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Guest-5ty5s4
Guest
I understand. That's how lots of businesses grow - by not taking profit to the owners. If you pay yourself everything, you won't have anything to invest on getting bigger.Thank you!
Ya that's what I need to spend some more time doing. My partner and I want to pay for as many things as possible to reduce our taxes but at the same time need a baseline for the employees to shoot for. If we start to take more because we're profiting more it's not really fair for their bonuses. I think we'll need to set our goals for things we want to write off, then find the profit percentage we were able to accomplish last year minus those expenses, then use that percentage as a baseline. There shouldn't be any bonuses for achieving the status quo from last year. The goal is for the employees to be vested to help improve the company and benefit along with the company.
Orrr we can separate our expense items completely in a different chart of accounts on the P&L. However that would be hard using QBO sending the automatic reports showing the profit percentages of the company (it would include the expenses even if they are separated out).
I'm just curious what the numbers are, because you could already be above $1 million per year when you add up all of the "seller's discretionary cash flow." Even if it isn't going straight to you
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