You’ve built your business with hard work and determination, but, when it comes time to exit, the process can be overwhelming. Questions about valuation, negotiating the sale, minimising tax implications and ensuring a smooth transition may keep you up at night.
At Munro’s, our accountants help guide business owners through every step of selling their business, so you can confidently move on to your next chapter.
From $3,000 (excl. GST)
Tax Planning Before Business Sale ServicesThe rest of this page is dedicated to providing you with an overview of the typical problems and associated solutions with regard to selling a business. These apply whether you are selling a business in Perth, elsewhere in WA or across Australia.
Should you need professional accounting help when selling your business, please let us know by booking a meeting or sending an enquiry.
The Problem
Selling a business isn’t just about finding a buyer; it’s about overcoming several key challenges:
Smooth Transition: The sales process can disrupt day-to-day operations. You need a plan that ensures minimal interruption so that your business continues to thrive during the sale process.
Our Solution:
At Munro’s, we understand that every business is unique. We listen to your challenges and craft a tailored solution that delivers real value. Here’s how we can do it:
Key Outcomes & Benefits
video key points
Presented by: Rama Yudhistira
video transcript
At Munro’s, The Professional Problem Solvers, one of our specialties is assisting Australians with accounting and business improvement associated with selling their business.
Whether you’re planning to sell to an unrelated party or through succession to family members or management, we are here to help.
Our role is to ensure you are well-prepared for the sale, aiming to achieve your financial goals while mitigating taxes. It’s crucial to start preparing several years beforehand. Early preparation can significantly influence the outcome of your sale, which we highlight on our Selling a Business webpage.
Determining a realistic business value is essential. Through profit improvement and strategic growth programmes, you can positively impact your business’s value.
Additionally, proactive tax planning a few years before the sale could dramatically reduce your eventual tax burden.
A comprehensive plan should also address what comes next, including tax-effective retirement planning.
For those considering business succession, particularly to family members, we recommend visiting our Successful Succession Planning page. There we cover what incoming owners should consider, what retiring owners need to do, and how large family groups can preserve and grow wealth while protecting against potential family disputes.
Please explore these pages if you need assistance and take note of the wonderful 5 star reviews that clients have submitted in relation to such professional work we have provided to them. It’s thanks to reviews like those that we rank in the Top 2% of Australian accounting firms.
When you’re ready for our help, we’re here ready to assist.
See you soon.
To increase the chance of selling your business within the desired timeframe and at the price you want, you need to get it ready for sale. Generally, the sooner you start getting ready, the better.
Solution
Business sales readiness.
Outcome
An attractive business for prospective buyers.
video key points
Presented by: Carl Hansen
video transcript
To increase the chance of selling your business within your desired timeframe and at the price you want, you need to get it ready for sale.
The sooner you get started, the better.
The following are some of the things you may need to do:
Ideally, begin these preparations three to five years before you intend to sell. This timeframe allows you to make necessary improvements and position your business as an attractive acquisition.
Should you need assistance, we’re here to help. A free Get To Know Each Other meeting is an excellent starting point. You might also find our Selling a Business Diagnostic on our website useful.
We look forward to supporting you in achieving a successful sale.
There isn’t just one way to value a business. Ultimately, what you want as the seller is a business valuation that is realistically achievable and prepared in such a way that will effectively help the buyer agree to pay it.
Solution
Realistic business valuation.
Outcome
Increased chance of selling the business at a fair price.
video key points
Presented by: Saul Segal
video transcript
Transcript available on the Business Valuation page.
There may be very valuable tax concessions available if you satisfy certain criteria. This includes the possibility of an extra 50% CGT discount plus a part or full tax exemption. Forward planning is advised, given that things may need adjusting the year, or several years, before selling.
Solution
Forward tax planning.
Outcome
Bare minimum tax.
video key points
Presented by: Rama Yudhistira
video transcript
Transcript available on the Tax Planning Before Selling a Business page.
As you approach selling your business and possibly coming into a large cash lump sum, you’ll need to consider how to set this up in a tax-effective and financially prudent manner.
Solution
Retirement tax planning.
Outcome
Tax-effective retirement.
video key points
Presented by: Rama Yudhistira
video transcript
Planning for retirement is an important task that requires careful consideration and preparation.
A part of that planning, and eventual implementation, should be a focus on making things tax effective.
When you sell your business, not only do you want to minimise taxes during sale, you want to minimse taxes over the long-term.
For instance, if the sale results in a large cash lump sum, you want the income you generate from that over the forthcoming years to be taxed as least as possible.
A common strategy to mitigate taxes in retirement is to build up wealth in your superannuation account. This is because the tax rate on superannuation earnings may be nil or at a rate lower than your ordinary tax rate.
In the years leading up to retirement, your plan may include maximising both your concessional and non-concessional contribution limits. Around the time of sale of your business, if eligible, your plan may also include maximising special concessional limits. Later you might also utilise the downsizer contribution limit.
Ultimately, tax professionals such as ourselves can work with you in the lead up to, and during retirement, to effectively save you tax.
At Munro’s, we don’t provide investment advice, but rather work alongside you and your financial advisor to help with an holistic retirement plan that both achieves your income and wealth objectives, together with your tax objectives.
Where clients don’t yet have a financial advisor, we are able to introduce them to financial advisors we trust to do the right thing.
We also proudly assisted our clients with tax effective estate planning, which can include the outputs of:
During such conversations we also assist clients with considering whether any of their assets should be transferred to the next generation while they are still alive.
There are a few reasons why you might want to consider doing this, including:
While we leave the legal and financial advice to the experts, we will always be there as a sounding board – always truly looking out for your best interests as your Trusted Advisor.
If you would like an advisor that truly cares, we would love to hear from you and begin an incredible journey together.
First Session is FREE (incl. GST)
Upskilling Event for Business LeadersClaims of being a ‘Top 2% ranked Australian Accounting Firm‘ (and similar claims) are based on two separate assessments conducted by Munro’s on 9-10 August 2023 and 1 December 2023. The ranking is derived from a comparison of the total of each accounting firm’s overall star rating multiplied by each firm’s quantity of reviews as shown on Google Maps. A total of 4,235 Australian accounting firms listed on Google Maps were identified for the earlier assessment, and a total of 4,301 for the latter assessment, which may not represent a complete list of Australian accounting firms. Munro’s claims are based on Munro’s best estimation and represent a snapshot collected at the time of each assessment. If the assessment was to be conducted today, then it is likely that Munro’s ranking would have changed – Munro’s may or may not be in the Top 2% today. Also, the methodology does not account for other potentially relevant factors such as quality of service, expertise, or client satisfaction beyond Google Maps reviews.
video key points
Presented by: Drew Pflaum
video transcript
In December 2023, we conducted a review of Australian accounting firms on Google Maps, based on star rating and quantity of reviews.
Out of the 4,301 Australian accounting firms we identified on Google, Munro’s ranked number 44, placing us in the Top 2% of Australian Accounting Firms. We’re thrilled to share this fact with you and share those reviews on our website. We’d also like to thank all our clients who left us those wonderful reviews.
Thank you.
Munro’s is delivering excellent results for me. My initial engagement was a complex situation comprising of many years of outstanding returns in both the traditional and cryptocurrency space. Drew, Sanjay and Saul were able to rise to the challenge and managed the whole process including preparation, lodgement and dealing directly with the ATO. They have always been friendly, responsive, diligent and provide actionable advice based on observations they have made from my data and by also understanding my personal goals and objectives.
I am confident I have the right team by my side with Munro’s and I highly recommend Munro’s to anyone looking for top quality service and advice.
As soon as I saw that Munro’s were recommended by the cryptocurrency tracking app CoinTracking for tax advice, I knew they must be absolute pros.
Munro’s will be my accountants for life now. Nothing was too much trouble and everything has gone so smoothly.
Here’s what Carl fixed for me for my latest tax return:
reconciled complex history from various crypto exchanges, some of which are now defunct, which I had spent several days trying to get various AI models to assist with to no avail
fixed my balance issue in CoinTracking to accurately reflect my position
Corrected purchase and sales history for employee shares scheme
Adjust various mistakes from my previous accountants and carry forward the adjustments
Scrutinised previous tax returns to adjust missed capital losses from a kitchen renovation completed over a decade ago on an investment property that can now be used to offset future capital gains.
Provide clear advice on every single thing I asked with no hesitation. It’s so obvious that these guys have seen it all and done it all.
Because I’m with Munro’s now, I feel SO much more confident about some big financial moves where the nightmarish tax implications would otherwise boggle the mind.
Thank you so much!
By the way, I wasn’t asked to do this review or sent one of those “please review us on Google” emails. I am posting this because I’m so happy with the service I was provided, it sells itself and I suppose a perfect 5 star rating with 140+ reviews is a testament to the fact that all of Munro’s customers have a similar experience to me. If you have complex tax affairs I don’t think you’ll find anyone better.
I required some complicated advice from a business accountant on an urgent matter. It involved legal issues and advice as well as accounting advice.
I contacted Drew Pflaum of Munro’s via the website, and he got back to me very promptly.
Drew showed that he was well able and indeed very keen to think outside the square.
Nothing was too much trouble and he has some very valuable professional contacts that he is able to consult with if needed.
With Drew’s obvious intelligence and honesty coupled with an enviable network of contacts, and his keen desire to achieve the best results possible in a timely manner, I have no hesitation in recommending him for any sort of business accounting advice.
Munro’s provided me with the exact accounting and tax advice I needed. I highly recommend Munro’s to anyone who is searching for a professional accounting firm that goes the extra mile to help their clients.
We have been clients of Munro’s (and Donald F Munro & Assoc. before that) for more than 50 years and have always found them to be right on point with their advice and work. Nothing is too much trouble to research and the responses always given in easy-to-understand language. We love that the K.I.S.S principle is used (keep-it-simple-stupid!) We can’t thank Simon and Carl enough for the great service that they provide. I have also, in community roles, worked with Barry Virgo and Ian Arblaster over the years on Co-operative business and their knowledge was second to none.
Thank you and congratulations Munro’s on 50 years + in business.
Munro’s have been our accountants, both for business and personal, for 50 years. During that time we have been really happy with the work done for us. The personel have always been professional, welcoming and efficient form the person at the front desk who greets you, to the people who handle your work.
Congratulations and best wishes for the future.
PS It does help that Simon supports the right footy team but he is not as good at tipping as he is at accounting!
The team at Munro’s has been of great assistance to me over the years, with a particular special mention to Drew Pflaum. They’ve helped me navigate some complex tax matters with proactive, insightful, and pragmatic advice. I highly recommend them for anyone seeking expertise in this area. Thank you again to the whole team and especially to Drew.
Mike and the team at Munro’s have managed our personal and business affairs for over 20 years consistently achieving excellent results. Now in retirement we continue to be totally confident with Mikes advice. Congratulations Munro’s on 50 wonderful Years.
Very professional and communicative, will use again next year. Thank you.
I highly recommend Drew Pflaum at Munro’s for any matter relating to property, crypto, business tax, etc. I’ve recently met with Drew and he was very diligent and knowledgeable in explaining the best possible options/solutions I have available for my business. Drew is definitely the go-to person for any complex tax matters.
Drew and the team helped me with my tax returns, especially reporting on cryptocurrency trading done in previous years. I highly recommend seeking their services for all tax/accounting matters, especially cryptocurrency trading. Thanks guys!
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