Office of the CFO Presented by: Brett Redd, CPA

Save Time and Money

Office of the CFO  Confidence  Profit  Cash flow  Compliance

Confidence  FIELD  Bankers  Merchant providers  Investors  Regulators

Profits What is the VERY most important driver of profitability in direct sales?

Profitable Sales

Dialing It In

Leading Indicators  Sales revenue  New consultants/reps  Number of parties/size  Activity percentages

Profits vs. Cash Flow

Cash Flow Killers  Inventory  Merchant reserves  Overhead  Growth Must forecast both profitability and cash

Compliance  Multi-state sales tax  Foreign income tax  Gross receipts tax / use tax  1099 and payroll taxes  Merchant covenants  Bank covenants  Business licensing

Sales Tax Mayhem  8,000+ taxing jurisdictions  Nexus and direct selling  Reseller permits  Trust funds of the state Remember – it is a pass through

Sales Tax Set Up 1) Research – product, price, customer type 2) Rates 3) Set up software 4) Register 5) Collect and remit

Brett Redd, CPA