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Josh Frydenberg is about to introduce tax cuts

Josh Frydenberg has made it very clear that it is high time to introduce income tax cuts. This decision has been made by seeing the state of the Australian economy in the worst position since the time of World war 3.

The GDP of Australia has fallen by 7 percent for the quarter of June. This has become a matter of major concern for the department of tax return Melbourne. And this has happened due to the lockdown imposed on Australia because of COVID-19.

It is being expected that on October 6, Josh Frydenberg will introduce the budget and the plans about the upcoming versions of JobMaker will be introduced. Providing such information is very crucial as most of the works related to tax are done online by the department for online tax return Melbourne.

When a journalist asked Mr. Frydenberg about whether they are going to cut down the personal tax, he said, “We are on it as this issue has been under our consideration for a long time. Some modifications were made after the last election. Total changes in this field are not apparent as it will take place in three stages. If we somehow manage to put more money in the hands of people, they will spend more of it and eventually more jobs would be created.”

As you know the role of opposition in any working democracy, you can’t know about the whole scenario without listening to both sides. The person concerned with the treasury in the opposition had different viewpoints regarding Mr. Frydenberg. He said that Frydenberg is lacking on vision in all these steps. “Fridenberg started telling about the state of the Australian economy and then suddenly changed the topic to cutting the taxes in particular. It clearly shows that he had no more things to discuss the vision to get this economy in a better state. It’s definitely not the kind of leadership that we want for our economy, especially in this situation. More profound vision is needed in a time when the people of this country find it hard to pay the individual tax return.”

Based on the present situation, tax incentives in the field of infrastructure is very necessary so that business investments would be enhanced.

The situation of the economy will start changing once the effect of the virus reduces and the restrictions are lifted.

But it is very necessary to introduce a roadmap for the businessmen of this country because businessmen will start hiring more and more employees only after making sure that a good route has been decided for the recovery of the economy. Extra people with proper tax training will be needed to make more and more people aware of the financial aids that the government is providing for business owners. This will ultimately lead to enhanced growth of the business.

Conclusion:

In this vast age of the internet, there are various sources and people get confused about where to go for authentic information. But there is no need to worry when you have reached here. Accounts NextGen brings to you the most relevant information to make you aware of the situation around you.

Here is what the sole traders need to know about JobKeeper 2.0

It’s been a while since the introduction of the government scheme called JobKeeper to keep the working-class people of Australia employed. But recently some modifications were introduced in this scheme to make it more convenient and accessible for the people who need it the most. In any moment like this, the sole traders are in a state of panic as they don’t know where to find the most relevant and authentic information about this refreshed scheme. As the people are already aware of the strict rules of the department for tax return Melbourne, they need to be updated about the latest information to avoid any trouble. You don’t have to worry much about it as we bring to you the most relevant information about it in this blog.

These changes will come into effect from September 28, 2020, in order to make this scheme more suitable for the sole traders. Later sections of this blog will provide you all the essential information about the changes made if you are a sole trader.

The following updates have been made in JobKeeper 2.0:

  1. Who is eligible for JobKeeper 2.0?
  • You have to keep in mind that only those persons are referred as sole traders who run the business not those who are working in that businessman.
  • As of the regulations mentioned in the new scheme, from 28 September 2020, any business that has seen a drop in their turnover is eligible for this as well as all the future versions of this scheme.
  • In case, you meet all the criteria except for a few, then there is no need to worry. Because there is a way that enables the Commissioner to exercise his power of discretion. In that case, you may get some additional time to gather all the other documents for eligibility. You should appeal to the commissioner for this opportunity.
  • Only those businesses will be eligible for this scheme who meet the eligibility criteria described in the new scheme.
  • In case you have any difficulty in any of these processes, the department for online tax return Melbourne is always there to help you.
  1. What can one do if he/she is not available on the specified date for qualification due to sickness or injury?
  • If you have missed the specified date for qualification, there are some special arrangements for you. Go to the page of the Coronavirus Economic Response Package. On this page, you should read the Sole Trader or Small Partnership with Sickness, Injury or leave.
  1. How much money will I get from JobKeeper 2.0?
  • There are different tiers that have been made under this program. How much money you are going to get from this scheme depends on the tier for which you have qualified. As the situation has become so harsh for business owners that they doubt whether they will be able to gather enough money enough for individual tax return, they are constantly asking about the amount of money they are going to get from this scheme. For more information, you should go to the JobKeeper payments section on the official website of ATO.
  • Broadly speaking, if you are a sole trader and you have worked for less than 20 hours a week in the last four weeks before 1 March 2020, you will qualify for the lower tier of JobKeeper. And, in case you have worked for more than 20 hours a week before 1 March 2020, you now qualify for the higher tier of payment of the JobKeeper scheme.
  • Take a look at the payments plan for the higher and lower tier of JobKeeper:

Lower tier:

  • $650/fortnight from 4 January 2021 to 28 March 2021.
  • $750/fortnight from 28 September 2020 to 3 January 2021.
  • $1500/fortnight until 27 September 2020.

Higher tier:

  • $1000/fortnight from 4 January to 28 March 2021
  • $1200/fortnight from 28 September 2020 to 3 January 2021
  • $1500/fortnight from until 27 September 2020.
  • There are some discretions over the eligibility hours for this scheme. These discretions are valid for those who have either volunteered in the bushfires or they were unable to work because of the restrictions put due to COVID-19.
  1. What about the new employees arriving in your business:
  • No any employee is eligible for this scheme if he has joined your business after 1 July 2020.
  1. Guidelines about the Advance payment of JobKeeper amount:
  • There have been several appeals from the sole traders about the cash flow demands of this scheme. The government reimburses the money in arrears even in the new system.
  1. What can one do if he is seeing a decline in the turnover after March 1?
  • There may be some instances where someone’s business had started declining after March 1, 2020. So, in the new scheme, a way has been designed that enables them to enroll for JobKeeper 2.0.

The Australian government is trying its best to make the business owners capable of coping with this situation. They are introducing new schemes. Such a situation has challenged the people working under the governmental department. That is why the government is always looking for officers who are recruited after giving them the best tax training. That enables them to work under any situation.

Conclusion:

In any matter associated with economy and tax, Accounts NextGen is always there to provide you authentic information about the situation going.

Australian Cyber Security Centre alerts Aussies over myGov tax time scam

In a time when the tax time scams are on the rise in Australia, the Australian Cyber Security Centre has alerted the Australian citizens regarding scams associated with myGov.

The Australian Cyber Security Centre has taken this decision because a report from ATO mentioned that the number of SMS and email scams related to myGov. Some messages are generated by the official department for tax return Melbourne. And the scammers make their messages completely look like the official messages from the government.

For those who are unaware of this scam should know about it in the first place. At first, you will receive an email from an email address that seems familiar to that of ATO’s email address. And that mail will request the recipient to verify their details. Most of the people take this message as coming for the purpose of online tax return Melbourne.

Once the recipient has clicked on that email address, he will be redirected to a fraudulent website and there the personal details will be asked to fill up his personal details for the purpose of verification. In some times, people are usually in a hurry to complete the procedure of Individual tax return, they don’t care much about the appearance of the fake verification mail. So, the scammers get a chance to cheat the people with such messages.

As per the warning of the ACSC (Australian Cyber Security Centre), these fake emails look much like the tax time notifications generated by ATO or the myGov.

ACSC has also said,” The cybercriminals or scammers have developed a fake conversation thread that appears like the original texts from ATO or myGov. This is the reason why most of the people take these messages as the original messages from the government.”

As a responsible user of the internet, you should not click on such links and you should avoid providing your personal information at places like this. As the common people don’t have any tax training like the professionals in this area, they are cheated very easily. This can be easily avoided by taking the basic precautionary measures of using the internet.

In all such matters, Accounts NextGen is always there to provide the most relevant information about the ongoing situation around you.

Tax office to punish people engaged in fraudulent activities to save tax

In a recent press release, the taxation office of Australia said that it will punish the people doing super withdrawals to minimize the payable tax.

The taxation office said that there is a certain loophole that enables people to avoid the payment of personal income taxes. And the office is about to punish all such people who give false information to get benefits from this scheme.

As per the statement of ATO, the people of Australia are withdrawing money from their account using financial hardship measure tax-free and then top up their super account through salary sacrifice at a rate of 15 percent.

With the help of this scheme, $10,000 is free of tax for a person having a salary of $100,000 but if he sacrifices $10,000 into his super account, now only 15% tax is being imposed on this $10,000 of the account holder but the right amount of tax should be 37%.

The taxation office has been noticing the people who are managing their wages in such a way that can make them eligible for this scheme. This scheme called Super was introduced by the Federal Government to help the Australians who have lost their jobs or who are getting low wages.

ATO has said the following about this situation, “In earlier days of COVID-19, we saw some cases where people were doing such things to get benefits of this scheme which they did not deserve. In certain cases, we prevented them from applying and did not release the super money.”

ATO can easily fine all those who claim the early access of superannuation payments by manipulating information. This fine could reach up to $12,600.

Sally Tindall (the director of RateCity research) said it is completely certain that ATO will punish all those engaged in such activities. She also said “This particular initiative was taken to help the ones who needed this money the most. We intended to help those who can’t pay their bills or get meals, and the ATO is completely determined to find those who want to exploit this scheme.”

Karen Foat (Assistant Commissioner) has the same viewpoint about the people who are engaged in this type of fraud activity. When asked about this situation, she said the following:

“There is no need to rejoice after seeing that the graph for work from home like jobs is going up because there are a lot of things for which is graph has gone down. Industries like tours and travels and many such others have suffered very big losses. And what we are seeing day by day is that the activities like it to cheat the system is increasing day by day.

There is always a way to work out the simple mistakes that are unintentional but for those who are doing it on a purpose is very bad.”

The Australian Taxation Office said that all such people who are engaged in such activities will have to repay the tax and there is an additional penalty up to 75% of the money that they have not paid. People who have manipulated their documents to be eligible for this scheme will face criminal persecution.

Bernie Dean (chief executive of Industry Super Australia) said “Those who are manipulating their information for getting this scheme are actually making it harder for the ones who are in desperate need of this scheme.”

ISA has also welcomed this decision by the ATO and they said that all those will be punished who are misusing this scheme.

ATO doesn’t consider the JobKeeper payments as a part of aggregated turnover

JobKeeper payments have been considered as assessable income. But there are certain concerns regarding the status of JobKeeper payments as whether they fall under ordinary income or statutory income.

For those who don’t know about it, under this scheme, the business which has been affected the most due to the outbreak of Corona COVID-19 will get money from the government (in the form of subsidy). This assistance is being given to all such businesses so that the employees of all such businesses will get the wages.

As per s328-120, if the JobKeeper payments would become a part of the aggregated turnover, it would decide whether some entity is eligible for different concessions and other measures, instant asset write-offs, base rate entity tax rate, and the refundable R&D tax offset.

Now ATO has made it very clear that the JobKeeper payments are ordinary income but are not derived in the ordinary course of business. So, they are not included in aggregated turnover.

There were certain confusions about whether the JobKeeper payments fall under the category of ordinary income or not in order to calculate the aggregated turnover as said by Tracey Dunn. When asked about this situation, she said the following, “After including the JobKeeper payments in aggregates turnover, there would be some major consequences. Things like CGT concessions of small businesses, the income tax concessions of small businesses, other R&D involvements can push many businesses to threshold after this decision.”

Here are some changes that have taken place in this scheme:

  1. The JobKeeper scheme has been extended until March 28, 2021.
  2. A detailed test of the turnover of the applicant’s firm will determine his eligibility.

Some of the factors that determine the eligibility for this scheme include:

  1. For the businesses having a turnover of at least $1 billion or more and the latest turnover has been reduced by no less than 50%.
  2. The businesses which have turnover less than $1 billion then their turnover of this period should be reduced by 30% or more.

To get the benefits of this scheme, the businesses should apply to the concerned department of the government along with the documents showing a downfall in the turnover. They also have to show the total number of employees working in their firm. But the name of the employees should be mentioned in the book of that business from March and that employee must be active in the same business at present.

It was known to the RSM and they asked about it to the experts. “The ATO has responded very quickly and they modified this information. So, it is clear that they consider JobKeeper payments as an ordinary one and assessable to the employer. But it can’t be included while calculating the aggregated turnover.”

Importance of LinkedIn for International Students

In this age of the internet, there are a lot of social media platforms. But all those have been designed for the purpose of fun except for one. It is called LinkedIn. LinkedIn is a completely career-oriented platform where the posts and interactions are related to the works. It is a great platform for all of the working class people irrespective of their background whether they have completed accounting training, tax training, or any other training, this is the best platform for you.

Why you should be using it before you start your graduation:

Even if you are not a graduate at this time, you should start using LinkedIn. It is only because we are living in such a time when most of the works around the world are being done online. So, it will provide you with ample opportunities to make ready for industries in the future. There are several employers who look at the social media presence of the employee to check the taste and preferences of that employee. And LinkedIn is a place that can give you the best knowledge about what goes on inside the industries.

A basic user guide for LinkedIn:

Like all the other platforms, you should start using it by making your profile first. The profile making is not so simple as it requires several skills and other preferences. Once you are done with these details, find the groups where professionals are engaged in chats. Once you start following those groups, always keep an eye on the tab that provides news about those groups. It will keep you updated about the present situation in the industries.

The ideal profile for students:

This is the part where most of the students fail because they don’t have much experience and want to appear unique among others. You should take care of the finer details that you have to fill in. At first, your profile picture should look professional. If you are trying to mention the experience that is primarily concerned with work, it is not possible because you don’t have that. You should be mentioning the skills relevant to the jobs that you want to do in the future.

If you have made some connection with someone, you should prefer sending them personalized messages. Only this way you can make important connections and you will be able to catch the attention of the employers.

What is there for international students:

There are some additional tips for international students. If you are studying abroad, you should keep these points in your mind while making your profile non LinkedIn:

  • Don’t forget to write about your background in the profile. Your skills may be unique enough to grab the attention of the employers.
  • Every activity of yours should seem professional to others. It helps a lot in making a good impression of yours in the minds of your employers.
  • At least one recommendation is mandatory in your profile.

If you are living in Melbourne, there are various institutions that provide the best accounting training in Melbourne, tax training in Melbourne. You would get a lot of help in getting a job in the future after the completion of such courses.

Conclusion:

If you are unable to find good guidance on the internet, Accounts NextGen is the best place where you should be. We are determined to provide the most relevant information that matters to you.

What can you do to be unique after Graduation

The number of students who graduate every year is in millions. But a study suggests that only 3 percent of those graduates are good enough to get a job. In this blog, we will talk about some key points that would make you suitable enough for getting a job. Certain things are lacking in most of the aspirants. Go through this blog carefully to get an idea about that.

So, any student studying at some graduation college will want to become one of those 3 percent who makes it to the job. As per the report of the Australian Association of Graduate Employers, there are about 33 applications for one job after graduation.

Most of the people know that the majority of the employers see academics at first and then they will look for qualities like leadership and others. But there are some other things as well which matter. Take a look at the list below:

          1. Communication skills:

  • About 90% of employers think it is the most important skill of an employee. The communication skill comprises of elements like transfer of feedback to and from someone, ability to listen, and understand what someone is saying, skill to present some idea. But one thing you should keep in mind that communication skills alone can’t help you get a job.

    2. Ability to work in a team:

  • Having good team-work abilities is very crucial for working in an organization. To be good at it, you need to have better communication skills, able to avoid conflicts and if conflicts arise, you should be able to resolve them quickly, the ability to decide a goal and make a roadmap to achieve it, etc. This quality is usually found in most of the candidates but you should always try to be good at it day by day. You should care about it even if you are going for an internship like accounting training, tax training etc.

    3. Prior knowledge of the organization where you have applied for the job:

  • There are many companies that prefer employees who have better information before getting a job there. This quality is necessary because the employers believe that having good knowledge about the industry before getting a job will make you more suitable for that job and you will need less time to adapt to that working environment. Here are some ways you can know more about your employers:
  • Go to the official website of that company and read carefully about everything that you find there.
  • Try to get some information about the projects completed by that company.
  • Take a look at the challenges that your company is facing right now.

    4. Emotional skills:

  • It is also regarded as one of the important skills for getting a job. Having better emotional skills means that you have control over your emotion which eventually will lead you to control the emotions of those who are working around you. Any employer wants their employees to be good psychologically for better performance that is why emotional skills play a role in getting you a good job.

    5. Your awareness about commerce:

  • One thing you should always make sure that any firm runs for-profit and that profit is measured in terms of money. Commercial awareness plays an important role in understanding the financial situation of your company and those who are associated with it. This will make you able to assist your company in taking strategic decisions.

After all these, you should keep in mind that certain qualities can make you stand apart from others no matter where you are. Patience plays a very important role in getting you out of trouble in most of cases. In the same way, if you are resilient, you will get well after some failure very quickly. The most important thing in your life is to keep your mind in a stable state all the time. You can very easily do it if you are resilient.

Conclusion:

If you are living in Melbourne, there is no need to worry much about getting a good job because this city is full of opportunities. There are several institutes that are well- known for providing the best accounting training in Melbourne, best tax training in Melbourne, etc.

Whenever you think you are in a situation where the road ahead is not visible, Accounts NextGen is there for your help. Our main motto is to provide the customers with authentic and most relevant information. Visit our official site for more information.

How to design a unique cover letter

As you all know what a cover letter is? In case you are not fully aware of it, it is a cover letter composed to apply for a job. The standard format of a cover letter is very simple. In the beginning, the person should mention his objectives for going to a particular company. And some other relevant things are mentioned later on.

As there are a lot of freshers in the market who have a little knowledge about designing their CV, Cover Letters, etc. And there are those persons who are trying for many years and that has made them better as compared to the freshers.

Here is a list of things to help you make your cover letter unique:

        1. Start with very careful sentences:

  • No matter whether you are applying for a job, tax training, or accounting training, you should always start with some sentence that seems unique to the reader. If you start in a traditional way, there is a chance that the employer will not read the whole cover letter. In the beginning, you should mention some of your most significant achievements. Keep in mind that the achievement is relevant to the job post you are applying for. This is enough to grab the attention of the employer.

    2. Try to look professional and be genuine
    :
  • Almost everyone is looking for an employee who will fit in the work culture of that company and the employee should think out of the box. Your sentences should be filled with a little bit of humor. This way you will avoid making sentences that include too many technical words. Your cover letter should be full of the things that you consider most important and you will consider speaking those things in your interview.

    3. Choose the templates properly:

  • These are the things that make your cover letter different from others. You should choose the templates that make your cover letter more precise to the point. There should not be extra designs that may annoy the employer. The design of fonts should be uniform all over the cover letter. You don’t need to think much about it because a lot of online platforms are available to design your cover letter.

    4. The Cover letter should be free from any mistake:

  • Most people care a lot about the other things and at the last moment, they prepare their cover letter or resume. At that point in time, it is very likely to have some spelling mistakes and other errors. These things are enough to ruin all your efforts. Even if you have missed a comma, that may also become a matter of concern. You should get your cover letter verified by someone who is better than you in checking these things.

    5. You can try to make a video for this purpose:

  • This step we don’t regard as compulsory but you can try if you are willing to do so. Videos play a very important role in telling a lot of things in less amount of time. But you should make a video which has good quality audio and video. Your employer should clearly hear what you are saying. Be in a completely normal state while shooting the video. If you complete this step carefully, there is a chance that your cover letter would be considered as unique among others.

Conclusion:

If you are unable to find a good source of information that may educate you about getting a good job or preparing for the job, Accounts NextGen is there to help you. We provide you the authentic information to help you get a good job. If you are living in Melbourne, you can choose from many accounting training in Melbourne or tax training in Melbourne. Courses related to finance are very helpful in getting a job in this environment.

The way to get jobs for the future accountants in the changing environment of COVID-19

The lifestyles of people around the world have changed a lot due to the spread of Corona COVID-19. There are various things that have changed or you can say almost every sector has experienced some changes in this period of time.

Some experts of recruiting people from Hay surveyed about this situation and came up a few things that matter if you are an accountant and planning to get a job. It is always advised to have a certificate of accounting internship for getting a good job.

There were around 1100 employees in this survey and about 51% of those people insisted that 3 things matter the most in getting a job in this diverse environment. Those are:

  1. Industrial experience
  2. Cultural fit
  3. Well-designed CV

Nick Deligiannis (managing director of Hays in Australia and New Zealand) said, “In such a state where their companies have suffered severe losses, the employers are in no mood to take any risk. SO, they are looking for the best quality employees. So the aspirants need to have all the essential information highlighted in their CV.”

The type of experience you will have depends a lot on your accounting training and the organizations where you have worked in the past.

Any employer wants you to prove that you can do a job better than others. So, if you present an accounting internship program, it will add a lot to your abilities. You have to prove your competence at this point. One way you can do it is by showing your capabilities for the growth of the organization and relevant facts in your CV to fit in that job.

Here cultural fit means your compatibility with the work culture of an industry. You need to be fully aware of the working environment in the organization you are going to work. If you do proper research on this topic before your interview, your answers will be more aligned to the expectations of the employer. And that would be a fantastic characteristic of yours.

While making your CV, you have to make sure that you should include the facts/things in your CV that are easily quantifiable. Start by mentioning the tasks that you have completed in your accounting internship. Quantifiable things are very important in proving your abilities for a specific job. And one thing you have to keep in mind that your CV should have an acceptable format.

Most of the aspirants fail to quantify the things mentioned in the CV because they have no idea about how to make it. Here are some tips about that:

Mentioning only the growth of the organization that you were working in is not enough. You have to mention the percentage of growth. The number of team members that you have managed in a project is also an important thing to mention. When given a time frame, what is the quantity of work that you can deliver is a very relevant point to mention in your experience. This is the way you should design your CV for the maximum chance of getting a job.

Soft skills are also very important for being shortlisted for interview in an organization.

As the work culture has suddenly changed due to the spread of Corona COVID-19, there are a lot of individuals who have no idea about how to make their CV more suitable for a job. This is only because the demands of the employers have also got changed.

The final result of this survey revealed that 39% of the persons who are seeking a job are completely unaware of the ways of getting to an interview, 33% of the aspirants are a little bit aware of this situation while there are 28% jobseekers who know about how to land a job in this changed scenario.

Conclusion:

If you are unable to find a true source for getting information about what is going on in the financial sector around you, Accounts NextGen is the best option for you.

How the accountants should advise the SMEs in providing loan

The spread of the Coronavirus has impacted the world so much that a large number of small and medium scale industries are under a state of pressure because they are on the lowest state of cash flow in history.

This situation can’t be eradicated so easily as the businesses across Australia are not completely aware if the plans that the government has made available for assisting the businesses across the country.

The Certified Practicing Accountant (CPA) in Australia has helped and still helping in a lot of such troubles. To make such a large group of people aware of this situation more and more people are needed by the government having completed at least an accounting internship. Then only they will be able to transfer the authentic information in simple words. They are removing all the obstacles that an employer would face. CPA has worked very effectively in making the business owners aware of the way to get funds from JobKeeper if the business is eligible for that.

As per the statement of CPA, the banks of Australia have played a major role in making the SMEs aware of this situation. Having a large number of people with accounting training in an organization is necessary for coping with such situations. A large number of SMEs have cleared their doubts regarding bank loans with the help of banks. But if you take a look at this situation broadly, it has been found that there is a large number of people who are not getting any help from anywhere. The simple reason behind it is they don’t know where to go for the help that they are seeking.

As per Ana Marinkovic from National Australian Bank, this situation has become so challenging only because most of the businessmen are reducing their expenses and they are also trying shift to the online platforms for sales. After we get the virus under control, there are some doubts about the way consumers start spending their money. It is uncertain how much time it would take for the common people to get back to their old habits of spending money.

“In the later phase when we all will get rid of this virus there are major roles that accountants will play in reshaping the business of our country (especially the small and medium-sized businesses)” said Joe Formichella (Head of Small Businesses at Bendigo Bank).

According to Joe Formichella, most of the problems of the businesses that have been affected so far can be resolved if the business owners consult the concerned accountants very early. It will give the business owners enough time to think and know about how much money they are going to get and where to go for the fund. Other things like the time required to repay that money and other things can also be made clear very easily. The demand of the time at present is to fund the small business owners until the time when the situation becomes normal.

The National Australian Bank has launched a new program called the Small Business Hub. It will primarily focus on supporting the small and middle-sized businesses that have been affected by this pandemic. It will help in the process of digitizing, and making the businesses able to sustain the loss that they have suffered so far. No matter which kind of business you have, if you have someone who has completed even a basic accounting internship program, you can easily project the situation of your business for the upcoming 6-7 months. And that would solve a lot of your problems.

The Basis for providing financial support:

There are some factors that decide whether the lender would fund some business or not. At first place, the lender needs to know about the history of that business. The cash flow statements, balance sheets, profit and loss statements like things tell a lot about the potential of the business.

Based on this information, the lender will know about the ability of the customer and the expected time that the customer would take to repay the amount. These are the foremost essentials that matter the most for providing loans to someone.

After analyzing all these things, the lenders will see the complete forecast/projection of the business for the upcoming 12 months.

After gathering all the information mentioned above, people at the banks try to figure out whether the business owners have a genuine reason to get support or not.

Threatening situation of cash flow in the future:

According to Formichella, there are about 30% of owners of SME who are preferring not to pay their loans in the upcoming 6 months. This is only because nobody wants to take any risk and the situation that they are in has not been caused by them.

Most of such people are in a state of panic as they are seeing that most of the schemes run by the government will last till the end of September.

After we get through all these situations, there is a fear of whether the small and middle scale industries will meet the requirements of cash flow in the future.

Conclusion:

If you are having difficulties in finding a good source of information regarding these matters, Accounts NextGen is the perfect spot for you. We are in this business for a long time to provide you authentic information about finance.

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