Verifying important numbers is one of the most important tasks for buyers to undertake prior to purchasing a business
Vancouver, BC -- (ReleaseWire) -- 08/18/2020 --There are many reasons to purchase a business. Acquiring a competitor to increase market share or buying out a supplier are just a couple of motivators that drive acquisitions. Whatever the purpose, it is in the buyer's best interests to verify the numbers and information being provided are true. The Vancouver Tax Accountants at Mew + Company are available for consultations when purchasing a business. For more, go to https://www.mewco.ca/blog/thinking-about-buying-a-small-business-vancouver-tax-advice-you-need-to-know/
When it's time to crunch numbers and negotiate pricing, the seller of the business has a huge advantage. As the current operator of the business, the seller has intimate knowledge factors such as competitors, demographics, labor availability, and competition that impact operations and costs.
It's up to the buyer to perform due diligence before purchase. One of the best ways to mitigate risk is by hiring an independent professional accountant. Due diligence procedures can be long and onerous. Details of the purchase can change what items need to be checked and prioritized. An accountant knows what to look for and can obtain and verify vital financial information in a quick, cost-effective manner.
For example, corporate tax and GST returns can be used to verify sales and expenses. Payroll filings can be used to double-check the number of employees on payroll. Shareholders and family members may be contributing to a business without being properly compensated. There are many methods to check that the claims being made by the seller are complete and accurate.
Naturally, the most critical information is the sales figures. With many consumers using credit and debit cards to pay for purchases, many processing platforms provide detailed sales reports and history. Accessing this information can provide vital insight on sale trajectories, transaction sizes, location of sales, best-selling items/services, and much more.
By choosing to work with a team of Chartered Professional Accountants, it's possible to gather in minutes what could otherwise take weeks.
Anyone looking for personal or corporate tax planning services is encouraged to contact Mew & Company Professional Chartered Accountants in Vancouver at 604-688-9198.
About Mew + Company
Mew + Company, Vancouver, is an ideal solution to the taxation problem. With a simple philosophy of building long-lasting customer relationships, the company has been serving corporate clients in a variety of fields—including restaurants, real estate, retail, and the service industry. Investing in their specialist services will undoubtedly be fruitful for all kinds of clients.
To learn more about Mew + Company and discuss their services, log on to https://mewco.ca/
Lilly Woo, CPA, CA, CFE, CFP
Mew + Company Chartered Professional Accountants
604 688 9198
Company Website: https://www.mewco.ca