We get it. It’s EOFY and there’s plenty of deals around. The instant asset write-off has been expanded to $150,000 and there are no shortage of items on business owner’s shopping lists.
But as Healthy Business Finance owner Stacey Price explains, it’s easier than you’d think to run yourself into cashflow issues at this time of the year — so spend wisely.
“Spending extra in time for EOFY might be great in theory, but do you really have the cashflow for those new tools, new car, new computer, extra subscriptions?” Price tells SmartCompany.
“If that is going to cost you extra money in the long-run, for minimal tax or productivity benefit, then are you really ending up in front? If you purchase on a loan/lease arrangement you will also need to factor in interest charges to the cashflow.”