Since Next Dimension was founded in 2021 by Brendan Lucas, we’ve been able to expand the company sustainably by ensuring our team and our clients are prepared for change and equipped to grow. In 2023, this focus became especially important.
In our last update for 2023, we have pulled together some highlights from our articles, which reflect the year’s key developments that impacted our clients, with advice on accounting measures that support resilience and growth.
Rebuilding after the pandemic years
With the new pressure of rising interest rates and without the safety net of pandemic-related government support, 2023 presented some new risks and major shifts for businesses and NFPs. Compliance measures essential for good governance in the NFP sector became tighter, and new federal government regulations further impacted small businesses and NFPs.
We investigated the ATO’s announcement of its plans to disrupt sham NFPs, meaning greater scrutiny of legitimate NFP activities. We also highlighted how to prepare for ATO changes to work-from-home deductions.
In April, we discussed new Related Party Transactions regulations preventing private benefit and conflict of interest and how they relate to Australian charities, NFPs established as a company or public companies. We recommended practical policies for disclosure, safeguarding the organisation’s interest and good communication.
In May, we showed how ongoing budget management is critical. We noted the common pitfalls like relegating budget tracking to the end of the year and highlighted preventive actions to avert budget crises, including frequent budget monitoring, using the right software, expert accounting input, and timely responses to reality with budget adjustments.
Emergency action plans were on the agenda, and in September, we looked at one solid move NFPs could make before inflation pressures escalated – developing an action plan to tackle inflation.
Not all change is negative, so organisations must be ready to make the most of positive change and ensure accounting processes will support future growth.
In January, we highlighted official workplace giving programs, also known as “payroll giving”, as an increasingly popular tool to help Australia reach its national target for philanthropic giving.
In 2023, many NFPs experienced a concerning decrease in potential donors and volunteers, as well as cost hikes in delivering services, staff shortages and the cyber risks that affected Australia’s business sector. Nevertheless, in April, we showcased the available tools and strategies for positive growth, namely grants and tenders offered by local, state and federal governments.
In May we reported on government measures to smooth the path of doing business, including the ‘Buy Australia Plan’ that will help businesses compete for tenders, update the AusTender system, and improve SME awareness of federal government contracts.
Importantly, we also highlighted that harnessing the skills of a CFO is one way for NFPs to grow. Based on the outsourced CFO service that Next Dimension provides through our On Demand CFO services.
Next Dimension’s Journey
Next Dimension has followed its advice by focusing on becoming resilient to change and preparing for expansion.
We have increased the size of the company significantly since we started. We train our team members in the best technology so we can provide a full range of skills and knowledge to our clients. Our team’s collective experience puts us in a strong operating position to meet sudden changes in the future.
Many positive opportunities came our way in 2023, indicating that Next Dimension’s good reputation will continue to grow. Founder and Managing Director Brendan Lucas gave presentations, contributed to media interviews and articles and joined the Approval Max team. In October, he attended the launch and highlighted his involvement with Benefolk, a network of professionals supporting charities and NFPs with professional services. It was also great to catch up with Community Transport providers at the ILLUMINATE conference.
The Next Dimension team members were delighted when we were named finalists in several categories at the Australian Accounting Awards in Sydney – Boutique Firm of the Year (less than 20 employees), Fastest-Growing Firm of the Year and Start-Up of the Year.
We look forward to an equally positive 2024. We hope you enjoy the festive season, the New Year and summer break. We’ll inform our clients of new developments in early 2024, including issues raised in the Productivity Commission’s Future Foundations for giving Draft report.
