will you get red wine spilled all over
your new outfit, it’s when and how
much.
Instead, the property should be
purchased in a non-trading structure
and perhaps not in the name of the
director of the company so there is
more protection afforded.
birds wash themselves.
Instead, I talk to the manufacturer,
check the washing instructions, and
find a really good drycleaner.
It’s the same with your business
property.
If you live in Australia for example,
one of my preferred structures for
business premises is a Self Managed
Superannuation Fund (SMSF).
You need to ensure everything you’re
doing is based on market value which
means obtaining market opinions
from those qualified to give them and
drawing up commercial leases.
Holding your property in an SMSF
means you can effectively contribute
more to your retirement, your property
is protected and once you retire, all
profits and rents may be tax free.
There is also the matter of having the
rent paid to the correct entity and the
expenses being paid from the correct
entity rather than just thinking it’s all
the same pot so it doesn’t matter.
Step 2: Make sure you’re being
commercial.
This is particularly important with an
SMSF.
So you’ve decided your business
property should be sold to your SMSF,
and you figure it’s worth around
$200,000 because Tommy, the gardener
at the golf course, told you that’s it’s
worth that and your friend mentioned
his rent is around $5,000 a month so
you’ll stick with that too.
Step 3: Make sure your property is
protected for the long term.
And no need for a lease because it’s
yours anyway, right? Wrong!
Yes, it’s the money we sometimes feel is
being thrown to the wind, but spending
money on the right level of insurances
and having appropriate wills drawn up
means our assets are protected for the
long term.
This shouldn’t be a do once and never
worry again exercise but a regular
When I’m cleaning my feather coat (yes check-in.
I really have one, but just deal with it
and move on) I don’t hang it outside
In my local community, bushfires last
in the rain because I figure that’s how
year left many residents and business
26
GLOSS JUNE 2015