When starting or purchasing a business, choosing the right business structure is crucial to ensure you maximise deductions, minimise taxes, protect your personal assets and have the flexibility to distribute profits as you see fit. At our firm, we can help you understand the different types of business structures and select the one that best suits your needs.
Here are some of the benefits of having the right business structure:
- Maximise deductions: The right business structure can allow you to claim more deductions on your tax return, which can reduce your taxable income and save you money.
- Minimise taxes: Choosing the right structure can help you minimise the amount of tax you have to pay, which can have a significant impact on your bottom line.
- Protect your personal assets: Some business structures offer greater protection for your personal assets, shielding them from any potential liabilities that may arise from the business.
- Provide flexibility on how to distribute profits: Different business structures offer different options for distributing profits, which can be important for tax planning and cash flow management.
- Help your succession plan: Having the right business structure can make it easier to transfer ownership of the business to another person, whether through sale or inheritance.
- Reduce business risks: Choosing the right structure can help you minimise the risks associated with running a business, such as legal liabilities or bankruptcy.
- Maximise your borrowing capacity: The right business structure can also help you maximise your borrowing capacity, making it easier to access finance when you need it.
The most common types of business structures include sole trader, company, partnership, and trust (family trust, unit trust or hybrid trust). Each structure has its own advantages and disadvantages, so it’s important to consult with us to work out the best structure for your specific situation.
Our services include:
- Providing advice on the different types of business structures available and which one may be best for your needs.
- Assisting with the setup of your chosen business structure.
- Providing ongoing support to ensure your business is compliant with all relevant laws and regulations.
- Reviewing your business structure regularly to ensure it still meets your needs as your business grows and changes.
With a local presence, we are proud to provide our services to businesses in Bentleigh and surrounding suburbs such as Brighton, Moorabbin, McKinnon, Caulfield, and Oakleigh. We can also assist clients across Australia and greater Melbourne with all their accounting needs. Contact us today to learn more about how we can help you select the right business structure for your needs.