With all the great deals we are being inundated with coming from the United States, the pressure is on to figure out the best real estate investment strategies while the deals last. Ken Davidson, local Kelowna accountant, gives his insights on assessing the quality of a “great deal” in real estate.
We have all seen and heard about the great deals coming from south of the border but is buying that property really what you want to do?
Whatever you do, you always have to make sure that it’s still a good business decision on your behalf. I have… Continue reading
I generally don’t recommend RRSP contributions for business owners because of the restrictions in the investments that can be made within an RRSP and that the minimum amounts that have to be withdrawn in retirement are out of your control. What I recommend for business owners is to have a holding company for their investments and they can hold the exact same investments that they hold in their RRSPs, if that’s what they want to invest in.
The business owners do not have to withdraw cash from… Continue reading
Obviously increasing cash flow in your business is extremely important. Without enough cash flow, you’re going to have problems. The businesses that generally run into cash flow issues are those that require significant amounts of inventory. For example, the service industry very rarely tends to have a cash flow problem other than collections.
Come to think of it, let’s talk about collections because that is the first way you can start increasing cash flow.
Are You… Continue reading
Here is a question I received recently via email. It’s a popular one for every Kelowna accountant so I suspect that many of you will find this helpful in clarifying the process. The timing is excellent, to say the least.
A business owner needs to challenge their advisor to look at their current structures and review it based on tax reasons. Remember that you can’t make all business decisions based on tax alone. In fact, most structures and business decisions are not made because of tax reasons at all.
Quite simply, the easiest way to ensure you aren’t paying too… Continue reading