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Hi my name is Yamaris Diaz. I’m CPA from ecomowl. And I’m going share tip with you today about tax planning. So my main tip for sellers will be to not wait until January or the end of the year to start getting organized with your numbers and to start looking your business finances. A lot of people waiting to the last minute because they think that getting their numbers organize or getting their bookkeeping done is only are requirement for tax so your taxes are done in the end of the year.
Because you have business now and it’s not so simple to do your tax return and of the year because now you have to include all your money coming in and money coming out for your business. In you return if you have a cooperation or a separate type of entity you may be required to have a completely separate return so you may be looking at filing a corporate return addition to your personal return. So in order to avoid any time waisted and actually money that you would pay an accountant in the and of the year, which by the way accountant very busy in tax season and they do charge extra sometimes for that people that are not organized so it really does pay off to have monthly bookkeeping done for two reasons – one to avoid not being organized like I mentioned before in the end of the year and to save your money and two – to really know how your business is doing on a regular basis. Because one way until the end of the year or actually the following year to know how your company, to know if you are actually profitable, to know if you lost money and know how much. By the time you find that it may be a little bit too late to make those changes. You may want to know what are the result of the monthly basis so you can adjust accordingly and make the important business decision that you need to grow your business and take more money home. Because in the end of that day what is the reason that you start your business why ia it that you decided start either that side hustle or quit your job and dedicate your life to your business now. It’s to be able to fulfill your financial dreams and to live that entrepreneur dream having more financial freedom. So that is my tip for now and i hopefully you find this helpful.
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