CFO Services | Should You Get A Financial Plan
One of the reasons why a business owner may not get a financial plan created says CFO services. Is they may not think it is necessary for them yet. They may think that they need to be a larger business to benefit.
This is how a lot of business owners and up paying more in taxes than they should. Especially if they are working with an accountant. That is not insisting that they get a financial and tax plan done.
Business owners think that they need to be making hundreds of thousands of dollars or even millions of dollars a year. In order to actually benefit from a business plan. But this is actually not true at all.
The benefits of a tax plan and financial plan start. Approximately at about fifty thousand dollars in gross income every single year. Which means even the smallest businesses can benefit.
Even businesses that have a single business owner, often referred to as solo-preneur’s says CFO services. Can benefit from a tax and financial plan created by an accountant.
In fact, a huge reason why many business owners are driven to become entrepreneurs in the first place. Is so that they can benefit from the tax cuts that corporations get.
While the corporate tax rate across Canada is 11%. The highest personal tax rate in the province is 48%. Which means business owners can save up to 37% in tax savings per year once they incorporate.
This huge tax savings. Can go towards an entrepreneurs business. To help them pay bills, increase their marketing efforts, or purchase assets for the business.
In fact, the sooner an entrepreneur can start saving this money. The sooner they are going to be able to benefiting from their financial and tax planning.
When business owners are looking for the right accountant to work with. They should with an accountant that will do their financial and tax plan. But who will do that financial and tax plan is a part of their regular services.
When accountants charge extra for their financial and tax plans. Many business owners are worried about what the final cost is going to be. And end up avoiding making the decision of getting these vital plans in their business.
However, the best accountants to work with. Are going to add tax and financial plans at no additional cost. Because they know how important financial plans are to the success of the business.
Therefore, by looking for the right accountant. Business owners can ensure that they do not have to separately budget for a financial plan. So that they can end up with the plans they needed to help them succeed.
Also, CFO services says that business owners need to look for an accountant that is going to implement these strategies on a year-to-year basis. The reason why they will need to do a new financial and tax plan every year. Is because their personal circumstances are going to change every year.
By getting and new financial and tax plan done. Business owners can always ensure that they are implementing the best financial and tax strategy possible. So that they can always be saving money.
How Can We Help You Find The CFO Services?
Business owners should be understanding how important financial and tax plans are to the success of their business says CFO services. In fact, these are the reasons why many people get into business ownership in the first place.
However, in order for business owners to benefit from owning a corporation. They need to ensure that they have a financial and tax plan in place. Which means when they hire their CFO services.
They need to ensure that they will sit down and discuss the business in depth. As well as the entrepreneur’s own personal circumstances.
This way, the tax plan and financial plan that the accountant creates. Will be based on the entrepreneurs reality. So that they will not end up with a tax strategy that they cannot adhere to.
In addition to the business and all of the information regarding the business. An accountant should also consider all of the household expenses, income and needs.
They should ask if the entrepreneur has any other income coming into their household. Such as a spouse bringing money, or money coming in from investments or properties.
The captain should also take into consideration how many dependence they have living in the house and what their current debt is? Also, the number of the pills that they have to pay including mortgage and car payment.
This way, the accountant will be able to figure out how much salary and dividends the entrepreneur needs to draw from their corporation on a monthly basis. So that their financial plan can be realistic for them.
In fact, CFO services says that if business owners are using an accountant that does not put the financial and tax plans together with the year end. They accountant is doing a disservice to the business owner.
All entrepreneurs who are not getting this vital service included with their year end. Should seek out a new accountant.
Ultimately, even if an entrepreneur has to end up paying out-of-pocket for their tax plan and financial plan. It would be more beneficial for the entrepreneur to do this.
Then it would be to not. Because of how much money their accountant can save them in taxes. However, many business owners do not know how to find an accountant that does not charge for their financial and tax plans.
The right accountants will not charge for their tax and financial plans. Because they will have created a template. To ensure that not only can this be done efficiently. But that they know all of the questions to ask. And all of the variables that need to be addressed in order to make the right determination.
This way, they can also ensure consistent quality with every single business that they work with. To ensure that all customers can get the best financial and tax plans. Not only at no additional charge. But in the most time efficient manner as well.