Identifying all the ways a business can conserve cash is my responsibility as a Part Time CFO performing CFO Services. Cash saving guidance for services I don’t perform is one such way. For example, when it’s that time of the year again, I always advise my clients to have an end of the year tax planning meeting with their CPA or Income Tax Preparer.
Exponentially more times than not, these year-end meetings help the business owner to reduce their current tax liability and conserve cash flow for the business. Most of the strategies revolve around purchasing fixed assets such as vehicles or equipment before the end of the year. However, especially for cash basis tax payers, there are other year-end strategies to discuss with your CPA or Income Tax Preparer; Paying as many expenses as possible before the year-end or the proper timing of year end bills, for instance.
Year-end tax planning sessions are something virtually every CPA and Income Tax Preparer offers. They can be done over the phone, won’t usually last more than an hour, and it will be the most profitable hour or less you have ever spent in November/December.
To help business owners through challenging times, a CFO should have as many resources as possible, and one of them should be a knowledge of good CPA’s and Tax Preparers to share with their clients. If you are currently looking for a good CPA, please feel free to contact me: