You’ve worked hard to build your business. Long hours. Big risks. Serious stress.
So the last thing you want is to lose everything because of something you didn’t see coming.
Whether it’s a legal dispute, tax issue, business failure, or even a breakdown in a relationship—if your assets aren’t protected, you’re exposed. And unfortunately, many tradies only find this out when it’s too late.
Here’s what every trade business owner should know about asset protection—and the smart steps you can take now to protect your future.
1. Make Sure You’re in the Right Structure
One of the most common mistakes we see is trade business owners staying as sole traders long after they’ve grown.
While it might seem simpler (and cheaper), being a sole trader means you are the business—and that puts your personal assets directly on the line. If something goes wrong, your house, savings, and car could all be at risk.
The right structure—like a company or trust—can provide a layer of protection between your business risks and your personal assets.
💡 Tip: The best structure depends on your goals, income, family setup, and level of risk. A quick review with an expert can give you peace of mind.
2. Keep Your Business and Personal Finances Separate
This sounds basic, but you’d be surprised how often it’s overlooked.
If you’re using personal accounts for business income, paying business bills from a joint credit card, or mixing personal loans with work expenses—you’re not only making your accountant’s job harder, you’re making it easier for others to come after your personal assets.
Clear separation between your personal and business finances is a key step in showing the ATO or a legal body that your business is a separate entity.
3. Protect Your Personal Assets with Smart Ownership
How your assets are owned matters.
For example, having your family home in your spouse’s name (especially if they’re not involved in the business) can reduce risk. Using trusts can also help keep assets out of reach if something goes wrong in the business.
This doesn’t mean hiding things or doing anything dodgy—just structuring ownership smartly and legally to protect what you’ve worked hard for.
💡 Tip: Asset protection strategies only work if they’re done in advance. You can’t rearrange everything after a lawsuit or dispute arises.
4. Keep Your Compliance Up to Date
Asset protection isn’t just about legal structures—it’s about staying on top of your obligations.
If you fall behind on BAS, super, PAYG, or workers comp, the ATO or regulators could chase you personally for unpaid amounts—especially if your company can’t pay them.
Make sure your compliance is rock solid. That means:
– Lodging your BAS and tax returns on time
– Paying super and PAYG for your employees
– Keeping your registrations and insurances up to date
💡 Tip: If you’re not sure where you stand, get a business health check. It’s easier to fix things now than dig your way out later.
5. Don’t Rely on Luck—Rely on Advice
Protecting your assets isn’t about paranoia. It’s about being smart.
When you’ve spent years building something valuable, it’s worth spending a little time and money making sure it’s safe.
At Straight Talk Accountants, we work with trade business owners to:
– Review your current business and personal setup
– Recommend asset protection strategies
– Set up the right structure for safety, tax, and long-term growth
– Keep your compliance and reporting under control
Want Peace of Mind That Your Assets Are Protected?
Let’s have a quick, no-pressure chat to see where things stand. If everything’s already spot on, we’ll tell you. If there are gaps, we’ll show you how to fix them.
👉 Book your free discovery call here.
Don’t wait for something to go wrong before you protect what’s yours.
Please Note: Many of the comments in this publication are general in nature and anyone intending to apply the information to practical circumstances should seek professional advice to independently verify their interpretation and the information’s applicability to their particular circumstances.
