The NSW Government has implemented further measures to mandate rent relief for eligible commercial tenants impacted by COVID-19.
The federal government has introduced new legislation to modify the requirements for company meetings and the execution of documents by companies under the Corporations Act.
The new changes will take effect from 6 May 2020 and are outlined in the Corporations (Coronavirus Economic Response) Determination (No. 1) 2020.
We take a look at the 2 key principles of the mandatory code of conduct for Commercial Leasing. Marcus discusses what are the obligations of the landlord and the tenant?
Do you have a shareholders agreement in place for your business?
Are you covered for events like insolvency, bankruptcy, or if a shareholder becomes incapacitated? Its important to cover yourself as unfortunately these things can happen. Camille explains what is a Shareholders Agreement and why you should have one in place.
In light of COVID-19, businesses should consider whether or not they might be insured under their insurance policies for events that deal with infectious disease.
Do you operate a small business that has been significantly impacted by COVID-19? You can apply to defer your loan repayments for 6 months.
Cash flow is a crucial element to the growth and stability of a business. It is important to ensure that you have access to such cash when you need it. Often, this cannot occur for some businesses because of existing debtors. Here are some tips to manage your debtors:
Ensuring your invoices have the correct details is extremely important. By this, we mean that it contains the correct contact details for your customers. This can include:
- A contact name;
- The correct address for the customer;
- If works is being performed at a property or site, it doesn’t hurt to include this as well; and
- If your customer is a company or business, include the Australian Company Number (ACN) or Australian Business Number (ABN).
You want to be on the front foot with issuing your tax invoices. If you can send this to your customer on the same day you sell your product or provide your services, or at an absolute minimum within the same week. If your payment terms are 14 days, this could mean the difference between clients paying someone else’s invoice before yours.
Have a payment process that is easy for your clients to use. Take advantage of technology systems that are available to ensure an efficient way in which payment of your invoices can be attended to and finalised.
If a customer disputes your invoice, ask them to specify if it is certain parts or the entire invoice. If it is parts of the invoice ask them to pay the non-disputed amounts, that way you are receiving some form of cash flow whilst you negotiate on the disputed aspects of the invoice.
Be proactive about chasing your debtors and pick up the telephone. Do not be afraid to ask for payment and if a payment arrangement has been entered into make sure that you are monitoring it closely and contact your client immediately if the arrangement has not been kept.
Be prepared to take further action for non-payment. This could be referring your customer onto senior management within your business or onto a solicitor who can assist with recovering the debt. The sooner you take such steps the easier it is to recover your money.
Ensure that a solicitor has reviewed your contracts so that they are legally compliant, as this will eliminate obstructions to the debt recovery process.
If you have any questions in relation to how to manage your debtors or reviewing your terms please contact one of our experienced team members at Southern Waters Legal on 9523 5535.
On 28 February 2019 new law came into effect to increase the jurisdictional limit of the Small Claims Division of the Local Court of NSW from $10K to $20K.
The Small Claims Division of the Local Court of NSW is designed to enable the just, quick and cheap resolution of disputes. The increase in the jurisdictional limit of the Small Claims Division should improve access to the Local Court and increase the number of matters that can be determined via the less formal and more streamlined processes of the Small Claims Division.