Beware of New Phishing Schemes

Cathy Robinson, CPA

Principal

robinson@hwco.com

 

Cybercriminals are continuing to attempt to get personal information from individuals.  Here is the latest scheme the IRS has shared.  The cybercriminals are emailing payroll and human resource employees posing as company executives and who are requesting personal information for   employees.    The email will contain the name of the actual company executive.  A sample email request might be: “Kindly send me the individual 2015 W-2 (PDF) and earnings summary of all W-2s of our company staff for a quick review.”    If you are a payroll or human resource employee, you should confirm with the company executive who received the email request.

 

The IRS is renewing consumer alerts about email schemes after seeing an approximate 400 percent surge in phishing and malware incidents so far this tax season.  In addition, there are emails being sent to individuals from tax software companies seeking information and asking to confirm personal information.

 

Remember, the IRS will not contact you via email or phone.   Also, your tax software company should not need to contact you.

Lease Accounting Standard and Private Companies

Anthony LaNasa, CPA, CFE

Managing Principal - Columbus

lanasa@hwco.com

 

The U.S. Chamber of Commerce and other trade groups are trying to get the new lease standard expected to be published this month exempted from Private Companies.  In a January 29, 2016 letter to the Financial Accounting Standards Board (FASB), the trade groups state they do not feel the FASB adequately considered the differences between private and public companies.  This new standard will require all leases (those more than 12 months in duration) to be recorded as assets (right to use asset) and debt on all company’s balance sheets.  This is a significant change from prior guidance related to operating leases that were expensed as paid by companies.

 

The letter states:   “We are concerned that the decision to apply the soon-to-be finalized lease accounting standard to private businesses will exacerbate complexity, not meet the needs of private company investors and harm capital formation for those businesses. Such a decision would presume that users of private company financial statements would prefer capitalizing leases on balance sheets. However, since users of private companies are different than public company financial statement users in both composition and motivation this may not be the case”.  The link to the letter is http://www.fasb.org/cs/BlobServer?blobkey=id&blobnocache=true&blobwhere=1175832675827&blobheader=application%2Fpdf&blobheadername2=Content-Length&blobheadername1=Content-Disposition&blobheadervalue2=534659&blobheadervalue1=filename%3DLEASES-16.UNS.0021.U.S._CHAMBER_OF_COMMERCE_SEE_LISTED.pdf&blobcol=urldata&blobtable=MungoBlobs

 

The new standard will apply to all companies (private, public, and nonprofit) and is expected to be released this month.  However, stay tuned to potential last minute changes based on negative reaction such as this.

 

Check your Mailbox - Another IRS Data Breach

 

 

 

Cathy Robinson, CPA

Principal

robinson@hwco.com

 

Last month, the IRS stopped identity thieves from attempting to generate E-file PINS for stolen Social Security Numbers.  The PINS are used to efile a tax return.  There were 101,000 Social Security Numbers affected.  The IRS will be contacting the taxpayers to tell them of the breach, and tax return identity theft markers will be placed on their accounts.  There was no personal taxpayer data compromised or disclosed.  The breach was not related to the shutdown of efiling last week. 

 

Remember, the IRS will only contact you by mail.  They will not contact you by telephone or email.  If you need clarification of the correspondence, do not hesitate to consult your CPA.

 

 

Good news for charitable donors!

Cathy Robinson, CPA

Principal

robinson@hwco.com

 

The IRS has withdrawn proposed regulations regarding the reporting of donor information.  The proposed regulations would have allowed charities to file information returns about donors instead of providing written acknowledgements to the donors.   The problem with filing of information returns would have required obtaining the social security number of donors.  Some charities felt that asking for a social security number would discourage potential donors.  In addition, other charities were worried about identity theft.

 

Therefore, you must obtain written acknowledgement from the charity for a donation over $250 and save it for your tax preparer.

The Research credit has been permanently extended.

Cathy Robinson, CPA

Principal

robinson@hwco.com

 

 

Research and development credits were originally implemented to create jobs and bolster the U.S. position as a leader in technological development. It is also important to note that the name can be misleading as the credit not only covers research and product development, but it also includes new processes, formulas, and software, etc. This effectively extends the industries commonly thought to benefit from the credit to also include industries such as software development and construction (i.e., designing electrical systems, mechanical systems, and testing new building materials, etc.). 

 

The PATH act retroactively and permanently extended this credit, which otherwise would have expired prior to 2015. The qualified research expenses encompass both in-house and contract expenses.  The credit is for 20% of current year qualified spending that exceeds a base amount related to gross receipts in earlier years and cannot exceed 10% of the total spending in the current year on qualified research.

The big impact of the research credit is its ability to be used by eligible small businesses for years beginning after December 31, 2015.  In addition, an eligible small business ($50 million or less in gross receipts) can claim the credit against its alternative minimum tax liability.

 

A second benefit added by the PATH Act allows a qualified small business ($5 million or less in gross receipts) the option to claim a portion of its research credit as a payroll tax credit against its employer FICA tax liability versus  its income tax liability.  If elected, the payroll credit can be claimed beginning with the first calendar quarter after the date on which the small business files its income tax or informational returns for the tax year.

With the start of the new year, it is a good time to have a conversation with your tax adviser to determine if you can qualify for this credit, as well as which option may be most beneficial.

New Employee or Independent Contractor?

 

Cathy Robinson

Principal

robinson@hwco.com

 

As the new year begins, you may be contemplating an addition to your company.  The thought crosses your mind about not putting them on payroll, but paying them as an independent contractor.  

 

Be aware this is an area on the IRS radar.   A large amount of money is lost each year by the U.S. Treasury due to worker misclassification.

 

Therefore, you need to look at the factors the IRS considers when reclassifying workers as employees.  There are 20 common law factors in Revenue Ruling 87-41 reviewed by the IRS.  Instructions provided to workers, training, hours, and location are some of the factors to consider.  The main point to consider is who has control over employee behavior and the relationship between the parties. 

 

There are safe harbor rules to consider when making the decision.  Section 530 of the Revenue Act of 1978, P.L. 95-600 lists some rules.  An individual will not be considered an employee if the payer:

consistently treated other workers performing the similar task as nonemployees; had a reasonable basis for not treating as an employee; filed the Form 1099-MISC for all individuals.

 

Still not sure?  You can request a determination from the IRS.  Prepare and file Form SS-8 with the IRS.  It should be noted that most of the requests are filed by workers who think they are employees and entitled to benefits.

 

As with any business decision, it is always wise to check with your trusted advisor.

FASB Makes Changes to Not-for-Profit Accounting Standards Update

 

 

Daniel Kaminski, CPA

Senior Manager

kaminski@hwco.com

 

In April 2015, the Financial Accounting Standards Board (“FASB”) issued Proposed Accounting Standards Update (ASU) No. 2015-230, Not-for-Profit Entities (Topic 958) and Health Care Entities (Topic 954): Presentation of Financial Statements of Not-for-Profit Entities.  One of the most controversial items in the ASU was the requirement that not-for-profit organizations would be required to present their statement of cash flows using the direct method.

The FASB received comments that requiring the use of the direct method would cause significant challenges.  Not-for-profit organizations felt that it would be difficult for readers of their financial statements to make comparisons with for-profit companies who would not be required to use the direct method.  The second common complaint came from smaller not-for-profits who felt that using the direct method would cause them to incur significant costs, either internally or by increased costs from their outside accountants.

 

As a result, on December 11, 2015, the FASB made the decision it would not require not-for-profit organizations to use the direct method, but would give them the option to use the direct method or the indirect method.  However, this was not the FASB’s only change.  Currently, U.S. generally accepted accounting principles (GAAP) allows for a choice between using the direct method or the indirect method.  However, if the direct method is chosen, the indirect method must also be presented.  However, the FASB has decided it would no longer require the presentation of the indirect method if an organization chooses to present their statement of cash flows under the direct method.

Even though the direct method can be more useful to financial statement users, since the indirect was required to be presented, very few organizations chose to do the additional work or presenting under the direct method as well.  The FASB’s hope is that by eliminating the requirement to also present the indirect method; more organizations will choose to use the direct method.

 

The FASB also clarified a few other items in the ASU.  The FASB had previously decided to reduce the number classifications of net assets from three to two.  They officially decided the two new classifications will be called “net assets with donor restrictions” and “net assets without donor restrictions.”  In addition, the FASB will require the purpose of board-designated net assets to be disclosed either on the face of the financial statement or in the notes.  The FASB also is requiring the aggregate amount that endowment funds are underwater be included in net assets with donor restrictions and is requiring enhanced disclosures about the underwater endowment funds.

Tax Extenders Still Have Not Passed So What Should I Still Be Doing?

 

 

 

Cathy Robinson, CPA

Senior Manager

robinson@hwco.com

 

 

Okay, it is December and Congress has not yet taken any action on provisions which have expired at the end of 2014.  There are still some things you should consider doing before year end:

 

1.       Review your withholding and estimated tax payments for 2015. 

2.       Consider if you are liable for the alternative minimum tax in 2015. 

3.        Consider realizing losses on stock to offset gains.

4.       Postpone any additional income until 2016.

5.       Accelerate any deductions in 2015.  Consider using your credit card to pay for the deductible expenses.

6.       Bunching of any expenses.  For example, pay three real estate bills in a year.

7.       Ask your employer to defer your 2015 bonus until 2016. 

 

These are just some suggestions in order to help eliminate an unpleasant surprise in April next year.  As with any tax advice you read or hear, you need to ensure the advice provided agrees with your tax situation.

Change in De minimis safe harbor

 

 

 

Edward C. Lowe, MAFIS, CPA

Principal

lowe@hwco.com

The IRS has increased the de minimis safe harbor from $500 to $2,500 for taxpayers that don’t maintain an applicable financial statement. (IRS notice 2015-82)

The de minimis safe harbor was intended as an administrative convenience to allow taxpayers to deduct small dollar expenditures for the acquisition or production of new property or for the improvement of existing property, which otherwise must be capitalized under Code Section 263(a).  The increase is effective for costs incurred after 1-1-2016, however use of the new threshold won’t be challenged in tax years prior to 2016.

U.S. Department of Labor’s Tips for Selecting and Monitoring a Plan Auditor

 

 

 

Russell E. Majkrzak , CPA

Senior Manager

majkrzakr@hwco.com

 

In mid-November, 2015, the Chief Accountant of the U.S. Department of Labor (DOL) sent out an email to plan administrators related to selecting a qualified CPA firm to audit your plan’s financial statements. This email referenced a recent study completed by the DOL (which can be found on the DOL’s website) which concluded that due to the unique audit and reporting requirements related to employee benefit plan audits, plan administrators should take care when selecting their CPA firm to ascertain that the CPA firm is qualified to perform the plan audit. HW&Co is qualified and, in fact, currently audits many employee benefit plans, and as a member of the AICPA Employee Benefit Plan Audit Quality Center, HW&Co must meet additional professional standards including having our audit staff obtaining a specific number of training hours over a three-year period and the additional internal monitoring and peer review requirements.  HW&Co, since its inception, has received the best Peer Review results possible with our most recent Peer Review receiving a rating of “pass with no deficiencies”. Additionally, the DOL has performed a DOL desk audit for one of our plan audits with no findings identified. If HW&Co does not currently perform your plan audit, please consider having HW&Co become your plan auditors. If you have any questions or concerns, please contact your HW&Co Executive or Joe Sbrocco, CPA, CGMA at 877-FOR-HWCO.



Calling the IRS Requires Patience

 

 

 

 

Cathy A. Robinson, CPA

Senior Manager

robinson@hwco.com

 

 

You may have read one of our most recent blogs in regards to identity theft. To reiterate, we advised those who are victims of fraud and identity theft to contact the IRS. What you should expect, however, is there’s a strong possibility you will be experience a wait time.

 

According to an article in Accounting Today, due to budget cuts the IRS customer service has suffered greatly. The article reports the IRS answered only 32 percent of taxpayer calls routed to a customer service representative. Hold time, for taxpayers able to get through, averaged 23 minutes.

 

Meanwhile, the Practitioner Priority Service Line was answered 45 percent of the time, with a hold time averaging 45 minutes.

 

You may also experience what the IRS calls a “courtesy disconnect.” This occurs when the IRS switchboard is overloaded and it cannot handle anymore calls. In 2014, this happened to 544,000 callers. This number skyrocketed in 2015 to an alarming 8.8 million people.

 

If you end up on the phone with an IRS agent remember you aren’t the only experiencing a wait time. Please be patient, and remember they’re there to help.

Good News For Ohio Nonprofits

Tony LaNasa
Managing Principal-Columbus Office
lanasa@hwco.com
 

As an HW Nonprofit Advisor I recognize the importance of our clients being informed of the latest changes occurring in the industry.

Ohio nonprofit organizations received great news on September 29th when the Ohio Revised Code Sec. 4123.01 was amended in HB 52 to not consider unpaid corporate officers or volunteers as employees for the purpose of workers’ compensation.  This great news is less costs to nonprofits in premiums, and more dollars for the nonprofits mission and purpose.

To read more on this subject visit the OSCPA's website or click here.

How to Protect Yourself From Identity Theft

Cathy A. Robinson, CPA
Senior Manager
robinson@hwco.com

 

 

Did you know an estimated 17.6 million people were victims of one or more incidents of identity theft in 2014? According to a report from the U.S. Department of Justice, seven percent of all residents age 16 or older were victims, with three percent of people experiencing the misuse of a credit card.  Over the last two weeks, we have discussed ways to recover from identity theft and social security fraud. So what can you do to protect yourself from the threat of identity theft?

 

If you’ve received a phone call from someone impersonating an IRS agent demanding you pay immediately, chances are it is a scam. Should you receive this type of phone call, report it. The IRS asks these phone calls and other IRS impersonation crimes be reported to the Treasury Inspector General for Tax Administration at 1-800-366-4484 or online at IRS Impersonation Scam Reporting.  

 

If you receive an email from the IRS, even if the logo from the IRS looks real, it is a scam. The IRS does not make initial contact via the phone or email. 

 

Steps to Protect Yourself: 

·         Keep your social security card and any documentation in a safe place. Do not carry your social security card. 

·         Be mindful about sharing your social security number, even when someone asks for it. Share it ONLY WHEN ABSOLTUELY NECESSARY.

·         Protect your financial information on your computer. In a world where everything is digital, you need to make sure to protect your computer. This means using firewalls, anti-spam and virus software, and routinely changing your password to protect yourself and your information.

·         Check your credit report annually.

·         The IRS recommends checking your social security administration earning statement annually.

·         Finally, protect any of your identifiable information by only providing the information when YOU initiate contact or know who is asking for it.

 

Recovering from identity theft is hard, but you can take the precautions to prevent it from happening with these few simple steps. 

Supplemental information for this article came from the below: 

IRS.gov

Bureau of Statistics

What is a W-4?

Cathy A. Robinson, CPA
Senior Manager
robinson@hwco.com
 

So you are starting a new job.  You will have many forms to fill out the first day including a W-4.  Do you know why you complete a W-4? Not to worry, we are here to help.

What exactly is a W-4?

Simply, it is used by your employer to withhold the proper amount of Federal income tax from your pay.

Why fill out a W-4?

Completing a W-4 accurately can help save you money in two ways. The first way is it helps to prevent you from overpaying your taxes.  Doing this can mean putting more money in your pocket throughout the year. The second way is to ensure you do not owe anything at tax time.

 How do you fill one out?

If you are single, the W-4 is straight forward and easy to complete. For those who are married or have more than one job, the process becomes more complex.  The W-4 includes a series of worksheets to help guide you through this process.  There are also worksheets included for those who have a spouse working as well or for those who have additional employment. 

It is important to keep in mind as well the higher the exemption number claimed, the higher the amount of your net pay. The tradeoff, however,  there will be less withholding deducted from your pay, and you could owe on April 15^th.

 

Remember, ask your tax professional should you have any questions in regards to filling out the W-4 or the tax worksheets attached to it.

 

 

 

 

 

Student Loan Forgiveness...Do You Know The Dangers?

Cathy A. Robinson, CPA
Senior Manager
robinson@hwco.com

What many people ask themselves, especially millennial’s, is how they can take advantage of student loan forgiveness. Here’s what you need to know:  

Public Service Loan Forgiveness

 This program was created in 2007 and was intended to help to remove the student loan debt from those low-salaried employees of the public service industry. There are also some for profit employers who qualify your employment as a public service.  This list includes:  police officers, teachers, public defenders, and those in the public health sector.  Borrowers of federal loans may qualify for forgiveness on the remaining balance of their student loans if they have made 120 payments on their loans while working in the aforementioned list.

Income-Based Repayment

More people qualify for this type of plan. This plan allows borrowers to pay ten percent to twenty percent of their income towards their loans. These loans will then be forgiven in 20 to 25 years. But a word of caution, with this plan, you will pay more in interest over the life of the loan. 

Pay as you Earn

This plan caps out your payments to being ten percent of your income. Like the Income-Based Repayment plan, it lasts for 20 years, and any balance remaining after this time period will be forgiven. In order to qualify for this program, you need to have taken a loan after October 2007 and have borrowed a Direct Loan or a Direct Consolidated Loan.

In all three of these plans, your payment amount will never exceed the amount you would have to pay under the standard ten-year payment schedule. Unfortunately, like private loans, there are some dangers associated with these repayment plans.

• For income-based repayment plan, the amount of debt forgiven at the end of the plan becomes taxable income for the borrower. The borrower who received student loan forgiveness then faces large tax bills they typically cannot afford.

• You MUST remember to continue to qualify each year, meaning you must remember to send in the application and updated paperwork each year. Failing to do this will get you removed from the program.  

• For participating in Public Service Loan Forgiveness, you must be working full-time at a qualifying public service organization at the time you enter the program as well as at the time the remaining balance is forgiven.

This update is published periodically by HW&Co. as an information service to our clients, business associates and friends. It is general information and professional advice should be obtained before acting on any comments contained in this document.

FASB Provides Guidance for Employee Benefit Plans

 

Tony S. LaNasa, CPA, CFE
Managing Partner-Columbus Office
lanasa@hwco.com
 

On Friday, July 31^st, the Financial Accounting Standards Board (FASB) provided guidance designed to help in simplifying the accounting of employee benefit plans in a three-part document included in  Accounting Standard Update (ASU) No. 2015-12, Plan Accounting: Defined Benefit Pension Plans (Topic 960), Defined Contribution Pension Plan (Topic 962, Health and Welfare Benefit Plans (Topic 965).

Part I of the update assigns contract value as the only required measure for fully benefit-responsive investment contracts.  This part will reduce the complexity of reporting for fully benefit-responsive investment contracts while still requiring disclosures helping users understand these investment contract types.

 Part II, of the update eliminates requirements for participant-directed investments and nonparticipant-directed investments to disclose:

·         The net appreciation or depreciation for investments by general type.

·         Individual investments representing five percent or more of net assets available for benefits.

Stakeholders informed FASB that disclosing similar investment information in multiple ways is costly for preparers and makes the financial statements more difficult to use.  It is important to note that FASB will still require net appreciation or depreciation in investments to be presented in the aggregate, but it will no longer require amounts to be disaggregated and disclosed by general type.

 Finally, Part III relates to an area of several potential simplifications submitted by stakeholders. It provides a practical expedient allowing the employer to measure and define benefit plan assets on a month-end date nearest to the employer’s fiscal year-end, when the fiscal period does not coincide with a month-end.

 These amendments in each part of the ASU will be effective for fiscal years beginning after December 15, 2015. Earlier application is permitted, and the amendments in Parts I and II should be applied retrospectively for all financial statements presented.  Part III should be applied prospectively.

Ohio Tax Budget - The Impact on Your Wallet

Cathy A. Robinson, CPA
Senior Manager
robinson@hwco.com
 

Chances are you pay income taxes to the state that you reside in. For individual taxpayers and businesses in the state of Ohio, there's good news. 


On June 30^th, 2015, Governor John Kasich signed into law, the Biennial Budget Bill. So how exactly does this bill affect you?

 

If you are just an individual taxpayer, the bill reduces the personal income tax rates 6.3 percent for all tax brackets. This means the new top marginal bracket for individuals is 4.997 percent.

 

Attention shoppers: if you're a fan of shopping, you will be happy to know the state sales tax rate was not increased. It still remains at the current rate of 5.75 percent.

 

If you own an S Corporation, partnership, limited liability or a sole proprietorship in Ohio, there's even better news for you.  For fiscal year 2015, you will be able to deduct 75 percent of your Ohio apportioned business income up to $250,000. Also beginning in 2015, the excess business income will be subject to a three percent flat tax. The tax will be effective for 2015 and going forward. 

 

As a business owner, you should also be aware there are two tax credits that may now be able to save your company taxes since the law has changed the calculation. These credits are the Jobs Creation Tax Credit and the Jobs Retention Tax Credit.

 

For those who file the CAT tax, there's good news for you as well since the CAT tax rate was not increased due to the law.

 

If you have any questions in regards to the bill and how it will affect you, contact your accounting professional.

Plan Now, Save Later: What To Do After Your Child Graduates

 

Cathy A. Robinson, CPA
Senior Manager

 

 

 

Do you have a child that recently graduated from college? Maybe you have a child who will be graduating within the next year.  Did you know that your taxes could be impacted?

 

Once a child is no longer a full-time student, you may not be able to claim them as a dependent. If you’re a single parent that claims head of household filing status, this is especially important for you.   Should your child find a job within six months of graduating you are no longer able to claim them and use the head of household filing status as they will most likely have earned more than $4,000. Your tax filing status will go from head of household to single and the credits you normally could qualify for will no longer apply. In order to make sure you don’t end up owing at the end of the year, be sure to talk to your accountant about making the necessary adjustments to your withholding and estimated tax payments should this situation apply to you.  

 

This doesn’t necessarily mean that you can’t continue to claim them after they graduate college. This is when the support test comes into effect. If the child cannot provide half of his or her own support then you can claim them. They’re considered a relative dependent. If the child’s gross income for the year is only $4,000, you can claim them. 

How Will Same-Sex Marriage Affect Taxes?

The Supreme Court ruling in favor of same-sex marriage is a hot topic at the forefront of everyone’s minds.

 

How will the recent Supreme Court ruling in favor of same-sex marriage affect taxes? Does this ruling affect you?

 



Cathy A. Robinson, CPA
Senior Manager

Since the June 26^th ruling, individuals will see a change to tax filing requirements at the state level.  

 

Before the decision was made, same-sex couples were able to file joint returns at the federal level.  However, there was a catch to this method: most states did not recognize same-sex couples, and they were required to file individually or as head of household.

 

With the new ruling, there will be a streamlined process using the same filing status at the state returns. States will also begin to issue tax guidance on how same-sex couples can file their returns. In fact, Sen. Ron Wyden, a Democrat from Oregon and a member of the Senate Finance Committee, plans to introduce legislation this week that will provide gender neutrality for spouses. This bill will be called the Marriage Equality for All Taxpayers Act and would eliminate gender-specific references in the current tax code.

 

Tax guidelines are also expected to change to include treating all same-sex couples equally in regards to estate tax and other inheritance issues as married couples.

 

Under federal tax regulations, couples who live in states that currently do not recognize same-sex marriages will be now be able to:

·         Make unlimited gifts to one another without gift tax implications

·         Leave property to one another without survivor having to pay estate taxes

·         Leave IRA to surviving spouse as a "rollover" IRA

·         Be able to qualify as surviving spouse with Social Security benefits

Succession Planning...It Starts Now.

Cathy A. Robinson, CPA
Senior Manager

Succession planning isn’t always the first thought on your mind as a business owner or professional.

 

You have put in the time, the hard work, the blood, sweat and tears that have made your company or your profession what it is today. How could you possibly just hand over the reins to someone else?

 

The truth of the matter is simple … you can’t predict the unpredictable.  

 

There are several ways to leave a company:

 

Death

Retirement

Disability

Expected departure

Involuntary departure

 

Eventually your partnership with your company will end, and it is important to make sure you are on a path that is suitable for you, your company, and your clients. What would happen to your company or your partner should you unexpectedly pass away? What would happen to your practice if your partner wanted to leave to be closer to his or her children or grandchildren?  Or, what if your children didn’t want to take over the family business?  Do you have the necessary steps in place to help with any of these situations should they arise?

 

Addressing these questions sooner rather than later will help you deal with the unavoidable later on down the road.  In fact, there are two tips mentioned by lawyer Eliot M. Wagonheim in a blog on Huffington Posts that are especially important to keep in mind.

 

1)      Consider a valuation. Use an expert experienced with doing valuations in your industry for an appraisal of your company.

2)      Work out a purchase agreement with your partner utilizing your accounting professional to ensure everyone is receiving a fair share of the company.  Having a plan in place will help to avoid any possibilities of a sticky situation when someone leaves, expectedly or unexpectedly.

 

Talking with your family members is also important if you own your own business. If you plan on passing the business down, make sure they have a serious interest in taking it over. If they do not, you need to start planning for succession or the possibilities of selling off the business.

 

If you are in the professional service industry, it is also important to sit down and have a conversation with your clients.  Planning according to what is best for the client and the long-term relationship with your company is crucial. The best and smartest succession plans begin with a thoughtful plan that incorporates the wants and needs of your existing and developing clients.

 

Spending just a few hours to put a plan into place now can keep you or your partner from putting fires out later, while helping to manage emergency situations later should they arise.  The earlier you begin planning for the next stage, the better the chances of your company’s continued success will be.



This update is published periodically by HW&Co. as an information service to our clients, business associates and friends. It is general information and professional advice should be obtained before acting on any comments contained in this document.