Here are 5 tips on optimising your business finances through a dedicated Business Account to streamline your work and improve financial management:

Quick Setup

Signing up for a Business Account can be done within 2-5 minutes. Some providers like the Prospa Business Account, provide a simple online application if you have just three requirements ready.

Mobile Accessibility

Download the app if your Business Account provider has one, and you’ll be able to access your business finances on-the-go and manage your income and expenses efficiently.

Automate Regular Payments

Turning on regular payments from a monthly or weekly chore is a quick win in saving time and effort in managing financial obligations.

Scheduled Review

Dedicate a specific day each fortnight or month to review your business finances to ensure you maintain a clear understanding of your financial position and identify areas of improvement.

Financing Options

With a solid overview of your financial position, consider exploring additional financing options that could support your business goals if needed.

Why Xpress Business Loans?

We understand business owners are passionate about their business which is why we look beyond just ticking boxes.

All our lender partners have an open-minded approach to credit and when assessing applications look for ways to approve deals, not decline them.

For more details and to apply click here

How are you preparing for the year ahead?

What would you do with a cash injection?

We can provide you with a range of lending solutions that best match whatever your small business needs are – rest assured that cash flow management remains a key challenge for many of my small business clients.

Would access to $5K to $150K and a decision that same day, with fixed repayments give you peace of mind? You could consider a Small Business Loan.

Or would revolving access to funds between $2K and $150K, where you only pay interest on the funds you use, be a better fit for your small business? Then a Line of Credit is a good option.

If you’re looking for a simpler, stress-free approach to planning your cashflow needs for the year ahead, in 30 mins we can help you be ready for any potential cash flow issues and opportunities to grow with fast access to the right funding solution.

>> For more details and to apply click here

Why Xpress Business Loans?

We understand business owners are passionate about their business which is why we look beyond just ticking boxes. All our lender partners have an open-minded approach to credit and when assessing applications look for ways to approve deals, not decline them.

For more details and to apply click here

In a recent poll on their future outlook, 43% of small business owners and decision-makers expressed confidence about the next 12 months. This marks an increase from 39% in March and is nearly aligned with the 44% seen during the latter half of 2022.*

The picture is much more rosy than the second half of 2020, with a mere 23% of owners optimistic about the upcoming year that September.

Looking further down the line, long-term confidence has remained relatively consistent. Right now, just 35% of business owners are hopeful about their business’s trajectory over a span of five years, slipping from 39% in June and 38% from a year ago.

However, sentiment varies based on business size and sector. Larger enterprises displayed greater optimism for the coming 12 months. A modest 36% of small businesses with turnovers below $100,000 showed high confidence. This contrasts with 48% of businesses generating between $100,000 and $2.5 million, and 46% of entities surpassing the $2.5 million mark.

Businesses rooted in secondary industries were most optimistic about the upcoming year, with 49% of owners highly confident about the future, while those in consumer services and transport-dependent domains lagged in confidence (with 39% and 37% feeling highly confident respectively).

With an eye on a brighter horizon in the forthcoming year, small and medium businesses are gearing up for growth-driven investment: 43% aim to boost their revenue, 39% are set on refining efficiency, and 35% plan to bolster their savings.

Why Xpress Business Loans?

We understand business owners are passionate about their business which is why we look beyond just ticking boxes. All our lender partners have an open-minded approach to credit and when assessing applications look for ways to approve deals, not decline them.

For more details and to apply click here

Total Loan: $300,000

Monthly Turnover: $1,333,333

Purpose: Acquisition

Comments:

Specialising in compounded medications, this dedicated business has been assisting people’s health and well-being for 6 years. With an annual turnover of $16 million, they were ready to purchase a new practice.

The lenders took the time to understand their business and expansion plans. Recognising the urgency, they were approved for a $300,000 working capital loan, ensuring healthy cash flow and facilitating their expansion.

Funding was provided within an impressive 5 days.

Why Xpress Business Loans?

We understand business owners are passionate about their business which is why we look beyond just ticking boxes.

All our lender partners have an open-minded approach to credit and when assessing applications look for ways to approve deals, not decline them.

For more details and to apply click here  

Total Loan: $500,000

Monthly Turnover: $250,000

Purpose: Shareholder Buyout

Comments:

Operating for 3 years, this quality furniture wholesaler sells a range of furnishings to both direct clients and wholesale customers. With ambitious growth goals and a shift in ownership to buy out minority shareholders, the business sought a tailored lending solution to implement its plan.

The received a customised 24-month working capital loan of $500,000. With a quick turnaround time of just 3 days, the client successfully met the deadline, acquiring 100% of the shares.

Why Xpress Business Loans?

We understand business owners are passionate about their business which is why we look beyond just ticking boxes.

All our lender partners have an open-minded approach to credit and when assessing applications look for ways to approve deals, not decline them.

For more details and to apply click here  

Total Loan: $250,000

Monthly Turnover: $1,600,000

Purpose: Working Capital

Comments:

A well-established cyber security firm needed financial assistance in the form of a working capital to help them trade through a rocky quarter.

Receiving approval within 24 hours, they obtained an express loan of $250,000, which was the make-or-break moment for their business survival and profitability moving forward.

Why Xpress Business Loans?

We understand business owners are passionate about their business which is why we look beyond just ticking boxes.

All our lender partners have an open-minded approach to credit and when assessing applications look for ways to approve deals, not decline them.

For more details and to apply click here

Total Loan: $1,000,000

Monthly Turnover: $5,000,000

Purpose: Venue Acquisition and Expansion

Comments:

Working Capital allowed an established hospitality enterprise in the Accommodation and Food Services industry to fuel its growth ambitions.

With a 23-year track record and multiple venues, the client relied on a swift $1 million loan with an 18th month term, reaching approval within 7 days.

This funding ensured smooth cash flow during a new venue acquisition and expansion plans, allowing the business to concentrate on generating revenue and servicing their expansion initiatives.  

Why Xpress Business Loans?

We understand business owners are passionate about their business which is why we look beyond just ticking boxes.

All our lender partners have an open-minded approach to credit and when assessing applications look for ways to approve deals, not decline them.

For more details and to apply click here  

Increased operating costs, higher inflation and unpredictable or unstable revenue are among the top concerns that business owners anticipate will be major challenges over the next 12 months.

These rising costs can prompt small business owners to reconsider the pricing model for their products or services. Finding the right pricing model first means identifying your objectives in setting a pricing strategy.

For instance, identify if you are looking to establish your products or services in the market, competitively position your products or services, increase demand for your products or services, or a different strategy.

Then consider which method of pricing those products or services might best suit your business priorities:

• A cost-based pricing model adds an additional margin to the cost of a product or service. Make sure to cover all additional costs such as GST and tax.
• Using a competition-based pricing model, price your products or services at a similar rate to how your competitors price their products or services.
• A value-based pricing model enables you to set prices based on your customers’ expectations for how much a product or service is worth.
• There are multiple product-based pricing models to choose from, including penetration pricing and skimming pricing, which raises or lowers the price of a product or service after a certain period of time.

Let’s take a look at one of those methods, the cost-based pricing method, which uses the following formula:

Fixed overheads + Cost of goods sold + Desired profit = Cost-based price

As an example, if the value of your fixed overheads for one unit is $75, the cost of goods sold is $50, and your desired profit is $25, then the cost-based price you would set for the product is:

$75 + $50 + $25 = $150

The model you choose will depend on your business’s unique circumstances.

How Sassy Organics chooses a pricing scheme

For Aida Rejzovic, owner and founder of health and beauty online retailer Sassy Organics, determining a pricing scheme for her suite of vegan, organic products prioritises savings for the customer but is also influenced by shifts in supplier costs. Aida shared how Sassy Organics is adapting to changing customer sentiment, and how she sets a pricing model accordingly.

What pricing model do you use and why?

Aida: “We more or less stick to the recommended retail price set by our suppliers – so, a cost-based method. This means we will generally sell products at the same price that our suppliers are selling it for, and we stay transparent with our consumers around the price of the products they buy. “In light of inflation and other challenges, if a customer can get more value for their money, that helps.”

How is Sassy Organics responding to current challenges?

Aida: “Customers aren’t spending as much as they usually do, and I think every business is feeling the pinch. With my business, increasing the cost of certain goods is affecting our consumers because we have had to increase the recommended retail price for some – although not all – of our products. “We’ve needed to follow the pricing structure set by our suppliers because our wholesale prices are also increasing – and unfortunately we’ve needed to pass those costs to consumers. But we are absorbing a lot of the shipping costs, and we’re not passing any of those costs onto consumers, even though our Australian shipping rates have increased.”

How important is keeping costs down for your customers?

Aida: “We are looking at lowering the cost of some of our products that sell well, so we can pass savings onto consumers where we can. We do this to retain customers. If customers are put off by high prices, they might turn to a competitor – and switch from organic to regular supermarket products. “As a result, we’ve made the conscious decision to introduce a number of new, low-cost products. These are still certified organic but are not as expensive as some of the higher-end brands that we stock at the moment.”

There’s more than one way to nurture your business

We love helping businesses grow with the latest info and ideas to educate and inspire. We can also guide you to a funding solution to help bring those business dreams to life.

We understand business owners are passionate about their business which is why we look beyond just ticking boxes. All our lender partners have an open-minded approach to credit and when assessing applications look for ways to approve deals, not decline them.

For more details and to apply click here

If you are thinking of purchasing an asset for your business, you should think about doing it before June 30!

What is the Instant Asset Tax Write-Off scheme?

Under the instant asset write-off, you can write off the full amount you spend on an asset [used for business purposes] in the financial year you purchased it, giving you a tax deduction for the full cost of the asset immediately.

Before the program was introduced, you would need to depreciate a portion of the cost each year, over several years. For many assets, this was four years – so if you purchased an asset for $50,000, you could only deduct $12,500 each year for four years under depreciation rules determined by the ATO.

Originally, the instant asset write-off was limited, with a $1,000 threshold per asset. This meant you could only deduct the first $1,000 of any business asset purchase. In 2015 the threshold was increased to $20,000, followed by an increase to $30,000 per asset in 2019, and then finally $150,000 in 2020.

However, in late 2020, and in response to the COVID-19 pandemic, the threshold was removed altogether – meaning there is currently no limit on the amount you can claim as an immediate deduction for your business.

But this is all about to end on July 1 2023, when the instant asset write-off scheme will revert back to a threshold of just $20,000!

What assets can I buy and get a deduction for?

The instant asset write-off applies to almost all depreciating new assets and costs of improvements for your business, including;

• tools and equipment
• machinery
• technology – computers, laptops, printers etc.
• fixtures and fittings
• office and shop furniture
• office equipment
• motor vehicles – cars, vans and tractors etc.

Note: Small and medium businesses with an annual turnover of less than $50m may also claim an immediate tax deduction for the cost of eligible second-hand assets.

Financing your asset purchase!

If you’re hoping to take advantage of the instant asset write-off but need funding we can help!

We have a range of traditional vehicle & equipment financing options that may suit your business needs.

We also work with a panel of 7 of Australia’s best unsecured business lenders and can help you access loans from $5,000 to $500,000 with cash flow friendly repayments.

All you need is an ABN and 3 months bank statements and you can borrow up to 200% of your monthly turnover.

Best of all you don’t need to provide any financials or security and loans can be approved and funded within 24 hours.

>> To apply for an unsecured business loan click here

Reducing your 2023 tax bill…

Financing the purchase of a business asset means you get the benefit of a large tax deduction today [ie, less taxable income and therefore tax to pay in 2023], with no upfront cost. Instead, you pay for the asset over the loan term using cash flow from your business. [Note: Any loan interest you pay on the loan is also tax deductible.]

Depending on your circumstances you might even make a tax loss for the 2023 financial year as a result of claiming the instant asset write-off. If you are a corporate tax entity, then instead of carrying the tax loss forward and using it to offset your future income, you might be eligible for a refundable tax offset under loss carry back.

This means if you paid tax for the 2022 tax year you would be able to get some or all of it back from the ATO. For more – https://www.ato.gov.au/Business/Loss-carry-back-tax-offset

>> To apply for an unsecured business loan click here

Why Xpress Business Loans?

We understand business owners are passionate about their business which is why we look beyond just ticking boxes. All our lender partners have an open-minded approach to credit and when assessing applications look for ways to approve deals, not decline them.

For more details and to apply click here

With a new financial year on the horizon, now is the time to familiarise yourself with changes to the temporary full expensing scheme, so your business can make the most of possible EOFY tax deductions.

What is the instant asset write-off?

As announced in the Federal Budget for the 2023-2024 financial year, the instant asset write-off threshold has been temporarily increased to $20,000 and extended until the end of the 2023-2024 financial year.

This means small businesses with a turnover of up to $10 million will be able to immediately deduct the full cost of eligible assets that cost less than $20,000 and are first used or installed ready for use between 1 July 2023 and 30 June 2024.

The benefit was announced as a boost to post-pandemic business recovery when it was introduced in 2020. According to the Australian Tax Office (ATO), the instant asset write-off does not apply for assets held or installed after 6 October 2020 – deductions for these assets are covered by temporary full expensing.

What is temporary full expensing?

Temporary full expensing applies to all eligible assets both acquired and first used or installed by 30 June 2023. To be eligible, businesses must have an aggregated annual turnover of less than $5 billion.

The purchase must be made by 30 June 2023 to qualify and the asset must actually be in use or available for use by that date. If the asset is purchased from 1 July 2023, the tax deduction is instead spread over a number of years.

The asset can be new or secondhand.

Which assets are eligible for temporary full expensing?

Here’s a rundown of which assets may be eligible for temporary full expensing, depending on your business’s turnover:

Should my business do some EOFY spending?

Every small business should consider making the most of the schemes – particularly if the business is, for example, wanting to trade up its old laptops, purchase new office furniture or buy new cars for sales staff.

Ideally, the business will have some spare cash to be able to afford the purchases.

Is it a good idea to buy assets for the purpose of obtaining a tax benefit?

If you know that your business needs a particular asset, it makes sense to buy it before 30 June 2023 in order to maximise the tax deduction but bear in mind that you can’t claim back every dollar spent – just the tax on the purchase. If you trade through a company, for instance, you can claim 25 cents for every dollar actually spent – leaving the company 75 cents in the dollar out of pocket.

So, as we near the end of the financial year, don’t be tempted to buy things that the business doesn’t need purely to get the tax relief.

For more information on eligibility, assets and inclusions, visit the ATO website.

Why Xpress Business Loans?

We understand business owners are passionate about their business which is why we look beyond just ticking boxes. All our lender partners have an open-minded approach to credit and when assessing applications look for ways to approve deals, not decline them.

For more details and to apply click here