FUNDAMENTALS– Isn’t it interesting when the sports analyst mentions that an NBA player has amazing fundamentals. Fundamentals are not fun or exciting like Michael Jordan flying through the air, oops meant to say Lebron James. But, fundamentals are extremely important.
We receive many phone calls each day from business owners needing accounting/tax assistance. If we get a call and the new business owner wants an exotic multiple LLC setup or other fancy tax tricks, we know there is a good possibility they are broke or have IRS tax debt issues.
Be careful who you listen too! It is not recommended to take tax advice from your hair dresser ?
On the other hand, our business owner clients that that are making annual revenue of $1 – $2M or more, know what an ESTIMATED TAX PAYMENT is, and we don’t have to convince them the importance of making them.
They know what a W2 is and they pay tax through both methods. They follow up on having their books clean each month and bank accounts reconciled. And most importantly, they don’t have scary amounts of tax debt.
MASTER THE FUNDAMENTALS!!!!, The IRS does not play. Complete monthly accounting, bank reconciliations, estimated tax payments, have a W2 and S Corp as a business owner. If your business is earning $3m or more consider multiple entities with a C Corp. Have fun and let’s push it hard!
Josh Simpson, CPA, Owner of Simpson & Simpson Accounting
-Iraq Veteran turned CPA fighting for your business-