NEWS

March 28, 2019

Many of the changes for small businesses in the Tax Cuts and Jobs Act (TCJA) went into effect last year, and initial reports suggest that small business owners are seeing larger returns, despite the average taxpayer generally receiving a smaller refund.

The biggest impact of the TCJA is the introduction of a new major tax deduction. Available for qualified business owners at the head of "pass-through" organizations, such as sole proprietorship, S-corporations and partnerships, the tax break allows for the deduction of 20 percent of qualified income.

While that’s great news for many small businesses, there are some major caveats.

  •  According to the IRS, small business owners who file as single individuals can only take the deduction if their taxable income is less than $157,500. Those who are married and file jointly must have income less than $315,000. These limits are in place regardless of which industry the business operates under.
  •  “Specified Services Trades or Businesses” (SSTB) that deal "in the fields of health, law, accounting, actuarial science, performing arts, consulting, athletics, financial services" and other similar fields are unable to take the deduction if their income as a single filer exceeds $207,500, or $415,000 as a married filer. Instead, those business owners are eligible for a smaller deduction if their income is above the regular $157,500 and $315,000 thresholds but under the SSTB limitations.
  • The elimination of a large portion of the entertainment expense deduction. Up until the TCJA's passage, businesses of all sizes could deduct entertainment expenses they accrued while wining and dining clients. Taking clients out for business-related meals is still deductible at 50 percent. Promotional events are also still deductible, if the company's message is the focus of the event. In addition, gatherings for employees, such as a holiday party, are also still deductible.
Is your cash flow lumpy? That sounds like a personal question, but you know what I mean. Customers like to keep their own cash flow in the black and so you wait 30, 60 or even 90 days for them to pay their bills.       Money in the mail doesn’t pay your rent. Late fees can add up quickly. Your critical suppliers want to get paid.   And even if you have the option to carry a credit card balance, not being able to pay that down can feel like a slow death. So you juggle an already busy schedule to call, email,
August 18, 2015

Is your cash flow lumpy? That sounds like a personal question, but you know what we mean. Customers like to keep their own cash flow in the black and so you wait 30, 60 or even 90 days for them to pay their bills.   

 

So you’ve started your own company. Congratulations! Here’s a little advice I wish I’d been given when I was starting out:    1. Cash is King. It doesn’t matter how many customers you have, if they don’t pay you in a timely manner, you may not be able to pay your bills. According to the Small Business Administration, half of all start-ups fail within their first five years, primarily because they run out of cash.    2. Income is lumpy, expenses are not. Rent, payroll, taxes, utilities, loan payments and cre
August 15, 2015

So you’ve started your own company. Congratulations! Here’s a little advice if you are starting out:

1. Cash is King. It doesn’t matter how many customers you have, if they don’t pay you in a timely manner, you may not be able to pay your bills. According to the Small Business Administration, half of all start-ups fail within their first five years, primarily because they run out of cash.

 

When I got turned down for a business loan, I’ll admit I was a little hot under the collar. I may have said some things I didn’t mean, and meant a few I didn’t say. One thing I meant, and was about to do, was transfer all my deposits to another bank.  It’s pretty much the same all over these days when it comes to loans. Banks are limited in what they can and can’t do. But my banker went above and beyond to show me that she valued me as a customer. And her customer service saved the relationship.  So what wa
August 11, 2015

When I got turned down for a business loan, I’ll admit I was a little hot under the collar. I may have said some things I didn’t mean, and meant a few I didn’t say. One thing I meant, and was about to do, was transfer all my deposits to another bank.

It’s pretty much the same all over these days when it comes to loans. Banks are limited in what they can and can’t do. But my banker went above and beyond to show me that she valued me as a...

You’ve done the work. Why wait to get paid, when there are people out there willing to give you cash today for your customers’ promises to pay in 30, 60 or even 90 days.  Selling invoices for cash, how cool is that? Pretty darn . . .  Here’s the deal. TBS Capital Funding buys your customer invoices at a discount, giving you cash in exchange. They take the risk. You take their money to the bank – debt free – regardless of your credit history. It’s called non-recourse factoring, and it’s a pretty sweet deal.
August 09, 2015

You’ve done the work. Why wait to get paid, when there are people out there willing to give you cash today for your customers’ promises to pay in 30, 60 or even 90 days.

Selling invoices for cash, how cool is that? Pretty darn . . .

In this era of Internet commerce, electronic deposits and remote deposit capture, customers expect businesses to fill their orders yesterday. So why should businesses wait 30 days, or more, to get paid?  Business is good, but with all your money either tied up in inventory or awaiting customer payment, you may find yourself with a cash gap. It’s probably not a big gap. Most small businesses could make do with $50,000, or less. But it’s big enough to lose sleep over, especially with payroll, or a tax deadlin
July 25, 2015

In this era of Internet commerce, electronic deposits and remote deposit capture, customers expect businesses to fill their orders yesterday. So why should businesses wait 30 days, or more, to get paid?

Business is good, but with all your money either tied up in inventory or awaiting customer payment, you may find yourself with a cash gap. It’s probably not a big gap. Most small businesses could make do with $50,000, or less. But it’s big enough to lose sleep over,...

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