NDIS Changes: Viability, Cash Flow and Options
NDIS changes are coming. The detail will matter, but any significant change to NDIS funding, eligibility, compliance or provider oversight has the potential to affect the viability of some NDIS businesses.
For providers, this is not just a policy issue. It can quickly become a cash flow issue.
If revenue changes, participant numbers reduce, margins tighten or compliance costs increase, the business model may need to be reviewed.
Some NDIS businesses may be able to restructure through Small Business Restructuring or Voluntary Administration and a Deed of Company Arrangement. Others may reach the point where liquidation is the only realistic option.
The difference is timing. If the business is still trading, records are current and there is a realistic plan, there may be options. If the business waits until cash is gone, staff have left and creditors are pressing, the options narrow quickly.
For NDIS providers, now is a good time to understand the numbers — not just last year’s profit, but future cash flow.
