Many business owners fall into business. Half an opportunity presented itself and it grew from there with no plan of attack and no financial understanding, just gut feel and it worked well for a while.
For some, it’s like a duck to water and were made to be in business and do well. Yet many still struggle with a strategic plan, understanding the numbers, understanding the levers that make business much more profitable and valuable.
The stories I hear from frustrated business owners are : “Competitors keep undercutting my quotes”, “how can they do it at that price”, “my customers are slow payers”, “I make money but never see it”, “I just don’t seem to make much profit but my turnover is high”, “ I would love to buy my own building and control the rent”, “Payroll tax is a joke”, “I’m paying too much tax”, “I’m always getting tax surprises”.
This is very common, but why does this happen?
Firstly, the current economy and market is not as generous as it has been for the last 25 years. So not all business owners have had exposure to each one of these challenges in the past.
Secondly, lack of guidance from tax accountants whom don’t have business advisory skills nor the experience to help in these business matters.
Lastly, the reluctance of the business owner to engage with the advisor because of cost.
All of these problems can be overcome by discussing how the business will turnaround and the money it can now make versus the cost of getting help.
The Armada Group are here to help. Contact us on (08)6165 4000 or alternatively, you can email me at firstname.lastname@example.org;
By: Mark De Luca | Director, Tax & Accounting