Kelowna, BC is one of the most desirable places to live in all of Canada. People from all across the country are regularly looking for an opportunity so they can move here. Most will come here and start a business or find an existing business to purchase.
The question I always get from my clients is “what is my business worth” or “how much should I pay for this business I am interesting in buying.” Let me start by saying I have certified business… Continue reading
As a Kelowna accountant, I meet with a lot of entrepreneurs that have a home office and they want to know how much of it they can write off at tax time. This is not a question with a cut and dry, cookie cutter answer. It is very dependent on exactly what your business is doing that requires your home.
Is This Your Main Office?
The first thing I always establish with my clients is to ensure that their home office is indeed their primary and only office. On the other hand, if you’re like me, I have an… Continue reading
Kelowna Accountant Ken Davidson Answers Your Questions
I’m sure I’m not the only Kelowna accountant who has been asked this question many times before and it’s not as cut and dry as you might think. As much as I would love to dive into relationship dynamics at the workplace, ahem, I’m going to maintain a perspective based on financial benefit to help you make a more informed decision rather than an emotional one.
If you have a spouse or partner that is not active in the business, please do not pay them wages. Wages are for people who are active… Continue reading
As a Kelowna accountant I often get asked by my clients if they should buy or lease a company vehicle.
The answer to this depends on the company and the individual using the vehicle. The difference between leasing and buying is often a cash flow and philosophy decision, versus a tax driven decision.
Determine what you can comfortably afford to spend each month on car expenses and work backwards. When you lease, your payments are usually substantially lower because they have a residual value depreciated from the vehicle, effectively making leasing cheaper than buying.
If you are an entrepreneur moving to the Okanagan or currently running a Kelowna business, you will be on track to massive growth by making a few changes to your approach. If you are experiencing great success in business already, then there is a good chance you already familiar with one or more of these strategies.
If your industry has a crowded market, then you need to rely on a unique or differentiating factor that helps you stand out. You are the same as everyone else. Why do your customers want to come to you instead?
Keep… Continue reading
Many Kelowna business owners ask me how much money they should draw from their company. I’ve seen many people before coming to me rack up hefty amounts of personal debt while putting their business at extreme risk and taking out more than it can sustain to maintain their lifestyle.
The bottom line is that if your business cannot support your lifestyle, then there needs to be… Continue reading