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Speaker 1: Hello.

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Speaker 2: My name's Santasha Nabananga Bamblet. I'm a proud yor the

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Speaker 2: Order KERNI Whoalbury and a waddery woman. And before we

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Speaker 2: get started on She's on the Money podcast, I would

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Speaker 2: like to acknowledge the traditional custodians of the land of

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Speaker 2: which this podcast is recorded on a wondery country, acknowledging

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Speaker 2: the elders, the ancestors and the next generation coming through.

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Speaker 2: As this podcast is about connecting, empowering, knowledge sharing and

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Speaker 2: the storytelling of you to make a difference for today

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Speaker 2: and lasting impact for tomorrow.

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Speaker 3: Let's get into it.

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Speaker 4: She's on the Money, She's on the Money.

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Speaker 1: Hello, and welcome back, my friends.

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Speaker 5: I'm Victoria de Bayn, the owner of several successful businesses,

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Speaker 5: and I am joined as always by one of the

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Speaker 5: hardest working side hustlers.

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Speaker 3: I know, miss jesse Garci.

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Speaker 5: Hello.

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Speaker 3: I'm so excited.

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Speaker 5: I'm really excited for today because, Jess, what are we

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Speaker 5: talking about.

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Speaker 3: It's our first end of financial year themed episode and

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Speaker 3: we're talking about your favorite time of year.

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Speaker 5: I get really excited about end of financial year because

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Speaker 5: I feel like it's such a good time to reset, refresh,

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Speaker 5: get stuff going and what a better time to release

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Speaker 5: this than with enough time for you guys to get prepared.

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Speaker 3: Like, it's not going to be dropped on.

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Speaker 5: June thirty, because that's way too late. We're giving you

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Speaker 5: enough lead up so that you can get stuff organized.

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Speaker 5: But also this isn't the only end of financial year

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Speaker 5: episode we'll be dropping.

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Speaker 3: Because in a couple of weeks.

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Speaker 1: Yes, we have a.

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Speaker 5: Very exciting accountant joining us so that we can get

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Speaker 5: all of his tips and tricks as well, So we're

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Speaker 5: not just preparing you with one app but multiple, So

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Speaker 5: you're welcome in advance, absolutely.

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Speaker 3: But today we're talking all about specifically small business stuff,

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Speaker 3: so some changes that are coming to SUPER this year,

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Speaker 3: which might be handy for employers to know whether or

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Speaker 3: not you need to get an accountant. Which look at

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Speaker 3: us doing that right before the accountant episode, it's almost

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Speaker 3: like we did that on purpose.

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Speaker 5: Oh my gosh, she need an accountant? I mean at

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Speaker 5: the end of the day sometimes no. So we'll go

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Speaker 5: through that, yeah.

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Speaker 3: And then after the break, we've got a list that

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Speaker 3: VD is put together with five things that you should

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Speaker 3: be reassessing at this time of year before we get

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Speaker 3: into the brand new financial year. But before we get

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Speaker 3: to that VD, what is the ATO flagged that they're

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Speaker 3: going to be focusing.

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Speaker 5: More on this year generally, So if you've listened to us,

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Speaker 5: she's on the money episodes around tax before, you've probably

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Speaker 5: heard that. Every single year, the ATO outlines and makes

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Speaker 5: a list of things that they're going to be paying

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Speaker 5: closer attention to this year for the next round of

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Speaker 5: tax reporting. And we're going to touch more deeply on

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Speaker 5: this in our upcoming community Q and A with our

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Speaker 5: tax accountant. So don't worry, we won't be giving specific

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Speaker 5: tax advice today, but generally this year, what they're focusing

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Speaker 5: on is record keeping, which I'm not surprised. I feel

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Speaker 5: like some of us are getting a little bit slack

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Speaker 5: when it comes to keeping records. And as I always say,

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Speaker 5: keep your receipts, whether that is the physical copy of

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Speaker 5: the receipt or you snap a photo, save it in

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Speaker 5: your phone, like just make sure you've got record of it,

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Speaker 5: because I feel like this is where money just like

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Speaker 5: seeps out of your business, Like if you're not keeping

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Speaker 5: track of the little things they actually add up, like

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Speaker 5: you might go, oh, Jess, just keep that. That was

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Speaker 5: a laptop I bought a new laptop. It was two grand,

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Speaker 5: but like you're spending a couple of hundred bucks maybe

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Speaker 5: every single month that office works, and on printing and

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Speaker 5: on things that you can claim, so like, don't let

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Speaker 5: them slip away, because they're as big as the laptop

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Speaker 5: at the end of the day.

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Speaker 3: Absolutely.

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Speaker 5: The next is they're really focusing on rental property income

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Speaker 5: and deductions because a few people have been taking the

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Speaker 5: mickey when it comes to deducting things that maybe shouldn't

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Speaker 5: be included in their rental properties, so being super aware there.

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Speaker 5: And then number three is they're keeping an eye on

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Speaker 5: capital gains from crypto assets, property and shares. So obviously

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Speaker 5: they are always going to be looking at capital gains

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Speaker 5: in general, but I think that they're peeling their eyes

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Speaker 5: a little bit closer when it comes to crypto nowadays

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Speaker 5: because it isn't as trackable and now it's actually easier

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Speaker 5: for them to do a little bit of a deep

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Speaker 5: dive into your digital history. So I would be keeping

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Speaker 5: your finger on the pulse when it comes to making

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Speaker 5: sure that you are even keeping track of your crypto

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Speaker 5: because just how many times have we heard from people

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Speaker 5: in the She's on the Money community that are like,

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Speaker 5: I bought crypto, but I don't know where it is.

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Speaker 3: Yeah, you got to keep an eye on it.

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Speaker 5: They're like, oh, I bought a wallet, or I downloaded

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Speaker 5: a wallet and I bought some crypto.

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Speaker 1: I don't know where it is, or I can't remember

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Speaker 1: my password.

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Speaker 5: Like be on top of it because if it's making money,

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Speaker 5: you might owe some tax.

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Speaker 3: Oh, owing tax is good because it means you're making money,

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Speaker 3: and that's what we all.

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Speaker 5: If you can't find your password, like, that's not going

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Speaker 5: to feel good paying tax for money you can't access.

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Speaker 1: What about that.

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Speaker 3: Guy, Sorry, I'm going on a full segway, the guy

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Speaker 3: who the like one chance at the password? I think

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Speaker 3: so he bought like a bunch of bitcoin when it

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Speaker 3: first dropped for like real cheap, don't know how much was,

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Speaker 3: but insanely cheap, and then it ended up being worth

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Speaker 3: like twenty million dollars or something. It must be nice.

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Speaker 3: But the whole problem was I think you're right, he

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Speaker 3: couldn't remember his password and he had it like stored

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Speaker 3: on a hard drive that he got rid of and

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Speaker 3: sent to like the tip or something, and so he

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Speaker 3: must have tried to get in his account, couldn't for

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Speaker 3: some reason, and then his one chance at finding it

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Speaker 3: was gone. And apparently he was like going to the tip,

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Speaker 3: like searching, trying to fold at the tip every day.

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Speaker 3: I did there, I don't remember.

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Speaker 5: I don't know if through brubbishuldn't be like, yeah, want

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Speaker 5: to join me worth twenty meal, I'll pay you one off.

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Speaker 3: I'll pay you a meal, like straight off the top.

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Speaker 3: I'm not missing out so funny, but yeah, check in

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Speaker 3: on your stuff is the moral of the story. Save

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Speaker 3: you passwords and.

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Speaker 1: My safe Oh my gosh.

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Speaker 5: All right, so back into the episode, because I feel

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Speaker 5: like too many of us would actually go on a

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Speaker 5: complete tangent talking about crypto. Absolutely, there are two topics

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Speaker 5: this week that I want to take a little bit

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Speaker 5: longer on. I've obviously mentioned the three above. Actually, Jess,

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Speaker 5: can you hear that?

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Speaker 3: I can hear a little something something in the background.

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Speaker 1: What is it?

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Speaker 3: It's a little sweet baby. Yeah.

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Speaker 5: Harvey has joined us for a recording. He is in

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Speaker 5: his carrier on my chest asleep right now, and we thought, great,

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Speaker 5: what a time to record a podcast of his asleep.

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Speaker 5: He's decided to be a very noisy sleeper. But we

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Speaker 5: will continue on and do the episode. So if you

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Speaker 5: hear a little squeak here and there, I promise it's

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Speaker 5: not Jess.

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Speaker 3: He's just very passionate about tax. Yeah, he hears.

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Speaker 1: Tax and he's like, Oh, it's me.

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Speaker 3: I'm dreaming of tax.

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Speaker 5: Anyway, back to this the sharing economy income issue. So

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Speaker 5: at the moment, the sharing economy, I feel like it's

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Speaker 5: really up and coming. We've still been talking about it

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Speaker 5: for a long time, but the ATO is convinced that

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Speaker 5: many people in their sharing economy are not properly declaring

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Speaker 5: their profits and their gains.

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Speaker 1: So if you work through Uber or air tasker.

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Speaker 5: Or any of the many sharing economy platforms that exist

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Speaker 5: now which allow you to rent out your personal assets

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Speaker 5: or like your personal services, you've got to keep an

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Speaker 5: eye out. Especially this year, the ATO is now receiving

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Speaker 5: reports directly from companies like Uber and like air Tasker,

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Speaker 5: which they're then going to use to highlight datam matches.

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Speaker 3: Yeah, and remember, if you're using one of those platforms,

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Speaker 3: it's your responsibility to set aside the tax. Because I know,

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Speaker 3: if you're a small business owner and maybe it's your

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Speaker 3: first year selling stuff, or if you are someone who's

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Speaker 3: ubering or door dashing or whatever. You don't have someone

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Speaker 3: taking out your tax the way you do when you're

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Speaker 3: an employee. So if you haven't been thinking about that,

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Speaker 3: it might be a bit of a nasty shock at

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Speaker 3: tax time when you have quite a substantial tax bill,

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Speaker 3: because you need to be setting aside, you know, thirty

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Speaker 3: thirty five, forty five, whatever your tax bracket is percent

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Speaker 3: because at tax time it's your responsibility to payment.

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Speaker 1: Yeah. Absolutely.

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Speaker 5: Similarly, if you rent out a property or like part

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Speaker 5: of a property on Airbnb or stays, you're going to

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Speaker 5: be under the spotlight this year. The ATO has numerous

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Speaker 5: third party sources of data which it can use to

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Speaker 5: identify if you're actually receiving rent and they're on the

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Speaker 5: lookout at the moment for mismatches with tax return data

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Speaker 5: that you're reporting. So they now have complete access to

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Speaker 5: being able to review your banking transactions and they might go, oh,

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Speaker 5: my friend that's coming from Airbnb, can we have a chat?

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Speaker 1: So I think it's really important to just be on

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Speaker 1: top of it.

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Speaker 5: And then the big one JESS is work related expenses.

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Speaker 5: So the ATO recently claimed that there was an eight

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Speaker 5: point seven billion dollars shortfall between the tax individuals are

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Speaker 5: expected to pay and the tax that they are actually paying.

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Speaker 3: That's crazy, that's so much money.

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Speaker 5: Of money, And the ATO believes that work related expenses

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Speaker 5: claims are the biggest element in that quote tax gap

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Speaker 5: and have signaled that they're going to be looking really

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Speaker 5: closely at the deduction this year, so I would expect

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Speaker 5: them to focus in particular on a couple of things.

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Speaker 5: So first is deductions from work from home expenses. I

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Speaker 5: feel like after COVID, a lot of us just kept

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Speaker 5: claiming a few things that maybe we shouldn't have been

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Speaker 5: and the ways that they can be claimed changed last

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Speaker 5: year with the introduction of that new sixty seven cents

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Speaker 5: per hour fixed rate, and then they've enhanced substantiation requirements,

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Speaker 5: so you've got to prove it, my friends.

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Speaker 1: And we expect the ATO to check claims.

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Speaker 5: Pretty thoroughly, because don't forget, they've got AI working for

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Speaker 5: them now, so it's not all just manual. They just

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Speaker 5: chuck it in and I'm pretty sure AI could whip

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Speaker 5: through everybody in Australia is really quickly. But they're going

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Speaker 5: to be particularly looking at verifying whether taxpayers have a

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Speaker 5: record of all they're working from home hours over the

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Speaker 5: entire year in the form of time sheets or diary

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Speaker 5: or like copy of their work rosters and such. So

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Speaker 5: they're going to go, oh, Jess, you said you worked

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Speaker 5: from home. Yeah, how have you been working from home?

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Speaker 4: Yeah?

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Speaker 5: And I mean it's easy for you because you've got

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Speaker 5: an employer who will write a letter that just says,

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Speaker 5: just works from home, full stop, end of story.

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Speaker 1: But if you've got one of those.

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Speaker 5: Flexible, you know jobs where you're like, oh, I work

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Speaker 5: from home a day a week, and then you're telling

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Speaker 5: the atos three like, you might end up in a

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Speaker 5: little bit of a pickle because you almost guarantee your

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Speaker 5: employer is not going to be very happy to back

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Speaker 5: you up on something that's not entirely true. Well, I

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Speaker 5: don't want to get into water because they're claiming that

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Speaker 5: you're in the office on their tax returns. True, one

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Speaker 5: of us is not making sense here, so let's just

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Speaker 5: make sure that we're on the same page. They're also

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Speaker 5: going to be looking at deductions for occupations, so costs

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Speaker 5: like rent and rates and mortgage interests are all going

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Speaker 5: to be under the spotlight as they're actually not allowable

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Speaker 5: unless you are running a business from home. So I

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Speaker 5: know historically a few cheeky business owners have been claiming

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Speaker 5: mortgage or payments because they're quote working from home, but

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Speaker 5: they have a warehouse down the road. So we need

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Speaker 5: to be really careful because that's not how you do

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Speaker 5: it right. That's just not on my friends. And then

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Speaker 5: as always, just things like mobile phone and internet costs

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Speaker 5: are going to be looked at. Claims for work related

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Speaker 5: clothing and I know dry cleaning and laundry always comes

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Speaker 5: up every year, people.

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Speaker 1: Like, did you know you can claim it?

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Speaker 5: Yeah, if it's got a logo on it and was

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Speaker 5: provided by work, and even then you've got to substantiate it,

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Speaker 5: so be careful. Things like overtime meal claims and union

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Speaker 5: fees and subscriptions, and then you know motor vehicles are

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Speaker 5: going to be looked at again. So I think it's

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Speaker 5: really important to just make sure that you're doing it

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Speaker 5: right because incorrectly claiming deductions under the rule that allows

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Speaker 5: US taxpayers who have incurred work related expenses of three

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Speaker 5: hundred dollars or less in total to make a claim

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Speaker 5: without receipts means that you need to be extra careful

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Speaker 5: because if you get audited, they're going to go, Jess,

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Speaker 5: We'll wear are your receipts. You didn't have to submit

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Speaker 5: that when you submitted your tax return, but we are

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Speaker 5: well within our rights to audit you and ask you

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Speaker 5: to prove those costs.

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Speaker 3: Yeah, and at the end of the day.

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Speaker 5: Just don't claim things you're not paying for, like tax system.

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Speaker 5: I don't know about you, Jess, but I'm very grateful

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Speaker 5: to have in place. I feel like we are very,

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Speaker 5: very lucky. Let's not take advantage of it because the

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Speaker 5: ATO actually believes that lots of taxpayers are claiming they're

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Speaker 5: three hundred dollars when they didn't incur any expenses at all.

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Speaker 2: Yeah.

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Speaker 3: The rule isn't that you can just claim up three

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Speaker 3: hundred hundred bucks, like because you want to, like, you

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Speaker 3: still have to have spent the money.

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Speaker 5: You can claim up to three hundred dollars without having

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Speaker 5: to go through the rigmarole of like getting receipts and

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Speaker 5: submitting them. Yeah, but after that you do that doesn't

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Speaker 5: just mean us a free three hundred bucks to claim.

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Speaker 2: No.

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Speaker 3: And as someone who has been audited and everything was

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Speaker 3: all fine, it was just because I worked multiple jobs

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Speaker 3: and claimed lots of things. But at the time it

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Speaker 3: was like, Oh, that's a flag. I feel like a

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Speaker 3: lot of people just assume that, Oh I'm a small

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Speaker 3: business or I'm just a small little fish in a

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Speaker 3: big pond. They're not going to come after me. They will.

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Speaker 1: No, I'm miss jessic Riccie got got.

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Speaker 3: Well they can get me good because I haven't.

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Speaker 5: But they got you. They made your anxious, they did.

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Speaker 5: They may be very stressed even though you had receipts.

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Speaker 5: It's like when you drive past the cops. I don't

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Speaker 5: know about you, but like I'll be driving completely like normally,

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Speaker 5: completely legally, yeah, and I would just like have a

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Speaker 5: little bit.

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Speaker 1: Of a the cops are there.

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Speaker 3: They're going to get me, you know. I'm like, did

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Speaker 3: I murder somebody?

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Speaker 2: Know?

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Speaker 5: Are they going to pull me over? Why would they

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Speaker 5: pull you over? Victoria? Like, because you're looking real sas now?

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Speaker 5: Driving fast? Should I turn off my radio?

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Speaker 3: Literally?

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Speaker 2: Now?

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Speaker 3: I know that all of those things can sound very

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Speaker 3: overwhelming and very complicated. So there's probably a lot of

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Speaker 3: people listening right now, VD going should I just get

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Speaker 3: an accountant?

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Speaker 1: I mean you could. They are tax deductible.

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Speaker 5: We love that, and you've got the receipt because if

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Speaker 5: you pay an accountant. You can claim it the next

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Speaker 5: year in your tax return, which is kind of attractive.

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Speaker 5: But yes, there is a reason the ball is seventy

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Speaker 5: five percent of Australians actually use a tax agent, and

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Speaker 5: that's because tax is not that simple. So we're gonna

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Speaker 5: like do a community Q and a session with our

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Speaker 5: accountant very soon. But I think it's really important to

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Speaker 5: remember that the tax system isn't there to confuse you. Yeah,

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Speaker 5: Like doing it online yourself is completely possible and it'll

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Speaker 5: just take a couple of hours for you to go

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Speaker 5: through in DIY. At the end of the day, they

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Speaker 5: want to make it as simple as possible. We just

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Speaker 5: need to make sure we're doing the right thing. We're

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Speaker 5: not claiming things that we didn't incur and we're not

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Speaker 5: taking the absolute mickey. I think it's just really important

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Speaker 5: that we're doing the right thing. And if you feel

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Speaker 5: like you need help, a tax agent is and can

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Speaker 5: be a really good idea.

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Speaker 3: Yeah, and the ATO website has some awesome resources for

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Speaker 3: anyone who is doing their own tax return, like they

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Speaker 3: release every year. There's a comprehensive list of what you

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Speaker 3: can and cannot claim based on your industry. List all

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Speaker 3: the limitations. So if you're wondering, can I claim my laundry?

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Speaker 3: Can I claim this? Can I claim that? Like they

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Speaker 3: outline it, They're not expect you to just take a

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Speaker 3: punt in the dark. So use that website, use Google

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Speaker 3: like you'd be amazed at what you can do by

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Speaker 3: yourself without one hundred percent, And like, why not have

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Speaker 3: a crack.

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Speaker 5: You don't have to press submit. If it all becomes

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Speaker 5: really overwhelming and you're like, oh, I cannot do this,

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Speaker 5: then maybe go see a tax stage yet, But like,

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Speaker 5: why not go and give it a crack instead of

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Speaker 5: just assuming that you can't do it. I also love

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Speaker 5: those websites, yes, because they sometimes trigger your memory into

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Speaker 5: being like, ah, I did actually incur that. Let me

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Speaker 5: sort through my things and find that receipt. So definitely

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Speaker 5: refresh yourself if you haven't.

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Speaker 3: One hundred percent now VD Something that I know I,

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Speaker 3: as an employee, have been looking for to this new

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Speaker 3: financial art is the increase in maybe one of your

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Speaker 3: favorite investments, which is super.

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Speaker 5: You're getting more super Jess, I'm paying you more super

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Speaker 5: Slay for me you win superanuations going up zero point

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Speaker 5: five percent, which doesn't sound like a lot but superanuation

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Speaker 5: used to be nine and a half percent, which at

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Speaker 5: the time I was like, yes, slay, this is great.

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Speaker 5: It's now eleven and half percent from the first of

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Speaker 5: July this year, which is very, very exciting. So employees,

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Speaker 5: I would be checking your super and making sure I

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Speaker 5: don't know if employers are going to be very happy

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Speaker 5: with me saying this, but like making sure that you're

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Speaker 5: negotiating and that it doesn't come out of your take

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Speaker 5: home salary. Yeah, because some employers are going to be

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Speaker 5: switching that point five from your take home salary and going, well, Jess,

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Speaker 5: actually you signed an agreement with me that says that

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Speaker 5: you get paid a seventy thousand dollars package. So the

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Speaker 5: percentages have changed and I'm now allocating more of that

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Speaker 5: package to your superannuation and you'll have lace take home pay.

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Speaker 1: Yeah, and that I don't think is fair.

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Speaker 5: In this economy, we are trying to increase our super

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Speaker 5: because it's not enough, and you know what else is

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Speaker 5: not enough Usually our pay is at the moment like

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Speaker 5: we are in a cost of living crisis. Stand up

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Speaker 5: for yourself and have that conversation. So if you have

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Speaker 5: a package system at work, I would be making sure

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Speaker 5: that maybe you renegotiate.

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Speaker 3: If you or not packaged.

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Speaker 5: Make sure that your employer isn't taking it from your

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Speaker 5: salary just because they think that maybe you won't check.

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Speaker 5: And that's how it happens, Jessica. No, it's going up

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Speaker 5: point five percent. Of course it gets taken out of

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Speaker 5: your salary, doesn't though.

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Speaker 3: No.

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Speaker 5: And then for employers, make sure that you are paying

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Speaker 5: your employees the correct amount and know when that changes

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Speaker 5: and when you need to start implementing that.

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Speaker 1: Also, if you're an employer, are you paying yourself super?

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Speaker 5: How many times do small business owners lax on the

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Speaker 5: super thing and then get all the way down the

385
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Speaker 5: road and find that they don't have a nice little

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Speaker 5: super balance to see them through retirement. You work so

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Speaker 5: hard as an employer and as a business owner that

388
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Speaker 5: you're not setting yourself up for the future. Like if

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Speaker 5: you sit business owners down, and I could just sit

390
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Speaker 5: you down, jess be like, why do you do what

391
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Speaker 5: you do? Come up with a million things like you're

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Speaker 5: passionate about it, you enjoy it, but at the end

393
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Speaker 5: of the day, you're doing it to increase your income,

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Speaker 5: to put yourself in a better position, not paying yourself,

395
00:17:01,200 --> 00:17:04,439
Speaker 5: super you'r doing the opposite. Yeah, and you're wasting heaps

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Speaker 5: of time to ultimately end up in a worse off position.

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Speaker 3: Yeah.

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Speaker 5: Absolutely not one out of ten cannot recommend no hate

399
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Speaker 5: hate hate.

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Speaker 3: But let's go to a really quick break because on

401
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Speaker 3: the flip side, V, we're going to get your hot

402
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Speaker 3: take on the five things that all us small business

403
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Speaker 3: owners should be reassessing at this time of year before

404
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Speaker 3: we start the new financial year. So don't go anywhere, coffee, tim,

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Speaker 3: Welcome back everybody. Okay, what are the five things that

406
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Speaker 3: you think end of financial year is the perfect time

407
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Speaker 3: for small business owners to be reassessing.

408
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Speaker 5: Your coffee consumption. That's not your coffee consumption. Never questioned

409
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Speaker 5: how much coffee you have.

410
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Speaker 3: Pump it straight in, straight into my games.

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Speaker 5: Now I'm a mum ten million coffees, thank you. Otherwise

412
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Speaker 5: we are not showing up to work. But the end

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Speaker 5: of financial year, I feel like is a really good time.

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Speaker 5: It's kind of like year New me, but like you

415
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Speaker 5: get to do it every six months. Yeah, so we

416
00:17:58,480 --> 00:18:00,840
Speaker 5: can have the real end of year and then we

417
00:18:00,880 --> 00:18:03,200
Speaker 5: can have the financial end of year, and we can

418
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Speaker 5: use this as a time to either pivot our businesses,

419
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Speaker 5: or we can pivot ourselves.

420
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Speaker 1: Like there's no such thing as too late to implement something.

421
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Speaker 5: But the end of financial year is honestly the perfect

422
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Speaker 5: time to reset, review and recalibrate. So I've written down

423
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Speaker 5: five things because like that's what I got to in

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Speaker 5: my list, and I was like, yeah, five will do.

425
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Speaker 5: Five is also not overwhelming, so we can look at

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Speaker 5: all of them. So we are going to review our objectives.

427
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Speaker 5: We're going to look at business growth. How fast are

428
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Speaker 5: you growing now? Like what does growth actually mean in

429
00:18:32,160 --> 00:18:34,280
Speaker 5: your business? You might not think it makes a lot

430
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Speaker 5: of sense because you're, you know, eighteen months in and

431
00:18:36,520 --> 00:18:38,879
Speaker 5: you go, oh, should I be reviewing this be And

432
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Speaker 5: you might say, but being I.

433
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Speaker 3: Am assult trader, Like what's the point?

434
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Speaker 5: Absolutely, because it can motivate you. It can show you

435
00:18:44,400 --> 00:18:46,159
Speaker 5: where you've come from and where you're going and what

436
00:18:46,320 --> 00:18:48,680
Speaker 5: that looks like, how much are you going to grow

437
00:18:48,720 --> 00:18:49,840
Speaker 5: your business in the next year?

438
00:18:49,920 --> 00:18:50,560
Speaker 1: What's the plan?

439
00:18:50,800 --> 00:18:53,560
Speaker 5: Are you actually going to be growing it by staff

440
00:18:53,600 --> 00:18:56,320
Speaker 5: members or are you just growing it by the amount

441
00:18:56,400 --> 00:18:58,840
Speaker 5: that you charge? Because now your quality is better and

442
00:18:58,880 --> 00:19:01,840
Speaker 5: you have a better reputation, and you should be increasing

443
00:19:01,880 --> 00:19:05,959
Speaker 5: your fees consistently. Jessica, We've spoken about this before because

444
00:19:06,280 --> 00:19:09,800
Speaker 5: for me, increasing fees should happen regularly. It shouldn't just

445
00:19:09,840 --> 00:19:12,200
Speaker 5: be like one day you wake up five years into

446
00:19:12,200 --> 00:19:15,160
Speaker 5: business and go been charging the same thing for five years.

447
00:19:15,200 --> 00:19:18,439
Speaker 5: I need to shock my clients and increase it. Now,

448
00:19:18,720 --> 00:19:20,800
Speaker 5: that's just going to cause you a whole heap of issues.

449
00:19:21,119 --> 00:19:23,560
Speaker 5: What number you choose is entirely up to you. We're

450
00:19:23,560 --> 00:19:25,840
Speaker 5: going to have a look at your financial targets. What's

451
00:19:25,880 --> 00:19:28,119
Speaker 5: the magic number that you're aiming for? Is there a

452
00:19:28,160 --> 00:19:30,480
Speaker 5: magic number? Or are you so shocked at what you've

453
00:19:30,520 --> 00:19:33,320
Speaker 5: already achieved this year that now it's time to set

454
00:19:33,359 --> 00:19:36,320
Speaker 5: some bigger and better challenges. Set it and then work

455
00:19:36,400 --> 00:19:38,560
Speaker 5: backwards to determine what you're able to achieve.

456
00:19:38,880 --> 00:19:41,520
Speaker 3: Also a little tip for anyone who's got a side

457
00:19:41,560 --> 00:19:43,920
Speaker 3: hustle or their sole trading in addition to their full

458
00:19:43,960 --> 00:19:46,320
Speaker 3: time job. Now is a good time to assess how

459
00:19:46,400 --> 00:19:49,080
Speaker 3: much you have made in your side hustle or small business,

460
00:19:49,400 --> 00:19:51,520
Speaker 3: add that onto your salary and check whether that's going

461
00:19:51,600 --> 00:19:52,960
Speaker 3: to bump you up a tax bracket.

462
00:19:53,080 --> 00:19:54,960
Speaker 1: Oh yeah, you could be boogier than you.

463
00:19:54,920 --> 00:19:57,520
Speaker 3: Thought you were, because if that's the case. We're putting

464
00:19:57,520 --> 00:19:59,520
Speaker 3: this episode out now so you have time to maybe

465
00:19:59,600 --> 00:20:02,159
Speaker 3: make some deductible purchases that you need to make for

466
00:20:02,320 --> 00:20:04,520
Speaker 3: things like that to drop you back down attacks brush.

467
00:20:04,560 --> 00:20:07,439
Speaker 5: She's a genius, but that's really important as well. Not

468
00:20:07,520 --> 00:20:10,600
Speaker 5: only do you make deductible purchases, just you could put

469
00:20:10,640 --> 00:20:12,920
Speaker 5: some money in your super and that would bring down

470
00:20:12,920 --> 00:20:14,439
Speaker 5: your taxable income, wouldn't it.

471
00:20:14,520 --> 00:20:15,320
Speaker 3: We love to see it.

472
00:20:15,440 --> 00:20:18,720
Speaker 5: Oh, we love super so sexy does so much for us.

473
00:20:19,040 --> 00:20:21,520
Speaker 5: The next thing we're going to review jess personal aims.

474
00:20:21,600 --> 00:20:24,000
Speaker 5: Why are you doing it? Because I feel like so

475
00:20:24,080 --> 00:20:27,280
Speaker 5: many times we lock ourselves into these businesses and we

476
00:20:27,359 --> 00:20:29,199
Speaker 5: lock ourselves into these ideas.

477
00:20:29,760 --> 00:20:31,200
Speaker 1: What do you want to get out of this? Are

478
00:20:31,240 --> 00:20:33,640
Speaker 1: you still getting out of this business? What you want?

479
00:20:33,760 --> 00:20:37,199
Speaker 5: Is it sparking joy? Are you happy? If you are not,

480
00:20:37,400 --> 00:20:40,760
Speaker 5: what are we changing? Maybe business isn't for you. And

481
00:20:40,800 --> 00:20:42,680
Speaker 5: I'm not saying that because you know when it.

482
00:20:42,600 --> 00:20:44,640
Speaker 1: Gets hard throwing the towel. That's not what I mean

483
00:20:44,680 --> 00:20:45,000
Speaker 1: at all.

484
00:20:45,280 --> 00:20:48,520
Speaker 5: I've just spoken so many times recently to small business

485
00:20:48,600 --> 00:20:51,640
Speaker 5: owners who go, I wish I hadn't started, like it's

486
00:20:51,680 --> 00:20:52,159
Speaker 5: not for me.

487
00:20:52,400 --> 00:20:54,439
Speaker 3: I didn't realize how much work. It was.

488
00:20:54,480 --> 00:20:58,320
Speaker 5: I just wish i'd stayed in my salary in payg job. Yeah,

489
00:20:58,400 --> 00:21:00,239
Speaker 5: well you can go back to that.

490
00:21:00,359 --> 00:21:01,680
Speaker 3: Yeah, and there's nothing wrong with that.

491
00:21:01,840 --> 00:21:04,959
Speaker 5: No, absolutely not. And maybe you go, oh, I've actually

492
00:21:05,000 --> 00:21:07,840
Speaker 5: realized that this side hustle thing v it is for me.

493
00:21:08,040 --> 00:21:10,240
Speaker 5: I do not want to work for somebody else. I

494
00:21:10,240 --> 00:21:12,760
Speaker 5: actually need to take charge and really turbo charge this

495
00:21:12,800 --> 00:21:14,800
Speaker 5: because I'm over it. I give it six months before

496
00:21:14,800 --> 00:21:16,680
Speaker 5: I have to quit my job because I'm so passionate.

497
00:21:16,760 --> 00:21:19,080
Speaker 1: Yeah, so what are we going to do the next thing?

498
00:21:19,560 --> 00:21:20,879
Speaker 1: Sexiest thing, Jessica.

499
00:21:21,400 --> 00:21:24,520
Speaker 5: We want to review your actual versus your budget. So

500
00:21:24,560 --> 00:21:26,920
Speaker 5: what did you actually spend and what did you budget?

501
00:21:26,960 --> 00:21:29,439
Speaker 5: If you didn't budget, what are we budgeting for next

502
00:21:29,480 --> 00:21:32,479
Speaker 5: financial here, jess because that's super important. How are you

503
00:21:32,520 --> 00:21:35,520
Speaker 5: tracking against your revenue and your profit targets every month?

504
00:21:35,760 --> 00:21:38,639
Speaker 5: Do you have revenue and profit targets every month? If not,

505
00:21:38,800 --> 00:21:40,720
Speaker 5: now might be the time to go, all right, well,

506
00:21:41,000 --> 00:21:43,639
Speaker 5: I have this side hustle and ultimately I'd like to

507
00:21:43,640 --> 00:21:45,359
Speaker 5: make one thousand dollars per month. How am I going

508
00:21:45,440 --> 00:21:48,119
Speaker 5: to work backwards and make that happen? And vice versa?

509
00:21:48,320 --> 00:21:50,159
Speaker 5: Like if you're making one thousand dollars a month and

510
00:21:50,200 --> 00:21:52,000
Speaker 5: you're like, wow, I didn't see this coming. How do

511
00:21:52,080 --> 00:21:54,000
Speaker 5: you do it? How can we scale that? What does

512
00:21:54,040 --> 00:21:56,760
Speaker 5: that look like? Are you ahead? Are you behind? Are

513
00:21:56,800 --> 00:21:59,800
Speaker 5: you right on track? So, depending on where you are

514
00:22:00,000 --> 00:22:02,040
Speaker 5: in relation to your budget, this is actually going to

515
00:22:02,080 --> 00:22:04,679
Speaker 5: determine where your decision making needs to change in the

516
00:22:04,720 --> 00:22:07,119
Speaker 5: new year, which is kind of helpful. You're like becoming

517
00:22:07,160 --> 00:22:10,040
Speaker 5: your own business mentor, and that's genius. Yeah, we're going

518
00:22:10,119 --> 00:22:12,240
Speaker 5: to look at our cash flow. So cash flow is

519
00:22:12,320 --> 00:22:15,480
Speaker 5: different to your budget, and you need to always remember

520
00:22:15,520 --> 00:22:18,679
Speaker 5: that reviewing inventory levels like how much stuff have you

521
00:22:18,720 --> 00:22:21,399
Speaker 5: got or work underway is important at this time of

522
00:22:21,480 --> 00:22:23,480
Speaker 5: year because you might be able to move some of

523
00:22:23,480 --> 00:22:25,560
Speaker 5: it before the end of year and put some extra

524
00:22:25,640 --> 00:22:28,360
Speaker 5: dollars into your bank account or make some extra plans.

525
00:22:28,440 --> 00:22:30,840
Speaker 5: Like maybe you're running out of stock. You know, you've

526
00:22:30,840 --> 00:22:32,800
Speaker 5: been so busy that you haven't had time to stop

527
00:22:32,840 --> 00:22:33,480
Speaker 5: and reassess.

528
00:22:33,720 --> 00:22:34,560
Speaker 1: You go far out.

529
00:22:34,640 --> 00:22:37,119
Speaker 5: Actually, by the time I order new stock, it's going

530
00:22:37,160 --> 00:22:39,720
Speaker 5: to be two or three months before that arrives. Yeah,

531
00:22:39,760 --> 00:22:42,280
Speaker 5: like maybe I need more sooner than I thought I did,

532
00:22:42,359 --> 00:22:44,920
Speaker 5: and that could be a stumbling block later down the track.

533
00:22:45,000 --> 00:22:48,320
Speaker 5: That actually puts you backwards. Let's review our debt. What

534
00:22:48,440 --> 00:22:50,400
Speaker 5: debt have we got? Have we got a business loan?

535
00:22:50,440 --> 00:22:53,919
Speaker 5: Who owes you money? Is the important one? Chase them up?

536
00:22:54,000 --> 00:22:57,280
Speaker 5: Fell up your following up our invoices, and we are

537
00:22:57,280 --> 00:23:00,840
Speaker 5: not sorry to follow up our invoices. If you're feeling

538
00:23:01,040 --> 00:23:04,040
Speaker 5: so awkward about emailing a client, do you.

539
00:23:04,080 --> 00:23:04,640
Speaker 3: Know what you did?

540
00:23:04,920 --> 00:23:07,679
Speaker 5: You just got an assistant, Jess, we love, we'll love

541
00:23:07,720 --> 00:23:10,440
Speaker 5: an assistant. And back when I couldn't afford an assistant,

542
00:23:10,440 --> 00:23:11,440
Speaker 5: what did I have, Jess?

543
00:23:12,000 --> 00:23:15,280
Speaker 1: Fake assistant? I did? I had a fake assistant.

544
00:23:15,320 --> 00:23:16,000
Speaker 3: Before I had.

545
00:23:15,880 --> 00:23:18,399
Speaker 5: Jess, A fake assistant would follow up on behalf of

546
00:23:18,440 --> 00:23:20,840
Speaker 5: me and be like, Hi, so sorry, I work for

547
00:23:20,960 --> 00:23:23,680
Speaker 5: Victoria and I'm just chasing this debt that you.

548
00:23:23,680 --> 00:23:24,840
Speaker 1: Definitely haven't paid.

549
00:23:25,160 --> 00:23:27,560
Speaker 5: And then they'd say check with Victoria, and I'd be like,

550
00:23:27,720 --> 00:23:30,000
Speaker 5: I did I have Victoria?

551
00:23:30,520 --> 00:23:32,160
Speaker 3: I never let that pat out of the bag.

552
00:23:32,400 --> 00:23:34,520
Speaker 5: And to be honest, if you're a client of mine

553
00:23:34,600 --> 00:23:36,840
Speaker 5: from like twenty fifteen and you've heard.

554
00:23:36,600 --> 00:23:37,639
Speaker 3: That, no you haven't.

555
00:23:38,359 --> 00:23:40,679
Speaker 5: But that was because I was really anxious and I

556
00:23:40,760 --> 00:23:43,639
Speaker 5: really hated following up debtors. Now I'll pick up the

557
00:23:43,640 --> 00:23:45,840
Speaker 5: phone in two seconds and be like, hey, you're right,

558
00:23:45,960 --> 00:23:48,119
Speaker 5: what's going on? How can we you know, follow this

559
00:23:48,240 --> 00:23:50,399
Speaker 5: up and come to an agreement because I need you

560
00:23:50,440 --> 00:23:51,960
Speaker 5: to pay your debt the end of the day.

561
00:23:52,160 --> 00:23:53,080
Speaker 1: That's how it should be.

562
00:23:53,200 --> 00:23:56,960
Speaker 5: But if you can't, I totally get that, adopt a

563
00:23:57,000 --> 00:24:01,080
Speaker 5: fake assistant. Maybe you've hired a fake assistant this phone year, Jess, and.

564
00:24:01,080 --> 00:24:02,840
Speaker 3: Put a hard deadline on it. I would say, like,

565
00:24:02,880 --> 00:24:04,600
Speaker 3: I feel like when you're having those emails like now,

566
00:24:04,680 --> 00:24:06,000
Speaker 3: is a really good time of you to say, hey,

567
00:24:06,080 --> 00:24:08,399
Speaker 3: please ensure this is paid prior to the end of

568
00:24:08,440 --> 00:24:11,000
Speaker 3: the financial year, because a lot of businesses will also

569
00:24:11,080 --> 00:24:14,200
Speaker 3: get that. They'll understand and they probably need to tidy

570
00:24:14,240 --> 00:24:16,280
Speaker 3: things up on their end as well before the end

571
00:24:16,280 --> 00:24:18,920
Speaker 3: of the financial year. So if you even just expressing hey,

572
00:24:18,960 --> 00:24:21,800
Speaker 3: like I need this done prior to efy like you

573
00:24:21,880 --> 00:24:22,920
Speaker 3: might have a bit of luck.

574
00:24:22,960 --> 00:24:26,040
Speaker 5: And hopefully people are paying. If they aren't paying in

575
00:24:26,080 --> 00:24:28,639
Speaker 5: the new financial year, you could potentially look at putting

576
00:24:28,640 --> 00:24:32,240
Speaker 5: a caveat on your invoices as well. That basically says

577
00:24:32,400 --> 00:24:35,159
Speaker 5: at the bottom of the invoice, if the invoice isn't paid,

578
00:24:35,320 --> 00:24:38,960
Speaker 5: it could be referred to debt collectors at your expense,

579
00:24:39,119 --> 00:24:41,720
Speaker 5: and that actually puts you in a more powerful position

580
00:24:42,200 --> 00:24:44,280
Speaker 5: so that if you need to go down the debt

581
00:24:44,280 --> 00:24:47,520
Speaker 5: collector route, you don't have to pay the debt collector personally.

582
00:24:47,560 --> 00:24:48,840
Speaker 1: You get your full sum and the.

583
00:24:48,760 --> 00:24:52,240
Speaker 5: Debt collector can add the amount that they are charging

584
00:24:52,359 --> 00:24:55,320
Speaker 5: on top of that invoice, whereas if you don't disclaim

585
00:24:55,440 --> 00:24:57,560
Speaker 5: that on your invoice, they'll take it out of the

586
00:24:57,600 --> 00:25:01,120
Speaker 5: total sum that is payable. Yeah, I speak from experience

587
00:25:01,160 --> 00:25:03,880
Speaker 5: as someone who's had to collect debts before, Jessicaret, I.

588
00:25:03,800 --> 00:25:05,560
Speaker 3: Can tell you've been wounded. I've been burned.

589
00:25:06,040 --> 00:25:08,080
Speaker 5: I've been burned, and you don't have to be because

590
00:25:08,160 --> 00:25:10,920
Speaker 5: I'm learning for both of us, jess absolutely. And then

591
00:25:11,040 --> 00:25:13,280
Speaker 5: we are going to look at our key expenses, so

592
00:25:13,400 --> 00:25:16,720
Speaker 5: direct costs associated with raw materials and components and other

593
00:25:16,760 --> 00:25:19,720
Speaker 5: bits and bobs that make up your products, typically a

594
00:25:19,800 --> 00:25:23,879
Speaker 5: large expense known as the costs of goods sold or cogs, Jessica.

595
00:25:24,359 --> 00:25:26,439
Speaker 5: And catch up with suppliers if you've got them, and

596
00:25:26,520 --> 00:25:28,720
Speaker 5: discuss your plans for the new year, and get them

597
00:25:28,720 --> 00:25:32,280
Speaker 5: all on board, like get them intertwined into your excitement.

598
00:25:32,680 --> 00:25:34,639
Speaker 5: Like I think that that is going to motivate you,

599
00:25:34,720 --> 00:25:37,199
Speaker 5: but also make sure that everybody is on exactly the

600
00:25:37,200 --> 00:25:38,040
Speaker 5: same page.

601
00:25:38,160 --> 00:25:41,040
Speaker 1: I'd be looking at all your other expenses. What's happening there?

602
00:25:41,119 --> 00:25:42,080
Speaker 1: Are there any trends?

603
00:25:42,320 --> 00:25:45,440
Speaker 5: Are you always occurring way more expenses than you thought

604
00:25:45,480 --> 00:25:45,800
Speaker 5: you would?

605
00:25:45,920 --> 00:25:46,200
Speaker 1: Jess?

606
00:25:46,480 --> 00:25:46,600
Speaker 2: Like?

607
00:25:46,760 --> 00:25:49,720
Speaker 5: Is admin taking you way longer than you thought? What

608
00:25:49,880 --> 00:25:53,040
Speaker 5: expenses can you bring down? How can we save money?

609
00:25:53,400 --> 00:25:56,720
Speaker 5: Review your bank statement? How many subscriptions have you got

610
00:25:56,720 --> 00:25:58,359
Speaker 5: inside your business that you're not using?

611
00:25:58,480 --> 00:25:59,080
Speaker 3: Oh?

612
00:25:59,119 --> 00:26:01,639
Speaker 5: Like, did you subscribe to the AFR and then you

613
00:26:01,680 --> 00:26:04,920
Speaker 5: don't read the OFAR? Don't get me wrong, I do.

614
00:26:04,920 --> 00:26:07,200
Speaker 5: Don't take it off me. But if you weren't, that's

615
00:26:07,200 --> 00:26:09,320
Speaker 5: a good time to cut a subscription, do you know

616
00:26:09,359 --> 00:26:12,040
Speaker 5: what I mean? Now is the time to cut things.

617
00:26:12,080 --> 00:26:15,200
Speaker 5: And if you're consistently cutting things, your business expenses won't

618
00:26:15,200 --> 00:26:15,920
Speaker 5: get out of hand.

619
00:26:16,520 --> 00:26:20,199
Speaker 3: Speaking of things getting more expensive, what else should we

620
00:26:20,359 --> 00:26:23,200
Speaker 3: be looking at right now? You'll pricing? Love it?

621
00:26:23,440 --> 00:26:26,240
Speaker 5: So I'm not saying review your pricing because it's getting

622
00:26:26,280 --> 00:26:30,720
Speaker 5: more expensive and you should lower your prices. We're valuable businesses.

623
00:26:30,760 --> 00:26:33,920
Speaker 5: We are increasing our prices, dosica. But what you need

624
00:26:33,960 --> 00:26:36,600
Speaker 5: to be doing is a sales analysis. So how many

625
00:26:36,640 --> 00:26:39,000
Speaker 5: units did you sell? What units sold or how many

626
00:26:39,040 --> 00:26:41,119
Speaker 5: dollars have you had in sales? And what are the

627
00:26:41,119 --> 00:26:43,760
Speaker 5: effects of any promotions you've run. Are the promotions you're

628
00:26:43,800 --> 00:26:47,760
Speaker 5: running actually helpful or are you running promotions because you're like, oh,

629
00:26:47,800 --> 00:26:49,840
Speaker 5: I probably should do a sale because everybody else is

630
00:26:49,880 --> 00:26:50,440
Speaker 5: doing a sale.

631
00:26:50,560 --> 00:26:51,919
Speaker 1: But it actually puts you behind.

632
00:26:52,320 --> 00:26:55,480
Speaker 5: Because sometimes we might have a product and the margin

633
00:26:55,560 --> 00:26:58,120
Speaker 5: on the product's five percent, Like we're not making much

634
00:26:58,160 --> 00:27:00,000
Speaker 5: at all. But maybe you were like, oh, everyone else,

635
00:27:00,080 --> 00:27:02,240
Speaker 5: see my industry is doing a twenty percent off sale.

636
00:27:02,680 --> 00:27:04,800
Speaker 5: Like that's actually putting you in the whole. Like that

637
00:27:04,960 --> 00:27:07,639
Speaker 5: is not a good idea at all. So review these

638
00:27:07,680 --> 00:27:10,760
Speaker 5: things and review them consistently so that we're always on

639
00:27:10,800 --> 00:27:13,359
Speaker 5: top of it. What is the effectiveness of your sales

640
00:27:13,440 --> 00:27:15,320
Speaker 5: team if you have one, Like, if you've got a

641
00:27:15,359 --> 00:27:18,040
Speaker 5: sales team, they're actually driving sales. So in most of

642
00:27:18,040 --> 00:27:22,200
Speaker 5: your sales coming organically through tiktoks, Like, let's understand how

643
00:27:22,240 --> 00:27:23,840
Speaker 5: the business is driving us forward.

644
00:27:24,400 --> 00:27:26,719
Speaker 1: Are there any interesting trends that you can see?

645
00:27:26,840 --> 00:27:29,520
Speaker 5: Is there anything different that might be impacting your sales

646
00:27:29,600 --> 00:27:31,440
Speaker 5: this year versus the previous year.

647
00:27:31,960 --> 00:27:34,000
Speaker 1: We're going to do a margin analysis.

648
00:27:34,080 --> 00:27:35,960
Speaker 5: Yes, so I was talking about this before, but which

649
00:27:36,000 --> 00:27:39,119
Speaker 5: product or service is most profitable. What could you do

650
00:27:39,240 --> 00:27:42,520
Speaker 5: to improve the margins or the sales of this product?

651
00:27:42,840 --> 00:27:45,119
Speaker 5: What has been the impact of any discounts that've be offered?

652
00:27:45,200 --> 00:27:47,320
Speaker 5: As I said before, are you offering too much of

653
00:27:47,320 --> 00:27:50,560
Speaker 5: a discount because everybody else is? Or is a discount

654
00:27:50,600 --> 00:27:53,280
Speaker 5: something that you might want to consider, like new financial

655
00:27:53,359 --> 00:27:56,200
Speaker 5: year sale or something to drive a peek in sales

656
00:27:56,200 --> 00:27:58,040
Speaker 5: at the beginning of your financial year.

657
00:27:58,440 --> 00:28:00,160
Speaker 3: And where are you making the most money?

658
00:28:00,400 --> 00:28:02,840
Speaker 5: Have a look at that and deep dive into how

659
00:28:02,840 --> 00:28:05,800
Speaker 5: you can turbo charge that aspect of your business, because

660
00:28:05,840 --> 00:28:08,879
Speaker 5: I promise it is easier to sell to pre existing

661
00:28:09,000 --> 00:28:12,200
Speaker 5: clients than it is to attract brand new ones.

662
00:28:12,320 --> 00:28:15,040
Speaker 3: Absolutely, And if cost of materials and things have gone up,

663
00:28:15,080 --> 00:28:17,240
Speaker 3: that's going to have eaten into your margins now, so

664
00:28:17,320 --> 00:28:19,560
Speaker 3: exactly where it's a great time to go. Okay, well,

665
00:28:19,560 --> 00:28:22,360
Speaker 3: if the cost of XYZ material has gone up by

666
00:28:22,400 --> 00:28:24,639
Speaker 3: five percent, I need to be passing that five percent

667
00:28:24,720 --> 00:28:27,160
Speaker 3: onto the consumer otherwise I'm now out five percent.

668
00:28:27,280 --> 00:28:28,040
Speaker 1: Yeah, exactly.

669
00:28:28,119 --> 00:28:30,200
Speaker 5: And the other thing I would do and not get

670
00:28:30,320 --> 00:28:34,040
Speaker 5: hung up on, is a competitor analysis. So what is

671
00:28:34,080 --> 00:28:36,960
Speaker 5: your market doing? Do you have any known competitors? What

672
00:28:37,040 --> 00:28:39,440
Speaker 5: are they doing, how do your prices compare, how do

673
00:28:39,440 --> 00:28:42,880
Speaker 5: your products and services compare, How close are your offerings

674
00:28:42,920 --> 00:28:46,280
Speaker 5: to those of your competitors, and how do you differentiate yourself?

675
00:28:46,320 --> 00:28:49,080
Speaker 5: Even more so, we always use, you know, the example

676
00:28:49,080 --> 00:28:51,520
Speaker 5: of a candle business. There are so many of them,

677
00:28:51,840 --> 00:28:54,800
Speaker 5: but they are all still successful, right because we all

678
00:28:54,800 --> 00:28:57,520
Speaker 5: have different reasons and like key into your hobbit. I

679
00:28:57,560 --> 00:28:59,360
Speaker 5: really like Jess, and I like a product, and I

680
00:28:59,480 --> 00:29:01,280
Speaker 5: like having you in my house. Or you know, you

681
00:29:01,360 --> 00:29:03,440
Speaker 5: might go to Mecca and buy your candles because you

682
00:29:03,600 --> 00:29:06,120
Speaker 5: like spending a lot of money on candles. But it's

683
00:29:06,160 --> 00:29:07,840
Speaker 5: one of those things where you need to do a

684
00:29:07,880 --> 00:29:11,200
Speaker 5: competitor analysis. But I don't want you comparing and feeling

685
00:29:11,280 --> 00:29:13,600
Speaker 5: less than or that you're not doing enough, because we're

686
00:29:13,640 --> 00:29:16,640
Speaker 5: all on different journeys. Like if you're a photographer and

687
00:29:16,680 --> 00:29:19,520
Speaker 5: in your first few years of working in a business, yes,

688
00:29:19,640 --> 00:29:22,680
Speaker 5: obviously a competitor is a pre established business that's been

689
00:29:22,680 --> 00:29:26,080
Speaker 5: around for fifteen years, But don't compare yourself to them

690
00:29:26,120 --> 00:29:28,760
Speaker 5: and expect yourself to be at that stage or at

691
00:29:28,800 --> 00:29:29,320
Speaker 5: that level.

692
00:29:29,640 --> 00:29:30,760
Speaker 3: Use them as inspiration.

693
00:29:31,280 --> 00:29:34,840
Speaker 5: Every time you feel envious, go why and try and

694
00:29:34,960 --> 00:29:38,840
Speaker 5: channel that into becoming inspiration instead of envy. I think

695
00:29:38,880 --> 00:29:41,440
Speaker 5: so many times it goes into envy because you go,

696
00:29:41,600 --> 00:29:43,280
Speaker 5: oh wow, I wish I could have that.

697
00:29:43,600 --> 00:29:45,400
Speaker 1: You can if you work hard enough.

698
00:29:45,600 --> 00:29:48,480
Speaker 5: Yeah, and that's a very cool outcome of doing a

699
00:29:48,520 --> 00:29:49,880
Speaker 5: competitor analysis.

700
00:29:50,000 --> 00:29:51,480
Speaker 3: I really like that. That's such a nice way to

701
00:29:51,480 --> 00:29:52,120
Speaker 3: reframe it.

702
00:29:52,400 --> 00:29:52,560
Speaker 2: Now.

703
00:29:52,560 --> 00:29:55,080
Speaker 3: We did a business Bile episode about this recently on

704
00:29:55,360 --> 00:29:57,480
Speaker 3: how you spend your time in the business. It was

705
00:29:57,520 --> 00:29:59,720
Speaker 3: back on April twenty fourth, if anyone missed it. But

706
00:29:59,840 --> 00:30:01,560
Speaker 3: I I think end of financial year is also a

707
00:30:01,560 --> 00:30:05,040
Speaker 3: really great time to review how you are spending your

708
00:30:05,120 --> 00:30:06,600
Speaker 3: time inside your business.

709
00:30:06,640 --> 00:30:09,520
Speaker 5: Right absolutely, And I feel like in a financial year,

710
00:30:09,560 --> 00:30:12,000
Speaker 5: as I said, every six months is a new year

711
00:30:12,040 --> 00:30:14,000
Speaker 5: of some form and we should be using it. So

712
00:30:14,040 --> 00:30:17,120
Speaker 5: I guess my best tip obviously, in addition to all

713
00:30:17,200 --> 00:30:20,000
Speaker 5: of the tips above, I think it's more about reviewing

714
00:30:20,040 --> 00:30:22,920
Speaker 5: your use of time. How much time are you spending

715
00:30:23,080 --> 00:30:25,320
Speaker 5: on each part of your business? Are you working one

716
00:30:25,400 --> 00:30:27,560
Speaker 5: hundred hours a week and making four dollars?

717
00:30:28,160 --> 00:30:30,320
Speaker 1: Is that how you want to spend your time?

718
00:30:30,640 --> 00:30:33,120
Speaker 5: How can we change it so that that's not always

719
00:30:33,160 --> 00:30:33,800
Speaker 5: the outcome?

720
00:30:34,080 --> 00:30:35,120
Speaker 1: You might find that.

721
00:30:34,960 --> 00:30:38,640
Speaker 5: That's your reality, but you know that there's a bigger

722
00:30:38,680 --> 00:30:40,720
Speaker 5: picture at play, and in a couple of years you'll

723
00:30:40,760 --> 00:30:43,640
Speaker 5: be working one hour and making millions. So it's all

724
00:30:43,680 --> 00:30:47,120
Speaker 5: about perspective as well. We're not saying, oh, don't use

725
00:30:47,160 --> 00:30:50,480
Speaker 5: it how you want, But sometimes we find ourselves in

726
00:30:50,520 --> 00:30:53,160
Speaker 5: a bit of a business whirlpool and we just keep

727
00:30:53,200 --> 00:30:55,680
Speaker 5: doing what we keep doing because that's how we've always

728
00:30:55,760 --> 00:30:58,800
Speaker 5: done it. But that doesn't mean it's correct. And then

729
00:30:59,040 --> 00:31:01,640
Speaker 5: is it time to outsource some tasks? You know, if

730
00:31:01,640 --> 00:31:04,520
Speaker 5: your business is growing? Like could we outsource something? Could

731
00:31:04,560 --> 00:31:07,240
Speaker 5: we get a VA? Could we get somebody else involved?

732
00:31:07,600 --> 00:31:09,560
Speaker 5: And then also like how do we know when is

733
00:31:09,600 --> 00:31:11,480
Speaker 5: the right time to hire? And who are we're going

734
00:31:11,560 --> 00:31:13,880
Speaker 5: full blown into having a full time employee? Are were

735
00:31:13,920 --> 00:31:16,640
Speaker 5: doing part time? We're getting a casual employee. We're just

736
00:31:16,680 --> 00:31:18,880
Speaker 5: getting a VA for a few hours a month? Like

737
00:31:18,920 --> 00:31:21,680
Speaker 5: what does this look like? And is this reasonable for

738
00:31:21,760 --> 00:31:24,360
Speaker 5: our business at this time? And I guess speaking of this,

739
00:31:24,520 --> 00:31:27,120
Speaker 5: if you have one, we are reviewing our team.

740
00:31:27,480 --> 00:31:29,160
Speaker 3: We are reviewing performance to date.

741
00:31:29,400 --> 00:31:32,280
Speaker 5: This isn't because we're trying to be savage, Jess, your

742
00:31:32,320 --> 00:31:35,480
Speaker 5: team members deserve a review, Like I know you and

743
00:31:35,520 --> 00:31:37,479
Speaker 5: I like sitting down and going all right, Jess, what

744
00:31:37,600 --> 00:31:39,920
Speaker 5: have you achieved this year? Vice versa? How have you

745
00:31:40,080 --> 00:31:42,280
Speaker 5: liked working with me? What does this look like? How

746
00:31:42,280 --> 00:31:44,720
Speaker 5: does this work? It's a two way street when it

747
00:31:44,720 --> 00:31:48,760
Speaker 5: comes to team performance review. Have you scheduled performance review

748
00:31:48,840 --> 00:31:51,440
Speaker 5: meetings with all your team members before the end of

749
00:31:51,480 --> 00:31:54,080
Speaker 5: the year or before the end of the financial year,

750
00:31:54,120 --> 00:31:56,680
Speaker 5: whichever you want to do. Do you actually have formal

751
00:31:56,720 --> 00:31:59,760
Speaker 5: documents to support the performance management process in your business?

752
00:32:00,400 --> 00:32:03,400
Speaker 5: Your business is not too small to have formal documents.

753
00:32:03,600 --> 00:32:06,760
Speaker 5: I feel like so many times small businesses go I'm

754
00:32:06,760 --> 00:32:09,880
Speaker 5: too small. I know, Jess, really well, Jess. Do we

755
00:32:09,960 --> 00:32:11,960
Speaker 5: do formal performance review in our team?

756
00:32:12,160 --> 00:32:12,760
Speaker 3: Of course?

757
00:32:13,000 --> 00:32:15,920
Speaker 5: But it's so helpful because it lets us slip out

758
00:32:15,960 --> 00:32:18,960
Speaker 5: of this friends and getting stuff done and day to

759
00:32:19,040 --> 00:32:21,000
Speaker 5: day and going all right, well, actually you've got this

760
00:32:21,080 --> 00:32:23,560
Speaker 5: formal dog, let's go through it together. You've put your

761
00:32:23,600 --> 00:32:25,560
Speaker 5: notes in it, I've got mine. Like, where are you

762
00:32:25,600 --> 00:32:29,160
Speaker 5: at with these things? Because even though we're friends, you know,

763
00:32:29,320 --> 00:32:31,600
Speaker 5: I'm the business owner and you work for me, and

764
00:32:31,720 --> 00:32:34,080
Speaker 5: we have you know, gone beyond that. I feel like

765
00:32:34,480 --> 00:32:37,920
Speaker 5: you deserve that from me and vice versa, and if not,

766
00:32:38,400 --> 00:32:41,200
Speaker 5: now's the time to do it. There are heaps on Google.

767
00:32:41,320 --> 00:32:43,840
Speaker 5: I can always share mine at some point, but I

768
00:32:43,880 --> 00:32:46,440
Speaker 5: think kicking off the new year with tangible targets for

769
00:32:46,520 --> 00:32:48,360
Speaker 5: your team gives them more motivation.

770
00:32:48,560 --> 00:32:49,000
Speaker 1: And you know what.

771
00:32:49,000 --> 00:32:52,719
Speaker 5: Motivated people do, just make money, make more money, and

772
00:32:52,800 --> 00:32:55,080
Speaker 5: we like that. We're going to be looking at rewards.

773
00:32:55,440 --> 00:32:59,640
Speaker 5: Your team deserve to be rewarded. Incentives and bonuses can

774
00:32:59,680 --> 00:33:02,440
Speaker 5: be a really great way of rewarding contributions that your

775
00:33:02,480 --> 00:33:05,960
Speaker 5: team members make to your business. Don't forget they are

776
00:33:06,000 --> 00:33:09,800
Speaker 5: working for you. They are working to build your business,

777
00:33:10,160 --> 00:33:13,520
Speaker 5: and that deserves to be rewarded. They can obviously be

778
00:33:13,640 --> 00:33:17,600
Speaker 5: really effective in increasing activity during slow times and really

779
00:33:17,640 --> 00:33:20,520
Speaker 5: motivating your team. I've heard from a lot of people

780
00:33:20,800 --> 00:33:22,800
Speaker 5: who have said I can't afford rewards.

781
00:33:23,200 --> 00:33:25,280
Speaker 1: I can't afford the benefits for my team.

782
00:33:25,360 --> 00:33:27,760
Speaker 5: And don't get me wrong, we're all in different places

783
00:33:27,760 --> 00:33:32,000
Speaker 5: to offer incentives or bonuses, but you need to make

784
00:33:32,040 --> 00:33:35,200
Speaker 5: sure that your team members feel valued and you could

785
00:33:35,240 --> 00:33:38,120
Speaker 5: go hejs. Obviously we're not making heaps of money as

786
00:33:38,120 --> 00:33:40,080
Speaker 5: a business, and I really wish I could pay you more.

787
00:33:40,520 --> 00:33:42,840
Speaker 5: How About I give you a couple of days off

788
00:33:42,880 --> 00:33:46,440
Speaker 5: next month, not included any sac with that, Like there

789
00:33:46,480 --> 00:33:49,600
Speaker 5: are lots of ways to incentivize your team members that

790
00:33:49,840 --> 00:33:53,240
Speaker 5: don't include cash. If cash is in short supply, which

791
00:33:53,240 --> 00:33:54,800
Speaker 5: for a lot of people at the moment it is.

792
00:33:55,080 --> 00:33:57,120
Speaker 5: That doesn't mean you can just not look at your

793
00:33:57,120 --> 00:34:01,280
Speaker 5: team members and make them feel valued career development plans

794
00:34:01,280 --> 00:34:04,680
Speaker 5: and discussions around that. Even if you have a performance

795
00:34:04,720 --> 00:34:07,840
Speaker 5: review discussion with your teenage year how clear are their

796
00:34:07,960 --> 00:34:10,640
Speaker 5: career development discussions? Where do they want to be in

797
00:34:10,680 --> 00:34:13,040
Speaker 5: twelve months? Where do they want to be in three years?

798
00:34:13,360 --> 00:34:15,560
Speaker 5: I feel like you need to be open with your

799
00:34:15,600 --> 00:34:18,960
Speaker 5: team to the point where that could be not with you.

800
00:34:19,520 --> 00:34:20,560
Speaker 1: And that's not a bad thing.

801
00:34:20,640 --> 00:34:22,279
Speaker 5: And I've always said that, Jess, I would keep you

802
00:34:22,640 --> 00:34:25,200
Speaker 5: every day for the rest of ever. But I also

803
00:34:25,239 --> 00:34:26,759
Speaker 5: would never want to get in the way of your

804
00:34:26,800 --> 00:34:30,360
Speaker 5: career development. And if I become a beautiful launching pad

805
00:34:30,440 --> 00:34:34,440
Speaker 5: into a bigger, better career for you, slay like, that's amazing.

806
00:34:34,520 --> 00:34:35,440
Speaker 1: I've been part of that.

807
00:34:35,920 --> 00:34:39,200
Speaker 5: But I think that too many times people assume that

808
00:34:39,239 --> 00:34:42,120
Speaker 5: by having career development discussions with their team, they have

809
00:34:42,200 --> 00:34:46,279
Speaker 5: to have the career inside their business. Like I go, oh, Jess, well,

810
00:34:46,320 --> 00:34:48,040
Speaker 5: where would you want to go? And at the moment

811
00:34:48,120 --> 00:34:49,719
Speaker 5: you're kind of sitting at the top of what you

812
00:34:49,840 --> 00:34:52,440
Speaker 5: do in my business. Yeah, so how do we have

813
00:34:52,520 --> 00:34:55,320
Speaker 5: those career development discussions where you might go, well, I

814
00:34:55,400 --> 00:34:57,560
Speaker 5: actually want to stay here and I really would like

815
00:34:57,600 --> 00:35:01,560
Speaker 5: to do ABCDN next year. That's adding additional value to

816
00:35:01,600 --> 00:35:04,800
Speaker 5: my business. Or you might go, yeah, look at some stage,

817
00:35:04,840 --> 00:35:07,319
Speaker 5: I'd like to launch into big business and take on

818
00:35:07,400 --> 00:35:08,800
Speaker 5: a really corporate structure.

819
00:35:09,160 --> 00:35:11,160
Speaker 3: Great, how can I help you to get there?

820
00:35:11,239 --> 00:35:13,759
Speaker 5: Because I promise you're going to get more from your

821
00:35:13,760 --> 00:35:15,759
Speaker 5: team if you're helping them to get where they want

822
00:35:15,760 --> 00:35:18,359
Speaker 5: to go than if you go, Oh, but you have

823
00:35:18,400 --> 00:35:20,319
Speaker 5: to stay in my business forever in a day.

824
00:35:20,440 --> 00:35:22,160
Speaker 3: That is such a good point, and it really is

825
00:35:22,200 --> 00:35:24,640
Speaker 3: so true. I guess for both an employer and an employee,

826
00:35:24,640 --> 00:35:26,719
Speaker 3: it's really important to be checking in with each other.

827
00:35:27,200 --> 00:35:29,400
Speaker 3: Is there any other last little tipbits before we go

828
00:35:29,440 --> 00:35:31,759
Speaker 3: away that you reckon? People should really be getting on

829
00:35:31,800 --> 00:35:34,120
Speaker 3: top of this end of financial deseason.

830
00:35:33,760 --> 00:35:36,840
Speaker 5: Your clients and your customers. So let's review our service.

831
00:35:37,560 --> 00:35:40,239
Speaker 5: Are we serving who we want to serve? Who are

832
00:35:40,239 --> 00:35:42,360
Speaker 5: your most profitable customers? How do we get more of

833
00:35:42,400 --> 00:35:45,759
Speaker 5: those ones who are your least profitable clients? How do

834
00:35:45,800 --> 00:35:48,960
Speaker 5: we have less of those what are your service highlights? Like,

835
00:35:49,040 --> 00:35:51,279
Speaker 5: have there been some like flashes of brilliance? Like have

836
00:35:51,320 --> 00:35:53,520
Speaker 5: there been some things that you've been like, Wow, actually

837
00:35:53,719 --> 00:35:55,760
Speaker 5: we knocked it out of the park for that client.

838
00:35:55,920 --> 00:35:56,919
Speaker 1: Just how do we do it again?

839
00:35:57,239 --> 00:35:59,359
Speaker 5: How do we do that and take that magic of

840
00:35:59,360 --> 00:36:02,200
Speaker 5: that experience and give it to everybody in our business?

841
00:36:02,680 --> 00:36:04,960
Speaker 5: What are the low lights? Have there been some issues

842
00:36:05,000 --> 00:36:07,000
Speaker 5: along the way? How do we make sure it doesn't

843
00:36:07,040 --> 00:36:09,880
Speaker 5: happen again in the next twelve months? And then maybe

844
00:36:09,880 --> 00:36:12,360
Speaker 5: you could open it up as an opportunity for feedback.

845
00:36:12,719 --> 00:36:15,520
Speaker 5: Now is a perfect time to get feedback and survey

846
00:36:15,600 --> 00:36:19,360
Speaker 5: your customers. Seek feedback through surveys or focus groups or interviews,

847
00:36:19,440 --> 00:36:21,319
Speaker 5: or just pick up the phone and be like, hey, Jess,

848
00:36:21,360 --> 00:36:22,320
Speaker 5: long time no speak.

849
00:36:22,760 --> 00:36:24,279
Speaker 3: Are you still loving working with us?

850
00:36:24,320 --> 00:36:26,960
Speaker 5: You said that ages ago, but like, has the service

851
00:36:27,000 --> 00:36:29,319
Speaker 5: been the same? I'm just gathering some feedback to make

852
00:36:29,320 --> 00:36:31,360
Speaker 5: sure that next year is our best year yet. And

853
00:36:31,360 --> 00:36:34,040
Speaker 5: I can almost guarantee that everyone's going to be like,

854
00:36:34,080 --> 00:36:35,919
Speaker 5: oh yeah, Jess, I really want to be on top

855
00:36:35,960 --> 00:36:39,320
Speaker 5: of this. So go to your most important customers first,

856
00:36:39,600 --> 00:36:41,960
Speaker 5: but send an email. You'll get some feedback and it

857
00:36:42,000 --> 00:36:44,359
Speaker 5: will put you in the best possible position to have

858
00:36:44,440 --> 00:36:45,319
Speaker 5: the best year yet.

859
00:36:45,360 --> 00:36:47,720
Speaker 3: I completely agree, and I think like the overall theme

860
00:36:47,800 --> 00:36:50,839
Speaker 3: of today's episode is like we're halfway through the yard.

861
00:36:50,840 --> 00:36:53,480
Speaker 3: It's a really good time to stop and take an

862
00:36:53,480 --> 00:36:56,640
Speaker 3: assessment of what you've achieved, what you want to achieve. Like,

863
00:36:56,960 --> 00:36:58,480
Speaker 3: let's kind of get a bit of that new financial

864
00:36:58,520 --> 00:37:00,880
Speaker 3: year you me and you know, just textalk of what

865
00:37:00,880 --> 00:37:03,440
Speaker 3: you've done, because like it's been six months and that's

866
00:37:03,680 --> 00:37:06,000
Speaker 3: incredible and we're so proud of you. For those of

867
00:37:06,000 --> 00:37:07,719
Speaker 3: you who have been working in a business for six

868
00:37:07,760 --> 00:37:09,960
Speaker 3: months or have been planning something, maybe you're just ready

869
00:37:10,000 --> 00:37:12,359
Speaker 3: to launch it. I feel like I have nothing else

870
00:37:12,400 --> 00:37:15,080
Speaker 3: of value to add. VD that was an awesome episode

871
00:37:15,080 --> 00:37:16,360
Speaker 3: that I feel like will help a lot of people.

872
00:37:16,520 --> 00:37:18,279
Speaker 1: So fun. All right, Well, we'll see you soon.

873
00:37:18,400 --> 00:37:19,120
Speaker 3: See on Friday.

874
00:37:19,239 --> 00:37:28,680
Speaker 5: By The advice shared on She's on the Money is

875
00:37:28,760 --> 00:37:32,360
Speaker 5: general in nature and does not consider your individual circumstances.

876
00:37:32,719 --> 00:37:34,839
Speaker 3: She's on the Money exists purely for.

877
00:37:34,920 --> 00:37:37,759
Speaker 5: Educational purposes and should not be relied upon to make

878
00:37:37,800 --> 00:37:41,080
Speaker 5: an investment or financial decision. If you do choose to

879
00:37:41,080 --> 00:37:44,360
Speaker 5: buy a financial product, read the PDS TMD and obtain

880
00:37:44,400 --> 00:37:45,840
Speaker 5: appropriate financial advice.

881
00:37:45,920 --> 00:37:47,280
Speaker 1: Tailored towards your needs.

882
00:37:47,640 --> 00:37:51,560
Speaker 5: Victoria Divine and She's on the Money are authorized representatives

883
00:37:51,600 --> 00:37:52,040
Speaker 5: of money.

884
00:37:52,040 --> 00:37:54,120
Speaker 1: Sheper Pty Ltd.

885
00:37:53,920 --> 00:37:56,959
Speaker 5: ABN three two one is six four nine two seven

886
00:37:57,120 --> 00:38:07,719
Speaker 5: seven zero eight AFSL four five one two eight nine