Creating an LLC

Creating a Limited Liability Company

 

Do you want to put a business idea into practice and set up a Limited Liability Company? You may already have basic knowledge on LLCs, but do you know the process of starting one, how much it costs, and how long it will take? We list the steps to take and provide with a checklist...

 

Types of taxes in the US: an overview

Types of taxes in the United States

 

Keeping track of taxes in the US isn’t exactly a piece of cake. There are so many types of taxes that it’s difficult to know which ones apply to you and your business. If you don’t file your taxes correctly with the IRS, it could result in penalties, which could cost your...

 

CRM tools: customer care made easy

CRM tools: software for customer care

 

Customer care is one of the corner stones of a successful company – whether you are running an online store or offering bank accounts. Even smaller companies can benefit from the use of CRM tools, which help to organize customer- or buyer data. These software systems automate and...

 

Business plan creation

Writing a business plan: here’s how to plan your venture

 

Before a business idea can be implemented, it is necessary to create a business plan. This serves as the founder’s roadmap, and summarizes all necessary information about planning and finances. However, the business plan is also highly relevant for investors as well as potential...

 

What is a small business?

Small businesses, explained

 

According to the US Small Business Association (SBA), a small business is a privately-owned and operated business with a small scale of trade and a small number of employees, depending on the industry. A small business can be an LLC, partnership, or sole proprietorship. There are...

 

What is a cash discount and how is it calculated?

The option to make use of a cash discount is an incentive for both customers as well as sellers to promptly pay an invoice. Offering a cash discount is not a requirement, but rather an act of goodwill on the part of the supplier or seller. The size of the cash discount and its deadline varies. In order to make use of a cash discount, it’s sometimes even advisable to take on credit with a bank...

How do you pay tax correctly as a freelancer?

April is usually the deadline for filing tax returns on the previous financial year in the USA. This process often leads to questions: How do I determine my earnings? What can be deducted? Which forms need to be filled out? What are the deadlines and extensions? Something that often escapes many freelancers is that sticking to some small organization and recordkeeping habits throughout the year...

Trial Balance: everything you need to know about stock

A properly prepared trial balance is the key to accurate company valuations and is also the basis of your annual balance sheet. For this reason, it is very important that there are no errors. Your trial balance should consist of a list of all assets and liabilities. But what exactly is a trial balance? We will explain what you need to look out for and show you an example of what your trial balance...

Annual financial statements – an overview of the financial year

For publicly traded companies, annual financial statements are due at the end of the year. This report allows you to present your company’s financial situation to the public, answering questions like: How high is your balance sheet profit? What is the composition of income and expenses? What risks will investors be taking if they want to work with you? Drawing up an annual financial statement will...

What is a P&L account?

In order to properly finalize an annual financial statement, most corporations must include a profit and loss (P&L) account, which, as its name already suggests, breaks down their profits and losses for a given financial year. However, we must ask what a P&L statement should really look like. We explain the procedure surrounding P&L statements so that you stay on top of all laws, methods, and...

Due diligence: definition and history of precautionary risk assessment

By definition, due diligence is pretty much risk assessment undertaken with great care. Anyone who buys a company, or has shares in a company or in real estate, should carry out due diligence procedures to protect themselves from unpleasant legal or financial consequences. Although this examination can sometimes be complex and expensive, failing to do so and paying the price later is usually more...

What is depreciation? Starting off with the basics

What does depreciation mean and what role does it play in a business environment? These questions are of great importance to entrepreneurs. Depreciation is often a closed book for business founders. To find out more about the basics, continue reading this article, in which we explain not only various depreciation types and methods of calculation, but also shed light on how to act with low-value...

Business plan software – the top picks for your business

Setting up a business involves a number of tasks and obligations. The development of a business plan, for example, is a must if you want to come across as professional to sponsors and other businesses. Business plan software, which is available both in free and paid versions, can help get you up and running.

Small business regulations and schemes –hints and tips

Starting something is often the hardest step, even if it is exciting. This applies to businesses as well, and as anyone with a background in small businesses or start-ups will know, you often need all the help you can get. By being tax-savvy, you may be able to provide your business with a leg-up in the beginning phases, by knowing what is tax deductible and what the available small business...

Recording a cash discount: how does it work?

What does a cash discount accounting record look like? Many entrepreneurs ask themselves this very question. If you know how to record a cash discount, it's easy. At first, however, the subject can cause confusion: What about sales tax? Do I book the discount as a discount? Should I choose the gross or the net method? We get to the bottom of the most important questions and show an example of an...