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Order Online Call Us 03 9698 0200 Access Members Page Become a member Home Benefits About Us Our Partners Contact Articles Other DI Sites Social Sharing Events Locums Become a Member Pay Your Invoice Home Benefits About Us Our Partners Contact Articles Other DI Sites Social Sharing Events Locums Become a Member Pay Your Invoice Facebook Twitter Youtube Preparing Now for the Financial Year Ahead End of financial year (EOFY) is always a busy time, as you work to finalise and submit your tax return by 30 June. With so much attention on getting everything completed by EOFY, it’s easy not to allocate time to also planning for the upcoming financial year. It’s important to ensure you have all your ducks lined up, so that when this financial year closes out you’re ready for the next one – to assist, we’ve compiled some starting thoughts to consider. 1. Evaluate your cashflow One of the first items to organise is sufficient cashflow – this doesn’t mean you need to have all the required funds on hand in cash, however. If your money is allocated elsewhere, you can consider options such as leveraging existing assets, or arranging access to additional funds with the likes of an overdraft facility. To gauge an accurate benchmark of your cashflow, consider running your numbers excluding any government payments you may receive during the year.   2. Consider BNPL options for capital equipment Buy Now Pay Later (BNPL) is widely available, with most vendors accepting BNPL in various forms. In the medical space, BNPL for capital equipment takes the form of loans that allow access to funds upfront, with that capital paid back over the life of the loan. This means you have access to the equipment for use quickly, generating income while you make repayments in a tax-effective way. Look for equipment loans that have flexible repayment terms, don’t make you jump through hoops to apply and offer additional benefits, such as points in a loyalty program for purchases. 3. Review your home loan  One of the best ways to maximise your financial position is to review your current loans, particularly large ones such as your home loan. Higher interest rates are still persisting and while your interest rate is important, there are a number of other factors that can affect the total cost of your loan. Hidden fees, inefficient loan structures and lenders not experienced in medical finance can all add costs, so start with these to take a holistic view of your home loan and assess it accurately.  4. Pre-empt purchases and expenses Tax benefits are available when purchasing certain assets for business use – if you are considering purchasing assets for your practice such as new equipment, an upgraded practice fitout or even a new car, presenting this information to your accountant when planning for the next financial year will give you a substantial advantage when it comes to settling your final tax bill.   The instant asset write-off has been extended for the 2023-24 and 2024-25 income years, which enables eligible businesses to immediately deduct the full cost of eligible assets costing less than $20,000 – as long as they are installed ready for use between 1 July 2023 – 30 June 2025. Speak to your accountant to understand more about this initiative.     5. Speak to the right professionals Getting the most out of your tax means you need an excellent accountant who knows your business, has extensive knowledge about your industry and understands your specific circumstances. When working with your lender, these factors are also key – it is imperative that you deal with a finance specialist who knows your profession and speaks your language. At Credabl, many of our team have been working in the medical finance industry for decades and have a deep understanding of the various healthcare professions. Our loans are designed to consider the unique needs of medical professionals, meaning that we can work with you for your specific situation.  Preparing a stable and growth-centric strategy for your finances ahead of the new financial year might not currently be top of your list, but paying it the attention it deserves now can pay dividends in the future. Through managing your sources of capital, evaluating your flow of funds, reviewing your current loans and partnering with the right professionals, you can optimise your funds and prepare for peak and trough cycles throughout the year. To speak to the team at Credabl, contact them here or on 1300 27 33 22. Disclaimer This article is a guide only and does not constitute any recommendation on behalf of Credabl Pty Ltd (ACN 615 968 100) or any of its related bodies corporate (Credabl). The information in this article is general in nature and we have not taken into account your personal objectives or financial circumstances or needs when preparing it. Before acting on this information you should consider if it is suitable for your personal circumstances. Credabl is not offering financial, tax or legal advice. You should obtain independent financial, tax and legal advice as appropriate. Back to Articles and Resources Get “The Drill” Subscribe to our FREE official Dental Innovations newsletter, The Drill. Stay up top date with all the news, products and benefits. You can also connect with us on our socials for all the latest behind the scenes, information and news. 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Order Online Call Us 03 9698 0200 Access Members Page Become a member Home Benefits About Us Our Partners Contact Articles and Resources Other Services Social Sharing Events Locums Pay Your Invoice Home Benefits About Us Our Partners Contact Articles and Resources Other Services Social Sharing Events Locums Pay Your Invoice Facebook Twitter Youtube Unlocking Long-Term Value: Purchasing Practice Premises Through Your SMSF A self-managed super fund (SMSF) can be a useful tool for utilising funds that would otherwise be held in an industry super fund. As per your accountant’s advice, you may use those funds to invest in a managed fund, or invest in property at your own discretion. When it comes to using your SMSF for purchasing your practice premises, Credabl has experience working with industry professionals such as financial planners, accountants and lawyers to make it happen. We sat down with Credabl finance specialist Katie Kahler, to understand more about the process of utilising your SMSF to purchase your practice premises and who you might need to partner with to make it happen.   Understanding SMSF and its benefitsAs the name suggests, a self-managed super fund is different from regular industry funds in the sense that it allows for more control over the investments held in the fund. There are still limitations to what can and can’t be done with your SMSF, which your accountant can take you through in greater detail. It can be difficult to find a lender who will allow the purchase of practice premises through an SMSF, but as Katie explains, this is something that Credabl can achieve alongside relevant industry professionals for doctors, dentists and vets.   How SMSF lending can unlock opportunitiesOne of the significant benefits of financing your practice purchase through an SMSF with Credabl is the 90% Loan-to-Value Ratio (LVR) we offer. Katie highlights that this high LVR means you can retain more cash in your super fund compared to other lenders that require larger deposits, which can be difficult to pull together. For example, Katie recently assisted a client who initially believed a 30% deposit was necessary to purchase their practice premises. With Credabl’s 90% LVR however, they only needed a $130,000 deposit from the $250,000 in their super fund. This left a $100,000 balance after government costs available for other investments and cash flow.   Additional benefits of purchasing practice premises through SMSFKatie notes that buying property through an SMSF avoids the need to use personal cash or business funds for stamp duty, deposits and other setup costs. This is particularly valuable for clients setting up a new business, as maintaining cash flow is crucial. By utilising funds already available in their super, clients can focus their personal and business funds on other essential aspects of setting up the new practice, such as marketing expenses and maintaining a contingency fund, providing peace of mind during the setup or relocation of a business.   The role of expert supportKatie emphasises the importance of working closely with financial planners, accountants and lawyers who specialise in your industry. At Credabl, we have an extensive network of professional partners and can assist by introducing you to these specialists if you don’t already have them. Together, we can educate and guide you through the practice premise purchase process.   Why choose Credabl?Partnering with Credabl means accessing a team that specialises in medical finance and connecting you with the right professionals. Katie points out that our expertise in SMSF lending and our tailored financial solutions make us an ideal partner for securing your practice premises. Whether you need assistance with using your SMSF for practice premise purchases or exploring financing options, Credabl is here to help.   ConclusionInvesting in your practice premises through an SMSF can be a strategic move that offers both security and financial benefits. With Katie’s insights and Credabl’s dedicated support, you can navigate this process confidently, ensuring it aligns perfectly with your professional and financial goals. If you’re ready to explore the benefits of purchasing your practice premises through an SMSF or want to know more, reach out to our team today to ensure you have the right support, or speak to Katie or any of our Credabl consultants on 1300 27 33 22.     Disclaimer This article is a guide only and does not constitute any recommendation on behalf of Credabl Pty Ltd (ACN 615 968 100) or any of its related bodies corporate (Credabl). The information in this article is general in nature and we have not taken into account your personal objectives or financial circumstances or needs when preparing it. Before acting on this information you should consider if it is suitable for your personal circumstances. Credabl is not offering financial, tax or legal advice. You should obtain independent financial, tax and legal advice as appropriate. Back to Articles and Resources Get “The Drill” Subscribe to our FREE official Dental Innovations newsletter, The Drill. Stay up top date with all the news, products and benefits. You can also connect with us on our socials for all the latest behind the scenes, information and news. Facebook Twitter Youtube Subscribe * indicates required Email Address *First Name *Phone Number Order Online Access Member Page Become a member Contact Phone: (03) 9698 0200 Head Office Suite 93, 21 Hall St, Port Melbourne, VIC 3207 Email: headoffice@dentalinnovations.com.au This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.  | 2024 © DENTAL INNOVATIONS