Mechanics business in Engadine NSW

BACKGROUND

The factory unit our business operates from was owned in a Discretionary Trust and the loan owed to bank was approximately $250,000. This loan was costing us approximately $20,000 p.a. in interest and we were desperate to pay it off as quickly as possible.

FBZ OBJECTIVES

FBZ helped us setup our own SMSF and transfer the factory unit in at market value. We were able to raise enough money from our super industry funds to eliminate the bank debt completely.

KEY RESULTS

We now have no debt to the bank and we are paying less tax on rental income. There is more cash available to draw out of the business for ourselves and we have created a solid passive income stream for our super fund from the rent our business pays. The best part is we have an exit plan when we stop trading the business with the option to sell the factory unit CGT free in our SMSF when we retire.