What we have also noticed with the industry in general is that in 2022, newly established owners, young pharmacists and first-time buyers are competing with larger “corporate” pharmacy groups. In a time when the values are significant and as is typical of our industry, there are always more buyers than there are supply of pharmacies.
As an advisor I need to understand your strategic plan - why you are in business and your long term goals to ensure you have a structure that gives you the best opportunity for asset protection, risk limitation or for tax purposes – noting here that we have put tax last as whilst an important consideration, it shouldn’t be the primary reason a particular pharmacy structure or transaction is entered into.
Last week, Treasurer Jim Chalmers handed down Labor’s October 2022-2023 Federal Budget.
This budget was an update from the previous liberal federal budget and there were no real tax changes that affect small businesses.
The bad news is interest rates and labour costs are rising and with high inflation levels, many businesses will receive very little assistance from the government.
A few key points that we think are relevant to you and your pharmacy:
Do you ever find yourself staring at your business’ balance sheet and wondering what it all means? If so, you’re certainly not alone!
As an owner, knowing what the numbers represent and what they tell you, allows you to drive smart business decisions, become financially literate and sleep at night knowing your position.
