By Cate Peat
TABMA distributed $2.3m in JobKeeper and other support to its apprentice hosts in the last calendar year and there can be no doubt that the JobKeeper initiative provided a lifeline for businesses and employees alike. It has been extended a few times since its inception in March last year and, despite murmurings that an alternative will be needed, the Government has been very clear that it will end on 28 March 2021.
Australian businesses need to be ready and make sure they can operate without the JobKeeper funding. Cash flows are key. Planning future cash flows to make sure enough working capital is in the bank to fund operations and knowing when cash is expected to be received and controlling cash out flows will ensure businesses continue to operate. The right tools to do this will mean that business managers have a quick reference tool to project cash flows forward at least 6 months so monitoring and adjusting operations can take place.
There may even be some advantages to be applied from the changes businesses have experienced over the last year; remote working and direct selling online have transformed the way many businesses operate. It is time to reflect on what has worked well and can be brought into normal operations to create opportunities to either increase sales or control costs.
Lastly, contingency planning is even more important in the current environment. Lock downs and restricted travel plans look like they will continue for the foreseeable future so businesses need to be nimble enough to adapt to a new operational environment quickly.