A reliable budget will allow you to understand how to control your expenses: the organization will spend only when you are clearly aware that these expenses can be allowed. The budget will also allow you to see information about savings to create cash reserves for the company.
One of the best ways to manage a firm’s budget is to create a cash forecast. Such forecasts will be needed to plan financing and allocation of resources between different lines of business. We’ll introduce you to the basic steps that you need to take in order to use the forecasting capabilities to the maximum. Continue reading
The term “business fragmentation”
Before we talk about business fragmentation, I would like to decide on this concept, which today has become widespread both among taxpayers, tax and judicial authorities.
It should be noted that the concept of “business fragmentation” is not defined by any legal document. But, as a rule, all parties understand that the term “business fragmentation” means dividing the economic activity of an economic entity into parts according to some criterion in order to achieve certain goals. Continue reading
The problem of protecting business assets is acute and obvious. Since 2017, new rules of subsidiary liability have been working, the opportunity has arisen to foreclose on property, bypassing the bankruptcy procedure. And for the “abandoned” companies, too. The Federal Tax Service acquired exclusive powers to recover tax arrears, including from business beneficiaries.
All of the above indicates that the separation of property into a separate company in itself does not provide any protection at all. Continue reading