1. Do you need a registered business before you start to claim taxes?
Registering as a sole proprietorship, freelance etc. is the cheaper route of paying taxes because it goes into your personal taxes instead of registering as a corporation. (if you are a corporation, you can protect your personal name & finances in case you get sued or other issues)
2. Does every business owner need an accountant? If so, when is the best time to get one?
It’s good to have an accountant or bookkeeper on board, especially if you are not good with numbers and keeping up with receipts. It is good to have monthly meetings to keep on top of finances.
3. Should business owners expect to pay taxes in the first years of business?
You will most likely be paying taxes in your first year of business
4. What happens if a business makes no money or takes a loss? How does that affect business taxes?
If you are registered as a corporation, you must report ALL income, even if you made no income or negative income, every time
5. When is a good time for small businesses to incorporate?
Once you have to start adding sales tax, it is an excellent time to consider your business becoming incorporated
6. What are some of the top apps/tools for managing small business finances?
QuickBooks, Excel, Freshbooks, Wave Apps are great tools to keep expenses & receipts; Also having an old-fashioned binder to keep physical papers and receipts.
Kamille’s most important advice for new business owners?
** HAVE A SEPARATE ACCOUNT FOR YOUR BUSINESS **