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Posts from the ‘Small Business’ Category

Craving A Little Company: Things to Consider When Deciding Whether to Incorporate (Part 1)

Other than popping ‘the question’ to that special man or woman in your life, deciding whether or not to incorporate your business may be one of the most important decisions you ever face. Although I suggest that you get professional advice based on your personal circumstances, here are some of the things to consider before taking the plunge. Rather than trying to ram this down your throat in a single article, I’ll nibble away on this topic a little at a time over the coming weeks. Today’s morsel shall be on companies and liability protection.

Incorporating and Limited Liability

A company is treated as a separate person for most legal purposes. As a result, if the company runs into legal problems and has been clearly representing itself as a company so that everyone is forewarned, the business owners may be able to protect their personal assets from being exposed to the company’s creditors. Accordingly, even though your business might become a thing of the past, you may still be able to hang on to your home and other personal assets.

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Cash Damming – Robbing Peter To Pay Paul (And Writing It Off, Too!)

Introduction

In my last blog, I laid out the principles behind deductible interest, along with a few suggestions on how to organize your affairs so that you can increase the size of your tax refund to pay down your debts sooner. It is now time to up the ante and discuss some of the more advanced techniques available. Today, I’ll focus on a technique that is primarily used by unincorporated business owners: cash damming.

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