A couple of weeks ago, we were doing some thinking work with one of our customers regarding the accommodation landscape in Ballarat. As part of our research, we had a look at AirBnB to see what they had listed.
Imagine our surprise when we found that Ballarat, on any one night, has in excess of 550 venues available! This seems incredible. So, we had a good look at what was there.
The number of AirBnB listings was amazing. They range in price from “cheap and cheerful” to a little bit OTT, but they all seemed to hit various sectors of the market.
This is really good for visitors to our fine city, however, there are some consequences which our earnest AirBnB providers need to consider:
- The Australian Tax Office (ATO) gets data feeds from AirBnB;
- The ATO therefore knows what your income is from your AirBnB activities are;
- You had better declare your income on your tax returns; and
- You are, where you’re using your private home as the rental, exposing yourself to Capital Gains Tax consequences when your sell your property.
There are numerous other issues around the whole traveller accommodation business which we cannot cover in a short blog post. One of them is your insurance cover.
A lot of people get into AirBnB because they can see an easy way to make some good money from their home. Yes – it is a good return for only short term inconvenience. However, the activity which seems pretty easy to do can have some profound and long term consequences for you from a tax perspective. This needs to be carefully considered when you are looking at embarking on this course of action.
Oh, one other thing – if you have a couple of AirBnB properties in your own name or through your business structure, you will be required to register for Goods and Services Tax (GST) once your gross revenue exceeds $75,000 per year (pro-rata). This is another little challenge for AirBnB operators. And with the new ATO data capture and analysis systems, you will be found and they will ask questions.
At the end of our research, we determined that the AirBnB space is already a significant disruption to the classic accommodation business model. It does, however, present challenges. After the first year or two when the ATO comes hunting, it may well lose some of its attractiveness to a number of the new players in the market.
If you’d like to discuss the potential impact for you of commencing and AirBnB operation with your property, come and have a chat with us!
Welcome to another new year! In 2017, are you returning to school?
Over the coming weeks, many apprentice human beings will be getting ready to embark on their education journey whilst the older kids will “dread” the return to school.
How do you view the coming year? Is 2017 your return to school or is it “just” more of the same?
Over the past decades, we’ve seen many businesses where the plan for the new year consisted of “last year plus 5%”. Is that you?
Why not change your view and your approach?
There are some absolutely fantastic new platforms available now which make it incredibly easy for people to access useful and timely information relating to their business. Are you using it or do you have access to this? If not, why not? By having the information more readily available, you are better placed to use it to make far better decisions and inform your analysis with more meaningful and timely data.
Couple this with the seamless integration with some really sexy cashflow and profit modelling tools and you have the capacity to radically change how you have used your financial information to what you’ve been doing in the past. We’ve been using some of the platforms for quite some time now and they are amazing.
I don’t know about you, but I was always more excited about getting ready to go to school than I was actually returning. All the new books, the new uniform stuff and new pens and stationery – all prepared for another year of learning. Have you prepared yourself for the new year or are you just dusting off the same old stuff you’ve been using for years?
There is one thing that I have found out over the years – the better prepared you are, the more likely it is that you will succeed. So have you prepared to return to school?
One thing about this aspect of launching into the new year is having your mind open to learning and developing new skills and greater understanding. You knew when you went back to school that you were going to expand on your knowledge and be challenged to try new and different things. What would happen if you adopted this approach – consciously – this year?
Your “First Day”
Remember the first day back at school? There were new kids in class. There was a new timetable. There were new teachers for different subjects. There was greater expectation placed on you. There were different lockers. There were different sports teams and times. But you adapted and made good. And you got through.
How did you approach your first day back this year? Was it with anticipation? Was it with excitement? Or was it with a sense of resignation and “ho-hum”?
What would happen if you were to recast and re-run your first day again this year? What would you change about your approach and your view?
Don’t we just love the media? Lots of stories about Trump, Brexit and the like. Depending on which media you consume, it’s either absolutely terrible or fantastic. The environment for 2017 is certainly going to be different to 2016. And that’s a good thing.
Using your new-found ability to access useful information from your financials, your preparedness to expand your horizons and your re-jigged approach to your first day, you will be in a far better mindset to position yourself to take advantage of the opportunities that will arise this year [Hint: they are always there].
If I can ask you to do one thing this year – spend the time to have more interaction with people face-to-face. Don’t do it two dimensionally (on a computer), make it personal. People appreciate it so much more and you’ll feel better doing it. Diverting off a bit here – it seems that the more connected the world gets, the less true connections you have in your life. Make the effort – you will be glad you did!
2017 is upon us – are you returning to school?
MTA has a range of services that can assist you and your business return to school really well. From financial reporting and analysis through to helping you identify and exploit the opportunities that abound, we can help you make this your best year yet. To find out more, give us a call – we’d love to meet up and discuss your needs.
Do you ever feel like you know you have potential to be better – particularly with your communication? Are you constantly frustrated with being unable to do what is needed? When looking at business and people development, what glasses are you wearing?
Your position is not abnormal – it is in fact very normal. But, what can you do about it?
People tend to see the world, their situation, other people or things as either “good” or “bad”. They can fall into the view of black v white. This again is natural and your normal approach will be to follow your tried and true strategy.
I know this very well as one of my relatives is a constant “nay-sayer” -nothing is ever seen in a positive light. When at a restaurant, they will place their order. As dishes come out of the kitchen, you will hear “oh, I should have ordered that”.
We see this too in many businesses – owners/managers of businesses will recruit people who are just like them. This is generally because the “feel” is right – there is an automatic preference for liking someone like them.
Great teams consist of a broad range of people who work well together. You want to have a diversity of views, a range of communication and listening styles and a healthy attitude to risk. Style blending will see better decisions made and more effective analysis performed. You don’t want all the same type of people just agreeing with each other!
Considering issues around strategy and business management, only looking at things from one perspective. This can result in either missing opportunities completely or being so focused on one aspect of an option the “big picture” is overlooked. There are obviously other forms this can take. The main point though relates to the ability to have robust (sometimes “prickly”) discussions and being open to a range of contributions/inputs.
Understanding that recruitment and development of people with differing styles adds a depth and robustness to your business is a real positive. Differing approaches will keep things bouncing along. Your conversations will go “broader and deeper” than having a lot of the same folk discussing an issue.
When it comes time for you to consider what sort of person you want to recruit or promote/develop, have a serious think about choosing someone who has a different style to you. Sure, there will be times when the discussions will be a tad uncomfortable, but doesn’t this give a better result in the long run?
If you just want someone to agree with you all the time, get a dog.
To maximise your development, improve your strategy and make your business management a lot easier, think about glasses. Different eyes see the same things differently.
We have access to world-leading tools to assist you and your business identify the different styles and inform you of the differing ways people approach issues and communicate. Having access to this information enables a far deeper and more open conversation to occur. To find out more, give us a yell – we would love the opportunity to show you how these tools can really help you and your business flourish!
Come 1 July 2016 mta optima as we know it will be undertaking a rebrand of both name and logo. From 1 July we will be known as MTA Accounting, with exciting new branding and stationery to be rolled out.
So why the change?
Earlier this year we undertook an exercise where we reviewed the message we were trying to deliver to not only our existing customer base but also to the broader market. We identified that our industry along with many of our customers’ industries were experiencing disruption due to technology, increased competition, changing legislation and the simple ease of doing business with foreign markets that was once considered impossible. In other words this big world we live in is not that big anymore!
To keep pace with this disruption and for us to deliver on our strategic goals, we realised that we need to change our brand and the way we communicate so we can deliver our message more effectively to our target market. We came to the realisation that what was once our target market has changed somewhat and that the message that mta optima wanted to deliver was getting lost and potentially confusing to our targeted customers.
The new MTA
For these reasons, MTA Accounting was born. Under MTA Accounting our core services will be Accounting/Taxation, Advisory and IT. We acknowledge that Accounting and Taxation is our core, traditional business but there are also elements of what we do that beautifully complement Advisory and IT services. To remain progressive (along with our customers) we need to be insightful and transformational, enabling all of us to flourish.
From 1 July you will note that all our stationery will change over to MTA Accounting. Our new website www.mtaaccounting.com.au is already live and (our various social media platforms are also being transformed). Our communication style will be more deliberate and written in a way that complements our customers and their needs. We will continue to look for new and improved ways of doing business with our customers but we will never move away from our traditional face-to-face interaction.
In the coming months we will make an exciting announcement about another brand that will come online to not only complement MTA Accounting but move further into a space of disruption where feeling a tad uncomfortable will be the “new normal”.
We welcome you on the journey with us.