It’s no secret. COVID-19 has thrown most (if not all) businesses a curveball in 2020. Chances are you are either overrun with increased demand or, as is more common, the business has taken a hit and you’re busy pivoting and dealing with employee implications (among many other things).
Either way, it’s not something you could have planned for.
The goalposts have certainly moved from where they were at the start of this year. At this point in the Coronavirus rollercoaster, we still can’t know exactly what will happen – but we have the tools to plan for some things.
Let’s discuss a plan for the next four weeks, to help your business deal with right now.
Week 1: Stay on top of JobKeeper & check your other government subsidies
By now, we have been privileged to assist over 100 of our business clients to obtain the JobKeeper Payments. We estimate that by September 2020 we will have assisted our clients to obtain over $5 million in Government Stimulus.
This week we recommend our clients ensure their bookkeeping is kept up to date so that we/ you are ready to make your monthly declaration by 8 June.
You can find more info on JobKeeper in the guides.
Further, if you have not done so already , we recommend you investigate your eligibility to receive the other Government stimulus packages.
You may want to investigate:
- Boosting cashflow
- Instant asset write-off
- Accelerated depreciation
- Vary your PAYG instalments
- Change your GST Reporting cycle
Week 2: Review your financial position
This week, take some time to review your financial position. This probably isn’t the first time you’ve done this in the past few weeks, but as things are changing so rapidly it’s a good idea to stay close to it.
Are there any business expenses you have right now that could be reduced or eliminated?
Consider whether you could speak to suppliers or creditors about reducing or deferring any of the following:
- Rent
- Loan repayments
- Utilities
- Supplies/ Products/ Services
Have you considered preparing a cashflow report or forecast to assist you to plan the income and expenses of your business?
Week 3: Tax planning and tax minimising strategies
Now is a great time to talk with us to identify tailored strategies to minimise yoru potnetial FY2020 income tax.
There are a number of ways that you can potentially save tax in FY2020, for example: using a home office, keeping a log book for your motor vehicle, depositing into your superannuation fund. The appropriate methods will depend on your personal circumstances.
Week 4: Consider return-to-work procedures
As of mid-May, many Australian services are starting to return towards ‘normal’. The Australian government has outlined a 3 Step Plan to slowly get the economy up and running again. The 3 Step PDF can be found here.
As of the 15th of May both NSW and QLD governments had relaxed some measures – but by the time you get to Week 4 of this plan, things will have changed and we suggest you investigate the most recent formal measures.
As we all know, we still need to practice heightened hygiene and be vigilant about our contact with others. This includes workplaces and there are measures you can put in place to reinforce hygiene in the workplace.
In addition to the physical return to work, employees may also experience emotional challenges when coming back to work. It’s important to consider formalised return-to-work processes. Others are looking at what the workplace will look like in the future. Some employers (such as Twitter) are going to allow employees to work from home forever if they choose to.
What will return-to-work look like for your business?
How can QC Accountants Help?
We understand this is a confusing and potentially alarming time for people and businesses far and wide. We’re here to help you understand your options, and take advantage of all the support available to you.
We are available on email ([email protected]) or telephone (07 5593 6060).