A Guide to Better Business | 2015
Getting Paid | Keeping Your Money | Growing Your Money
.
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 1
20/05/2015 9:19:11 a.m.
OUTSIDE FRONT COVER 300GSM - FINISHED CUT SIZE 148mm X 210mm
Building Strong Foundations
Need a hand?
The building industry is full of colourful language and at times messy
processes. Having good advice helps you get the results you are
looking for - without going round in circles.
minterellison.co.nz/construction
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 2
crowehorwath. co.nz
20/05/2015 9:19:16 a.m.
INSIDE FRONT COVER 300GSM - FINISHED CUT SIZE 148mm X 210mm
If you need a hand, talk to a team that knows the industry and can
speak in your language.
Building Strong Foundations | A Guide to Better Business | 2015
A Guide to Better Business | April 2015
Table of Contents
Up and Running .......................... 5
Keeping Your Money ................ 23
Company ........................................... 6
Contracts ......................................... 23
What is a contract? ...................... 23
Contracts should include: ............. 23
Sole trader ......................................... 7
Other structures ................................. 7
What structure is right for me? ........... 8
Protecting your assets ....................... 8
Trusts ............................................. 8
Personal guarantees....................... 9
Getting Paid .............................. 11
Construction Contracts Act 2002 ..... 11
Getting invoicing right....................... 12
Payment claims ............................ 12
Payment schedules ...................... 13
What about tax? .............................. 14
Systems / cloud software ................. 14
Xero ............................................. 14
MYOB .......................................... 15
Invoicing from systems ................. 15
Benefits of a fully functioning
system ......................................... 15
Cashflow and budgeting .................. 16
Insurance ......................................... 27
Risk management ........................... 28
Human capital risk ........................ 28
Ownership.................................... 29
Key person ................................... 31
Liabilities ...................................... 31
Loss of income............................. 31
Handling disputes ............................ 32
Growing Your Money ................ 35
Pathways to growth ......................... 35
Exit strategies .................................. 36
Employment..................................... 37
Employee or independent
contractor? .................................. 37
PAYE ................................................ 38
Health and safety ............................. 39
Contacts .................................... 41
Disputes and debt recovery ............ 18
Minter Ellison Rudd Watts, Crowe Horwath and BNZ have compiled the information in this guide from a number of sources. Whilst all care
has been taken, Minter Ellison Rudd Watts, Crowe Horwath and BNZ have not verified that such information is correct, accurate or complete
and make no representation or warranty as to the accuracy or completeness of any statement contained herein. Minter Ellison Rudd Watts,
Crowe Horwath and BNZ accept no liability or responsibility to any party in respect of this document. This document has been prepared
for the purposes of providing general information, without taking into account any particular person’s objectives, situation or needs. You
should seek independent legal and/or professional advice having regard to your own objectives, situation or needs before taking any action.
3
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 3
20/05/2015 9:19:16 a.m.
RIGHT HAND PAGE
Up and
Table
ofRunning
Contents
Building Strong Foundations
LEFT HAND PAGE
In this section:
• First things first
• Getting your structure right
• Main structures for business
in New Zealand
• Protecting your assets
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 4
20/05/2015 9:19:16 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
In this guide, we’ve provided useful tips and information on three key areas:
• Getting paid
• Keeping your money
• Growing your money
But first things first: have you got your business structure sorted?
Although it’s tempting to hit the ground running, it’s critical that you give your
structure careful thought. Proper planning upfront prevents problems down
the line.
Setting up your business in the right way will allow you to operate effectively (and
safeguard you against curveballs). And if you’re already operating in a way that’s
perhaps not optimal, then now is a good time to think about getting the right
structure in place moving forward.
Getting your structure right is important for three reasons:
• Protection. If you choose the wrong structure, your assets may be
vulnerable to third parties if things go wrong.
• Growth. Your structure impacts your ability to merge with other businesses,
sell your business or get a new partner on board. You want a structure that
allows for growth.
• Longevity. Your structure needs to be flexible enough to cater for all life
cycles of your business – not just your current situation.
There are four main structures in New Zealand:
• Company
• Sole trader
• Partnership
• Limited partnership
We focus on the two that are most common and applicable to you below:
company and sole trader.
5
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 5
20/05/2015 9:19:16 a.m.
RIGHT HAND PAGE
Welcome to the “Building Strong Foundations” booklet, your handy guide
to building strong foundations for your business.
Up and Running
Up and Running
Up and Running
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
Company
In New Zealand, the most common business structure is a limited liability
company.
A company is a separate legal entity. This means that it can sue others (and be
sued) and has the ability to carry on any business and to enter into transactions
separately from its directors and shareholders.
A company must be registered on the New Zealand Companies Register, which
is accessible online: www.business.govt.nz/companies
The advantages of a company structure include:
• The assets of the company are separate from the assets of the directors and
shareholders.
• As the company has a separate legal identity, shareholders and directors are
not personally responsible for the liabilities and obligations of the company
(unless you agree to be liable).
• It’s a simple structure from a financial reporting perspective, as all activities are
ring-fenced.
• Company profits are taxed at 28%.
The disadvantages of a company structure include:
• The directors responsible for the day-to-day running of the company have a
number of obligations and duties imposed on them. These include acting in
good faith and in the best interests of the company. Also, a director must not
carry on business in a manner likely to create a substantial risk of serious loss
to a company creditor.
• Directors’ duties may apply to anyone who seeks to manage the company even when they are not formally appointed as directors.
• Limited liability does not mean that a person will never face personal liability.
In some cases, a director can still be held personally responsible.
• You’ll need to comply with Companies Act requirements, including filing
annual returns.
6
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 6
20/05/2015 9:19:16 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
A sole trader is a person who runs a business in their own name. Although they
may be trading under another name, in legal terms the person and their business
are one and the same.
Because there’s no separate legal entity involved (like a company), there’s no
distinction between the assets of the business and the assets of the person. The
individual takes all the rewards of the business. However, the flip side is that
individual takes all the responsibility for all debts of the business, too.
Because there is no distinction between the individual and the company in legal
terms, creditors have access to all of the individual’s assets if the business fails
(including, for example, the family home).
The advantages of a sole trader structure include:
• It’s easy to establish.
• There are generally no set up costs.
• Your reporting requirements are minimal, as you only need to comply with tax
regulations.
• There are few ongoing compliance issues or costs to consider.
The disadvantages of a sole trader structure include:
• It’s a riskier structure due to the lack of separation between the individual and
the business.
• Because there’s no ring-fencing of activities, you will need to be clear on
what matters are business related. This can mean financial reporting is
more complicated, as working out the split between personal and business
expenditure can cause issues.
• Although the first $48,000 of profit is taxed at lower rates, you’ll then be taxed
at marginal rates (the highest being 33%).
Other structures
It’s also worth briefly mentioning two other potential structures – partnerships
and limited partnerships.
7
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 7
20/05/2015 9:19:16 a.m.
RIGHT HAND PAGE
It’s also common for builders to set up business as a sole trader.
Up and Running
Sole trader
Up and Running
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
These are not common in the building industry, but they may be a good fit for
you and your business depending on your personal circumstances.
A partnership is a relationship between two or more persons carrying on a
business in common with a view to profit. All assets of the partnership are
owned by the partners jointly, but each partner is responsible for their own tax
obligations.
Usually there is a written partnership agreement. Any act of one partner carried
out in the “ordinary course of business” will bind the other partners, and each
partner will be personally liable for all the debts and obligations of the partnership
(on a joint and several basis).
A limited partnership is a more complex structure that requires a general
partner. This structure typically has a narrow applicability for the construction
industry, but may be suitable if someone is happy to chip in money but wants to
sit on the sideline.
What structure is right for me?
The best structure for you will depend entirely on your personal circumstances,
including your current situation, whether you intend to go into business with
anyone else, the way your assets are structured and your plans and aspirations
for your business.
Talk to your independent advisors to get advice on what structure suits you and
your business best.
Protecting your assets
A key part of getting your structure right is making sure your assets are properly
protected.
Trusts
A trust is a legal structure that splits “legal” and “equitable” interests in property.
When assets are held in a trust, it means those assets are legally owned by
trustees, who hold them on trust for that trust’s beneficiaries (who have the
equitable interest).
The advantage of putting property in a trust is that it’s generally protected from
creditors. However, because you also do not technically own the property, you
need to remember you are not free to do whatever you want with it.
8
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 8
20/05/2015 9:19:16 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
However, the trust’s beneficiaries have the
equitable interest in the family home
John, Jane and John & Jane’s children
Your choice of business structure also impacts personal asset protection.
A company structure ensures that the assets and liabilities of the company are
kept separate. In contrast, a sole trader’s personal and business assets are the
same.
Personal guarantees
A personal guarantee is an agreement to pay the debts of another person,
usually given by a director or shareholder of a company. Guarantees are often
required to secure finance.
Guarantees are commonly required by banks or landlords when dealing with
small businesses. This enables the bank or landlord to pursue the assets of the
guarantor directly.
It is not always necessary for the company to fail to pay the debt of the
guarantee to be called up. It’s worth being aware of the extent of a personal
guarantee before taking the step of providing one.
9
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 9
20/05/2015 9:19:16 a.m.
RIGHT HAND PAGE
Family home is in a trust,
in that it is legally owned
by the trustees (John, Jane and
accountant / lawyer trustee)
Up and Running
John & Jane’s
family home
LEFT HAND PAGE
In this section:
• Construction Contracts Act 2002
• Getting invoicing right
• Systems / cloud software
• Cashflow and budgeting
• Disputes and debt recovery
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 10
20/05/2015 9:19:17 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
Construction Contracts Act 2002
The excuse of “I’ll pay you once I’ve been paid” is a cashflow nightmare, but it’s
unfortunately a common reality for many builders.
You are entitled to get paid on time – and the Construction Contracts Act 2002
(CCA) is in place to help you.
A builder is entitled to receive payment on a progress claim no later than 20
workings days after serving that progress claim. That timeframe can be altered in
your contract, but the entitlement to payment on time cannot be avoided.
So how does the CCA facilitate payment on time?
In short, it sets up a default regime of monthly progress payments.
• The builder issues a valid payment claim.
• 20 working days after the payment claim is issued, it is due for payment.
• If the client receiving the payment claim does not agree with what’s in it, then
the client must issue a payment schedule in reply.
• The payment schedule must be issued before the due date, or any arguments
they have about what’s in the payment claim cannot be used to justify failure
to pay on time. The full amount is due.
The central features of this system under the CCA are:
• You are entitled to be paid on time. The excuse of “I’ll pay when I get paid” no
longer washes.
• There’s an obligation on the client or head contractor to respond in a timely
fashion if they have issues with the content of an invoice. They cannot simply
refuse to pay and then raise issues out of the blue months down
the track.
There are also dispute resolution processes set out in the CCA that offer ways of
enforcing the debt. If you want to make use of these processes (or at least retain
the option to), then you need to adhere to the form requirements of payment
claims and payment schedules.
You should also be sure to know what the form requirements are of a payment
schedule, or you could find you have to pay a subbie for things you don’t agree with.
11
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 11
20/05/2015 9:19:17 a.m.
RIGHT HAND PAGE
Getting Paid
Getting Paid
Getting Paid
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
Getting invoicing right
Payment claims
When it comes to turning all your invoices and progress claims into valid
payment claims under the CCA, there’s only upside.
Invoicing using payment claims:
• Gives you an added layer of rights.
• Encourages head contractors and clients to actively raise any issues they
have with an invoice sooner rather than later.
This is not about extra paperwork – it’s about using templates that help you
prepare invoices the way you should be preparing invoices already.
To check that you’re getting you’re invoicing right, and to make sure it qualifies
as a payment claim under the CCA, follow the checklist below.
Payment Claim Checklist
What
Tick
Must be in writing
Must identify the work to which the payment relates
Must indicate the claimed amount and how this calculation was
reached
Must state that the payment claim is made under the
Construction Contracts Act 2002
And if served on a residential occupier it must:
• Outline the process for responding to it.
• Explain the consequences of not responding to it and not
paying the claimed amount.
When
Must be served either:
• When the contract provides for; OR
• If the contract does not provide for when, on a monthly basis
(section 17(2) CCA).
How
Serve at the address for service that the contract states OR as
the parties have otherwise agreed.
12
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 12
20/05/2015 9:19:17 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
If you receive an invoice or progress claim from a subbie that says it is a payment
claim, then check what your contract says about when you have to respond. If
the contract says nothing (or you don’t have a written contract) then you need to
respond in 20 working days from the date the payment claim was served.
To check that your response qualifies as a valid payment schedule under the
CCA, follow the checklist below.
Payment Schedule Checklist
What
Tick
Must be in writing
Must identify the payment claim that it relates to
Must indicate the scheduled amount
And if the schedule amount is less than the claimed amount,
it must:
• Indicate how the scheduled amount was calculated.
• The payer’s reasons for the difference between the claimed
amount and scheduled amount.
• Indicate any reason for withholding payment of the claimed
amount (if this applies).
When
Must be provided within either:
• The time required under the contract; OR
• If the contract does not provide for when, 20 working days
after the payment claim was served (section 22(b) CCA).
How
Serve at the address for service that the contract states OR as
the parties have otherwise agreed.
13
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 13
20/05/2015 9:19:17 a.m.
RIGHT HAND PAGE
If you do not agree with a payment claim, then it’s vital that you respond with a
valid payment schedule.
Getting Paid
Payment schedules
Getting Paid
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
What about tax?
Most current accounting systems in New Zealand have the ability to create valid
tax invoices for your business.
• To be a valid tax invoice, your invoice must:
– Show GST on the goods or services provided
– Be in New Zealand Dollars
– Include the words “Tax Invoice” in a prominent place
– Have the name of your business and its GST/IRD number
– Include the name and address of the recipient
– Show the date the invoice was issued
– Describe the goods/services provided
– State the quantity or volume of goods and/or services provided
– Include your bank account details for receiving payments
– Include one of the following:
– The amount, excluding GST that was charged for the supply
– The GST and total amount payable for the supply; or
– A statement that GST is included in the final price.
Systems / cloud software
Let’s face it – after a long day on the tools, the last thing anyone wants to do is
tackle the paperwork in the office. A fully functioning accounting system can take
the hassle out of doing the books, and means that you know exactly how your
business is tracking on a day to day basis.
We’ve covered the two most common accounting systems for small businesses
below, but there are many more available. It pays to check with your accountant
to make sure that you choose the right system for you.
Xero
• Most well known ‘cloud based’ service.
• Simple, bank driven transactions.
• Provides receivables and payables solutions.
• Payroll function included for small companies.
• Ability to have “add ons” for workflow planning, larger payroll, inventory and
many more. Currently over 300 complementary add-ons.
14
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 14
20/05/2015 9:19:17 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
• Previously desktop based, now moving to ‘cloud’ solutions.
• Payroll built in as standard.
• Several different options.
– Essentials: similar to Xero, ‘cloud based’ and bank driven
– AccountRight: traditional MYOB product, offers online and offline abilities,
job management tools included
– Exo: suitable for larger companies, has job and project costing functionality
– Comes with in-built payroll for certain packages.
Once you’ve got your system in place, you’ll soon be experiencing a revolution in
your business. Previous tasks which took a long time and were usually delayed
until the end of the month can now be done quickly and painlessly right away –
some even while you are still on site!
Invoicing from systems
• All systems available in NZ provide valid tax invoices to be prepared for
customers.
• Cloud based services mean you can email your invoices direct from site to
your customers.
Benefits of a fully functioning system
• No more excuses for non payment from customers. Emails don’t get lost in
the mail – so you know if you have sent the invoice to the correct address, it
has been received!
• No more piles of paperwork in your office/ute. You can scan and attach
invoices to payments in systems, a method which fully satisfies the IRD’s
requirement for keeping records.
• If all parts of your software work with each other, it means no more late nights
in the office. Integrated software really takes the effort out of book keeping.
• Know how much profit you are making as you make it. As bills are paid
and invoices issued, you can track how well the business is going and plan
accordingly.
• Satisfy GST reporting with the push of a button. If your transactions are coded
right, then each system can run a GST report very easily.
15
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 15
20/05/2015 9:19:17 a.m.
RIGHT HAND PAGE
Getting Paid
MYOB
Getting Paid
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
• Track receivables and payables in real time. Allocate payments against
invoices, send reminder notices and statements to customers who still have
amounts they owe you.
• Complete your accounts processing during smoko on your smartphone!
Cashflow and budgeting
We’ve all seen it – a successful business that seems to be ticking along suddenly
drops off and heads for shutdown. Often this is attributable to the most common
issue for businesses in the building industry – a lack of cash flow. There are a
few simple steps you can take to avoid running into the same problems.
• Understand that profit does not always equal cash. Often if the main
contractor isn’t getting paid, it’s tough to get paid. And if you don’t get paid
on one job, that can flow on and affect others. Collecting payment is key (and
unfortunately getting paid can be the hardest part of the job).
• Communicate. Have all terms of trade well-known up front. Open and clear
communication with your customers is paramount.
• Protect yourself. If possible, deal directly with the head contractor or
customer, and request that payments be put into a lawyer’s trust account.
This is a good idea if you aren’t quite sure of how steady the main contractor’s
business is, and will prevent them skipping town with your hard-earned cash!
• Keep money aside during good times for the inevitable downtimes.
Keep an eye on your business workload a few months ahead, and plan for
these downtimes. Bills don’t go away if you have a quiet period, so this is
where a strong budget comes into its own.
• Be aware of tax payment dates. Keep an eye on your financial reports
and plan cash accordingly. If you’ve had a good month, put some of the cash
aside for tax and GST.
• Plan ahead. Make sure you keep focus on all work in progress. Try to avoid
jobs dragging out as this will delay progress payments or result in a lot of
costs being incurred after your final payment has been received.
• Think carefully before splashing out on new assets. A new ute would
be great, but does it provide a return to the business as much as investing in
your employees by giving them a pay rise, or replacing some tools that are
constantly breaking down? The key is to know when you can afford the big
spends, and whether the business can afford them.
16
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 16
20/05/2015 9:19:17 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
• Retentions – know your rights. Retentions are part of a contract, and are
there to protect the customer for any faulty work or damages. Make sure you
have the terms tightly defined so you aren’t surprised when the time comes to
collect the payment.
• Get smart on targets. Set tough but achievable targets, and make sure you
review them often. There’s no point having a budget if you don’t hold yourself
to it or check back when things change. If you don’t achieve targets, ask
why. Don’t ignore shortfalls. Aim to understand them and figure out a method
to avoid them happening again. Be tough on yourself, the business and
employees when reviewing missed targets. As a business owner you have to
make tough calls. Take ownership of the process and work hard to achieve
the goals you’ve set.
17
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 17
20/05/2015 9:19:17 a.m.
RIGHT HAND PAGE
Getting Paid
• Manage your debtors and creditors. Keep on good terms with all
suppliers. If you’re having a tough couple of months, be up front and get in
touch with them and let them know the payment might be a little late. It’s
better than just ignoring overdue notices. Keep your reputation in mind! Aim
to be paid by customers before you have to pay suppliers. You don’t want to
be dipping into the personal account to pay bills while some customers owe
you money for work you have performed.
Getting Paid
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
Disputes and debt recovery
If you’re not getting paid and need to resort to something stronger than a nasty
letter from the lawyers or debt collectors, then you might want to consider one of
the following options.
Option
What is it?
When might you use it?
Disputes
Tribunal
In the world of legal process, a
Disputes Tribunal matter is fairly
straight forward. It doesn’t involve
lawyers arguing the point, and a
guide to the steps and forms you
use are on the Ministry of Justice
website:
• Claims up to $15,000
(or $20,000 if both parties
agree).
http://www.justice.govt.nz/tribunals/
disputes-tribunal/making-a-claim
The broad steps are:
• Fill in the form (online, or print
out the forms).
• Attend a hearing
Statutory
Demand
A statutory demand is like a letter
of demand, but is only made to
companies. It says the company
must pay the debt it owes you or
you will apply to put the company
into liquidation.
It’s issued pursuant to the
Companies Act 1993.
The company will have 15 working
days from the date you serve the
statutory demand to pay the amount
owed to you (or agree to some
arrangement for paying the debt).
• A company owes you the
debt.
• The amount is more than
$1,000.
• If you think the company
can’t pay its bills.
Warning: The statutory demand
option can backfire. If the
company can’t pay the debt and
ends up in liquidation, you might
never get paid (and liquidating a
company is not quick or cheap).
And if you receive a statutory
demand, call your lawyer.
18
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 18
20/05/2015 9:19:17 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
When might you use it?
Adjudication
under the
CCA
Adjudication under the CCA is
similar to going to court, but it’s a
private process.
• When the issues involve
specialist construction sector
questions.
The rules are aimed at achieving a
faster determination of the issue.
The adjudicator takes the role of the
judge and will deal with the dispute
on the papers (so you will not
attend a hearing).
• When the dispute is affecting
cashflow and you need a
speedy resolution.
The adjudication process is set out
in the CCA.
District
Court
The District Court process involves,
broadly:
• Preparation of a statement of
claim that is filed with the Court
and served on the other parties.
• A statement of defence from the
defendant(s).
• Disclosure of your relevant
documents and those of the
defendants.
• If you want to keep the
dispute out of the public.
Warning: While it is not a court
option, it is also not cheap, with
adjudicator’s fees paid by the
parties. Also, you generally will
not be able to recover your legal
costs, even if you win.
• Claims up to $200,000.
• When the debt is a payment
claim(s) payable because the
other side failed to reply to
your payment claim(s) with a
payment schedule. In those
circumstances, the debt
is payable as of right and
you may well get summary
judgment – making this a
speedy process.
• A hearing.
This process typically takes six
months to twelve months, unless
your case for the debt to be paid
cannot be disputed by the other
party. In that case, summary
judgment can be used, which will
take a couple of months.
19
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 19
20/05/2015 9:19:17 a.m.
RIGHT HAND PAGE
What is it?
Getting Paid
Option
Getting Paid
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
Option
What is it?
When might you use it?
High Court
The High Court process involves,
broadly:
• Claims of $200,000 or
more (or less, if it’s a more
complicated issue).
• Preparation of a statement of
claim that is filed with the Court
and served on the other parties.
• A hearing.
• When the debt is a payment
claim(s) payable because the
other side failed to reply to
your payment claim(s) with a
payment schedule. In those
circumstances, the debt
is payable as of right and
you may well get summary
judgment – making this a
speedy process.
This process typically takes six
months to eighteen months, unless
your case for the debt to be paid
cannot be disputed by the other
party.
• When the debt involves more
sophisticated or specialist
construction issues and
therefore will require expert
evidence.
• A statement of defence from the
defendant(s).
• Disclosure of your relevant
documents and those of the
defendants.
Arbitration
This is like going to court, but it’s a
private process with rules aimed at
achieving a faster determination of
the issue. The arbitrator takes the
role of the judge.
The arbitration process is guided in
part by the Arbitration Act 1996.
20
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 20
20/05/2015 9:19:17 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 21
20/05/2015 9:19:17 a.m.
RIGHT HAND PAGE
Getting Paid
21
LEFT HAND PAGE
In this section:
• Contracts
• Risk management and insurance
• Avoiding a dispute
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 22
20/05/2015 9:19:18 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
What is a contract?
A contract is a binding agreement. If you don’t follow what’s in the contract, then
you are liable for the other person’s losses arising from that breach - and vice
versa.
A contract will generally be made up of:
• The terms you agreed (verbally or in writing).
• Any terms implied by applicable statutes.
• If there are any gaps, the “common” (or “Judge-made”) law.
A verbal agreement is not as clear-cut as a written contract – and that’s why it’s
vital that you record your agreement in writing.
For some residential contracts, you must have a written contract. See below for
further details.
Contracts should include:
• The names of the parties to the contract. As a tip, always check the name of a
company on the companies office website www.business.govt.nz/companies.
• The scope of work you are contracting to do.
• How variations to that scope of work are to be agreed or instructed.
• The timing for the work to be done.
• How much you will get paid for the work (agreed pricing method and how
variations will be priced).
• That the contract is signed by all parties before you start the work.
While contracts in the building industry have long been based on a handshake
alone, a verbal agreement doesn’t do enough to recognise the rights, obligations
and duties of both parties involved. A written contract should outline the basic
legal framework (who’s involved, what’s being built and when will it be built
by) and account for all possible and probable risk factors. This means that
everyone’s roles and responsibilities will be clear and will eliminate the chance of
any ambiguities about each party’s perceived responsibilities.
23
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 23
20/05/2015 9:19:18 a.m.
RIGHT HAND PAGE
Contracts
Keeping Your Money
Keeping Your Money
Keeping Your Money
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
Sometimes, when you’re poor on time, a builder and his trusted subbie won’t
properly discuss the basics or the risks involved in a project. A clear and
agreed set of terms in a contract defines the role and expectations to avoid
any misconceptions. The stronger the relationship, the more important it is to
have a clear and agreed set of terms to ensure that if things don’t go to plan,
the relationship is not unduly stressed beyond repair. By having a contract, both
parties know up front what their obligations are as well as the consequences if
the requirements are not met – diminishing the risk of miscommunication.
Note that the timing of payments is generally governed by the CCA, but you can
alter the timing of payments in your contract if you want to. Agree to what suits
you both best.
Finally, if you are receiving a standard form contract or pre-prepared contract
from the client or head contractor, then check the above is included (and also
check for conditions and security required - bond, retentions, etc.).
You may also want to consider using your existing templates (e.g. a purchase
order) and turning them into a contract. Make it easy.
The following are the commonly used construction contracts in New Zealand.
• Standards New Zealand – Standard Form Design Build Contracts
There are currently four NZS tailored standards:
• NZS 3910:2013 - Conditions of contract for building and civil engineering
construction.
NZS 3910 is the most widely used and accepted form of contract in the New
Zealand construction industry. This is mainly due to its familiarity and the
perception that is provides a fair balance between the respective rights of the
builder and the client.
• NZS 3916:2013 - Conditions of contract for building and civil engineering Design and construct.
NZS 3916 provides conditions of contract for building and civil engineering,
design and construct. This new standard provides for the majority of the
design work to be completed by the builder.
• NZS 3917:2013 - Conditions of contract for building and civil engineering Fixed term.
NZS 3917 is a fixed term contract for building and civil engineering which
may be used where contracts are let for maintenance, or where the contract
24
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 24
20/05/2015 9:19:18 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
• Master Builders Federation Standard Contracts
Registered Master Builders have comprehensive building contracts available
to them for all types of jobs and arrangements.
The table below sets out the various types of contract arrangements:
Full contract
This is the most common form of contract. Simply put, the
builder looks after the job from the beginning to the agreed
end. The builder supplies all materials and arranges the
subcontractors.
Labour only contract
The customer manages the whole project including the
paperwork, the subcontractors, the materials and the builder.
This route is not to be taken lightly and unless the customer
knows the building industry and is prepared to make the
building project their full time job, they are unlikely to take on
this responsibility.
Managed labour
contract
This is half-way between a full contract and a labour only
contract. The customer is responsible for purchasing the
materials and choosing subcontractors etc. but the builder
will manage the day-to-day running of the building process.
With this option both parties must be very clear on the roles
and responsibilities of each party to the contract.
• Subcontractor Agreement 2009 (SA)
This SA is aimed at securing a good working relationship between the
contractor and subcontractor. This is important so construction projects run
smoothly and are completed on time and to budget.
Well-known obligations and responsibilities are identified up front in the SA, to
avoid disputes later on.
25
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 25
20/05/2015 9:19:18 a.m.
RIGHT HAND PAGE
• NZS 3902:2004 - Housing, alterations and small buildings contract.
NZS 3902 provides a standard form building contract suitable for owners who
are making their own building arrangements (ie without a third party certifier),
although a project manager is often involved as the owner’s agent. Written in
‘plain English’ this standard is intended to be easily understood and represent
a fair balance of rights and responsibilities for all parties.
Keeping Your Money
is intended to run for a fixed amount of time (rather than for a fixed scope of
works). It can provide for the provision of services (other than design) such as
inspection and testing, cleaning, preventative maintenance, repairs, or renewal
of components within completed works.
Keeping Your Money
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
• New Zealand Institute of Architects (NZIA)
The NZIA provides several conditions of contract.
There are two main forms used where the contract is administered by an
architect as tabled below:
Standard conditions
of contract SCC 2011
Refined development of NZIA SCC 2009. For use between
client and contractor where the architect is engaged to
administer the contract. Suitable for construction projects of
any size or complexity.
Standard conditions
of contract short form
SCC-SF 2011
For use between client and contractor where the architect
is commissioned to administer the contract. Suitable where
construction projects are smaller and/or less complex.
Note additional special conditions relating to payments in
accordance with CCA.
The NZIA also provides two forms for use when the architect is not contractually
involved in the administration or control of the contract:
National building
contract general 2010
A contract between the principal and contractor when
an architect is not involved in contract administration or
observation. For use on larger projects.
National building
contract small works
2010
A contract between the principal and contractor when
an architect is not involved in contract administration or
observation. For use on small works projects.
Important new changes
The law has recently changed to give consumers greater protection.
You must now:
• If you’re doing a job for the homeowner directly, provide a written contract for
residential building work costing $30,000 or more (including GST)
• Give clients a standard checklist before signing a contract (if they ask for it, or
if the building work is likely to cost $30,000 or more)
• Before you sign a contract, give clients a disclosure statement including
information about your skills, qualifications, licensing status and the insurance
or guarantees (if they ask for it, or if the building work is likely to cost $30,000
or more)
• Once the building work has been completed, give your clients information
about any ongoing maintenance requirements, insurance policies and
guarantees or warranties.
26
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 26
20/05/2015 9:19:18 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
Building is a risky business, and managing foreseeable risks is a critical step for
any builder.
To effectively manage your risk you should:
• Identify the risk.
• Consider who is best able to manage the risk.
• Allocate the risk according to who is best able.
• Use the contract as a tool to account for and allocate probable risks.
• Manage the risk appropriately.
Insurance is a key tool used to mitigate risk in the building industry.
Common types of insurance are set out below.
Type of
insurance
What does it cover
Who should
take out the
insurance
Until when?
Existing
structures
The existing buildings
on the property when
construction work involves
the alteration or addition to
existing buildings.
Client
The client will
typically have an
existing insurance
policy so the cover
will be on going,
if not, it should
at least cover
up until practical
completion.
Contract
works/
construction
Sudden and accidental
physical loss or damage
incurred during the
construction period and
should cover the full
replacement value of the
construction works.
Client or the
builder
Taking over/
practical completion
27
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 27
20/05/2015 9:19:18 a.m.
RIGHT HAND PAGE
Insurance
Keeping Your Money
It’s also important to realise that there’s now an automatic 12-month defect
repair period. This starts when the work has been completed. You must
arrange to fix any defects that your clients have told you about - and if you don’t,
you may be fined.
Keeping Your Money
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
Type of
insurance
What does it cover
Who should
take out the
insurance
Until when?
Public liability
Liability to pay
compensation to a third
party arising from damage
to third party property or
bodily injury.
Builder
Final completion
Motor vehicle
Damage caused to a third
party arising from the
operation of vehicles in the
course of the construction.
Builder
Final completion
Equipment
Replacement or repair
of loss or damage to the
contractor’s plant and
equipment
Builder
Final completion
Professional
indemnity
Cost a contractor is
Builder
required to pay as a result
of a negligent act, error or
omission. Will cover the
insured up to a set amount.
Practical completion
+ 6 years
Risk management
Human capital risk
When it comes to risk, you may well have considered the risk of fire, theft or
damage to property, vehicles and equipment. And in nearly all cases, you will
have taken steps to adequately protect these assets through insurance.
However, when it comes to protecting the ability to earn an income, many people
are woefully under insured.
Human capital risk is about protecting the financial loss caused by an
event such as death and permanent or temporary disablement.
28
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 28
20/05/2015 9:19:18 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
This often means that their assets are interlinked:
• Business finances will often be personally guaranteed against family assets.
• Household income is dependent on the success of the business.
• Lifestyle and ability to pay personal debts (such as the mortgage) are
dependent upon cashflow.
If something happens to someone important in the business it can have a
domino effect, cashflow slows down, costs can go up, profit reduces and debts
can increase.
The success of the business is put at risk and the lifestyle, income and assets of
the business owner are also put at risk.
There are four key areas of human capital risk that should be considered
by business owners.
• Ownership.
• Key person.
• Liabilities.
• Loss of income.
We discuss each below.
Ownership
For a family owned business or a sole trader, it is important to think through
what would need to happen to your business if you were to suffer a death or
disablement.
29
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 29
20/05/2015 9:19:18 a.m.
RIGHT HAND PAGE
In small to medium businesses, not only is the business owner the
key person within the business, but also wears multiple hats (trustee,
director, and the family provider).
Keeping Your Money
Most people think of their biggest asset as being their home, or their vehicles or
their business. However, people tend to forget that for many of us, it is our ability
to work and earn an income until retirement that is our most valuable asset.
Keeping Your Money
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
• Can the business be sold?
• Would it need to be wound up?
• And if so, who would do this and would there be any associated costs?
For many people, in the event of death their estate will manage the wind up or
sale of the business. If a trust is involved, this may be managed by the trustees.
It’s important that you have a current will that reflects your wishes in this regard
and have put in place enduring powers of attorney for property and personal
care and welfare so that someone is able to make decisions regarding your
financial needs and personal care in the event that you are unable to make those
decisions for yourself.
If a trust is involved, it is important to discuss with your trustees your wishes in
terms of your business and assets. In many cases you can document this in a
Memorandum of Wishes.
If you have a multi shareholder business, it is important that you address key
issues about what will happen to your shares if a shareholder is unable to work in
the business or passes away.
Important things to consider are:
• If a shareholder works in the business, how long will they be paid for if they
are unable to come to work?
• If a shareholder passes away, are the other shareholders happy to have
spouses take over those shares and be part of the business?
• What types of events would mean you would need to sell your shares?
• How do you ensure that your family receives fair value for your shares in the
business in the event of your death?
This would normally be documented in a shareholders agreement and in many
cases the buying and selling of shares would be funded by insurance.
It is really important that the ownership of these policies is correct to avoid
tax issues and that the right policies have been chosen to make sure that the
owner’s wishes can be carried out.
30
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 30
20/05/2015 9:19:18 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
If a person’s absence from work has a financial impact on the business, then
they are considered a ‘key person’. As a business owner, it’s likely that you fall
into this category.
Loss of a key person may have a wider financial impact because they may be:
• Able to attract revenue due to key relationships or their ability to bring in new
business.
• More productive than other workers.
• Harder to replace, which increases costs within the business.
• Particularly valuable because they can do more than one role (meaning you
may need two or more people to replace them).
It is important to understand what risks are associated with your key people and
manage them effectively through both the right types of insurance policies and
some basic planning to de-risk those people as much as possible.
Liabilities
Often business debt is personally guaranteed by the owners and their personal
assets. However, many people have not ensured that they can repay any debts if
they have to exit a business due to disablement or death and have their personal
guarantees removed. If this is not done, a former shareholder could still be liable
for future borrowings of the company.
Loss of income
We tend to have a “she’ll be right” attitude when it comes to setting out clear
agreements with our business partners. However, it’s important to ensure that
you make provision for an income until retirement to protect you in the event that
you’re not able to work again.
This could be achieved by a combination of shareholder agreement (for example,
on how long a shareholder will be paid) and a suitable income protection policy.
There are many different policies in the market with different tax implications.
It’s well worth reviewing these policies to make sure that they meet your
requirements.
31
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 31
20/05/2015 9:19:18 a.m.
RIGHT HAND PAGE
Keeping Your Money
Key person
Keeping Your Money
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
This is important because:
• You might not just be dealing with your friend. In the case of severe
disablement or death of a shareholder, the remaining shareholders may be
instead dealing with a third party such as a spouse or trustee who may not
understand the business or its value.
• In many cases the exiting person was also a key person. This may have
affected the profitability of the business and caused further financial pressure.
Having clear agreements and planning in place to manage the risks of an
unplanned exit ensures that for the owners, their families and third parties there
is certainty as to what needs to happen and this can be done in a quick and cost
effective way with minimal disruption to the business. It also allows the owners
to ensure that they have policies in place that are suitable to support their
agreements and ensure that the owners’ wishes are carried out.
Handling disputes
At the end of the day, there’s no fool-proof way to avoid a dispute. But there are
some simple steps you can take to safeguard yourself as much as possible.
The top three ways to avoid a dispute:
• Have a written and clear contract that defines the roles and expectations of all
parties involved to avoid confusion and misconception.
• Communicate during the work and obtain site instructions or requests for
information before doing the work.
• Keep a paper trail of what you’ve been asked to do during the project as clear
evidence of what has happened.
The top three ways to create a problem for yourself:
• Do your work on a handshake.
• Accept a standard form contract without bothering to read it (or tailor it to
your own needs).
• Accept variations or site instructions verbally and without a proper
paper trail.
32
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 32
20/05/2015 9:19:18 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 33
20/05/2015 9:19:18 a.m.
RIGHT HAND PAGE
Keeping Your Money
33
LEFT HAND PAGE
In this section:
• Pathways to growth
• Exit strategies
• Employment
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 34
20/05/2015 9:19:18 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
Pathways to growth
There are a number of ways to approach growing a business – and many forms
of growth that a business can take.
The most common ways to achieve growth are discussed below:
• Organic
– This is where the business grows naturally by itself. It can either happen
quickly or over a longer period of time. This largely depends on the effort
put into the business and how targeted that effort is.
– Care needs to be taken to ensure that resources grow at the same rate as
the rest of the business. Otherwise, the quality of the jobs may suffer and
the hard work to grow the business is in vain.
• Acquisitions
– Acquisitions are a way to achieve growth quickly, as the current business
immediately benefits from the additional size and ability of the acquired
business.
– However, this form of growth can create problems if not implemented
correctly. It is increasingly important to ensure that proper due diligence is
carried out on any potential acquisition. There are numerous horror stories
where the financial performance of the acquired business had been inflated
or the type of processes used by each business did not complement each
other when brought together.
• Joint venture
– A joint venture is usually on a project type basis and is an effective way to
bring in more resources and experience for a project that your business
would otherwise not be able to undertake.
– It is important to ensure that the other parties that you are looking to
go into the project with have similar views on the project and are willing
to work cohesively to ensure that the project is finished on time and on
budget.
• Diversification
– Diversification can either be vertical (think cradle to the grave – taking over
supply chain and finished product) or horizontal (branching out – taking
over electrical, plumbing etc.).
35
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 35
20/05/2015 9:19:19 a.m.
RIGHT HAND PAGE
Growing Your Money
Growing Your Money
Growing Your Money
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
– It is a good way to either spread risk or protect the business from being
susceptible to either supplier demands or other contractors.
Coupled with the different ways to achieve growth, there are a few other
considerations to keep in mind:
• When to get off the tools
– This can be an important aspect of the process. As the business grows,
there becomes the need for someone to step into a full-time organisation
management role.
– The timing of this is important. It is usually better to jump into this role
earlier rather than later to ensure that the ball isn’t dropped.
• Timing growth with the market
– It is critical to get the growth phase aligned with the pick-up of the market.
– There is little point investing capital in the business (or acquiring a new
business) if the market is slow and it will be difficult to generate work to
provide a return.
Exit strategies
An important aspect of any business that is often overlooked is how the owner
will exit the business once they feel the time is right.
The most critical aspect of this is preparing early. If you feel that you want to
retire, or leave the business in five years’ time, then you need to start preparing
for the exit now.
Exit options can include:
• Selling the business to current staff.
• Selling to a competitor.
• Passing the business on to family.
• Selling to any other willing buyer.
There can often be stages to the exit.
The ideal exit is a clean one, where the whole business is transferred at a single
point in time.
However, a more common exit is where the current owner stays on for a period
of time and helps the new owner learn the new business. This can also include
the seller leaving capital in business to be paid out over time.
36
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 36
20/05/2015 9:19:19 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
Employee or independent contractor?
When hiring new staff, it’s important to get the distinction right between an
employee and a contractor.
The tax consequences of a worker being either a contractor or employee are
significant and include the following:
• Deduction of PAYE and ACC at source.
• Employees cannot claim business related expenses as tax deductions in their
income tax returns.
There are also other consequences - including rights for holiday and sick leave that come into the equation.
There are certain tests to determine whether an individual is an employee or a
contractor from a tax perspective. The following factors are considered:
• Control. How much control does the business have over the person in terms
of what they are doing and how they are to do it? The more control that the
business has, the more likely the person is an employee. For example, is the
worker expected to work regular hours?
• Integration. Is the work performed necessary and integral to the running of
the business? If so, then the person is likely to be an employee. If the work is
done for - but is just an accessory to - the business, then the person is likely
to be a contractor.
• Independence. This is the other side to the control test and considers
the level of independence the person has from the business. For example,
do they have the ability to hire people to help them complete their role? Do
they take on all the profits and risks of their role? Do they supply their own
equipment? The more independence that a person has, the more likely they
are to be a contractor.
• Intention test. What is the intention of the agreement between the business
and the person? All aspects of the agreement are taken into account, not
just the status (for example, payment clauses may indicate an employment
relationship rather than a contractor relationship).
37
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 37
20/05/2015 9:19:19 a.m.
RIGHT HAND PAGE
Growing Your Money
Employment
Growing Your Money
LEFT HAND PAGE
Building Strong Foundations | A Guide to Better Business | 2015
• Fundamental test. Is the person essentially operating their own business?
Is the business simply a contract? If so, then the person will likely be a
contractor.
• Other factors. Factors such as holiday pay, sick leave, bonuses and
employment agreements also add weight to the fact that a person is likely to
be an employee.
It is important to note that not all tests need to show the same result, the
approach taken by the Courts is an “on balance” or majority approach.
PAYE
When a worker is an employee, it is the responsibility of the employer in the first
instance to deduct PAYE and administer tax payments to the Inland Revenue.
PAYE needs to be calculated and withheld on each payment to an employee with
the required forms and payment made to the Inland Revenue on a monthly basis.
When a worker is a contractor, the responsibility usually falls on the contractor to
take care of the tax requirements (including what they may be able to claim as
tax deductions).
The exception to this is labour-only building work, where the payment is required
to have 20% withholding tax withheld and paid to the Inland Revenue.
Labour-only building work means work or services under a contract or
arrangement which is for the supply of labour in connection with a building or
construction if the work or services have the following nature:
• work or services that, customarily, may form part of the work or services of a
carpenter under a building contract.
• work or services connected with roof-fixing, steel-fixing, erecting fences, or
laying concrete, bricks, blocks, tiles, slabs, or stones, if the relevant building
or construction is not land that is used or intended to be used for farming or
agriculture.
• work or services connected with hanging wallpaper, hanging decorative wall
coverings or furnishings, or painting or decorating (including plastering).
• work or services connected with installing fibrous plaster, wallboard, insulating
material, interior tiles, interior lining, floor tiles, carpet, linoleum, or floor
coverings.
38
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 38
20/05/2015 9:19:19 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
The scope of your health and safety responsibilities, the way in which they apply
to you, and the penalties that you may be liable for are all dependent on your
own particular circumstances - which will need to be reassessed from time
to time.
It’s important to be aware that New Zealand’s current Health and Safety system
is changing. The government plans to adopt the Australian model by the end of
2015, and there will be no grace period.
There are key changes in the areas of fines, compliance and due diligence duties
for directors and officers (which includes those who make decisions that affect
whole or substantial part of business). In particular, knowledge has moved from
being a defence to an offence and there has been a six-fold increase in fines for
non-compliance. Insurance against fines is invalid, of no effect and is itself an
offence.
Minter Ellison Rudd Watts has a health and safety toolkit we can email you.
We also issue regular health and safety updates, so let us know if this is of
interest to you.
If you have an incident on site, or if you have any concerns regarding the
extent or nature of your obligations (including whether you are in breach
of Health and Safety laws, if you are being investigated, or if you are
being threatened with an investigation), you should seek independent
legal advice as soon as possible.
39
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 39
20/05/2015 9:19:19 a.m.
RIGHT HAND PAGE
As a builder, you are subject to wide-ranging obligations under New Zealand’s
Health and Safety legislation.
Growing Your Money
Health and safety
LEFT HAND PAGE
• Minter Ellison Rudd Watts
• Crowe Horwath
• Bank of New Zealand
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 40
20/05/2015 9:19:19 a.m.
Building Strong Foundations | A Guide to Better Business | 2015
Minter Ellison Rudd Watts
Mark Crosbie
Julia Batchelor-Smith
Partner
Senior Associate
P +64 9 353 9968 M+64 21 633 131
P +64 9 353 9930 M+64 21 299 1094
mark.crosbie@minterellison.co.nz
julia.batchelor-smith@minterellison.co.nz
Minter Ellison Rudd Watts
Minter Ellison Rudd Watts
Nick Saxton
Iain Stephenson
Senior Associate
Senior Solicitor
P +64 9 353 9707 M+64 27 524 4879
P +64 9 353 9896
nick.saxton@minterellison.co.nz
iain.stephenson@minterellison.co.nz
Crowe Horwath
Crowe Horwath
Ryan Watt
Peter Van Der Heijden
Tax Advisory
Manager - Business Advisory
P +64 9 968 5622
P +64 9 968 5622
ryan.watt@crowehorwath.co.nz
peter.vanderheijden@crowehorwath.co.nz
Bank of New Zealand
Crowe Horwath
Anthony Campbell
Sarah-May Vaealiki
Mobile Home Loan Specialist |
Housing Under Construction, Auckland
Senior Risk Managment Advisor
P +64 9 488 1754 M+64 21 021 33445
M+64 21 864 812
sarah-may.vaealiki@crowehorwath.co.nz
anthony_campbell@bnz.co.nz
41
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 41
20/05/2015 9:19:19 a.m.
RIGHT HAND PAGE
Minter Ellison Rudd Watts
Up and Running
Contacts
Contacts
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 42
20/05/2015 9:19:20 a.m.
Notes
Notes
INSIDE BACK COVER 300GSM - FINISHED CUT SIZE 148mm X 210mm
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 43
20/05/2015 9:19:20 a.m.
www.crowehorwath.co.nz | www.bnz.co.nz | www.minterellison.co.nz
.
Building Strong Foundations_F5_Finished size 148mm x 210mm.indd 44
20/05/2015 9:19:20 a.m.
OUTSIDE BACK COVER 300GSM - FINISHED CUT SIZE 148mm X 210mm
Minter Ellison Rudd Watts, Crowe Horwath and BNZ have compiled the information in this guide from a number of sources. Whilst all care
has been taken, Minter Ellison Rudd Watts, Crowe Horwath and BNZ have not verified that such information is correct, accurate or complete
and make no representation or warranty as to the accuracy or completeness of any statement contained herein. Minter Ellison Rudd Watts,
Crowe Horwath and BNZ accept no liability or responsibility to any party in respect of this document. This document has been prepared
for the purposes of providing general information, without taking into account any particular person’s objectives, situation or needs. You
should seek independent legal and/or professional advice having regard to your own objectives, situation or needs before taking any action.