After years of hard work and dedication, you’ve built your business from the ground up, and now you’re thinking about retirement. It’s a choice that brings with it many positives and negatives, and many small to midsize business owners have been so busy working that they haven’t considered the next step. It’s never too late to develop a plan for retiring and making a list of goals and plans can help you make a clear and accurate choice. It’s important to remember that retirement can have an emotional impact on your life - leaving your life’s work behind to start a new stage can stir up different feelings. Talk It Out A decision like retirement can be difficult because you’re too involved - and you should consider creating a board of advisors for help. This group should consist of professionals who don’t hold a personal interest in your business - unbiased advice and insight can help you make a wise decision that’s not colored by your emotions. Plan It Out If you’re seriously considering retiring from your business, the first step should be to ask yourself a few questions. Do I have enough savings to support myself and others once I retire? What do I want to do when I retire? Can the business continue to run when I’m gone? Am I planning on handing off the business to my partner or family member? Answering these questions honestly can help you gain a clear idea of what your life will look like after you retire, and what steps you need to take to make it happen. You may want to move to a new state and pursue other interests - or you may have plans to start up a new business that doesn’t require a great deal of your time. You may want to consider appointing a successor, and that transfer can take time and require professional help from accountants, bankers, and lawyers. Depending on how you want to live in your retirement, you can structure this succession so you still have a say in how the business runs, without having to commit a great deal of your time. Work It Out Once you’ve decided to retire, you’ll need to work with your financial and legal advisors to ensure that everything is in order. This includes the current state of your business in regard to finances and future growth plans. This piece of the puzzle can be complicated and require a team of professionals representing different skill sets. They will all need to work together throughout this process to make sure that all of the necessary information and contracts are in proper order. Scratching the Surface Retiring from your business takes a great deal of effort and planning. Collecting the right information from the start helps to keep the process on track and moving in the right direction. Taurus CPA Solutions can help you prepare to retire from your business. Our team of professionals provide expert services and act as a resource for all of your questions. Contact us today via our website or call 410-465-4600.

Tips On How to Budget for Your Small Business

An accurate, well designed and planned budget for your small business is vital if you want to grow and succeed.



While a budget contains a great deal of information and effort, it has three basic functions.

  • Forecast what your business is expected to earn
  • Enable you to plan where you will spend revenue
  • Provide a contrast between what you plan for and what actually occurs


Of course, these three areas require different data sources and formulas in order to create a clear and concise picture of where you are and where you are planning to go. Developing a budget begins with a review of key areas.


Estimate Your Revenue

This can be a tricky exercise because you don’t want to be either too aggressive or too conservative. Review your revenue for the past several years and conduct research into your industry and where the experts say it’s going. You should also take a look at the local and national economic predictions. Still confused? Industry averages are an excellent benchmark.


Fixed Costs

These are the costs that you incur every month – utilities, salaries, insurance, and any professional services. While you’re reviewing these costs, you can also consider which ones can be cut and determine if there are some that you don’t need. Reach out to your service providers and inquire about discounts or special deals to help cut costs.


Variable Costs

Unlike fixed costs, variable costs can be harder to predict because of their nature. The costs that fall into these categories can include your inventory, raw materials you may need to purchase, services that are vital to your growth, and other necessities such as travel and credit card costs. Salaries can also be included as variable costs for departments such as production and manufacturing.


Single Costs

Over the course of a year, you may have to purchase additional office equipment, machinery, even furniture. While it can be difficult to predict what specific items you will need, setting aside a portion of your budget will help lessen the impact of these investments.


Cash Flow

What’s coming into your business and what’s going out? This part of your budget requires a great deal of attention. Take a look at your company’s past performance and be sure to identify larger inflows and outflows that were anomalies and have a slim chance of happening again. Cash flow should be monitored on a weekly or monthly basis – it’s the lifeline of your business.


How much do you plan on making in the upcoming year? In this part of your budget, you can underestimate to help build a cushion. This way, if you exceed your estimates, you can park this money in a savings account or reinvest it into your operation.

Don’t forget to monitor your profit margin as the year progresses – if you’re making less revenue than your expenses, it’s time to consider cutting costs or moving money into other efforts like marketing and advertising to boost your business.


Scratching the Surface

Creating and maintaining a budget can be time-consuming, but it’s one of the most important areas of your business. Before you begin – or even during the year when your budget is encountering problems – Taurus CPA Solutions can help.

Our team of professionals provides expert services and acts as a resource for all of your questions.

Contact us today via our website or call 410-465-4600.

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