30 Aug 2011

Spring clean your business

1.       Get rid of the clutter: Not just the physical clutter in work spaces, but also the clutter within business activities themselves.  If products or services no longer suit the market, clear them out or give them a makeover.

2.       Tidy the front yard: Your business entrance, foyer or reception area says much about your business attitude, culture and likely service standards.  Have a good look from a customer’s perspective.  What’s the experience when they visit the business, phone your team, or order a product from your website?  First impressions count.

3.       Fix the fence:  Review business insurances, document management and disaster recovery systems.  Create an ‘Important documents’ folder and store insurance policies and vital business contracts, both in electronic and physical format.

4.       Throw some paint around: When’s the last time you refreshed your brand? Is it consistent with your culture and values?  Maybe you are serving new markets now, or you’ve extended your products and services.  Make sure your brand is applied consistently across all collateral, including your web presence.

5.      Sharpen any blunt edges: Now’s the time to learn new skills or develop simple training programmes to

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increase your team’s productivity, or sales effectiveness. Internal training does not need to cost a lot of money.  What it does need is your time, attention and commitment.

6.       Get the duster out: Revisit old business plans, mission and vision statements.  How relevant are they to today’s world and markets?  Plan a three-monthly goal check-in to review progress on your 2011 goals.

7.       Sow some seeds: It’s amazing the number of small businesses that don’t have a marketing plan.  Some of the most effective marketing plans are simply a list of activities, identifying the ‘what’ (the activity itself), the ‘who’ (who’s the person driving the idea?) and the ‘when’ (when are we aiming to get this to market?).  A marketing plan creates marketing gravity.

 

 

30 Aug 2011

Tax planning checklist

It’s important you talk to us if you believe your income is going to be significantly higher or lower this income year. ;The first provisional tax instalment date for March balance dates has passed, but there is plenty of tax planning opportunity left in the year.; Consider the following circumstances when talking to us:

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  1. Revenue up or down?
  2. Margins increased or decreased?
  3. Expenses up or down?
  4. Affected by removal of depreciation on buildings?
  5. Fixed interest loans maturing at lower rates?
  6. Unable to utilise company losses due to recent LAQC reforms?
  7. Any other anticipated events likely to affect income?
30 Aug 2011

Business Plans - Questions to Consider

Staff Development

Many businesses miss that there might be a connection between their business plan and their staff development plan.  Some of the questions you might consider in reviewing staff development as part of the preparation of a business plan:

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  • Do you have a staff development plan?
  • Do you encourage your staff to develop their own skills?
  • What additional skills would you like your staff to develop?
    • Time management?
    • Selling?
    • Marketing?
    • Motivational and attitude training?
    • Leadership?
    • Computer software usage?
  • Do you think you delegate properly?
  • Have you developed a staff training manual?


Do you involve your staff in developing your business' Business Plan? 
Call us on 07 838 0119 if you'd like to discuss further how your plan for the business could drive your staff development programme.

30 Aug 2011

Why invest in developing leaders in your organisation?

  The Mercer survey Future of Talent Management Survey for Asia Pacific July 2010 found that leadership succession tops the list of talent management priorities over the next three to five years.

The survey received close to 500 responses through Asia Pacific, with 87% of businesses planning changes in leadership training.  48.3% considered leadership succession one of their top three priorities.

"It's no surprise that leadership tops the list of priorities," said Brenda Wilson, Asia Pacific Leader of Mercer's Talent Management Consulting.  "The impact leaders have on business success and organisational effectiveness is huge, and right now organisations are not sure that they have the quantity and quality of leaders they will need for the future."

Leadership is critical to any business' functioning well today and having clear direction for tomorrow.  You know who the leaders are in your business today but it's also important to know that there are people coming up in the organisation behind you who can take up the leadership challenges emerging in five years' time.  It's a key part of your succession plan.

Of course, leadership is just part of a bigger picture in human resources.

There are a number of key points to consider.  An Australian survey of business concerns of 2010 identified the following over the next five years:

§               skills shortages will increase in critical roles and industries

§               staff turnover will be a significant cost and

§               leadership development will be the main priority for employers

The third forecast, if seriously implemented from top management down, will critically influence and minimise the negative effects of skills shortages and staff turnover. 

 

'The successful leaders of today must understand that their power rests with the people for whom he/she is responsible.  To tap that power, the leader must abandon the old baggage of dominance, control and self centredness'.                                                  
                                                                                  
- Don Argus, BHP Billiton Chairman, The Australian, 25 March 2010

 

Managers and supervisors who are good leaders know how to retain staff by creating the environment in which people and teams normally work together to efficiently and effectively achieve common goals.  They also understand that, like good health, good leadership is preventative in that it greatly lessens the 'illness' of a negative workplace occurring in the first place. 

Unfortunately, whereas it is difficult to convince managers that leadership development is an investment in 'preventative medicine' many are willing to pay for cures by having managers and supervisors attend conflict resolution training which is focused on trying to remedy the problems after the 'illness' has done its damage. 

Build a profile of the leadership skills of your supervisory and management staff, e.g. managers, superintendents, supervisors, team leaders, foremen, or equivalent, who have authority over others in an organisation.  Identify if there are any gaps at key points in the organisation.  Is it time to start thinking about your business' leadership profile in terms of leadership development or recruitment?  Call us if you would like to discuss this in more detail.


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30 Aug 2011

Business networking without the cringe factor!

Does going to a business networking event sound like the worst possible punishment to you?  Try out these tips to make your business networking experience worthwhile and enjoyable.
Set some goals before you go, for example, I’m going to make four new contacts tonight, and make them happen. If you can, select a few people in advance to whom you’ll introduce yourself.    
Be forthright in introducing yourself and stay away from the usual boring questions.  Ask something interesting like, what has been your biggest business achievement this year? And make sure you give out your business card. Don’t monopolise anyone’s time. If you have a quick but meaningful conversation and then move on politely not only will you achieve your goal faster but you can leave sooner!
Focus on what you can do to help them and when you return to the office the next day, make sure you follow up your conversation with an email thanking them for taking the time to speak with you.  This will help continue the relationship past the event.

Most of all, smile, remain positive and don’t complain about the event, parking, the weather or the food.  Just focus on achieving your goal and enjoying yourself.

 

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9 Aug 2011

IRD cracking down on "cash" businesses

The IRD has stepped up the way it goes after tax cheats and invested in an Investigative Team that is clamping down on “cash” businesses – also referred to as “The Hidden Economy”.

These extra resources are identifying potential candidates for audit via computerised case selection which gathers and analyses a range of information and compares these key performance indicators with your competitors.  The IRD also look at the taxpayer’s lifestyle and spending requirements and patterns, their asset position and how those assets were funded, the taxpayer and their immediate family’s bank accounts – and will go to the Bank and ask for all statements that go to a taxpayer’s address.

They’ll even go as far as examining credit cards and loyalty programmes.

All of this can lead to surprise visits from the IRD,  and an audit as a spot check on a single revenue period, an extended GST audit, focus on salary and wages income or a full investigation to locate businesses outside the tax system.

We are already seeing examples of the clampdown with the sentencing of a Palmerston North takeaway owner in February last year, who was sentenced to 6 months’ home detention for knowingly evading tax for four years from 2004.  IRD senior investigations manager Patrick Goggin stated that, “this was a case of classic tax evasion, a problem we believe is widespread in the takeaway and restaurant industry”.  He went on to say that the IRD has been targeting the fast-food and restaurant industry for the previous 12 months and would continue to do so.

 

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Russell Masters Accountants on London Jodie Clarke