Ask any small-business owner what he sees as the major challenges to growing his business, and chances are he’ll say: winning more sales. Ask any medium- or large-business owner what her major challenges have been, however, and she’ll probably say: structural growing pains — putting into place the necessary processes and structure to accommodate a … Read more
You started gardening to de-stress, and now your family room is filled with exotic orchids. What began as a hobby has evolved into a side hustle—you’re selling propagated orchids to other enthusiasts. With income flowing in, you wonder if it’s time to treat your orchid-growing passion as a business. Once hobbies generate income, they often … Read more
As a savvy business owner, you understand the importance of having key person life insurance to protect your company in the event that you — or a partner — unexpectedly pass away. The policy proceeds can be used to pay off debts, hire a replacement, or buy time until a decision about the future … Read more
S corporation shareholders have an added reason to worry about their company’s annual performance: It has a direct impact on their own income taxes. How It Works Unlike a regular C corporation, an S corporation usually doesn’t pay federal income taxes itself. Instead, each shareholder is allocated a portion of the corporate income, loss, deductions, … Read more
When I ask business owners about their AR, they normally respond with either, “We invoice our customers.” or “We collect payments on a regular basis.” I’m always glad to hear those responses. However, when I ask, “What is your accounts receivable turnover?” or “How many days does it take for you to collect?”, the business … Read more
Any employer reimbursing its employees for business-related expenses should consider whether the reimbursement arrangement meets the IRS’s requirements for an accountable plan. Having an accountable plan that meets tax law requirements can provide tax advantages. Business Connection Each expense reimbursed under an accountable plan must have a business connection. This means that the … Read more