Here are some examples warning that any business which can be influenced by government decisions whether Council, State or Federal should be short term and with minimal capital investment. It is not whether the taxes are socially acceptable or not but rather the impact they can have on the viability of your venture.​

With what has taken place just recently relating to global warming regulations:

6How many green projects have now faltered. Mining super profit taxes (RSPT)​

6Will all the planned projects still be continued? Insulation debacle​

6​ So many businesses were adversely affected that the Federal government is looking at paying compensation. Tabcorp/Tatts re Victorian Pokies.​ These companies are now planning legal action against the Victorian Government.

6​ ​Alcopop Taxes. Why just these products? Did it stop people drinking or just changed what they drank?​

Your plan should ensure that most costs are variable according to sales/income volumes.​

Try to avoid unionised staff because they are not that flexible enough for this type of venture. Consider contractors as an alternative for while you will pay more you flexibility is more assured.​

Avoid long term leases for buildings or equipment.​

Structure your company in a manner that allows you to go into bankruptcy if you have to at a minimum exposure to you or your family.​

This is not an area for building a future upon but rather an entrepreneurial make a dollar while you can.​

The famous investor Warren Buffet will not invest where governments have the power to change the basis upon which you have created your business model. Imagine the impact of a new or additional tax upon your planned profitability and cash flow.​

I doubt if Tabcorp or Tatts had planned to lose their Pokies franchise in Victoria.​

As you make money transfer it into secure assets such as property or blue chip shares don’t be tempted to spend it because loss of cash flow is a quick death compared to lack of profitability.​

Many developers use the above tactics when forming their project companies and that is why you see them go bankrupt and yet appear again a few years later with another project.