Accounting for Startup Companies

dreamstime_m_55316177New businesses have many accounting needs that are often overlooked. Many new business owners may not think to contact an accountant until they are already in operation. An experienced accountant’s support in developing a business plan, wealth of financial knowledge, and access to resources is necessary to the foundation of a new company. Whether you are a first time business owner or a seasoned entrepreneur, a dedicated accountant can provide a much needed service to a business owner as a consultant, offering critical financial advice and aiding in several crucial business decisions before a company begins operations. These decisions can range from choosing an entity type, financing the company, hiring key personnel, and record keeping. Additionally, a knowledgeable accountant can work with your attorney to ensure that all tax issues are properly addressed in your legal documents.

90% of startups fail within the first five years.* By checking each and every box in the correct order on an ideal startup timeline, your business will have a greater chance of succeeding. It has also been found that an entrepreneur who does not ignore anything has better odds of lasting longer than five years. Initial financial needs cannot be ignored. Let us provide you the tools and resources to help you reach the top 10%. Read more

linkedinmaillinkedinmail

Noncash Charitable Contributions

dreamstime_m_68107089The task of “spring cleaning,” a thorough cleaning of a house or room that can really happen any season, is one that many of us put off as long as possible. Though the chore of sorting through old furniture, clothing and household items no longer needed can be a thankless one to complete, the value of many items donated to charitable organizations can be deducted on your federal income tax return which means more money in your pocket and provides validation as a job well done.

To deduct the value of donated goods, the IRS requires that you keep a record of the donation. This includes the donation receipt from the charity, which includes the drop off date, and an itemized list of what was donated. One good practice made easier by technology: Use your smartphone to take a picture of the items, and of the receipt as a backup.

How do you know how much you can deduct on your return? First, make sure you are donating to a qualified, 501(c)(3), non-profit organization. Items must be in “good” or “nearly new” condition in order to deduct the donation on your tax return. The deductible amount is the current fair market value of the item. In other words, you can deduct the amount that you would expect to receive if you sold the item. Read more

linkedinmaillinkedinmail