Small business owners in the lower middle market know tax season is more like 12 months of planning and paperwork. As the new year has brought new tax tips, any last-minute work ahead of April 15th could make things a bit busier for you and your business. Consider these tips if you are still working on taxes before the deadline.
First and foremost, planning is the first and most important step in the process. Taking the time to organize your paperwork and receipts cannot just be a tax season task. It’s important to stay up to date on everything every day of the year. If 2018 was not the best period for staying on top and organized, turn things around for the rest of 2019. With estimated quarterly taxes and monthly tax deposits due, sticking to a reporting schedule helps you avoid fines and late fees. It also helps to build better habits moving forward through the rest of the year and beyond. With a little planning, this can be a smooth habit to build on moving forward.
A part of that planning it to document everything you may need. The most important reason to keep proper documentation is to note whether or not you will be taking deductions. If you’re taking business deductions, make sure you have the receipts in either print or electronic form. If you’re audited and can’t provide proof of such deductions, you’ll face hefty fines that could cost you significantly. That’s not the stress you want on your schedule, especially because it could be a crucial, crazy time of the year in your industry, and this could throw things for a terrible loop.
Lastly, don’t try to take on everything yourself. Visit a CPA or use tax filing software that offers an accuracy guarantee. That means if you get stuck on something, there is someone to help guide you to a solution. That doesn’t mean that problems are completely out of the question; you still need to have everything documented that you plan on using. At the very least if a problem does arise, you’ll have resources to help fix the issue.
If this time of year makes you realize that your business may not be totally prepared to handle taxes, it may be time for some corporate advising. SA Capital Partners do not do your taxes, but they can help you to find ways to achieve your goals for your business. Whether that is M&A considerations or a talk about the ways in which to maximize your chunk of the lower middle market, let SA Capital Partners help you plan for a better year than you could have imagined.
About SA Capital Partners:
SA Capital Partners is an innovative financial services firm that specializes in mergers & acquisitions advisory and capital raising for lower middle market businesses. We aspire to give all the tools necessary to complete any transaction. SA Capital Partner’s financial services industry specialists provide comprehensive, integrated solutions to banking transactions. Our breadth of services and industry knowledge allow us to understand each client’s unique business needs. Our goal is to make all financial services available to every small business.