Show download pdf controls
  • Compare your business now

    The small business benchmarks are financial ranges that help compare your business's performance against others in your industry. There are three steps to comparing your business's performance.

    On this page:

    Step 1: Get your information ready

    First, make sure you have your information ready to use. See What you need.

    Step 2: Start calculating

    When you compare your business performance:

    • choose the right industry code for your business by using the business industry code tool.
    • if you operate more than one business, calculate information for each of them separately and indicate this on your income tax return.

    To compare your business performance, you can either:

    Ways you can use the benchmarks include using them:

    • to assess your business performance against the benchmarks at least once a year, before lodging your tax return, to see how your business is tracking
    • as a guide to help you set up and understand industry standards, if you are new to business.

    Step 3: Check your results and take action if required

    After you have checked your results, consider what it means if you are above or below the benchmarks.

    Outside the benchmarks

    Being outside the benchmark ratio doesn't mean something is wrong.

    If you find your business is outside the benchmark range for your industry, we recommend you:

    • review how you keep your records (some of your income and expenses may not be included)
    • check that your income and expenses in your tax returns and activity statements are correct.

    If you identify mistakes after a tax return was lodged, it's easy to fix – just provide the correct information by making a voluntary disclosure.

    Find out about:

    Inside the benchmarks

    If your business is inside the benchmark range for your industry you:

    • generally don't need to do anything else
    • can identify where adjustments can be made to costs and expenses and consider profit margins to improve your business performance
    • can consider if your record keeping or business operations need any improvement to increase profitability and performance.

    See also:

    Other tools

    Benchmarks are only part of the analysis of your business. You can also use the:

    If you need more help to understand how to improve your business performance, consult a business adviser or tax professional.

    Find out about:

    Last modified: 29 Apr 2021QC 47935