Do you own a retail business and looking for some ways to increase cash flow and, overall, keep more of your hard earned money?
Maybe you own a gas station, or a clothing store, or even a small strip center. No matter what type of retail business you may own, there is a good chance that you are looking for a way to save money. Times are tough and it is retail businesses such as yourself that often feel the biggest hit in these tougher economic times. The good news is that a cost segregation study done by Segregation Holding will help you save money, increase your cash flow and lower your income tax burden. We deliver results every time cost segregation is applied and more often than not, our results will far exceed your expectations.
The biggest way that a cost segregation study can help your retail business is the process of applying accelerated depreciation to all qualifying assets. By reallocating assets to tangible personal property and land improvements a business owner can use 5- and 15-year accelerated depreciation instead of the real property depreciation that is on a 39-year depreciation schedule. When you reallocate these assets using MACRS method of accelerated depreciation, you are able to reduce your taxable income which also increases your current cash flow. What business could not use additional cash flow? Cost Segregation studies done by Segregation Holding always succeed in reducing your income tax burden. Segregation Holding will work with you every step of the way! Segregation Holding files all your paper work according to the IRS guidelines which, of course, helps you keep more of your hard earned money.
In addition to using accelerated depreciation on personal property, retail business owners can also look forward to some additional tax savings for land improvements. These are things like landscaping, your parking lot, curbs, sidewalks, signage, and fencing. Retail businesses understand the need for constant renovations and upgrading of their shops to stay with current trends. Many of these renovations such as updated lighting and flooring, new trim and wall colors, and other upgrades can qualify for either 5-year or 7-year accelerated depreciation. This again will help the business owner increase their cash flow as well continuing to lower their income tax burden. Have you recently done renovations and already filed your taxes? No problem, our team of professional analysts can help determine if you qualify for any retroactive tax benefits.
A good example of a retail business would be restaurants. Restaurants are full of tangible personal property as well as extensive land improvements. Most of the time restaurants realize as much as 40% of their facility being accelerated due to cost segregation.
So, to answer the question, “can a cost segregation study help your retail business,” the answer is a resounding YES! As long as your business is profitable and paying income taxes now, or have over the past three years, we can help.
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