Questions and Answers

Click on the question you are interested in for the answer.

1. How will I be able to get bank financing for a house or vehicle if I am receiving most of my income in a corporation?

Most banks will accept your corporate income for financing. Most of the problems that banks have with using your corporate income for financing is the information that they receive on the income and expenses and how it is reported. This is where quarterly accountant supervised reports go a long way to assist you in your financing requirements. A banker is always impressed when you have a certified accountant able to answer their questions.

2. If I am already a sole proprietor why should I incorporate and what can ManGo do for me?

The first good reason to incorporate is to save you money. A corporation is taxed at a lower tax rate than you are as a sole proprietor. Why pay more taxes when you can keep that hard earned money in your pocket.

The second reason is that if by chance there is an accident on a job-site that causes injury or damage that can be attributed to your negligence the insurance company will hold you personally responsible. You can be personally sued for the total damages which could cost you everything that you own.? If you are incorporated, your corporation places you a step further away from being liable on a personal level. We also recommend that you carry liability insurance so your corporation does not suffer total loss if an accident or injury should occur.

At ManGo Solutions we can assist you in this process to make it easy with professional advice and service.

3. What risks are there if I do not have liability insurance?

If you do not have liability insurance you will be sued personally for any negligence or accidents relating to any and all work you or your employees provide. Many general contractors and or owners will not allow you on their job sites without it.

4. I can do my bookkeeping for a flat annual fee, why should I pay per month fee for a service that I can do for less?

The difference in cost at first may look appealing but it is much like buying tools; the cheapest tool on the market is not the one that will save you time and money in the long run. At ManGo we include your year end tax return; both corporate and personal along with your spouse’s personal tax return. Your bookkeeping services along with your quarterly reports are included in your ManGo membership fees. Getting the job done the right way, with the proper tools, and from the beginning always saves you time and money in the end.

5. I am getting the cheapest vehicle and home insurance rates in the market, no one can touch them, why should I consider changing?

If you are getting the best rates in the industry you need not consider changing, however it costs you nothing to et a ManGo preferred rate quote that our insurance providers offer.

6. How can ManGo save me money when I already have an accountant or bookkeeper who can incorporate me and does not charge me a sign-up and monthly fee?

As a business owner you will have to submit to Revenue Canada Agency your year end tax return. This can be an extensive cost , and you still have to worry about your personal tax return! ManGo's services include the cost of preparing and filing both your corporate and personal tax return. An added bonus of ManGo's services is the preparation and filing of your spouses personal tax return. There are many added benefits to ManGo membership. For example, when you require financing for that new truck or home, the quarterly statements that ManGo's certified accountants have prepared will aid in your credentials as an incorporated business owner as well as having saved you time and money. ManGo's membership fees are approximately the same cost as having an accountant prepare your corporate tax return. So basically your bookkeeping, quarterly statements, third quarter review, personal tax return, spouse's personal tax return, the opportunity to take advantage of preferred Insurance rates, and numerous other benefits of ManGo Membership are a yearly bonus to you and your business.

7. I have not reported my income to the government for years, let’s leave sleeping dogs lie, why should I start paying taxes now?

Revenue Canada will eventually find you. In the past we have had people come to us with the fear of jail time and expensive penalties for not reporting to the government their income. Chances are that your situation may not be as bad as you fear and if you take care of it before Revenue Canada finds you they will be much more lenient, and you will be able to sleep better too.

8. How can ManGo help me with Workers Compensation?

ManGo can show you how to correctly and legally pay lower Workmen's Compensation Board premiums by introducing an additional benefit policy. This added policy is individually structured and properly suited for your business related needs, as well as more reliable due to the coverage being 24/7 and not limited to only the job site. ManGo's intention is to have you adequately covered for disability while still being compliant with Workmen's Compensation Board regulations.

9. If I have an Incorporated Company, will it make it difficult to collect disability insurance when the claims are based on personal income, and a large majority of my income is invested in my corporation?

The answer is no. The Edge has a disability plan specifically designed for the self-employed person making it the most flexible benefit plan that you can get. The Edge disability plan allows you the option of using your gross revenue to calculate benefits available. A ManGo membership is an important factor to you in the event of a claim due to the fact that your membership fees include your monthly bookkeeping, quarterly statements, personal and corporate tax returns.

10. I need health and dental insurance for myself / family and if I am incorporated will I have a problem getting something?

When you are incorporated you obtain the ability to implement a benefit package that is structured so that you only pay for the benefit as you need to use it. This will provide you with amazing opportunities to save on personal taxes and utilizing your corporate dollars. All of this adds up to more money in your personal pocket while continuing to have 100% coverage.

More questions? Contact us for more information or clarification.

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