Improving the efficiency of your business

As a business owner, making the most of your day to optimise productivity is crucial to your success. The most efficient businesses are those that can create more with less and are driven by highly motivated employees and inspiring leaders. To maximise efficiency within your business, it is necessary to understand the importance of time management, organisation, and managing resources.

Tackle the hardest things first:
Ticking off the jobs that will require the most effort are usually done more effectively first thing in the morning. Also known as ‘eating the frog’, this can help you to avoid procrastination. Once you have done these tasks, all subsequent jobs will seem much more manageable, allowing you to get into a more productive workflow.

Avoid multitasking:
While trying to do many jobs at once may seem like an important skill for increasing efficiency, in reality, it may have the opposite effect. Attempting to multitask can result in lost time and reduced productivity, as you are not focusing properly on each task. Instead, consider making a habit of committing to a single job, completing it thoroughly, and then move on to the next project.

Set manageable goals:
It a common problem for business owners is not having a solid understanding of whether their employees are performing highly or not. This can be caused by a lack of achievable and motivational goals. By offering manageable deadlines for tasks to be completed, it can provide your staff with an incentive to stay on track. Giving clear direction to your employees can assist in clarifying your expectations of the business, helping to increase efficiency.

Work in intervals:
Rather than working in large blocks of time that can be mentally exhausting, try to work in short intervals instead. Studies have suggested that this can be effective in boosting concentration and overall productivity. Encourage your staff to take regular breaks. This will benefit your business, as everyone will be able to work at higher levels of creativity, quality and skill.

Importance of record-keeping for businesses

For businesses operating in a fast-paced and dynamic environment, the task of keeping records can fall secondary to everyday business operations. However, failing to efficiently keep up-to-date and comprehensive records can hurt your business’s long term operations.

Probably the most important reason behind sound record-keeping is that it allows you to learn and grow from your own business experiences. Keeping your records in check will help you understand the current situations of your business and also project future profit or losses. In addition, good record keeping will also show you where your business needs improvement or re-invention. Here a few records to keep that will prove invaluable in the future.

Purchases and expenses:

The items you buy and sell to your customers and the costs of running your businesses. Supporting documents for both of these include invoices, email records, credit card slips, cancelled cheques, cash register tapes and account statements. These can help you to determine whether your business is improving, which items are selling, or what changes you may need to make.

Deductible expenses:

At tax return time it’s handy to have an assortment of receipts and documents that outline your

deductible expenses. These can be the costs of travel, transportation, uniform and entertainment.

Assets:

The properties that you own and use in your business. These records verify information regarding your business assets, such as when and how you acquired these assets. They will also help you to determine the annual depreciation when you sell the assets. Examples of these records include the purchase or sales invoices and real estate closing statements.

Financial Statements:

Keeping accurate and up to date, financial statements will help you at a time of lending applications. These finances include income statements as well as balance sheets that show assets, liabilities and the equities of your business at a specific date.

Illegal early release of super on ATO watch-list

Illegal early release of super (IER) is one of the risk areas that the ATO has identified as being of most concern and in need of action.

Each year, the ATO analyses its data to identify the areas of high risk that will form part of its compliance program. Aside from illegal early release, another key risk area is non-lodgement. In the last year, the ATO has targeted individuals and promoters who register self-managed super funds with the intention of using the fund to illegally access super benefits.

In the 2019 financial year, the ATO cancelled the registration of 609 newly registered SMSFs who intended to use the funds for IER. They also withheld the details of 352 funds from the Super Fund Lookup, meaning they couldn’t receive payments and rollovers.

Some of the most common reasons for IER are:

  • Financial stress.
  • A desire to spend funds on a current-day benefit.
  • Individuals having limited knowledge of setting up an SMSF and are therefore targeted by scrupulous promoters.

The ATO has warned of severe consequences for you and your fund if super is accessed before you are legally entitled to it. These include disqualification of trustees, administrative penalties, the fund deemed as non-complying, or even prosecution.

Fund trustees or members who have knowingly been involved in a scheme or been approached by anyone claiming that they can withdraw their super early should contact the ATO immediately to advise of the situation and avoid further penalties.

If I’ve Lost My TFN, What Can I Do?

Your tax file number (TFN) is a critical piece of information in your possession and should be a constant companion throughout your life. However, there are times when a TFN is misplaced or forgotten. What are you supposed to do?

If you forget your TFN or lose it, this can be a significant issue.

A TFN can be used for opening bank accounts, tracking super savings, applying for government benefits, and giving to higher education providers. If a TFN is stolen, it can be used to create these accounts in your name, increasing the chances of identity theft.

It’s also required if you begin new employment, as you have 28 days to provide your new employer with your TFN before they start withholding tax from your pay at the maximum rate.

What Can You Do?

Your first avenue of inquiry, if you use the services of a tax agent or accountant, will be to ask them for your tax file number, as you will have previously provided it to them. If not, however, you can call the Australian Taxation Office (ATO) to find out what you can do to get your TFN.

The ATO will need to make certain you are who you say you are and that you’re the correct person to discuss your tax affairs with (identity theft can and does occur) – so be ready to answer a few identifying questions.

You may also (if you haven’t done so already) be invited to record a short “voiceprint”, which is another security layer that can identify you the next time you call. Another option is to fill in a form provided by the ATO to apply for or inquire about a TFN. But as the ATO will only process the paperwork it provides taxpayers, you will need to order an actual paper form.

Check The Document Trail

Before you grab the phone to track down your lost TFN, you should check other places it may have been entered into. You might want to rifle through your paperwork and check the following, as your TFN should be on them:

  • your income tax “notice of assessment” for a previous year
  • any correspondence sent to you from the ATO
  • a payment summary from your employer
  • an account statement from your superannuation fund.

If you have a physical folder or file that you keep your important information in, make sure to check it as well.

What If Your Tax File Number Was Stolen?

If your TFN has been stolen or accessed by an unauthorised third party, inform the ATO as soon as possible. Your TFN can be used for identification purposes and may be used to steal your identity. The ATO’s Client Identity Support Centres can give you further information, advice and assistance to re-establish your identity. They may also apply security measures to monitor any suspicious activity on your account.

You can speak with your registered tax agent (like us) as we may have it on file and be able to assist you with locating it.

Icebreaker activities employees will actually enjoy

Icebreaker activities can often be uncomfortable, especially if people are already anxious about meeting a whole new group of people at once or worried about their first day with a new team or at a new job. It is important to have icebreakers that aren’t distracting or too nerve-wracking. For example, the popular ‘tell everyone an interesting fact about yourself’ can often result in someone stressing about what interesting and appropriate to share for the entire time instead of listening to anyone else’s contributions, and feeling self-conscious about their answer. Here are some alternative icebreakers that will help new teams really get to know each other and have a smoother transition into the job.

Quizzes:
A quiz is a great way to ease the team into interacting with each other as it means that a single person doesn’t have all the attention on them at once, which can be stressful, and everyone can break into smaller groups that will make it easy for them to get to know a few people at the same time. This will also demonstrate people’s interests and can get the team bonding over similar hobbies.

Scavenger hunt:
This is another activity that will get people into smaller groups working together and can encourage teamwork and problem-solving, which will likely be skills that they’ll need to work together. Having a scavenger hunt in the workplace can also help new employees get to know their way around.

Speed networking:
Speed networking is a great way for people to get to know each other one-on-one without the pressure of prolonging a conversation until it gets awkward. Have a different question for each round (e.g. what’s your favourite holiday destination? Do you have any pets? What do you like to do in your spare time?) and give everyone 30 seconds to both answer the question. This will allow people to interact with all team members individually.

Socialise:
It can be beneficial to get out of the office and do something fun. This lets the team relax and have fun and really get to know each other on a social level. Whether it’s having a beach day, going to the local pub, having a picnic, or getting brunch, getting the team to have fun without the pressures of the workplace can be a great way for them to bond with each other.

How You Structure Your SMSF Could Impact The Trustees In The Fund

The way in which a self-managed super fund is structured could change its legal compliance requirements. If you are in the process of setting up an SMSF, you will need to make a decision about how to structure it appropriately to suit. 

An SMSF can be structured as a single-member fund or a multiple-member fund, with the trustees of those funds deemed as either to be individual trustees or a corporate trustee

Examining the circumstances of your members could help to narrow down the structure that will be best suited. You can also work out from the requirements of each structure whether or not a fund structure would be suitable for the needs of your members. 

Individual Trustees

Individual trustees in a single-member fund will have two trustees within the fund. One trustee must be the fund member, but cannot be the other trustee’s employee (unless they are also relatives). An example of a single member trust fund structure could be a family super fund, where the members are trustees for the fund.

Individual trustees in a multiple-member fund structure generally have between two to six members. Each fund member must be a trustee and each trustee must be a fund member. Like the single-member fund, members of this fund structure cannot be the employee of another member (unless they are relatives). 

SMSFs that use individual trustees or are looking to use individual trustees in their structure may benefit from the following: 

  • The fund can be cheaper to establish, as a separate company does not need to be set up to act as a trustee.
  • Trustees must follow the rules in the fund’s trust deed, the super laws and the tax laws.
  • There are fewer reporting obligations which means it can be easier to administer, however, changing trustees can mean more paperwork and administrative costs. .
  • Another trustee must be appointed if your fund only has two trustees and one leaves or dies to continue operating as an SMSF, or it must change to a corporate trustee structure. If the trustees change, you need to notify the ATO within 28 days.
  • Fund assets must be held in the name of the fund or the names of the individual trustees, “as trustees for” the fund. If the trustees change, the name in each asset’s ownership document must be changed as well, which can be time-consuming and costly.

Corporate Trustees

SMSFs that are set up using corporate trustees, typically set up a business or company to act as a trustee. The members within these kinds of funds are known as directors and will need to apply for a director identification number as such.

Corporate trustees within a single-member fund structure may have one or two directors, but one of those directors must be the fund member. If there are two directors, the member cannot be the other director’s employer (unless they are relatives).

Corporate trustees within a multiple-member fund structure generally number between two to six members, with each fund member also being a director. A member cannot be the employee of another member (unless they are relatives). An example of a corporate trustee SMSF could be a business acting as the trustee for a super fund, where the members are also directors of the fund. 

SMSFs that use corporate trustees or are looking to use corporate trustees in their structure may benefit from the following: 

  • A company must be set up to act as the corporate trustee, for which ASIC will charge a fee to register them as a corporate trustee and an annual review fee.
  • Directors must follow the rules in the fund’s trust deed, the super laws, the tax laws, the company’s constitution and the Corporations Act 2001.
  • Company directors, including directors of an SMSF corporate trustee, will need to obtain a director identification number. 
  • There are some extra reporting obligations to ASIC but it can be easier to administer the ownership of fund assets and to keep fund assets separate from any personal or business assets.
  • The corporate trustee does not change if a director leaves or dies, as it can operate with just one director. However, you will need to notify the ATO and ASIC within 28 days if the directors change.
  • Fund assets must be held in the name of the fund or the names of the company, “as trustee for” the fund. If the directors change, the corporate trustee does not change so the titles of the fund assets are unchanged. 

The setup of an SMSF can be a complicated process. You may benefit from speaking with a professional assisting you in its preparation and establishment. Choose someone who is qualified, registered and licensed, and right for you and your circumstances. 

How you can use a webinar for business

Webinars are online conferences that have become much easier to host with technological advances. They are also cheaper and, if used correctly, can be beneficial for your business. 

Build brand authority and trust

Giving potential and current customers the opportunity to speak directly to you allows for transparency which can improve trust. During the seminar you can demonstrate your products and discuss your services and explain why they are better than competitors. Your customer interactions during these seminars will allow customers to ask questions to which you can provide insightful information and show your commitment to the business. 

Improve search engine rankings

Hosting webinars boosts your search engine rankings. Improving your rankings on a search engine can benefit your business as the higher you are ranked the more trusted you are perceived. Not to mention, you are seen by more people and this increases the likelihood of gaining customers.

Generate more leads

Webinars can help you get into direct contact with potential customers. Asking those who join your webinar to leave behind their email addresses if they want to work with you is a chance to form a community. 

Launch new products

Thanks to the development in technology, webinars can be highly interactive. You can host Q&A sessions and conduct demonstrations of new products to familiarise people with them before they launch. 

How you can improve your company’s shipping department

Effective shipping is essential in a world where online shopping is so popular. Businesses can suffer if their orders are not being shipped on time or if they are not regularly updating their customers. The following are some ways you can improve shipping.

  • Improve your communication with your shipping facility: Communicating with your warehouse and shipping team or company regularly will mean that they are updated with orders and avoid delays. 
  • Offer order tracking and estimated delivery times: Letting customers track the progress of their orders and track shipping reassures customers that their package is on the way. Estimate delivery times are particularly useful so that customers can plan ahead for delivery if possible.
  • Shipping costs should be built into the budget: Shipping rates will change regularly, but this should not change what your customers have to pay. When creating your budget, allocate more money to shipping than you have calculated to account for potential rate changes.
  • Streamline your packaging process and do standard quality checks: Invest time into creating a process which works efficiently for your business. For example, you could find software which communicates with the warehouse and creates documents which make collecting and shipping the packages easier for staff. Quality checks should also be conducted regularly to guarantee that the product the customer will receive is what they were looking at online. 
  • Declare items for customs ahead of time: This is especially important if you offer and regularly conduct international shipping. Declaring your package online when the order is placed will help it get through customs faster, and to your customers earlier. 

How well are you using your email list?

Every business owner’s dream is a marketing strategy that is highly efficient while still being cost-effective. Email marketing is one such strategy that has seen a huge return on investment for businesses. Consider implementing the following strategies to get the most value from your email marketing campaigns.

What is an email list?
An email list is a set of names and email addresses of those who have given you permission to keep them informed about any promotions your business has to offer. This is a customer registering their interest in your brand, and are therefore more likely to be converted into loyal customers.

How can you build an email list?
Offering your customers incentives to join your mailing list is considered one of the most effective ways to grow your email marketing audience. Consider giving your customers discounts off their first orders if they subscribe to your mailing list. This can actually boost your email list while also giving you additional sales. Free shipping, exclusive and early-access deals are all incentives to motivate your customers to subscribe to your mailing list.

Categorisation
Segmenting your emailing list based on some set of demographics can make optimisation easier when you send out content.

Categorisation relies on the type of content you want to deliver through your email marketing strategy.

If you are promoting store-specific information or targeting audiences within a particular area, segmenting customers based on geographic locations might be more useful. Consider demographic-based segmentation if your content is based on age, gender and other similar factors.

Using emails to convert customers
Most emails are opened through mobile devices, so consider optimising your website and your email content for mobile phones. Provide easy, direct ways to access your website through the emails. An important aspect of email marketing is frequency. While overly frequent emails can be annoying to customers, too few can make your email marketing less effective. Consider allowing your customers to select their preferred frequency.

Content
Email marketing performs best when it comes with engaging, personalised content. Frequent emails dominated by promotions and sales can prompt customers to unsubscribe. Consider adding in people-focused content showing new hires and behind the scenes content, or product information like video guides on using your services. It may be more helpful to prioritise valuable content over promotional content, to keep customers engaged and interacting with your brand.

How to write an eye-catching bio

Social media bios are a small window into your company for potential clients. They can show your style, what you do, the promotions you are running or just be a fun read. A well written and thought out bio stands out from those that are lazy, audiences can tell if you treat your bio as an afterthought. The purpose is to get people to want to know more.

There are many different tactics you can use when creating or revamping a bio. It is important to keep in mind what platform you are writing for as some convey specific tones and draw in different crowds. The aim always remains to draw in audiences, so go with a strategy you think will best attract like-minded people.

Know your voice:
Cohesion in a business is vital, there needs to be a clear message on what you are offering clients and how you are approaching them. It is very evident on social media when a business doesn’t know their voice, as content becomes disjointed and doesn’t show prospective clients who the business. Ensure the tone of your bio, post types and captions all lineup, whether that is professional, casual, humorous, etc. is up to you.

Link your accounts:
Most social media platforms have the option to link to a website in your bio, but it is also a good idea to link to your other social media accounts. As long as you are not overfilling your bio section, adding your other social media handles can help audiences to cross platforms, experiencing the different content you provide. This is also a good idea if you have separate social accounts for different elements of the business or support channels.

Use keywords:
Content from your bio is searchable, giving you an opportunity to use keywords or phrases to direct traffic to your profile. Strong keywords relating to your industry or product/service offerings are good to strategically place in bios provided they make sense. Filling the space with words purely for searchable purposes may get you clicks but that doesn’t necessarily translate to new clients.

Hashtags:
With the majority of social media platforms utilising tags to search, hashtags in a bio can increase traffic and show knowledge of the digital space. Using tags like a common phrase adapted to your company, a promotional tag you are running or your slogan, gives you reach that isn’t always achieved with keywords. Be careful not to overuse hashtags both in bios and posts as excessive tags look unprofessional.