Welcome to the Small Business Ideas Forum! We are a community of over 100,000 small business folks with over 163,000 posts for you to browse. We pride ourselves on being the friendliest forum you will find and we'd love to have you as a member of our community. Please take a moment and register for a free account. If you need any help, please contact Chris Logan.

Small Business Ideas Forum

Small Business Ideas Forum

A friendly place to share small business ideas and knowledge, ask questions, find help and encourage others that are involved in the small business industry. Topics include small business marketing, generating revenue and small business computing.

Go Back   Small Business Ideas Forum > Generating Revenue, Insurance, Taxes, Etc. > Small Business Finance
Register Search Today's Posts Mark Forums Read

Reply
 
Thread Tools
Old 30th November 2012, 02:19 PM   #1
Ev1
Member
 

Join Date: Nov 2012
Posts: 0
Question Advice On Taxes & Accounting In My Small Business Revamp

Greetings!

I am new around here, but I am in need of some consultation and this community appears to have some helpful folks so here I am.

My father has operated a custom home decorating small business (faux finishing, and decorative painting) since 1995. He has had limited success and that is because he is NOT a business person, but an artist and creator at heart. His business has displayed many instances of success, but it is all about replicating that success and having a proper structure to back it, he has had issues with taxes etc for years because he lacks business skills and the willpower to keep proper books etc.

This is where I enter the picture.

While I had limited interest in my father's business for years, it took me getting out on my own and figuring out my strengths to realize I have an entrepreneurial spirit, and I am a pretty decent in sales, marketing, and general business ideas. Getting into a big retailer in a strict commission environment selling appliances, mattresses, and furniture gave me a great inner view into the workings of a relatively large company ( 1billion in gross sales).

It began to dawn on me that I have a large passion for art and design, and now armed with capable sales skills, and a penchant to learn everything business I have been working on his business revamp for several months, and we are ready to initialize my marketing plan and make some necessary purchases for the business.

I have generated a basic budget and balance sheet off of a pretty good template I found online and I have studied some book keeping methods, and feel confident in the upkeep and processing of the books. Where my questions lie in how I should structure the business in order to claim taxes in the most efficient method and how do I go about claiming taxes on the budget sheet in terms of calculating business tax.

We are located in Ontario, Canada. We never plan on having a team larger than 7 employees probably maximum as we are a business that sells high quality in lesser quantity. We are able to produce enough at our asking prices to reward everyone involved rather handsomely and quality cannot be risked by hiring more people and churning out more production. Even if the leads allowed us to, it would be risky to expand operations beyond a tight knit core.

Should I be listed as a full partner and operate as a partnership, or should we restructure as an LLC?

Is there any small business software you would reccommend?

I am looking for general help from people with tax, accounting, and finance backgrounds to just help me clarify a sound method in keeping everything accurate and efficient. Your input is of high value to me and I thank you for your valuable knowledge in advance

Kind Regards,

Evan

Ev1 is offline   Reply With Quote
Register or log in to remove this ad.
Old 17th January 2013, 02:35 PM   #2
Sum Bookkeeper
Member
 
Sum Bookkeeper's Avatar
 

Join Date: Jan 2013
Location: Oakville, Ontario
Posts: 16

Default

There are a lot of advantages to incorporating. Naming a couple, you can determine when you pay yourself, it allows for income splitting, there is limited liability. If you have an accountant, which you should, they can help you a lot with this.
Make sure you have an efficient bookkeeping system and that you do really have the time to keep on top of it. There are many software programs out there but they do tend to be more complicated than simple. Have you looked at outsourcing. It is less expensive and can really save you time.
I think sitting down with an accountant or a business consultant would really be beneficial as they can give you some clarity and direction that will be most beneficial for you and your business.

Sum Bookkeeper is offline   Reply With Quote
Old 21st January 2013, 11:39 AM   #3
jgbreeden
Member
 

Join Date: Jun 2011
Location: San Diego
Posts: 77

Default

Definitely create some kind of entity, whether an LLC or corp. Ask your accountant which is better for tax purpose for a company your size.

I like using an online service for payroll. Calculating payroll taxes stresses me out, so to me the processing fees are worth it just to have the tax handled, and they prepare all the W2 and other forms at end of year.

The most popular small business software is Quickbooks, and most accountants are familiar with it, so it is the easy answer, but not necessarily the best. You may want to use an online service for basic accounting (QB has an online version but I don't think it is as good as their desktop version). The challenge is finding and evaluating them, since there are so many choices. You might find something suited to your niche--do lots of googling.

jgbreeden is offline   Reply With Quote
Reply   

Bookmarks


Similar Threads
Thread Thread Starter Forum Replies Last Post
Bank Of America/First Data Assault On Small Business imarinepower Small Business Finance 16 30th September 2013 02:34 PM
Why YOU Should Build Your Business Credit TCCDepot Small Business Finance 4 27th July 2012 01:55 AM
Small Business Taxes bhess0 General Small Business Issues 0 19th January 2010 03:04 AM
Eshwar - Small Business Consultant And Business Support Services Provider eshwar New Member Introductions 6 13th November 2006 02:52 PM



Thread Tools

Get Updates
RSS Feeds:
RSS Feed for Small Business Finance RSS for this Category Only: Small Business Finance

RSS Feed for Small Business Ideas Forum RSS for Entire Forum
Forum Rules


Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Forum Jump


Small Business Ideas Forum


 
At Your Business - Small Business Directory
Free Business Forms - Prewritten Documents
 
Search Engine Guide
Small business guide to search marketing

 
Small Business Brief
Fetching the Best Small Business Info


Free Links - Free Advertising
Free Guide - Online Directory



Advertise your business here
Contact us for more details!


Semantic Juice
Register now to access free Quick SEO service!


Rocket Lawyer
Sign up for free 7 day trial. Boost your biz!


Buy UPC Codes
Get your products listed online!




All times are GMT -5. The time now is 09:05 AM.


Powered by vBulletin® Version 3.7.3
Copyright ©2000 - 2019, Jelsoft Enterprises Ltd.
Copyright 2004 - 2018 - Privacy