Looking to incorporate your business? Discuss all pros and cons with Tax Accountant.
All legal and tax professionals agree, if your business is not incorporated you may be throwing away thousands of dollars in tax savings and deductions.
In addition, all of your personal assets such as your home, cars, boats, savings and investments are at risk and could be used to satisfy any law suits, debt or liability incurred by the business. Forming a Corporation can provide the protection and tax savings needed to give you peace of mind and make your business even more successful and profitable.
Some Benefits Include:
Liability Protection: Properly forming and maintaining a corporation will provide personal liability protection to the owners or shareholders of the corporation for any debt or liability incurred by the business. Personal liability of the shareholders is normally limited to the amount of money invested in the corporation.
Tax Advantages: Another important benefit is that a corporation can be structured many ways to provide substantial tax savings. You can minimize personal taxes and increase the number of allowable deductions lowering the taxes you pay on the income of the business. Many corporations structure retirement and tax deferred savings plans for their owners and employees which can provide even greater tax savings.
Raising Capital: Sale of stock for the purposes of raising capital is often more attractive to investors than other forms of equity sales. A corporation can also issue Corporate Bonds to raise capital for expenditures without compromising the ownership of the business.
We will help you to decide on capital structure of the corporation, allocation of common and preferred shares between shareholders, rollover your assets in the corporation and many other tax saving techniques.
Twelve reasons why all start-ups should have an accountant:
1. To ensure accurate record keeping.
2. To help set up system for tracking income and expenses.
3. To maximize deductions. (especially for start up capital)
4. To choose the best business form.
5. For sound advise. (coaching)
6. For tax planning.
7. For business planning and budgeting.
8. To avoid penalties.
9. To help with arranging finances.
10. For audit representation.
11. To avoid higher costs later to fix mistakes.
12. To avoid wasting time and money.
For professional help please contact us at (416) 739 – 1899 or (905) 780-1578
207 Edgeley Blvd. Unit 16, Suite 205 Vaughan, ON L4K 4B5
Our accounting firm conveniently serves clients in Toronto, Richmond Hill, Vaughan, Markham, Newmarket, Aurora and Mississauga.