BREAKING NEWS! High Court of Australia overturns the NSW Workcover OHS Regime
The High Court of Australia has recently handed down a landmark decision in the case of Kirk v Industrial Relations Commission of New South Wales that has fundamentally changed the interpretation of employer's duties under NSW occupational health and safety (OHS) laws and also the way in which prosecutions must be conducted...

How to ride the recovery wave
With the economic cycle showing signs of returning to an expansionary phase, now is the time to position your business to ride the recovery wave.

Helping you fund your business operations in an economic recovery 
There is little doubt that we are now firmly in an upward rate cycle. How will this impact on your capital expenditure program?  

The High Court of Australia has recently handed down a landmark decision that has fundamentally changed the interpretation of employer's duties under NSW occupational health and safety (OHS) laws and also the way in which prosecutions must be conducted.

The case concerned a NSW hobby farmer, Mr Kirk, whose employee, an experienced farmer, was killed in an all-terrain vehicle accident in 2001. Mr Kirkpleaded not guilty but was convicted and fined $121,000 by the NSW Industrial Court. After unsuccessful appeals to both the NSW Court of Appeal and the Full Court of the Industrial Court, Mr Kirk obtained special leave to appeal to the High Court of Australia. In a unanimous judgement, the High Court allowed the appeal, quashing the convictions and ordering that WorkCover pay costs.

The High Court found that NSW Workcover, in prosecuting an employer under the OHS Act, must specify precisely what acts the employer should have taken to meet their obligations to provide a safe workplace. It is not enough to simply allege that the defendant had failed to ensure the safety of the employee.

This decision represents a very fundamental shift of power in the NSW system, and brings the previous unbalanced NSW OHS law back into line with that in other States.  Click here for more

With the economic cycle showing signs of returning to an expansionary phase, now is the time to position your business to ride the recovery wave.

Your main objective while the global economy seems to be recovering should be to position your business for sustainable economic growth. Broadly speaking, you should maintain a disciplined approach to working capital management and focus on increasing profitability and efficiency.

Our Top Ten Tips 
Here are ten key steps you can take right now to position your business on the recovery wave.

1.    Review the financial health of your business

In good times and bad, you need to have a firm grip on some key ratios. How are you travelling?

2.    Carry out a SWOT analysis.

Again, this is a fundamental step in navigating your way through any business environment. Who are your new competitors? Where are the opportunities?
 

3.    Revisit and adjust your business plan

Does your plan reflect your current capacity and where you want to go? Does it take into account economic uncertainties?

4.    Create a balance between efficiency and innovation

Are you encouraging innovation at the expense of short-term efficiencies? You need both.

Is this a good time to grow your business through acquisition? Should you open new premises?

Is your current plan aligned with changing market conditions? Is it focussed on improving your cash position and profitability?

7.    Focus on improved cash flow

Like any good business, you probably did this during the downturn. But don’t stop now. This could be a great opportunity to further add to your cash reserves.

8.    Focus on profitability

Are the discounts that helped your cash flow last year hurting your profitability now?

9.    Plan to fund your recovery efforts

External finance is becoming less difficult to obtain. How much do you need? How will you use it? What do the banks require now?          

Are the steps you took to manage the downturn still relevant or are they hindering your recovery? Time to review.

There is little doubt that we are now firmly in an upward rate cycle.

How will this impact on your capital expenditure program?