You made a profit. Are you keeping enough of it?
For most owner-managed businesses, the answer is no. Not through any mistake. Through decisions that were right once and were never revisited.
Most businesses lose money to HMRC every year without ever making a mistake. There's no error to find, or a deadline that’s been missed. It can feel as though you are being punished for no good reason.
As with many things, the answer usually lies within the set-up. 72% of business owners haven't updated how they take profit out of their business in the last three years. Now ask yourself; When’s the last time you had that conversation with an accountant?
Where it usually hides
Take your salary and dividend split. You might have settled on it years ago, on advice that fit then. Since then, however, thresholds have shifted, and your profits have grown. The split hasn't kept pace and now it’s costing you.
The same goes for the shareholding a spouse could hold but never did, or pension allowance sitting unused, when it's one of the most efficient ways to move money out of a company. Cash is so often just sitting in the business account, earning nothing, when it could be working. None of these are dramatic on their own, which is exactly why they get missed.
Profit extraction isn't a once-a-year job you tick off with the accounts. It’s something you need to tailor regularly, and that’s where we can help you.
Why Toast?
We don't guess. We guide. Toast has helped hundreds of directors optimise for what they keep, not just what they make. We do this work every day, for people who'd rather see the numbers than hope for the best.
CLIENT Feedback
Dawson Hinds
Owner
We know exactly what's there. We know our tax bills nine or ten months ahead, so we have time, we can plan, we can save up to pay them. It's just much more clarity. There's literally every piece of information you could think you'd need, available and already done.
Karolina Pelc
Founder & CEO, BeyondPlay
We'd tried a number of accountants previously. Moving to Toast, we made the right choice. Fast-moving needs, met efficiently.
The Scorecard
The hard part has always been knowing where to look, so we built something to make that simple. Our free Profit Extraction Score checks your setup across nine areas, from how you take income to how your company's cash is working, and shows you where profit is leaking and what to do about it. A few minutes, no jargon, no sales pitch.
See what your structure
is really costing you.
Three minutes now could be worth thousands at year end.