"A Cheann Comhairle, the worst is over"

Listening to the Minister as he spoke yesterday I had not realised the power of government. Not since McCreevy's decentralisation wildcard have we seen such a dramatic announcement in a Budget speech.

HE ENDED THE RECESSION !!! "the worst is over"

Wow - Isn't this great news. However I wonder is this a message for us citizens or is this a message for the outside world - invest in us again, lend to us again, buy our products again.

Taking this Budget with the last 2, on balance, we have moved forward as an economy. The Minister flagged a long time ago that he needed to take €4bn in cuts. He DID. Indications for next year's Budget is that he will need to find another €3bn. On the basis that he only used up €2bn of McCarthy's menu of €5bn then he has some room without coming back to tax badly hit SMEs.

IF we are turning the corner then that's good news. He is leading and being positive... the right MINDSET.


So what was in it for SMEs?

• Car scrappage scheme - some glimmer of life for a badly hit industry

• Reduced excise duties - this will help retailers win back the cross-border shoppers
• 0.5% Vat reduction - marginal but a "feel good" initiative especially with UK VAT has been increased today by 2.5% - so a 3% reduction in the the border gap
  
• Appeal process for SMEs denied credit from the banks

You are a business owner, manager, advisor or lender. BUDGET 2010 is "ONE" factor to be taken into account.

I can help your business or your customer's business be better in 2010. I can implement advanced cashflow management techniques in the business which will improve business profits and impress the bank.

Please contact me now and we will meet soon to start the improvements. Please pass this email to colleagues, customers and contacts.

John Crawley FCCA FIB
“The Finance Expert”
Tel: 01 2110780
@ : john@crawleyandporter.com

Overseas property - refinancing options

Many people who purchased abroad did so by way of Equity release. While that might have made sense it might be time to look at other financing options.

If you have an overseas property funded with an Irish/UK loan then you should think about moving your loan abroad.

Why ?

1. You will be reducing you Irish/UK LTV

2. If the Irish/UK loan is taken out on your family home then moving it reduces risks for you

3. You will be matching your overseas Asset with an Overseas Debt

At Oui Can Do we can assist if you have an overseas property in FRANCE or TURKEY.Call us on 01 2110780 or email: ouicando@ouicando.com and we will let you know your options.

John Crawley

Whats happening the French Property Market

An interesting Property Survey

BNP, one of the leading french banks have carried out a survey on the non-resident market.

Some interesting conclusions:

• France is relatively shielded from competition from other countries for foreign buyers – minor reservation being complex administrative procedures


• Foreign buyers only moderately affected by the current economic crisis
  

Trends

• Transaction numbers down 9% (2008 v. 2007)


• Average purchase price down slightly to €230,000


• Non-resident share of property market is 7% (+1 point)
  

Outside Paris

• 72% of overseas buyers are European


• Big fallers – Great Britain and Ireland


• Big risers – Belgium, Russia and Germany


• Average purchase price is slightly lower: New build €295k (-4.1%) & Resales €240k (-2.9%)
  

Paris

• 52% of overseas buyers are European (down from 57% in 2007)


• Portugal and Italy feature strongly


• Transaction numbers down from Great Britain (4% to 3%) & Ireland (1% to 0.5%)

PENSION - a non technical comment

Are you confused about the gobblygook language used when pensions are talked about ? I am and I'm an accountant.

If you are trying to get pension numbers into your head then the following is a good starting point.

1. What age do I expect to start drawing down my pension - SAY 60

2. How much pension income would I like - SAY €50,000

3. What age am I now - SAY 30

Okay lets do the sums.

1. To get €50,000 per annum you would need a capital sum of €1,000,000 (assuming 5% return)

2. You have 30 years to get a capital sum of €1,000,000 - thats €2,750 per month you need to be putting by.

This now gives you a base to have a conversation with some experts on pension planning - but you have the simple sums in your head to come back to.

I am happy to sit down with anyone to talk further about this.

email me : john@crawleyandporter.com

Call me : + 353 1 2110780

Understanding CASHFLOW

Hello


I am currently putting together a CASHFLOW CLINIC for SMEs. Hopefully this will be ready for September 2009.






This will have practical application for SMEs as it will help participants focus on the key numbers in the participants own business (rather than using the "ABC widget company" typical training course material).





Do you know that in spite of accounting and finance complexity there are only 3 things to look at in managing your business's finances:

CASH IN

• Sales
• Credit control/ debtor management

CASH OUT

• Purchases and expenses
• Getting credit terms
• Cost reviews
• Stock and working capital management

CASH DIFFERENCE

• Working out the net cash future movements
• What type of banking facilities best suit your business
• How best negotiate with your bankers

I can assist your business with the above and help you work through the current economic turmoil.







Call me on + 353 1 2110780 or email john@crawleyandporter.com

Time to put your finances in order

I am seeing an increasing demand from Irish and UK people to examine how they have financed overseas investments.

Historically most investors financed overseas investments by an EQUITY RELEASE on their family home. This made sense at the time - there was an abundance of postive equity and it was relatively straightforward to do.

However this has changed. The equity has reduced and homeowners are more concerned about having more debt on the family home than is absolutely necessary.

Where available moving loans that are financing overseas assets to the country where the asset is located makes sound financial planning sense.

Currently I can arrange such refinance loans for FRANCE and TURKEY with ITALY about to come.

The process is fairly straightforward. I can give you an indication of your borrowing capacity overseas if you provide me with some basic numbers as follows:

1. Your current annual GROSS income (what was on your 2008 P.60)

2. Your current MONTHLY loan outgoings on all loans (property, car, investments)

Email these to me and I will send you back an initial report on your borrowing capacity. EMAIL

John Crawley