Business Advisory Services
Overview
Technology and the speed of information diffusion are increasing the versatility of the market and giving way to the emergence of creative solutions for all those companies that want to stay relevant and successful.
More Info
We support business owners who use and understand real-time data and accounting for learning.
Business Legal & Tax Structure Evaluation.
An important consideration when starting your business is determining the best legal organizational structure. Why? Because it will affect operational efficiency, portability, control, the way you declare your income, the taxes you pay, and your personal liability.
Five Basic Business Structure Types Are Available
Your Title Goes Here
Limited liability company (LLC)
- A hybrid type of legal structure that provides the limited liability features of a corporation and the tax efficiencies and operational flexibility of a partnership.
- The ‘owners’ are referred to as ‘members.’ Depending on the state, the members can consist of a single individual (one owner), two or more individuals. corporations or other LLCs
- Unlike shareholders in a corporation. In most states LLCs are not taxed as a separate business entity. Instead, all profits and losses are “passed through’ the business to each member of the LLC.
- LLC members report profits and losses on their personal federal tax returns, just like the owners of a partnership would
- To form an LLC, you must file the appropriate documents with your state, a process generally done through your Secretary of State’s office
Sale Propietoriship
- The simplest legal structure for any business
- The business is not legally separated from you — me owner. (By default, the legal business name is the same as your legal name)
- Establishing a business name separate from your own is possible by creating a “doing business as” (DBA) name. Most states require DBAs to be registered with the county clerk or Secretary of State
- Owner can take cash withdrawals from the business at will
- Owner required to make quarterly estimated tax payments
- Establishing a sole proprietorship may be as simple as opening a bank account for the business
- Some states and municipalities may require obtaining a license or permit
Partnership (general and Limited)
- Like a sole proprietorship, a general partnership is not a legal entity separate from its owners
- The difference between a sole proprietorship and partnership is that a sole proprietorship has only one owner and a partnership has two or more owners
- Owners can take withdrawals and, if specified in the partnership, guaranteed payments
- Owners pay taxes quarterly
- Can be started through an oral agreement, though a written agreement is advisable (and required in some states)
- Many states have legal provisions for limited liability partnerships (LLPs) that provide for some limitations on the liability of the owners and on points such as profit/loss percentages; business decisions; addition and withdrawal of a partner and terms of operation
- Some partnership allocation structures may subject you and your business to heightened Internal Revenue Service (IRS) scrutiny
- To form a partnership. you must register your business with your state, a process generally done through your Secretary of State’s office
C Corporation
- A separate legal entity from its owners
- Corporate documents are filed with the state and an annual fee is paid
- Separate corporate bank accounts and records are created, and assets and money generated by the corporation are owned by the corporation
- Corporations are required to pay federal, state and, in some cases, local taxes
- Most businesses must register with the IRS and state and local revenue agencies. Although any business that has employees will need to get a tax ID number, it is required for a corporation
- Unlike sole proprietors and partnerships, corporations pay income tax on their profits. In some cases, corporations are taxed twice — first, when the company makes a profit, and again when dividends are paid to shareholders on their personal tax returns
- Shareholders who also are employees pay income tax on their wages. The corporation and the employee each pay one half of the Social Security and Medicare taxes. but this usually is a deductible business expense for the corporation
- To form a corporation, you must file articles of incorporation with you state, a process generally done through your Secretary of State’s office
S Corporation
- A corporation with the Subchapter S designation from the IRS
- To be considered an S corp, you must first charter a business as a corporation in the state where it is headquartered
- An S corp is different from a C corp in that its profits and losses can pass though to the owner’s personal tax return. Consequently, the business is not taxed itself. Only the shareholders are taxed. Losses are limited to the shareholder’s tax basis
- Shareholders can be paid wages, receive distributions of profits or a combination of wages and distributions
As we can see, there are many options and they can be complicated, which can cause errors. Business legal structures are regulated by state governments, but your county or municipality may also have licensing requirements.
It is important to know that current tax laws make it difficult to change your legal structure after you start operating.
We understand the complexities and value of working with our clients’ attorneys or referring attorneys to our clients to prepare documents in accordance with the law.
Business Startup & Best Practices Consultation
When starting a small business, taking the time to set up your record keeping system properly, right from the beginning, can in fact save you time and money along the way — and could make the difference between success and failure.
We believe in getting our start up business clients to think big and prepare for growth by having systems in place to handle the increase in amount of transactions and perplexity of the transactions.
Our Business Advisors Will Be There to Answer All the Important Questions Small Business Owners Face
- When to set up your business operating account?
- How to track income and expenses?
- What business expenses are deductible?
- When to 1099 contracted work and what forms to have on file?
- When to begin payroll and provide quality payroll companies?
- How to build credit for your business?
- How to track and file sales tax reports?
How Does Our Start Up Business Consultation Benefit Business Clients
Makes tax preparation easier. Back-up documentation may save you taxes, interest charges and penalties if the Internal Revenue Service (IRS) ever questions your return.
Allows you to comply with multi-state taxes, such as sales taxes (including internet sales) and payroll taxes.
Business Valuations & Calculations
When starting a small business, taking the time to set up your record keeping system properly, right from the beginning, can in fact save you time and money along the way — and could make the difference between success and failure.
Business owners often need to have a preliminary value of their business prepared to make well informed decisions regarding ownership, buy and sell opportunities, succession planning and estate planning.
Calculations of value can be used for a variety of reasons and can be a less expensive alternative to a formal business valuation. Business valuations have required procedures, valuation methods and offer an opinion of value which makes these reports more appealing to third parties.
We help companies make the best decisions so they know how they are positioned in the market and can start trading from a target point. We carry out studies or reports such as:
- Management of internal use before marketing or sale
- Commercial property interest
- Calculation of an intangible asset (trademarks, copyrights, proprietary processes, etc.)
- Determination of economic damages from an event
- Assistance of lawyers in litigation
- Determination of the value of marital property
- Preparation of personal financial statements.
- For inheritance and gift tax purposes
- Rental Property Purchases
What Should You Expect from Business Valuation Services Provided by Our Business Advisory Team
The Calculation of Value report will:
- Identify the client and purpose
- Identify the subject of interest, sources of information used and valuation approaches to be used
- Identify the businesses degree of marketability
- Identify the purposed and intended use of the calculated value
- Identify the intended users of the report and the limitations of its use
- Provide a date of calculation
Our business advisors will evaluate your needs and discuss the different valuation approaches that can be used and the pros and cons to each method. Your custom report is prepared with the end use in mind and a summary explaining the findings.
Testimonials
Very Professionals and excellent service.
SUNNY BEAUTY SALON
Accurate service and professionals people.
Emir Designer
They are amazing accounters.
