Silly question, of course you do, it’s a common driver for most businesses, but how do you do it?
The obvious answers are to generate more sales, increase sales price or reduce costs. These solutions all work in the right circumstances and there lots of different approaches as to how you do it. However there is a much easier way to ‘make’ or what I should really say is save money.
The answer is to be tax efficient. Most businesses are paying far too much tax, whether that’s corporation tax, VAT, PAYE, national insurance and for individuals; income tax, capital gains tax, inheritance tax. Saving tax is a far easier way of putting more cash in your pocket than by having to sell more or cut costs.
Taxation should be a straight forward system of collecting revenue for the government but as we all know it isn’t. Rules, regulations and allowances constantly change and there are so many of them! The legalese is often difficult to interpret and understand, no wonder businesses and individuals often pay too much.
Your accountant, if he’s right for you and your business, should spend the time to sit down with you, understand your personal and business circumstances and identify how you can pay less tax.
If he hasn’t done this, it’s probably time for to find another accountant who will help you save money.