud accounting platforms and fintech apps, there’s always the possibility of making a simple accounting mistake. So, what are the most common accounting mistakes made by business owners? And
Budgeting for success: the importance of good financial management When you’re operating and managing a small business, you have a finite pot of cash to work with. Because of this, it’s incredibly important to manage your cash well and to have clear budgets and spending limits for every area of your business operations. Let’s take a look at why budgeting is such a vital part of your financial management, and what you can do to keep your company on budget and in
2024–25 Federal Budget Highlights The Federal Treasurer, Dr Jim Chalmers, handed down the 2024–25 Federal Budget at 7:30 pm (AEST) on 14 May 2024. Described as a “responsible Budget that helps people under pressure today”, the Treasurer has forecast a second consecutive surplus of $9.3 billion. The main priorities of the government, as reflected in the Budget, are helping with the cost of living, building more housing, investing in skills and education, strengthening Medicare and responsible economic management to help fight inflation. The
Outstanding tax debts? ATO warns about disclosure to CRAs The ATO has shifted its focus from providing assistance with tax through the pandemic to now re-establishing the culture of businesses paying their tax debts on time. Beginning from July 2023, The ATO has issued notices of intent to disclose business tax debts of more than 22,000 businesses with a tax debt of at least $100,000 that is overdue by more than 90 days, to credit rating agencies (CRAs). Disclosure of business tax debts The
Your upcoming tax calendar for November and December With the year end approaching and businesses preparing for the holiday season it is important to keep your tax obligations in check and managing your workflow keeping the Christmas shutdown periods in mind. In order for you to be across your tax obligations, below are the key compliance dates for November and December 2023. Make sure these lodgments are up to date to avoid any non-compliance action, interest and penalties. If you have questions or
Writing a business plan? What elements should you include, and what are the main considerations to think about? A detailed business plan will generally include: – A clear direction for the business – a well-crafted business plan gives you a defined path to follow, outlining the company’s purpose, goals and strategies. – An overview of your financial strategy – your plan will include revenue projections, expense forecasts and funding requirements. This financial guidance gives you the foundations for mapping out your budgeting, cashflow and
Common Tax Deductions for Small Business Are you claiming all the business tax deductions that you are entitled to? There are many expenses common to most small business, and there are other expenses that are specific to the nature of each industry and the goods or services that your business provides. Operating expenses include accounting, administration, advertising and marketing, office premises, office running expenses, trading stock, legal fees, repairs and maintenance, insurance and vehicle expenses. Employment expenses include salary and wages, fringe benefits, superannuation
