StartUp Business Photo by Jud Mackrill on Unsplash

Entrepreneurs across America believe in the beauty of starting their own businesses. However, the startup and the taxes often cause people to stop in their tracks. Don’t fret! We want you to excel and bring your dreams to life. We have the right experts to lead you on the right path for your business. We can help you today!

First things first: what type of business are you looking to create? What industry? How you structure your business is important for what forms you will need for taxes. There are different tax forms for sole proprietors (Schedule C or 1099 MISC), LLC’s (1065), independent contractors (1099), non-profits (990 or 990-PF), etc.  Let’s be clear though, startups, just like all businesses, need excellent paper-keeping skills. The more you keep track of all your business transactions, needs, etc., the better off you are in the long run. Don’t worry, we can help you with all of it. 

Once you’ve decided on what business structure you need, the next step is checking all financial records. Once again, record keeping and organization are key for your paperwork.

Let’s introduce a few startup business tax terms:

Profit and Loss (P&L) indicates how much money the business or you earned or didn’t earn throughout the year including expenses.

Payroll Statements, which is what you paid your employees if you had any, and their wages and deductions. You’ll also need to have your credit and banking statements, as well as all invoices and receipts from the startup needs/transactions.