Published by Credit Matters Pty Ltd.
Welcome to Credit Matters Newsletter for July 2017. Our monthly newsletter contains information about financial risk management issues, blogs, advice of new business listings and free advice from organisations such as ASIC.
You can always view past copies of our newsletters via our website at www.creditmatters.com.au
About 7 days after the email version of the newsletter is sent, the first audible version of our monthly newsletter will be available on the Credit Matters website at creditmatters.com.au.
Unfortunately, our revamped newsletter will not be available at this time. The ongoing development of the website has caused a temporary delay in activating the newer version. We hope the new format will be available in the next few months
Our website Home page has been amended to show details of all upcoming Conferences and Expos. Have you thought of advertising your events on Credit Matters?
Advertising via Credit Matters
If you are interested in reaching business prospects who need your services or products, contact Kim to see what he can do for you. There are many different opportunities to advertise your business via Credit Matters and it may not be as expensive as you might imagine.
This month, you will find attached flyers regarding the upcoming events for the A.I.C.M., A.I.P.I. IBAC and the World Trade Credit Risk Summit.
You will also find a brochure on Telephone Skill Development. Jenny Cartwright and Kim Radok believe the telephone is today's most underrated business tool. If your sales and accounts receivable employees require additional training in the use of the telephone to maximise their performance results, contact Jenny or Kim as appropriate.
Alan Shepard's quote resonates in so many ways these days right across the business spectrum. Sadly, it also applies to the protection of cash in many businesses today. Currently, I interact with people from all levels of Accounts Payable and Receivable operations internationally. During these contacts, it constantly amazes me how poorly many business enterprises treat the protection of their cash.
Let us not beat about the bush, Accounts Payable and Receivable departments are the cashflow guardians of your business. Cash is essential for business survival. The often-repeated comments of "Cash Is King" or "A business without cash is not a business" reinforce just how important cash is to every business.
It is surprising therefore to see how many managers follow the ethos described by Alan Shepherd of using the cheapest resources possible to protect their organisation's cash. Once cash is taken illegally or lost via organisational incompetence, it is often unrecoverable. This reality seems to escape management thinking.
What are the signs where your suppliers and customers are not actively using the best resources to protect their cash?
1 The quality of interactions between your employees and the employees of the other party.
It is not unusual to find that the other party's employees cannot string two words together to create a sensible sentence or do not understand the value of manners in their written correspondence. Instead you get the equivalent of a teenager's grunt or a demand for action.
2 The ability to make contact and have problems resolved quickly.
It can be difficult to communicate with suppliers and customers quickly and efficiently. For example, you wish to advise your customer about a duplicate or incorrect payment. If you find an Accounts Payable point of contact and advise them of this payment, you may still not receive any reply asking for the money to be returned.
Alternatively, you receive an acknowledgment that your contact will be answered in "x" number of days. When it comes to being paid and having the cash to pay your bills as they fall due, can you really afford to wait these extra days for no good reason?
3 The use of technology frequently increases costs because the intellectual reasoning behind the use of the technology, is flawed.
In many situations for example, as technology is installed, qualified and experienced employees are retrenched. Therefore, when things go wrong, there are few people with the knowledge to fix the problems. It seems knowing how suppliers and customers interact with a business has no commercial value.
4 The philosophy of outsourcing for micro and small business is a practical solution if managed properly. Outsourcing the Accounts Payable and Receivable operations by large and medium sized business to overseas organisations, often only creates unforeseen costs and problems.
The fact is, no person can work for two bosses. Worse still, outsourcing these operations is akin to employing mercenaries to guard the cash safe.
It is also well known, criminals lurk near these outsourcing businesses as they are always on the lookout for any of your outsourcing business's employees to help them gain access to your accounts. When people are so poor that every dollar counts, they can easily be tempted by the lure of a few extra dollars when it is offered.
5 Management has no problems in the reconciliation of the bank account(s) to protect its cash. On the other hand, the reconciliation of supplier and customer accounts to protect the flow of cash out of and in to these accounts, is deemed not to be so important.
The truth is; if you don't reconcile supplier and customer accounts, you don't manage your cash properly. As side issue, if you don't reconcile these accounts, you also don't quickly identify operational problems.
Today we operate in an environment where cybercrime and fraudulent behaviour is on the rise. In addition, we also regularly experience the operational incompetence caused by flawed business thinking and processes. In such a world, the lack of protection of a business's cash is rather disturbing. To paraphrase Alan Shepard's quote: "It's a sobering feeling to realize that your business's cash is at risk by management's use of the cheapest means to protect it."
Word of the Month - The aim of Word of the Month is to share those many words used in Australian English which cause confusion. The confusion arises because there's often two spelling variations.
Is the spelling gaol or jail?
The words gaol and jail give us a recent example of our every changing language. It was only around twenty years ago jail became the preferred Australian spelling, and forty years ago the government started to accept jail as an alternate spelling in government documents. I still see online, people arguing the Australian spelling is gaol, but that’s only because they don’t know, or haven’t accepted the change.
The Oxford and Macquarie dictionaries list jail as the main spelling and gaol as a secondary spelling variation. The Macquarie dictionary has an interesting usage note: "In general the spelling of this word has shifted in Australian English from gaol to jail. However, gaol remains fossilised in the names of jails, as Paramatta Gaol, and in some government usage.”
For those using Microsoft Word, keep mind the secondary spelling variation gaol is considered to be spelt correct, along with the many inflected forms such as: gaoled, gaoler and gaols.
For more information on the Preferred Australian English spelling visit www.Australian-Dictionary.com.au .
The phrase “PPS lease” appears in the PPS Act, insolvency laws and many contracts. Changing its meaning therefore causes a wide range of issues, some of which we look at in this PPS Alert. We now have 4 different meanings of “PPS lease” which might apply to a “PPS lease” issue. Businesses (especially those doing […]
With emojis now an inseparable part of modern communication, it was inevitable that they would be used by a person in the course of contractual negotiations. As recently found by an Israeli court, the use of certain emojis could, in context, evidence intention to enter into contractual relations, as a consequence of which a prospective […]
Would you like to know more?
Interviews are daunting. We have all been there and had some overwhelming interviews at some stage in our careers. After all, ensuring you perform well in your interview is the key to locking in an offer. To avoid this, here are some tips to nail your next interview and create the best first impression!
Research the company
Know the company! It is extremely important that you know what the company specialises in and a brief history of the business. This will demonstrate genuine interest and will set you apart from other candidates. Familiarise yourself with the ‘About Us’ section of their website and don’t be afraid to ask your interviewer questions about the role you are being interviewed for.
Utilise the KIS method: Keep It Simple. Sometimes interviews can get very overwhelming and can make you stutter OR the opposite: make you over-express yourself with over-the-top language. Ensure you communicate efficiently and say what you what in simple language. After all, the only things that matter to your interviewer are your skill sets and your personality.
The two P’s
Presentation and Punctuality. Ensure you wear appropriate attire and come on time. It leaves a positive first impression on your interviewer and will ensure you have time to de-stress before the interview.
We’re here to help! Contact Paul at Trace Personnel on 9218 5466 or email@example.com
Credit Matters provides access to blogs written by Kim Radok. Just go to www.creditmatters.com.au to read these and previous blogs.
Since our last newsletter, we presented the following blogs.
Since our last newsletter, the following posts have been added to the Invaluable Reading From Australia and Around The World section.
Credit Matters is a financial risk management resource centre for the Australian business community. If you are in business, Credit Matters is your ideal source of financial risk management solutions.
"The past is a thief, it steals the present & the future from us"- time to let it go, clearly no way back for me!
It's a very sobering feeling to be up in space and realize that one's safety factor was determined by the lowest bidder on a government contract.
"The past is a thief, it steals the present & the future from us"- time to let it go, clearly no way back for me!
News From ASIC - Help with ASIC online services
Are you registering, renewing or cancelling a business name? Check out ASIC's new series of YouTube videos to help you use its business names register and other online services.
1 July 2017
Travellers into and out of Australia are reminded that it is a legal requirement under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (AML/CTF Act) to declare currency of AUD$10
12 July 2017
Australia’s first risk assessment of the securities and derivatives sector has revealed how serious and organised criminals can, and have, exploited our financial system.
14 July 2017
Media representatives are invited to register for the 3rd Counter-Terrorism Financing (CTF) Summit 2017 to be held in Kuala Lumpur, Malaysia, from 20 to 23 November 2017
28 Jun 2017 Blog
AUSTRAC staff have been working alongside international colleagues from our counterpart in Indonesia, Pusat Pelaporan Dan Analisis Transaksi Keuangan (PPATK).
04 Jul 2017 Blog
AUSTRAC visited Canterbury Park Racecourse recently, at the invitation of the Australian Bookmakers' Association CEO.
Register now – Victoria’s Corruption Prevention and Integrity Conference
Register Now IBAC is partnering with the Victorian Ombudsman (VO), Victorian Auditor-General's Office (VAGO) and IPAA (Institute of Public Administration Victoria) to convene an engaging and highly relevant conference to help prevent public sector corruption and strengthen integrity. The conference will also include a special focus on police oversight and integrity issues. The Victoria’s Corruption Prevention and Integrity Conference will be held at the Melbourne Convention and Exhibition Centre, over two days, on 3 – 4 October 2017. - See more at: http://www.ibac.vic.gov.au/Events/event/corruption-prevention-and-integrity-conference#sthash.Mmxgl9x5.dpuf
Operation Nepean special report April 2017
This report concerns an investigation into allegations that Jeff Finlow, the former manager of the facilities department at women’s prison, the Dame Phyllis Frost Centre (DPFC), was involved in serious corrupt conduct.
27 June 2017
More than 80 public sector employees gathered in Wangaratta today to attend a Corruption Prevention and Integrity Insights forum, organised by Victoria’s anti-corruption agency, IBAC, the Independent Broad-based Anti-corruption Commission.
7 July 2017
Public examinations by Victoria’s anti-corruption commission into allegations of serious corruption involving the Victorian vocational education and training, and transport sectors will resume on Monday 17 July.
1 June 2017
This factsheet provides an overview of the business-to-business unfair contract terms law, which prohibits terms which are considered unfair in small business standard form contracts.
7 June 2017
Do you charge customers a surcharge on transactions? This is a quick guide to what you can and can’t include when working out your surcharge.
28 June 2017
3 July 2017
10 July 2017
A free smartphone app developed by the Australian Securities and Investments Commission (ASIC) will help business owners undertake important checks before they enter into business transactions with other organisations.
For more information ASIC APP INFORMATION
Credit Matters is continuing to grow and provide marketing and knowledge about financial risks to the Australian business community.
Furthermore, we invite marketing and knowledge ideas from our readers and contributors on how we can assist our respective firms grow. If you have any ideas, please contact me at Click to see email
If you are interested in finding new ways to reach your marketplace, why not try Credit Matters. Our prices for advertising are very reasonable and advertising packages are on offer to make any cost, even more affordable. So if you are interested in reaching your customers at the right price, please contact Kim at Click to see email for options.