In the first part of the Break-even series, we discussed what the break-even point is, how to calculate it and the 3 important elements you need to employ to achieve that position. As a quick recap, new businesses might not generate expected income in the short term but can make enough revenue which puts them in a position of not making a loss but not making a profit either. At this point the business can still survive, however, the most preferable outcome is that of making a profit as soon as possible.
Making the decision to start your own business is a bold move that involves risk but can also come with greater rewards. As a potential entrepreneur you need to conduct your market research in order to estimate the size of the potential market, competition and potential sales, as these are some of the factors that will determine your business’ success.
It is a plan to:
1. Control your finances
2. Enable you to make confident financial decisions and meet your objectives
3. Ensure you have enough money for your future projects
Almost every business has an end-of-year function and/or Christmas event. You have to be careful when hosting these types of functions because Fringe Benefits Tax has a way of wedging itself between your budget and your plans. So how can you minimise the FBT on your next function and what are some of the rules regarding entertainment and food that you may have to consider?
There is so much to organise to be ready to close up shop over the holidays. Planning and scheduling now can save you a lot of headaches on your return and save you disruptions throughout your break.
To conclude our blog series into the recent amendments made to the QBCC Act, we will discuss the increased penalties, fair commercial conduct and rectification changes.
Tradies Accountant is a specialised accounting firm that provides bookkeeping, accounting and consulting advice to trade business owners. We have been working closely with shopfitters and builders across Australia over the past year. Through our consulting advice, we have set up a software that allows us to gather benchmarks from shopfitting and builders businesses, we have included four important benchmarks below that will let you see where you are sitting in relation to your competitors.
At Tradies Accountant we have been providing additional services to clients such as upgrading their licence category and helping resolve QBCC audits. We have found that some of the business owners are unaware of their requirements regarding holding a QBCC licence. As a trade business owner and a licence holder, you need to make sure you are compliant with all QBCC licence requirements. Explained below are the two main requirements imposed by QBCC: