SMSFs are popular for small business owners and for a good reason. There are many ways a SMSF can benefit your business. Here are just a few:

 

1. Lease Your Business Premises From Your SMSF

Even if you already own your business premises, you can purchase those premises through your SMSF. The business can then lease those premises to your business. The SMSF pays all the property related expenses.  (see: Leasing Your Business Premises Through Your SMSF)

 

2.  Control Over Contributions

As you have control, an SMSF allows some flexibility with last-minute additional contributions.

 

3.  Capital Gains Concessions

A SMSF can be a good vehicle for accessing some of the small business Capital Gains Tax concessions. When structured correctly the capital gains tax payable on the sale of your business can be reduced to zero, subject to certain conditions being met.

 

4.  Asset Protection

An SMSF is a valuable asset protection tool. Your super cannot generally be made available to creditors should things go pear-shaped.

 

Before moving to a SMSF we recommend you seek advice from a financial planner to see if it’s right for you.

 

by Scott Sharp

Scott is a Senior Accountant at Insight Accounting advice. He has a Bachelor of Commerce and is a registered tax agent. Scott’s experience covers all facets of accounting but he specialises in small businesses and SMSFs.

 

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• Related articles:
• How to Borrow With a SMSF
• Leasing Your Business Premises Through Your SMSF
• 6 Benefits of an SMSF

The information in this document reflects our understanding of existing legislation, proposed legislation, rulings etc as at the date of issue. In some cases the information has been provided to us by third parties. While it is believed the information is accurate and reliable, this is not guaranteed in any way.