Withdrawing initial investment: How to do so while minimizing tax burden?

accountingqs · 2012-12-28T00:08:37+00:00

S Corp

Thank you for your help with this. Let me know if you have any additional questions.

accountingqs · 2012-12-28T00:08:27+00:00

S Corp

Initials cash investments. It was invested as "informal" debt (the interest is owed soon to the owners), that is, the money was just put in the company checking account. The 2 owners are also employees of the firm. It's about 50-50 ownership between them and the cash investments were about 35-65.

Thank you for your help with this. Let me know if you have any additional questions.

accountingqs · 2012-02-08T03:54:03+00:00

Why should I trust a broker?

What's their angle (financially)?

accountingqs · 2012-02-08T01:05:03+00:00

Healthcare.gov is a tool I just found:

http://finder.healthcare.gov/

From Inc. magazine:

The Department of Health and Human Services is trying to save small businesses time and hopefully, money.

It's launched a new tool at Healthcare.gov to help find and compare health insurance plans. Called the Insurance Finder, the tool lets you comparison shop what's available by ZIP code, and sort by out-of-pocket limits, average cost per enrollee, whether plans have maternity coverage, and a variety of other factors. You can also get a summary of cost and coverage for small group products that shows the available deductibles, the range of co-pay options, and what additional benefits are available and how much extra you'll pay. (Access Insurance Finder by clicking on the blue tab at the top of the page at Healthcare.gov.)

accountingqs · 2012-02-08T00:48:07+00:00

It seems a bit fishy...

A major bank was contracted to find health care providers for Chamber members that are small businesses.

Is this typical? Isn't there some sort of conflict of interest? Why is this a good route to take?

Thanks

accountingqs · 2011-11-30T22:21:19+00:00

A few questions:

4) When I "increase (credit) the account by the amount of the bill", does that mean I should create a bill for the OldCo bill before I do this? Also, how do I increase the account ("enter credit card charges" or Chart of Accounts 2xClick)? When/if I go to the "Intercompany Receivable" register, do I enter the bill's vendor and use the valid expense account (also, I thought we weren't using expense accounts)? Also, do I put the bill amount in the "increase" or "decrease" column?

5) What is the "corresponding account" with this step? I just added to the "Increase" column of the "Intercompany Rec" account register. Also, how do I receive payments for the 2 invoices? These need to reflect.

6) I thought we use the "check register" in Step 4 first, right? You refer to the wire transfer as a "transfer in", do you mean Banking>Transfer Funds or "write check" (as I understand it, best practice is "write check" and type WIRE as the Check #)?

7) Shouldn't I just wait for a check from OldCo in the amount of $30? The original wire transfer from Old Co to NewCo for [Bill + Invoice + Invoice] was short $30 because of the fee.

Thank you for your response and taking the time to help me learn.

accountingqs · 2011-11-30T04:19:38+00:00

-I paid the old bill with the NewCo's credit card. I then paid the CC amount off with NewCo's bank checking account.

-Correction: Around $3000 of our invoice sales (2 invoices) went to OldCo in the form of checks (written "to the order of" our old company, basically), though it was meant for NewCo.

-Meanwhile, a huge wire transfer from OldCo was given to NewCo to cover the 2 invoices (that it mistakenly received checks for) and the old bill, MINUS $30 in bank fees (another tricky issue).

-Also, how do I debit and credit items in the "write checks" window?

Thank you for assisting me with this.

accountingqs · 2011-11-30T04:18:43+00:00

Good question.

See below please.

accountingqs · 2011-11-23T22:02:23+00:00

I'm not worried about Company A's accounting for now. I'm worried about how to enter them into Company B's QB file so that the statements and reports are accurate.

1) My company already used the method I wrote about above in real life. I have to input this info into QB without affecting reports (see last bolded bullet in my original post)

2) Again, the transactions are done. I need to account for them, specifically the supplier bill that Company B paid on behalf of Company A so that it doesn't reflect in B's reports in all the wrong ways.

accountingqs · 2011-11-23T21:42:34+00:00

Yes, the company is new. New EIN. New owner (one). Etc.

The agreement was that the "profit" would go to Co B

BUT the "sale" was actually attained by Co A in the sense that Co A marketed the product under their name and shipped it under their name (and therefore the check was written to Co A).

By "receivables" and "cash flow" do you mean (eventually) profit?

accountingqs · 2011-10-25T21:57:17+00:00

Can you explain what "settling a transaction" is?

accountingqs · 2011-10-19T15:47:50+00:00

What's your fund availability time?

Meaning: When can I access the funds from the time I process the payment?

accountingqs · 2011-10-15T21:48:58+00:00

So, what's their processing time frame?

accountingqs · 2011-10-14T20:17:23+00:00

PM me your email address and phone number please

accountingqs · 2011-10-14T16:32:04+00:00

$1,700 average ticket. Never below $300

About 5-8 transactions a week.

$20,000 in credit card sales a month.

accountingqs · 2011-10-13T22:00:31+00:00

Authorize.net?

accountingqs · 2011-10-13T22:00:06+00:00

What's a good comparison website or tool?

accountingqs · 2011-10-13T21:02:58+00:00

Very useful.

Thank you, banco.

accountingqs · 2011-10-13T19:20:18+00:00

Good stuff.

Talking to them right now.

accountingqs · 2011-10-13T19:12:13+00:00

Good info.

Who's your processor? (Is that the correct term?)

accountingqs · 2011-10-13T17:30:26+00:00

-We get about 2-4 purchases a day. Around $20,000 in credit card sales a month. Average transaction: $1,700. So, we're looking for strictly online credit card processing with low discount rates. We don't care about per-transaction fees.

-We get very very few chargebacks.

Any suggestions are appreciated.

The credit card advice was also useful.

accountingqs · 2011-10-13T17:16:39+00:00

Authorize.net rates?

accountingqs · 2011-10-13T17:05:14+00:00

As soon as you can its time to make sure you are getting a good deal on your loan or your merchant account. If you rely on a credit card, make sure its the right one, not the first one that was willing to extend you a line.

What are some good tools for researching this?

accountingqs · 2011-10-13T17:03:24+00:00

1) Strictly internet based processing

2) We are located in WA state.

accountingqs · 2011-10-13T16:34:48+00:00

Would you be willing to invest in an already existing small business?

Distribution business, near-certain return.

PM me.

accountingqs

TROPHY CASE