Data Security - Don't call us. We'll call you.

Data Security - Don't call us. We'll call you.

How the data explosion can help you find customers before they even know they're looking for you. Australia has reached peak smartphone, according to a recent survey that reports more than 90 per cent of adults have one. And what's more, we can't leave them alone - with many of us checking our screens more than 50 times a day. This device addiction, coupled with staggering amounts of personal information gathered by titans such as Facebook and Google, has created a wave of data business owners can ride all the way to the bank, marketing experts say. Ross Meadows, managing director of digital marketing agency Media Booth, says new techniques leveraging this data to micro-target consumers are incredibly powerful and cost effective. But many SME owners simply aren't aware of them. "When we go to a business, about 80 per cent of our job is actually educating them about what is possible," Mr Meadows says. Data surpassed oil as the world's most valuable resource in 2017, with good reason. "It's stupidly powerful and if businesses aren't using it, they're crazy," Mr Meadows says. One of the fastest-growing trends in data is using location information to target consumers through either geo-fencing or geo-targeting. These take advantage of the fact most phones not only log users' online profile and search habits (through Facebook and Google), but record their home address and track their physical movements through GPS or phone towers. Combining this data allows advertisers to target the right people (by age, gender and interests) at the right time (when they may be actively searching for your product) and in the right location (by where they live or have visited). While it sounds complex, Mr Meadows says it is actually an incredibly cost-effective way for SMEs to advertise, because they're only paying to reach an ideal demographic, rather than thousands of people who may not be interested. It's a laser focus, compared to an old-fashioned scatter gun approach. Used cleverly, these tools can help SMEs compete against larger companies with big budgets and better brand awareness. So, what is the difference between geo-fencing and geo-targeting and how can SMEs use them effectively? Geo-targeting This is the more personalised of the two tools and is used to find a 'look-alike audience' - that is, consumers who fit the same demographic profile of a business's existing customer base. (To gather this data businesses need to ensure they are using code such as Facebook pixel on their website.) The starting point is a location. Geo-targeting leverages the IP (Internet Protocol) address of phones and computers - so it targets people where they live. After selecting focus suburbs, the audience is refined according to data points such as age, gender, relationship status, interests and income (depending on how much data they have shared online), then ads are delivered via Facebook or Google to this select audience. This approach gets an extra boost from the fact people often find ads targeted to their interests (for example books, or home renovation) useful, rather than annoying. A recent Media Booth campaign aimed to find a look-alike audience to promote a new range of reading glasses for a large Sydney firm, Mr Meadows says. The company drilled down to a highly targeted demographic of potential customers and smashed the goal. "The campaign was supposed to run for two weeks but it got turned off after two days because they sold out," he says. It's important to note marketers never see an individual phone user's identity, with data profiles anonymised by providers. Geo-fencing By contrast, geo-fencing focuses purely on location - so where a consumer is, rather than who they are. It's a sphere where the most ingenious marketing is taking place. To geo-fence a zone, business owners draw a virtual ring around target areas on a digital map and push ads out to devices detected entering or leaving that defined area. The technique uses real-time GPS tracking data - often running in apps such as Google Maps - that have become so accurate, the latest iterations can pinpoint a user to within 30cm of their location. In the past, this technique has been used by small retail businesses, particularly cafes, to lasso local foot traffic. However, the increased accuracy of location data has spawned some more exciting guerilla marketing trends. In 2018, digital marketing agency Ansible launched the Dealer Stealer campaign for Hyundai which involved geo-fencing the address of rival car dealerships and pushing Hyundai ads to users' phones. It's the digital equivalent of running into a competitor's shop and handing out flyers. Geo-fencing is particularly effective because research indicates 82 per cent of consumers search products in-store before making a purchase - providing the perfect opportunity for your ad to be served. Mr Meadows says he also geo-fences trade shows to hit specific target markets. "I've got one coming up next month and I will geo-fence the entire thing because it's a small to medium business event. I will put a circle around the event and pump out ads," he says. At a recent event, Mr Meadows said attendance was 45,000 and data indicated his ads were pushed out to 38,000 users. "That's only 7,000 people who didn't actually see it. That's staggering numbers,'' he says. It's a cost-effective way to market to consumers who have already signalled an interest in your product or service, and the potential is boundless. Lawyers could geo-fence police stations, physiotherapists could focus on gyms, and pet shops or vets could target dog parks. Its use is limited, at present, only by imagination and the growing accuracy and scope of data.

Healthy, Wealthy and Wise for Small Business

Healthy, wealthy and business wise

Taking care of business begins with taking care of yourself. New Year is a time people traditionally focus on health, but a new campaign aims to help business owners recognise their personal health and business health are inextricably linked. The My Business Health portal, launched in December, is a collaboration between small business and mental health advocates to gather financial and wellbeing advice for SMEs in one place. The portal is hosted on the Australian Small Business and Family Enterprise Ombudsman (ASBFEO) website. Ombudsman Kate Carnell says the portal addresses concerns common to SME owners, from cash flow to HR, alongside prevalent health issues such as anxiety and depression, because one often triggers the other. "Many small and family business owners may not be aware that the very worries that are keeping them up at night - be it cash flow, staff-related concerns or paying suppliers - can actually cause high levels of psychological distress. That can have a serious impact on both mental and physical health," she says. A recent MYOB report revealed 56 per cent of small business owners feel running their own business has caused them anxiety or depression, with most saying this is largely a result of worries about financials and cash flow. Ms Carnell says the launch was particularly timely, with the ongoing bush fire crisis impacting many regional small business owners. "In bushfire-ravaged communities, small businesses are under enormous pressure," Ms Carnell says. "Some of these small and family businesses have lost everything and for the ones who still have a premises to operate from, their usual summer trade has been heavily impacted. "Small business owners will be focused on getting back on their feet over coming months but I would encourage them to take a moment to consider their mental health and access the free resources on the My Business Health web portal to help them through this difficult time." Finding an appropriate work-life balance is often a major issue for small business owners, Ms Carnell says. Research indicates working more than 39 hours a week can have a significant impact on mental health. Meanwhile, more than one quarter of small business owners report clocking up in excess of 50 hours a week. Making time for personal relationships and spending time away from work can improve an SME owner's perspective on their business. "It is really, really important to keep some focus, some balance between your personal life and your business life. That involves taking a step back and thinking strategically about where you're going and what is the most appropriate way to go," Ms Carnell says. The web portal - prepared with input from Beyond Blue, EveryMind and small business owners - aims to help business owners get an overview of where they are at professionally and personally, with links to some fast assessment tools. An app that benchmarks a business's financial performance against others in the same industry. A five-minute survey that assesses personal wellbeing and a two-minute business stress test. The My Business Health portal allows SME owners to access practical information and links to a range of business and health resources under four categories. Cash Flow: Dealing with tax and debts, grow your business, financial fitness test, and accounting, budgets and cash flow. People Power: Staff solutions, business relationships, friends and family, build your networks, and health and safety. Business Toolbox: Take a business stress survey, get business advice from an expert, planning and registrations, marketing your products and services, and work-life balance. Recharge and Reach Out: Take a five-minute wellbeing check-up, reach out to a support service, listen to podcasts, get help, and plan for a mentally healthier business. The project strikes a chord for Ms Carnell, deputy chair of Beyond Blue and a former small business owner. "The tough thing about small business is, it's personal and it's pretty all encompassing," she says. "What I saw as a small business owner and a pharmacist was just how often mental health issues impacted on small business." SME owners have a habit of putting their own health last, to the detriment of their business. "Mental health issues happen in all walks of life but where the impact is even worse is in the small business owners' space. It can take down the whole business." she says. The My Business Health portal was established with support from a $3.7 million Small Business Mental Health funding package announced by the Federal Government in 2018 to address the needs of the nation's 2.2 million small business owners. As part of this ongoing program, Beyond Blue has also launched a guide for family, friends and financial advisors of small business owners to help support owners in distress. Often, a fellow business owner may be the first to notice an associate is struggling. The guide contains practical advice on how to broach the sometimes-tricky subject of mental health, along with what to do if their approach is rebuffed.

Finding My Business Niche

Finding Your Niche

An international business survey reveals the habits of highly-effective people. How do you rate?

The world seems obsessed with productivity at the moment. It may reflect the fact people have never had to contend with so many distractions. Even before they leave home, many workers feel overwhelmed: emails, Slack messages, WhatsApp, meeting reminders and voicemails. Phones and devices steadily ping with more throughout the day. Then there's the siren song of social media - Instagram, Facebook and Twitter - all designed to incorporate addiction loops to keep you coming back.

So how do people stay focussed and on task in an age of information overload? In an attempt to answer that question, Harvard Business Review surveyed nearly 20,000 readers around the world in 2019.

The three main findings were:

productivity is not linked to longer working hours (in fact, previous researchers have noted productivity declines sharply past 48 hours worked each week); older, more senior professionals reported higher levels of productivity (which may be linked to learning through experience that the key is working smarter, not longer); gender differences were not significant, although women reported higher focus on preparation-related tasks (preparing efficient meeting agendas and reviewing the next day's calendar to look for possible issues); while men had good systems for coping with high volumes of communications.

Researchers at Harvard Business Review scraped data from survey responses to identify routines most commonly referenced by productive people. From this, they compiled a list of effective work habits based around three key areas: maintaining clear objectives; managing information overload; and making communications efficient and responsive.

This is their advice to workers looking to boost their productivity.

Preparation: Revise your upcoming day's schedule the night before to identify priority tasks and note objectives for each appointment; Send detailed meeting agendas beforehand; Before writing anything lengthy, sketch an outline with a logical structure and word count to keep you focussed on moving forward;

Managing distraction Make a conscious effort to limit checking your phone screen to once an hour rather than every few minutes; Delegate tasks, when feasible, that are not key to your main objective; Leave gaps in your schedule to deal with unexpected problems; Scan messages for sender and subject and tackle by priority rather than chronology.

Communicating effectively Limit meetings to a maximum of 90 minutes, but the shorter the better. End each meeting by listing outcomes and next steps; Speakers should present with dot points rather than a prepared script; Respond immediately to communications from those important to you; Focus on learning from mistakes rather than allocating blame.

The big question is: can time spent reading about productivity be productive? Incorporate some of these goal-focussed habits into your day and it can be. Here are a few more to get you on track.

Retrain your brain Distraction can become a habit; a way of avoiding difficult tasks. But the more people give in to a quick email check or Facebook scroll, the shorter their attention span becomes. Another Harvard Business Review piece ( How to overcome your email distraction habit ) looks at how people can retrain their brains to expand their attention spans and become more productive.

Focus on what matters Italian philosopher and economist Vilfredo Pareto came up with the 80/20 principle back in the 1800s and it still influences the business world today. His observation was that 20 per cent of effort is often responsible for 80 per cent of results. His deceptively simple method to boost productivity was to work out what that 20 per cent is and focus on it. Read more on how to apply Pareto's Principle here.

Plan wisely Don't work longer, work smarter. Studies indicate productivity declines rapidly once workers clock up more than 48 hours in a week. Anything over 39 can have an impact on mental health. Be reasonable in what you expect to achieve each day. Try to organise your day so the most challenging tasks are in the morning when you are fresh and focussed. Schedule time throughout the day to check and respond to emails in blocks, rather than checking them compulsively. Like to talk to someone who can help contact Awesome for a Free Business Strategy Review

Please note we do not provide tax, legal or accounting advice. This article has been written for general informational purposes only and is not intended to provide, and should not be relied on, for tax, legal or accounting advice. We encourage you to consult your own tax, legal and accounting advisers before engaging in any transaction.

Cutting the Gap - How to maximize cash flow

Mind the Gap

Cutting the lag between money out and money in can save you thousands. Are you doing all you can to loosen the cash squeeze?

"You need to spend money to make money" the saying goes, but the real key to business success is cutting the gap in between.

Small businesses can often find themselves caught out by the delay between outlaying on suppliers and receiving payment from customers. The longer this cycle, the more cash a business needs to cover running expenses while money is tied up elsewhere.

But there's a lot that SME owners can do to cut the lag, with new technology making it easier to run a tight ship.

Invoice immediately Bill clients when work is completed, or your product or service is delivered, not at the end of the week, fortnight or month. It's a false economy to think going through invoices in batches is more efficient.

When a business takes a week or more to send an invoice, clients may presume they are in no hurry to get paid. Conversely, online payment company Due reports invoices issued the same day a job is completed are 1.5 times more likely to be paid on time.

Discount prompt payment Offer a discount to clients who choose to pay early, say within 14 days rather than 30. Or if you have shorter terms, make sure clients don't drift past the due day by offering on-time discounts. Follow-up with an automated text or email through systems such as Xero or MYOB when the discount period is about to lapse.

Make it easy Studies indicate procrastination, not lack of funds, is the reason many invoices are paid late. Businesses can avoid getting relegated to the ''I'll do this later'' pile by making their invoices as simple to understand as possible. That means no surprise costs a customer may need to query.

E-invoicing should be standard practice as it's cheaper and faster. Include as many payment options as possible, all with click-through links. Anything that requires a debtor to work harder - cutting and pasting account numbers, for example - risks them abandoning a task until later.

Cut stock Running a tight inventory ship can be a delicate balance. Slow-moving stock can be a killer but you need to have enough to hand to be responsive and reliable.

This is where software can make a dramatic difference to track and identify slow-moving products and changing sales cycles. There is a dizzying array of inventory management software. If you're unsure where to start, ask your accountant or talk to other SME owners at business networking events.

Dig into data Big data is becoming more and more accessible to small business owners. They've always had the information, the problem was they didn't have the time, skills or software, to analyse it. New tools are making it easier for SMEs to drill down into existing information.

The cost of paying an accountant or digital marketing expert to help set up systems to analyse trading data can more than pay for itself. For example, sales records can identify high-margin, high volume products or services - your profit drivers. Once a business has this, delving further into customer metrics can identify what types of person or business is the main buyer, allowing a business to pivot your marketing to focus on this client demographic. Facebook and Google Analytics are good starting points.

Consider shorter payment terms The past few years has seen a huge push by the Australian Small Business and Family Enterprise Ombudsman, along with the Federal Government and Business Council of Australia to highlight the hardship that long payment terms place on small businesses.

SMEs should consider leveraging goodwill to shorten payment terms. It is also worth checking whether clients have existing small business policies. A recent review found SMEs were unaware many large companies had special payment policies in place to fast-track payments to SME suppliers1.

Chase debt early Set a process for chasing overdue accounts promptly. Systems such as Xero can be set up to send reminder emails, for example at three days overdue or seven days overdue. After two weeks, experts recommend phoning to get a commitment to pay. Business Victoria has a range of escalating debt recovery templates from ''friendly reminder'' to ''final demand''.

Stretch your terms On the flipside, monitor your outgoings and make sure you aren't paying your invoices too promptly, sending money out the door before you need. Automated payment systems can schedule payments to maximise cash flow.

Focus on finance Review the finance you are using. If you run a line of credit, review it regularly to make sure the limits and terms are competitive and suitable for your business. Consider invoice finance if you need liquidity fast. Like to apply for a business loan - Contact Awesome Lending Solutions

1 Review of payment terms, times and practices, Australian Small Business and Family Enterprise Ombudsman, pp 8, March 2019.

Please note we do not provide tax, legal or accounting advice. This article has been written for general informational purposes only and is not intended to provide, and should not be relied on, for tax, legal or accounting advice. We encourage you to consult your own tax, legal and accounting advisers before engaging in any transaction.

2020 vision

It is the roaring 20’s again and there are some big trends on the small business horizon. Customer Reviews Rule (even more)  Consumers have never had so much choice, and with choice can come confusion, which is why google and other user reviews are only going to become more important   in 2020. Reviews are the single biggest way companies can build trust in the marketplace, so for small business it becomes imperative to encourage clients to leave testimonials on their website and reviews on trusted business-rating sites. As quote by Rebecca Mitchell of Awesome Lending Solutions " Google Reviews have become the word of mouth marketing of this generation." Consider the following consumer statistics of over 2000 people in the US and Canada:  90 per cent read and checked online reviews before visiting an actual business 88 per cent said they trusted online reviews as much as a recommendation from a friend, and 86% said they would hesitate to use a business with negative reviews.  Do you have the resources to dedicate time to monitor and respond constructively to negative reviews? Rise of Gen Z and Millennial's  Millennial's (born 1981-1996) and Gen Z (born 1997-2010) are going to increasingly impact small business as they begin to make up a significant proportion of staff and clients. It's estimated Millennial's currently make up half the workforce, with that set to rise to 75 per cent by 2025 and small business will need to adapt. As customers, Millennial's and GenZ  expect fast communication and the latest tech-based payment options. Analysing different generations as consumers, McKinsey reported that while Gen X consumed goods that conferred status, Millennial's sought experiences and Gen Z valued individualised products and services from authentic and ethical brands. As staff, Gen Z and Millennial's may seem impatient, but they've been raised on tales of entrepreneurs who made millions in their 20s. Opportunities for professional development will be welcomed and open channels of communication with superiors expected. Corporate social responsibility matters  It is not just your price point, but your ethical and green credentials that will be increasingly important to clients in both the customer-facing and B2B sphere. This includes how businesses treat their employees. In 2019, staff underpayment scandals tarnished many brands. People doing business with you want to know your staff are happy and appropriately paid. Conversely, happy staff are likely to deliver a better customer experience. If you are a producer, clients also appreciate knowing your products are ethically sourced and sustainable. This can actually be your unique selling point and will grow in importance in 2020.  Remote workers  While employers initially viewed working from home with skepticism, experience and US research by Airtasker suggests staff can be more productive and happier with this flexibility. There's also savings for employers in having fewer staff on site. Remote work looks set to expand significantly in 2020. A McCrindle report found half of surveyed staff in Australia were willing to take a pay cut to work remotely. The introduction of 5G removes impediments caused by download or upload problems. Instant project communications  With staff increasingly working out of the office on mobile devices, rather than desktop computers, communication apps should increasingly replace communications such as group emails and inefficient meetings. Apps such as HipChat, Slack, Teams and Basecamp are more efficient ways to manage communications across projects. Video trumps text  The higher speeds offered by 5G will only accelerate the rise of video as an important marketing stream for both customer-facing and B2B businesses. Videos are easy to consume, engaging and rank higher than text content on Google. Video also keeps people on your website longer1. Hey Google - what's the future of search? Some pundits estimate that by the end of 2020 about half of all internet searches will be voice-based, and about 30 per cent will be conducted on a device with no screen. That is a daunting prospect for businesses who rely on getting noticed online. Think about it. When a voice assistant, such as Amazon's Alexa or Google Home, is asked to perform a search - for example ''find me the closest pizza shop'' - it only returns one answer, not a screen full of results. So, a business is either the search winner, or it's nowhere. Big data for small business  Analytics are going to become more important in delivering customized service and identifying customer trends. Software is making it easier and more accessible for small businesses to use data to gain an insight into where their customers come from and what they want. Facebook Pixel and Google Tag Manager can be essential tools for all business web pages to track potential and existing clients. Small businesses not already checking traffic via software such as Google Analytics, Facebook Analytics and Instagram Insights should invest in understanding how to use these free metrics. 1 Cournoyer, B., 6 cool stats about video SEO, Brainshark, August 8, 2013 Please note, we do not provide tax, legal or accounting advice. This article has been written for general informational purposes only and is not intended to provide, and should not be relied on for tax, legal or accounting advice. We encourage you to consult your own tax, legal and accounting advisers before engaging in any transaction.

How to invest in property through an SMSF in 2022

For some years, self-managed super fund members have been able to invest in residential property, as long as they follow strict guidelines.

The first step is to have a discussion with an expert to determine whether investing through an SMSF is the most appropriate approach to property investment given your personal circumstances.

“If it is, the next step is to set up the SMSF,” says Albert Waldron, a finance broker with Awesome Lending Solutions who has also recently invested in a property through his own SMSF. “I recommend using the services of a specialist. Do this before you start looking at an investment property to buy.”

Another tip is to be aware that rolling over any existing super into a SMSF may take up to a month to process, so build in time for this to occur.

“If you need a loan to buy the investment property, you will need to establish a bare trust as that is what the lender lends the money to,” Mitchell explains. “The purpose of this trust is to allow a limited recourse borrowing arrangement (LRBA) to occur.”

This means, should you hit unexpected difficulties and be unable to make repayments, your lender can only access the assets that the loan is against.

One potential difficulty is that you have to have found the property you want to purchase to be able to establish the loan.

“When purchasing, I highly recommend you set a longer than normal finance approval period – a minimum of 21 days,” Waldron says.

 What can you buy?

There are two main, and fairly simple, rules of buying residential investment property through SMSFs. Firstly, you and your relatives cannot live in the property and, secondly, you can maintain the property but cannot improve it.

“The residential investment property can be a house, an apartment or townhouse, or any other type of property a non-SMSF investor might consider,” says Waldron.

The maximum borrowing within an SMSF is normally 80 per cent of the property value and it’s important to take into consideration that there is a cost to establishing and maintaining your SMSF, as well as subsequent fees and charges involved in the purchase of the investment property.

Thinking of investing in property through an SMSF? Contact us now on 1300 761 988 or by going to our website www.awesomelendingsolutions.com.au

How Many Investment Properties Do I need to Retire

Have you wondered how many investment properties you would need for financial freedom?