Newsletter July 2023

Jul 24, 2023 | News


Guide to Starting a Business – Step 1

Setting up your own business is exciting but can also be challenging if you’re not prepared. To ensure a smooth start, there are obligations a new business needs to consider. It’s important to note that starting a business is challenging and involves inherent risks. Assessing your readiness is a personal decision, and it’s advisable to consult with professionals, mentors, or business advisors to gain further insights and guidance specific to your situation.

Remember that each business is unique, and additional factors may be relevant based on industry, location, and personal circumstances. Taking the time to thoroughly consider these aspects can significantly increase your chances of success and help build a strong foundation for your business. Guide to starting a business

First Steps: Are You Ready to Start a Business?

  • Aside from having knowledge in your chosen industry, running a business requires a wide range of skills such as business, personal and interpersonal skills. Attend business events and training to help you develop the tools, skills and knowledge required to start your business. Use the Events and training finder to find out what’s on near you or online.
  • Talk to people with similar businesses or a trusted business adviser. Use the Expertise and Advice finder to search for expert business advisors who can help guide you through starting your business.
  • Contact your local industry association.
  • Look at the ATO’s website and small business benchmarks to see how businesses perform in your industry.
  • Calculate your start-up business costs: If you’re starting a business, you’ll need to consider your start-up costs. Use our template to calculate the start-up costs of your business.
  • Research financial information for your business – how much will it cost to start your business, to be in business, and can you access grants or loans?
  • Starting and running a business requires significant time, effort, and commitment. Evaluate your availability, dedication, and willingness to take on the responsibilities and demands that come with business ownership. Your lifestyle will change a lot as a business owner. You will need to work long hours and even weekends. You need to prepare yourself as you may have less free time.

Make Key Decisions

  • Create a comprehensive business plan outlining your goals, strategies, financial projections, and operational details. A well-defined plan serves as a roadmap and helps secure funding if required. Use the business plan template to focus your business idea and set some goals quickly.
  • Identify potential risks and challenges that your business may face. Develop contingency plans and mitigation strategies to minimise these risks and protect your business’s sustainability. Be aware of all the business risks you might encounter.
  • Writing a marketing plan can help define your marketing strategy and identify the best activities and channels to market products or services. Learn how to develop a marketing plan with the marketing plan template.
  • Select a suitable business structure, such as a sole trader, partnership, company, or trust. Each structure has different tax and legal implications, so it’s important to consider your circumstances and seek professional advice if necessary. Learn more about different business structures.
  • Are you an employee or contractor? If you are working on your own, you will need to know your worker status. Before entering a contract, determine whether you are an independent contractor or an employee.
  • Choose a business name. A business name is the name your business trades under. Choosing the right business name will help create the image you want for your business. It will also help to distinguish you from your competitors. Once you’ve chosen a business name, you’ll need to register it. There’s no need to register if you or your business partner are trading under your first name and surname. A business name is registered nationally with the Australian Securities and Investments Commission (ASIC). This allows your business to operate in any state or territory.
  • You may need an Australian business number (ABN). This unique 11-digit number identifies your business or organisation to the government and community. An ABN has its own set of obligations. You can apply for an ABN and other key business registrations through the Business Registration Service.
  • Know what registrations, licenses and permits you need. When you’re ready to start your business, knowing what registrations you need is important. These registrations will depend on your chosen business structure, location, industry, whether you employ staff and the type of business you’re operating.
  • You may also need to:
  • If you’re thinking of hiring a worker, it’s important to understand your tax and super obligations as an employer. Before you hire your first worker, you need to:

Speak With a Registered Tax Professional

Speaking with a registered BAS Agent when starting a business is highly beneficial. A BAS Agent is a professional who specialises in financial reporting, including preparing and lodging BAS statements. Engaging their services can ensure your business complies with GST obligations and other reporting requirements. BAS Agents possess in-depth knowledge of tax laws and regulations, enabling them to accurately calculate and report GST, PAYG withholding, and other relevant taxes.

A registered BAS Agent can guide you through the intricacies of financial record-keeping, assist in setting up appropriate accounting systems, and provide valuable advice on bookkeeping practices. They can help you understand your obligations and timelines for BAS lodgement, minimising the risk of late lodgment penalties.

By working with a registered BAS Agent, you can have confidence in the accuracy and compliance of your financial records. Their expertise and ongoing support can save you time, reduce stress, and ensure your business meets its reporting obligations, allowing you to focus on core business activities and achieve financial stability.

ATO Lodgement Dates

These dates are from the ATO website and do not take into account possible extensions.

You remain responsible for ensuring that the necessary information is with us in time.

See ATO Due dates by month to check monthly lodgment and payment dates.

BAS/IAS Monthly Lodgements
Final dates for lodgements and payments:

July Activity Statement:
21 August 2023

August Activity Statement:
21 September 2023

BAS Quarterly Lodgements
Final dates for lodgements and payments:

4th Quarter 2023 Financial Year:
June Qtr (incl. PAYGI)

28 July 2023

1st Quarter 2024 Financial Year:
September Qtr (incl. PAYGI)

28 October 2023

When a due date falls on a Saturday, Sunday or Public Holiday*, you can lodge or pay on the next business day.

*A day that is a public holiday for the whole of any state or territory in Australia.

Due date for super guarantee contributions:

4th Quarter 2023 Financial Year:
April to June 2023 FY – contributions must be in the fund by 28 July 2023

1st Quarter 2024 Financial Year:
July to September 2023 FY – contributions must be in the fund by 28 October 2023

Late payments of superannuation are not tax deductible. If your business has overdue superannuation guarantee payments and you are unsure of how to proceed, please contact us to discuss.

Disclaimer: All or any advice contained in this newsletter is of a general nature only and may not apply to your individual business circumstances.

For specific advice relating to your specific situation, please contact your accountant or contact us for further discussion.

Symmetrii Pty Ltd
Tel: +61 (02) 4339 7870
Address: Suite F 78 York St, East Gosford NSW 2250

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This newsletter is produced by the Institute of Certified Bookkeepers and distributed by members