Plan. Control. Grow.
At Helm Accounting, we specialize in helping people who make things. If you own a business in building and construction, engineering, or a specialist trade then we want to meet you.
We will help you plan your business and control your money so your business can grow. We want you to succeed.
We are committed to giving our clients the best solutions and advice. We are great at accounting and tax but that is just the tip of the iceberg. We keep the big picture in mind, looking at where you are now and providing you with the focus and planning to get where you want.
Whether you are just looking for help to survive the tax office requirements or you want to take your business to the next level, we are the people you need to see.
The latest from the Helm Accounting Blog
If you are an employer it’s important you know about some changes in the way you pay super and that you need to take action now.
All employers need to use SuperStream when paying super from 1 July 2016. This means paying super and sending employee information electronically in a standard format.
What you need to do:
There are a number of options you can choose to implement SuperStream. Depending on what works best for you, you can choose to use: Read More
No matter the size of your business, cash flow problems come with the territory
Building businesses run into cash flow problems for a variety of reasons. Maybe project managers underestimate expenses or overestimate the amount of materials needed to finish a job. Maybe the client or the head contractor on the job isn’t paying in a timely fashion, with net 30 days routinely turning into net 90 days. Whatever the reason, cash flow problems can severely impede a builder’s workflow.
Without cash, business owners are unable to reinvest in their business. As such, they are unable to grow. When their funds are tied up, businesses are unable to take on additional projects because they cannot afford to pay more employees. They’re unable to invest in new capital assets. It can also be harder to afford the materials best suited for a particular project. At worst, these kinds of problems can force business owners to close their doors altogether.
How to get on top of Cash Flow Problems Read More
The biggest problem builders & contractors face when it comes to understanding how to best manage their money is the answer to one simple question:
When is a sale a sale?
Following are the four most common accounting methods we see builders & contractors using. They all answer this fundamental question in different ways.
1. THE CASH APPROACH:
Question: “When is a sale a sale?”
Answer: “When we actually get the money!”
Best for: Small Contractors
ATO Friendly: Yes, but it depends on the size of your business
In the cash method, income and expenses are accounted for when money changes hands. So we must have actually collected the money for it to be income, and we must have actually paid the bill for it to be an expense. Income is taxed after expenses are deducted.
This method gives you a good idea of cash flow for the time period. However, this report potentially can be very misleading. Collect an upfront payment or deposit, and it goes to income. But you haven’t earned that money. You haven’t done the work it pays for. You’ve just gotten an advance. Read More