Strong reasons for Small business hire CFO Services

Strong reasons for Small business hire CFO Services

No one is better placed within an organization than the CFO to build a system based on a dynamic model and establish sustained financial results in a sector. Taking advantage of the financial experience, the CFO is channeling it into a strategic leadership position to build sustainable sustainability for the organization and its stakeholders.

A CFO has extensive knowledge of your corporate strategy and banking partnerships, meets with the board of directors, reviews comprehensive accounting and management analyses, deals with auditors, manages tax reporting, and sets rules on monitoring and payroll. Their roles include budgeting and planning, overseeing mergers and acquisitions, and regulatory concerns.

The CFO is forward-thinking in terms of fiscal, manufacturing, financial, policy control and social issues. A CFO is especially important to a quickly growing corporation with a vast number of staff and extensive product lines. Finance officers often add immense benefit to an organization as they consider making an investment or planning themselves to be purchased.

A CFO may offer guidance as predicting success is of vital significance when an organization sets its eyes on securing funding.

Evaluating the type of CFO or the level of expertise available depends on the status of the business and where it is projected to be in the immediate future. In businesses that are witnessing rapid growth, a specific reason in recruiting a CFO could be linked to the decision to raise investment capital. In this situation, the finance chief also is the contact responsible for keeping investors up-to-date on the company’s results. The form of institution, whether public or private, and its history and culture would also affect the style of CFO required.

Changing markets, technological advancements, and modernization have expanded the concept of the position of CFO. It’s not constructive to stretch the position of the CFO so much, because it’s obvious not to expect the CFO to be successful at all.

When are you going to hire CFO Services?

Your business is expanding beyond your dreams, and now you’re finding yourself all over the place. Sales are growing up, so is the number of clients. You can not claim to be a flexible specialist in all business practices.

You’re a businessman, so you need to focus on your job, not on it. Employ the best professionals to take care of your accounts, so you can lay back and enjoy.

At CFO Services, provide the enterprise with all the support it needs to succeed. Leave the lifeblood job in the hands of the professionals so that you can concentrate on focusing on your core business! Wondering when is the time to hire a Virtual CFO?

  • You’re going to lose crucial financial details
  • Note the need for cash
  • You need a good financial way to walk on
  • Non-core operations are attracting more interest than the core business!
  • Require a person to assist with financial advice

CFOs execute a variety of main tasks. This may include:

  • serving as a right-handed and sounding board for the CEO to develop the company.
  • Ensure prompt receipt of sales.
  • Holding a business funded.
  • Encourage partnerships with providers of funding and help to relieve the CEO of the responsibility of maintaining relationships with creditors, borrowers and main stakeholders.
  • Company is more data-driven than ever before. The CFOs provide an interpretation of the results and offer crucial perspectives.

Reasons to Hire a Virtual CFO Services

We give you six strong reasons to employ a Virtual CFO Service, CFO Services provides you with absolute 360-degree support in managing the cash flow. We also suggest measures to increase the size of your company. And best of all, Virtual CFOs can be available over just a phone call or WhatsApp! Brief the following strong reasons to employ a Virtual CFO Service

  • Virtual CFOs provide versatility.
  • You will have them at a fraction of the cost i.e. Cost productivity.
  • They have immense skills and abilities means-Experience and Outlook.
  • They will respond to the evolving needs, such as Accessibility and Scalability.
  • You will work for a team, not just an person,
  • Independent perspective
  • Make strategic choices

A CFO might be needed:

1. DURING FAST DEVELOPMENT

Continuous expansion is a significant predictor of the need for a CFO. Development needs the proliferation of integrated structures, new infrastructure, and funding. The CFO is best positioned to cope with accelerated sales growth due to potentially increased difficulty. They must define innovation and development and the context of capital acquisition.

In order for the company to expand faster, the CFO must analyze the overall financial situation of the organization, industry dynamics to adopt the right approaches, and increase cash flow and earnings.

For sectors with regular transitions involving drastic shifts in capital management and businesses with fast growth or ambitious M&A strategies, external CFOs have become an essential tool. External hires are highly respected for their expertise in M&A, global networks, critical thinking and strategic perspective. Many CFOs with development experience have worked in specialized service companies such as investment banking, accounting, or private equity for a significant part of their careers

2. NEW PRODUCTS, MARKETS, OR Services

The future is more uncertain than ever before. Disruptive technologies, changing business conditions and modern leadership styles demand transition and adaptability. As a result, the CFO looked at him as a transition expert.

The CFO makes it easier to find new prospects and develops the goods and markets of the client, capitalizes and prepares for potential development, generates and expresses the business success narrative efficiently.

The CFO will address the main questions that revolve around the right location and the pacing of the extension.

3. FOR MERGER AND AMALGAMATION, OUTSIDE INVESTORS AND DEBT FACILITATION

If a company is planning for a merger and takeover, a committee is needed to assess a possible transaction. For certain cases, that will be outsourced and the company will still conduct due diligence on financial and regulatory matters.

The CFO must view the results of the due diligence team in order to adapt the terminology to the findings. The CFO will be able to express these results to a prospective borrower or lender. The CFO should be well trained to predict problems in order to shorten the process.

4. WHEN PROFITABILITY IS NOT A SATISFACTORY DEGREE AND YOU DO NOT KNOW WHY

Managing prices, increasing efficiency, and evaluating price approaches are three areas that the CFO can increase profitability. Better decisions will be taken around the business by increasing the awareness of productivity. Through the oversight and management of financial services, the CFO can keep the CEO, the Board and investors aware of past and current financial reports.

The CFO must dig closely to measure the productivity of workers in order to decide if there are bottlenecks or slowdowns in operations. Financial reports from the CFO provide the CEO with a clear summary and comparison of the net income from revenues and operational expenses.

5. AS TAX PLANNING HAS BECOME COMPLEX

Corporate reputation is dependent on its ability to plan and report correct annual statements and to comply with its tax obligations. It could be time to recruit a CFO if the organization is unable to do so. High net worth corporations are frequently faced with complicated tax laws and regulations. The CFO works as a trainer and helps:

·         Consider changes to the law and which rulings will have benefits.

·         Analyze the tax advantages of investment, capitalization, and incentives for M&A.

·         Provide advice on the financial connection between founders, creditors, and the businesses they control.

·         Increase current tax positions.

·         Create and retain assets.

6. REPRESENTS YOUR APPROACH IF STRATEGIC PLANNING IS A PRIORITY,

An organization has to invest strategically in its personnel and infrastructure to sustain corporate processes such as budgeting, estimating, and long-term planning. A successful CFO recognizes this and can balance its position as a business strategist.

7. NEED FOR A GROWTH AND IMPLEMENT POLICY BUSINESS PARTNER; PROVIDE IMPLEMENTATION AND OVERSIGHT

In the end, the CEO is at the forefront of creating a strategy plan. Nevertheless, the CFO is a central player in the preparation phase by extending the plans of the CEO. The CFO should guarantee that the financial requirements of the plan are not unreasonable or too dangerous.

A successful CFO would be the right hand of the CEO, ready to help and push him or her to lead the company. The CFO must report company results and concerns to the Board of Directors. They should exchange important knowledge and ideas with their colleagues to promote dialogue and decision-making, and to subordinates to ensure productivity and to keep them engaged.

CEOs and boards would want CFOs not only to have timely and reliable financial reports, but also to work with them in shaping the company’s strategy.

The CFO is more informed on the budgets, procedures and risk control required to fulfill the CEO’s strategic strategy. The CFO may outline the specifics of the strategic plan, check it, review its feasibility, and advise on potential changes to the plan in order to achieve the desired outcome.

CFOs are an invaluable friend of the CEO and frequently serve on the board, bridging the divide between day-to-day activities and the overall strategy of the business.

If the execution is complicated, the CFO can take over the strategic planning task.

8. NEED TO HAVE MORE TRANSPARENCY OF POTENTIAL CASH FLOWS

If you need someone to take care of your company resources because the income is not will, you need a CFO. This involves the assessment of the particular investment plan and the type of assets to be listed.

The CFO must make reliable predictions, analyze the terms, create and implement the payment structure and segment the consumers, suppliers and inventory.

9. THE NEED TO ALWAYS BETTER GRASP THE PROFITABILITY

The price approach is an example of how margins can be influenced. Your business members may be ignorant of the combined effect of potentially thousands of price decisions made on a regular basis. Lack of consistency in demand execution can be more detrimental over time than a poorly defined pricing policy. The pricing policy can be a big lever for the widening of profit margins and further control of execution.

10. YOU LACK DETAILED FINANCIAL INPUT, IS CRUCIAL TO DECISION SOUND BUSINESS WITHOUT DETAILED FINANCIAL data

Decision-making is focused on instincts and intestine. This may also contribute to disputes within an company where each has their own personal view of ‘the facts.’ Lack of knowledge may be crucial statistics on cash flow, working capital, or liquidity modeling. You may lack the understanding of demographic, industrial and regulatory changes that could have a direct effect on your sector. Or you are unable to produce the financial reports needed by the banks, vendors, lenders, creditors and associates. You may need a CFO for each of these cases.

CEOs are encouraged to get a finance professional in place who knows how to fix challenges and manage the company financially. CFOs are well placed to help create a business that is financially stable and to generate value for its members.

You don’t even have to invest in a full-time CFO right now. In the first place, anyone who comes in one or two days a week could be enough.

How much do I pay for Virtual CFO services in Delhi and other cities?

You’re interested in hiring a virtual CFO for your business? Please go no further than CFO Products. Compared to a full-time supplier of CFO services, Automated CFO rates are lower. While recruiting a larger company can only cost you a lot, we’re offering you our best Virtual CFO services in India at the fairest price. Our structured Automated CFO pricing is customized to the company’s requirements. We add all the advantages of a virtual CFO with simplicity and usability at a reasonable price. We also offer a free report that will let you know where your company is now!

We offer advice on how to consistently track and evaluate your market growth and earnings. Our team of professionals will be able to support and steer you out of any unforeseen financial situation. Our Virtual CFO Services is located in Delhi and provides Virtual CFO Services in Noida, Chandigarh, Gurgaon, Mumbai, and Varanasi other parts of India.

Fill out the form right now and get in touch with us taking a step forward in helping the company grow smart! If you think your company wants a CFO, please email info@carajput.com.

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance thereon. The author is a Chartered Accountant and the Chief Gardener & Founder Director of Rajput Jain & Associates, a leading Tax & Investment Planning Advisory Service Provider. His blog can be found at http://carajput.com/blog/For any query you can write to info@carajput.com. I hope the information will assist you in your Professional endeavors. For query or help, contact:   info@carajput.com or call at 09811322785/4 9555 5555 480)

MCA Invitation to Public Comments on the Draft Valuers Bill, 2020.

MCA Invitation to Public Submissions on the Draft Valuers Bill, 2020.

MS Sahoo Panel proposed National Institute of Valuers for ...The Ministry of Corporate Affairs (MCA) established the Committee of Experts (CoE) headed by Shri M. S. Sahoo, Chairperson of the Insolvency and Bankruptcy Board of India (IBBI) on On 30 August 2019, to explore the need for an institutional structure for the regulation and growth of Valuation Profession. On the basis of a thorough review and examination of all related issues and input from key stakeholders, the Committee submitted its report to the Government of India on 31 March 2020 along with the Draft Valuers Bill 2020 proposing the creation of the National Institute of Values.

Public comments on the Draft Valuers Bill, 2020 are requested. The report of the Committee as well as the Draft Values Bill 2020 are available in Volume I under the web Page of the CoE Vol. I.pdf. You can view the full page (Volume I, II & III) by clicking on the link.

Draft Valuers Bill, 2020

Stakeholders are asked to submit their responses to tharvinder-upsc@gov.in by email only.

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. The author is a Chartered Accountant and the Chief Gardener & Founder Director of Rajput Jain & Associates , a leading Tax & Investment Planning Advisory Service Provider. His blog can be found at http://carajput.com/blog/For any query you can write to info@carajput.com. Hope the information will assist you in your Professional endeavors. For query or help, contact:   info@carajput.com or call at 09811322785/4 9555 5555 480)

Complete Understanding about Form 15CA, Form 15CB

Complete Understanding about Form 15CA, Form 15CB

Form 15CA and 15CB: Complete Details With Examples

International transactions come with a lot of tax implications. And one often is absent on these.

Section 195 of the Income Tax Act specifies that we withhold tax on sums that are taxable under the Statute. And the banks maintain these databases for financial transactions. Additionally, anytime we make some payment to a non-resident, the bank tests whether or not we have paid duty. So for that dimension, they depend on Chartered Accountants certificates. We are sending this information to banks with Form 15CA and CB. Type 15 CB is usually prepared and approved by CA. This blog explains Applicability of Form 15CA and Form 15CB w.r.t Taxability under the IT Act, Overview of Section 9 and Documentation needed for Form 15CA and Form 15CB, What is necessary of Form 15CA and Form 15CB, What is Form 15CA and Form 15CB, Payment / Remittances does not require Form 15CA & Form 15CB, which requires Remitter information, Remittee information, Remittance details, Bank details of the Remittance.

What is Form 15CA?

Shape 15CA is remitter’s declaration. And a method used to collect information about payments made to non-residents. Indeed the form includes the remittance information. As well as the transaction’s tax details. In fact, whether or not the invoice is subject to vat.

Registered dealers and banks are now making sure we pay taxes on purchases that are made by them. And they are asking us to request these forms before the transaction is processed. They compile those forms and exchange them with the tax authority in addition.

This actually forms part of an Income Tax Department Information Management Framework. To assess tax responsibility, it monitors the overseas remittances and their existence. Department of Income Tax has also created an online facility to file these documents. Therefore we register Form 15CA with the IT department online. Though we are still printing and sharing the details with the bank / AD after submission online.

Difference Part in the Form 15CA

We divide form 15CA into 4 parts––

  • Section A:– Where the remittance or sum of these remittance will not surpass 5 lakh rupees during the F.Y. (Taxable, or not).
  • PART B: – Where the A.O. has obtained an order / certificate u / s 195(2)/195(3)/197 of the Income Tax Act; (If Nil or Lower rate certificate).
  • PART C: – Where, during the FY, the remittance or the sum of such remittance crosses 5 lakh rupees.
  • PART D: – Where the remittance is not tax-due

What is Form 15CB?

Form 15 CB is a certificate, and a Chartered Accountant is required to sign. The certificate sets down in detail the rates and taxes payable. Or in some situations, explanations why taxes are paid. All types have basically the same material. 15CB does require registration, however. We also file Form 15CB first as its acknowledgment number is provided while filling the Form 15CA.

Form 15CA CB Applicability

Whether furnishing forms 15CA & 15CB are required for each and every foreign transaction?

In addition, as per the Updated Income Tax Laws, we now only need Form No. 15CB for all taxable and exceeding Rs 5 lakhs payments.

The following types of transactions are not needed for the 15CA CB form:

  • An individual transaction that doesn’t need RBI permission.
  • Payments of a specified nature referred to in Rule 37BB (shared shortly below).However, we’ve heard of cases where banks still ask for a 15CA CB even when not needed. According to the Income Tax Rules, no filing is to be made in Form 15CA and 15CB in the case of the following type of international remittances (as provided for in Rule 37BB). See detailed list here.Link

Who is responsible for filing the Form 15CA and Form CB  

A person responsible of making the payment to a non-resident or a foreign corporation must have the following information –

Where payment is made below Rs 5 lakh

Information for these payments is provided in Part A of Form 15CA

Where payment crosses Rs 5 lakh

  • Part B of Form 15CA must be issued
  • CA’s certificate in Form 15CB
  • Part C of Form 15CA

Where the payment made is not taxable under The Act

  • Portion D of Form 15CA
  • In the following situations,

No information is needed where The remittance is made by an person and does not need prior approval by Reserve Bank of India [as provided for in Section 5 of the Foreign Exchange Management Act, 1999 (42 of 1999) read in Schedule III to the Foreign Exchange

Notes : We’ve heard of situations where banks are always calling for a 15CA CB even though they don’t need it. In the case of the following forms of foreign remittances (as provided for in Rule 37BB), no filing shall be made in Form 15CA and 15CB, in compliance with the Income Tax Laws. Click here for full list.

https:/www.incometaxindia.gov.in/Rules 20Rules/103120000000007406.htm

Revised rules on Form 15CA and Form 15CB submission

The new rules for filing electronic forms 15CA and 15CB are valid as of 1 April 2016. The comprehensive method of filing the form according to specifications is based on new regulations. The department of income tax has updated the rules on form 15CA and formula 15CB preparedness and application (see previous Form 15CB rules). From 1 April 2016, the new rules came into effect.

Significant changes/ revised rules are as follows –

  • Form 15CA and 15CB shall NOT be needed to be furnished for remittance by an person who does not need RBI approval
  • List of payments of a defined nature referred to in Rule 37BB, which do not need the submission of Form 15CA and Form 15CB, has been extended from 28 to 33, including import payments
  • Form No. 15CB is necessary only for payments made to non-residents which are taxable and surpass Rs. 5 lakhs.
  • Only Part A of 15CA is required when the volume of payment or the number of these payments made during the financial year does not exceed five lakh rupees
  • Part B of 15CA to be filled in the event of receiving a certificate from the Assessing Officer pursuant to section 197 or an order from the Assessing Officer pursuant to subsection (2) or subsection (3) of section 195. For example, Form 15CB is not necessary if order or certificate is obtained from AO
  • Part C of 15CA may be filled out after a Chartered Accountant obtains a certificate in Form No. 15CB
  • Part D of Form No.15CA for any amount not chargeable in compliance with the rules of the Statute. For eg, Form 15CB is not needed if the remittance is not taxable
  • 1 lakh penalty would apply for each non-filing default for forms 15CA / CB

Steps for certification procedures 15CA and 15CB:

15CA and 15CB Certification process: Steps for Procedures: We are used to assist our clients in transferring money from India to India after Fulfilling the Fund’s origins and taxability, below four Stages for Procedures to follow:

  1. Obtaining a Chartered Accountant (CA) Certificate in Form 15CB – CA must check (although its own procedures) that the source specifies the origins of funds if the TDS is correctly deducted from the flow;
  2. Upload Online Form 15CA,
  3. Send documentation to the bank holding NRE accounts
  • Form 15CA
  • Form 15CB
  • Check (cheque) or Demand Draft for the amount
  • Request letter or form as required by the respective bank
  • Complete all other papers, specifications or formalities
  1. Transfer: Bank must process the transfer and credit NRE account after review of submitted documents.

Mandatory details required when filing in the forms 15CA and 15CB certification

1.     Details of Remitter
    • Complete Name of the remitter
    • Complete address, email with phone number of the remitter
    • permanent account number availability of the remitter
    • Complete Main place of business of the remitter
    • E-Mail address and phone no. of remitter
    • Status (today) of the person remitter the transaction  (company/ firm /other)
2.     Details of the Remittance
    • Proposed date of remittance
    • Nature of transaction as per agreement (invoice copy to be asked from client)
    • Source of fund proof (if any)
    • Country to and Currency in which remittance is made
    • Amount of remittance in Indian currency
3.     Bank details of the Remitter
    • Name of bank of the remitter
    • Name of the Bank with Branch details
    • BSR code of Bank from which remittance is to be made –
4.     Details of Remittee
    • Complete Name of the remittee :
    • Complete address, email with phone number of the remittee
    • Details of Country of the remittee (In which remittance is to be made)
    • Complete Main place of the business of the remittee
5.     Documents from the Remittee
    • Form 10F duly filled by the authorized person of the remittee.
    • Document of Tax residency certificate from the remittee (Tax registration of the country in which remittee is registered).
    • Section under which order/certificate has been obtained ( if any )
6.     Other details needed
    • Father’s name of the authorised person /signing person
    • Designation of the authorised person /signing person
    • Proof of payment of Tax on fund transfer from India,
    • Proposed date of remittance –
    • Complete name of such bank and branch –
    • Supporting Documents for Remittance
    • A digital signature of person who required to fund Transfer,

If you are searching for more current information on these forms, their protocols or any related enforcement, our team of experts will assist you.

We will also assist you in setting up your business in India, including accounting, bookkeeping, payroll, auditing, valuation, secretarial compliance, trademark registration, market structuring, and consulting services. If you need support in this respect please visit www.carajput.com

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. The author is a Chartered Accountant and the Chief Gardener & Founder Director of Rajput Jain & Associates , a leading Tax & Investment Planning Advisory Service Provider. His blog can be found at http://carajput.com/blog/For any query you can write to info@carajput.com. Hope the information will assist you in your Professional endeavors. For query or help, contact:   info@carajput.com or call at 09811322785/4 9555 5555 480)

Gist from the ICAI Advisory released the 2019-2020 Branch Audit of PSBs  Bank during COVID -19 Scenario

Gist from the ICAI Advisory released the 2019-2020 Branch Audit of PSBs  Bank & Present Position of Branch Statutory Auditor Audit Conduct during this COVID -19 Pandemic Scenario

Social distancing - Lifting of coronavirus lockdown: The possible ...

The essence from the ICAI Advisory published the PSBs Bank & Circular Branch Audit 2019-20 issued by RBI with respect to Branch Auditor Audit Actions.  Members / CA businesses awarded the PSB Division Audit for 2019-2020.

The ICAI has instructed the bank branch audit process to be conducted remotely by searching for some details over the net and also asked the bank to keep the balance required data/documents ready to ensure that the audit process is effectively undertaken and completed as and when physical access to the branches is allowed in the coming days, in compliance with government regulatory guidelines.

The Bulletin also said that ICAI’s Professional Development Committee (PDC) will hold a few seminars to discuss and resolve the various challenges that the statutory branch auditors are likely to face, as well as the practical resolutions to them.

In addition, similar to previous years, ICAI’s AASB has formed an advisory panel to answer the questions related to formal bank audits presented by the participants.

How Chartered Accountants to conduct the Bank Branch Statutory Audit

Guidance’s for Bank Branch audit

New RBI direction during this COVID -19 Pandemic Scenario. With regard to Bank branch Audit is as below

  1. This year, a compulsory audit of branches with advances over Rs 20 crore is not compulsory.
  2. A total of 90 percent of advances must be audited separately for funded and non-funded advances (previously 90 percent of total advances). Big relief for bank branch audits,90 percent of advancements to be covered, time even extended. Great technical achievements. There may be minimal casualties for small branches. Banks encouraged to guarantee advance coverage.
  3. Banks that have already assigned branches can still make the required changes if required.
  4. Auditors who are reluctant to perform a corona impact audit and refuse to audit then banks can appoint additional auditors with permission from RBI.
  5. In the case of remote branches, banks should ideally organize auditing via electronic media from separate locations.
  6. RBI Updated branch coverage Guidelines- RBI Says This is supposed to allow banks some versatility in rising the number of branches protected by branch audits without losing the percentage of coverage of the bank’s company.

Potential effects of the new Scenario may come on bank branch audit –

  • Branches of 3 to 2 branch can be available for audit purpose may be.
  • In Branches fall in red zone hotspot areas the branches cannot be audited
  • Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance thereon. The author is a Chartered Accountant and the Chief Gardener & Founder Director of Rajput Jain & Associates, a leading Tax & Investment Planning Advisory Service Provider. His blog can be found at http://carajput.com/blog/For any query you can write to info@carajput.com. I hope the information will assist you in your Professional endeavors. For query or help, contact:   info@carajput.com or call at 09811322785/4 9555 5555 480)
  • #rja #rajputjainandassociates, #bankaudit #Covidrelief #statutarybarnkaudit #RBI #CA #ICAI #Audit #TIMLELINE

Brief note on -Payment security to MSME according to Law  as per the MSME provision

How MSME SAMADHAN help small business in delayed payment?

Section 15 of the MSME Act states that if the supplier supplies products or offers any services to any purchaser, the consumer shall make the payment on or before the date stated in the agreement and, if there is no agreement before the date specified. The proviso to this Section states that the credit period provided by the seller shall not exceed 45 days from the date of acceptance or from the date of acceptance deemed.

  • “Approved date” means the day immediately following the expiry of the 15-day period from the date of acceptance or the date of considered acceptance by the purchaser of any products or services from the supplier;
  • ‘Day of acceptance’ means,-( a) the day on which goods are actually delivered or services are rendered; or (b) where the customer poses some complaint in writing concerning the acceptance of products or services within 15 days of the day on which products are delivered or services are rendered, the day on which the supplier eliminates such complaint;
  • ‘Day of deemed acceptance’ means that the buyer does not object in writing to acceptance of products or services within 15 days of the day on which the products are delivered or services are rendered, the day on which the goods are actually delivered or services are rendered;

Thus you are not entitled to pay interest under the MSMED Act in respect of delayed payment.

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. The author is a Chartered Accountant and the Chief Gardener & Founder Director of Rajput Jain & Associates , a leading Tax & Investment Planning Advisory Service Provider. His blog can be found at http://carajput.com/blog/For any query you can write to info@carajput.com. Hope the information will assist you in your Professional endeavors. For query or help, contact:   info@carajput.com or call at 09811322785/4 9555 5555 480)

IBBI amends CIRP Regulation by relaxation timeline due to COVID-19 outbreak

IBBI amends the CIRP Regulations to include relaxation due to COVID-19 outbreak in the corporate insolvency resolution process

Coronavirus outbreak: Relaxed IBC timelines may be a face-saver ...

The press note on the lockout notification reads as follows: In order to solve this dilemma, the IBBI amended the CIRP Regulations to ensure that the lockout period enforced by the Central Government following the outbreak of COVID-19 is not to be counted for the purposes of the time-line for any operation that could not be completed as a consequence of the lock-down.

However, it would be subject to the overall time limit set out in the Code. Why does the word ‘subject to the Code’s complete time limit? Will that mean you have to stick to the periods of 180/270/330 days. Only relaxation is in respect to the prescribed timelines for the different activities for which relaxation was given. Was my interpretation inter alia LINK

Regards

Rajput Jain & Associates

www.carajput.com

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. The author is a Chartered Accountant and the Chief Gardener & Founder Director of Rajput Jain & Associates , a leading Tax & Investment Planning Advisory Service Provider. His blog can be found at http://carajput.com/blog/For any query you can write to info@carajput.com. Hope the information will assist you in your Professional endeavors. For query or help, contact:   info@carajput.com or call at 09811322785/4 9555 5555 480)

#rja #rajputjainandassociates, #compliance # Covidrelief #tax # GOIapproved #Comparisontable #IBBI #IBC #ICRP #TIMLELINE

Comparison table showing section wise changes proposed in Finance Bill

Covid-19 battle: Cash-strapped states send SOS to centre - The ...The company is having difficult time due to Covid-19 and countrywide shutdown and finds it difficult to render regulatory enforcement. In light of this, the GOI has approved some GST relief measures. I am sharing a document briefing about Comparison table showing section wise changes proposed in Finance Bill – By GST & Indirect Taxes Committee  Link

#rja #rajputjainandassociates, #compliance # Covidrelief #tax # GOIapproved #Comparisontable #sectionwisechangesproposed

 

CFO Service for small business

CFO Service for little business- Introduction

Businesses often think that they can leverage their business growth without the help of a CFO. However, they fail to realize that having a financial expert on board will reduce the amount of risk involved.

As every business evolves, so does the need for a business to move forward. And when it comes to moving forward, finance place a vital role. Thus, to keep a constant track of your finances and to optimize them, you need a CFO for your small business too.

It is often difficult to manage a small business as it comparatively has fewer resources and managerial skills. Continuity is the key to any successful business and CFO services gives the required sense of continuity.

Reasons for hiring a CFO Small Business

  1. CFO Services helps to raise money:

Small businesses face financial constraints because of less creditors. The CFO helps you collect funds and also makes efforts to cut costs to free up your capital. So, you’ll find a reasonable amount of new capital to invest in successful business.

  1. They enhance your cash flow.

They control the cash conversion process, resulting in improved liquidity collections. The CFO’s optimized cashflow estimates help you monitor your cash better.

  1. They help you improve productivity

Small businesses are initially concerned with their productivity. Hiring a CFO will give you a strategic plan for how to maintain your productivity and boost it. You will learn from their professional guidance on a wider scale, giving you bigger profits!

  1. You have a rising business

Small businesses have tremendous growth potential. Every firm is going through a different growth stage and CFO Services offers tailored services to fit your needs. A increasing firm would need an expert’s helping hand to step in the right direction.

When is CFO Services the best time to hire?

There’s no particular date for your small company to employ CFO Services. From the initial stages of your business we recommend hiring a CFO. Startups and small businesses are skipping this move to save money.

Hiring CFO Services is never too late, as they can leap straight into your company and sail through all the difficulties.

CFO Solutions is a one-stop solution to all your matters relating to accounting, management and governance. And we assure you, once you grow with a CFO’s experience, you’ll never look back!

When You need CFO Services :

  1. Your business grows at rapid pace
  2. Finance and working capital fell short
  3. A Financial Plan is required to push forward
  4. Doesn’t achieve desired productivity
  5. Need detailed financial details for an overview of your status

Why use us? 

CFO Services provides you with an experienced team of professionals on board who have the exact expertise and experience required to develop your company! We sell services to CFOs in Mumbai, Delhi, Chandigarh, Gurgaon, Noida. and many other big Indian cities.

Rajput Jain & Associates CFO services focus mainly on start-ups, small companies, medium-sized and large businesses as we understand the challenges they are going through.

We also offer you a free audit of your financial position to let you know your current state! Fill out the form right now and get a free audit from our expert team!

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. The author is a Chartered Accountant and the Chief Gardener & Founder Director of Rajput Jain & Associates , a leading Tax & Investment Planning Advisory Service Provider. His blog can be found at http://carajput.com/blog/For any query you can write to info@carajput.com. Hope the information will assist you in your Professional endeavors. For query or help, contact:   info@carajput.com or call at 09811322785/4 9555 5555 480)