3 Cost-Control Ideas for Small Business.
Fernando Gomez, CPA
Jackson Heights, N.Y.
fgomezcpa.com.
1. A business should have appropriate insurance coverage. Consider increasing the insurance deductible, where permitted, on all types of business insurance in order to reduce the premiums paid.
2. If the business has employees then it must maintain workers’ compensation insurance. Consider paying such insurance on a monthly basis throughout the year based upon actual payroll figures instead of paying based upon payroll estimates, which can be higher.
3. Consider the “Installment method” when selling a small business. Reporting the sale using this method can save significant amount of taxes, and can provide flexibility for both the seller and buyer.
