In my continued efforts to educate the American taxpayer on our needlessly complicated tax system and debunk tax myths, this article provides multiple, common examples of when it would be less desirable to do business as an S Corporation than another option such as a sole proprietorship/single member LLC (businesses with one owner) or a partnership (businesses with multiple owners).

If you’re starting a new business, you have several options regarding your company’s legal and tax structure. Consulting your corporate attorney and tax advisor is a must when starting a new business.

Individuals and businesses are often faced with the difficult decision of whether to move forward with litigation. If you have a good case with strong facts and you just can’t come to a settlement with the other side, sometimes litigation makes sense.

A data breach could become a nightmare for any company, especially for small businesses that may not be prepared to face cyber threats. According to the 2018 Verizon Data Breach Investigations Report, 58% of cyber-attack victims were small businesses (organizations with fewer than 250 employees).

Do you have a plan for your life? My experience is that people do more planning than they give themselves credit for doing. While it may not be in the form of a written plan, people do have dreams and aspirations that they pursue. They also want to leave a legacy. It is achieving those dreams and aspirations where people typically need help.

Additional timeline options for incurring forgivable expenses are available under the Paycheck Protection Program Flexibility Act passed on June 5, 2020. The covered period for loan forgiveness has been moved from 8 weeks after loan disbursement to 24 weeks. Borrowers who had already received PPP loans prior to June 5 have the option to use the 8-week covered period, however.

Do you have an industry expertise that lends itself well to starting your own business? Or maybe you have a really good idea for a product that’s not in the market quite the way you see it? Whatever your reason, you’ve decided now is the time to launch and get things started. Congratulations on becoming a business owner!Starting a business from scratch is no small task and there are many different things to consider.

You started a small business. You were told, “You need to be an S Corporation so your taxes will be lower.” You didn’t know what that meant, but it sounded like good advice so you paid someone to file all the right paperwork and now you have an S Corporation. Now you’re paying less taxes, right? Not always!

Small business owners understand that “small business” doesn’t equal “easy business.” A lot of resources, decision making, and legal and financial exposure go into creating a thriving enterprise. If all goes well the majority of the time, the return on investment can be significant. With their eyes on the upside, it’s entirely normal for egalitarian business owners to invite others into the ownership circle, as well as for those on the outside to request entrée. Despite everyone’s good intentions, my experience has been that many co-ownership situations are at best unnecessary and confusing and at worst divisive or even financially crippling.

It’s often said that the best way to predict the future is to create it. If projecting cash flows isn’t something that’s already on your monthly to-do list, you’ll be amazed at the insight this simple activity provides. It basically converts you from being a bystander to becoming the creator of your financial life.

As a tax advisor, I’m always monitoring and managing tax situations for my clients. However, the ultimate goal of tax planning is to maximize net cash inflow. All the tax planning in the world won’t help your business or household if it’s bleeding cash. With that in mind, let’s talk about what cash flow is, how it differs from profitability, and why that matters.

The Tax Cuts and Jobs Act (TCJA) made substantial changes for both individuals and businesses. As the end of the year approaches, so does the first tax season under the new laws. While some of the old tried-and-true tax planning strategies are still valid, new ones are emerging as well.

Taxes are one of the largest cash outlays for small business owners. However, there are ways to minimize your tax burden, but it’s important to understand the tax planning process to take advantage of those opportunities. This article discusses fundamentals of tax planning, as well as common tax reduction strategies that apply to many small, service-based businesses.