Navigating the NDIS industry as a business in the industry can be overwhelming, particularly when it comes to managing your administration and finances. Did you know that managers waste over 19 hours a week on administrative tasks? That’s a lot of time from doing actual client work.
While it’s tempting for business owners to try to do everything themselves, getting extra help is necessary to provide quality care while staying updated with NDIS regulations and requirements. Here’s where a good NDIS accounting specialist comes in—a financial professional with in-depth knowledge of NDIS providers’ and participants’ needs.
Accounting and Administrative Issues Faced by NDIS Services Provider
If you’re an service provider, you may find these problems may seem all too familiar:
- Cashflow issues
- Profitability worries
- High admin costs
As a team of experienced accountants that helps NDIS service providers meet their tax obligations, we see businesses struggle particularly in these areas:
- Unsure if their business is a ‘for-profit’ or ‘non-profit’ entity
- Miss out on concessions that could be claimed
- The business is scaling too fast without any foundation or structure
- Too much debt accumulation which jeopardises their quality of care
- Significant cashflow leakages without clarity on where it’s coming from
- Profit margins lower than 5% with large overheads
- No KPI and systems to improve staff and support workers’ morale
Working with the right NDIS accountant will be able to put it all together for you, so you can focus on what matters – your customers.
What Is an NDIS Accountant?
An NDIS accountant is a key personnel who ensures NDIS service providers manage their finances correctly and keep them up-to-date. Just like a normal accountant, they handle tasks such as preparing tax returns, financial statements, and budgets.
However, these accountants have deep knowledge of the NDIS system and can help providers adhere to the laws and requirements of the National Disability Insurance Scheme.
Staying on top of your finances is crucial for any NDIS business, and a dedicated NDIS accountant can help support your business in the following ways
- Stay compliant with NDIS regulations: An accountant familiar with NDIS tax planning keeps you on the right track with the ATO and ASIC, particularly with your BAS and tax lodgements.
- Save time and resources: By handling tasks like bookkeeping, tax planning, and payroll on an accounting software, they free up your time to focus on delivering quality services while they handle your bookkeeping services. Plus they can also minimise errors and streamline your accounting operations.
- Make informed financial decisions: Having a clear picture of your finances empowers you to make strategic decisions regarding growth, investment, and staffing. Your accountant can provide this data seamlessly to help you make better overall decisions.
- Reduce business risk: Your business is your asset, and accountants are instrumental in coming up with strategies that can help you reduce risk through expert recommendations.
Finding the Right NDIS Accountant
Here are five key aspects to consider when selecting the right NDIS accountant.
Experience with NDIS Business
This first criteria goes without saying. Look for an accountant who has demonstrated experience working with NDIS providers. This allows them to have a deeper understanding of the NDIS cash flow, reporting requirements, and the challenges faced by NDIS businesses.
Here are some ways to know if an accountant has NDIS experience:
- Client base: Do they have a proven track record in offering accounting services for NDIS?
- Testimonials: Do they have positive reviews from satisfied NDIS clients?
- Industry involvement: Are they active participants in NDIS-related workshops or conferences?
- Website content: Does their website showcase expertise in NDIS financial management? Are they well-versed in solving your business needs financially?
Relevant Qualifications and Compliance
ll accountants in Australia must be accredited by one of these two professional bodies:
- Chartered Accountants Australia and New Zealand (CA ANZ)
- Certified Practising Accountant (CPA) Australia
It’s important to check if your accountant has the relevant certifications. Consider also if they hold qualifications like:
- Registered Tax Agent (RTA): This ensures they can lodge your tax returns with the Australian Taxation Office (ATO).
- Member of a professional accounting body: Membership in bodies like CPA Australia or the Institute of Public Accountants (IPA) shows their commitment to continuing professional development.
- Certificate in NDIS Business Management: This specialised certificate demonstrates advanced knowledge of the NDIS framework.
Transparency in Communication and Fees
Choose an accountant who explains complex financial matters in a clear and jargon-free way. There are so many complexities in the NDIS industry, and the right person should take the time to explain them to give you peace of mind in your financial records. In short, you should feel comfortable asking questions.
Fee transparency is also extremely important, particularly in the early stages. Get a clear breakdown of the services offered and the associated costs, and compare quotes from multiple accountants to ensure you get the best value for your business.
Acts in Your Best Business Interest
Building a business with purpose requires more than just accounting. Beyond providing NDIS accounting services, a good accountant is a trusted advisor who prioritises your business’s success. They should take the time to understand your specific needs and then develop tailored accounting solutions that align with those objectives.
Look for someone who asks insightful questions about your business and proactively suggests ways to improve your financial health. They should be readily available to address any concerns you may have.
Bonus Point: An Accountant Who is An NDIS Provider Themselves!
Who has better in-depth knowledge of the NDIS industry than a provider? If your accountant operates an NDIS business, they would already have a strong grasp of both NDIS regulations and general business principles. This combination allows them to not only ensure compliance but also advise on broader strategic issues related to growth, profitability, and long-term sustainability.
For example, Oyster Hub not only provides NDIS accounting services, we operate a separate NDIS entity that specialises in NDIS plan management services called Oyster Care.
The Benefits of a Reliable NDIS Accountant
Investing in a qualified and experienced NDIS accountant can pay off in numerous ways. With a reliable financial partner by your side, you can:
- Achieve greater financial clarity and seamless control over your NDIS business.
- Reduce the risk of errors and ensure complete compliance with NDIS financial reporting requirements.
- Stay on top of your NDIS business and deliver better support to participants.
- Make informed decisions to achieve your business goals and ensure long-term success.
- Spend less time on administration and more time on your participants.
Ready to Find Your Perfect NDIS Accountant?
At Oyster Hub, we understand the importance of having a reliable NDIS accountant on your team. We offer a comprehensive NDIS accounting solution to support your business, whether it’s tax planning, rescue tax accounting, or managing your ATO payment plans.
No matter your NDIS accounting needs, our team is with you every step of the way. Get in touch with us today for a confidential discussion.
