B2B magazine issue 101 February 2015

B2BMAGAZINE.COM.AU

FEB 2015

101

DIGITAL DISRUPTION MIGRATING YOUR ACCOUNTING TO THE CLOUD

A�iance Leasing INTRODUCING

A REVOLUTION IN WORKFORCE REMUNERATION

WHO'S ALLOWED ACCESS TO YOUR WILL?

CANBERRA JOB MARKET HOW IS 2015 SHAPING UP?

10 STEPS FOR SUCCESS B2B DIGITAL MARKETING ISSN 1833-8232

9 771833 823005

01

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CONTENTS

Photo: Andrew Sikorski

PUBLISHER'S NOTE

LESSONS FROM JAPAN Every time I visit Japan I return with renewed inspiration and vigor to my business in Australia.

The thing that strikes the visitor to Japan is just how clean, polite TIM and ordered Japanese society is.

BENSON When I say clean – I mean clean.

Publisher The streets are clean, the trains are clean – and the public toilets are particularly clean (don’t get me started on the state of public toilets in Australia). There is no jaywalking. People wait patiently for lights to change and then orderly cross the road. People nod their heads and verbally acknowledge each other politely. As a visitor you will be stunned when someone offers to take you to the place you are looking for – even if it means going well out of their way and spending half an hour with you. Your valuables are safe regardless of how long, and where, you leave them. There are vending machines everywhere: inside and out. Many of them sit on the streets or alone by the side of the road. They are full of hot and cold drinks, beer and other alcoholic beverages. On the face of it you think to yourself ‘these would be a great idea in Australia’. Then you remember that they would probably last about five seconds before they were graffitied and broken into for either the alcohol or the money. There of course would be another issue of under age people purchasing alcohol from the machines.

And yes, everything runs on time. The buses and trains arrive to the exact minute they are supposed to. Don’t try chasing a bus in the hope that it will stop for you if you are late. I can hear you all saying ‘but doesn’t this make the Japanese a pretty dull bunch?’ Well, no. During my recent holiday I met mad Japanese skiers, creative jazz musicians and craftspeople, wonderful volunteer guides – and the most insane jazz quintet dressed as alien space creatures – at the fabulous Robot Restaurant in Tokyo. Therefore my new years resolution for 2015 is to be more organised. Only good things can come of this. I hope you enjoy this issue of B2B magazine and we enter our second century.

Send all comments to editorial@b2bmagazine.com.au

11 COVER STORY ALLIANCE LEASING A REVOLUTION IN WORKFORCE REMUNERATION

CONTENTS

FEATURE 06 Digital disruption moving accounting software into the cloud RSM Bird Cameron Chartered Accountants 08 Who's allowed to see a copy of a will?

Dobinson Davey Clifford Simpson Lawyers

06

21 RECRUITMENT New year, new job?

by Hays Recruiting

11 Alliance Leasing A revolution in workforce remuneration 15 ADVICE FROM THE EXPERTS 16 ACCOUNTING Claiming personal technology as a tax deduction

by RSM Bird Cameron Chartered Accountants 16 BANKING Builder Prospects

by ANZ Mobile Lending

22 WEALTH CREATION The diversification effect

by Dixon Advisory 22 WEBSITES 5 easy ways to improve your website in 2015

by Synapse Worldwide A2B: ASSOCIATIONS TO BUSINESS 24 CANBERRA BUSINESS CHAMBER 10 steps for success: B2B digital marketing in 2015

17 BUSINESS ADVISORY Twixt the devil and the deep blue sea

by Vincents Chartered Accountants

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20 INTELLECTUAL PROPERTY Commercialisation of intellectual property

by Arete Group 21 PROPERTY INVESTING Cash flow positive opportunities

by Hatch Property Australia

10 How is Canberra's job market looking in 2015?

Horizone One recruitment COVER STORY

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20 FAMILY LAW The impact of separation on children

by Dobinson Davey Clifford Simpson Lawyers

26 MINISTER'S MESSAGE January welcome

17 BUSINESS LAW New Year, make it clear! Update your Terms & Conditions

by Bradley Allen Love Lawyers

BUSINESS NETWORKING 28 B2B @ Invest CBR Asia Cup 2015 AIS

18 CORPORATE GOVERNANCE NFPs face further challenges

by Australian Institute of Company Directors

30 B2B @ Canberra Business Chamber Annual Dinner Realm Hotel

18 DISTRIBUTION LOGISTICS Why 3PL Logistics?

by National Mailing & Marketing

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ISSN 1833-8232

EDITOR / PUBLISHER

PUBLISHED BY

Tim Benson editorial@b2bmagazine.com.au 0402 900 402 02 6161 2751

Man Bites Dog Public Relations ABN 30 932 483 322 PO Box 4106 Ainslie ACT 2602 b2bmagazine.com.au

ADVERTISING

advertising@b2bmagazine.com.au 0402 900 402 02 6161 2751

Executive Assistant Amber Gale

DESIGN

PHOTOGRAPHY

Manuel Galaktidis evendots.com.au

Andrew Sikorski art-atelier.com.au

LEGAL NOTICE Man Bites Dog Public Relations (‘MBD’) owns the copyright in this publication. Except for any fair dealing as permitted by the Copyright Act 1968 (Cwth), no part of this publication may be reproduced without the prior written permission of MBD. MBD has been careful in preparing this publication, however: it is not able to, and does not warrant that the publication is free from errors and omissions; and it is not able to verify, and has not verified the accuracy of the information and opinions contained or expressed in, or which may be conveyed to readers by any advertisement or other publication content. MBD advises that it accepts all contributed material and advertisements contained in this publication in good faith, and relies on various warranties and permissions provided to it by the persons who contribute material and/or place advertisements. Those warranties and permissions include that neither the material and/or advertisements are misleading, deceptive or defamatory, and that their use, adaptation or publication does not infringe the rights of any third party, or any relevant laws. Further, MBD notifies readers that it does not, nor should it be understood to endorse, adopt, approve or otherwise associate MBD with any representations made in contributions and/or advertisements contained in the publication. MBD makes no representation or warranty as to the qualifications of any contributor or advertiser or persons associated with them, and advises readers that they must rely solely on their own enquiries in relation to such qualifications, and be satisfied from those enquiries that persons with whom they deal as a result of reading any material or advertisement have the necessary licences and professional qualifications relating to the goods and services offered. To the maximum extent permitted by law, MBD excludes all liabilities in contract, tort (including negligence) and/or statute for loss, damage, costs and expenses of any kind to any person arising directly or indirectly from any material or advertisement contained in this publication, whether arising from an error, omission, misrepresentation or any other cause.

cso.org.au CSO concerts offer a unique and prestigious experience providing unparalleled opportunities to develop valuable relationships with staff, and current and potential clients.

Each CSO partnership is a bespoke package, tailored specifically to meet the needs identified by each partner. We don’t have set ‘plans’; we have an amazing product, innovative ways of associating with it, and a genuine desire to ensure that alignment with the CSO becomes a key element in your business development strategy.

To align your organisation with Canberra’s premiere arts organisation, write to partnerships@cso.org.au or visit cso.org.au.

LLEWELLYN SERIES

SATURDAY SERIES

/01 SIBELIUS 1 & 2 APRIL SCHUBERT The Magic Harp Overture ˇ DVORÁK Cello Concerto SIBELIUS Symphony No. 5

/01 SHELL PROM, GOVERNMENT HOUSE 14 FEBRUARY A Touch of Tartan

Nicholas Milton Conductor* Edward King Cello /02 TCHAIKOVSKY 6 & 7 MAY MATTHEW HINDSON Boom Box TCHAIKOVSKY Piano Concerto No. 1 RIMSKY-KORSAKOV Scheherazade Nicholas Milton Hoang Pham Piano

Conductor*

/03 BRAHMS 19 & 20 AUGUST KODÁLY Dances of Galánta SIBELIUS Violin Concerto BRAHMS Symphony No. 4 Nicholas Milton Conductor* Andrew Haveron Violin /04 RACHMANINOV 4 & 5 NOVEMBER MÁRQUEZ Danzón No. 2 RICHARD MILLS Soundscapes: for percussion and orchestra RACHMANINOV Symphonic Dances Nicholas Milton Conductor* Claire Edwardes Percussion

Featuring favourites such as Scottish Fantasy, Danny Boy, Hebrides Overture and more.

Guy Noble Conductor Anna Da Silva Chen Violin /02 ACTEW GRAND GALA 4 JULY Puccini Featuring favourites from Puccini, Wagner, Verdi & more.

Nicholas Milton Conductor* Eva Kong Soprano James Egglestone Tenor /03 CANBERRA WEEKLY MATINEE MAGIC 26 SEPTEMBER In the Mood music from the ‘big band’ swing era Featuring favourites such as Little Brown Jug, In the Mood, Chattanooga Choo Choo and more.

Timothy Sexton Conductor Rachael Beck Soprano *Artistic patronage of Nicholas Milton courtesy of ActewAGL

F E AT U R E

DIGITAL DISRUPTION Moving Accounting Software into the Cloud

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F E AT U R E

I

n the simplest terms, cloud computing means storing and accessing data and programs over the Internet instead of your computer’s hard drive. The most common example in business today is internet banking – most businesses access their bank accounts through browser based software, with the data hosted in the Cloud.

A cloud based accounting package is simply one that resides on a remote server and delivers the “software as a service” or SAAS. Being cloud based means that access to the software is device independent and more importantly all data lives in the same environment.

Digital disruption Digital disruption is the change that is caused by the impact of new digital technologies on the way we currently do business. This impact changes the value proposition for many goods and services.

Most of the digital disruption on the way a business runs it’s administration or accounting function is as a result of data integration rather than cloud computing. The definition of Data integration from IBM is “the combination of technical and business processes used to combine data from disparate sources into meaningful and valuable information. A complete data integration solution encompasses discovery, cleansing, monitoring, transforming and delivery of data from a variety of sources.”

This data integration aligns with the bank feed and other functionality of most cloud accounting software. It is this data integration that can deliver big efficiency benefits to businesses.

Cloud Accounting Impact So what is the practical impact of cloud accounting on small and medium enterprises (“SMEs”)? Research released by MYOB in November 2013 shows that the automatic bank feeds function save the average SME 10 hours per month. The average value attributed to this time is saving $713. It’s obvious that time poor business owners place a significant value on saved time.

What is also very interesting is how these businesses use the saved time: • From a business perspective 40% of clients who saved time with feeds spent it on improving systems and processes, 28% spent it on reviewing business performance and 20% spent it on strategic planning and marketing.

• From a personal perspective, 38% spent the extra hours with immediate family, 29% on ‘me time’ and 26% with extended family and friends.

The apparent willingness of small business owners to utilise saved up time working on their business provides an opportunity for us to work out what they need and how we can provide it to them.

The MYOB research also revealed that these business owners now spend 42% less time on bookkeeping thanks to bank feeds.

77% of respondents said bank feeds resulted in less work at end of the month and 71% said there was less data entry. Time saving was the biggest benefit (89%), with other benefits including easier bank reconciliation (75%), clients feeling more up to date with their accounts (70%), staying on top of financial paperwork (70%) and managing accounts more efficiently (70%).

Advantages for Business: What the cloud does best is simplify your accounting enormously – saving you and staff time, so you both can concentrate on the business and your customers.

• Access all your vital information from any computer, laptop, smartphone or iPad • Never enter a figure twice. With bank feeds, you’ll hardly have to enter figures at all • Tradespeople can invoice immediately on site from their smartphone or tablet • Plug-ins allow custom features e.g traveling staff claim expenses simply by taking a photo of their receipt • Accurate up the minute information is always in front of your accountant • Never need to back up to a thumb drive

or disk that can get lost or stolen. In fact, you’ll never have to back up again, because your data is secure, always off site, yet always available Getting Started RSM Bird Cameron is offering a free 60 minute consultation to help you consider Cloud Accounting in your business.

It is our responsibility as accountants to keep our clients informed on new developments in technology that can improve the way they do business. The cloud is a major shift presenting efficiencies and possibilities that change the way business and accounting can be done. We’re excited for small and medium businesses, because they have the most to gain. Time saved on repetitive tasks, greater security, convenience and flexibility and they are free from any single computer or location. When the accounting virtually does itself, our advisors with up-to-the-minute information can provide greater insight and guidance. And that enables you to do amazing things for your clients and customers.

Bird Cameron

Chartered Accountants

Get in touch for your complimentary consultation: Andrew Sykes, Director RSM Bird Cameron Andrew.sykes@rsmi.com.au 02 6217 0333 rsmi.com.au canberracloudaccounting.com With RSM Bird Cameron you really are... Connected for Success

Know 6 new things in 60 mins After your FREE complimentary consultation you will know; • Which platforms and features will best suit your business • The best timing and the simple steps to migrate your system over • Examples of savings your business can expect to make • How you’ll increase employee satisfaction and free up time • See a similar business to yours operate in the cloud • Have any questions you might have answered by an expert

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F E AT U R E

Who’s allowed to see a copy of a Will?

By Rebecca Tetlow

I

am regularly asked about whether an official “reading of the Will” needs to take place after someone has died. You have probably seen American movies where the family gathers after the death of a relative in an oak-paneled office while a white-haired solicitor reads out the last wishes of the deceased person.

In Australia, there is no legal requirement or customary practice to hold a “reading of the Will”. In fact, until very recently, there was not even an automatic right for family members to see a copy of the Will of the deceased person.

Previously, the executor needed to consent to provide a copy of a Will to a family member or potential beneficiary. If the executor refused their consent, the person wanting a copy of the Will would have to go to the expense and trouble of applying for a Court order to obtain a copy of the Will.

On 17 November 2014, a change to the law in the ACT now gives a statutory right for certain people to inspect a copy of the Will of a deceased person. The amendment to the Administration and Probate Act 1929 (ACT) was modeled on a similar provision in New South Wales legislation.

The categories of “interested person” who can request a copy of the Will include: • an executor or beneficiary named in the Will or an earlier Will; • a spouse (whether married or de facto) or child of the deceased person; • a parent or guardian of the deceased person; 8

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• a parent or guardian of a minor who is a beneficiary under the Will; • a person who would be entitled to a share of the estate if the deceased person had died without a Will; • a person who was a guardian or manager for the deceased person prior to their death under the Guardianship and Management of Property Act 1991; • an attorney for the deceased person under an Enduring Power of Attorney.

A Will is defined to include a revoked Will, an informal Will or a codicil. Therefore, an interested person is also allowed to see a copy of any earlier Wills of the deceased person.

Anyone holding a Will for a deceased person, such as an executor or a solicitor, must, upon written request from an interested person, make available a copy of the Will.

The executor is not under a positive obligation to provide a copy of the Will to all the interested persons listed above. But the executor is now under an obligation to provide a copy of the Will if requested by an interested person. The executor (or the executor’s solicitor) is entitled to ask the interested person to pay for the cost of providing the copy of the Will.

The new legislation does not give anyone the right to see a copy of a Will for a person who has not yet died. While a person is alive, they are entitled to keep the contents of their Will private.

The statutory right for certain persons to inspect the Will of a deceased person

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enhances accountability for executors by ensuring that all potential beneficiaries know of their entitlement. It also assists family members or potential claimants against an estate to seek legal advice early about the effect of the Will.

If you are an executor of a Will, DDCS Lawyers can assist you by explaining your responsibilities and obligations as executor, including in what circumstances you need to provide a copy of the Will to other people.

If you are a beneficiary of a Will, or are wondering if you have an entitlement to the estate of a deceased person, DDCS Lawyers can provide advice on your options and entitlements.

Rebecca Tetlow is an Accredited Specialist in Wills and Estates Law (NSW) and a Senior Associate at Dobinson Davey Clifford Simpson phone (02) 6212 7600 mail@ddcslawyers.com.au, www.ddcslawyers.com.au

Start saving when you automate your accounting

Get in touch for your complimentary consultation Andrew.sykes@rsmi.com.au | 02 6217 0333 or visit canberracloudaccounting.com

Know 6 new things in 60 mins After your FREE complimentary consultation you will know; • Which platforms and features will best suit your business • The best timing and the simple steps to migrate your system over • Examples of savings your business can expect to make • How you’ll increase employee satisfaction and free up time • See a similar business to yours operate in the cloud • Have any questions you might have answered by an expert

Bird Cameron

Chartered Accountants

With RSM Bird Cameron you really are… Connected for Success.

B2B M AGA Z I N E.CO M . AU

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F E AT U R E

How is Canberra’s job market looking in 2015?

By Simon Cox

T

he short answer is, very promising!

Trying to predict Canberra’s uniquely volatile employment market is often fraught with challenges. Although our market is largely dominated by Government business and recruitment activity, recent recruitment activity has been positive, and we are confident that we are now heading towards a market recovery over the next 12 – 18 months.

In early 2014, recruitment activity was sparse, hitting a low not seen since Howard’s “razor gang” period in 1999. As we come out of a very difficult year for the market, we are asked on a daily basis where we think things are headed in 2015.

HorizonOne has the benefit of a ‘finger on the pulse of the market’ that supports our prediction for 2015. Observations supporting this include: • From September to December 2014, HorizonOne had a surge in new jobs, up 150% from the preceding 3 month period (June – August) • Unusually, December was our biggest month of the calendar year and the first 2 weeks of January yielded 35 new jobs – and counting!

Our observations are supported by some positive trends in the broader market including: • Job ads placed on major job board SEEK trended up by 20% in NSW towards the end of 2014 • 39% of Australian employees surveyed by SEEK are anticipating a move into a new role in 2015

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• The ABS reported an upwards trend in new job vacancies and a drop in unemployment figures Nationally While a lot of this new activity is driven by hourly-rate contract work within Government, permanent recruitment has increased. Since August 2014, 20% of our new work has been permanent recruitment, largely from the private sector. This is an increase from only 12% in the previous period. We are also seeing a steady increase in the advertising of permanent roles across all markets, which is an encouraging sign. We believe this trend will continue securely and return permanent recruitment to 35% of HorizonOne’s business ‘mix’ by the end of 2016.

If the jobs slump in Canberra is over and the ‘upswing’ is commencing, what else needs to be considered?

If the job slump in Canberra is over and the ‘upswing’ is commencing, what else needs to be considered?

The Commonwealth Freeze We predict that the Commonwealth Government recruitment ‘freeze’ will end by late 2015, or at the very latest after the next election. Our assessment is that we will start to see permanent recruitment in the Commonwealth slowly start to increase through the interim period however, if the Liberals remain, it is unlikely to reach peak levels for a number of years to come.

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Continued moves towards privatisation of Government functions Strong trends are emerging favouring outsourcing in the wake of reduced APS activity. Ultimately, the Commonwealth Government is looking to create cost savings and drive results. Consultancy firms are reporting constant growth with many public servants seizing the opportunity to make the switch to their ranks while conditions are favourable to do so. Recruitment companies are seeing a return to the systematic use of hourly rate contractors to support core functions or for access to independent subject matter experts.

More job cuts?

Although The Canberra Times are predicting further ‘massive job cuts’ to the APS as a result of large scale outsourcing and the development of shared services, the Liberals are yet to progress beyond scoping studies with organisations like Defence Housing Australia and the Royal Australian Mint. More delays and battles are expected before any progress is made, and some very astute political manoeuvring will be required to succeed. We will potentially see further APS cuts, however this will take some time.

Sourcing talent is a science, not a sales game

Please contact Simon Cox, Director at HorizonOne Recruitment on 02 6108 4878 or simon@horizonone.com.au

A�iance Leasing INTRODUCING

COVER STORY

A REVOLUTION IN WORKFORCE REMUNERATION

A

workforce revolution is underway with employers wanting to attract and retain the best staff through unparalleled financial benefits. Alliance Leasing, as part of the PayMe Group, is leading the way by assisting employers improve workforce remuneration with no increase in gross salaries or FBT liabilities.

Alliance Leasing is finding that its solutions are being well received in the public and private sector. An area of significant growth is the not for profit sector where Alliance Leasing’s expertise is increasing employees’ “feeling of personal worth” without increasing the institution’s costs.

Alliance Leasing provides a car leasing service by offering a complete end-to-end service for the life of the lease. Over the past eight years we have observed and identified all the chokepoints in the industry that makes leasing unattractive to employers. Alliance Leasing has developed its service to meets the needs of both employers and employees.

So what is Alliance Leasing’s value proposition?

• Administration is all conducted “in-house” so the same quality assurance is applied to all activities.

• Employers can increase employees’ remuneration at no increase in salaries.

• Our website calculator lists all cars that are available in Australia and is updated weekly with market rates.

• We reimburse any out of pocket expenses you have within three working days.

• We answer all telephone calls within three rings and immediately put you in touch with a consultant who can solve your query.

Revolutionise the way you pay your employees and contact Alliance Leasing today to assist you with restructuring your employee remuneration.

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COVER STORY

Tim Benson Interviews Michael Lindgren, Director of Alliance Leasing Tim: There is a lot of competition in the novated car leasing space, what makes Alliance Leasing different?

Michael: That’s true, the concept of a novated lease in itself is very sound and there is a lot of competition out there. Some providers are good, some not so. With over 9 years of experience in salary packaging, we pride ourselves on ensuring our clients get the most out of their income, while also assisting the employer in regards to payroll setup and FBT reporting. We also feel we understand the standard of service that hard working Australians deserve. That’s why we know Alliance Leasing will be a leader in the industry.

Tim: Plenty of people have heard about novated car leasing, however how does it really work?

Michael: It’s really quite simple. Instead of paying all your car expenses after you have been taxed, you pay them before you are taxed. Your employer deducts your car lease and running costs, and then taxes you on your original salary less your lease and running costs. This also reduces the tax you pay and increases how much cash you receive each payday. No longer do you have to worry about the surprise registration and 12

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insurance bills, it’s all taken care of and put aside in a tax effective way.

Tim: What were some of the complaints your contractors have experienced with leasing providers?

Michael: Many providers have a multitude of different fees that we feel just aren’t necessary. We do not charge set ups fees, admin fees, exit fees or excessive management fees. People are often not satisfied with the responsiveness of other providers. We answer all calls within 3 rings during business hours and have a live chat feature on our website. Our clients are reimbursed for any out of pocket expenses on a real time transfer basis, rather than waiting up to two weeks which is sometimes the case. None of the business is outsourced overseas, anytime you call or email us, a person will answer you promptly.

Tim: I believe there is also some criticism around a lack of budget flexibility in some leasing companies, would you care to tell us about that?

Michael: Each month we allocate a set budget for your running costs (fuel, servicing, insurance and so on). Obviously when it comes to fuel, people’s usage will always vary somewhat month to month. Some providers will turn a fuel card off once the month’s allocated budget has been exhausted, yet

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the client may have several thousand dollars available for other budgets. We are always flexible with our clients, monitoring accounts regularly to ensure fuel budgets are always available while also ensuring there is an adequate surplus for less regular expenses like registration.

Tim: What benefit does an Employer gain by allowing their employees access to novated leasing?

Michael: The benefits for the employer are really about nurturing a strong workplace culture. It’s about retaining quality staff and boosting productivity. By increasing employee benefits you’re basically saying to your people that we value your position in the company and want to reward your loyalty by giving you the tools to get the most out of your pay. Most importantly, there is no Fringe Benefits Tax to pay.

The employer will also benefit financially by lowering employees taxable income this also reduces their payroll tax and workers compensation liabilities.

Tim: So if it saves the employee money, it doesn’t cost the employer anything and it’s easy to set up. Why doesn’t every employer offer it to their staff?

There are a variety or common misconceptions and myths associated with leasing. The fact is regardless of income you

COVER STORY

are guaranteed to receive a benefit through a novated lease. There is always a saving when you pay for something using income before it is taxed and because you don’t pay GST you save roughly 10% on your purchase price and running costs. There is even further saving potential if vehicles are sourced through our national dealer network.

There is simply very little downside to a novated lease! So it’s our job to get out there and educate people on the benefits.

Tim: One of the most misguided comments we hear every day is “Novated Leasing doesn’t work anymore,” what are your thoughts on that.

Michael: The truth is there are few taxdeductible items for the regular worker and a Novated Lease is available to most people earning a salary. It’s one of if not the most tax effective ways of reducing your taxable income. It’s all about education and showing people that owning a depreciating assest is not the best option.

Tim: Don’t you have to travel a high number of kilometres to make it worthwhile?

Michael: No. The misconception is you need to spend all your time driving your car in order to achieve the true benefits of a Novated Lease. However due to the changes in the FBT legislation in 2014 pretty much anybody who is running a vehicle using this

WITH OVER EIGHT YEARS OF “ EXPERIENCE IN SALARY PACKAGING, WE PRIDE OURSELVES ON ENSURING OUR CLIENTS GET THE MOST OUT OF THEIR INCOME.

”

tax-effective arrangement will benefit.

This change also greatly assists in the management of Fringe Benefits Tax, which is associated with novated leasing. The employer no longer has to worry about a surprise FBT liability and having to chase the employee to cover the costs, as they didn’t reach their kilometres bracket.

Tim: Don’t you need to be on a high salary to afford repayments?

Michael: The simple answer to this is anytime you can use pre-tax income to pay for something you’re better off. Meaning that anyone who’s employed and running a vehicle will benefit from a Novated Lease, regardless of your annual income. Of course you should always choose a vehicle and package that is affordable and within your budget.

Tim: To a lot of people its sounds too complicated, why should I bother?

Michael: It’s not complicated; instead it’s just different to what we are used to. The

great thing about Alliance Leasing is that we will explain it all in easy to understand terms and provide a complete end-to-end solution.

We can source a vehicle for you with huge discounts, arrange the best finance and insurance with one quick phone call.

In today’s busy world there is no longer a requirement to go from car yard to car yard comparing vehicle and finance options. It can all be done with one phone call and it gives you time to look over everything before making a decision or an emotional decision like we all have at a car yard at one time in our lives.

Tim: In closing, why should I use Alliance Leasing as my Novated Leasing provider?

Michael: For most of us buying a car is the second biggest financial decision we will have to make. It’s for this reason that Alliance Leasing aims to remove the stress associated with making this purchase and reduces your running costs by thousands of dollars each year. We clearly explain every aspect of the leasing process to ensure you’re kept up to date and informed. We endeavour to create an environment where there are no dumb questions and you feel comfortable and know exactly what you are purchasing.

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COVER STORY

Case Study Holli is an administrative assistant earning $60,000 a year and is quite new to the workforce after recently graduating from University. She is thinking of getting a new Volkswagen Golf as a little reward for completing her studies. After chatting with her colleagues she finds out that her conditions of employment allow her to consider novated leasing and Alliance Leasing is her employer’s preferred supplier.

Holli decides to give Alliance Leasing a call and learns that they take care of everything! They source a great deal on a new Volkswagen Golf including a $3,500 discount and they even bundled all the finance and running costs into one tax effective payment.

Best of all, the total cost was only $136 a week over a 4 year lease including all running costs! This equates to an overall saving of more than $2,260 per year. That means Holli can afford that holiday to Bali as well!

Holli Annual Salary Lease Cost Taxable Salary Tax (inc Medicare levy) Vehicle cost not packaged Employee Contribution Net Salary

Personal Loan $60,000 $60,000 $12,247 $9,347 $38,406

Alliance Leasing $60,000 $5,090 $54,910 $10,490 $3,748 $40,672 $2,266 Net Saving per year

Vehicles courtesy of Lennox Motors Philip Canberra

For more information visit our website at allianceleasing.com.au Or call us on 1300 225 582 Postal Address; PO Box 56 Deakin ACT 2601

The advice provided in this case study is general advice only. It has been prepared without taking into account your objectives, financial situation or needs. Before acting on this advice you should consider the appropriateness of the advice, having regard to your own objectives, financial situation and needs. Before making any decisions please seek professional financial advice.

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ADVICE 16 16 17 17 18 18 20 20 21 21 22 22

ACCOUNTING

Claiming personal technology as a tax deduction

by Ken Johnston, RSM Bird Cameron Chartered Accountants

BANKING

Builder Prospects

by Kylie Peden, ANZ Mobile Lending

BUSINESS ADVISORY

'Twixt the devil and the deep blue sea

by Tony Lane, Vincents Chartered Accountants

BUSINESS LAW

New Year, make it clear! Update your Terms & Conditions

by Mark Love, Bradley Allen Love Lawyers

CORPORATE GOVERNANCE

NFPs face further challenges

by Phil Butler, Australian Institute of Company Directors

DISTRIBUTION LOGISTICS

Why 3PL Logistics?

by Matthew Jones-Angel, National Mail & Marketing

FAMILY LAW

The impact of separation on children

by Stuart Cameron, Dobinson Davey Clifford Simpson Lawyers

INTELLECTUAL PROPERTY

Commercialisation of intellectual property

by Shaun Creighton, Arete Group

PROPERTY INVESTING

Cash flow positive opportunities

by Julie Cumming, Hatch Property Australia

RECRUITMENT

New year, new job?

by Jim Roy, Hays Recruiting

WEALTH CREATION

The diversification effect

by Robert Turner, Dixon Advisory

WEBSITES

5 easy ways to improve your website in 2015

by Sam Gupta, Synapse Worldwide

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B 2 B I S S U E 101

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ACCOUNTING

BANKING

Claiming personal technology as a tax deduction

by Ken Johnston

As personal technology devices such as laptops, smartphones and tablets, are becoming increasingly prevalent, the ATO will be focusing its attention on individuals claiming tech items as work-related tax deductions.

Currently, Australians claim almost $19.5 billion each year in workrelated expenses, and an increasing number of tech items are being included each year.

It is common for individuals to use such items for both business and personal use, leading to some complexities in claiming them as a tax deduction.

If you are using a tech item for both business and personal use, then you can only claim a tax deduction for the portion equivalent to what you use for business purposes. For instance, if you have a laptop that you use 60% for business use and 40% for personal use then you can only claim 60% of its depreciation each year as a tax deduction.

If an item is valued at over $300 then you cannot claim the entire cost as a tax deduction in the year of purchase. You will instead need to calculate the depreciation each year. Allowances for depreciation for personal technology devices are determined by the ATO. In light of the ATO announcement, it is advisable to retain all documentation relating to both the purchase and the breakdown of your use of any tech related expenses.

If you have concerns about your ability to provide the ATO with proof of business use, you may wish to make brief diary entries recording your use over a representative period of at least 12 weeks as this is considered an acceptable form of proof.

There may be other costs associated with tech devices, such as repairs or interest paid on a loan for the purchase that you can also claim as tax deduction. Again, you can only claim the portion equivalent to what you use for business purposes.

The ATO also distinguishes between an upgrade and a repair: the cost of an upgrade over $300 needs to be depreciated annually, whereas the business portion of the full value of a repair can be claimed in the year of purchase.

If an employer is willing, an alternative to purchasing certain tech items personally is to salary sacrifice the purchase. There will be fringe benefits tax implications but overall such arrangements, depending on both your and your employer’s circumstances, may provide a better outcome.

Bird Cameron

Chartered Accountants

If you require assistance with your tax calculations contact Ken Johnston, Senior Manager at RSM Bird Cameron, on ken.johnston@rsmi.com.au or 02 6217 0308

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By Kylie Peden

Builder Prospects

Renovating or building a new home can be exciting. But dream builds can quickly turn upside down if the contractor isn’t suitable. Legislation in each state or territory differs; however there are some commonalities helping you spot the good builders from the bad: Choosing a builder checklist: Q: Has your builder got the correct registration or license for the job?

A: Builders who are members of organisations such as the Housing Industry Association (HIA), Master Builders Association (MBA) or Building Practitioners Board are often good indicators, but check with Consumer Affairs in your state or territory to see what credentials they should have1.

Q: Have you received multiple quotes?

A: Getting quotes from several builders could give you a better idea of the cost range of the project. The most cost-effective quote might not be the best.

Ask them to be clear about what the quote covers and compare them closely2.

Q: Has your builder provided a written quote that’s simple and easy to understand?

A: Be wary of builders who include a lot of “TBC”, “Estimates” or “Costs pending” in their quotes– asking for a fixed price could help avoid hidden costs. Hidden problems arise in unstructured timelines, fixtures and fittings, and landscape costs, so ask your builder to ensure they’ve thought of everything so you’re not caught out3.

Q: Has your builder got a proven track record of previous work similar to your project?

A: If in doubt of a builder’s validity, ask for referrals. Don’t be afraid to ask to see proof or to visit previous build sites2. Ask friends and family for recommendations.

Q: Does your builder have the correct insurance?

A: Depending on your build size, insurance might be a requirement.

Again, if in doubt, check with your state or territory governing body and ask for proof from the builder4.

As with all builds or renovations, it’s important to do your homework.

Choosing the right builder might not be easy, but it could be the difference between a project running smoothly and a long, drawn-out ordeal.

Disclaimer: The information is in summary form and does not purport to be complete. It is intended as a general guide only and is not a substitute for professional advice. The information does not take into account your personal needs and financial circumstances and you should consider whether it is appropriate for you.

Sources: 1. ‘How to choose a builder’, Propertyinvestmentnow.com.au http:// propertyinvestmentsnow.com.au/category/how-to-choose-a-builder/ 20th June 2014 2. ‘How to: Choose a builder’, Realestate.com.au http://www.realestate.com.au/blog/choosingbuilder/ 20th June 2014 3. ‘6 things to look out for when choosing a builder’, Realestate.com. au http://www.realestate.com.au/blog/6-things-to-look-out-for-when-choosing-a-builder/ 20th June 2014 4. ‘Building a home with a smaller company’, Consumer.vic.gov.au http:// www.consumer.vic.gov.au/housing-and-accommodation/building-and-renovating/checklists/ building-a-home-with-a-smaller-building-company 20th June 2014

For more information, contact Kylie Peden, ANZ Mobile Lender, M: 0400 131 314 E: pedenk@anzmortgagesolutions.com This Mobile Lender operates as ANZ Mortgage Solutions Belconnen & Gungahlin, ABN 39 142 445 725 an independently operated franchise of Australia and New Zealand Banking Group Limited (ANZ) ABN 11 005 357 522. Australian Credit Licence Number 234527.

ANZ’s colour blue is a trade mark of ANZ. Terms and Conditions, fees and charges apply.

BUSINESS ADVISORY

By Tony Lane

'Twixt the devil and the deep blue sea

BUSINESS LAW

by Mark Love

New Year, make it clear! Update your Terms & Conditions

Regular readers of B2B will recall that in previous editions I have written about the ability of the Australian Taxation Office (ATO) to recover unpaid taxes in insolvency situations. Over the past two years the scope of those recovery powers has widened significantly and this has implications for company directors and insolvency practitioners alike.

Many company directors still believe that the ATO receives priority in an insolvency appointment. This is not the case. In 1993 the ATO was removed as a priority creditor in all corporate windings up (other than for unpaid superannuation guarantee amounts). In exchange, the ATO gained the ability to make directors personally liable for certain unpaid taxation debts of their companies through the issue of a Director Penalty Notice (DPN).

The traditional escape route for directors issued with a DPN under that regime has since been to appoint a liquidator or administrator to their company and, as a consequence, avoid personal liability.

In 2013 this system received a crucial amendment. Now the ATO has the ability to issue a ‘new’-style DPN in respect of unpaid debts, that have not been notified to the ATO, and are outstanding for longer than 3 months. Critically, the former escape route of liquidation or administration is now closed, meaning that once the DPN is issued (for non-notified debts), the director is immediately personally liable.

Furthermore, the ATO can estimate the unpaid debt in circumstances where there is evidence to support an estimate (e.g. historical PAYG withholding amounts being previously paid).

Perhaps even more alarmingly, invoking an insolvency appointment does not remove the problem under a ‘new’ DPN. In a recent matter, a director of a Company in liquidation received a ‘new’ DPN some 6 months after the date of liquidation – ultimately leading to his decision to declare bankruptcy.

In the brief period since our office has re-opened in the new year, we have received a number of enquiries from company directors seeking the refuge of an insolvency appointment to their company, in order to avoid the spectre of a DPN that either has issued, or is likely to issue. Sadly, some directors, like the one cited above, have acted too late and the liability has attached.

Now more than ever, early advice is the key in the face of unpaid taxation debts, in particular outstanding superannuation guarantee contributions and unpaid PAYG withholding sums. The consequences of inaction can be uncomfortable.

2015 has well and truly arrived. Hopefully the holiday period gave you the opportunity to regroup and recharge before another busy year.

Now is the perfect time to refresh your business, by paying some much deserved attention to your Terms and Conditions.

Your Terms and Conditions form the contract between your business and your customers; they lay down what your customers can expect from you whilst setting the limits of your obligations. It is an ever evolving document that should grow and develop with your business. The best Terms and Conditions are those that reflect and rapidly respond to any changes in the commercial landscape. Keeping them current is key to maximising the efficiency and profits of your business.

In the spirit of David Letterman, here are the top 10 reasons why your Terms and Conditions need an update: 10. They are written in complex legalese, and rattle on for pages on end (the most effective Terms and Conditions are clear, concise, and simply-stated); 9. They refer to legislation that has been repealed, amended, or superseded (e.g. the Trade Practices Act); 8. Customers become confused by the document and are slow to sign; 7. They don’t have a clause concerning IP rights (where relevant); 6. The same provisions keep getting raised in negotiations (and disputes) with customers; 5. You got them from a competitor, or off the internet; 4. They are set out as one big and undifferentiated block of words (careful formatting can be very useful in guiding the eye and breaking up the document, making it infinitely more accessible); 3. They include something called a ‘romalpa’ or ‘retention of title’ clause but you have never heard of the PPSA or a PMSI; 2. You have never read them yourself; and 1. The number one reason you should review your Terms & Conditions: You don’t even have any.

If any of the above applies to you or your business, perhaps it is time for you to consider a revamp of your Terms and Conditions – the benefits are manifold. Having precise provisions on payment or credit terms will make it easier to get paid. The more clearly the Terms and Conditions demarcate the rights and obligations of the business and the customer, the easier it will be to avoid disputes with your customers.

Perhaps most importantly, well-crafted Terms and Conditions will protect your business from potentially costly liability, allowing you to focus instead on making it a very successful and profitable 2015.

Tony is a Senior Manager at Vincents Chartered Accountants and provides specialist advice to clients in the areas of insolvency, business risk and financial conflict and dispute resolution. For more information, contact Vincents, Level 7, AMP Tower, 1 Hobart Pl, Canberra City.

T: 6274 3400 F: 6274 3499 E: tlane@vincents.com.au W: www.vincents.com.au

Mark Love, Legal Director, Business Law 9th Floor, Canberra House, 40 Marcus Clarke Street, Canberra ACT 2601 E: mark.love@bradleyallenlove.com.au T: 02 6274 0810 | www.bradleyallenlove.com.au

B2B M AGA Z I N E.CO M . AU

B 2 B I S S U E 101

17

CORPORATE GOVERNANCE

NFPs face further challenges

by Phil Butler

The not-for-profit (NFP) Governance and Performance study released in late 2014 shows that financial sustainability is still a concern for many organisations. Additionally, with the announcement of funding cuts prior to Christmas, the challenge continues into the new year for many NFP organisations.

At the release of the study, Vanessa Nolan-Woods, General Manager for the NFP sector at Commonwealth Bank said the industry is hoping to strengthen its financial foundation and set itself up for ongoing success.

“NFPs are finding innovative ways to build revenue and diversify their service offering so that they are less reliant on government funding,” Ms Nolan-Woods said.

The study also revealed that mergers and consolidations are on the increase and many boards are actively considering such strategies. While potential for business is no doubt apparent in the long-term, short-term goals are often lost, along with funding.

When considering such ventures, it is critical to be realistic about the exact financial position of the company and to be confident in the validity of the relevant reports being prepared.

Accurate cash flow projections are a necessity. In the instance where funds may be delayed, many organisations will have a range of scenarios to determine impact and best practice. In turn, it can be identified when liquidity becomes problematic.

Having a good relationship with your accountants and auditors is useful during difficult periods. Having an open and honest conversation with the professionals can be of great benefit.

For many organisations facing uncertainty when it comes to funding, attracting and/or retaining quality staff is important. While often impossible to guarantee job security in such circumstances, good staff are often acting with best intentions and loyalty, however need to know that their employment is secure. Simply letting staff know that they are greatly valued and that you are doing all you can in order to keep the organisation sustainable can assist.

Company Directors is holding a briefing on this important topic on Monday 23 February.

Location: ANU Commons, Time: 5.30pm – 7.30pm

Phil Butler is Manager - NFP, Public Sector & ACT at the Australian Institute of Company Directors.

Level 3 54 Marcus Clarke Street Canberra T: 02 6132 3200 | www.companydirectors.com.au

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DISTRIBUTION LOGISTICS

by Matthew Jones-Angel

Why 3PL Logistics?

With accelerating technology and global social media connections, business operators have become increasingly aware that further growth, economic and competitive advantage can be expanded by engaging a 3PL partner to support and enhance Supply Chain solutions.

What is 3PL? A third-party logistics (3PL) provider is a specialist who can provide you with professional logistics services for part or all of your supply chain management functions (from point of manufacture through to delivery to your end customer).

What benefits can a 3PL Provider deliver?

• Flexibility for growth and manage risk to cover unexpected events (staff leave/sickness; seasonal sales fluctuations; ad hoc events) and minimise your fixed overheads; • Optimal purchasing and inventory strategies to meet demand, reduce excess and limit stock outs; • Access to skilled logistics professionals, fulfilment machinery, established warehouse facilities and integrated systems; • Enhanced customer service capabilities and diverse service offerings (personalised branding opportunities); • Improved distribution options through exposure to a broader transit network and access to lower prices through economies of scale; and • Frees your time to concentrate on selling, marketing and growing your business.

Key points when considering outsourcing to a 3PL Provider?

• Are my own facilities and resources able to cope with volumes as they increase?

• Do I have enough time to do everything – do I want to do everything?

• Will I retain visibility and control of my business if I outsource?

• Does the 3PL provider offer flexibility and personal service (responsive to abnormal situations; prepared to discuss variations; able to adapt to changing business directions)?

• What systems are in place and can they be integrated with my business (not the other way around)?

• Can they prove capacity and capability in the industry (testimonials and references)?

• Experience – do they understand my product/market and care about my business?

• Can they give me independent and objective advice?

• Are the defined operating costs easily understood, outlining both Fixed and Variable costs according to the business needs?

With cost a critical component of any business, ask yourself, does the 3PL provider offer a value service or just the “cheapest” price?

In conjunction with analysis of the product life cycle and consumer demands, thorough Supply Chain delivery, pricing and service levels are formed.

National Mailing & Marketing

Your independent warehouse, mail house and distribution specialists...

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There are many paths to the top, but only one course

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For more information or to enrol t: 1300 764 633 w: companydirectors.com.au/cdc

Our Company Directors Course will give you the knowledge to confidently embark on your director career.

The end of financial year is just around the corner, while there is still time take this opportunity to invest in your professional development.

Wednesday 13 to Tuesday 19 May 2015 Federal Golf Club

INTELLECTUAL PROPERTY

FAMILY LAW

by Stuart Cameron

The impact of separation on children

The breakdown of a marriage or de facto relationship is usually a time of high stress and emotional turmoil. This is particularly so for children of the relationship as the separation can have lasting, if not permanent, consequences.

Separation inevitably involves a period of upheaval. For some children this period can last a relatively short period of time (the time it takes to move into a new home), but for others the period of instability lingers. Children who experience or are the subject of a protracted parental dispute are particularly vulnerable.

The laws that govern parenting disputes focus on putting in place arrangements that are in the children’s best interests. The Court process is set up to, where possible, protect children from the dispute and to minimise their involvement in the process. Generally, the only participation required of children who are the subject of family law proceedings is that they may be required to talk to a counsellor or psychologist, who is appointed to report back to the Court. Usually, this is a relatively painless exercise, however, the mere fact that their parents are in dispute and a Court is required to resolve that dispute can of itself be the source of anxiety for children.

There are many other options for resolving parental disputes rather than going to Court, including a range of alternative dispute resolution services available to separated parents. It is now a requirement under the Family Law Act for parents to make a genuine effort to resolve their disputes by family dispute resolution (mediation) before taking a parenting matter to Court.

In circumstances of high parental conflict, including family violence, resolving a dispute this way may not be possible. The children in those situations are often the most vulnerable and they can be at risk of exposure to continuing problems. In those cases early intervention can be critical.

For separated parents it is important to obtain advice from a family lawyer about the range of options available. Receiving that advice early may assist in minimising the children’s exposure to the conflict and assist by putting in place a set of arrangements that can give the children certainty and stability.

Stuart Cameron is an Accredited Specialist in Family Law (NSW), and Senior Associate of the Firm.

18 Kendall Lane, New Acton Canberra City ACT 2601 T: (02) 6212 7600 E: mail@ddcslawyers.com.au www.ddcslawyers.com.au

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by Shaun Creighton

Commercialisation of intellectual property

Intellectual Property rights (IP) within your business such as trade marks, copyright, patents, designs and confidential information are valuable intangible assets that can generate your business income if effectively commercialised.

Knowing and understanding what IP your business has and how it can be licensed, outsourced or otherwise dealt with is an important step in the commercialisation process. Simultaneously, it is important to know and understand the scope of your rights to use any IP created or owned by third parties (or indeed, what licenses you may need to obtain from 3rd parties). The most effective way to understand what IP exists in your business, and what licenses you have or need, is to conduct an IP audit.

An audit of your IP can provide a clear picture of what is owned, what is licenced, and what licenses may need to obtained in order to effectively and safely commercialise your products or services. Such audits may also identify dormant or under-utilised IP, or identify IP which needs further or better protection.

With certainty of ownership and licensing conditions in place, strategies for appropriate systems, vehciles and models to generate revenue from that IP can be implemented. This in its broadest sense is called ‘IP Commercialisation’.

The form of commercialization implemented may take many forms depending on the specific products or services, state of the market and relevant threats and opportunities. A robust commercialisation agreement between your business and any third party, whether you are granting rights to use your IP or even if you are considering moving manufacturing or other supply chain processes offshore, should focus on the appropriate licensing conditions (including territory, exclusivity, term, royalties, limits on field of use etc), together with supporting legal provisions relating to any agreed limits on liability, indemnities, warranties, termination rights, and consequences of termination (including any obligations to return materials plus any agreed restraints, if relevant).

There are fundamental licensing and legal provisions which apply to most forms of commercialisation agreements whether the commercialization vehicle is through a franchise agreement, distribution agreement, joint venture agreement, manufacturing agreement, software licence, or licence to use training materials, or other similar arrangements.

It should be noted that commercialisation arrangements and relationships should not simply focus on the IP or commercial provisions in isolation. It is also important to consider (and where necessary obtain advice on) associated issues such as compliance with competition / consumer laws and other regulatory frameworks.

Commercialisation of your IP can be one of the most important things your business does. It follows, that it is important that you receive specialist advice and assistance at all stages.

At ARETE Group, we have a team of experienced Intellectual Property and Commercial Law specialists who can assist your IP, commercialisation and contractual needs.

Visit or contact us at W: www.aretegroup.com.au or www.atrademarks.com.au E: shaun.creighton@aretegroup.com.au T: 02 6162 1639 or 1800 705 680

PROPERTY INVESTING

RECRUITMENT

Cash flow positive opportunities

by Julie Cumming

Cash flow positive properties often sacrifice capital growth for yield.

Identifying quality cash flow positive opportunities from the marketing hype can often be confusing.

It is essential to understand the future growth drivers for the property and the reason the yield is sitting well above the market. Understanding these factors will enable you to determine the likely longevity of a sustainable yield and growth and will significantly reduce your risks.

Here are two excellent opportunities that are well positioned to deliver both yield and growth. The figures are based on the assumption of an interest rate of 5% and an investor’s taxable income of $100K. Lease back display homes: 7% return for a minimum of 2 years.

Property Price

7% lease back

Annual cash flow +ve at 7% yield

$520K

$700pw

$10,000

$450K

$605pw

$8,500

Homes are 4 bed, 2 bath with double garage

This display village is in a new master planned estate. Features include: • Home to 20,000 people and a comprehensive array of thriving businesses and services • A substantial Town Centre with a central public plaza, civic town park, urban-living apartments and 20,000m2 of retail and commercial space • A host of education, health, sporting, recreation and community facilities and supporting infrastructure.

The developer will lease the property back from the investor at 7% for at least 2 years to use as a display home.

It is then essential to know and understand what the ongoing yield is likely to be and what the continuing growth drivers are.

Contact us for a FREE appointment where we can discuss your goals, strategy and you can receive quality independent guidance and advice.

by Jim Roy

New year, new job?

How to stand out from the crowd in a competitive job market The ability to sell yourself, develop new skills and provide relevant work experience are just some of the ways you can stand out in today’s competitive jobs market.

You should also make sure that you prepare adequately for interviews, dress appropriately and listen to the questions asked to avoid common jobseeker mistakes.

Many jobseekers are failing to stand out from the crowd and do themselves justice in today’s market. For instance, when an employer recruits, they want a proven performer who can hit the ground running and add immediate value to the business.

This means you need to consolidate the experience you have. By demonstrating your skills and experience you can show potential employers you are a tried and tested candidate.

If you are a graduate, professional work experience completed during your study is a huge advantage that will help you stand out from your competitors. Even a few weeks completed during a semester break will give you the edge over fellow graduates who have not taken the initiative to gain relevant experience.

Hays’s top five tips to stand out from the crowd: 1. Write an impressive resume: Make a good first impression. Use a common program, such as MS Word, and start with your contact details.

List your education and qualifications and then your work experience in reverse chronological order, beginning with the most recent. If you have your own website profiling your work include the URL, but do not submit it instead of a resume. Make sure you proofread your resume and take the time to get it right.

2. Sell yourself: Highlight one or two unique selling points to differentiate yourself in both your resume and in an interview. For example, were you one of the highest achievers on your course at university? Have you improved customer retention levels or led a project successfully? Ensure that you have relevant examples and statistics at your fingertips.

3. Experience: The most valuable skill a jobseeker can have is relevant experience. For seasoned professionals this means matching your existing skills and experience with the job requirements. For graduates it means gaining relevant industry experience through volunteer work or a study placement.

4. Use your networks: Contact a recruiter, search job websites, use social media sites such as LinkedIn and talk to your networks, industry bodies and university alumni.

5. Develop new skills: Stay on top of industry trends to demonstrate to an employer that you are up to date with the latest

developments and are acquiring new skills.

Julie M Cumming, Director, Hatch Property Australia M: 0404 453 397 E: julie@hatchproperty.com.au www.hatchproperty.com.au

QUALIFIED PROPERTY INVESTMENT ADVISER

QPIA

Jim Roy, Regional Director 5th Floor, 54 Marcus Clarke Street, Canberra T 02 6112 7663 | F 02 6257 6377 E canberra@hays.com.au

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WEALTH CREATION

by Robert Turner

The diversification effect

These recent months have been a stark reminder of the volatility of share markets and the impact it can have on your life savings and your retirement.

In 2002, United States Secretary of Defense Donald Rumsfeld famously stated: “there are known unknowns; that is to say we know there are some things we do not know. But there are also unknown unknowns -- the ones we don’t know we don’t know.”

Put this statement in the context of the assets needed to fund your retirement. There are risks to investing that are known but uncontrollable (known unknowns); such as interest rate movements and there are risks that we can’t predict (unknown unknowns),e.g. geopolitical crises.

Diversification can assist in managing your investment risk and planning for both “known unknowns” and “unknown unknowns”; by not having all your eggs in one basket.

In a diversified portfolio, investments are spread across different asset groups and investment regions. This can assist to offset negative movements in some investments by the positive performance of other assets. This can help smooth out investment returns over the longer term providing more certainty for investors.

Here are some examples of risks and the impact of diversification: 1. Domestic bias Australian investors generally have a high proportion of investments in Australian equities. Yet Australia represents only a small portion of the global market – around 2% of global market capitalisation (Source: World Bank, July 2013). Investing in other global economies could reduce the risk of a poor investment outcome if the Australian economy underperforms global counterparts.

2. Currency impact The impact of fluctuations in currency can have significant impact on a portfolio. During the GFC, the US Dollar weakened relative to the Australian Dollar, however over the six months from July 2014, the Australian Dollar has fallen around 15%. Investors with exposure to US investments have benefited from this fall as the value of their investments has increased in Australian dollar terms.

3. Low protection from share market volatility A portfolio with high exposure to a single asset class will provide below average returns if that asset class underperforms the market. This means holding investments in a variety of asset classes such as fixed interest, cash or property in comparison to predominantly equities may help smooth the returns of your overall portfolio during periods of high share market volatility.

Dixon Advisory provides advice across a breadth of asset classes including: cash, gold, income investments, property, Australian equities, international equities, in order to manage risk and preserve capital.

If you feel you have too great an exposure to a single asset class or would like to understand more about our diversification approach, please contact me on 1300 264 485.

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WEBSITES

by Sam Gupta

5 easy ways to improve your website in 2015

I trust that you have settled in to a refreshed rhythm of life after a nice Christmas break. I also hope you have written down some exciting goals for this year. If ‘growing business online’ is one of them, I can help.

Here are the 5 easy ways to improve your website this year.

1) Create curiosity and interest Use simple and powerful words and images to create interest about your core service or products in the first 8 seconds on your home page.

Sliders can sometimes distract users. Make sure your primary message is conveyed without any interruption. Similarly, the description should resonate with your target market and inspire them to take action.

2) Visual impact Typography is crucial. Use big, clean fonts for headings and a clutter free layout for text so your visitors absorb the information they are reading. Don’t be afraid to use scrolls. Make sure your website renders your key messages just as well on mobile devices.

3) Explainer videos It is often easier to explain your USP or point of difference via a video rather than text. Not all visitors will have the patience to go through the text. Videos provide a way to connect with your visitors and explain about your products or services. It is much easier to communicate via a video than mere text and images.

4) Create an awesome experience Content is not the king anymore, engagement is. Often navigation is ignored on websites. Too many options can overwhelm your visitors.

Simplify the user experience so that it’s easy and effortless to browse your website. Make your call-to-action buttons loud and clear. Use intuitive keywords and actions to drive traffic in the right direction.

5) Personalise and nurture It takes a lot of effort to convert a visitor into a lead. Integrate a great database and marketing automation behind-the-scenes to turn that lead into a customer. Build relationship with your leads over a period of time through personalised, useful content. Automate your inbound marketing campaigns and create raving fans. It is easier and more affordable than you think.

Your website can be one of the most powerful tools in growing your business this year. It is your pitch to the existing and potential customers. Make it a good one and let me know if I can be a part of your journey. I wish you a very successful year ahead.

Sam Gupta is the managing director of Synapse Worldwide.

Sam would love to hear your thoughts on this advice column.

Please contact him on 1300 785 230 or admin@synapseworldwide.com

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A2B

A S S O C I AT I O N S T O B U S I N E S S

10 Steps for Success: B2B Digital Marketing in 2015 COLIN ANSTIE

HEAD OF MARKETING CANBERRA BUSINESS CHAMBER

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he world of marketing has changed forever, and it is confusing. With the emergence of the information age and technology explosion, the marketing function has expanded at light speed. Marketing can now cover technology, analytics, customer service, sales, and become a unifying role for businesses. But what does it mean for your organisation?

The Problem According to a recent CEB and Google study, the average B2B Buyer is 57% through the purchase decision-making process before engaging a supplier.

Organisations must work out how to influence purchasers during that research phase.

As the business leader, it is hard to know which way to turn. You are constantly bombarded by marketers that are marketing themselves! They may be cold calls, messages on LinkedIn, website pop-ups, marketing agencies, email, and countless other forms.

The Solution There are a number of ways to resource the delivery of Digital Marketing for your business, including: Option 1: Yourself Option 2: Current Staff Members Option 3: Contractors Option 4: Marketing Agencies Each come with their own advantages and disadvantages, they key criteria to make the best decision for your organisation is: skill, cost, commitment and willingness.

The Plan Step 1: Complete a Marketing Audit Take a snapshot in time of all customers, activities, initiatives, channels, projects, systems, metrics and successes.

Step 2: Develop a Marketing Strategy Research and document your target audience, your priorities, a SWOT Analysis, business case, and prepare a SMART Marketing plan Step 3: Analytics Implement analytics and tracking across all your marketing and communications. If you don’t have analytics, this is your first point of call. The best place to start on your new journey is with a benchmark of where you are at today.

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Step 4: Website Your website is your key digital asset where customers will look to find you. Invest in a great Content Management Platform (CMS), get a good designer, and make your website sing.

Step 5: Systems There are some tools that are just critical to the success of your digital marketing efforts: Customer Relationship Management Tool (CRM), Email Broadcasting tool, and a good analytics package.

Step 6: Search Marketing Optimising all your online activities for Search Engines is critical, your website, content, social posts, links, make sure you’re being found for the main keywords you want to be found for. If you have an advertising budget available, the first place to spend is in Google Adwords.

Step 7: Content Marketing If you want to be seen as an expert in a specific product or service, it is really important that you release content on your area. Place them on your website, or on a blog, and make sure the content will target the right influencers.

Step 8: Social Media Start with one channel, for B2B the order of importance is LinkedIn, Twitter and then Facebook.

YouTube and Google+ are next up, make sure you have a presence on each.

Step 9: Build a Culture of Targets, Talking Straight and Fail Fast A culture of numbers accountability in marketing is critical. The best way to learn is just try things, no amount of research will ever be as good as real activity that customers can respond to. Be honest with yourself, with your marketing resources and encourage the same in return. It is very easy to progress a long way in the wrong direction, so make sure you fail fast.

Step 10: Optimisation and Lead Generation Always make sure you are feeding the analytics back into your marketing planning process to make sure you continuously improving, and focus on generating leads and sales for your business.

What are you waiting for? Time to get your digital marketing on track, have a look at the training courses on www.canberrabusiness.com to learn more

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G2B

MINISTER’S MESSAGE

January Welcome ANDREW BARR

CHIEF MINISTER TREASURER MINISTER FOR URBAN RENEWAL MINISTER FOR TOURISM AND EVENTS

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elcome to the first of edition of B2B for 2015. I hope you all had a safe, happy and relaxed festive season.

There has been a lot of change in the ACT Government of late and we used our time over the break to prepare for the year ahead. In my new role as Chief Minister, I will be out from behind the Treasurer’s desk, in our suburbs, listening to and learning from the people of Canberra.

On Tuesday 20 January I announced a redistribution of Ministerial portfolios within the ACT Government with a primary focus on supporting jobs, transport reform and urban renewal. Ultimately, I want to see us take a smarter approach to government, creating a fairer city where it is easier to do business.

One of the major changes was the creation of the Urban Renewal portfolio for which I, as Chief Minister, will take responsibility. This portfolio will bring together a number of the government’s economic and social agendas, hoping to build on the enhanced social capital that came out of Canberra’s centenary year.

We are very focused on not only attracting new investment into our city but also ensuring the social and cultural life of the city continues to grow. We want to take that to a suburban level throughout Canberra, using the government’s infrastructure investment and working closely with the private sector and community organisations to breathe new life into Canberra’s garden suburbs and urban villages.

Another key priority of this government is transport reform and Minister Rattenbury will be assisting me in this portfolio area. Together we will be working very closely on regulatory reform to attract new players into our city’s transport operations. By this I mean embracing new technologies and building a strong regulatory framework to support new entrants.

It also means looking at an enhanced integration of transport delivery within this city. Our light rail project Capital Metro will be a major part of this and so will enhancements to our bus system and our demand responsive transport system. There will also be a greater focus on walking, cycling and a desire to see transport in this city improve.

Ultimately, we want an innovative transport system

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that takes a coordinated approach to buses, light rail, taxis, bicycles and cars. If our city is easier to get around, it is easier to do business.

In recent times, the Abbott Liberal Government’s job cuts have made unemployment a challenge for this city. The new distribution of portfolios is all about attracting new investment, focussing on urban renewal and ultimately creating new jobs throughout Canberra.

The old certainty for our economy was its underpinning in a strong national economy or a friendly Federal Government. Throughout the ACT’s history of self-government, we have had at least one of those things. We have neither of those things today. My job is to take on this challenge very directly. We can’t pretend things haven’t changed and we can’t solve every problem the outside world throws at us. But what we can do, we will.

The ACT Government will take every necessary decision to maintain economic activity, to encourage investment and, above all, to grow jobs. This is the key to all our work: from education and health, to transport planning and suburban renewal, and providing services to the community.

Canberra has brilliant possibilities. This city is smart. It is strong. It is united. I look forward to working with you in the year ahead.

For information phone: (02) 6205 0011 fax: (02) 6205 0157 email: barr@act.gov.au post: GPO Box 1020 CANBERRA ACT 2601 www.parliament.act.gov.au

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