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.
Super grateful to Drew and the team at Munro’s for their quick response and helpfulness! I reached out via their website to see about getting a referral for a comparable crypto tax advisor in the United States, as Munro’s seemed to be the best firm I came across in my research. Drew got back to me within hours and was kind enough to reach out to his network for a reputable contact. He directed me to a great firm and was quick, kind, and communicative throughout. Wish we were based in Australia so we could work with Drew and his team for all our tax advisory needs! Highly recommend.
Our Munro’s Experience began approximately 38/40 years ago. Steve’s parents were already customers of Munros, in particular Barry Virgo, and we followed suit.
For the first couple of years we had several changes of Accountants at Munro’s (we always got the newbies and had to ‘train them up’ to know how to get the best deal from the Tax Office for farmers. We became fed up of this system. Our last newbie was Simon Strawbridge. Well, we got him “trained up right proper” then they wanted to give us the next new one, but we stated we weren’t changing.
Today, Simon is still our go to man. Whilst we understand there have been many very efficient people working in the background on our business affairs, for which we thank them sincerely, we have always maintained our professional relationship with Simon.
We have been through some big business changes in our farming adventures over these past 40 odd years, and the advice, help and professional assistance has been 100%. At times we didn’t know who to trust to give us the best business advice and we were fortunate to be able to lean on Simon’s vast knowledge to help us make these decisions.
Our working partnership of having our taxation needs, investment portfolios, wills, etc. linked in with Munros and the great staff has been successful.
I have used Munros now for 3 years, and I find them excellent – can highly recommend them to anyone needing a fantastic Accountant!
From the moment we met Simon Strawbridge we were impressed and put at ease by his personable manner. We knew our taxation assessment was in competent and knowledgeable hands.We have been with Munro’s for 8+ years. During this time Drew Pflaum assisted us with BAS issues, which was greatly appreciated easing another financial burden. All the staff whom have assisted us through the years have been highly professional and always pleasant. In particular those at the reception desk always helped us with a smile. Even when reception was not attended, someone was quick to assist us. Munro’s make taxation assessment time a breeze. Thank you Munro’s. Congratulations on 50 years of excellent service
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.
Thanks Drew and Munros for helping me with my taxes.
Highly recommended
Friendly staff and excellent service. During the past five years, their team have provided very useful advice on tax savings. Their prompt response and well explanation to my questions are well worth Five Stars. Thanks Josephine, Christine and the team. Highly recommended without hesitation.
Drew provided clear and detailed advice on my crypto and personal tax matters, making everything easy to understand. Highly recommend!
I highly recommend Drew and the team at Munros for their excellent accounting services, particularly with investment income as well as their crypto expertise. Thanks Drew.
Mike has been most helpful and professional with our accounting, superannuation and taxation affairs. We had transferred some years ago from a less than professional person and now very pleased to be with Munro’s. Congratulations on 50 years and best wishes for a long and successful future.
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