IMA Toronto Chapter Newsletter

Transcription

1 IMA Toronto Chapter Newsletter December 2015 INSIDE THIS ISSUE Toronto Chapter Board s Message p. 2 September 2015 Event Review: Sunil Heda, CPA Investment Advisor p. 2 October 2015 Event Review: Mr. Bala Patnaik, CPA, CGA, SAP for Finance professionals p. 3 TWELVE SECRETS TO SALES SUCCESS by Andrew Wall, Sandler Training- Milton, On. P. 4 Toronto Chapter President s Message Happy Holidays! Leasing or Buying a Vehicle Impacts Your Debt Ratios. By Davinder Bhatia (Mortgage Centre Canada) p. 5 Share your news with your fellow Toronto Chapter members about achieved milestones, new positions or simply joining our chapter. TORONTO CHAPTER MISSION As the first IMA Chapter in Canada, our goal is to advance the interests of our profession and to provide our members with first-rate opportunities for professional development, education, networking and leadership training. Did you know IMA represents more than 78,000 members who work in public and private corporations, academia, and not-for-profit institutions. IMA has over 300 professional and student chapters worldwide. Page 1

2 Message from the Board: Season s Greetings! Our volunteers have been busy. We have three events lined up for you in the New Year beginning with guest speaker Ryan Bensen MBA, CPA, CA, CFE, CFF, Partner bensenindustires.com. The topic will be a discussion of Business Valuations, with an introduction to Litigation Accounting. The event will be held on Thursday, January 28 th, 2016 at Grade Learning, Milton. Registration for attendance will be opened in the New Year. Save the date for our next ACCA Canada/IMA Toronto Chapter joint event which will be held Thursday, March 10 th, 2016 at the Albany Club in downtown Toronto. A formal announcement on speaker and topic and registration will be forthcoming in the New Year. For Q2 we are planning to have Andrew Wall of Sandler Training as a guest speaker to present on the topic of Generating Referrals for finance professionals and consultants. The event will be held at Grade Learning, Milton on a yet to be determined date. IMA Toronto Chapter event summary for Wednesday, September 23, 2015: Held in downtown Toronto at The Hot House Cafe, guest speaker Mr. Sunil Heda, CPA Investment and Wealth Advisor, formerly with RBC presented on the topic of IPP: Independent pension plan. Assisting Sunil in the presentation was Ms. Natalie Wright, Independent pension plan consultant for Buck Consultants, to help explain the powerful tax strategy and ideal tool for incorporated business owners seeking additional retirement income. Chapter members were given a high level overview of the concept on how to go about setting up an employer sponsored registered pension plan. With the IPP the owner can then benefit from the many options that become available to maximize pension contributions for themselves and key employees while minimizing taxation. One of the key aspects was the ability to recognize past service in a catch up tax deductible contribution by doing multiple pension adjustments from previous years T4s going as far back as Both Sunil and Natalie did an excellent job of explaining a rather complex topic to interested audience members. As mentioned above, Sunil has recently moved on to Manulife Securities as an Investment Adviser and he welcomes any referrals or questions you may have regarding investment advice, insurance or advisory services. Phone: sunil.heda@manulifesecurities.ca Page 2

3 Sunil presenting the donated door prize to winner Slava Tkackev, a certified IMA member. By: Chris Vincent, VP, Treasurer & Secretary - IMA Toronto Chapter. IMA Toronto Chapter event summary for Wednesday, October 21st, 2015: Held at Grade Learning, Milton, our guest speaker was Mr. Bala Patnaik, CPA, CGA, CMA (US), CPA (Ill), ICSA, PMP, SAP Certified Associate, Oracle Certified Professional and currently a Project Manager - Finance Systems, for University Health Network in Toronto. The topic was ERP (SAP) for finance professionals and Bala gave an excellent overview on what a Finance Professional should know about ERP (SAP) and how it relates to one s daily core responsibilities. Bala led the audience members through the critical path starting from OLTP and OLAP and onto the fundamentals of the ERP system. We then progressed through the various modules leading to the accounting module, noting that SAP can handle every set of chart of accounts in the World and any conceivable financial transaction. Finally, we reached the demonstration of the Look and Feel user login and transactions pathway. It was one of the Page 3

4 longest group events ever held by the Chapter lasting almost 3 hours for which 3 CPEs were awarded to those in attendance. Time well spent! By: Chris Vincent, VP, Treasurer & Secretary - IMA Toronto Chapter. TWELVE SECRETS TO SALES SUCCESS by Andrew Wall, Sandler Training- Milton, Ontario. 1. Being genuinely interested in your prospect's personal and professional opinions will do as much (perhaps more) to develop rapport as identifying his personality style or discovering if he is a football, baseball, or hockey fan. 2. It s just as important to disqualify a selling opportunity as it is to qualify it. 3. What the prospect wants and what the prospect actually needs are rarely the same. 4. The prospect's problem is never what he thinks it is. 5. It s more important for the prospect to discover that he has a best-fit problem for your solution than it is to demonstrate that you have a best-fit solution for his problem. 6. When the prospect says, "Money s no problem," it's guaranteed to become one. 7. A prospect with a budget and a strong reluctance to spend it is no different than a prospect with no budget at all. 8. The objective of each encounter with a prospect is to either pave the way to the next step in the selling process and eventually a buying decision or to end the process. 9. When a prospect states that he can't make a decision, he just did. 10. The financial investment to obtain your product or service is often less significant than the other "investments" the prospect must make to implement it. 11. Identifying how and by when a prospect will make a buying decision is just as important as discovering who is involved in the process. 12. If you wait for your customers to voluntarily provide you with referrals as a reward for the exceptional service you have delivered, you'll be waiting a long time. Page 4

5 Leasing or Buying a Vehicle Impacts Your Debt Ratios By Davinder Bhatia (Mortgage Specialist with Mortgage Centre Canada) The question of whether it s better to lease or buy a vehicle is a common dilemma. Do you buy or lease a new or used vehicle? The answer depends on the specifics of your situation. It s important to realize that many consumers overburden themselves with car leases or loans they simply cannot afford. While most of us require a vehicle to get to and from multiple destinations throughout the course of any given week, we don t need a high-end vehicle to serve this purpose. The key to remember when you re looking to purchase a home and obtain a mortgage or refinance an existing mortgage is that, if you overspend on a vehicle, it affects your debt ratios and may restrict or negate your mortgage financing ability. Leases and purchase loans are simply two different methods for automobile financing. One finances the use of a vehicle while the other finances the purchase of a vehicle. Each has its own benefits and drawbacks. When making a lease-or-buy decision, you must, therefore, look at your financial abilities in terms of your debt ratios. And if you re unsure about how leasing or purchasing a vehicle will affect your ratios, it s best to speak to a Mortgage Centre Canada s Mortgage Professional prior to making your decision. When you buy, you pay for the entire cost of a vehicle, regardless of how many kilometers you drive. You typically make a down payment, pay sales taxes in cash or roll them into your loan, and pay an interest rate determined by your loan company based on your credit history. Later, you may decide to sell or trade the vehicle for its depreciated resale value. When you lease, you pay for only a portion of a vehicle s cost, which is the part that you use up during the time you re driving it. You have the option of not making a down payment, you pay sales tax only on your monthly payments, and you pay a financial rate, called a money factor, which is similar to the interest on a loan. You may also be required to pay fees and a security deposit. At lease-end, you may either return the vehicle or purchase it for its depreciated resale value. As an example, if you lease a $20,000 car that will have, say, an estimated resale value of $13,000 after 24 months, you pay for the $7,000 difference (this is called depreciation), plus finance charges and possible fees. When you buy, you pay the entire $20,000, plus finance charges and possible fees. This is fundamentally why leasing offers significantly lower monthly payments than buying. Page 5

6 Lease payments are made up of two parts a depreciation charge and a finance charge. The depreciation part of each monthly payment compensates the leasing company for the portion of the vehicle s value that is lost during your lease. The finance part is interest on the money the lease company has tied up in the car while you re driving it. Loan payments also have two parts a principal charge and a finance charge. The principal pays off the full vehicle purchase price, while the finance charge is loan interest. Since all vehicles depreciate in value by the same amount regardless of whether they re leased or purchased, however, part of the principal charge of each loan payment can be considered as a depreciation charge. Just like with leasing, it is money that you never get back, even if you sell the vehicle in the future. The remainder of each loan principal payment goes toward equity or resale value which is what remains of your car s original value at the end of the loan after depreciation has taken its toll. The longer you own and drive a vehicle, the less equity you have. With leasing, you may have the option of putting your monthly payment savings into more productive investments, such as your mortgage, an investment property or a vacation home, which will increase in value. In fact, many experts encourage this practice as one of the benefits of leasing. Davinder Bhatia, dsbhatia22@gmail.com Mortgage Professional and Small Business Consultant. Please feel free to ask for any Residential Mortgage, Commercial, Business Loans, Line of Credit, Government grants, Factoring, Loans and financing. Fortis Business Solutions Limited Green Life Business Centre, Unit , 450 Bronte Street, Milton, ON. L9T8T2 Direct: or Please forward article submissions to: Mr. Basem Morsy morsybassem@yahoo.ca Page 6