The Difference Between an Operating Company, Holding Company, and Family Trust
As a business owner, you can structure your business using an operating company, holding company, and family trust. However, many are unaware of each entity’s different roles and how they fit into your business. In this blog, we will go over the purpose and benefits of an operating company, a holding company, and a family […]
How Business Owners Can Pay Less Tax in Canada
Stop throwing your hard-earned money away on taxes. Here are five tips to help reduce your corporate tax bill and pay less tax as a business owner in Canada. 5 Ways to Pay Less Tax in Canada One of the challenges with building more wealth personally and in your corporation is getting hit with bigger […]
The Passive Income Tax Rule Explained: How to Invest & Save Tax
Are you aware of how Canada’s passive income tax rule affects you as a business owner? Many business owners are unclear about the confusing nature of the passive income tax rule. Without a proper understanding of the rule, you risk paying too much tax because you’re not optimizing your investment strategy. What is Passive Income? […]
4 Ways to Invest The Extra Cash In Your Corporation
A common problem clients come to us with is not knowing what to do with the extra cash sitting in their corporation. Although having extra cash built up inside your corporation is great, you miss out on opportunities to grow your wealth when it’s just sitting there. What Should You Do With the Extra Cash […]
How Capital Gains Work for Business Owners
What Are Capital Gains? Capital gains are the profits you make from selling capital property such as real estate, stocks, business assets, units of a mutual fund, or land. You or your business will realize a capital gain when you sell a capital property for more than its cost plus any expenses incurred. This is […]
Why You Need a Financial Planner as a Business Owner
Financial planning is beneficial for everyone, but for business owners, the benefits grow drastically. Since your financial situation is much more complex, you can’t find the answers to your questions by searching the internet. This is where you need a financial planner to come in and help guide you. How Having a Financial Planner Can […]
Should You Own Rental Property in Your Holding Company?
Owning real estate is on the mind of many business owners. A question that comes up regularly is, “should I own my rental property inside my holding company instead of owning it personally?”. The answer depends on factors that primarily involve tax. Let’s learn the dos and don’ts of owning rental property inside your holding […]
The Capital Dividend Account Explained for Canadian Business Owners
The Capital Dividend Account is one of the most powerful tools a business owner can use, but very few are using it. This secret notional account could save you millions of dollars in tax. What is a Capital Dividend Account? A Capital Dividend Account (CDA) is generally used by Canadian business owners with a Canadian-Controlled […]
Corporate-Owned Life Insurance: The Benefits for Business Owners
Life insurance is not only beneficial when you pass away. It can be a valuable financial planning tool for when you’re alive. As a business owner, your life insurance can be corporately or personally owned. To maximize your corporate structure, let’s get into the strategy and benefits of owning insurance inside of your corporation. What […]
6 Estate Planning Tips to Help Your Family After You Pass Away
For most of us, the biggest tax bill we will ever pay in our lives is at death. Unfortunately, planning how to reduce that bill right before that inevitable day is often too late. With effective estate planning tactics in place, you can give yourself the peace of mind your family won’t have an additional […]