There are many challenges facing accountants and, indeed, the whole business community. These could be summarised as:
- The economy – interest rates are not at the current level to assist borrowers. They’re indicative of an economy that has significant problems.
- There are depressed business situations in some areas around Australia. This leads to businesses closing or making significant staff retrenchments.
- “Digital disruption” keeps on affecting businesses in all sorts of ways.
- Standard Business Reporting (SBR) – the Australian Taxation Office intends to implement this strategy from 1 July this year which, the ATO believes, will have a significant “red tape reduction” effect on accountants, even though the government will maintain that it’s good for business.
In these circumstances, accountants have a choice. You can either meet the challenges and provide the services the marketplace wants, or retreat and hope things will improve in the future.
I believe there are many positive outcomes accountants can achieve by being proactive at this time.
- The Australian Taxation Office’ Second Commissioner has identified that there’s a real role for accountants in offering debtors’ management advice and cashflow management advice to small/medium enterprises. Debtors’ days outstanding is currently 51.6 days – three weeks longer than the standard business trading period of 30 days.
- The Personal Property Securities Act (PPSA) and the Personal Property Securities Register (PPSR) is a quagmire that can cause immense problems for businesses that are unaware of the requirements to register assets and other “personal property” on the register to gain some protection.
- Sale of businesses – there are thousands of businesses that baby boomers would like to sell. Many of these owners need assistance.
- Shrinkage/waste management reviews – potentially millions of dollars could be saved by businesses. Many small/medium enterprises need assistance in this area.
- Succession planning – every business should be facing up to this very important phase in a business. Are you offering succession planning advice?
- For more ideas on services that can be offered as part of Business Advisory Services in 2015, please go to www.essbiztools.com.au.
Peter Towers
Managing Director
ESS BIZTOOLS PTY LTD
Managing Director at ESS BIZTOOLS
Managing Director of Enterprise Support Systems Pty Ltd and creator of ESS BIZTOOLS and ESS BIZGRANTS, Peter Towers, has had a career that includes twenty-three years as a Principal of a Public Practice in Townsville and ten years in Commerce, six years of which was as Chief Financial Officer/Company Secretary of a Listed Public Company on the Australian Stock Exchange.
Latest posts by Peter Towers (see all)
- Gearing up to offer Equity Financing Services - 21 August 2024
- Unlocking Equity Funding for Business Owners: A Path to Growth - 23 July 2024
- Systems help SMEs to survive - 27 May 2024
