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Go walking: keep you and your business healthy

Being able to run a business from a laptop is an amazing thing. But it does mean that you spend a LOT of time sitting in front of a screen not being very active. Research shows that office workers spend 75% of their waking hours sitting down – and that’s not great for your health.A good walk may well be the answer to this issue, with walking being a great way to get yourself fit and to add some energy to your business thinking too.Get active and become a more effective leaderSitting down for...

Fair Pay Agreements

MBIE has approved 5 applications from unions to start bargaining for Fair Pay Agreements (FPAs):Early childhood education industryCommercial cleaner occupationHospitality industrySecurity officers and guards occupationBus transport industryApplications to start FPA bargaining for the Waterside workers occupation and the Supermarket and Grocery Store industry are still being considered by MBIE. What employers need to doIf you employ people in an occupation or industry which is covered by a F...

Leveraging the “SME Advantage”

It's challenging times for employers, with high levels of employee turnover, shortages of skilled staff in a tight labour market, low unemployment, and wages rising to keep pace with surging inflation.Small and medium-sized enterprises (SMEs) may find it harder to compete with the deep pockets of large corporations, but there are plenty of advantages SMEs have in being able to attract and retain talent by tailoring creative, meaningful remuneration packages for each employee.Here are some key ti...

Goodwill: What’s it worth?

Goodwill is one of your business assets – but you can’t measure it and it’s very tricky to put a price on it. When you sell your business, goodwill is the intangibles in your business that add value beyond the physical assets and guaranteed income stream.Goodwill includes:Your brand’s great reputationYour loyal customer baseYour positive customer relationshipsYour happy employees who want to stayProprietary data and intellectual propertyThe great systems that make your business run smoot...

10 steps to Business Continuity Planning

‘Business continuity’ is the process of planning out how your company can continue trading – when disaster hits. In essence, it’s your Plan B for how to set up a means of trading, when you don’t have access to your usual offices, workspaces or equipment.10 key elements to include for your ongoing business continuity planDigital communication and cloud technology have given us the ability to access company information, applications and communication channels. For many businesses this wi...

Do you need to improve the cash flow position for your business?

Keeping on top of the financial management of your business can be hard work. It's possible to have a profitable business that is struggling to find the cash flow to pay expenses and fund growth. Likewise, you could have positive cash flow but are not turning a profit, particularly if you are scaling.Turning a profit is at the heart of running any successful company But without an even and predictable flow of cash into the company, you can't cover your overheads, you can't pay your employees and...

The 'No frills' 2023 budget - What does it mean for you?

How will the latest Budget affect your business and your household?Here are some of the changes most likely to have an impact on Kiwi business owners.Extended free childcare hoursIf you have young children, or your team members do, the extension of the ECE subsidy to include two-year-olds will be welcome news. This should make it easier for some parents or grandparents to re-enter the work force. Businesses in this sector will also feel the benefits.Higher trustee tax rateThe trustee tax rate is...

5 ways to ensure you get paid on time

Worrying whether customers will pay you on time is a continual concern for business owners.Late payment can lead to cashflow issues, unpaid supplier bills and the need to dip into your own pocket to cover your operational expenses. If you can improve the speed and likelihood of customers paying on time, that's good news for your accounts receivable targets and the company's overall liquidity and cashflow position.Speeding up payment timesA sale is not a sale until the customer has actually paid ...

Why Klox Ltd is the mentor you didn’t know you needed

A business mentor can provide guidance and support, so you make the right decisions and stay focused on the end goal as a business owner. They can also help you move forward in your career by providing advice and feedback on what steps to take to reach the pinnacle of success.But have you ever thought of Klox Ltd as a mentor?Why Klox Ltd is the ideal mentorHaving someone who understands your business journey is incredibly important. You might see an bookkeeper as someone who deals with day to da...

New rules on GST invoicing

New rules modernising GST invoicing and record-keeping requirements apply from 1 April 2023.The key change removes the requirement to issue and hold a “tax invoice” document (which meets certain prescribed requirements on details required). Instead GST requirements are met provided specific GST information is held through various business records, for example commercial invoices or agreements."Tax invoices" are replaced by "taxable supply information" (TSI). This is a set list of information...

Provisional tax: What you need to know

If you are an employee, your employer sorts out PAYE on your behalf. But when you’re self-employed, you need to pay your own income tax.For example, if you earned $100,000 from your business, the income tax on that income would be just under $24,000. This can be a lot to pay all at once. Provisional tax breaks your income tax lump sum into installments that are paid throughout the year, smoothing out your tax burden.How does provisional tax work?Provisional tax splits up your income tax into p...

Fringe benefit tax - The cost of employee perks

Rewarding your team with vouchers or trips? Providing a car or a gym membership? FBT can be tricky, so make sure you’re calculating the true cost of employee perks.What is fringe benefit tax?Fringe benefit tax, or FBT, is a way of taxing employee benefits. It’s designed to make sure people are paying tax on all types of income, including perks.The single-rate FBT is 63.93%. The short form alternate rate is 49.25%. There are four options for calculating FBT, and you can read about FBT rates i...

What is Price Elasticity of Demand?

Before you price your product it’s important to understand how sensitive your customers will be to price changes. This means getting an understanding of your market, your competitors and how price elastic it is.Price elasticity is an economic concept that you should get to know. It is instrumental in understanding demand for your product and the price you can set for it.A price elastic product is one that experiences changes in demand as the price rises or falls. Some products are staples, and...

How builders and tradies can survive and thrive in a downturn

The past few years have been extremely busy for builders and tradies across Aotearoa, with a booming renovation market and record numbers of new homes under construction.However, consents seem to have peaked and there’s been plenty of commentary around a slowdown in the sector. If you’re a builder or a tradie who’s worried about operating in a downturn, what can you do? Here are our top tips to help your business survive – and thrive – if demand drops away.Can you diversify?Looking clo...

Changes for GST: Invoicing and record keeping changes

Watch the webinar talking through the GST invoicing and record keeping changes that were introduced in the Taxation Act 2022. The new rules come into effect on 1 April 2023.Watch the Webinar HERE...

Four ways Kiwi small businesses can hit refresh for FY24

The past few months have been a whirlwind for many New Zealanders. From devastating weather events to rising costs of living pressures, it’s been a hugely challenging start to 2023. But the promise of a new financial year brings the chance for small business owners to reset their work routines – creating new habits, goals and even wellbeing practices to make life a little easier. Despite continued uncertainty, year end is the ideal time to think about how you can set yourself up for suc...

Strategic business partnerships: the benefits of working together

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Which employee gifts are tax exempt?

Whether it’s for reaching a sales target, a birthday, Christmas or just to say thanks, sometimes you want to buy gifts for your employees.Although it’s a nice gesture, as a business owner it can be unexpectedly complex to provide staff perks. Perks like subsidised gym memberships and discounted products will attract fringe benefit tax, while cash and cash-redeemable vouchers are taxed as part of PAYE.Any cash, or vouchers redeemable for cash, are taxableA gift that comes in the form of cash,...

Why your business needs a continuity plan

If the past few years have taught us anything, it’s to expect the unexpected. Whether it’s a flood, a pandemic or a power cut, life has been throwing us some serious curveballs. Your business has already survived a considerable number of major challenges – but could you do a better job of being ready for the next one?What is a continuity plan?A continuity plan identifies big risks to the operation of your business, and sets out actions you can take if these risks occur. It means having a b...

Simple ways to plug the talent gap

Finding the best talent is an uphill struggle. We’ve got some innovative ideas for how to overcome the talent shortage. There's no escaping the fact that many industries are facing a talent gap. 3 in 4 employers are reporting difficulty finding the talent they need in 2022, according to stats from Manpower.Experienced hires are increasingly hard to find in the current job market, across a multitude of sectors. This lack of suitable talent could well be having an impact on your resourcing,...

Top tips for getting your financial year end work completed quicker

Getting your financial end of year work done now will give you accurate data to make informed business decisions. Get your end-of-financial-year work done now so you can focus on your business.A new financial year is upon us and that means that it’s time to check the accuracy of your financial information in your accounting software for the past financial year, and to gather the documentation that we, as your accountant, will need to finalise your accounts and file your tax returns.The sooner ...

Could outsourcing help you grow your business?

When you run a small business, the amount of work can ebb and flow. Unexpectedly busy periods can create too much work and stress for a small team or one-person business. But if a surge is seasonal or unreliable, you don’t necessarily want to commit to taking on another employee.One solution is to use outsourcing to give you some flexibility during busy periods.What could you outsource?There are several types of jobs that can be ideal for outsourcing:Tasks you dread, usually procrastinate or t...

Digital Signatures and Cyber Security

Authenticated digital signatures can be a valuable part of your cyber security approach. They are more efficient than printing, signing and scanning documents and provide one-off encryption for the highest level of security. In fact, they are more secure than a handwritten signature.If you have a lot of documents that require signing within your business, whether internally or externally, using a digital signature app will streamline your workflow and make managing the signing of documents more ...

Government support for flood-affected businesses

Prime Minister Chris Hipkins has announced new funding for businesses that face significant impact on their operations, or closure as a result of recent flooding. The support package has been developed after consultation with the Auckland Business Chamber and the Employers and Manufacturers Association.Support package will include:$3 million for flood recovery payments to help significantly affected businesses.$1 million for mental wellbeing support through a boost to the First Steps programme.$...

Clothes, rent, meals – what is tax deductible?

As a business owner, which expenses are tax deductible and which are not? We help answer some of your questions.Is the cost of my work clothes tax deductible?Only if it’s a uniform or safety clothing. Anything you buy that could potentially be worn for other purposes is not tax deductible.What about my car?Vehicle expenses when you travel for work are tax deductible. If the vehicle is purely used for work, you can deduct all the costs, otherwise you can only claim a portion. Remember that trav...