It's a Cash Flow Issue
Which Makes It a Great Time to Resolve Your Taxes!
We’ve all heard the statistics on small business failure. But Why?
2/3 survive 2 years – 1/2 survive 5 years – 1/3 survive 10 years
About 80% fail due to Cash Flow Problems. This doesn’t mean the business isn’t profitable. It can mean a lot of things; because Cash Flow isn’t a simple in and out transaction. It’s a complex system that can get bogged down by an unexpected blockage in the pipeline.
- No Pay / Slow Pay Receivables
- Growth and Inventory Takes $$
- Material Costs Increase
- Health Issues, Natural Disasters, the list goes on
Why Resolve Your Tax Liability During a Cash Flow Crunch?
- Because we set up your IRS Installment Agreement to match your Cash Flow. In other words, your payment reflects your ability to pay monthly. Once your formal Installment Agreement is secured, the payment amount is set, even if your Cash Flow is freed up down the road. Now you have options.
- Stick to paying your set IRS payment and use your Cash Flow for Growth, Savings…, or
- Make additional, Voluntary Payments toward your IRS debt, applying them in your best interest
- Stop your tax liability from becoming a Cash Flow nightmare. If the back-tax remains unresolved, the IRS could levy $$ from bank accounts, A/R, or both, immediately stopping Cash Flow. A formal IRS Installment Agreement, negotiated by M&M, provides you with a known monthly payment and protection from aggressive IRS collections.
The IRS Won’t Wait for the Perfect Time to Collect
While each Cash Flow situation is unique to the business, the IRS Collection process is not. The IRS has a definite procedure to follow whether a business has a Cash Flow blockage or not, and it won’t wait for your Cash Flow to get back on track.
In the end, like just about everything else, responsibility for 941 employment tax falls on the business owner(s). It’s important to get this right. It is also unreasonable to expect a business owner to simultaneously
- Address a Cash Flow Issue,
- Understand the Process and Pitfalls in Resolving a Tax Liability, and
- Set Aside the Time to Get It Done
Don’t let your IRS problem become another Cash Flow Blocker. Call Us to get the process rolling.