The new financial year has started with the sharpest working capital reset SMEs have faced in years.
Since 1 July, your business clients have been paying super every pay cycle instead of quarterly, absorbing a 4.75% award wage increase, and doing it all while customer payments run at their slowest in six years.
Behind them sits an ATO that issued close to 85,000 Director Penalty Notices last financial year to cover $5.5 billion in debt liabilities.
Ahead of them: underlying inflation at 3.6% and bank economists tipping rate rises before Christmas.
Cash is leaving businesses faster, arriving slower, and costing more to replace.
Every conversation you're having with business clients right now about payroll, tax, suppliers and growth plans is a working capital conversation. Clients who lock in the right working capital structure this quarter could better manage their cash flow to a strong plan.
Connective Cashflow gives you two revolving credit lines to solve both sides of the equation, with no upfront real estate security:
Debtor Finance - unlocks up to 85% of invoice value within 24 hours, with limits up to $25M per ledger, no debt service tests and no financial covenants. Funding grows with turnover, making it the answer for clients squeezed by slow payers, ATO obligations or the shift to payday-cycle super.
Trade Finance - pays local and international suppliers upfront, with Fast Matrix approvals. Ideal for clients chasing bulk purchase discounts or restructuring finances to free up assets.
Existing bank facilities can stay in place, and clients juggling multiple cash flow lenders can consolidate into one.
Upfront commissions, ongoing trail, and airline reward points on settled deals. Clients could collect points on facility usage as well.
Start the FY27 conversation while the plans are still being written. Spot and refer, or ask your Connective Cashflow BDM to workshop a scenario.
