Ipswich City Council dissolved in unprecedented move

13 July 2018 | Graham Newton

This week, the Queensland Government announced it would introduce new laws designed specifically to allow it to dissolve Ipswich City Council (ICC) and put an administrator in place until 2020. The unprecedented move follows a...

Advisory Governance, Risk & Compliance Insight 13 July 2018
Purchase Price Allocations Part 2 – Price less NTA...

11 July 2018 | Andrew Fressl & Courtney Roe

Contrary to common belief, consideration paid less net tangible assets acquired does not necessarily equate to goodwill. Goodwill is only one of the many intangible assets that may have been acquired as part of a transaction....

Transactions Insight 11 July 2018
Is your organisation prepared for changes in whistleblower legislation?

10 July 2018 | McGrathNicol

Australia’s law in respect of managing reports of corporate wrongdoing from whistleblowers and the protection afforded to whistleblowers has come under heavy scrutiny since 2014. Recent media reports of public whistleblowing...

Advisory Forensic Insight 10 July 2018
Third-party tech solutions becoming popular target for savvy cyber...

4 July 2018 | Shane Bell & Darren Hopkins

The recent Ticketmaster, PageUp and PEXA data breaches have taught us one important lesson. Cyber criminals aren’t just petty thieves chasing the cash in the till; their targets are being carefully chosen for maximum impact and...

Advisory Technology Insight 4 July 2018
Purchase Price Allocations Part 1 – EPS Impact

4 July 2018 | Andrew Fressl & Courtney Roe

Typically, consideration of the potential intangible assets acquired as part of a transaction is only undertaken post completion as part of a formal purchase price allocation (PPA), which is required for financial reporting...

Transactions Insight 4 July 2018
Congratulations to our promoted team members

4 July 2018 | Jamie Harris

McGrathNicol recognises that the expertise of our people is the strength of our business. We would like to congratulate the following team members on their promotions, effective 1 July 2018. Director Emily Seeckts, Melbourne...

Advisory Restructuring News 4 July 2018
McGrathNicol Restructuring congratulates new Partner Jonathan Henry

1 July 2018 | McGrathNicol

McGrathNicol Restructuring is delighted to announce the admission of Jonathan Henry to the Partnership. Jonathan is a turnaround and restructuring specialist and has led many of Australia’s most high profile and complex...

Restructuring News 1 July 2018
Cotton commodity price risks – haven’t we seen this...

13 June 2018 | Jason Pietzner

Volatility in the international cotton market has resulted in prices trading to new four-year highs ($652/bale 2018 season and $648/bale 2019 season). The recent surge in cotton prices is a result of global weather concerns,...

Advisory Insight 13 June 2018
Making technology a member of your team

12 June 2018 | Janine Thompson

Even in a well-resourced legal team, capacity can be an issue. A significant amount of time can be tied up in tasks that are time consuming and inefficient, stretching the available resources to the limit and away from issues for...

Advisory Forensic Media 12 June 2018
Where to start if you experience a data breach?

12 June 2018 | Darren Hopkins

What is being called the largest data breach since the introduction of the Notifiable Data Breaches scheme has this week shone the spotlight again on risks associated with the security of private information and how this may...

Advisory Technology Cyber Alert 12 June 2018
The importance of probity across all phases of procurement

23 May 2018 | Mark Holland

A recent Northern Territory Auditor General’s report has highlighted the importance of maintaining probity across all stages of a procurement process after questions were raised regarding the Northern Territory Government’s...

Governance, Risk & Compliance Insight 23 May 2018
People – biggest threat or greatest opportunity?

17 May 2018 | Shane Bell & Mariam Shelbourne

The reality is, if you manage or have access to personal and sensitive data, you have the potential to play a role in an information risk event and an annual ‘tick and flick’ eLearning module preaching compliance obligations...

Advisory Technology Insight 17 May 2018
NDB scheme data highlights the importance of information risk...

14 May 2018 | Shane Bell & Mariam Shelbourne

Have you ever accidentally sent an email containing sensitive information to the wrong person? It is easy enough to do with the stroke of a single key and immediately results in that sinking feeling in the pit of your stomach....

Advisory Technology Insight 14 May 2018
Strong quarter for M&A activity

1 May 2018 | McGrathNicol

It has been a strong quarter for M&A activity, particularly in the mid-market and we have seen a growth in activity driven by a combination of corporates with strong balance sheets, new private equity funds and a benign...

Transactions Transactions Newsletter 1 May 2018
Cambridge Analytica – the leaky façade of personal data...

17 April 2018 | Jia Du & Ned Loneragan

As the world digests the content of Mark Zuckerberg’s testimony over two days of grilling by the US Senate and the US Congress, many are wondering, what is social media, why do we have our data out in the world and how is...

Advisory Technology Insight 17 April 2018
Safe Harbour reforms – ‘Hope’ is not a strategy

10 April 2018 | McGrathNicol

The ‘Safe Harbour’ reforms were introduced into the Corporations Act in late 2017 and provide directors with protection from personal liability for debts incurred whilst they undertake a course of action that is reasonably...

Restructuring Insight 10 April 2018
Banking Royal Commission highlights cultural issues within Financial Services

28 March 2018 | Dean Newlan

The Banking Royal Commission commenced public hearings in earnest on 13 March 2018 in what the Commissioner, The Hon. Justice Kenneth Hayne has referred to as the Round 1 hearings focusing on “consumer lending practices within...

Advisory Financial Crime Exchange Forensic Insight 28 March 2018
Out-of-the-box financial analysis key to capturing losses in infrastructure...

7 March 2018 | Janine Thompson

The increasing sophistication and prevalence of infrastructure and construction disputes in Australia in coming years will put the quality of financial analysis and evidence provided under the spotlight. Many of these disputes...

Advisory Forensic Media 7 March 2018
Australia slips further in anti-corruption ratings

6 March 2018 | Dean Newlan

International corruption fighting NGO, Transparency International (TI), released its 2017 Corruption Perceptions Index (CPI) on 27 February 2018. The report revealed some worrying trends for Australian business in the context...

Advisory Financial Crime Exchange Forensic Insight 6 March 2018
Forensic Forecast 2018

28 February 2018 | McGrathNicol

Tighter regulation, increased regulatory scrutiny, significant media attention and expectations for greater transparency are balancing the growth ambitions of Government and the business sector. Ultimately, we are seeing the...

Advisory Financial Crime Exchange Forensic Technology Report 28 February 2018
The NDB Scheme is here, so what next?

19 February 2018 | Shane Bell & Mariam Shelbourne

The Notifiable Data Breaches (NDB) Scheme comes into force on 22 February. Organisations who have obligations under the Privacy Act 1988 (Privacy Act) must notify individuals if they are likely to be at risk of serious harm due...

Advisory Technology Insight 19 February 2018
The future of blockchain – smart contracts and digital...

19 February 2018 | Darren Hopkins

The Bitcoin blockchain is revolutionary in its ability to allow two individuals to transact digitally without a trusted third party. But the scope of blockchain technology extends much further than digital currency. A 19 year old...

Advisory Technology Cyber Alert 19 February 2018
The new “middle men” in retail

13 February 2018 | Ned Loneragan

Despite a trend towards direct sourcing and vertical integration to improve margins by cutting out the middle man in the retail supply chain, new classes of middle men are emerging. These new mediators come in a number of...

Advisory Strategy & Business Improvement Insight 13 February 2018
Inventory – An ongoing battle for major retailers

13 February 2018 | Damien Pasfield

Inventory remains the major, controllable balance sheet item for retailers with average Days Inventory Outstanding (DIO) of 110.5 days in 2017 as reported in McGrathNicol’s Working Capital Report. Retailers that are able to...

Advisory Strategy & Business Improvement Insight 13 February 2018
Products have feelings too

13 February 2018 | Stefan Maricic

In an increasingly crowded and competitive retail and hospitality industry, quality and practical benefit of a product or service alone is no longer enough. Operators able to sell emotional value to customers and entice them to...

Advisory Strategy & Business Improvement Insight 13 February 2018
Understanding Blockchain in 5 minutes

13 February 2018 | Darren Hopkins

Bitcoin’s wildly volatile price swings have dominated recent headlines, but few really understand the inner-workings of cryptocurrency and the blockchain. The first part of the Bitcoin blockchain is the ‘ledger’. This...

Advisory Technology Cyber Alert 13 February 2018
Blockchain 101, Bitcoin, and a history of investment bubbles...

9 February 2018 | Darren Hopkins

Market bubbles Bitcoin’s wildly volatile price swings have dominated recent headlines, and the meteoric rises in price of both Bitcoin and other cryptocurrencies have led many to declare it as nothing more than a speculative...

Advisory Technology Cyber Alert 9 February 2018
Transactions – Year in Review

15 December 2017 | McGrathNicol

As 2017 comes to an end, we wanted to take this opportunity to update you on our growing team, the transactions we have been involved in and highlight the key themes we see for 2018. Partnership announcement - congratulations...

Transactions Transactions Newsletter 15 December 2017
McGrathNicol congratulates new Partners Hugh Monaghan and Michael Dunnett

14 December 2017 | McGrathNicol

Leading independent advisory firm McGrathNicol is delighted to announce the admission of Hugh Monaghan and Michael Dunnett to the partnership. Hugh specialises in providing financial due diligence and advisory services to clients...

Advisory Governance, Risk & Compliance Transactions News 14 December 2017
Whistleblower compensation is sorely needed

13 December 2017 | Matt Fehon

I was a teenager working at Walton’s department store when, in 1986, one of Walton’s senior managers discovered that the store’s new owners, the Bond Corporation, had embarked on a creative method of recognising revenue. As...

Advisory Financial Crime Exchange Forensic Media 13 December 2017
Understanding the risks and implications of fraudulent underpayment of...

11 December 2017 | Robin Tarr

A growing number of high profile large Australian companies have been on the receiving end of adverse media attention alleging the deliberate underpayment of employee entitlements. The fallout from these allegations has resulted...

Advisory Financial Crime Exchange Forensic Media 11 December 2017
What are my rights as a creditor?

8 December 2017 | Rajiv Goyal

The recent insolvency law changes greatly increase the rights and powers of creditors to receive information about and intervene in the course of external administrations if they are dissatisfied with the incumbent’s conduct....

Restructuring Insight 8 December 2017
What is hiding beneath top line sales?

6 December 2017 | Damien Pasfield

Are top line sales a good proxy for assessing strategy success? What do they tell us and what do they hide? The “noise” There is a tendency to look to top line sales to determine the success or otherwise of tactical and...

Advisory Strategy & Business Improvement Insight 6 December 2017
What is in store for retailers this Christmas?

6 December 2017 | Richard Woolf

Plenty of articles have been written about the long-waited (now here) opening of Amazon. Below is a summary of the most recently released market statistics. Amazon represents a seismic shift in our market so watching the data is...

Advisory Strategy & Business Improvement Insight 6 December 2017
New Zealand Working Capital Report 2017

5 December 2017 | McGrathNicol

Welcome to the 2017 McGrathNicol New Zealand Working Capital Report. This report profiles the working capital performance of a sample of 140 New Zealand companies across the Building Products, Construction & Engineering, Food...

Advisory Strategy & Business Improvement Report 5 December 2017
Why Australia’s strengthening whistleblower protections are good for business

17 November 2017 | Dean Newlan

This year has marked a significant shift in Australia’s approach to the protection of whistleblowers who report corporate wrongdoing within their workplace. Given these changes, businesses need to be thinking not just about how...

Advisory Financial Crime Exchange Forensic Insight 17 November 2017
Australia dragging its heels on public sector corruption in...

16 November 2017 | Graham Newton

Corruption costs the global economy $2.6 trillion a year and has the potential to damage the principles of democracy, justice and the economy. Australia is a relatively clean country, especially when compared to countries such as...

Advisory Financial Crime Exchange Forensic Insight 16 November 2017
FCX Panel Discussion – Gambling: The Hidden Addiction

15 November 2017 | Caroline Mackinnon & Matt Fehon

To mark International Fraud Awareness Week, McGrathNicol’s collaboration hub FCX last night hosted a series of expert panels in each of our offices in Australia and New Zealand to discuss experiences and challenges for...

Advisory Financial Crime Exchange Forensic Insight 15 November 2017
Technology-enabled crime, know where to go for help

14 November 2017 | Shane Bell

Technology-enabled crimes, such as online fraud, identity theft and scams are now an undeniable part of our digital existence. The average number of digital devices connected to the internet in the average Australian household is...

Advisory Technology Insight 14 November 2017
Balancing the risks and opportunities of BYOD (bring your...

13 November 2017 | Darren Hopkins

Many businesses have already moved parts of their technology to the cloud or are in the process of doing so and digital transformation is part of many growth strategies.  BYOD is another common way of providing access to...

Advisory Technology Insight 13 November 2017
Working Capital Report 2017

26 October 2017 | McGrathNicol

Welcome to the 2017 McGrathNicol Advisory Working Capital Report, prepared by our Cash and Working Capital Centre of Excellence. This report profiles the working capital performance of a sample of 160 ASX listed companies across...

Advisory Strategy & Business Improvement Report 26 October 2017
Whistleblower legislation – implications on your business

25 October 2017 | Dean Newlan

The Federal Government released its long-awaited draft whistleblower protection legislation on 23 October 2017. If passed as currently drafted, the Treasury Laws Amendment (Whistleblowers) Bill 2017 will create a single...

Advisory Financial Crime Exchange Forensic Insight 25 October 2017
Worried retailers advised to get online

22 October 2017

Despite a string of recent receiverships and Kiwis continuing to shop overseas, New Zealand retail sales are growing. In the year to June, retail growth was up 3.7 per cent, outpacing economic growth at 2.7 per cent. McGrathNicol...

Advisory Strategy & Business Improvement Media 22 October 2017
Avoid these common Financial Modelling mistakes – Part 3

19 October 2017

Outlined below are some key best practices that will help you save time and build clear, robust and well-structured models. 1. Keep it simple Whilst the project you are modelling might be complex, it is always possible to break...

Advisory Strategy & Business Improvement Insight 19 October 2017
In Retail – FY17 in Review

10 October 2017 | McGrathNicol

SNAPSHOT Retail sales up 2.9% to $307 billion Online sales slowing, but continuing to outpace traditional retail sales Consumer confidence in pessimistic territory and down a further 5.9% As was predicted, retailers faced...

Advisory Strategy & Business Improvement Insight 10 October 2017
In Retail – New Zealand FY17 in Review

10 October 2017 | McGrathNicol

SNAPSHOT FY17 retail growth was strong at 3.7% (nominal 5.5%) and continued to outpace the broader economy, with GDP growing 2.7%. Retail growth in FY17 was spread across the country, with the exception of Canterbury, which had...

Advisory Strategy & Business Improvement Insight 10 October 2017
Cybersecurity is not just a ‘big business’ issue

5 October 2017 | Shane Bell

Cybersecurity risk affects us all, whether we have taken the time to consider it or not, and independent of whether we have had the foresight to develop a plan to deal with it. Every time we use the myriad devices now embedded in...

Advisory Technology Media 5 October 2017
Right funding, right timing – Biotech in focus

21 September 2017 | Barry Kogan & Damien Pasfield

Attracting the right amount of capital, from the right sources, at the right time is perhaps the most critical factor for any early stage tech company or start-up. Now, more than ever, early stage companies have access to depth...

Advisory Strategy & Business Improvement Insight 21 September 2017
Avoid these common Financial Modelling mistakes – Part 2

15 September 2017

Let’s keep decoding some key learning points in financial models. 1. Avoid using VLOOKUP VLOOKUP is one of the most popular functions in Excel. Whilst it is a simple function, it has many limitations including: it cannot lookup...

Advisory Strategy & Business Improvement Insight 15 September 2017
Which directors have access to Safe Harbour?

13 September 2017 | Rob Brauer & Sam Cole

With the Safe Harbour reforms passing through the Senate late Monday night, it’s a timely reminder of what is required of directors to rely on the reforms. The reforms are designed to be accessible to all business however;...

Restructuring Insight 13 September 2017
Congratulations to McGrathNicol Partners Jason Ireland and Robert Smith...

8 September 2017

Boart Longyear Limited (ASX:BLY) – Boart Longyear announces changes to its Board of Directors in conjunction with the implementation of its recapitalisation. Read more......

Advisory Restructuring News 8 September 2017
In-house counsel as trusted business advisor

7 September 2017 | Janine Thompson

It is inevitable that some, perhaps even a good deal of, an in-house counsel’s time can be spent managing disputes. It is a vital role to defend the business against claims from external parties such as suppliers, competitors...

Advisory Forensic Media 7 September 2017
Extension of minimum term

5 September 2017

Late last year we discussed the Personal Property Securities Act 2009 (PPSA) and the concept of protecting asset ownership of asset holders. Updates to the definition of PPS leases Amendments to the PPSA earlier this year have...

Restructuring Insight 5 September 2017
Valuation – it’s not all about the numbers

29 August 2017 | Ben Lee

The key financial drivers of ‘value’, being a company’s historical and future revenue, profitability and growth, are no secret. Intriguingly, some companies do not place equal importance on the key non-financial drivers of...

Advisory Transactions Insight 29 August 2017
Gone phishing…

28 August 2017 | Brendan Payne

What do the likes of Yahoo, American Express, PayPal and Target (US) have in common? They were all victims of brutally efficient phishing scams that ended up costing millions of dollars and in some cases tarnished reputations....

Advisory Technology Insight 28 August 2017
Avoid these common Financial Modelling mistakes

22 August 2017

Even small mistakes when building financial models can significantly affect your analysis. According to a recent survey, 70% of financial models contain errors that affect their results. So let’s decode some major mistakes in...

Advisory Strategy & Business Improvement Insight 22 August 2017
Don’t let business integration challenges derail the achievement of...

21 August 2017 | Christopher Davey

Realising the anticipated synergies that underpin an acquisition and successfully managing the integration risks can be a challenge following a merger or acquisition. There are several key steps to successfully integrate newly...

Advisory Transactions Insight 21 August 2017
APES110 – Keep your eyes wide open

18 August 2017 | Ben Cheah & Samuel McCombe

In May 2017, a new section was introduced to APES 110 Code of Ethics for Professional Accountants. Responding to Non-compliance with Laws and Regulations, “NOCLAR”. This was in response to concerns from regulatory and...

Advisory Governance, Risk & Compliance Insight 18 August 2017
Corporate streamlining – the low hanging fruit

17 August 2017 | Sean Wiles, Barry Kogan & Louise Mann

The start of a new financial year presents the perfect opportunity for management teams to get the house in order, and to look for easy ways to reduce costs. An often untapped area in this pursuit is the corporate structure....

Advisory Strategy & Business Improvement Insight 17 August 2017
What can SMEs do to improve cash flow?

14 August 2017 | Sean Wiles

Cash is vital to any organisation, large or small.  But quite often smaller businesses feel the cash flow squeeze when doing work for larger customers because they lack the commercial leverage or scale to negotiate shorter...

Advisory Strategy & Business Improvement Insight 14 August 2017
True lies – What really is a ‘debt-free’ deal...

8 August 2017 | David Barnaby

Most M&A transactions are structured on a ‘cash-free, debt-free’ basis. Cash is relatively straightforward, with some exceptions, for example unpresented and inbound cheques and cash that may be working capital, e.g. cash...

Advisory Transactions Insight 8 August 2017
The life of a Hacked PC

3 August 2017 | McGrathNicol

A compromised or “Hacked PC” affects more than just that device. It introduces risk to an entire connected ecosystem and can play a critical role in a much larger web of cybercrime. This not only includes theft of an identity...

Advisory Technology Cyber Alert 3 August 2017
Eighteen Australian Universities discuss financial crime research

2 August 2017 | Dean Newlan & Matt Fehon

McGrathNicol’s collaboration hub FCX last week hosted more than 45 representatives from 18 Australian Universities at a roundtable for a presentation on the latest research into financial crime and to share industry experiences...

Advisory Financial Crime Exchange Forensic Insight 2 August 2017
Does EBITDA reflect cash flow?

2 August 2017 | Andrew Fressl

Value in almost all deals is struck on a multiple of reported EBITDA. The basis is sound isn’t it? The logic is that EBITDA does not include tax and interest or non-cash items such as depreciation and amortisation so therefore...

Advisory Transactions Insight 2 August 2017
Retail analytics – More than Marketing

28 July 2017 | Jia Du

Too often in retail, analytics is limited to customer or marketing analytics and is seen as a tool to be used solely by the marketing team. This is like driving a Ferrari at 20km/hr. Analytics is significantly more powerful than...

Advisory Strategy & Business Improvement Insight 28 July 2017
Underinvestment – Is it a burning platform?

28 July 2017 | Damien Pasfield

Retailers must ingrain investment into a future focussed strategy if they want to enjoy ongoing success. Too often investment is cut when money starts getting tight. However this is shortsighted. Zero sum game Market share is a...

Advisory Strategy & Business Improvement Insight 28 July 2017
China’s sharing economy – Mobike takes centre stage

28 July 2017 | Henry Lieu

The concept of bike sharing is not new. Indeed many countries have had a similar service for years. However, arguably no single proprietor has achieved the same level of success as China’s Mobike. In Mobike’s latest...

Advisory Strategy & Business Improvement Insight 28 July 2017
Heightened risk of fraud facing Australian universities

27 July 2017 | Graham Newton

McGrathNicol fraud risk management expert Graham Newton recently spoke with the Australian Financial Review’s education editor about the heightened risk of fraud facing Australia’s Higher Education sector. According to Graham...

Advisory Financial Crime Exchange Forensic Media 27 July 2017
An offer you can refuse – when unsolicited offers...

17 July 2017 | Paul Sweeney & Samuel McCombe

An unsolicited offer is often the catalyst for much soul searching and can develop into unwanted distraction if not managed carefully, and quickly. When first assessing an unexpected proposal, business owners should consider the...

Advisory Transactions Insight 17 July 2017
Growth – a double edged sword?

10 July 2017 | Damien Pasfield

Revenue growth continues to be the key metric reported for retailers (particularly listed retailers). However, revenue growth can often be a double-edged sword. Five key factors to consider, to ensure growth delivers the expected...

Advisory Strategy & Business Improvement Insight 10 July 2017
Meet Our New Partners

22 June 2017 | McGrathNicol

The Partners at McGrathNicol are delighted to announce the promotion of five new Partners. We congratulate and welcome Darren Hopkins, Shane Bell, Kathy Sozou, Janine Thompson and Rob Brauer to the partnership. They are all...

Advisory Forensic Restructuring Technology News 22 June 2017