Death by a Thousand Cuts

Sometimes being in business feels like this. It seems everywhere you turn, someone is asking for a hand out. I don’t know about you, but I was commiserating with a client the other day when he commented that Government departments were the worst. You start up your business and as soon as you seem to get some traction, there’s another levy or tax or insurance you have to have!
This client, Geoff, and I both have offices which are owned by our respective super funds. Apparently if your office building is within a certain radius of certain areas of the Sydney CBD, there is a parking levy payable to the Office of State Revenue…who knew??!! And at $800 or $1,200 per parking spot it is quite a cost to the business.
The real estate agents don’t mention this and it wasn’t in any fine print. Fortunately, in this instance, the OSR is notified by the Land Titles office and they contact you.
But it reminded me that there are a lot of ‘hidden’ costs to running a business and you aren’t always told about them! You might think you’ve got them all covered but a change in your business might expose you to another cost. We have another client who took out Workers’ Comp for their NSW employees, not realising that they need a separate policy to cover their new QLD employee.
Changes in your business may also mean that you are paying for services you no longer use but have forgotten they are included in your monthly service fee. We found one client was paying for gym memberships for six ex-employees! When was the last time you checked your accounts to see if you are paying for storage or email accounts or telephone handsets or phone lines, memberships etc that are no longer in use?
If it’s been a while, why not take some time this week to look at where your cash is going and perhaps, stem the outflow, apply some ‘band-aids’ and take back control of your money. After all, you work too hard for it, to just give it away!
And if you need help getting control, why not call either myself or John on 02 9907 2733 to discuss how we can help you do just that.

Posted in Accounting, Bookkeeping, General Business Tagged with: ,

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