Why it’s important to structure your business correctly

​

The tax and legal consequences of poor structuring can haunt you into the future. Sure, it’s best to have the structure set up correctly for you now and into the future, from the start, however it’s almost never too late to review your structure. Sometimes, it is cost prohibitive to change structure, however knowing the benefits and pitfalls as you go is critical to successful business planning.

​

Situations where restructuring can help

​

When you’re under 2 million in turnover, there are certain Small Business Capital Gains Tax Concessions available to you, a restructure during this time may help you cement your cost base for future transactions and set your entity up for success in a later succession plan process.

If you’re setup as a single ownership entity, e.g. a discretionary trust, a restructure may be necessary to help you introduce new equity holders in the future.