29 06, 2022

3 Business Financial Reports Every Business Owner Should Know and Understand

2022-06-29T14:07:32-05:00June 29, 2022|0 Comments

Sometimes when it comes to business accounting, it’s good to start with the basics. Let’s review three business financial reports every business owner should know and understand as part of the essentials.

The basics

Before we jump into the first of three business financial reports every business owner should know and understand, we need to share the basic accounting formula.

Simply put, the accounting formula is Assets = Liabilities + Equity. To further clarify, we’ll briefly share what each element is.

First, assets refer to items such as bank accounts, fixed assets and accounts receivable. Secondly, liabilities include things like credit cards, long-term notes and accounts payable.

Lastly, equity is capital contributions, dividends and distributions. With these basics explained, we can move onto the first of the essential financial reports.

Balance Sheet

The balance sheet is a report that summarizes all of a company’s assets, liabilities and equity in two columns. The first column reflects assets with the second column showing liabilities and equity.

Generally, the balance sheet is created around the end of a specific time frame. For example, they are often produced quarterly or annually.

Ideally. total liabilities and equity should equal assets. Hence, the two columns represented on a balance sheet should match.

Income Statement

Next up, income statements. An income statement basically reflects the business’s income and expenses. The three main elements on this report are revenue, expenses and profit.

The income statement can be referred to as a profit and loss statement as well. Like the balance sheet, it is produced at a specific time such as monthly, quarterly or annually.

Projected Cash Flow Statement

Finally, the third must-have financial business report is the projected cash flow statement. Typically, this report illustrates a list of expected cash flow—both inflows and outflows.

Once again, it also involves a specified period of time. Usually, projected cash flow statements tend to reflect a 12-month period. Items included in the projected report are your opening balance, sales, expenses, uses of cash and a closing balance.


Now that we’ve covered the basics of three business financial reports every business owner should know and understand, are you left with more questions? That’s what we are here for! Schedule your free consultation today to discuss in greater detail these essential business reports and much more. For more industry news and guidance, keep reading our blogs.

27 05, 2022

S Corp vs. Sole Proprietorship Taxes: Explaining the Differences

2022-05-26T16:54:26-05:00May 27, 2022|0 Comments

Let’s get down to the business of starting a business. There’s much to consider before launching a new business, including how it’s structured. To get started, we’ll look at S corp vs. sole proprietorship and what makes them different.

What’s a sole proprietorship?

Basically, a sole proprietorship is owned and operated by you—the sole owner. In a way, this is business at its simplest. You are a self-employed business owner. All business assets belong to you. You make all the business decisions.

On the other hand is the big risk. You may be solely responsible for any damages caused by negligence. With sole proprietorship, there is generally no personal liability protection. If you decide sole proprietorship is best for you, you might want to consider liability insurance.

What’s an S corp?

A sole proprietorship can be organized as an S corporation with a sole owner. However, you would be considered a shareholder. But with sole ownership, you would still act as the president, executive and business manager.

The main difference between an S corp and sole proprietorship is the limited liability protection for shareholders. (There can be up to 100 shareholders; limited to individuals) Generally, shareholders are not responsible for corporate debts.

However, there are loopholes. That is one among many reasonswhy working with a team of experts who are familiar with the ins and outs of setting up a business is a good idea.

At Todd Greene, C.P.A., we start with listening to your needs. Then we offer guidance, answer your questions and work together to create what’s best for you and your business.

Tax time

In terms of taxes and S corp vs. sole proprietorship, think of it this way. As an S corp, the business owner pays FICA and income taxes on a “reasonable salary” and income taxes on distribution.

With a sole proprietorship, the business owner pays self-employment taxes and income taxes on the net profit of the business. Sole proprietor tax reporting is more streamlined and simpler.

Another important point is that LLCs can be taxed as either S corps or sole proprietorships.

Below is a table comparing the two in a basic scenario to help clarify the tax differences between them.

S corp vs. sole proprietorship


When it comes to S corp vs. sole proprietorship, this is just the tip of the iceberg. If you are ready to discuss the details, we are ready to listen. It starts with a free consultation. Keep reading our blogs for more money matters, tax planning and other financial information for businesses and high net worth individuals.

28 04, 2022

Exploring Todd Greene, CPA’s New Business Planning Services

2022-04-27T21:05:52-05:00April 28, 2022|0 Comments

Are you kicking around the idea of starting your own business? If you are ready to take your idea next-level, start by exploring Todd Greene, CPA’s new business planning services before jumping in the game!

Starting a new business

We get it. Starting a new business can be exciting and thrilling, but it can also be overwhelming. We’ve all heard the old saying, “The devil is in the details.”

That’s why exploring Todd Greene, CPA’s new business planning services should be number one on your to-do list.

A solid foundation

Our team of experts is ready to consider every detail of your proposed business. Then we can begin to help you get organized.

This includes deciding how you want to structure and legally set-up your new business.

We can review and explain the various types of business entities and what each would mean for you and your business in terms of taxes and more.

Strategic tax planning

Again, our experts stay on top of the latest developments and regulations when it comes to new business ventures.

We can help you maximize your profits while minimizing your tax liabilities, for instance.

Setting up accounting services

Start your new business on the right foot when you know we’ve helped you correctly structure important aspects such as payroll, Social Security and insurance from the beginning.

Securing funding

Struggling to secure funding? We can help with that too. From reviewing your business plan to structuring your existing finances, we’ll help you present the information clearly to those who can help you move forward.

Growing your business

Did you know you can incorporate in a state other than your own? We can explain why this might be a good idea—and we can help you expand your business to other geographic areas!


Finally, exploring Todd Greene, CPA’s new business planning services can help you find short-term solutions with long-term goals in mind. We offer free, confidential consultations for new clients. Call us today at 704.919.3220 to learn more about our new business services and scheduling your consultation.

For more money matters and tax planning, keep reading our blogs!

28 03, 2022

Types of Business Entities and Which One Is Right for You

2022-04-06T14:25:27-05:00March 28, 2022|0 Comments

Starting a new business is exciting—but it can also be overwhelming. You may have the name, concept, and logo all handled, but like many business owners, you may wonder which legal entity you should classify your company as. If you need help, this blog on the types of business entities and which one is right for you can help you start the incorporation process.

C Corporation

C corporations require the business to pay taxes. However, owners do not have liability.

A C corporation can have just one employee, but there are no limits on how many employees it can hire. So, if you see your business getting bigger and bigger, you may want to think about this option.

S Corporation

For those who like some of the main appeals of a C corporation, such as no owner liability, they may also want to consider an S corporation. It does have a major difference, though.

If you own an S Corporation, you should know that it does not need to pay any taxes. Still, there is a financial responsibility for shareholders. They will need to ensure that the income they earn from an S corporation is reflected on their filed individual tax returns.

Finally, it can have as few as one employee, or as many as 100. So, you could have a one-person business, a small business, or room to expand. Each employee must also have U.S. citizenship or permanent residence in the country.

LLP (Limited Liability Partnership)

This is the only option that requires your business have more than one member. After all, it is a partnership!

However, you do have a choice as to what type of LLP you will run. You can opt for a general partnership, but be aware that type will come with extra responsibility, since it requires personal liability for the company. A limited partnership, on the other hand, doesn’t have any liability. So, its employees must pay self-employment and personal taxes.

There’s one other big difference between the two. General partnerships allow management to have authority, while limited partnerships do not. It’s good to thoroughly explore the pros and cons of both types before making your decision. We can always help with that if you have any questions or concerns!

LLC (Limited Liability Corporation)

As you explore the types of business entities and which one is right for you, you might want to consider an LLC. Like the name suggests, the company’s owner is not personally liable for taxes. Instead, its employees must pay personal or corporate taxes in addition to self-employment taxes.

If you aim to employ contracted workers, this choice could suit your business’s needs. Or, if you just want to employ yourself, you can choose to do that as well. You only need one person to form an LLC, though you can hire as many people as you want.


Now that you know more about the types of business entities and which one is right for you, you’re on track for an incredible journey. Still have questions? Don’t stress! Todd Greene, CPA, can assist you with classifying your business.

And, if you need any additional support along the way, we can also handle taxes, payroll, and more. Reach out to us to get started. As for learning more about business financials and tax planning, browse our blog here.

28 02, 2022

Tax Audit Defense: What It Is and How It Can Help

2022-02-24T23:31:35-06:00February 28, 2022|0 Comments

Tax time. For some it can be a time of uncertainty, but it doesn’t have to be. Professional accounting firms can help. Some firms, like ours, go so far as to include tax audit defense, which we’ll explain below!

What it is

Perhaps a good way to think about a tax audit defense is a “probably not, but just in case.”

To clarify, tax audit defense means your professional accounting team can be by your side and help you through an audit should you receive a notice from the IRS or a state agency.

But this courtesy only extends to those who had the firm file on their behalf to begin with.

While we can’t predict the chance of your tax return getting audited, we can say if we file your return, you receive $1,000,000 Tax Defense Audit™ as well as Identify Theft Protection for our individual 1040 clients. These added bonuses last for the entire tax year.

How it can help

Being a Protection Plus partner means a lot of things—including $1 million in audit defense services used to help find a resolution in the event of an audit. It means having an experienced and qualified team on your side.

In a nutshell, we offer all of our clients the extra protection of tax audit defense as part of their returns.

So, you can rest easy when you let us handle your tax returns and filing up front. Then you can focus on growing your business, enjoying more you time and all the other important things in your life.

And on the rare chance, your tax return gets audited, we’ll invest up to $1,000,000 in services to help resolve it.

Basically, we can help with all the taxing details!


This is what we are here for. In fact, we love this stuff! If you have questions about filing taxes, tax audit defense or other accounting inquires, get in touch with us! You can find us on Facebook, Instagram and LinkedIn.

Feel free to send us an email at [email protected] or call the office at (704) 919-3220 to schedule your free consultation if you prefer.


Finally, discover more about our firm—who we are and what we do—among other financial news and tips when you continue to read our blogs!

28 01, 2022

Tax Tip: The Home Office Deduction for Small Business Owners

2022-01-26T21:18:25-06:00January 28, 2022|0 Comments

Have you recently started your own home-based business or transitioned to primarily working from home? The home office deduction for small business owners may be something you qualify for!

What to know

Taxpayers who use part of their home or a separate structure on their property as their primary place of business may qualify for the home office deduction for small business owners.

For the record, “home” in this case applies to a house, condo, apartment, mobile home, houseboat or similar dwellings. The home office deduction for small business owners is also available to both homeowners and renters.

Next, determine eligibility by seeing if you meet the two basic requirements. First, you must use a designated area of your home for regular or exclusive business use.

To clarify, you can’t claim the home office deduction if you bring work home from the office and complete it in the family den.

The space is not used exclusively, or regularly, for business purposes only. The family also uses the den for recreational activities.

This brings us back to the other basic requirement. Secondly, the space must be the principal place of your business.

However, it doesn’t necessarily have to be the only place you conduct business.

For example, you may have an office away from home. But if you still meet with clients or customers and conduct regular business from a specific area of your home, you may be able to deduct a portion of expenses.

Methods to calculate

There are two basic methods used to calculate the home office deduction for small business owners. For starters, there is the simplified option.

This option significantly reduces the burden of recordkeeping. It allows qualified taxpayers to multiply a specified rate by the square-footage of your home office.

In this case, the designated rate is $5 per square foot. The maximum amount of square footage you can claim with the simplified option is 300.

Another way to determine eligible expenses is to use the regular method. With this method, taxpayers figure out the percentage of the home used for business activities to deduct indirect expenses. Direct expenses with proper records may be deducted in full.


Now that we shared the basic requirements of eligibility and methods of calculating deductions, are you asking yourself if it applies to you? A good way to find out if this applies to you is to schedule a free consultation with us. A good way to find more financial news, tax guidance and more is by reading our other blogs!

29 12, 2021

9 FAQs About Estate Planning

2021-12-22T21:40:25-06:00December 29, 2021|0 Comments

Preparing your loved ones for a life without you can be scary, stressful, and overwhelming. However, it’s also one of the kindest gifts you can give them. If you want to solidify your legacy—and protect those you care about—read these FAQs about estate planning.

Q. At what age should I start estate planning?

A. You’re never too young or too old to plan your estate. In fact, don’t think of this as an age-related task. If you have assets, dependents, and pets you want to protect, then you should start estate planning.

Q. What are some of the assets I can allocate?

A. You can allocate assets like:

  • Material goods, such as furniture, jewelry, or sentimental items;
  • Money and bank accounts;
  • Stocks; and
  • Properties, such as homes or land.

Q. Does estate planning just cover material goods, money, and properties?

A. No, it doesn’t—which is why it’s so important. As you plan your estate, you can specify who you want to take care of your children or adopt your pets after your passing.

Q. What dangers do I risk if I skip estate planning?

A. Forgoing estate planning can come with unwanted surprises. They include:

  • Stress in your loved ones’ lives;
  • A deluge of taxes on your assets;
  • Your assets being inaccessible due to the probate process;
  • Confusion and possible legal battles; and
  • Difficulty deciding who may look after your dependents.

Q. What is the probate process like?

A. One of the most common FAQs about estate planning involves the probate process. Essentially, that’s when the courts determine your assets and figure out how to disperse them properly.

They may also deal with disagreements about who will receive what. A will can make the process more straightforward, but it can still last anywhere from nine to 12 months—or longer.

Q. Is there a standard outcome that will occur if I don’t plan my estate?

A. No—which is why it’s so critical to plan your estate. Otherwise, your assets will be subject to interstate laws, which vary from state to state. That uncertainty can make a sad time even worse for your loved ones—so please consider taking the time to outline your plan.

Q. Should I get an estate planning lawyer?

A. It is a good idea. From requirements, to witnesses, to covering areas you may not have thought about, an estate planning lawyer can help.

Q. Do I need a witness for my will?

A. Yes, you will need not one but two—or more—witnesses to sign your will.

Q. How can my C.P.A. assist with estate planning?

A. Your C.P.A. knows all about taxes. Their assistance can be invaluable! After all, the amount you allocate to your loved ones may seem like a lot—unless you count in what the government will claim. Let your C.P.A. answer all your questions and give you the info you need!


The way you protect your loved ones can leave a long-lasting legacy of love. Put the most important people in your life first by establishing a will. That way, they can focus on honoring your memory.

If you have more queries beyond these FAQs about estate planning, message us here. Plus, for more on financial planning, check out our blog.


29 11, 2021

An End-of-Year Checklist for Small Business Accounting

2021-12-02T20:07:53-06:00November 29, 2021|0 Comments

Before we know it, another year will be behind us! But there is still time to get a grip on your business finances. In fact, we’re sharing an end-of-year checklist for small business accounting now to help you get organized!

Get your accounts in order.

How organized are your books? The first step is making sure your books are correct, current and ready to go. Additionally, it will help you see who may owe you money and vice versa.

Prepare key financial documents.

To clarify, a few key documents include a balance sheet report, an income statement report and a cash flow report. Together, these reports help you see where you are financially and where you have been.

Plus, these reports can be used to plan for a final push to reach your financial goals for the year, or a jump start for next year’s plan.

Analyze cash flow statements.

Included on our end-of-year checklist for small business accounting is taking a hard look at your business’s cash flow statements. This report shows how your money was spent throughout the year.

By thoroughly reviewing it, you can identify spending trends for the year.

Closely review and understand your finances.

The analyzing continues with the task of reconciling any card statements with your account records. Double check each item, line-by-line, to make sure the statements match your balance sheet.

Gather your tax documents.

Now is a good time to find all of your tax forms such as the 1099-NEC or Form 1096, and W-2 and W-3 forms. Be sure to include your annual or quarterly state and federal payroll returns as well.

Update employee and payroll information.

Now is a good time to conduct an end-of-the-year employee information audit. Connect with your employees and make sure their contact information and addresses are current.

Verify vendor information.

Do the same thing with your vendors and make sure all their information is up to date in your system.


Finally, contact us to schedule your free consultation! We would be happy to help with your small business accounting year-end needs as well as planning ahead for 2022. For more accounting insights, be sure to check out our other blogs.

29 10, 2021

The Benefits of Using QuickBooks for Your Small Business

2021-10-29T16:04:02-05:00October 29, 2021|0 Comments

Opening your own business can be scary. But managing that business doesn’t have to be with the right tools. Luckily, we are here to share the benefits of using QuickBooks for your small business, one tool that we think is a must!

It saves time and money.

First of all, QuickBooks saves time and money. It offers a lot of flexibility when it comes to accounting tasks. It streamlines accounting; therefore, freeing up your time to focus on other things—like growing your business!

You will find software that is focused on small businesses.

QuickBooks is user-friendly. It is customer-oriented, and it helps you better serve your clients in the long run.

QuickBooks is efficient.

Again, there are a ton of options with this software. You can manage payroll, create invoices, time sheets, customized charts and much more.

Plus, there are a ton of helpful shortcuts within the platform.

It gives you access to money management tools.

One of the benefits of using QuickBooks for your small business is better money management. You can track tax due dates, keep up with recurring bill payments and enjoy automated records.

Additionally, you can choose to link your bank account and eliminate the need for statements.

QuickBooks works well with others.

Not only is this software user-friendly, but QuickBooks also integrates easily with other software services. For example, you can import or export data from QuickBooks to Excel (or vice versa) seamlessly.

The platform provides financial security.

For one thing, QuickBooks is constantly evolving and improving. Thus, they are one of the leading software programs in terms of new technology and safety.

Moreover, their data center is continuously monitoring the safety of your assets 24/7. They also use additional security features such as multi-factor authentication and password protected login.

QuickBooks has an automated backup service.

All transactions and financial data are automatically stored. This is another one of the benefits of using QuickBooks for your small business that saves time!


Finally, another benefit of using QuickBooks for your small business is peace of mind! When QuickBooks is set up correctly from the beginning, it is a tool that ensures efficient money management.

This is where we come in. As members of QuickBooks ProAdvisor® Program, we can help you get started. Step one, contact us to schedule your free consultation. Step two, figuring out which version of QuickBooks is right for you.

For more information about who we are, our services and general financial news, continue to read our blogs!

30 09, 2021

The Fundamentals of Business Audits (And How You Can Prepare)

2021-09-30T16:06:56-05:00September 30, 2021|0 Comments

The word “audit” alone can inspire a flurry of fears. But it shouldn’t! If you prepare correctly—and file your taxes accurately—then you have nothing to worry about. We’ll help you ease those financial fears by reviewing the fundamentals of business audits.

What are audits?

Here’s a little mnemonic device to help you remember what audits are. When you think “audit,” remember that it starts with the letter “A” like the word “accurate.” Audit = accurate.

Got it? Good! If not, though, we’ll happily explain a little further.

Why have audits?

When a business needs their financials explored, that process is known as auditing. This can be for a benign, routine reason! Your business may even hold regular audits, just to keep everything on track.

However, if someone internally—or even the IRS—flags certain occurrences as unusual or fraudulent, then they may order an audit. That way, they can determine the source of the discrepancies.

Let’s take a breather

Before we get any deeper into the fundamentals of business audits, we should take a breather.

Feeling a bit anxious? Think of audits like your yearly dentist appointment. You go to make sure your teeth—or, in this case, your business—are healthy. And, you want to have a trusted professional examine any potential problems. That way, you have peace of mind that your business is operating efficiently.

Types of audits

If your business undergoes an audit, it will come from one of two source types.

Internal audits

The first kind is internal, or from within your business. These aim to explore the financials, like spendings and earnings. Likely, they will also take a look at how your business runs at multiple levels. That way, they can assess the overall efficiency—which can be costly if not operating correctly.

External audits

The second kind is external, such as one from the IRS. They will mail you a letter to let you know about the situation or give an in-person interview to explain the situation.

Don’t start sweating just yet! You can have a top-of-the-line business with picture-perfect tax filing and still get an audit. The IRS actually will request random audits from time to time.

On the other hand, they may also notice tiny discrepancies in your filing. Or, in some rare cases, they have flagged outright fraud. However, if you’ve done nothing wrong, then you should be just fine. So relax, and trust the experts.

What happens after?

Phew, it’s over! So, what happens after your audit? Well, you’ll get a report. It will detail findings the auditors observed. It will also tell you whether or not your records are accurate—and if there’s anything missing.

How should I prepare?

They say that an ounce of prevention is worth a pound of cure. We agree! You should prepare for an audit by:

  • Keeping detailed records. Every receipt matters. You should file them away, along with all your financial documents. That way, you can hand them over without worry.
  • Reading up on best practices. You should take time every year to read up on best financial and tax practices. Don’t forget to brush up on tax laws too!
  • Not delaying your response. The IRS may contact you. If they do, respond ASAP!
  • Hiring us. We know how to organize your financials! We also know how to file taxes in every state. Let us lessen the burden and get the job done right.


Whether they come from within your business or from the IRS, audits are important. They can help you determine how well your business runs—and improve your efficiency. Instead of biting your nails at the thought of them, you can stop worrying entirely. All you have to do? Hire the Todd Greene team! After all, one of the fundamentals of business audits is having knowledgeable professionals on your side.

Contact us here for your free consultation. Finally, learn more about what we do—and how to improve your financials—when you read our blog.

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