Books4u would like to thank you for your support during the year and best wishes for the New Year.

In the event of a disaster, having a detailed recovery plan is essential for small businesses to resume operations swiftly. This plan should outline specific roles and responsibilities within a designated recovery team. For instance, designating individuals responsible for equipment checks, data backup, and coordination with emergency services ensures a coordinated and efficient response.
Defining the sequence of actions during recovery, from assessing the damage to implementing repairs and restoring essential services, is critical. The recovery plan should include provisions for data recovery, ensuring that vital business information is backed up regularly and stored securely at offsite locations.

Understanding that preventative measures are an investment in the business’s future, budgeting for disaster preparedness is crucial. Small businesses should allocate funds for equipment such as fire extinguishers, backup generators, and protective infrastructure. Insurance coverage tailored to the specific risks faced, such as coverage for bushfire damage or business interruption insurance, should also be considered.
Dollars spent in prevention are worth more than dollars spent in recovery. Allocating resources upfront to minimise risks can save businesses from substantial financial losses and potential closure in the aftermath of a disaster.

Developing a Detailed Recovery Plan
In the event of a disaster, having a detailed recovery plan is essential for small businesses to resume operations swiftly. This plan should outline specific roles and responsibilities within a designated recovery team. For instance, designating individuals responsible for equipment
checks, data backup, and coordination with emergency services ensures a coordinated and efficient response.
Defining the sequence of actions during recovery, from assessing the damage to implementing repairs and restoring essential services, is critical. The recovery plan should include provisions for data recovery, ensuring that vital business information is backed up regularly and stored securely at offsite locations.

Starting for small businesses on the 1st of August 2023, all employees (including part-time and casual employees) in the Fair Work system are entitled to 10 days of paid family and domestic violence leave each year.
Employees who are experiencing family and domestic violence can take this leave to deal with the impacts of family and domestic violence, where it is not practical to do so outside their work hours.
This might include:
* Making arrangements for their own or a family member’s safety (including relocation).
* Attending court or accessing police services.
* Attending counselling, or appointments with medical, financial, or legal professionals.
Employees can access the full amount of leave from the day they start work. The leave can be taken as single or multiple days or as part days by agreement. An employee’s leave balance renews each year on their work anniversary, but doesn’t accumulate from year to year if it isn’t used.

Resources for Small Business
* 1800RESPECT: 1800respect.org.au or call 1800 737 732
 About domestic and family violence
* Lifeline Australia: http://www.lifeline.org.au or call 13 11 14
* Men’s Referral Service: ntv.org.au/mrs or call 1300 766 491
* Small business employer guide to family and domestic violence (Fair Work Ombudsman)
* eSafety Commissioner: http://www.esafety.gov.au
 eSafety Women
* National Plan to End Violence against Women and Children 2022–2032 (Dept. of Social Services)

Fixed Term Contract Regulations 2023
Fair Work Ombudsman – New Procedures
Starting from the 6th of December 2023, new regulations affect the engagement of employees through fixed-term contracts. A fixed-term contract concludes at a specific period’s end, encompassing contracts where employment occurs for a predetermined duration.
These rules introduce two main changes:
* The mandatory provision of a Fixed Term Contract Information Statement (FTCIS) to employees engaged in new fixed-term contracts.
* Limitations on the usage of such contracts.
In the upcoming changes, it will be unlawful to provide contracts lasting two years or more, unless there is a special reason. This rule includes individual contracts within a series, like if someone is on several 1-year contracts in a row.
For Bookkeepers, this means employers who usually hire staff with continuous back-to-back fixed- or maximum-term contracts will have to review and possibly change how they handle these contracts.
For more information see EI Fact Sheet: Limitations on using fixed term contracts from 6 December 2023.

Fixed Term Contract Information Statement
Employers are required to provide a FTCIS to employees before their employment commencement, or promptly thereafter. Exceptions to these rules exist, impacting certain entities.

The FTCIS will be accessible for download from the Fair Work Ombudsman website from 6th December 2023. This statement serves as a crucial guide, ensuring employees are informed about their fixed-term contract conditions.

In addition to the FTCIS, employers need to provide new fixed term contract employees with the Fair Work Information Statement (FWIS). This is a separate document that provides information about minimum workplace rights and entitlements. For more information see FWO – Fair Work Information Statement.
Source: FWO – New rules for fixed term contracts

Budgeting for Disaster Preparedness
Understanding that preventative measures are an investment in the business’s future, budgeting for disaster preparedness is crucial. Small businesses should allocate funds for equipment such as fire extinguishers, backup generators, and protective infrastructure. Insurance coverage tailored to the specific risks faced, such as coverage for bushfire damage or business interruption insurance, should also be considered.
Dollars spent in prevention are worth more than dollars spent in recovery. Allocating resources upfront to minimise risks can save businesses from substantial financial losses and potential closure in the aftermath of a disaster.

Developing a Detailed Recovery Plan
In the event of a disaster, having a detailed recovery plan is essential for small businesses to resume operations swiftly. This plan should outline specific roles and responsibilities within a designated recovery team. For instance, designating individuals responsible for equipment
checks, data backup, and coordination with emergency services ensures a coordinated and efficient response.
Defining the sequence of actions during recovery, from assessing the damage to implementing repairs and restoring essential services, is critical. The recovery plan should include provisions for data recovery, ensuring that vital business information is backed up regularly and stored securely at offsite locations.

Director ID became mandatory by November 2022

Without a Director ID penalties apply!

All directors of a company, registered Australian body, registered foreign company or Aboriginal and Torres Strait Islander corporations are now required to obtain a director ID.

A director ID is a unique identifier that a director will apply for once and keep forever and is aimed at preventing the use of false or fraudulent director identities.

If your small business is set up under a proprietary limited (“Pty Ltd”) structure then you are most likely a company director. Anyone else closely involved in your business – typically a spouse, sibling, or parent – could also be a director.

Directors of a company will appear on the company’s ASIC extract, a listing of the company details that is held with the Australian Government.

What Does it Mean to Have a Director ID?

The Director ID will be a unique identifier that a Director will keep forever, enabling regulators to better track Directors of failed companies who use fabricated identities. The introduction of these IDs is aimed at preventing the use of false or fraudulent director identities. Regulators will be helped to trace directors’ relationships with companies over time and better identify director involvement in unlawful activity. The new system will help overcome issues with data integrity, which have always been a constant battle in regulating phoenixing and the illegal activities around this dilemma. This compliance regulator will further support small businesses by keeping out operators that are breaking the law.

The Law and Penalties apply

• New Directors / New Entities:
  • Since 5th April 2022: a person must apply before being appointed as a director.
• Existing Directors / Existing Entities:
  • Must have obtained ID prior to 30th November 2022
• Future Directors:
  • A person appointed, must have applied by now
• Corporations (Aboriginal and Torres Strait Islander) Act 2006 (CATSI Act) CATSI Act directors must have applied by 30th November 2023.
• Charities & NFP Sector:
  • Directors of incorporated associations registered with the ACNC do not need a Director ID. A very limited exception to this is directors of incorporated associations that have an Australian Registered Body Number (ARBN) to operate outside their ‘home’ state or territory. Directors of an incorporated association with an ARBN will need a director ID even if they are not ACNC registered.

Australian Business Registry Services (ABRS) is responsible for administering director ID and will provide support and guidance to directors to assist them to understand and meet their director ID obligation. Please visit the ABRS website for more information about director ID.

Your Bookkeeper’s Role

• Bookkeepers cannot apply for a business owner (even if they log you in).
• Bookkeepers cannot advise to set up companies / trusts etc. It is tax and legal advice that is out of scope for Bookkeepers and BAS Agents and has too many legal consequences.
• Bookkeepers can provide information – help your businesses to understand and implement the Director ID process.
• Bookkeepers cannot pretend they are the client and apply for them.
• A Bookkeeper can only help the business owner.
• Directors must apply themselves – using their myGovID.

There has now been further clarification regarding the penalties which will be imposed.

Directors who failed to apply within the time frame could face fines of up to 5,000 penalty units. Currently, penalty units are measured at $222 per unit for breaches of Australian Government Law, which means fines of up to $1.1 million may apply. There is also the consequence of possible imprisonment for up to 12 months.

Additionally, further penalties may be imposed on directors who knowingly apply for multiple director IDs, misrepresent their identification numbers to a Government or registered body, or provide false information during their application process.