As the end of another year comes to a close and you are getting ready
for your plans for 2021 you may be evaluating are all your assets
In today’s uncertain financial climate, is there any way to be sure your assets are fully protected? Many business owners, and those who may be considering a startup venture, are unaware of hidden risks that can erode or even erase everything they’ve worked for with virtually no warning.
We’ve found a solution that will help you feel more confident going into 2021 by establishing a complete foundation for your business and personal assets like real estate or investments. The best part is that takes less than 30 minutes of your time!
…the FIRST STEP is to STOP operating as a sole proprietorship.
You want to escape the sole proprietorship trap for many important reasons.
Since the tax year end is only a few weeks away it’s very important that you touch base with your CPA/accountant to see if there are any last minute tax planning strategies you should implement in December – not in January when the year is over and your chance to reduce your tax bill is gone!
It’s a safe bet that you started your business to succeed and make money, not to add stress to your life and lose money.
To cut to the chase, operating as a sole proprietorship is NOT the fast track to success – in fact, it’s the shortest path to join the 95% of businesses that fail in the first 5 years.
Investing in a powerful tool and not using the tool properly does not make a lot of sense. I know when it comes to running a business, it requires multiple hats to wear, and very often, you are off and running on 10 different projects, calls, appointments, presentations…and perhaps the very foundation of your business…
The only purpose of a business is to generate profits. As you know it is not to generate more net income, more clients, leads, opt ins…it is certainly not to work longer hours, see your family less and have more stress and lose money (unfortunately, that is what most experience). If we start with the premise that the focus of your business is to generate a profit, what is the best way to get there in 2021?
Here are the Top 5 Areas where Your Assets May be Exposed:
Make it Official. Operating as a sole proprietorship or general partnership sends a message that you are still “testing” your business, or that you’re not sure you’ll really make it. Perhaps your accountant told you that incorporating is an unnecessary expense or that it won’t help you save on taxes due to an expectation of low profits. This is the WORST marketing message you can send when you want to attract new clients and partners to your business, who want assurance that you’re about your business and here to stay.