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Running a building business is hard work. The physical challenges aside, you need planning, scheduling and financial skills to manage your cash flow and sub-contractors. The long hours, travel and regulations are all challenges you face and they probably explain why builders and trades people are notorious for neglecting their bookkeeping and administration duties. While GST, BAS and tax payments often represent some of the largest financial obligations for a self employed builder, many end up paying too much tax and incur fines for non-compliance.
Here at ProActive Accountants & Business Advisors we understand the building industry process from plans to lock up to eventual sale. Make no mistake, having an accountant who understands the mechanics of the building industry can mean the difference between just surviving and potentially thriving. Apart from the usual small business compliance issues of GST, BAS, PAYG and superannuation, we assist clients with managing their cash flow and selecting the right software to prepare quotes, invoices and manage their staff and apprentices. Over the years, Warrick Nancarrow and his team of accountants have mentored dozens of builders, plumbers, electricians and carpenters through the various stages of their business life cycle, from start up right through to sale. We offer you experience, technical tax knowledge and most importantly, an intimate understanding of the building trades.
THINKING OF STARTING A BUILDING BUSINESS?
Starting a building business is a bit like building a house. You need solid foundations and the corner stone of the business is your taxation structure. It is a critical business decision and there are a number of options when it comes to business structures including sole trader, partnership, company and trust. Because of the risks associated with the building industry, asset protection is a key consideration. We sit down with you to discuss your family situation, forecast level of profits and likelyhood of admitting new business partners into the business before making a recommendation regarding your business structure.
Accounting software selection is another brick in the foundation wall. Again, the wrong choice can be disastrous which is why we insist the software matches your business needs with your level of accounting skill. If you use a sophisticated double entry accounting software without intermediate accounting skills your records will be nothing more than a 'computerised shoebox'. In turn, this will defeat our purpose of minimising your tax compliance costs. Poor records are one of the biggest causes of business failure and you need up to date, accurate financial records to make informed business decisions. We will train you to use the right software to minimise your compliance costs.
As you know, to build the frame for a house you also need tools. When constructing your business we can provide you with a number of tools including our start up expense checklist to help you identify all your potential establishment costs. It breaks up your expenditure into categories including tools, equipment, IT expenses and marketing costs. These figures then automatically feed into a cash flow budget template to project your figures for the first year of trading. For a builder, your van, truck or ute is arguably your most important business tool. You can download our Motor Vehicle Tax Guide from the resources section of our website to learn more about the alternative methods of claiming your vehicle expenses and the distinction between a business and private trip for tradesmen. In addition, through our affiliate partners we can also assist with vehicle finance (chattel mortgage or lease) and get you fleet discount pricing on your new car, ute or light commercial van that could save you thousands of dollars.
One of our biggest points of difference with traditional accounting firms is our marketing expertise. We can assist you with your branding (business name, logo and slogan) and offer you advice regarding your website design and content. If required, we can also help you create a corporate brochure and harness the power of social media to win more business. We are not your typical accounting firm who see the tax return as the end of the client process. To be honest, that’s just the beginning. As accountants we can do some financial modelling and prepare some ‘what if’ scenarios so you understand your business’ best and worst case profit scenarios. Next, using industry benchmarks we can compare the performance of your business against your competitors so you understand what is working in the business and what needs working on.
Our unique business approach is all about fast tracking your business success and the team of trades specialists at ProActive Accountants & Business Advisors offer you a range of accounting, taxation and business coaching services including:
We are so much more than just tax Accountants. We are business and profit builders who genuinely care about the success of your building business. We service the needs of a number of builders and related trades from all around Australia and offer you strategies to grow your business, your profits and your wealth.
If you're an ambitious business owner looking for a lot more than just basic accounting and tax compliance services from your accountant contact us today. We primarily work with business owners who recognise the importance of marketing and we invite you to book a FREE, one hour introductory consultation to discuss your business needs. At this meeting you can expect practical business, tax, marketing and financial advice designed to help you accelerate your business success. To make a booking call us today on (03) 9761 0035 or complete your details in the box at the top of this page and let’s get to work ON your business so it's more profitable, valuable and saleable.