If you want to scale your business, you need to know the numbers. But many entrepreneurs still treat financial roles like interchangeable parts. “I’ve got a bookkeeper, so I’m covered,” they say. Worse still: “My accountant only helps me with my taxes”. Understanding the difference between a bookkeeper and an accountant is essential for the smooth operations of your business. Each plays a distinct role in keeping your financial house in order – and mistaking one for the other can cost you time, clarity, and opportunities to grow.

You can’t grow a business without a clear handle on your numbers. But too many business owners still confuse bookkeeping and accounting. These roles do have some overlap, but they serve different purposes. Assigning tasks to the correct person means better insights, sharper decisions, and a clearer path to growth.          

In a nutshell
A bookkeeper keeps your financial records accurate and current. They handle the day-to-day recording of transactions, issuing of invoices, reconciling of bank statements, and making sure everything lines up. Think of it as the hygiene of your business finances. If it’s not being done regularly, problems start to build up fast. Bookkeeping doesn’t involve complex analysis or forecasting – but without it, the numbers your accountant sees will likely be wrong, or missing entirely.

An accountant works further up the chain. Using the data that bookkeepers maintain, they prepare financial statements, analyse performance, give tax advice, and help shape business strategy. A good accountant doesn’t just analyse tax obligations, they help you understand your business and shape strategy for the future. That could mean spotting ways to reduce your tax bill, warning you about cash flow risks, or helping you build the case for a bank loan or investment round.

Why does this distinction matter?
With margins so tight nowadays, many people are asking their bookkeeper to perform both roles. This may seem to make sense, but it is like asking your mechanic to design your next car. When the work gets confused, important details fall through the cracks – and that confusion grows as your business does. When they’re starting out, many smaller businesses get by with only a bookkeeper. At that stage, the financial picture is usually simple: a few suppliers, a few clients, not too many moving parts. But as the numbers grow, so does the complexity. You start needing help with budgeting, forecasting, asset management, and tax structuring. That’s when your business begins to need financial insight. Hiring an accountant doesn’t mean replacing your bookkeeper. It means building a team where each role is clear, and the right questions get asked at the right time. To do that, businesses need to stop seeing the bookkeeper as a junior accountant, or the accountant as an expensive version of a data clerk.

Bound by the law
There’s also a regulatory edge. Bookkeepers aren’t usually qualified to give tax advice or submit signed-off financials. If they do, and it’s wrong, you can be held liable. Accountants, on the other hand, carry the qualifications, experience, registrations and liability cover to advise on matters that can make or break your year-end. Getting that wrong can mean more than just fines and tax penalties, it can lead to missed deductions, misreported income, or worse. 

So, how do you decide who you need?
Start by asking what you’re struggling with. If you’re drowning in paperwork, if supplier payments and invoices are slipping through the cracks, or if your reports don’t match your bank balance, that’s a bookkeeping issue. But if you don’t know how much tax you’ll owe in six months, if you’re unsure whether you can afford to hire, or if the bank asks for documents you can’t produce, you’re in need of an accountant. It’s also worth looking at timing. Bookkeeping is a weekly or even daily discipline. Accounting is more periodic – think monthly reports, quarterly planning, and annual tax returns. Many accounting firms offer bookkeeping as an add on service, but you should not allow this to blur the lines between the two roles. A well-run business usually benefits from both.

Finally, don’t fall for the idea that either role is a luxury. Clean books keep you out of trouble. Smart accounting helps you make the most of what you have. Together, they turn your financials from a source of stress into a foundation for growth.

There’s only one way to ensure you really have the last word about what happens to your assets – and that is a professionally drawn up and updated will. Read on to find out why it is so important that you have the last word. And learn how we can help you to draft a valid and tax-efficient will – or ensure your current will is up to date.

Having “the last word” is defined as having “the final decision-making power or authority in a matter.” South Africans have the right to have the last word about how their assets are disposed after their passing – but exercising this right requires a well-drawn and up-to-date will … a job that is best left to the professionals. Sadly, estimates suggest that as many as 70% of South Africans do not have a will. This means that someone else – perhaps, even, a total stranger – will get the last word on important decisions that significantly impact those who are left behind. 

If you die without leaving a valid will…

• Unhappiness and conflict among family members are common when there are no clear instructions on how to distribute your assets.
• Your belongings and assets will instead be distributed according to our laws of intestate succession. This means that you have lost your opportunity to decide who will inherit what from you. For example, your spouse may inherit a lot less than you wanted them to.  
• The Master of the High Court will appoint an executor without knowing your wishes in this regard. This takes a long time, may involve extra and unnecessary costs, and possibly leaves your family to deal with a stranger who has no insight into your family situation or your wishes. This only adds to your family’s burden in the aftermath of your death.     
• If you have minor children, the assets you leave behind will be sold and the proceeds will be held by the Guardian’s Fund until they are 18. Not only are there concerns over the Fund’s resilience to cyber threats and general administration, but its generic investment strategy is unlikely to achieve anything more than minimal capital growth. Your children’s guardians will also have to justify withdrawal requests to fund expenses (living, educational, medical etc.) – a slow and bureaucratic process.           

How to draw up a will?
While it is legally possible to draft your own will, we strongly urge you to consult us when preparing this vitally important document. Drafting your own will is fraught with danger. Not only may it be invalid, but it might result in your last wishes not being fully honoured. What’s more, there’s a strong chance of it risking estate planning and tax inefficiency. We can provide reliable advice regarding problems which may arise regarding your will. And we have the necessary knowledge and expertise to ensure that your will is valid and complies with your wishes.

The most common complaints against SARS (unsurprisingly, delayed refunds are at Number 1) are referred to as ‘systemic issues’ because they impact so many taxpayers. We don’t just apply our expertise to help you avoid known systemic issues in your routine SARS interactions. We are also ready to fast-track the resolution of systemic issue complaints through the Office of the Tax Ombud.  

In SARS jargon, a ‘systemic issue’ is the underlying cause of a complaint that affects many taxpayers. These systemic issues may have to do with the way SARS systems function, how SARS drafts and implements policies or procedures, or even how it applies or disregards legislative provisions. Over the years, collaboration between the Office of the Tax Ombud (OTO) and SARS has reduced the number of systemic issues from more than 20 to seven.

 7 systemic issues at SARS

1. Delays in payment of refunds.
2. Non-adherence to dispute resolution timeframes and rules under the Tax Administration Act (TAA).
3. Undue hardship caused to taxpayers resulting from the way the Tax Compliance System (TCS) is designed.
4. Failure to respond to requests for deferred payment arrangements within the prescribed turnaround time (21 days).
5. Failure to respond to requests for a compromise within the prescribed turnaround time (90 days).
6. Failure to respond to requests for a suspension of payment within the prescribed turnaround time (30 business days).
7. Repeat verification for reduced assessments or for cases with the same risk and supporting documentation.

How do systemic issues affect my business?
Delayed refunds – especially VAT and diesel refunds – create massive cash flow challenges for companies, inhibiting growth and increasing the risk of business failure, especially for small businesses. Similarly, the design of SARS’ Tax Compliance System has resulted in companies losing contracts or tenders, or not being paid by corporate or government clients. This is because the system may flag a company as non-compliant where payment arrangements or suspension of debt agreements are in place. The system also reflects non-compliance for immaterial transgressions – including, for example, minimal debt amounts such as R1 and outstanding returns or payments for which arrangements have been made with SARS; or even fraud committed by SARS or ex-SARS officials.

SARS’ non-adherence to dispute resolution timeframes and rules, and its delayed response to requests for payment arrangements, not only infringe on taxpayer’s rights, but also expose taxpayers to prolonged periods of ‘non-compliance’, despite their efforts to become compliant. Repeat verification cases cost time and money, adding a further unnecessary compliance burden on taxpayers. 

How we protect your interests
While these systemic issues are being addressed by SARS, and monitored by the Tax Ombud, SARS suggests that taxpayers rely on the expertise of a registered tax practitioner. As your SARS-registered tax practitioner, we protect your interests and rights as a taxpayer in the following ways:

• Careful compliance and excellent record-keeping are always the first line of defence when dealing with SARS – we help ensure that you have the correct processes in place to ensure both.
• Our team of tax experts can professionally and correctly represent your business in the event of a tax dispute with SARS.
• We understand the service levels and time frames outlined in the TAA and SARS’ Service Charter and we are experienced in using the official channels for complaints, including SARS’ Complaint Management Office.
• We easily recognise systemic issues and can help you escalate these challenges directly to the Tax Ombud – the quickest and most effective way to deal with most complaints relating to systemic issues.
• For other issues, after all avenues of recourse within SARS have been exhausted, we can assist your business to access the free and independent recourse offered by the OTO.
• We can advise your business on obtaining tax risk insurance protection against SARS tax audits and related disputes.

Many entrepreneurs assume business finance is all about pure logic. But behavioural research tells us a completely different story. Entrepreneurs often pick up gut-level rules and emotional shortcuts that, over time, can distort reality, mask cashflow problems and result in delayed decision making. These are the emotion-based decisions you should be looking out for – and avoiding.

You didn’t start your business to become a psychologist. But understanding the way emotions creep into your decisions could be the difference between plain sailing and struggling to stay afloat. Entrepreneurs are often painted as rational, profit-driven operators. In reality, money decisions are rarely made in a vacuum. Stress, fear, pride and even guilt, can all shape your thinking. The danger is, emotional decision-making doesn’t feel emotional. It feels instinctive, even responsible. But it can erode cash flow, distort pricing, or block growth, while giving you the false sense that you’re doing the right thing. The goal isn’t to ignore emotion. It’s to recognise where it’s hiding, so it doesn’t quietly sabotage your progress.

“We set prices by gut feeling”       
Pricing should be based on data, not by personal sentiment. In reality neither owners nor customers inherently “know” what a fair price is. Research on psychological pricing shows that people usually asses value by comparison, not by intuition.  When owners set prices based on how they feel instead of cost and market demand, they often undercharge. In short, emotional pricing leaves money on the table. The fix is to base prices on costs, competition, and demonstrated customer value instead of just a hunch.

“Raising prices will make customers revolt”     
Price increases make many owners nervous, but fear is often worse than reality. A report from the U.S Small Business Development Centre found that , when questioned , owners commonly say “I’m afraid I’ll lose customers if prices go up”. In practice, customer loyalty depends on quality and service, not just on getting the lowest price. Studies note that some customers might switch if you raise prices – but most (or all) will stick around if value remains high. In fact, a modest price hike often increases profit more than it costs in lost sales. Raising prices at the right time (e.g. after adding value or amid industry-wide inflation) is usually safe and can strengthen a business. 

“Our sales will meet this forecast”           
Owners tend to be optimistic about sales, but wishful thinking skews forecasts. Sales teams frequently rely on “gut” when updating projections, which breeds overconfidence. In other words, they estimate sales based on hope rather than hard signals. Behavioural finance experts call overconfidence bias “one of the most common issues in financial decision-making”. The result is frequent forecasting errors: too much inventory, staffing overruns, or cash shortfalls when sales fall short. To counter this, successful owners use data and regular feedback loops. They treat projections as hypotheses to test, not guaranteed outcomes.

“I can do the books myself”
Many business owners feel they must handle all finances alone, but that can backfire. It’s common to believe nobody knows your business “as well as you do,” and thus avoid outside help. This reluctance to delegate leaves owners overworked and stressed. Bringing in an accountant frees up time and adds expertise. Trusting trained professionals with your money management usually strengthens control (and sanity), rather than eroding it. 

 “We’ll fix financial problems later”
Procrastinating on tough money decisions is a costly mistake. Delaying the reality-checks, like overdue invoices, unpaid taxes, or necessary budget cuts, may feel easier now, but hurts later. Studies of business strategy show that postponing financial actions leads to “immediate cash flow constraints” and lost growth opportunities. For instance, skipping a pricing review or ignoring rising expenses might result in steep interest charges or a cash crunch. In short, avoiding unpleasant choices compounds risk. The smarter move is to tackle issues early: tighten budgets, renegotiate costs, or adjust plans when there’s still time to gain an advantage.

What’s the takeaway?
Businesses can often counter these emotional pitfalls by simply bringing data and perspective into their decisions. We highly recommend seeking outside input and using structured decision frameworks to ensure actions are taken based on clear reports and forecasts.

Directors who are not compliant with their legislated duties (which were amended again recently) face serious consequences, including civil liability and criminal liability that could result in fines and even prison time – or both. Find out here what director duties entail, and how we can help you to understand and comply with these increasingly onerous obligations.

The first Guideline for 2025 issued by the CIPC (Companies and Intellectual Property Commission) aimed to “sensitise directors on the consequences for non-compliance with their duties to a company.” Here’s a quick overview of these duties and what could happen if directors don’t comply.

What are the duties of directors?
A director must exercise the powers and perform the functions of a director:

• In good faith and for proper purpose
• In the best interest of the company
• Without using the position to knowingly cause harm to the company
• With the degree of care, skill and diligence that may reasonably be expected of him/her         

This means that directors should carefully understand the provisions of the Companies Act that relate to the governance of companies, including, but not limited to:

• Section 75: Directors’ personal financial interests
• Section 76: Standards of directors’ conduct
• Section 77: Liability of directors and prescribed officers
• Section 78: Indemnification and directors’ insurance
• Section 213: Breach of confidence
• Section 214: False statements, reckless conduct and non-compliance
• Section 215: Hindering administration of the Act  

Recent amendments
In the last few months, amendments to the Companies Act have introduced significant new changes that have further increased the responsibility and risk that directors shoulder. Focusing on accountability, transparency, and alignment with international governance standards, the changes include stricter fiduciary duties to prioritise company and stakeholder interests, mandatory transparency in director appointments, and new director criteria disqualifying individuals with a record of insolvency, criminal convictions, or prior misconduct from serving as directors.      

Consequences of non-compliance: Civil liability
The Companies Act emphasises that a director of a company in his/her personal capacity may incur civil liability for loss or damage incurred by the company due to the director:

• Acting on behalf of the company without the necessary authority
• Trading recklessly or under insolvent circumstances
• Being a party to an act or omission by a company calculated to defraud
• Being a party to false and misleading financial statements
• Being a party to a prospectus or written statement that contains an untrue statement
• Failing to vote against an unauthorised or inconsistent provision of the Companies Act during a meeting or decision-making process

In a recent High Court case, the court found that directors of a property fund had grossly abused their positions and engaged in reckless conduct that severely harmed the company. The judge declared these directors delinquent and ordered them to compensate the fund for losses incurred due to their actions, including the costs of forensic investigation and reputational harm. A delinquency declaration can also result in a ban from holding directorships for a specified period or even permanently, as it did for SAA’s Chairperson Duduzile Myeni. 

Consequences of non-compliance: Criminal liability
A director may be also held criminally liable in his/her personal capacity in terms of various sections of the Act for:

• Disclosing confidential information concerning the affairs of any person obtained in carrying out any function in terms of the Companies Act
• Falsification of the company’s accounting records
• Trading recklessly or under insolvent circumstances
• Providing false and misleading information
• Being party to an act or omission by a company that is calculated to defraud
• Being party to a prospectus or written statement that contains an untrue statement
• Failing to satisfy a compliance notice

Some of these contraventions may result in a fine or imprisonment for a period not exceeding 10 years (or to both a fine and imprisonment) while others carry lesser (but still nasty) penalties.         

Don’t be fooled: Insurance won’t always save you
A “Directors and Officers Liability” policy protects directors against claims arising from decisions made in their official capacity. However, breaches of fiduciary duty, dishonesty, fraud, criminal acts and wilful misconduct are common policy exclusions. 

In addition, Section 78 of the Companies Act clearly sets out the requirements of indemnification and directors’ insurance. Even so, the CIPC says that directors of companies often fail to fully appreciate the requirements of this section: there are loads of requirements to qualify for indemnification.

Networking isn’t just about showing up, shaking hands and trading a few business cards. If it’s done well, it’s a direct path to new clients, improved sales and potentially, real business growth. The value of networking lies not in how many people you meet, but in who you meet and what you do with those connections once the conversation ends. Here are our tips on how to make the most of networking.

Most entrepreneurs know they should be building a network, but not many know this should be a core business strategy. Building and maintaining the right relationships can lead to improved contracts, revenue gains and business growth, provided you know how to use them. The good news is, we aren’t asking you to go out and become a natural networker. You just need to put a few key habits in place and start treating networking as a long-term business investment. Here are six common misconceptions that, when remedied, can help turn handshakes into business growth. 

1. I go to networking events, but I never see any benefits
   This is a common complaint, but it’s seldom the event that’s at fault. Many people see no benefits because they approach networking events passively. They show up, have a few chats, hand out business cards, and hope someone follows up. That’s not networking. That’s exposure. To make events pay off, you need to arrive with a goal, and steer conversations intentionally. Then afterwards, you need to follow up promptly. This doesn’t mean that you need to sell to everyone in the room. Often it’s far better to listen to people’s needs and identify just where you might be useful. A short, personalised follow-up message, the next day could then unlock a real business opportunity.           
2. I simply don’t have time to network
   Networking doesn’t have to be a drain on your time. If you’re chatting to the right people, just one or two strategic conversations a week might be all you need. The key is to start thinking of networking as business development – everyone has time for that. If you can carve out 30 minutes a week to check in with past contacts, make introductions for others, or send a useful article to someone in your network, you’re already doing more than most. The results won’t be instant, but it all adds up.             
3. My industry doesn’t work like that
   Whether you’re in logistics, consulting, construction, or retail, your next deal could still come from a friendly introduction. The channel might differ, but the principle is the same. People do business with people they trust. That old saying, “it’s not what you know, but who you know” has never been truer. No industry is too technical or regulated for word-of-mouth not to matter.
4. I’ve already got a good network
   Knowing people isn’t enough. That network of people needs to be activated. This means that you need to make yourself visible, helpful, and memorable. Stay top-of-mind by making introductions, sharing your insights, or simply checking in without hoping to make a sale. The goal isn’t to extract value, it’s to keep yourself fresh in their minds so you’re the first person they think of when they do need something. And remember: relationships decay over time, so make sure you refresh them regularly.
5. Networking doesn’t feel authentic
   Networking should never feel like a performance. The most effective networkers aren’t slick or rehearsed. They listen more than they talk. They ask thoughtful questions. If you’re having no luck networking, it may be because you’re trying too hard to be interesting, rather than simply being interested. Shift the focus. Stop trying to pitch, and start looking for ways to be useful. Can you make an introduction? Offer advice? Share a resource? That’s where trust starts and a true network can develop.             
6. I don’t see how this makes me money 
   Networking contributes directly to revenue by opening access to people and opportunities you wouldn’t reach on your own. The referrals you get from people you have met and been valuable to, will often lead to new business.       

The bottom line
There’s no need to “become a networking expert,” but there is a need to focus on a few strategic relationships. Show up with intent. Follow up with purpose. And above all, give before you ask. The returns might not be instant, but they will come.

Did you know that tax is payable on crypto asset transactions? SARS has intensified its focus on crypto asset trading recently, significantly improving its capacity to detect crypto activity and non-compliance with advanced analytics, extensive data-sharing arrangements with crypto exchanges, and a dedicated Crypto Asset Unit.  If you have crypto and have not declared it, our expertise and experience will prove invaluable.

A staggering 5.8 million South Africans hold a crypto asset, with Southern Africa boasting the largest uptake of Bitcoin in the world. SARS has not failed to notice the phenomenal growth of various digital currencies and crypto assets and is now dedicating substantial resources to ensure that crypto assets and trades are declared on taxpayers’ tax returns.             

How are crypto assets taxed?
While crypto assets are not considered legal tender, transactions or speculation in crypto assets are subject to the general principles of South African tax law. Normal income tax rules apply and affected taxpayers need to declare crypto assets’ income, and gains or losses in the tax year in which it is received or accrued. Income from crypto assets transactions can be taxed under “gross income” or it can be seen as a capital gain (and subject to CGT). Whether an accrual or receipt is revenue or capital in nature is tested under existing tax law, of which there is plenty.

Taxpayers are also entitled to claim expenses associated with crypto assets accruals or receipts, provided such expenditure is incurred in the production of the taxpayer’s income and for purposes of trade. Base cost adjustments can also be made according to the CGT rules. Gains or losses in relation to crypto assets can broadly be categorised with reference to three types of scenarios, each of which potentially gives rise to distinct tax consequences:

1. Crypto assets can be acquired through so called “mining” – the verification of transactions in a computer-generated public ledger through the solving of complex computer algorithms.
2. Investors can exchange local currency for a crypto asset (or vice versa) through crypto asset exchanges (which are essentially markets for crypto assets) or through private transactions.
3. Goods or services can be exchanged for crypto assets. Such transactions are regarded as barter transactions and the normal barter transaction tax rules apply.

The onus is on taxpayers to declare all income and gains related to crypto assets.     

Stricter enforcement
SARS has intensified its focus on crypto asset trading recently, significantly improving its capacity to detect crypto activity and non-compliance. They have done this by:

• Making greater use of advanced analytics, artificial intelligence, machine learning and algorithms
• Entering into data-sharing arrangements with crypto exchanges
• Establishing a dedicated Crypto Asset Unit

Since last year, SARS has been sending Audit and Request for Relevant Material Notices to taxpayers who have traded, invested or even used crypto assets for purchases. This is possible because SARS now has access to trading data directly from crypto exchanges. This includes information on taxpayers who have traded in crypto assets but may not have disclosed these activities on their tax returns. In addition, through multilateral agreements, SARS is exchanging information with other tax authorities globally, in line with global tax enforcement trends. What’s more, the establishment of SARS’ specialised Crypto Asset Unit is a clear indication that crypto asset taxation has become a priority.           

What must I do?
Taxpayers engaged in crypto asset transactions should ensure their tax affairs in this respect are fully compliant. Failure to comply could result in audits and investigations; interest and penalties at percentages as high as 200%, as well as further legal repercussions. The SARS Voluntary Disclosure Programme (VDP) provides an opportunity for taxpayers who have not declared their crypto holdings to achieve compliance and to avoid potential penalties and interest. However, the VDP has strict conditions, one of which is that the taxpayer must voluntarily approach SARS first, before SARS initiates further action. Once SARS has identified a taxpayer for audit, they can’t apply for the VDP.   

How we protect your interests
Relying on accounting and tax expertise is essential for correctly assessing any historical crypto tax liability and possibly making voluntary disclosures, correctly declaring current crypto asset transactions, and ensuring compliance requirements are met proactively. 

Accounting isn’t just something to worry about during tax season. It’s the engine room of every decision you make, from whether you can hire, to when you should scale.  Sadly, far too many businesses still cling onto accounting myths that affect every decision they make. These aren’t dramatic mistakes. They’re assumptions picked up over time that feel right but hold you back. It’s time to clear them out – and start seeing your business the way it really is.

Most business owners aren’t careless with money. They obsess over profit margins and expenses, and carefully analyse their bank balances. Over time, however, many people fall for accounting myths that sound like common sense. These myths crop up in meetings, tax chats, and casual conversations – and they stick. The problem is, some of these ideas distort the way you see your business. They can make you feel more profitable than you are, hide looming cash problems, or cause you to delay decisions until it’s too late.  Busting these myths won’t only sharpen your numbers – it might unlock the growth that’s been out of reach for too long.     

Depreciation is just a paper loss
Depreciation is often described as being a “non-cash” expense, which leads some to think it’s not a real cost. But depreciation is very real. It reflects the wear and tear on your assets, equipment, vehicles, and even your office fittings. (Buildings tend to be an exception to this rule.) Like it or not, that slow erosion of value is going to affect your business eventually.  Ignoring depreciation can leave you thinking you’re operating at higher margins than you really are. This, in turn, can lead to decisions (like expanding your business or cutting prices) that the business may actually not be in a position to make. It’s therefore essential to treat depreciation as part of your real cost base, because sooner or later, you’ll need to replace what’s wearing out.          

Profit equals cash
Because this one feels so intuitive, it can trip up even the most astute entrepreneurs. Your business is profitable, so there should be money in the bank. The thing is, profit is an accounting measure while cash is what you actually have on hand. And the two often travel on different timelines. Unpaid invoices, stock that hasn’t moved, loan repayments … these can all put pressure on your cash position, even when your income statement says you’re in the clear. Profit without cash flow can land you in hot water fast. It’s often the reason otherwise “profitable” businesses go under. Don’t get caught only watching your bottom line.       

If there’s money in the account, we’re doing fine
That moment of checking the bank balance and breathing a sigh of relief? We all do it. But a healthy balance today doesn’t mean all your bills are paid, or that your tax obligations aren’t just around the corner. It certainly doesn’t mean you can afford that new delivery van without checking the books first. A snapshot of your bank balance is just that – a snapshot. It says nothing about what’s coming in, what’s going out, and what’s already spoken for. Operating without a cash flow forecast is like driving with your eyes locked on the rear-view mirror.              

Tax is something to worry about at year-end
By the time year-end rolls around, your tax position has already been shaped by a hundred small decisions. Wait until then, and there’s not much you can do about it, except write the cheque. Tax planning is an all-year activity. There are dozens of factors that will affect your liability – from choosing the right structure, to timing your asset purchases, handling employee salaries and paying out dividends. A little foresight early in the year can save you a massive headache in February. Don’t be one of those businesses that only speaks to their accountant after the damage is done.     

Accountants are just for compliance
We aren’t just here to file returns and send invoices for you. We can help you read the story your numbers are telling. That includes where you’re leaking cash, how sustainable your margins are, and what your break-even point really looks like. 

Growth always means more sales
Growth feels good: bigger orders, more customers, faster turnover. But unless that growth is well managed, it can be lethal. More sales can mean more expenses, more staff, more stock, and more space. If your margins are thin, or if customers are slow to pay, rapid growth can tie up all your cash in working capital and leave you with nothing to operate on.  Before chasing sales targets, it’s worth asking, can we afford to grow? And is this growth profitable?

We can always fix the books later
When you’re flat out running a business, bookkeeping often takes a back seat. But bad books make for bad decisions. They hide problems, delay action, and lead to missed opportunities. Clear, current numbers are the foundation of everything from pricing and hiring to raising capital. Without them, you’re guessing. And guessing can be an expensive habit.             

The final word
Don’t feel embarrassed if you’ve been taken in by some of these myths. They’re common, they sound plausible, and they’re often repeated. But they also limit your options, distort your view, and slow your progress.  Accounting is not about ticking boxes. Done right, it’s about clarity. And with clarity come better decisions and better growth.  

The scrapping of the proposed VAT increase in Budget 3.0 resulted in a budget shortfall, necessitating alternative sources of funding.  One of these is the increased collection of outstanding tax debt. It’s a challenge SARS has accepted, Treasury has financed with an additional R4 billion in funding, and the media is touting as “Project AmaBillions”. This is how it will affect you – and how we can assist.

Removing the contentious proposed VAT increases from Budget 3.0 led to a shortfall in revenue that necessitated new revenue sources. One of these is the inflation-linked fuel levy increases of 16c for petrol and 15c for diesel, which became effective on 4 June and will impact all individuals and entities in the country.  Another alternative revenue source is going to come from SARS’ upping its collection of outstanding tax debt – with Treasury expecting an additional R20 billion to R50 billion per year from intensified debt collection efforts.

The tax measures contained in Budget 3.0 will raise an additional R18bn in 2025/26. A further R20bn in as-yet-unknown tax measures are postponed to Budget 2026 – unless SARS collects an extra R35bn in outstanding taxes. SARS has accepted the challenge and Budget 3.0 allocated a further R4 billion to SARS to fund the debt recovery. (In addition to the R3.5bn previously allocated to the cause.)

‘Project AmaBillions’?
In what the media refers to as “Project AmaBillions” and what SARS calls its “compliance programme”, an intensified effort will be made to collect a greater slice of the estimated R800 billion in unpaid taxes – the so-called “tax gap”.  SARS reported that just over R400 billion of the tax gap consists of undisputed uncollected debt. The rest is made up of a further R100 billion in debt currently under dispute, more than 54 million returns outstanding dating back several years, and 156,000 South Africans with substantial economic activity who are not registered taxpayers, or are not filing their tax returns. SARS says that it will focus on the undisputed debt, while accelerating work on collecting all debt by dutifully implementing its compliance programme. In the last financial year SARS recruited and trained more than 800 new employees to collect debt, mainly via telephone calls and legal instruments. These efforts, says SARS, must result in a minimum collection of R20 billion.

To meet its revised revenue estimate this year, SARS is:

• Closing the tax gap, with a focus on undisputed debt.
• Broadening the tax base, targeting hard-to-tax sectors in the informal economy, particularly small enterprises and self-employed individuals.
• Using advanced data analytics and artificial intelligence to detect tax-compliance risks and improve overall compliance rates.
• Combating the illicit economy.

How does it affect me? 
As SARS significantly steps up its revenue collection efforts, those eligible to pay tax – whether registered taxpayers or not – can expect less lenience and more SARS queries, verifications, audits and collection efforts. In fact, the South African Institute of Chartered Accountants (SAICA) has been quoted in the media warning that the pressure on SARS to collect significantly more tax this year may result in “heavy-handedness” by SARS in its treatment of taxpayers. SARS confirms that it upholds the rights of taxpayers to exercise their rights in law, which include among others, asking for payments to be deferred or paid in instalments, or to dispute the debt. Taxpayers must also be wary of scams – the well-publicised increase in debt collection activity at SARS will be matched by an increase in financial scams by fraudsters pretending to be SARS employees or appointed debt collectors. 

How we protect your interests
Even with SARS’ well-funded and intensified focus on compliance and debt collections, our specialist tax team will continue to ensure that your interests remain protected. Our up-to-date tax expertise and best practices ensure you have clarity on your specific tax obligations, and that all these tax commitments are met accurately and timeously. We can confirm the legitimacy of any SARS communications to protect you from scams and respond promptly and professionally to legitimate enquiries on your behalf. This includes swiftly rectifying any non-compliance issues, and handling demands for outstanding tax debts correctly.

We also monitor that SARS follows the correct legal processes – including adhering to timeframes and procedures in respect of assessments, refunds, dispute resolution, and instituting debt collection measures such as unauthorised bank account withdrawals – to ensure your taxpayer rights are respected.

Failing to understand your ideal customer, wastes time, energy and resources. According to a report by CB Insights, 42% of startups fail because there is no market need. In other words, many companies are failingsimply because they didn’t define or validate their target audience properly. So, how do you determine your real audience, and then refine that group as your business evolves? Here are our top five tips.

Fundamentally, businesses start because business owners believe they see a gap and aim to fill it. Their target market is built into the essence of the business. And yet, statistics show that at least one third of those business owners were wrong all along. Many entrepreneurs think their product or service is for “everyone”, but trying to serve everyone usually means you end up serving no one well. Identifying and refining your real audience is critical to creating effective marketing campaigns, building better products, and sustaining long-term growth. Here are five practical tips to help you better define and refine your target market.

1. Start with the problem you’re solving
As a business owner, the first thing you need to do is identify the specific problem your product or service addresses. Ask yourself: Who has this problem? Who is actively looking for a solution? The more precisely you can answer these questions, the closer you are to identifying your core market. Once you understand the problem, look at existing customer data or run surveys to determine the people most likely to benefit from your solution. Don’t make assumptions. Focus on the why behind their purchasing decisions.

2. Build a customer persona (and revisit it often)
A customer persona is a semi-fictional profile of your ideal customer based on research, data, and interviews. Include details like age, job title, income, goals, frustrations, preferred social media platforms, and buying behaviours. Giving your customer a name and a story will help you recall the important aspects of the person you are serving. But remember, a persona isn’t static. As you grow and collect more data, revisit and refine this profile. According to Sales For Startups, companies that use updated personas achieve 73% higher conversion rates than those that don’t.

3. Segment your audience
Not every customer will have the same needs or behaviours – and just because someone falls into your target market, doesn’t mean they are automatically going to buy from you. Audience segmentation allows you to create more tailored marketing strategies. Start with basic segments like age, location, or purchase behaviour. Then drill down into psychographics such as values, attitudes, and lifestyle. For example, two people buying your eco-friendly cleaning product might do so for different reasons: one for health reasons, the other out of environmental concerns. Understanding these motivations enables you to craft more resonant messaging.

4. Use analytics to refine your focus
Data should drive your decisions. Use website analytics, social media insights, email open rates, and CRM (customer relationship management) data to understand who’s engaging with your content, who’s buying, and who isn’t. Look for patterns: Which landing pages convert best? Which demographic clicks through the most? Your accountant can help you lift accurate sales data for different periods. This can be used to track the success or failure of special offers, product launches and other sales events to narrow down the areas that are working. According to a survey by Salesforce, 76% of marketers say data-driven decision-making is crucial in campaign performance. By comparing your ideal audience to actual customer behaviour, you can adjust your messaging or target more profitable segments.

5. Actually talk to your customers
The most underrated source of insight is your customers themselves. Schedule interviews, send out surveys, or talk to users after a successful sale. Ask open-ended questions like:

• “Why did you choose us?”
• “What alternatives did you consider?”
• “What almost stopped you from buying?”

These conversations will undoubtedly uncover objections you hadn’t considered, new segments you didn’t plan for, or even product ideas for future growth. And remember: customers are often more honest in conversation than on email.