Is your business ready for 30 June?
Getting the financial affairs of your business in order as we head towards 30 June is critical. Have you:
- Issued invoices for all goods/services?
- Chased invoices that are 30 days past the due date?
- Sent unpaid invoices of 30 days or more to Coleman Greig for collection action?
- Reviewed the documentation of your credit account customers to confirm if the documentation has been properly signed/agreed to?
- Reviewed whether you need to obtain or have on file any signed personal guarantees?
- Reviewed whether any of your terms with customers give or gave rise to a security interest in any personal property you supplied?
- Have you registered all security interests on the Personal Property Security Register (PPSR)?
- Have you registered all your security interests on the PPSR correctly or asked Coleman Greig to review these registrations to ensure they have been correctly registered?
As the new financial year approaches take some time and review those key aspects of your business to ensure a successful year ahead. Now is a good time to consider whether:
- you have in place current, written agreements with key customers or suppliers;
- any contracts are coming up for renewal or if you need to exercise any option to renew in this coming year;
- do you hold all necessary licenses and authorisations for your business, and are these up to date;
- should your insurance policies be reviewed to ensure they are appropriate and adequate for your current business operations;
- your trading terms are up to date, with the current copy provided to all customers;
- there are any PPSR security interests registered over your business which may no longer be required, either because you have paid off hired equipment or no longer purchase goods from a particular supplier;
- your company register, trust documents or partnership agreements are up-to-date and reflect the current structure of your business; and,
- you are thinking about a possible sale of business, and whether you should obtain advice from Coleman Greig now about how to get your business "sale ready."
As EOFY approaches, you might consider as part of your planning for the next year certain aspects of your premises lease, being a major and critical part of your business:
- whether a reconciliation is due to be provided by your Landlord for actual outgoings versus amount you have paid;
- your rent review may not be due on 1 July, but you may need to budget for any increase in the year ahead;
- if you're a retailer, you may need to provide audited sales figures shortly after the start of the new financial year; and,
- your lease may be due to expire or renewed in the new financial year so this may be a time to carry out a cost benefit analysis of renewing your current lease or relocating to a new premises.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.