You must know this before registering a company!

Mondo Education Updated on 2024-01-31

Don't fight an unprepared battle, before starting a business and registering a company, you must know these tax knowledge, and don't cause losses to the company because you don't know

The boss doesn't understand the problems that come with finances.

Tax risk. If an enterprise is involved in false invoices, inflated costs, and underpaying taxes, it will face significant tax risks.

Low utilization of funds.

If the company's capital turnover is slow, the inability to return the money in time will lead to a shortage of funds and an increase in the demand for borrowing. In addition, long-overdue accounts receivable may turn into bad debts, which further affects the financial health of the business.

Decision-making influence. Many private enterprise owners do not have a good understanding of the profitability of the enterprise and the profit of their products. A lack of clarity into the financial health of a business can affect business decision-making.

Lack of budget management.

Some private enterprises do not formulate budgets and plans in the process of operation, resulting in unreasonable resource allocation. Budget management is the most important management tool for enterprises, and it is also the key to the realization of strategic goals of enterprises.

Waste of money. The costs of a business include both visible and hidden costs. When it comes to hidden costs, many private companies have shortcomings. For example, in terms of inspection and testing, rework or rework, scrapping and warranty, etc.

As the boss of the company, you must know some financial knowledge, follow me to get more tax knowledge

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