If you’re thinking about taking project, consider your options of financing before proceeding. In this post, we will outline some tips to get the most out of financing your project.
1. R and D Tax Incentive
If you may remember a while ago, the Federal government announced the Australian R&D Tax Incentive, a program that helps businesses offset some of the costs associated with investing in research.
So far, it appears the biggest claim is usually wages, particularly for software developers and web developers, as their roles are easily linked to core R&D activities of most businesses. If you have a company with the relevant expenditure for the incentive ($20k), it may be a good time to consider how you can claim through this.
The claim has to be worth it, as in what you're claiming should be worth a substantial amount otherwise there's no point going through the whole application process. Speak to your accountant to find how you can make the most of it this financial year.
2. Outsource online
The internet is a powerful tool these days. Simply going online can save you a lot of time, money and hassle by finding exactly what sort of resources you need to undertake your project. Whether you’re finding a tradie through hipages.com.au, or finding developers to build a website through freelancer.com.au, it always pays to look online. Once you post the project online, you may be pleasantly surprised at the offers. Who said you needed to break the bank?
Outsourcing online can be a great way to track the progress of your project too. Gone are the days of being left in the lurch regarding a project that you paid for. The piece of mind that the internet can offer is fantastic, especially with the fact that for the most part, the sites that you listed the project on can help you reclaim any losses for non-delivery of work.
3. Find the best financial product for your project
Of course, if you don’t plan on spending your hard earned profits (which is perfectly understandable) you may want to consider utilising a financial product. Financial products specifically available for small business include invoice discounting/invoice factoring, small business loans, or if need be you may consider refinancing for a current loan. Speak to your financial advisor for more information on what the best option for you may be. Or of course, if you’d like to explore invoice financing, speak to us.