The Critical Advantage of Early Year Tax Planning for Businesses

Tax planning is an essential part of managing a business that should be done year-round rather than just at the end of the year.

Two business owners go over paperwork at a desk.
(Image credit: Getty Images)

Tax planning is an essential part of business management that, unfortunately, many entrepreneurs tend to overlook until the year's end. However, initiating tax planning strategies at the beginning of the year, rather than waiting until the end, can significantly impact your business's financial health and tax liability.

In my firm's early days, I'd be so focused on running my business that I'd often wait until tax season to hastily formulate a strategy. This reactive approach to taxes frequently led to missed opportunities for optimizing tax liabilities. Over time, however, practical experience and insights from tax experts highlighted the drawbacks of such last-minute planning.

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Stephen Nalley
Founder & CEO

Stephen Nalley is the Founder & CEO of Black Briar Advisors.