As stated last month when we discussed the Economic Stimulus Package, there may be tax money available from tax carryback claims. If your plans call for equipment acquisitions, you have to figure this into your financial plan for 2008. Knowing you have carrybacks available may allow you to reduce estimated tax payments for 2008.
If you have the cash account under control and are paying bills in the normal course of business, you will make it through this business downturn with the ability to make even better inroads into your markets in the future. This is no different than the old saying about it being a good day if you have one additional dollar in your pocket at the end of each work day.
So get out your pencil, calculator or laptop and start tracking your cash each and every day. It's a good habit to get into no matter which way the economy is heading.
Garry Bartecki is director of dealer/distributor services at BDO Seidman, LLP of Chicago, as well as a consultant to the AED. He has also worked as an independent CPA and consultant to equipment dealers. He can be reached at (312) 616-4677 or email@example.com.