Unit of competency Outline

Date retreived
22/07/2026 10:23 AM AWST

Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.

Organise finances for the micro business

Organise finances for the micro business

Unit of competency
National Code
BSBSMB303
State Code
AUG99
TGA Status
Replaced
DTWD Status
Transition (Replaced)
Current Release Number
2.00
Current Release Date
14/01/2016
View on TGA
State Implementation and Classification
Approved Date
15/09/2015
Field of Education
080301 - Business Management
Original Release Date
15/09/2015
Nominal Hours
50
Description
This unit describes the skills and knowledge required to estimate start-up costs, financial viability and projected cash flow for a micro business with reference to candidates’ personal financial situation.It applies to individuals who are establishing or operating a micro business providing self-employment.No licensing, legislative or certification requirements apply to this unit at the time of publication.
Notes
Elements and Performance Criteria
1. Ascertain own financial position and ability to provide capital or equity for the business
  • 1.1 Realistically detail personal, family or community financial situation showing funds available and commitments already incurred
  • 1.2 Determine equity finance and assets available for micro business from personal, family or community sources
2. Determine projected cash flow for the business
  • 2.1 Determine level of forecast business activity over a year and the business mix
  • 2.2 Estimate establishment costs for the business and repayment schedule for borrowings
  • 2.3 Calculate monthly variable and fixed costs needed to conduct business activity over a year
  • 2.4 Estimate personal drawings needed from the business
  • 2.5 Estimate monthly income generated by the business for a year, based on price per unit item or hourly charge rate for labour
  • 2.6 Develop a cash flow budget for the first year of business operation
  • 2.7 Seek professional advice to estimate goods and services tax and operating finance required for the business
3. Source required funds to establish the business
  • 3.1 Estimate required funding to establish and run the business based on expected sales and activity levels, available finances and commitments
  • 3.2 Investigate methods of accessing alternative sources of finance
  • 3.3 Identify strategies for meeting financial obligations
  • 3.4 Implement plans to access available funds as required
4. Monitor business profitability
  • 4.1 Maintain and review monthly expenditure and income records
  • 4.2 Compare equity at beginning and end of a year to estimate business performance
  • 4.3 Assess financial viability of the business after a year of operation
  • 4.4 Seek professional advice on depreciation, insurance and tax implications of the business
No information
No information
Replaces
State Code National Code Title Type
D1007 BSBSMB303A Organise finances for the micro business Unit of competency
Replaced By
State Code National Code Title Type
OCF48 BSBESB303 Organise finances for new business ventures Unit of competency