CREDABL ADVERTORIAL

Start your spring cleaning with a financial health check

HOW THIS GOOD HABIT CAN UNLOCK MORE OPPORTUNITIES

ADVERTORIAL

Whether you refer to it as a business health check or a financial health check, going through your business finances is not everyone’s favourite activity and can be daunting for small to medium practice owners. But knowing your company’s vitals are essential to achieving your business strategy and overall success – and not just for tax time. It’s so important to have regular financial health checks. Currently, the big motivating factors to spring clean your finances are the inflationary pressures and the ongoing interest rate hikes. During such periods, it’s best to adjust your business plan and forecast, as this landscape can impact almost every part of your practice.

HOW A REGULAR FINANCIAL HEALTH CHECK CAN BENEFIT YOUR BUSINESS

By revising and adapting your financial goals, you can: • Gain a greater understanding of cash flow and forecasting • Understand whether you are reaching your financial targets and goals for your overall business strategy • Enable better tax planning and borrowing capacity • Find and identify any potential issues or risks • Create flexibility and nimbleness for future business decisions. This last point is often overlooked. Busy practice owners can be super focused on short and medium-term settings. But having a practice in good financial shape versus not so good could be the difference between an instant ‘yes’ or having to pass up a once-in-a-blue-moon prospect, impacting your long-term plans for growth.

This article is a guide only and does not constitute any recommendation on behalf of Credabl Pty Ltd (ACN 615 968 100) or any of its related bodies corporate (Credabl). The information in this article is general in nature and we have not considered your personal objectives or financial circumstances or needs when preparing it. Before acting on this information you should consider if it is suitable for your personal circumstances. Credabl is not offering financial, tax or legal advice. You should obtain independent financial, tax and legal advice as appropriate. The good news is you are not alone and undertaking a health check doesn’t have to overwhelm you. A comprehensive financial health check can be conducted by a qualified accountant or through engaging with a specialist medical lender, like Credabl, so that you are able to say ‘yes’ more often and quickly under time pressures.

UNLOCKING POTENTIAL AND GROWTH

We have had clients coming to us with great opportunities that they’ve identified for their business or personal circumstances, but due to the shape of their finances or loan structuring they were finding themselves stuck. What often happens is that an opportunity will arise – like buying an investment property or building their first home – but clients are held back and end up missing out on that opportunity because they’ve got the business on the line too. It can sometimes take two or three months to sort out with their bank, which is already way too late. At times, we also find clients on a really high-interest rate, as their business lending was structured two or three years ago when the business was first being purchased or set up. As the business matures, your risk rating improves, providing you with further financing solutions. What you can potentially unlock with your business’ equity just by knowing your financial position could be transformative and life changing. So it’s always a great idea to do a health check on your business finances – and do it regularly.

Whether you’re new to seeking finance or ready for a review, we’re available to chat live on our website credabl.com.au or you can call Deb, Ali J or Ali G in the WA team any time on 08 6280 1255, we’d be happy to help!