Reducing Your Tax Burden When Selling Your Business With Crystal Stranger [The Opportunity Ep.148]

We are back with a brand new episode!
__________________________________________

Nothing is certain except death and
taxes.As a
business owner, taxes are a double whammy—they affect both your
personal and business life.


Imagine working hard to build a business that's set to
change your life when you sell it, only to watch taxes eat away
at your profits.


Thankfully, there are savvy tricks entrepreneurs can use to
shrink taxes and pump up profits when selling their
businesses.


That's where Crystal Stranger comes in. Crystal is the
Partner & COO of Cleer Tax, a company that helps US
businesses and entrepreneurs navigate their taxes. 


In this episode, Crystal joins us to discuss the various
strategies entrepreneurs can use to reduce the amount of tax
incurred when building and selling their online
business. 


She unpacks the most common types of taxes that businesses
encounter and how to structure your business to cut down on the
taxes you have to pay.


Crystal also exposes the big tax blunders many business owners
make—like skipping tax filings or setting up shop in high-tax
states. According to Crystal,


"A big mistake I see entrepreneurs make is using state
addresses for vanity reasons, like having a California or New
York address to make their business look established or cool.
Some entrepreneurs also sign up for mailing addresses without
specifying the location. Putting these addresses on your website,
invoices or communications can create large tax liabilities in
those states."


We also dissect the differences between an asset sale and a
stock sale, with Crystal explaining how a stock sale can save
non-US business owners massive amounts of money!


You might not dodge taxes completely, but armed with the
insights from this episode, you can certainly trim your tax bill
and safeguard your hard-earned profits!
Topics Discussed in This Episode:


Crystal's background and how she ended up helping
entrepreneurs with tax (02:23)


The most common types of taxes that businesses encounter
(06:08)


The differences between LLC and C corp (09:45)


Structuring your exit as an eCommerce business owner
(12:23)


How the Nexus tax system works for sales tax
(19:26)


The common tax mistakes entrepreneurs make when selling
their business (31:09)


Stock sale vs asset purchase (36:14)


The best way to use the proceeds of your sale to grow
another business (45:49)


How tax applies to Holdco businesses (51:14)


How sellers can make their business more attractive from
a tax perspective (54:46)

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Sit back, grab a coffee, and learn how to reduce your tax
liability and maximize your profits!