About Angus Jones

Angus started his first small business in 1989 and has since gone on to have a successful career in marketing. He realised although there were many websites for small business none was addressing the question of how to. Angus has a passion to articulate benefits that add value to customers/readers.

D-Link affordable 10 Gigabit Smart Managed Switch

D-Link A/NZ has extended its 10 Gigabit Smart Managed Switch range with two new models that boast a higher port count and 25GE support. The new DXS-1210-28S and DXS-1210-28T 10 Gigabit Smart Switches offer cost-effective, intelligent options as potential Enterprise Aggregation points, affordable Access layer solutions, or as SMB Core Switch network roles.

D-Link A/NZ MD Graeme Reardon said, “The new DXS-1210-28S and DXS-1210-28T Smart Managed Switches represent truly affordable 10GB Switching. The DXS Series offers 10GB ports across the entire range and joining this series we now have the DXS-1210-28T which enjoys not only 10GB ports, but also four 25GB uplink ports that users could combine into a 100GB uplink if necessary. Alongside this, the DXS-1210-28S has all 10GB SFP+ ports and 10GBASE-T copper ports, giving users many deployment options between these two new Switches. In short, they are advanced, Smart Managed switches that provide a cost-effective way for businesses to get access to a full 10GB switch solution.”

The DXS-1210-28S and DXS-1210-28T represent two new high port count additions to the DXS-1210 Series. From access and aggregation in an enterprise network to forming the core of a smaller business network, these new additions provide intuitive, flexible and cost-effective options for IT Managers. 

The DXS-1210-28S is equipped with 24 x SFP+ ports and 4 x 10GBASE-T ports, allowing long-distance connectivity using fibre transceivers as well as the flexibility of additional copper ports. Both Switches offer high performance and low latency that are well suited to support virtualisation, cloud services, and server-to-server applications, making them the ideal choice to manage high-bandwidth demand.

The DXS-1210 Series Switches offer a robust line-up of L2 features to improve the manageability and performance of a network. These include port mirroring, Spanning Tree Protocol (STP), and Link Aggregation Control Protocol (LACP). They also offer lite layer 3 functions such as wire-speed inter-VLAN static routing to further enhance network efficiency by reducing the pressure on Routers and backbone networks. 

Each of these DXS-1210 Series Switches also offers a range of sophisticated but simple to deploy security features including D-Link’s innovative Safeguard Engine™ which works to protect against traffic flooding caused by malicious attacks. Additionally, the Switches support 802.1X port-based and host-based authentication for network access control as well as ACL, ARP spoofing prevention and DHCP server screening to enhance network security and improve protection against threats.

D-Link’s Green technology capabilities help the switches minimise power and cooling demands, powering down unused ports, when possible, to save resources and reduce their carbon footprint.

The DXS-1210 Series can be managed through its multi-lingual Web UI, a full command-line interface (CLI) via Telnet or console port, as well as with the D-View Network Management System.

Availability and pricing 10 Gigabit Smart Managed Switch

The new DXS-1210-28S and DXS-1210-28T 10 Gigabit Smart Managed Switch range are available from www.dlink.com.au (RRP AUD$3,399.95 and $4,399.95) and from all D-Link Certified Partners and Resellers.

Also read Small Business Answers guide to a computer network for small businesses.

Small business restructure to clean up old debt

As the economy continues to battle the ongoing waves of COVID-19, businesses who are struggling to pay legacy debts may be left wondering what their future might look like. A small business restructure may be the answer.

In support of businesses under pressure, the Australian Tax Office (ATO) has encouraged taxpayers to lodge their returns on time to receive stimulus payments, such as Jobkeeper, even if the taxpayer couldn’t pay the underlying tax debt. As such, the ATO recently reported that business tax debt has ballooned from $24.9b (30 June 2020) to $53.8b (30 June 2021 – pre-Omicron).

The Small Business Restructure (SBR) process was introduced to enable eligible businesses to compromise their debts with their creditors’ agreement to maximise the chances of trading viably in the future. Unlike any other insolvency procedure, under the SBR process, business owners remain in control of their business during the restructuring.

While the ATO scaled back its debt recovery actions for much of the pandemic, it has recently taken a more assertive approach with an expectation that businesses address tax debts, usually by way of repayment plan, in some instances up to three years. The SBR is a viable alternative to a repayment plan. It can also be used to prevent directors from being individually liable either for Insolvent Trading or if they received a Director Penalty Notice from the ATO to personally repay the entirety of the company’s tax debt.

John McInerney, Partner – Financial Advisory at Grant Thornton, said: “While a repayment plan may appear attractive to a debt-riddled business owner, there is often a failure to adjust the underlying business model, in which case the business may end up collapsing with a heavier debt burden.

“As businesses find their feet in the new normal, advisors will be called on more than ever to assist clients to deal with legacy debts, including the ATO in many cases. The ATO was a major creditor in 70 per cent of SME insolvencies pre-COVID, and is now likely over-represented in the creditor pool as a result of the growth in ATO business debt during the pandemic.”

Throughout the SBR, creditors are prohibited from taking action against the business to recover money and/or property, including terminating contracts and formal debt recovery proceedings. Directors are assisted through the SBR by a restructuring practitioner, who must be a registered liquidator.

“Based on our recent engagement with the ATO, they are supportive of the new SBR process introduced 1 January 2021 to manage the predicted tsunami of insolvencies. To date there has been an approximate 90 per cent success rate for businesses who have undertaken the Small Business Restructure, which is a high success rate,” continued McInerney.

Which companies are eligible for a Small Business Restructure?

  • Liabilities – Total debts must not exceed $1m.
  • Tax affairs – All lodgements must be up to date.
  • Employee entitlements – All employee entitlements that are due and payable must be paid in full (including superannuation).
  • Limitation on time period – The company and its directors (current or in the previous 12 months), must not have engaged in a Small Business Restructure or Simplified Liquidation process in the past 7 years.

Easier travel bookings CT.GO

Australia’s leading travel management company for SMEs, has launched a new and improved iteration of its online booking platform. Called CT.GO, the new functionality enables businesses that partner with Corporate Traveller to implement the new online booking tool in just 24 hours.

This means that customers can onboard with CT.GO and start making bookings the next business day. Or if they have specific travel needs, customers can select a more customised solution.

Corporate Traveller General Manager Tom Walley said the new online booking solution was a winner with SMEs that wanted a quick and easy online booking solution that comes with all Corporate Traveller’s premium business travel products.

“This is a fully-integrated online travel booking solution for businesses that want to book trips with minimal fuss. Your business and travellers will have full access to our global travel network by the next business day,” Mr Walley said.

“Not only does CT.GO fast-track the onboarding process, but the solution means customers also get to use our AI-powered online booking tool Savi, our award-winning mobile app Sam – and they get a slick and easy-to-navigate user interface.

“It’s one platform with single sign-on for all your travel needs that can be rolled out rapidly and at no cost.”

Businesses using CT.GO allows travellers and bookers to manage all aspects of their travel. This includes being able to manage or view profiles, passport details, rewards and frequent flyer programs, travel alerts, travel invoices and expense reports.

Key features of CT.GO include:

• Free, next business day implementation

• Intuitive user interface for simple, fast, and easy management of travel bookings

• Full integration with Qantas Business Rewards and Accelerate for air travel savings and benefits

• Easy access to all Corporate Traveller’s negotiated SmartSTAY and SmartDRIVE rates to ensure customers are saving on accommodation and car hire

• Efficient payment options you can tailor to your billing cycle.

“CT.GO is an excellent solution for businesses with decentralised travel programs in that the onboarding process could be as quick and easy as customers required, with a fast self-registration process for staff travellers and bookers,” Mr Walley said.

“Or if companies wanted more hands-on training this also was provided. CT.GO is a cost and time efficient solution for businesses with simple travel needs but who still want access to all the bells and whistles technology that we offer.”

eftpos 2 factor authentication with GPayments

Australia’s debit card system, eftpos, is continuing its rollout of secure online payments options at a pace, today announcing the certification of local fraud and risk management company GPayments’ 3D Secure Server solution, ActiveServer. 

GPayments’ ActiveServer is now certified with eftpos Secure and can potentially make the eftpos-enabled two factor authentication security service available to hundreds of Australian merchants, gateways and acquirers, including some leading Australian supermarkets over the coming months. 

eftpos CEO Stephen Benton said eftpos’ online security capability is crucial to the evolution of Australia’s post-COVID digital payments ecosystem, in order to drive competition and bring to life features designed to keep Australians safe in the Digital Economy.

Mr Benton said GPayments’ ActiveServer was  certified for eftpos Secure, and eftpos’ security kit bag now included two factor authentication (3DS), tokenisation, automated Disputes and Chargebacks, a digital identity solution, connectID, and a new AI fraud detection engine.

eftpos’ continuing online rollout follows the Reserve Bank of Australia’s decision in October that Australian banks are expected to offer and promote Least Cost Routing (LCR) for ‘tap -and-go’ transactions by the end of 2022.

Mr Benton said eftpos’ extension further into online payments will quickly drive much needed large-scale competition and should place downward pressure on transaction costs.

“Our suite of world class eCommerce products and services is part of a $100m eftpos funded digital upgrade to deliver the next generation of secure payments technology,” Mr Benton said.  “In some retail sectors, online shopping is becoming the new norm, due to the COVID-19 pandemic. This makes fraud prevention and detection all the more important for Australian consumers and merchants transacting in the digital economy. We need to provide the very best protections we can to keep people safe.

For online transactions eftpos is already available for some Card On File payments where banks have implemented the service for their merchant customers, and Deposits and Withdrawal payments via the Beem It mobile wallet.  The rollout of eftpos online is now accelerating and will become broadly available by the end of the year.

GPayments’ ActiveServer enables merchants to take advantage of key liability shift and avoid chargebacks by placing the responsibility for cardholder authentication with issuers. 

GPayments CEO and Founder Bahram Boutorabi said GPayments’ was very pleased to be connecting with eftpos, a fellow Australian company, on fraud risk management solutions that help safeguard the payment ecosystem end-to-end. 

“This is a great way to celebrate the 30th anniversary of our company by achieving eftpos Secure certification to support local industry in Australia,” Mr Boutorabi said.

Cheap Rapid Antigen Tests

An Australian auction company, Lloyds Auctions is carrying the baton for the private sector, by supplying over 400,000 highly sensitive bulk cheap Rapid Antigen Tests to Australian businesses as one of the Nation’s cheapest tests available for only $8 each.

“Aussie businesses have been left with only breadcrumbs to survive on during this pandemic, so we are choosing to help support struggling businesses by providing bulk quantities of Rapid Antigen Tests for only $8 each with no limits.” said Mr. Lee Hames, Chief Operations Officer for Lloyds Auctions.

“As Josh Frydenberg commented today, it is time for the private sector to take the baton and continue to run hard,” stated Mr. Hames.

The 400,000 tests available are known as Cellife, one of the highest quality RAT tests on the market and available for distribution now.

“It should be recognised that not only have individuals been struggling to get these tests but both small and large Australian businesses, these are the people keeping our economy going and they are struggling to continue trading without having these Rapid Antigen Tests on hand.” said Mr. Hames.

“For this reason, we want to guarantee a supply to as many Australian businesses as possible allowing them to specify the quantity they need,” continued Mr. Hames.

Lloyds Auctions are known for their contribution towards the community where back in March 2020 at the start of the pandemic, they were fortunate to receive thousands of bottles of sanitiser when Australia had next to nothing available. The team came together to give these sanitisers away to the community and have come into a similar circumstance yet again with these Rapid Antigen Tests.

“Like many Australian businesses struggling to trade during the pandemic we actually put a call out to our Lloyds family desperately asking for goods to sell on our site and someone replied saying they had hundreds of thousands of Rapid Antigen Tests for sale,” said Mr. Hames.

“Again, our team purchased tens of thousands of those which we gave away for free to individuals in need,” he continued.

“The response so far has been overwhelming both physically and emotionally for our team who are passionate about helping people who are really struggling to find or afford these tests, but it is very rewarding, and people are extremely grateful,” continued Mr. Hames.

People can head to the Lloyds Auctions website at www.lloydsauctions.com.au to purchase the Rapid Antigen Tests or contact family@lloydsauctions.com.au or call 1800 456 588 for a custom quantity of Rapid Antigen Tests for delivery until supply runs out.

D-Link EAGLE PRO AI Series features artificial intelligence


In its most significant new product launch for some time, D-Link has kicked off 2022 by unveiling its all-new R15 EAGLE PRO AI AX1500 Smart Router, M15-2PK and M15-3PK EAGLE PRO AI AX1500 Mesh Systems and E15 AX1500 Mesh Range Extender. The powerful new EAGLE PRO AI series combines the latest Wi-Fi 6 technology with artificial intelligence (AI) to offer incredible Wi-Fi coverage and speed – delivering a continuously optimising and improving network, ideal for home users and small offices.


D-Link A/NZ MD, Graeme Reardon said, “The EAGLE PRO AI Series is particularly significant as it is the first series to offer a complete range of products that not only integrate the latest in Wi-Fi 6 technology with artificial intelligence to offer incredible Wi-Fi coverage and speed, but have been specifically designed to do so together, from the ground up. This means users get the most seamless, powerful, efficient and easy to use Wi-Fi experience possible.”

The R15 EAGLE PRO AI AX1500 Smart Router offers dual-band wireless speeds of up to 1,500 Mbps, delivering blazing-fast Wi-Fi with increased range and reliability and Wi-Fi coverage of up to 230 square metres. This allows Wi-Fi to be experienced like never before and offers a perfect solution for those who require stable Wi-Fi with minimal interference. 

Bringing Wi-Fi 6 technology and AI into one place, the R15 offers 1024 QAM, MU-MIMO and OFDMA to boost speed, range, and network efficiency. The built-in AI Wi-Fi Optimiser continuously scans for the Wi-Fi channels with the least interference to always offer the best connection.

At the same time, the AI Traffic Optimiser prioritises the most critical Internet usage for optimal online experience and stability. AI Parental Control offers users flexibility and control over children’s online activities ensuring their safety is always prioritised. 

The new router is easy to set up and manage and you can even create an extended mesh Wi-Fi with the E15 EAGLE PRO AI Mesh Extender or the M15-2PK and M15-3PK Mesh Systems. It also features the AI Mesh Optimiser, which strengthens the connection between mesh nodes with unique AI beamforming technology, to deliver seamless and reliable Wi-Fi. 

Managing your Wi-Fi has never been easier with the integrated AI Assistant which continuously reviews the network and monitors data usage, sending recommendations and weekly reports to the EAGLE PRO AI app.

D-Link’s new M15-2PK two-pack and M15-3PK three pack EAGLE PRO AI AX1500 Mesh Systems and E15 AX1500 Mesh Range Extender again offer incredible Wi-Fi 6 coverage and speed, similarly and continuously optimised and improved like the R15 through artificial intelligence and faultless connectivity.


The EAGLE PRO AI AX1500 M15-2PK and M15-3PK Mesh Systems are designed to offer seamless Wi-Fi coverage of up to 370 square metres and 500 square metres respectively, with the option to expand to a maximum of four units. Again, the AI Mesh Optimiser establishes the strongest link between them to give you a robust mesh network across your entire home.


The E15 EAGLE PRO AI AX1500 Mesh Range Extender allows you to extend your Wi-Fi to where it is needed most to experience next-generation Wi-Fi. When combined with an existing EAGLE PRO AI Smart Router or Mesh System it fully utilises all the AI functionality to once again create an intelligent Mesh Wi-Fi network that is continuously optimising and improving. At the same time, the integrated Gigabit Ethernet port allows you to easily connect a wired device such as a Smart TV to your Wi-Fi network.


Similarly, the built-in AI Assistant automatically reviews the network, sending recommendations and reports, accessible through the EAGLE PRO AI app or the device web configuration page, while WPA3 support means your Wi-Fi network is protected by the latest in wireless encryption technology.

What’s more, the EAGLE PRO AI Series is compatible with Google Assistant and Amazon Alexa, allowing users to use voice control to easily manage their network in the most convenient way.

The EAGLE PRO AI Series is available now from www.dlink.com.au and from all authorised D-Link partners and retailers at the following RRP:

R15 Eagle PRO AI AX1500 Smart Router – AUD$199.95

M15-2PK EAGLE PRO AI AX1500 Mesh System (2-Pack) – AUD$279.95

M15-3PK EAGLE PRO AI AX1500 Mesh System (3-Pack) – AUD$379.95

E15 EAGLE PRO AI AX1500 Mesh Range Extender – AUD$179.95

Read Small Business Answers guide to setting up a Wi-Fi network

Solve multi-lingual customer service challenges

iCT Group and Jeeves.Plus partnership solves multi-lingual customer service challenges for Australian businesses and government.

With only 6% of Australia’s top 50 customer-facing companies having multilingual capabilities, finally a solution. Privately held Australian company, iCT Group has partnered with Jeeves.Plus, an Australian Start-Up, to address challenges faced by companies and all levels of government dealing with customers whose first language may not be English.

The Jeeves.Plus Customer Service Platform harnesses all forms of messaging from Facebook Messenger to WhatsApp and streamlines communication from these applications into a single user interface. It translates all inbound and outbound messaging into the user’s choice of 109 languages along the way.

David Hayes, CEO of Jeeves.Plus, notes that “the COVID-19 pandemic has highlighted the urgent need to stay connected to our customers.”

“While we are compelled to keep distance from each other, many businesses have seen a massive increase in online traffic and phone, email or messaging queries”. 

“Similarly, Australia’s recent bushfire and flood disasters have shown a similar need for disseminating urgent information that can be understood clearly by all members of our community”.

“Covid has highlighted that this is an ideal time to partner with iCT Group. We can bring our technology to businesses across Australia who are struggling to handle the volume and urgency of these inbound requests, or maybe lacking the capacity to take advantage of the sales opportunities they present.”

iCT Group CEO Emile Nader and his team tested the waters with their clients and has had an immediate take-up of the technology with a major property group. 

“If there is one country on earth that embraces multiculturalism, it’s Australia. As a linguistically diverse society, we know that various communities comprise of people who are not yet fully proficient in the English language”, Emile said. 

“For this reason, we partnered with Jeeves.Plus to provide intelligent texting and messaging that can take an English phrase (or announcement) and instantly convert it into one of 109 languages. This makes it ideal for sales and marketing organisations as well as urgent government, medical, or safety alerts via text to reach one client, or warn an entire suburb. Nothing is better than a message that arrives in one’s preferred mother-tongue.” 

This is where the true power of messaging lies. Businesses or government organisations can message their databases directly, in any of 109 languages, achieving 98% open rates – a number unseen in email campaigns.

With a platform enabling multiple real-time multilingual conversations between customers and support staff, customer service anywhere can be radically changed to improve customer satisfaction and reduce stress on staff. 

For more information on multi-lingual customer service , contact iCT Group at:
Jason Rowland, General Manager, Jason.Rowland@ictgroup.com.au
Video Explainer –https://youtu.be/qhGLBy5m2uc

Businesses urged to help clean up Australia

Clean Up Australia is calling on businesses, of all sizes to step up and register for this year’s Business Clean Up Day, on Tuesday 1st March.

Business Clean Up Day is a meaningful way for businesses to demonstrate leadership, while also actively supporting their communities and boosting team morale.

While businesses are adapting to flexible and remote working arrangements, there are plenty of opportunities for teams of any size across Australia to get involved.

This could include simple one-off clean up events, hosting competitive multi-site corporate challenges, or booking in for virtual team-building sessions to inspire and motivate employees to reduce their environmental impact.

Through participating in a Business Clean Up Day, businesses can deliver lasting change to their community in a time when the environment needs it most.

Clean Up Australia Chairman, Pip Kiernan, says it’s more important than ever to get involved with Clean Up Australia.

“Right now, our environment is experiencing the full force of the pandemic,” said Ms Kiernan.

“We’re seeing a huge surge in single-use plastics and unprecedented numbers of face masks, takeaway coffee cups and food packaging littering our footpaths, parks and beaches. There has been no better time for Australian businesses to step up to support our communities and environment.”

“Not only is Business Clean Up Day a powerful team-building activity but can be a springboard for businesses to make ongoing changes to benefit the environment by supporting solutions which move us towards a circular economy – where everything is a resource, and there is no such thing as waste.”

If you can’t join a Clean Up, Ms Kiernan urges businesses to make a donation to Clean Up Australia or consider joining the charity’s Workplace Giving Program, facilitating employees to make small, regular donations through their pre-tax pay.

100% of funds raised through donations are allocated to the provision of educational resources and clean up materials provided free of charge to community, school and youth groups across the nation, all year round.


To register or donate, please visit cleanup.org.au

Business Clean Up Day – Tuesday 1 March 2022

Clean Up Australia Day – Sunday 6 March 2022

Jabra Elite 7 Pro review

At Small Business Answers, just like everyone else, we have work time and personal time where headsets/earphones become useful. The work time, we have lots of phone calls and video conferences, and the personal time I try to walk or ride a bike every day. Some of these walks will be on the phone to family or listening to podcasts/music. Thus I get plenty of opportunities to review headsets. Even if it does look pretty funny seeing me walk down the street wearing a full-blown over-ear headset. Then Jabra sent me a set of Elite 7 pro wireless earbuds to review.

On opening the package, you notice how small the earbuds are. Jabra quotes them as 16% smaller than a previous model and weighing only 5.4 grams. My experience is they fit comfortably in the ear. They don’t stick out like other earbuds I have, so they don’t make you look as dorky. I have tried to shake them out of my ears, and so far, they have stayed in, so you have a level of confidence that you will not lose one at an inappropriate time. Another benefit is when using them for video calls they do not interfere with your hair and participants may not even realise you are using earphones.

The package comes with three earbud sizes to ensure you get the right fit for your ear canal. Next, you download an APP and pair your earbuds with your Android or IOS devise. The APP has a nifty setup procedure that appears to tune the earbuds to your hearing ability using tones you must respond to.

These are top-end earbuds, so you expect the audio quality to be excellent, and it is for an earbud. Sound is one element but interacting with the sound in the buds and the sound around you is equally important. What I like is you can use one earbud or two. Thus, when I use them on a bike, I only use one to always hear surrounding noise. Wind noise is eliminated in the bud if you go into ANC mode or noise cancellation. You can switch out of this to a mode called hear through. Hear through, I found, slightly amplifies the surrounding noise, so great to listen to what people are saying without taking an earbud out. Taking an earbud out whilst listening to music or a podcast automatically pauses what you are listening to. Back to the bike, if I had 2 earbuds in with ANC activated, I would hear no wind but no surrounding noise. If I switch hear through on, I hear the surrounding sounds and the wind, as does the other participant if you are on a call. Thus a bit of a catch 22 but with a workaround.

The noise cancellation quality is excellent (ANC), although untested by me on a plane at this stage. The Elite 7 pro have a large press button on each earpiece which gives a great reassurance it has registered. When you push, you can action ANC on or off, answering a call, playing or pausing music, increasing volume or activating Google Assistant or Amazon Alexa. When compared to other models, I have tested. I found the real button control to work every time, allowing me to ignore my handset for complete remote control.

The Jabra’s allow Bluetooth multipoint, which means you can seamlessly connect to your computer one minute for a video call then to your mobile the next. The buds feel durable and come with a two-year warranty for peace of mind, including failure from dust and water once you have registered your product. Note these buds are splashproof, not waterproof, so don’t intentionally get them wet.

The Elite 7 pro come with a USB C to USB A charging cable and small magnetic docking and closure case. Jabra quotes up to 8 hours of continuous use, expanding to 30 hours using the charging ability of the case (dock). I really like that a 5-minute charge in the dock will allow 1 hour of listening time. The operating range of the Bluetooth is quoted at 10m, but my experience was greater than this.

You pay for quality at $299. A pair that you can use for personal and business use works out reasonable compared to having two separate solutions. The earbuds can be bought directly from Jabra or from most Australian retailers.

To learn more about choosing a headset solution, see Small Business Answers guide here.

Selling a small business

When we start a small business, we all dream of how much money we will make and at some point, we hope to sell it and enjoy the high life. The selling process can be overwhelming and time-consuming; this guide will explain the basics and help you decide how to move forward.

Selling your business is the process of putting your business up for sale by an owner or owners. Just as you needed a plan to get into business, you’ll need a plan to get out of it.

WHY are you selling your business?

Selling your business is a very emotional decision, and you must have thought this through. Remember that the first question a prospective buyer is going to ask is, why are you selling?

If you are selling because of financial stress, an alternative may be to speak with your accountant or business advisor first.

When selling, you must also decide exactly what are you selling?

  • Do you want to sell everything?
    • Do you want to walk away?
    • Are you prepared to stay on for a period to help with the handover?
  • Are there any assets you do not want to sell? for example, a car
  • Does the sale include your registered business name?
    • Will you agree not to compete?
  • Do you have some business’ intellectual property (IP) that you want to sell?
  • If you own property associated with the business will you keep that?

WHAT is the value of your business?

Like selling a house, you probably don’t know its true value. If selling, you will need to value it, which cannot include your emotional attachment. Otherwise, you could easily price yourself out of the market. T value and sell a business you can attempt to do it yourself, or you can get professional advice from the likes of your accountant, business advisor, or a business broker.

Beyond understanding the financials, you will need to consider goodwill, including the intellectual property of the business, any plant and equipment, including digital assets of the business, and any stock or inventory that the business owns.

There is no single business valuation method, instead of a number that can be used singularly or combined. S e of the more popular include:

  • Book value – Subtract liabilities from the assets. For example, if you have $100,000 in assets and $30,000 in liabilities, the value of your business is $70,000.
  • Return on Investment (ROI) – uses the formula ROI = (net annual profit/selling price) x 100.  If the selling price was $100,000 and your annual net profit was $10,000 your ROI would be 10%.  Thus a buyer could expect to get 10% back on their money based on an investment of $100,000.
  • Market value – This is how much someone is prepared to pay for your business. It is market and industry-specific so it is worth researching your industry.
  • Goodwill – A business may only be worth the reputation of one employee and if that is you, and you leave, goodwill is what the business is now worth.  Customer loyalty and brand reputation are usually factors that affect this.
  • Cost of creating from scratch – current cost if you had to start the business today.
  • Future profits – If you can predict what future profits may look like this can significantly increase the price of business if on an upward trajectory.

Note if you have not paid attention and not kept accurate records of your business, this will impact the perceived value of your business.

HOW do I sell my small business?

There are several ways to sell businesses, but the most common is through a broker. A broker will help with the whole process, including valuations, marketing, negotiations, and final sales. Some internet solutions charge a set fee, and others charge a 7-10% commission on the sale price. Mar ting costs are normally in addition. A directory of business brokers can be found here.

To sell your business, you will need to provide the following information:

  1. Financials: Tax returns (3 years), bank statements (3 years), balance sheets (3 years), accounts receivable/payable lists, salary information, financial forecasts, stock inventory and cost price, valuation of equipment and fixtures.
  2. Legal: Business registration (ABN), contracts/agreements, insurance policies, building leases, licenses, patents/trademarks, employee agreements, and records of employment, franchise agreements current loans/agreements. If it is a freehold sale, the land title, and any agreements.
  3. Operational: Marketing plans, vendor and customer database, equipment servicing receipts, website details and statistics, business procedures, training manuals, and employee manuals.

Without a broker, you would need to do the following:

  1. Value your business
  2. Prepare a marketing document on your business including history, what you sell, competition,  growth prospects, why you are selling, and contact details.
  3. Advertise the business is for sale. Word of mouth and your existing networks may also help.
  4. Deal with interested parties
  5. Be prepared to make relevant financial, legal, and operational information available as per above so the prospective buyer can do their due diligence.
  6. Prepare a contract of sale. It is highly recommended you use the services of an accountant and lawyer at this point to help prepare the documents and transfers.
  7. Determine how and when settlement will occur.

HINTS

Keep your employees up to date when appropriate.

Selling your business may result in additional obligations that need to be paid, such as employee entitlements or tax amounts from asset sales.

Normally the sale of a business is GST free.

Remember to account for asset depreciation when valuing an asset.

The Australian Tax Office offers small business owners the following Capital Gains Tax (CGT) concessions.

  • 15-year exemption – may exempt a capital gain from a business asset you have owned for at least 15 years
  • 50% active asset reduction –allows you to reduce the capital gain arising from the sale of a business asset
  • retirement exemption – allows you to receive relief from CGT if you sell active assets used in your business. Active assets include those used in the course of operating a business and intangible assets like goodwill.
  • rollover – allows you to defer a capital gain from the disposal of a business asset for two years.

SUMMARY – Consider using a business broker

Make sure you are selling for the right reasons. Work out if you want to sell everything or just parts. Decide if you will get help from a business broker to sell your business or do it yourself. Be prepared to provide all your confidential information and try hard to keep emotion out of the process.