Not only is it generally common sense to keep documents safe and secure in the workplace, but did you know that all businesses in Australia are required by law to keep all records and documents that relate to how their business operates?

Business owners need to keep a wide range of records for the business, such as:

·       Income and spending’s

·       Employee information

·       Business operations and;

·       Where the business operates from

Keeping track of this documentation helps businesses manage cash flow, protects the company if they are required to respond to compliance or legal issues, and to generally keep track of business health so that business decisions can be made without faults.

There are 5 main groups of records that should be kept when running a business.

These are:

1.    Financial Records

• Invoices and receipts for the goods and services being sold
• Staff rosters, pay records and attendance
• Records of contractors and sub-contractors
• All bank statements
• A business asset register
• Depreciation schedules
• All tax documents, activity statements and annual tax returns
• Documents in relation to how the business is being financed, i.e. Loans.

2.    Protecting Legal Records

• Leases
• Contracts with suppliers and other clients
• Insurance documentation.

3.    Employee Records

• All financial records such as bank accounts, tax file numbers and their superannuation details
• The employee’s contact details, their address, phone numbers and emergency contacts
• Their work history and performance – this can include any performance issues or workplace injuries
• Employee records include any information you have about the employees of your business

Keeping good employee records means you can pay your employees correctly and meet your tax and super responsibilities.
Tip: Staff should be provided with a copy of the business’s policies and procedures at the beginning of employment.

4.    Policies & Procedures

These include records that outline how businesses manage the day-to-day operations such as:

• Work place health and safety plans
• Dress codes/standards
• Sexual harassment policies
• Operation manuals

5.    Other Business Records

There is some documentation which may be a good idea to keep on hand as businesses may require them at a later date for one reason or another.

These include:

• Personal customer details, products they have purchased and product enquiries that could be useful for finding new customers.
  Complaints from customers can also be helpful in the long run, as these include service, product and staff information that could be used to benefit the business.
• Customer or staff disputes including information on how they were resolved and in what time frame.
• Any type of quotation – whether it was for customers or contractors.
• Details of marketing and advertising
• Insurance policies – these should be regularly checked and updates in accordance to business growth.

 

Businesses may need to rely on records if disputes or other issues arise. Keeping records can save a lot of time and money. If a business needs to dispose of personal information including the records above, it is important to destroy them by all means necessary. If you are a business owner and need assistance in document destruction, please contact us today.