REVIEW your business sales, expenses, profit and bank balance -monthly at a minimum.
COMPARE the budgeted figures with the actual figures and analyse the variances.
MANAGE your business by changing your business plan if it is wrong and implementing strategies to improve your business bottom line.
QUESTIONS TO ASK YOURSELF:
- What value am I to my customers and can I add more value?
- Can I do it better, quicker or more efficiently?
- What other services can I offer?
- Who am I marketing my products and services too?
- Is this the right market for me or should I target another market?
- Are there any new products or services and can I offer?
The A.T.O. uses small business benchmarks to identify businesses that may not be reporting some or all of their income.
Input benchmarks (income to labour and materials used) apply to tradespeople who undertake domestic projects and are responsible for purchasing their own materials.
Performance benchmarks provide financial ratios for your industry that compare your business performance to others in your industry. They are updated with new financial-year data on an annual basis to ensure they reflect the performance of businesses over time.
The ATO review the following performance ratios:cost of sales to turnover, total expenses to turnover, rent to turnover, labour to turnover, motor vehicle expenses to turnover, non-capital purchases to total sales, GST-free sales to total sales.
It is very important to review your business benchmarks regularly.
Accountant-Bribie and surrounds -I’m passionate about helping people with their bookkeeping, accounting and taxation needs.
I love living on Bribie Island and helping folk in my local community, whether they have needs as individuals, retirees or businesses.
If you can’t get to me, I will come to you.