Forums: Discussions for entrepreneurs and small business.

Below is a little diagram (and description of what I'm thinking of). Any guidance would be helpful. Thanks.

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If you own 100% of the company I don't see where a partner comes into play.  Generally speaking all the money you take in from your business providing goods or services is considered revenue.  From your revenue you subtract your expenses.  This net number is your net income (if positive) or net loss, if negative.  Assuming you had net income you could chose to leave it in the business and reinvest it or withdraw it from the business and use it personal reasons.  In your example 100 income - 20 of expense = 80 net income.  What you do with the 80 net income is up to you.  You can decide to take out a portion, take out the whole thing, or leave the whole thing in your business.

 

I'd be happy to answer any other questions you have

 

 

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