#CashFlowManagement

As June 30 approaches, many business owners are reviewing their EOFY asset purchases as part of broader tax planning sessions with their accountants. Reviewing their numbers and looking for ways to improve their tax position before year-end. One area that’s often missed, or left too late, is how equipment or asset purchases are financed.

If you’re upgrading machinery, buying vehicles, or investing in tools for growth, the way you fund those purchases can significantly impact your cash flow and tax outcome.

Here’s what business owners need to keep in mind before the clock runs out.

Timing Matters: It’s Not Just What You Buy, But When It’s Finalised

To take advantage of current tax incentives—like the Instant Asset Write-Off—the asset generally needs to be:

• Installed and ready for use
  
• Fully paid for (or finance settled) before 30 June
  

This is where timing can trip people up. We regularly see businesses get caught in mid-June when lender timeframes can no longer guarantee settlement before EOFY—resulting in missed deductions.

May is the smart time to act.

Understanding the Current Rules on Asset Write-Offs

The Instant Asset Write-Off is currently available for small businesses (with turnover under $10 million) and allows an immediate deduction for the business portion of the cost of assets under $20,000, provided the asset is:

• First used or installed ready for use between 1 July 2023 and 30 June 2025
  
• Used for a taxable business purpose
  

For assets above the threshold—or for businesses that don’t qualify—depreciation rules still apply, but deductions may be spread over several years.

Finance Structure Makes a Difference

The way you finance EOFY asset purchases can impact not just this year’s tax return but also your long-term cash flow and credit position. Here is a sample of the different financing options.

Working with your accountant and financing partner, can help you structure things correctly to support both short-term tax relief and long-term business planning. For the latest details on Instant Asset Write-Off eligibility, visit the ATO’s guide to Instant Asset Write Off.

Don’t forget, if you finance the asset, you may not have paid anything from your cash flow, but you may qualify for the tax deduction if you get your timing right. Need help reviewing your EOFY asset purchases? Let’s run the numbers or coordinate with your accountant.

A Real Example: Claiming $21K in Tax Relief

“Our client structured a $70,000 equipment deal in May. In the first year alone, they were able to claim over $21,000 in depreciation, thus reducing their tax bill, whilst preserving their working capital and matching repayments to seasonal cash flow.”

These wins only happen when finance is planned proactively—not when it’s rushed in June.

May is the Window — Not June

Most lenders will be at full throttle by mid-June. If you’re planning to upgrade or replace equipment, May is your best chance to settle on time and still claim.

Strategic Tips for EOFY Asset Purchases

EOFY financing isn’t just about making a purchase, it’s about doing it the right way. When it’s well structured, it can:

• Improve cash flow
  
• Reduce your tax bill
  
• Free up capital to reinvest in other parts of the business
  

Need to run the numbers or talk through a potential scenario?

Next Steps:

• Book a quick EOFY finance chat → Contact Us
• Learn more about how we support business finance solutions tailored to growth
• Or share your plans and we’ll help review your options
• We’re happy to coordinate with your accountant to ensure everything lines up before the cutoff.

Disclaimer

This article is for general information only and doesn’t constitute tax or financial advice. Speak to your accountant or tax adviser to confirm what applies to your specific circumstances.

How can you secure business finance without using your home as security?

David, a business owner in the manufacturing space, faced this exact challenge when his bank rejected his loan application—even with a major contract on the line. This case study shows how he accessed the funding he needed without tying up personal assets, thanks to a strategic finance structure tailored to his business.

David Had the Opportunity of a Lifetime—But His Bank Said No

David was invited to tender for a high-value contract. Winning it would mean doubling his turnover and scaling operations significantly.

But like many business owners, he hit a wall with finance.

Despite having his home tied to the business, his bank refused to help. Why? Because David had entered into an ATO payment plan. Even though it was a smart cashflow strategy recommended by his accountant, the bank viewed it as too risky.

He Needed Capital—But Not at the Cost of His Peace of Mind

David didn’t just need a loan. He needed:

• Access to capital quickly
• A lender who understood his cash flow cycle
• A structure that wouldn’t compromise his personal security

That’s where we came in.

How We Helped David Secure the Right Finance—Fast

Rather than rushing into a one-size-fits-all solution, we took the time to understand David’s business, the contract opportunity, and the funding timeline.

We then matched him with a lender who: 

✅ Didn’t require property as security
✅ Was comfortable with the ATO arrangement
✅ Could assess his business’s capacity to repay

This funding gave David the confidence—and the capital—to deliver the project.

The Results? Long-Term Business Growth, Peace of Mind, and a Better Home Loan

With the initial cashflow hurdle cleared: 

✔ David completed the job
✔ Invoices started flowing
✔ He reduced debt, reinvested into equipment, and grew production capacity

Later, we helped him refinance:

• His home loan went to a sharper rate with a new lender
• His business finance stayed separate, without needing the house tied in

David told us:

“It helps me, my wife and family sleep comfortably at night knowing our house isn’t tied into the business loans.”

The Takeaway for Business Owners:

If your lender is making you jump through hoops, or worse—saying no—it doesn’t mean the door is closed.

It just means you need someone who understands your business, your goals, and how to structure finance that fits both.

Want to see how we help business owners grow with the right lending strategies? Explore our Business Finance Solutions tailored for growth-focused entrepreneurs.

Need funding for growth—but don’t want to risk everything to get it?

Let’s talk. We’ll show you what’s actually possible.
👉 Email: brokers@proteger.com.au

👉 Phone: 6246 2680

Running a successful business requires more than just generating revenue—it’s about ensuring every dollar works hard to achieve your goals. Managing costs effectively is a cornerstone of financial health and a critical factor in building a sustainable, growth-focused business.

The good news? Cost management doesn’t have to be overwhelming. With the right tools and strategies, you can reduce unnecessary expenses, improve efficiency, and free up resources for investment in growth.

Why Cost Management Matters:

For many businesses, costs creep up gradually, making it easy to overlook inefficiencies. However, unchecked expenses can erode profitability and limit your ability to invest in growth opportunities.

Effective cost management:

• Enhances Financial Stability: Keeps your business resilient during economic fluctuations.
• Frees Resources for Growth: Allows you to reinvest in areas like technology, talent, and marketing.
• Improves Competitive Edge: Ensures your business remains lean and adaptable in a competitive marketplace.

Key Steps to Streamline Costs

1. Track and Categorise Expenses
   Visibility is the foundation of cost management. By tracking and categorising expenses, you can pinpoint where your money is going and identify areas for optimisation.
   Pro Tip: Divide costs into fixed (e.g., rent) and variable (e.g., marketing spend) to better understand your spending patterns.
2. Review and Audit Regularly
   Regular reviews of your expenses can reveal outdated subscriptions, unnecessary services, or inefficiencies in operations. These “hidden leaks” can quickly add up.
   Example: A mid-sized business saved thousands annually by consolidating its software tools and renegotiating vendor contracts.
3. Leverage Technology and Automation
   Investing in technology may seem counterintuitive when cutting costs, but automation can save time and money in the long run. Streamlining repetitive tasks reduces overhead and allows your team to focus on strategic initiatives.
   Did You Know? Automating payroll, invoicing, or customer relationship management (CRM) can significantly reduce administrative expenses.
4. Negotiate and Consolidate
   Renegotiating supplier contracts or consolidating services across fewer vendors can often result in significant savings.
   Pro Tip: Approach your suppliers with a clear understanding of market rates to negotiate better terms.

A Case Study in Cost Management

Let’s consider a manufacturing business generating $2 million in annual revenue but struggling with tight profit margins. After conducting a thorough expense audit, they discovered:

• Redundant software subscriptions costing $15,000 annually.
• Inefficient procurement processes adding 10% to supplier costs, equivalent to $100,000 annually.

By addressing these inefficiencies and implementing automated invoicing, they achieved:

• A reduction in staff workload, saving $65,000 annually in administrative wages.
• A total cost reduction of 12%, equivalent to $180,000 in annual savings.
• Reallocation of $75,000 to upgrade equipment, resulting in a 15% increase in production capacity.

This example highlights how even seemingly small adjustments can lead to significant financial and operational improvements.

How Proteger Financial Solutions Supports Cost Management

At Proteger Financial Solutions, we work with businesses to identify and address inefficiencies, ensuring every dollar is working towards growth. Our Financial Health Checklist includes a dedicated section on Expense Management, designed to help you:

• Gain clarity on your spending.
• Highlight areas for optimisation.
• Align resources with your business goals.

Cost management isn’t just about cutting back—it’s about creating space for opportunities and ensuring financial resilience.

Take the First Step Toward Optimised Costs

Effective cost management starts with visibility and a plan. Whether you’re looking to strengthen your own business or help your clients succeed, Proteger Financial Solutions is here to provide the tools and guidance you need.

Contact us today to learn more, or explore our Financial Health Checklist for practical tips to get started. Together, we’ll make your costs work harder for your success.

Get Started with a Free Consultation or Access the Financial Health Checklist

Cash flow is often called the lifeblood of a business—and for good reason. It’s the key to ensuring your business can cover day-to-day expenses, invest in growth, and weather unexpected challenges. However, many businesses struggle with cash flow issues, from seasonal fluctuations to late customer payments, leaving them unable to achieve their full potential.

If any of this sounds familiar, don’t worry—you’re not alone. The good news is that identifying and addressing cash flow challenges can unlock opportunities for growth and stability.

Signs Your Cash Flow Needs Attention

Healthy cash flow is essential for a thriving business. Here are some red flags that your cash flow might need improvement:

• Difficulty Covering Monthly Expenses: Struggling to pay bills, suppliers, or employees on time.
• Unpredictable Cash Flow: Seasonal or erratic income streams that make planning difficult.
• Lack of Emergency Reserves: No buffer for unexpected expenses like equipment repairs or market downturns.
• Over-reliance on Credit: Using credit to cover routine operational costs instead of strategic investments.

If these challenges resonate, it’s time to take a closer look at your cash flow management strategy.

Strategies to Improve Cash Flow

Track and Analyse Regularly

Monitoring your cash flow isn’t just about keeping an eye on your bank balance. Regularly tracking income and expenses, whether through software or manual methods, helps you identify patterns and predict future needs.
Tip: Set up weekly or monthly cash flow reviews to stay ahead of any issues.

Optimise Payment Terms

Slow customer payments are a common cause of cash flow challenges. Offering early payment discounts or implementing clear payment terms can encourage faster payments. Similarly, negotiating with suppliers for extended terms can improve your financial flexibility.
Example: A business offering a 2% discount for payments made within 10 days instead of 30 saw a significant improvement in cash flow predictability.

Leverage Strategic Financing

Access to financing can bridge cash flow gaps and support growth. Options like working capital loans or lines of credit provide a buffer for operational expenses, allowing your business to thrive even during lean periods.
Did You Know? Tailored financing solutions can stabilise cash flow and free up resources for future investments.

Build Emergency Reserves

A financial buffer can protect your business from unforeseen disruptions. Aim to save enough to cover three to six months of operational costs.

How Proteger Financial Solutions Can Help
At Proteger Financial Solutions, we’ve helped countless businesses identify cash flow challenges and unlock opportunities for growth. Our Financial Health Checklist is a practical tool designed to help you pinpoint blind spots and create a plan for improvement.

We don’t just stop at diagnosis—we work with you to secure financing solutions that align with your business’s unique goals. Whether it’s stabilising cash flow, managing expenses, or funding growth, Proteger is here to guide you every step of the way.

Take Control of Your Cash Flow Today
Managing cash flow doesn’t have to be overwhelming. With the right strategies and a trusted partner, you can turn challenges into opportunities.

Ready to take the next step? Contact Proteger Financial Solutions today or contact us for a copy of our Financial Health Checklist to get started. Let’s make February the month you take control of your cash flow and unlock your business’s potential.

Schedule a Free Consultation or Explore the Financial Health Checklist