The global goods trade is highly complex and uncertain, influenced by macroeconomic conditions, supply chain disruptions, advancements in technology, international conflicts, and evolving consumer spending habits and demands. It is in a constant state of change.
Many freight forwarders and customs broking agents in trade and transport logistics recognise the responsibility and role they play in keeping vital supply chains open and efficient. Over the past few years, they have repeatedly demonstrated their strength, agility, and resilience in the face of unprecedented challenges, including a global pandemic.
In an industry that is constantly on the move, HLB Mann Judd has identified the following key operational, accounting and taxation challenges for today’s customs brokers and freight forwarders:
Operational
- Minimising environmental impact
- Working capital management and pressures on profitability
- Type of arrangements with customers, including rise and fall clauses relating to the price of fuel
- Complex IT requirements
- Increasing government regulations
- Strategic planning including succession planning and exit
Accounting
- Job costs: ensuring profits are calculated correctly and in the appropriate period
- Foreign currency transactions
- Related party transactions (particularly for companies that are part of a network)
- Asset financing
- Forecasting and OPEX budgeting
Taxation
- International dealings with related parties: a major area of ATO activity, especially regarding the overseas pricing documentation required
- Fringe Benefit Tax: identifying and valuing fringe benefits
- Superannuation: new director responsibilities and executive retirement funding
- Tax-effective salary packaging under the current regime
- Eligibility for tax concessions
How we help clients
HLB Mann Judd has first-hand knowledge of the challenges that freight forwarders and customs agents face on a day-to-day basis.
A long-time supporter of businesses in the logistics and transport industry, we have a significant number of clients across the country and internationally, ranging from large international businesses to small family businesses. We have the breadth of experience and industry knowledge to understand the financial and operational drivers of the sector.
Key services relevant to freight forwarders and customs brokers include:
- Audit and assurance services, including process improvement control reviews, special reviews and internal audits.
- Fraud identification and prevention strategies.
- Business advisory services related to reporting and forecasting, management support, lending reviews and finance function reviews.
- Employee strategy and support, including succession planning.
- Corporate advisory services, such as due diligence, mergers, acquisitions, divestments, business valuations, strategic planning and process improvement.
- Company secretarial services, including ASIC compliance, board reporting and general accounting services.
- Sustainability and ESG-related advisory services to support climate reporting and impact.
- Debt advisory, reviewing working capital and providing assistance with debt restructuring.
- Insurance services, including personal risk advice, buy/sell funding, key person cover, property insurance, professional indemnity, public liability and director’s insurance.
- Tax consulting and compliance related to corporate structuring, tax risk management, research and development and year-end tax planning.
- Tax advice and implementation, including assistance with international tax issues, compliance with Significant Global Entities requirements, and global workforce considerations.
