Strengthen your ‘back of house’

 

Challenges that you may face:

  • You’re an expert in your field but not sure if you are looking after your books (financials)/employees correctly
  • Time Poor: are you doing your bookwork late at night?  On the weekends? When you should be spending time with your loved ones
  • Don’t want to ask anyone for help as its seen as sign of weakness
  • Can’t keep up with the changes that ATO/Fair Work bring out
  • Not educated enough in understanding compliance matters for various external stakeholders, e.g. ATO, super funds, tax, BAS, PAYG, pay rates

The spine of your business is the back of house operations:

  • Financials: bookkeeping, AP/AR, reporting to ATO (BAS/IAS)
  • Human Resources: retaining your talent or if a sole-trader – when to employ/outsource
  • Compliance: systems, policies and procedures for Quality and WHS that outline processes in your business
  • Always looking for continual improvement

The synergy of these three areas will ensure the business is compliant and sustainable within the industry.

FINANCES + HR + COMPLIANCE = TRIPLE BOTTOM LINE

 

Let’s break each of these components down to get a full understanding of what you need to focus on.

FINANCIALS

Financials for a business is not just the money you are making.  It’s being able to forecast and budget for expenses, capital expenditure and ensuring there is enough cashflow to stay in front.  You can look at your financials by:

  • Setting the business up right the first time
  • Correct entity structure
  • Good relationships with accountants/financial advisors for direction and guidance
  • Account codes in software package are relevant to your business an industry
  • Insurances, leases and equipment is all in place or there is plan for the future
  • Outsource bookkeeping or BAS preparation and lodgement to ensure compliance with ATO
  • Training on tips/tricks with software if you are doing the bookwork yourself
  • Time-management and organisation is required to be consistent and productive
  • If you have employees, do you understand the new STP requirements? Why has the ATO bought this in?
  • Are you up to date with payroll changes and new rates of pay from July 1? The changes to penalty rates? If not, did you know that you could face fines from the ATO?  This could lead to the closure of your business if not dealt with in the correct manner.

 

HUMAN RESOURCES

If you are self-employed or have just started up your business you may not need to employ anyone else, however your business goals should include growth and expansion Whether it is 1 or 20 employees, your business should have a solid Human Resources process that will be the same for any new person that begins employment with you.  Focus points should include:

  • HR processes and policies that are in line with Fair Work
  • Consistency of all processes
  • Know the laws (Fair Work Act, WHS, Discrimination, Harassment, Equal Opportunity, Privacy and so on)
  • Awards & Agreements
  • Rates of pay and record keeping
  • Workers Compensation
  • PAYG & Super

 

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