Set up a Wi-Fi network

Posted on March 31, 2021 by Angus Jones

Before you find someone to help you set up a Wi-Fi network, you will be pleased to know that the process is extremely easy. In this guide, we will look at the possibilities and help you decide what to buy and how to set it up to ensure the best productivity.

Wi-Fi is a wireless sharing technology that allows devices such as computers (laptops and desktops), smartphones and other equipment (printers and video cameras) to connect to the Internet.

WHY should I have a Wi-Fi network?

Suppose you are transferring large amounts of data, or you need a mission-critical connection to the internet. In that case, you should not have a Wi-Fi connection, you should instead use a cable connection to your modem or Wi-Fi router. An ethernet cable will allow faster transfer speeds and a more reliable connection.

However, if you want to seamlessly move to different places in your home or office without being tied to cables, Wi-Fi is a must. Wi-Fi encourages collaboration but, most importantly, simplicity rather than having to do expensive hardware and cabling installs.

If you run a business where your guest might benefit from Wi-Fi, it is also simple to provide them with access to the internet, but not access your private computer resources and files.

WHAT do I need to set up a Wi-Fi network?

Small Business Answers have a separate article on setting up a computer network covering all the higher-level information you need to understand.

Steps to set up a Wi-Fi network:

You will need to sign up for an Internet plan where you should consider what speed and capacity will suit your needs
Buy a wireless router. A wireless router is a device that does two key functions. The router function allows a single internet connection provided by a modem (device to connect you to the internet) to be distributed across many devices. It is very simplistically like a single power point and adding a power board – you can now plug more things in. The wireless function allows a radio connection of devices without any cables, thus wireless. The connected device like a Notebook will, of course, need its own power source like a battery.
Connect your wireless router to your modem with the supplied ethernet cable.
Set up your wireless router. See the next section for more details.
Connect your devices with a password to your router (more details below). Password protection does two things. First, it stops just anyone connecting to your network, like neighbours or some random person using your network to download movies. Secondly, it prevents others from getting unauthorised access to your network, which might allow them access to private information. More details on internet security can be found in this guide.
Decide who else will have access and under any restrictions.

Which wireless router should I buy?

Our sister site www.Gadgetguy.com.au has reviews on various models to help you decide. Your friendly office supply or consumer electronics store will also have some good advice.

There are some different types you need to understand first:

4G/5G router – different from others as it uses the mobile phone network to access the internet. No broadband connection required, and it will work anywhere there is mobile phone coverage. Internet access will, however, be more expensive.
Standard Wireless router – most common and economical solution.
Wi-Fi mesh router – provides multiple units that enable a much greater coverage area in your place of work with a seamless transfer from one mesh unit to the next. This means a more reliable internet connection for the user.
Business access points and small business solutions – Specific products designed for larger offices or to give Wi-Fi access to customers. There is a simple unit from Netgear called an Orbi Pro. Beyond this, we suggest you seek professional advice.

A wireless router may have been provided to you by your internet provider. These routers are generally the most basic models and may not work as well as a product bought for the purpose. It may lack coverage, capacity (number of connected devices) and speed of transfer.

HOW do I set up a wireless router?

Before you break into a sweat, a simple setup will require you to

Configure a Wi-Fi Router

Select a central location for the router
Connect the supplied ethernet cable from your router to the internet modem
Connect to a power point and turn it on if it has a switch
Look on the bottom/back of the unit for a network name (SSID) and password. The preconfigured name and password will be unique to your router
On your PC or phone, select WI-FI and look for a match to your new router’s network name. Select and add the password
You are now connected

Advanced setup:

Your router will come with instructions that will allow you to make more customisation to your router settings. These will include more complicated setups like a mesh router and directions on downloading an app to your smartphone to assist with the installation and administration process. You will be able to change your network name and password, alter security restrictions or limitations to groups or individuals and the ability to set up a guest network.

A guest network is a key feature you should enable on your router. This means any visitors to your business can benefit from access to the internet but not have access to your printers, shared file systems, POS units etc. Within the router setup menu, which can be reached by either the provided app or by entering a sequence of numbers (IP address) into your connected internet browser (instructions in the router box). Once connected, select the Wi-Fi or wireless section and enable a guest network. Here you can give the separate network a name and password, which you can then provide to your customers.

HINTS

If you do need additional support, see our guide to IT support.

A standard wireless routers coverage can be increased using a Wi-Fi extender which increases the distance covered from the router but by using a different Wi-Fi network name. This is not as simple as a mesh solution but a cheaper way of extending coverage. See our guide on how to improve your Wi-Fi

SUMMARY – Set up a Wi-Fi network

A wireless router will enable you to wirelessly connect your devices to the internet like a PC. This simple device removes the need for cabling and allows mobility within your business premise. A router may be supplied by your internet provider. Still, a higher quality unity easily available from a local retailer is more likely to provide a more productive result. Simple setup can be done in minutes by a novice with more advanced configurations allowing you greater security and control as well as allowing you to set up a 2^nd network for visitors, excluding them any access to your private resources.

Australian Consumer Law

Posted on March 31, 2021 by Angus Jones

Australian Consumer Law (ACL) is an Australian national law that applies to all Australian jurisdictions and industry sectors. As a small business owner, you have obligations.

A more general guide on your legal obligations can be found in our guide on Australian competition and consumer law. This guide aims to look specifically at the ACL’s implications to ensure you understand your obligations and comply.

The Australian Consumer Law (ACL) includes:a national unfair contract terms law covering standard form consumer and small business contracts; a national law guaranteeing consumer rights when buying goods and services; a national product safety law and enforcement system; a national law for unsolicited consumer agreements covering door-to-door sales and telephone sales; simple national rules for lay-by agreements; and penalties, enforcement powers and consumer redress options.

WHY should I care about my legal obligations?

The ACL covers general standards of business conduct, prohibits unfair trading practices, regulates specific types of business-to-consumer transactions, provides basic consumer guarantees for goods and services, and regulates the safety of consumer products and product-related services.

There is significant government legislation associated with this subject, and lack of knowledge is not an acceptable defence. Significant fines apply for breaking the rules to ensure unfair activity does not occur.

WHAT ACL laws do I need to understand?

Australia Consumer Law (ACL)

Unfair contract terms – This protects a business or consumer when they agree to a standard contract that is subsequently deemed unfair. For example, terms change, you agree to a price, but the price is changed without notice.
Consumer Guarantees – applies to a consumer or business that purchases a product for less than $40,000. The guarantee is that a good or service will meet certain minimum standards. For example, a consumer buys a washing machine for $2000 with a 1-year warranty. After 2 years, the product fails. Under ACL, the consumer can claim that this product should have lasted more than 2 years and should be repaired or replaced.
Consumer product safety – As a business owner who sells a product, you must be aware of mandatory standards or voluntary rules around your product’s safety. You will also have obligations around bans or recalls. For example, you cannot sell children’s toys with small detachable parts that could be swallowed.
Sales practices – The ACL prohibits businesses from using unconscionable conduct when selling, the unsolicited supply of goods, unsolicited consumer agreements, harassment and coercion, or refusing to provide proof of a transaction when dealing with their customers. For example, you cannot try to trick someone into buying your service nor threaten them or refuse to give them a receipt if they ask for one.
Avoiding unfair business practices – The ACL prohibits businesses from engaging in unconscionable conduct, including misleading or deceptive conduct and representations. For example, you cannot do an advertisement with disclaimers that are too small to read. Nor can those disclaimers change the main meaning of that advertisement, for instance, when the ad implies the item costs $50 but a condition in fine print means the real cost is $75.

HOW do I comply with Australian Consumer Law

Unfair contract terms

A contract can include two parties signing a document, agreeing over the phone, clicking an “I agree” button on a web page, or acting according to a contract after indicating acceptance of the contact.

As a small business, you are responsible for upholding contracts and ensuring that the contract is not unfair. Very simply, you cannot change the terms after an agreement is made just because it suits you. A contract could be classed as unfair if you have not balanced the terms between you and the customer. This could be everything is in your favour, or you are abusing your customer’s interests, or the contract could cause detriment to your customer.

Consumer Guarantees

Suppose you sell a product or provide a service for personal, domestic or household purposes. In that case, you are obligated to ensure that product is fit for the purpose it was bought. The important implications of the law is that a warranty end date does not end your obligations. You cannot replace consumers rights, for example, a ‘No refunds’ sign is unlawful, and you cannot have a customer sign a document waiving their rights, nor can you have them sign or agree they will not claim consequential losses from you.

Goods sold to a customer must be of acceptable quality. You must guarantee this to the point that it is considered reasonable that the good should last. Say you bought a TV with a 2-year warranty and after 3 years, it stops working. The TV should have lasted longer than 3 years so a customer could claim repair or replacement under ACL. This period is not set in stone and would be reviewed by the court based on each circumstance. Note a consumer loses those rights if the product failure was caused by commercial use or malicious damage. As a product seller, it may be cheaper for you to repair or replace an item rather than being taken to court by the ACCC.

If a consumer orders a product based on a sample or model, you are obligated to deliver goods that match that sample and specifications.

You have an obligation to provide repairs and spare parts for a reasonable time after a good is sold. Alternatively, you are obligated to provide a replacement.

Suppose the product or service does not meet the consumer guarantee. In that case, they have the right to demand resolution from the supplier (retailer). Note, although the manufacturer is also obligated, it is the selling party’s responsibility to resolve. Thus, you cannot simply expect the manufacturer to handle this for you if you sold it.

From a services perspective, there must be a level of skill or technical knowledge when providing a service and all necessary care must be taken to avoid loss or damage when providing that service. The services must be fit for purpose and delivered within a reasonable time. If you fail to provide this, the consumer can cancel the service and get a refund for work not already done or keep the contract and get compensated for resolution.

Consumer product safety

Under the ACL, Australian ministers can regulate unsafe consumer goods and product-related services by:

issuing safety warning notices
banning products, either on an interim or permanent basis
imposing mandatory safety standards; and
issuing compulsory recall notices

These rules relate to personal, domestic or household use or consumption. More information on product safety can be found here.

Your obligations are to sell something that is safe and not banned. This may include how it is made, what it contains, how it is designed, tests it needs to pass and whether warnings or instructions need to accompany the goods. If you do not comply, you may be required to recall your goods at your cost if a consumer suffers loss or damage. As a result, a court can award compensation to cover the losses.

Sales practices

Your business cannot issue an invoice or request payment for good and services that have not been requested. For example, you can not send an advertising invoice to a customer who has not requested advertising, nor can you send someone a book unprompted then demand payment. The maximum fine is $220,000 for an individual and $1.1 million for a body corporate.

If you decide to engage in unsolicited consumer agreements, including door to door selling, cold calling on the telephone, or approaching people in the shopping centre, you must observe certain conditions. These include limited hours for contact with consumers, disclosure requirements when making an agreement, criterion for the sales agreement, including that it must be in writing, supplying goods above $100 value, and on requesting payment during the cooling-off period. The customer has a 10-day cooling-off period to change their mind and cancel the contract. If you do not meet your obligations as part of the contract, the customer has right to cancel in a 3- or 6-month period. Unsolicited consumer agreements can lead to maximum civil and criminal penalties of $50,000 for a body corporate and $10,000 for an individual.

Pyramid selling is illegal in Australia. A Pyramid scheme is where people make money from recruiting participants who pay a fee, and all those in the chain above receive a share of that payment.

If you are selling, you must sell a good at the lowest displayed price or withdraw the product from sale until rectified. Mistakes made in advertising can be fixed by publishing a retraction with similar circulation. You may also not quote a price that is a component or only part of its cost. For example, if a lounge is priced at $500, but the customer is also charged a $20 fee to pick the lounge up at the store they have just purchased from.

You cannot convince a consumer to buy goods or services by promising benefits dependent on other events. For example you can’t offer a customer a discount on the condition that they help you find other customers. The maximum fine is $220,000 for an individual and $1.1 million for a body corporate.

You cannot use physical force, coerce or unduly harass someone for the supply of or payment for goods or services, this includes verbal intimidation. The maximum civil and criminal penalties for harassment and coercion are $1.1 million for a body corporate and $220,000 for an individual.

If you sell goods or services to the value of $75 or more, you must prove that transaction. This could take the form of a GST invoice, cash register receipt, credit card statement, handwritten receipt or receipt number for a telephone transaction. The customer has the right to ask you for an itemised bill, including how the price was calculated, including hours and materials if relevant. The maximum civil penalties for failing to provide consumers with proof of a transaction or not providing it within the required time are $15,000 for a body corporate and $3,000 for an individual.

Avoiding unfair business practices

You must not make statements that are misleading or deceptive as part of your sales or marketing activities or are likely to mislead or deceive. Failing to disclose information also falls into this. A disclaimer cannot be used to counter any of this conduct. If you do mislead or are deceptive, the court may order you to make remedies.

You cannot make false or misleading representations about goods or services when supplying, offering to provide, or promoting those goods or services. For example, this vitamin will extend your life by 20 years. Making false or misleading representations is an offence. The maximum fine is $220,000 for an individual and $1.1 million for a body corporate.

You must not engage in unconscionable conduct within societies norm and expectations. For example, you cannot explain the conditions of a contract and get an agreement in English to someone who does not speak English or might have a disability. The maximum civil penalties are $220,000 for an individual and $1.1 million for a body corporate.

If you decide to make a country of origin claim about your product as either words or an image, it must not be false or misleading. Made in Australia must be made in Australia. The definition of made in Australia is the goods must be substantially transformed in Australia, and 50 per cent or more of the total cost of producing or manufacturing the goods must be in Australia.

HINTS

For more details available directly from the Australian Government, see this page for resources and guides.

SUMMARY – Australian Consumer Law

This document is a Summary of Australian Consumer Law to help you understand the implications. It should be used as informational only. You should read the guides made available by the Australian Government to fully understand its impact. ACL must be adhered to and being in business, you could find yourself in court and subsequent penalties if you do not do the right thing.

How to Invoice

Posted on March 31, 2021 by Angus Jones

As a small business owner, you need to keep track of how much money is coming in and how much money is going out. The collection and creation of invoices is a key way to achieve this. Thus you need to know how to invoice.

In this guide, we will look at why, in most cases, legally, you must provide invoices to your customers and how you go about creating one. We will also look at when and how you want to get paid.

An invoice is a time-imprinted business document that itemises and records a transaction between a seller and a buyer. If the goods or services were purchased on credit, the invoice usually specifies the terms of the deal and provides information on the available methods of payment.

WHY should I invoice my customers?

If your business turnover exceeds $75,000, you must register for and pay GST. See our guide on GST. When you make a sale of $82.50 or more, including GST, you must issue an invoice.

If your business has a turnover of less than $75,000, your customers may demand an invoice, and even if they don’t, it is simply good business practice. We have written a comprehensive guide on Record Keeping.

Legally you must keep a copy of your invoices for 5 years. This can be a paper copy or electronic. These copies will help you fill out your BAS.

If a customer requests an invoice, you must provide it in under 28 days.

WHAT terms should I offer my customers?

Before we look at the invoice itself, a very important decision needs to be made about whether you will offer your customers any credit. This is when you expect to get paid for the goods or services that you are providing. Options include:

Deposit – You require a percentage of the total upfront to start work
Cash on delivery – full payment is made at the time of delivery of the product
Payment on completion of work – full payment is made at the time of completing a service
Progress payments – a schedule of payments normally with milestones are set through the project
Credit terms – the customer is given a set number of days to pay
Discount for early payment – You offer an incentive or discount to pay an invoice early, like a 5% discount if they pay within 7 days

Ideally, you get paid early or at the time of delivery, however, many businesses will not accept that if you want to do business with them. Unfortunately, some companies have conditions whereby you have to accept terms of up to 120 days if you want their business. This is robbery, and the norm would be 30 days. The longer a business takes to pay you helps their balance sheet, the quicker you get paid helps your balance sheet.

You will also need to decide what payment methods you will accept. A bank transfer will be the most attractive as it will not attract fees, you don’t have to handle cash, and the money should move to your account within 24 hours. Cash will require you to visit the bank. If you decide to accept a credit card or Buy Now Pay Later (BNPL – for example PayPal), you will get the money straight away, but you will have to pay a merchant fee in the form of a percentage of the transaction. This payment form is convenient for the customer and will get the money to you fast.

Whatever form of payment or payment terms you decide to use, you will need to consider when building your cost model.

HOW to invoice

By far, the easiest way to produce an invoice is through an accounting package. If you create one manually, this can easily be done using a spreadsheet or word processing application. You will find many templates available in those applications, as well as downloadable templates from the internet.

In Australia, an invoice must include:

the heading “tax invoice”
Your business or trading name
your Australian business number (ABN)
date of the invoice
a description of the items sold, including the units (hours or goods) and price
the GST amount– this can be shown separately or, if the GST amount is exactly one-eleventh of the total price, a statement which states ‘Total price includes GST’ (only applies if you are liable for GST)
If the invoice is over $1,000, including GST, you must also include the buyers’ identity or ABN

Example

Tax Invoice

Freds Shop 17 Fake St
ABN: 32 123 456 789 Your Town State Postcode

Date: 25 March 2021

To:         Valuable customer
              56 Down Rd
              Town State Postcode

Description                                                   Quantity             Total
Widgets                                                          1                           $40.00
Labour                                                            2hrs                     $80.00

Total Price including GST $132
GST $12.00

HINTS

Now you have created your invoice, you need to send it to your customer, with the most common form these days being via email. Ensure you have the right contact, and it is also worth copying it to a company’s accounts payable team. You can, of course, hand-deliver or post.

If your customers do not pay your invoices, read more about your options in our guide on bad debts.

The tax office provides guides on requirements for tax invoices here.

SUMMARY – How to Invoice

Accurate invoicing will help you keep your business in check and the ATO happy. An invoice can be easily created. You can use an accounting package to help with the greater task of managing to invoice and your accounts. If your turnover exceeds $75,000, you must provide invoices that specify GST. Invoices are not required for amounts less than $82.50, including GST.

Temporary full expensing

Posted on March 31, 2021 by Angus Jones

Following the COVID support instant asset write off available for small business in 2020, the Australian Government announced in October 2020 Temporary Full Expensing which allows a business to temporarily write off business assets in full.

The Australian Government has announced a temporary measure to allow businesses to claim an immediate deduction for the full cost of eligible capital assets.

WHY should I care?

This means you can write an eligible asset off in one year versus over the useful life as deemed by the Australian Tax Office. For example, a bar refrigerator in a restaurant normally would need to be written off over 10 years, under this measure the fridge’s cost can be written off against your business assets in one financial year.

WHAT do I need to know about temporary full expensing?

The eligible period is for the 2020-2021 and 2021-2022 taxation years and is for assets first held between 6 October 2020 and 30 June 2022. Thus, it is currently scheduled to end June 30th 2022. Your business must have an aggregated turnover of less than $5 billion, and you cannot make any other claim under other depreciation rules.

You may deduct the business portion of the cost of eligible new depreciating assets and the cost of improvements to existing assets. This measure also is available for 2^nd hand assets if your turnover is below $50 million.

Suppose your business makes a loss for the financial year after claiming a full expensing deduction. In that case, you can carry your loss forward to use in future taxation years.

If you wish to depreciate a vehicle, you have a limit for a car of $59,136 in the 2021 financial year. Commercial vehicles with either the ability to seat 9 people or more or have a load capacity of 1000kg or more have no limit.

HOW do I fully expense a capital item

You will be able to fully expense an asset within your 2021 tax return via forms that will be available from July 1st 2021.

From our earlier example, if the new bar fridge bought in March 2021 cost $3,000 and was used 100% for business, the $3,000 cost could be included in the 2021 tax return as an expense versus only $300 if temporary full expensing was not available.

Small businesses that elected to apply simplified depreciation rules have been given an amnesty allowing them to take advantage of temporary full expensing.

HINTS

More information is available from the tax office here.

Your accountant can assist with the process.

More information can be found about completing a tax return in our guide on a small business tax return.

SUMMARY – Temporary full expensing

This is a great initiative by the Australian Government, which not only benefits your expense deductions but may also have a flow-on effect of increasing your sales if you sell items likely to be depreciated by other businesses. This temporary measure allows your small business to expense a capital item in the current financial year rather than over several years. You can claim this simply through your end of a financial year tax return.

Sharing Sensitive Data

Posted on March 17, 2021 by Angus Jones

Veritas Technologies, a global leader in data protection, availability and insights, has revealed new research highlighting the dangers of sharing sensitive data by misusing instant messaging and business collaboration tools. In Australia, 66% of employees have admitted to sharing sensitive and business-critical company data using these tools, the survey found.

The Veritas Hidden Threat of Business Collaboration Report polled 12,500 office workers across ten countries, including 1000 in Australia. Shows employees take data out of the businesses’ control that employs them, exposing companies to risk. 53% are saving their own copies of the information they share over IM, while, conversely, 47% of knowledge workers delete it entirely. Either approach could leave companies open to significant fines if regulators ask to see a paper trail.

Sensitive data being shared by employees on these channels includes client information (15%), details on HR issues (10%), contracts (12%), product development information (12%), and even COVID-19 test results (12%). Just a third of employees suggesting that they hadn’t shared anything that could be compromising. The research also reveals that, while employees use collaboration tools to close deals, process orders and agree on pay raises, many do this despite believing that there will be no formal record of the discussion or agreement. In fact, only 48% thought that the businesses they worked for were saving this information.

According to Geoffrey Coley, Director, Strategy & Architecture, Asia South and Pacific region, at Veritas Technologies, “For many Australians, our entire way of work has been reset since the start of 2020. Companies are rushing to bolster their data protection ways of working to include the platforms where their business is actually being conducted.”

Increased use is compounding issues

The research shows that the challenge is compounded by the amount of time employees are now spending using messaging and collaboration apps. Time spent on tools such as Zoom and Teams has increased by 21% since the start of the pandemic. This means employees are now spending, on average, 2.3 hours every day on them, with 21% of employees spending more than half their working week on these applications.

A significant amount of business is now being conducted as routine on these channels, and employees are taking agreements as binding. For example, as a result of receiving information over messaging and collaboration tools, 24% of employees have accepted and processed an order, 21% have accepted a reference for a job candidate, and 20% have received a signed version of a contract.

Sensitive data is shared on these tools even though 29% of knowledge workers have been reprimanded by bosses for their use. However, these admonishments may have been in vain as 75% of all workers responding to the survey said that they would share this kind of information in the future.

Geoffrey said: “Getting employees to use ‘approved’ methods of communication and collaboration tools is an uphill battle. Instead, our message is simple: don’t fight it – fix it.”

IM trusted nearly as much as an email

When asked which methods of communication provide the most reliable proof that an agreement is binding, the trust that workers had didn’t appear to be based on the ability of a business to capture the discussion as evidence:

Email is viewed as a reliable affirmation of an agreement by 97%, followed by a written letter at 96% and electronic signature a close third at 92%
Instant messaging platforms, including Zoom, Slack and Teams, were still trusted by 90%, text by 89% and WhatsApp by 77%
66% even viewed social media as reliable proof that something has been agreed

“Business data is sprawled across different locations. Deals are being done, orders are being processed, and sensitive personnel information is shared through video-conferencing and messaging platforms. It’s now critical for companies to include this rapidly growing volume of data in their protection and compliance envelope. If they don’t, the implications could be huge,” concluded Geoffrey.

Veritas recommends the following steps for businesses that want to regain control of data being shared over messaging and collaboration tools:

Standardise on a set of collaboration and messaging tools that meet the needs of the business – this will limit the sprawl
Create a policy for information sharing – this will help control the sharing of sensitive information
Train all employees on the procedures and tools that are being deployed – this will help to reduce accidental policy breaches
Incorporate the data sets from collaboration and messaging tools into the businesses’ data management strategy using eDiscovery and SaaS data backup solutions – this will empower users to make the most of the tools without putting the business at risk

For more information on sharing sensitive data see Small Business Answers guide on Internet Security protects from cyber threat

Methodology

Research conducted and statistics compiled for Veritas Technologies LLC by 3Gem. A total of 12,500 office workers who used communications channels as part of their job were interviewed between 23 November – 8 December 2020 in Australia, Brazil, China, France, Germany, Singapore, South Korea, UAE, United Kingdom and the United States.

Finances tips when self-employed

Posted on March 12, 2021 by Angus Jones

Working for yourself and running your own business provides many advantages, including creative freedom, independence, and the flexibility of managing your own schedule. At the same time, self-employment comes with great responsibility.

The somewhat unpredictable nature of self-employment requires you to manage your money well. The sooner you get on top of your business finances, and by extension, your personal finances, the greater your chances of running a successful business.

Leading Australian life insurer TAL’s Head of Financial Health, Jo Hetherington, shares five tips to help make self-employment work for you.

1. Explore your options when it comes to deciding on your business structure

One of the key decisions you’ll make when starting a new business is what structure to operate under. Would it be best set up as a sole trader business, a partnership, a trust or a company structure? Your business structure identifies how you operate and will be dependent on the size and type of your business, your plans to expand the business, and your personal circumstances.

It’s essential to choose a business structure that enables you to reach your unique goals. It can affect things like who is making the critical decisions, tax advantages and disadvantages, how profits and losses are shared, and any legal obligations.

It’s a good idea to seek expert advice and discuss your proposed structure with an accountant or a financial adviser.

For more finances tips when self-employed, see Small Business Answers guide to choosing a business structure

2. Consider the value of insurance

To ensure you’re protected, most self-employed people should consider a variety of insurance, such as business buy/sell, loan or key person insurance, public liability, and public indemnity.

As the owner of your own business, you are your most important asset. It’s important to consider how you or your business would survive financially if you had to spend months, or longer, out of business because of an unforeseen circumstance like an illness or accident.

Further, income protection and business expense insurance needs should be considered. These could help you stay on top of your business and personal expenses if you could not work temporarily, giving you time to focus on your recovery.

For more finances tips when self-employed, see Small Business Answers guide to business insurance

3. Stay on top of your taxes

A key consideration for self-employed people is to understand what you owe the government and what you can claim. To avoid any tax-time surprises, periodically review and think about your taxes throughout the year, not only at tax time.

Be sure to take advantage of any government support that may be available to you. For example, you may be eligible to buy equipment for your business needs and access cash flow benefits from the Federal Government’s Instant Asset Write-Off Scheme. Eligible businesses can claim an immediate deduction for the business portion of an asset’s cost in the year the asset is first used or installed ready for use. As of January 2021, instant asset write-off is only available for small businesses with a turnover of less than $10 million. The threshold is $1,000.

Suppose you do have a particularly complicated tax component to your business. In that case, you may also want to find a tax accountant to help you keep tabs on your taxes.

The Australian Government Business Website has a range of information, grants, services, and support from across government to help your business succeed.

For more finances tips when self-employed, see Small Business Answers guide to the tax return for small business

4. Keep your cash flow going

Cash flow is the backbone of your business.

It is up to you to keep money aside. Regularly setting aside a little extra will help you manage during any quiet periods or if something unexpected pops up.

To help with your cash flow, try to bill early and collect quickly. You can do this by encouraging your customers to pay on time (or even earlier) by offering incentives to reward early payment. Creating invoices that are as clear and detailed as possible can also guard against late payments.

For more finances tips when self-employed, see Small Business Answers guide to record-keeping

5. Don’t underestimate your expenses

To get you started on the right path, you should be looking for ways to streamline your expenses. Focusing on spending only on what you need at the time will allow you to avoid overcapitalisation.

For example, when investing in facilities and equipment, it’s best to start small and take your time comparison shopping before choosing vendors or service providers that can provide you with the best possible deal.

Being your own boss also means that you need to be responsible for keeping your financial records up to date. Be sure to keep accurate records so you can confidently navigate your books in the long run.

For more finances tips when self-employed, see Small Business Answers guide to expense management

Empower remote work

Posted on March 12, 2021 by Angus Jones

34% of Australia’s small and medium businesses (SMBs) are expected to convert to a 100% laptop setup post-COVID-19, underscoring the importance of mobility in a hybrid workplace to empower remote work.

This finding is one of the many interesting strategic insights revealed in an IDC Survey Commissioned by ASUS. The survey explored how SMBs are adapting their technology use and how COVID-19 has affected technology decisions.

Long-Term Remote Work Arrangements

For Australia in particular, the survey found that over half of SMBs (68%) were ready for WFH arrangements brought about by the COVID-19 pandemic. Over a third (33%) of those SMBs said they were not completely prepared with the office equipment and software to enable remote working. 50% of employers expect their workforce to return to the office once the situation is resolved as opposed to the APAC average of 45%. This revealed a general lack of long-term planning for remote working by Australian SMBs.

“Equipping staff with the appropriate technologies for remote working has turned pivotal in enabling a positive employee experience and enhancing productivity,” said Simon Piff, Vice President, IDC, Asia/Pacific. “Purchasing decisions on devices – laptops in particular – need to be reassessed to keep pace with employee expectations, especially among the younger generation of workers who are more digitally astute and are demanding more flexible working arrangements”.

“ASUS has a good understanding of how people work and their requirements, and we were able to draw on this experience to adapt quickly and help our customers manage the challenges”,. said Emma Ou, Country Manager, ASUS ANZ.

Emma continued. “Businesses that adopt more modern, flexible ways of working with the help of digital technology will reap the benefits of greater resource management, streamlined processes, more efficient workflows, and deeper, more actionable insights based on their data.”

Other key Australian SMB findings from the survey include:

54% of employees in Australia want to have a say in the allotment of their devices but in reality 75% of businesses in Australia provision laptops as a standard offering where it is purchase by the company
49% of employees stated that businesses that offer advanced equipment and flexible working arrangements have a competitive edge over other companies
Australian businesses adopt a tactical rather than a strategic approach to laptop refreshes that are meant to occur every 3 years. SMBs in Australia hold onto their laptops a little longer than their APAC counterparts. ASUS speculates that this is because Australian SMBs tend to buy more expensive and powerful systems than the rest of APAC, which extends service life.
- 49% of businesses only refresh laptops when the staff complain that they are slow, and another 47% only do so when they are broken, whenever the budget allows
- 42% of Australian businesses are considering procuring laptops/desktops under a lease model. However, the budget is the primary concern
63% of Australia’s millennials said mobility is pivotal in laptop purchase decisions. This includes all-day battery life, lightweight, fast charging and compact size
Almost one-third of organisation in Australia state that more than 30% of their physical meetings are shifting online, with 72% of local organisations using a laptop for web conferencing with a built-in camera and microphone

Looking ahead to empower remote work

The survey infers that equipping employees with the latest devices that can empower remote work and hybrid work environment will significantly impact employee productivity and experience and provide a competitive edge to organisations to attract and retain talent.

“The need for remote working increased tremendously in 2020, and there was still great uncertainty about how coronavirus will shape business in the coming years”, said Emma Ou, ASUS ANZ Country Manager. “It was these conditions that led ASUS to develop and release new, innovative technologies that will help people get back to better productivity this year, no matter where or how they are working.”

Suggestions for Australian SMBs to implement technology :

Include laptops in as-a-service agreements – Give employees their choice in devices and move away from inflexible standardised units. An as-a-service model can also provide easy access to features previously found only in enterprise-grade, custom-developed devices.
Ensure employees have the right tools to do their job. Doing away with a one-size-fits-all strategy and adopting a more personalised approach to computing by offering employees the laptop of their choice, or based on computing needs, will improve productivity and efficiency.
Refresh laptops faster for better employee experience – Shorten refresh cycles of laptops to keep in step with workforce requirements and boost employee productivity and efficiency.

Find more information in our guide on which PC to buy

Survey Methodology

The “IDC Asia/Pacific Laptops and Workspace Trends Survey 2020” was conducted in mid-2020 in 10 countries across the Asia Pacific, including Australia. With 2,018 respondents across the Asia Pacific, with 200 of them from Australia – split equally between employers (IT decision-makers) and employees who use laptops for work – the survey sought to discover the critical challenges of remote working impacting SMBs and how their provisioning of laptops and other work devices has changed since mid-2020.

Which computer should I buy?

Posted on March 9, 2021 by Angus Jones

You need a new computer, some are $300 others are $3000. Where do you start? What do you need? In this guide, as we don’t understand your circumstances we cannot recommend the right computer but we will help you make that decision yourself.

PC is an abbreviation for personal computer. Personal computers allow us to write papers, create spreadsheets, track our finances, play games, and do many other things. If a PC is connected to the Internet, it can be used to browse the Web, check e-mail, communicate with friends via instant messaging programs, and download files. PCs have become such an integral part of our lives that it can be difficult to imagine life without them!

WHY do I need a new or different Computer?

The fact you are reading this guide means you are already considering a new PC.

The most common reasons for a new PC are:

New staff member
Old PC is too slow
Old PC has failed
Existing PC will not run the program you need
PC has been written off from a financial perspective or deemed too old to continue being reliable.

The question that needs answering here is what is the difference between a PC for home versus a PC for work? Not a great deal depending on what you do for work. These days a lot of home PCs have features built in to support gaming which is not much use at work unless you are doing graphic or video work.

A PC will not last forever and any moving part like a disk drive or fan is the most likely component to fail.

WHAT do I need to understand about a PC?

Walk into a retailer or go online and you will be presented with lots of choice and price points. There are some key decisions you need to make upfront before we look at how to evaluate a PC.

Desktop or Laptop – Laptops may also be called notebooks, which are generally slightly smaller. A Laptop is portable whilst a desktop is not. A desktop can be more powerful, have more connection port options and upgradeable but few people except for gamers ever upgrade their desktop by replacing components. Historically desktops are cheaper for similar specifications but not always. If the user will work away from the office they should have a laptop.
1. Desktop – come as either a tower unit which is large upright box, compact or small form factor which places everything in a sandwich sided box, or an all-in-one which combines the components into the back of a monitor.
1. Laptops – are a self-sufficient solution with battery including screen, keyboard and touchpad (mouse). Features, screen size and weight distinguish models.
Operation system – Today there are four main types:
1. Microsoft Windows – most common and will run almost every software.
1. Apple Mac OS – traditionally favoured by creatives or anyone who has gone down the Apple ecosystem.
1. Google Chrome – a cheaper solution that combined with a lower specified hardware set without a hard drive will perform most functions via a browser and the internet. Popular in education today.
1. Linux– an opensource operating system which is very cheap and generally only used in specialised applications.
Tablet as PC replacement – Some modern tablets are so powerful they could be used as a laptop replacement. When combined with a keyboard they are essentially the same with a different operating system.

As more and more applications and solutions go to the cloud, the operating system is becoming more irrelevant and all you need is to run a browser connected to the internet. However, you do need to ensure that any specialist software or application your business will use can run on the device you buy.

HOW do choose which Personal Computer?

Now you have picked your form factor and operating system this starts to narrow down your selection. Next, you can compare at various retailers instore or online, alternatively visit a specific manufacturers website who sell direct like HP or Dell.

Very simply the higher the specification on each of the below technologies the more expensive the PC will be. If your needs are basic the most basic solutions will do the job but we will make some recommendations below based on value for money and suitability for 3 to 4 years usage.

Key technologies include:

Screen or Monitor: built into a laptop and often bundled with a desktop. Similar technology as a TV. Two factors to consider are screen size measured in inches and resolution. For desktops, we recommend a 27-inch display with Full HD (1920×1080 pixels) resolution. Those doing graphics or video work should consider a larger display with a 4K resolution. More money will also buy more accurate colours.

Processor or CPU: This is your brains of the PC and will be an Intel or AMD product. The bigger the number the faster it will complete a task but at a higher cost. A good sweet spot is an Intel Core i5. Those doing complicated mathematics or graphics should spend more money here.

Memory or RAM: This is the PC’s short term memory. It controls how much it can remember in real-time. 8GB is the sweet-spot, however, most devices can be upgraded if not enough.

Storage or hard drive: This is the long term memory and the place you store all your applications and files. A standard hard drive has moving parts and is cost-effective and can store large amounts of data. A modern alternative is a solid-state drive or SSD which essentially uses computer chips to store data. An SSD is very fast to boot and access files. If you are using a laptop we recommend using an SSD of 256GB, if using a Desktop SSD would be good but 1 TB drive is the sweet spot. In a desktop having both an SSD and hard drive will give you speed and greater storage.

Graphics card: Unless you are using graphic intensive programs, we don’t suggest you need this functionality as the basics are built into the processor. Graphics cards are very popular with home gamers.

Connections: This is how you connect devices to your PC. We recommend you ensure you have the following ports-

HDMI to connect an external monitor.
USB 3 to connect keyboards, mouse, printers, memory sticks, camera’s etc. Two or more ports recommended.
Thunderbolt (not essential but replaces both of the above).
WiFi is how you might connect to the internet wirelessly (see Set up a WiFi network guide).
Ethernet will only be required if you want a cable connection to the internet from the PC.
Bluetooth allows you to connect wirelessly to a mouse, keyboard or your smartphone.
Speakers are included in a laptop but generally needed to be added to a desktop.
SD card slot (not essential) makes it easy to transfer from this medium used in cameras and phones.

You will need to consider software for your new PC and further details on this can be found in our guides on office productivity software and internet security.

HINTS

Visit the gadgetguy website to see reviews and recommendations on various PC products.

How to choose a Windows laptop – a guide for home and office use 2021

Watch out for specials. As this is such a competitive market they are always around and will save you some money.

Next year’s technology will always be better so just accept your PC is out of date soon after you buy it. However, most 3-year-old computers can handle any solutions currently available today.

Ensure you also read our guide on Backup- keeping your data safe.

Your IT support business or computer retailer can also recommend suitable models.

SUMMARY – understand the computer jargon

Buying a new PC can be a daunting task with lots of jargon and so much to choose from. If you stick to reputable brands and understand the implications the various technologies have on the performance of a PC your decision becomes easier. Make sure that what you buy will support the applications and solutions you need to run within your business.

Telstra Go Digital to help small business

Posted on March 5, 2021 by Angus Jones

Telstra has announced an $8.5 million investment in the future of Australian small businesses. By handing over prominent advertising space at the nation’s biggest football stadiums and launching a service to help them plan for and benefit from Australia’s rapidly growing digital economy.

Telstra will offer small businesses free Telstra Business Go Digital Consults throughout 2021 as part of the multi-million dollar plug for the backbone of Australia’s economy.

Small businesses that register their interest for a Telstra Business Go Digital Consult will have the chance to win a takeover of Telstra’s premium advertising at AFL and NRL games across the country in the first week of May.

Telstra Consumer and Small Business Group Executive Michael Ackland said the initiative comes after a year that saw more customers than ever seek to interact with businesses online.

“Australia’s small to medium businesses deserve both a Dally M and a Brownlow medal for how they have kept themselves and our economy running during an incredibly challenging period. They’ve earned an opportunity to have their name up in lights,” Mr Ackland said.

“We’ve seen a massive acceleration in the number of customers shopping online over the past year. To harness this opportunity now is the time for more small businesses to go online and interact with customers in new, digital ways and embrace more efficient selling, marketing, and invoicing.

“More businesses going digital could help grow Australia’s economy by $90b and create up to 250,000 jobs in the next five years. We know this is a big change for many small businesses, so we are offering free Telstra Business Go Digital Consults to help businesses embrace the digital economy.”

Launching Telstra Go Digital

Telstra’s new Telstra Business Go Digital Consult will be offered free to all SMB customers throughout 2021 – a value of approximately $7.5 million.

The new service (RRP$149) helps businesses be their best online through a consultation by a Telstra Small Business Expert of their digital touchpoints. From online marketing and cybersecurity to e-commerce and employee engagement, identify gaps, vulnerabilities, and opportunities. They then help equip the business with a tailored report and roadmap to go digital.

The Go Digital Consult also unlocks a host of exclusive offers with Telstra’s extensive partner network providing SMB support, including Small Business Australia, Samsung, Cisco, Spotzer, Facebook and Microsoft.

Helping SMBs reach new audiences through mass exposure

Eligible Telstra Small businesses who register for a Telstra Business Go Digital Consult and enter the competition online before 23 March will also get the chance to get unprecedented access to some of the country’s most valuable and coveted sports advertising. By taking over Telstra’s premium AFL and NRL sponsorship at each stadium hosting games during Telstra Small Business Week (May 03 – 06).

Winning SMBs – they could be a local tattoo parlour or a fruit and veg shop and more – will each be plugged in one of 17 stadiums across the country. With placements previously only accessible to big business with significant marketing budgets.

From seeing their name up in lights in signage takeovers to on-screen plugs from iconic sports commentators, Telstra is helping propel small businesses to new heights.

For more information see Small Business Answers guides on:
Marketing
Website domain and email
Build a website

Why Aussies start their own business

Posted on March 5, 2021 by Angus Jones

Xero’s new Tipping Point report uncovers what motivates Aussies to become self-employed, the hurdles to start own business and the qualities of a successful sole trader

Xero’s Tipping Point report is based on a survey of more than 800 existing sole traders with no employees and 200 aspiring business owners. The research uncovered the motivations for starting a business and the challenges they face along the way.

Australians have long felt an innate desire to carve their own path as ‘solopreneurs’. More than two in five (43%) sole traders have always planned to be their own boss, and close to one in four (23%) have maintained this from a childhood dream.

But starting a small business is not simply about coming up with a big idea. The research revealed the tipping point to business ownership is a combination of becoming convinced of the opportunity, the lure of financial independence, and dissatisfaction with their current work situation.

Trent Innes, Managing Director Australia and Asia, Xero said. “Australia is a nation of self-starters, with sole trader ventures accounting for the majority of our homegrown businesses. Xero’s Tipping Point report reveals that the Aussies who make this leap are driven by the freedom and independence that comes with working for yourself. While many of us may like to lay claim to a great business idea at one time or another, this research shows it takes a particular person and special set of circumstances to truly turn that idea into reality.”

Be your own boss

Among the biggest motivators to start your own business is the desire to gain freedom and control. Making their own decisions (47%) and working for themselves (46%) were top of the list as reasons for sole traders to branch out. Passion and creativity follow closely behind, with just under a third (32%) choosing to follow their passion and wanting creative freedom (31%).

Seeking the freedom that comes with being their own boss. Many solopreneurs were drawn into career independence due to feeling stuck in a ‘rut’ in their previous jobs or careers. Four in five (79%) sole traders felt negatively towards their last job or career before they went out on their own, with millennials aged between 30 and 39 the most likely to fall in this category. The most common feelings were unhappiness with a former manager (34%), frustrations with lack of control (32%), feeling like they were going nowhere (31%) and feeling uninspired and unmotivated (30%).

Tackling the hurdles of going solo

Along with the joys of working for yourself, there are also challenges. Unsurprisingly, finance is one of the main obstacles’ sole traders face in the initial planning phase. Budgeting for unknown costs was a key challenge for more than a third (39%) of sole traders. Other challenges included staying organised and on track (55%), driving customer acquisitions (53%), and knowing where to get started (38%).

Overcoming perceived mental obstacles – particularly the confidence to go it alone – were reported as genuine road bumps on the sole trader journey. More than two in five (44%) respondents felt they had to generate self-belief and reduce self-doubt. One in three (34%) were concerned about overcoming fear, worry and anxiety.

Luckily, there is moral support to be found amongst your nearest and dearest when you first decide to go it alone. Sole traders leaning on family members as their go-to (37%), followed by a romantic partner (29%) and a colleague/friend (27%). Beyond those in their personal circles, one in five (19%) turn to an accountant for advice when starting out.

Start own business: Top attributes

The report found that being optimistic, having a strong work ethic and being adaptable are vital characteristics for success. For those looking to start out, two in five (40%) view reliance on effective digital tools as critically important. Despite this, less than 38% of existing sole traders have a website, and among those that do, less than half (48%) can make sales transactions through their website.

While solopreneurs may be slow to adopt technology. The research found that almost two-thirds (64%) who used cloud accounting software during the pandemic believed it played a crucial role in supporting their business.

COVID-19 a catalyst to start own business

The pandemic has not dimmed the entrepreneurial spirit of aspiring sole traders, with many feeling optimistic about their short-term business prospects. In fact, two in five (41%) say the past year’s events have increased their desire to start a business.

“Australians have shown remarkable resilience in the face of the pandemic, and nowhere is this more evident than in the micro and small business sector. It’s this inherent resilience that will drive many aspiring business owners to get their idea off the ground in 2021 and gain the autonomy they’ve longed for – sometimes from as early as childhood,” Innes concluded.

Traits perceived by sole traders as critical to success

Personal habits	Organisational habits
Stay positive and take things in their stride (69%) Adhere to a strong work ethic (65%) Keep adaptable and open to change (62%) Attention to self-care – mental and physical health (57%)	Meticulous record-keeping and knowing their numbers (60%) Maintain a decluttered and organised operation (52%) Always plan ahead and have contingencies (51%) Create procedures and processes (51%)
Time management habits	Business management habits
Ability to separate work and family life (51%) Daily goal setting (47%) Focus on time management and task prioritisation (46%) Establish routines (44%)	Network regularly (48%) Seek advice from experts/ mentors and able to ask for help when needed (45%) Invest back in the business (40%) Lead by doing (38%)

Small Business Answers guide to starting a small business can be found here