In recent years, stablecoins have emerged as a new way for businesses to make global payments. A stablecoin is a type of cryptocurrency that is pegged to a stable asset, such as the US dollar or gold, in order to reduce price volatility. This makes stablecoins an attractive option for businesses that want to make… Continue reading Stablecoins for B2B payments
Promissory notes may also be called an IOU, loan agreement, or simply a promissory note. It is a legal loan document that says the borrower promises to repay the lender a certain amount of money within a certain period. Such a document is legally enforceable and creates a legal obligation to repay the loan. When… Continue reading What is a Promissory note?
Schedule K-1 is IRS Form 1065, U.S. Return of partnership income, schedule. Partners in a business partnership report their share of the partnership’s profits, losses, deductions, and credits to the IRS. You complete a Schedule K-1 as part of your partnership tax return, Form 1065, which reports all of your partnership’s net income. Partnerships are… Continue reading Everything you need to know about Schedule K-1 Tax Form
When operating as a small business owner, it is important to pay attention to all tax reporting laws and regulations. Business owners who sell products may be required to collect and pay sales taxes. Although it sounds complicated, it is often much easier than you think, especially if you use VAT software or vendors. Here’s… Continue reading What small business owners should know about sales tax
Once you understand how audits work, they become more uncomfortable than scary. We’ll cover that first, then move on to ways you can avoid an audit—and how to make the process easier. What is an audit? When the IRS audits your business, it audits the books as a whole. This means reviewing your financial statements… Continue reading What is an IRS Audit and How to prevent one.
When you receive a letter from the IRS requesting a tax audit, your first reaction may be complete panic, especially if you have a sloppy accounting system. Once you have determined that you have the correct letter from the IRS, remind yourself what an audit is and what it is not. An IRS audit is… Continue reading What Happens If You Get Audited And You Don’t Have Receipts?
FIFO stands for “First In, First Out.” It is a method of inventory valuation that assumes that the first items that are added to inventory are the first ones sold. Under the FIFO method, the cost of goods sold is determined by using the cost of the oldest units in inventory first. This means that… Continue reading What is FIFO?
As a CFO, you are responsible for managing the financial risks faced by your company. One of the key risks that you must manage is currency risk, which is the risk that changes in exchange rates will have an adverse impact on your company’s financial performance. Currency risk can arise from a variety of sources,… Continue reading What is Currency Hedging?
Form 1096 is a crucial document for small business owners in the United States, serving as a summary transmittal for various informational returns filed with the IRS. In this comprehensive guide, we will delve into the details of Form 1096, providing small business owners with a clear understanding of its purpose, requirements, and how to… Continue reading How to fill out Form 1096
Embarking on the journey of establishing and managing a small business in the United States is a remarkable endeavor, marked by passion, hard work, and unwavering dedication. However, the reality of entrepreneurship also involves being prepared for unforeseen challenges, including the prospect of dissolving your company. In this detailed guide crafted specifically for small business… Continue reading How to dissolve a company(2024)