Connect with us

Business

Money On The Move: 4 Pointers For Protecting Your Business Assets

One of the greatest feelings in the world is knowing that your company is making a profit. It is a sign that your vision and leadership have gotten over with both your employees and your customers. However, it is important that you know how to protect your newfound wealth after it has been created.

Money On The Move: 4 Pointers For Protecting Your Business Assets

Sign a Prenuptial Agreement

If you are married, account for business assets in a prenuptial agreement. This ensures that your company is not considered marital property to be divided equally in a divorce. While you may give your spouse a portion of the company, it is less likely that it will need to be sold or closed.

Have a Succession Plan

Your employees, shareholders and customers will want to know that there is a stable future ahead for your company. Creating a succession plan can help create the desired stability. When you decide to retire or are unable to run the company, your employees know that you still have a job while your customers know that they will get the same great product or service as always. Your shareholders are likely to remain invested if they know that the business is capable of making money after you are gone.

Have Business Insurance

The unexpected can come at you, well, unexpectedly. An injury occurring on your company premises, a natural disaster, or even a theft could set present a significant expense. Having insurance on your business can help mitigate all of these risks. If a person gets hurt on company property, you may be liable for medical expenses for that individual. If you have liability insurance then you won’t have to pay for those expenses out of your pocket. It may also be a good idea to incorporate or form an LLC as a means of reducing liability in the event a judgement is entered against the company.

Property insurance can protect you from both natural disasters and theft. Many insurance companies will offer discounted rates if you take additional steps to protect your business, such as newer fire suppressions systems, regular emergency drills, etc. You may also want to consider hiring a security company of some sort, such as Security Services Northwest, Inc. or a similar firm in your area. This is especially important if your business transports physical money between locations on a regular basis.

How Is Your Money Treated for Tax Purposes?

The owners pay FICA and other taxes on that money like they would when working for any other employer. However, it may also be possible to give yourself a distribution of profits, which is treated as ordinary income for tax purposes. It may also be beneficial to keep your net worth tied up in company stock that can be used as collateral for loans. The loans can then act as income but are not treated as such by the IRS.

The ability to provide financially for themselves and their families is the main reason most go into business. Therefore, it should be your top priority to think of ways to protect your assets and ensure that your wealth can be preserved for generations to come.

Recent Posts

Business3 weeks ago

Your Basic Guide To Creating A Unique Investment Blog

Starting your own blog is great and once you get the ball rolling, it can be a good passive income...

Business4 weeks ago

3 Low-Risk Ways To Get Your New Business Started

Once you’ve got an initial business idea and believe that it will be a success, there are some basic things...

Lifestyle1 month ago

Conquering the Co-free Zone: Tips for Thriving as a Remote Worker

Adjusting to an office environment can come with its downfalls in the sense that it might be a shock to...

General2 months ago

3 Ways To Take Control Of Your Finances Starting Now

If your finances have taken over and are bringing stress to your life, we understand just how overwhelming it can...

Travel4 months ago

Best Places To Visit In The North Of England

If you live in England, you will know there are many different places to visit for the weekend. There are...

General4 months ago

Green Home Improvement Ideas

In a world where environmental concerns are growing, the concept of “green” has gone beyond a trendy catchphrase and is...

Lifestyle4 months ago

How to Host an Unforgettable House-Warming!

The time has finally come. You have moved into your dream pad, and are officially adulting in your very own...

Autos4 months ago

A Guide to Parking Lot Striping

The journey to a well-striped parking lot begins with the right paint. In this brief guide, we’ll unravel the mystery...

Business7 months ago

Business Tips For Protecting Your Finances During A Recession

In 2023, taking the necessary steps to protect your finances for your business is now more important than ever. The...

Lifestyle8 months ago

Tips For Cleaning Your Trainers

If you’re into your trainers and streetwear, you’re likely to be very conscious of keeping them looking their best! So,...

Marketing8 months ago

Branding Trends For Start-Ups in 2023

Branding is incredibly important as it impacts how your business reaches and connects with its target market. If you’re branding...

Business8 months ago

Avoiding the Wrong Kind of Growth

Growth is vital for any business – some models, like tech start-ups, are built around periods of dramatic, explosive growth...

Business8 months ago

How To Become A Property Developer

There are several reasons why an individual will want to become a property developer. One of the main reasons for...

Tech11 months ago

What Is The Difference Between Cyber Attacks and Cyber Threats?

If you own a business that uses the cloud to manage workloads, you have probably heard of the terms cyberattack...

Marketing11 months ago

3 Types of Marketing Every Small Construction Business Should Do

Construction is a very saturated sector, whether you’re a large or small construction company, so marketing should be at the...

Categories

Archives

Trending