How to Pay Yourself as a Business Owner and how to Return Contributions and Loan to Your Business?
On today’s episode of Podcast for a Savvy Business Owner, Irene …
On today’s episode of Podcast for a Savvy Business Owner, Irene Sinayskaya and Jane Lvovskiy discuss various options available to business owners to pay themselves. This discussion is followed by …some examples and information from the vast experience in this subject that both Jane and Irene have including options for repayment of capital contribution, additional contributions, loans to the company, and receiving income as a disbursement from the company. They talk about an example from a client they assisted who made a large contribution into a new business with his business partner, but did not formalize any documents to explain if the contribution into the business was a loan or any other type of contribution, making it difficult to account for when the sum was returned to him. Also, he didn’t specify if any interest was to be repaid on the contribution and the terms of the repayment, inviting risk that his partner would not agree on an interest rate, if any, and on the terms of the repayment. As always, feel free to reach out to Jane or Irene with any questions that you may have!
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