When times get tough, what's the first thing many business owners cut? Often, it's advisory services. When business is booming? That's when advisory spending typically increases. But according to Shelley, this approach has it completely backwards.
In this quick video, Shelley one of our RightWay Business & Lending Advisors shares how having the right advisor by your side can bring clarity, confidence, and direction to your business. She’s been there herself, and she knows the power of good support. Check it out below 👇
Advisory: Is essential as insurance and payroll
"Advisory is such a fundamental element of everything that a business does," Shelley explains. "If you think about life insurance, if you think about PAYE, you wouldn't not pay those things when you have employees. Advisory is the same sort of thing."
Just as you wouldn't dream of skipping insurance premiums or payroll obligations, advisory services should be viewed as a non-negotiable investment in your business infrastructure. It's not a luxury, it's a necessity.
For New Zealand business owners, this is particularly relevant. With IRD obligations, health and safety requirements, employment law changes, and the complexities of running a business in a small, open economy, having an expert adviser in your corner isn't just helpful, it's essential for staying compliant and competitive.
The paradox of business advisory
Here's the pattern Shelley observes time and again: "When things are going badly, people pull that away. When things are going well, they tend to spend more on advisory."
But this creates a dangerous cycle. When you're struggling is precisely when you need expert guidance most. And when you're thriving? That's when complacency can creep in, causing you to miss opportunities that could take your business to the next level.
This pattern is especially common in New Zealand, where the "she'll be right" attitude can lead business owners to go it alone during challenging times. But consider this: when cash is tight, making one wrong decision can be catastrophic. An adviser can help you navigate difficult conversations with the bank, restructure debt, identify cost savings, or pivot your business model before it's too late.
The power of that 1% improvement
"In both situations, it's really paramount that you have an adviser that you can tap into," says Shelley. The reason is simple but powerful: "When things are going well, that one percent tweak of making things better makes a huge difference to your bottom line."
Think about it. When you're already successful, small optimisations compound dramatically. That slight pricing adjustment, that efficiency improvement, that strategic pivot, these aren't just nice-to-haves. They're the difference between good results and exceptional ones.
A 1% improvement might seem modest, but applied consistently across your business:
For a business turning over $1 million annually, a 1% improvement in net profit margin equals an extra $10,000 in your pocket. For a $5 million business, that's $50,000. These aren't trivial amounts, they're the difference between reinvesting in your team, upgrading equipment, or taking a well-deserved holiday.
Beyond the numbers
One of the most valuable aspects of advisory services often gets overlooked. "Remember, the advisers out there can help you across all mediums of your business, not just the financial numbers," Shelley points out.
Quality advisers bring insights across multiple dimensions:
For Kiwi businesses, advisers can also provide invaluable guidance on navigating government support programmes, understanding R&D tax credits, accessing export market development grants, and connecting you with the right networks and resources.
Making advisory work for you
The key is consistency! Regular advisory input means:
The cost-benefit reality
Many New Zealand business owners worry about the cost of advisory services. But consider the alternative: making decisions without expert input can cost far more. A poorly structured loan, a missed tax deduction, an inefficient process, or a strategic misstep can easily cost thousands, or tens of thousands of dollars.
Regular advisory input isn't an expense; it's an investment that typically pays for itself many times over through improved decision-making, identified savings, and captured opportunities.
The RightWay perspective
At RightWay, we believe advisory isn't something you turn on and off based on how business is going. It's an ongoing partnership that helps you navigate both the storms and the opportunities.
Whether you're facing challenges or riding high, having a trusted adviser in your corner ensures you're making the most of every situation. Because in business, standing still is the same as falling behind, and even 1% improvements can create extraordinary results over time.
We understand the unique pressures facing Kiwi business owners: the challenges of distance from markets, the complexities of our tax system, the realities of our small but competitive economy, and the desire to build something meaningful whilst still having a life outside of work. Our advisory approach is designed specifically for this context, practical, accessible, and focused on results that matter to you!
Ready to make advisory a core part of your business strategy? Connect with RightWay to discover how regular expert input can transform your bottom line.
Disclaimer: The information provided in this article is intended for general informational purposes only and may not apply to the specific details of your business. For personalised and tailored advice, we recommend reaching out to our professional team. While we strive to provide accurate and up-to-date content on our website, RightWay assumes no responsibility for any business loss or damage that may arise from relying on the information provided.