Finance

How do we determine how much money we can take out of our company while we are paying off loans?

min read
Opinions expressed by Entrepreneur contributors are their own.
You need to understand that you will be taxed on profits. Repayment of loans amounts is not a tax deductible expense - only the interest portion is. You should be working closely with a financial advisor and tax consultant to determine the appropriate amounts of money to be drawing from the business and then determining whether it is through payroll or owner draws - they have different tax considerations.

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