- On March 12, 2021
- March / April 2021
CUTCHER & NEALE
Welcome to the November edition of Financial Paracetamol.
Welcome to the March, and first edition of Financial Paracetamol for 2021.
Writing a business plan
Make it your business to get it right!
Starting a medical practice is by no means a small feat.
Medical practitioners who decide to embark on the journey of owning a medical practice need to quickly find synergy between continuing to deliver a high level of patient care with now running a business.
Endeavours such as this typically start with the idea, countless hours of research, and planning. It is in this planning phase that a new medical practice should document its business plan.
A business plan is a roadmap for any new medical practice and should outline the day-to-day operations as well as setting goals for future growth.
So, what should be included in a business plan? Business plans should focus on the business itself, the market it is operating in, its future growth and of course the finances.
Here are just a few points to consider at each of these steps:
You will firstly need to understand your patient demographic and potential patient numbers. You also should look at competitors in the area and consider marketing or advertising strategies you may need to implement.
An effective planning technique is the utilisation of SWOT analysis, this helps to understand the strengths, weaknesses, opportunities, and threats of a new medical practice.
Understanding the business itself is paramount. The appropriate structure, the number of doctors required, staff, and what equipment will be needed to effectively deliver quality patient care must all be considered here.
How do you see the practice continuing to operate into the future? This can start with a vision statement articulating what you want the medical practice to look like. It is also important to understand and identify the future and ongoing goals and objectives of the practice in this section.
One of the final elements in any business plan are the finances.
Initial consideration will need to be given on how to finance the practice in its infancy. Ongoing budgeting and forecasting are also required to ensure the practice continues to remain financially sustainable into the future.
Taking the time to write a business plan will no doubt increase the likelihood of the practice in reaching its overall goals and objectives.
There is considerable work involved in creating a credible business plan, it is likely you will need assistance from outside sources such as mentors and your trusted business advisor to bring it all together.
If you need help with writing your business plan, get in touch with our team today.
WORKING AS A VMO OR STAFF SPECIALIST?
Super Guarantee Opt-Out may be worth your while…
Are you a VMO or Salaried Medical Practitioner finding yourself working for multiple employers in any given financial year?
Do you anticipate super contributions paid on your behalf to be in excess of $25,000 each year?
If your answer to both questions is YES then the Super Guarantee Opt-Out for High-Income Earners regime may be worth considering.
Ordinarily employers are required to pay 9.5% superannuation guarantee on behalf of all eligible employees to their superannuation funds on a quarterly basis.
Under the Super Opt-Out provisions you may be able to elect for one or more of your employers to “opt out” of paying superannuation guarantee on your behalf (for one or more quarters in the year). Importantly, still ensuring you receive superannuation guarantee contributions from at least one of your employers.
The ‘opt out’ option is designed to aid employees, such as medical practitioners avoid unintentionally breaching their concessional contributions cap of $25,000 per annum merely as a result of having multiple employers.
It is important to talk to your nominated employer about the impact an exemption might have on your overall remuneration and other entitlements, negotiation with your employer is key when it comes to how the forgone superannuation amount could be factored in so as to not be disadvantaged.
There are strict deadlines concerning the application form, employees will need to lodge the completed form with the Australian Taxation Office at least 60 days before the first day of the first quarter that the exemption certificate will apply to. Keep in mind employers can also disregard an exemption certificate should they choose to do so.
A separate application is also required for each new financial year and once a certificate is issued it cannot be varied or revoked.
If you would like to know how this might impact you or need our assistance with the application, please get in touch.
JobMaker Hiring Credit: Registrations now open.
The JobMaker Hiring Credit is an incentive for businesses that aims to subsidise the cost of increasing your number of employees.
The JobMaker hiring credit is open to businesses that are hiring additional young staff between 7 October 2020 and 6 October 2021.
It relates to new positions filled by persons who received either JobSeeker, Parenting Payment or Youth Allowance payments for at least 28 consecutive days in the 84 days prior to commencing claiming for the employee.
The payment rates (per employee) range up to:
• $200 per week for 16-29 year olds,
• $100 per week for 30-35 year olds.
The claim period can run for up to 12 months from their employment commencement.
Claims start 1 February 2021, registration is open now via the ATO.
To find out more about the JobMaker Hiring Credit, and eligibility criteria visit our blog at www.cutcher.com.au/insights-and-news.
TOP TIPS TO ESTABLISH YOUR PRACTICE PRESENCE ONLINE
There is an overwhelming amount of advice about how to establish and grow your medical practice online, including ‘experts’ that will tell you that you should spend all your limited marketing funds on online advertising.
But before you take the leap into paid online advertising, it pays to make sure you have the basics right. As with every marketing tactic, nothing works in isolation and an integrated approach to your marketing is essential.
Have an easy and recognisable domain name, ensure your website is mobile friendly and have clear contact information available.
Register with Google MyBusiness to ensure your practice is on Google Search and Google Maps ensuring your address, contact information and hours of opening are up to date.
Build an email database:
Capture your customers email addresses and build a list so that you can engage with your patients online.
Learn the SEO basics:
A basic understanding of search engine optimization will help you understand why it is important: get reading!
You don’t have to register for every social media site - go where your target audience is. It’s much more effective to do two social channels well, than spread yourself too thin.
Create and share content:
Provide regular updates through a blog or your social media channels. Creating simple video content is easy and can be done on your mobile device. Provide information relevant to your customers in a timely manner.
Experiment with online advertising:
Start small, and make sure you measure the outcomes to ensure your efforts are not wasted. Finally, be patient – marketing is a long-term game. Establishing good practices such as posting new content consistently, offering exceptional patient care and keeping up to date with online marketing trends will ensure you reap the benefits in the long-term.
CUTCHER & NEALE OPENS NEWS OFFICE IN BRISBANE
Cutcher & Neale is excited to announce that we have opened a new office in Brisbane Queensland, expanding our presence across the Eastern seaboard.
In addition to the existing offices in Sydney and Newcastle, the new Brisbane office supports Cutcher & Neale’s growth strategy and strengthens our service capabilities.
To help establish and expand the Cutcher & Neale presence in Queensland, Saverio Angi and Craig Offenhauser have joined the partnership team and will be located at our Brisbane office in Fortitude Valley.
Cutcher & Neale now has twelve partners and 140 staff across its office locations.
TOP SUPERANNUATION STRATEGIES WEBINAR
Wednesday, 24 March 2021
In this webinar, our award-winning advisors will discuss:
• The 3 tax-free’s of superannuation
• Borrowing in superannuation
• Structuring small property syndicates
• Accumulation strategies
• The $1.6 million target
• Minimising tax on your portfolio
• Segregated pension strategies
• Contribution splitting
• Catering for the next generation
• How to be cost effective in self-managed superannuation funds
Register your attendance: visit cutcher.com.au/events