Support for small business owners
(NC) The small business community is the backbone of the Ontario economy, but running a small business successfully doesn't come without its challenges. While your operation can be very rewarding with the right financial resources in place, consider sharing the workload with someone as committed to the success of your business as you are, such as a certified general accountant (CGA).
Your accountant should provide both the knowledge and skills that go beyond traditional accounting services, such as the preparation of financial statements and tax and audit activities, to see the big picture and provide the financial expertise to identify opportunity. Remember, every aspect of your business has the potential to strike a high return on investment. Here are some key areas where a skilled accountant can lend a hand to drive success:
The Essential Business Plan Think of a business plan as a road map to success and plan accordingly:
• anticipate challenges and opportunities;
• determine how your business can grow;
• identify strengths and eliminate weaknesses.
A Beneficial Business Structure
Most organizations have three forms of business structures from which to choose: proprietorship, partnership and corporation. The business structure you choose will determine the taxes that you pay and your legal liability. The right business structure will maximize the potential of your business and help you avoid surprises at tax time.
From the moment you hire your first employee, you must:
• consider compensation plans;
• maintain payroll information;
• meet employment standards;
• understand labour and tax law.
Simply meeting the needs of employees can be a full-time job, and failing to comply with just one of the many regulatory requirements can be costly. Protect yourself, your business and your employees.
Good Record Keeping
The law requires businesses to maintain books of original entry, sufficient to determine that all taxes have been collected, paid and assessed. Additionally, your business needs to keep records so you can measure your progress and identify opportunities to grow.
A well-designed system saves time and money, and provides quick access to the information necessary for day-to-day decision making.
Mandatory Tax and Payroll Deductions
Retail sales tax (RST), goods and services tax (GST) and payroll deductions are held in trust for government agencies. These taxes and deductions must be remitted — on time and in full — no matter how tight the cash flow of your business. The penalties imposed for failing to remit can be significant.
The Banker Is Your Ally
Help your banker to understand your business by providing detailed, timely and pertinent information. When your banker is your ally, your ally is a small business asset.
Whether you want to sell or bequeath your business, it's never too soon to consider how to fulfil that intention. Making the right decisions today will help ensure that you can exit your business knowing that your needs have been satisfied.
Word count: 472
Attention editors: These articles are for distribution in Ontario only.
Articles are provided free of charge. Articles appearing on web sites, must credit www.newscanada.com. Articles appearing in Print, must credit News Canada with (NC) at beginning of an article or – News Canada at the end. Any source/sponsor of the information quoted in the text must also be identified as presented. Images are only to be used with corresponding editorial copy. Usage of News Canada articles constitutes your acceptance of these terms and an agreement between you and News Canada.
Image Instructions - Note: Illegal to use without News Canada editorial.
To open/download image(s) used in this article, please click the following links:Click here for image file: «78907H.jpg»