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Tax Tips For BC Yoga Studios

It’s safe to assume that Vancouverites LOVE their Yoga. There is no shortage of studios in this city and a most of the time they are filled to the brim with people gaining strength and learning to control their breath. Even though we have a large community of Yoga lovers in the city you can’t ignore the fact that competition is fierce and if you want to remain in the game you have to stay innovative and manage your business well.

Here are our top tips for staying zen and remaining profitable

Outsource Your Payroll  

I know that it seems like we are trying to trick you because we are a bookkeeping company but we can confidently say even if we were in the jump rope industry this would be our advice.

Many studios make the mistake of getting the reception team to take care of duties such as payroll and bookkeeping. Your reception teams number one focus should be providing exceptional customer service so that your customers have a great experience.

Constant distractions and inexperience can lead to costly mistakes by creating the ideal environment for data entry errors. By outsourcing your payroll to a reputable provider you can ensure that you are deducting the correct amounts from your employees AND remitting the correct amounts to the government.

Reputable providers take responsibility for any errors and therefore are much more thorough with their entries. They also know the tax laws inside and out, protecting you from unnecessary penalties.

 

Ensure Your Sales Are Recorded Correctly

This may seem like an obvious simple step but you would be surprised how often businesses set up their sales software and tax amounts incorrectly. Ensure that all your sales (from all sources) are recorded in Mindbody (or whatever software you are using) correctly. Have a professional double check your set up to ensure that you are charging the correct taxes and that the money that goes into your bank is properly recorded as income.

The last thing you want to do is discover after several months of taking payments that you aren’t charging your clients correctly or recording your payments effectively. This can lead to significant losses, especially if you end up having to pay additional taxes from your own pocket.

Pay Your Taxes On Time

One of the easiest ways to avoid unnecessary expenses is to pay your bills on time, taxes included. Ensure that all your PST/GST returns and payroll taxes are filed and paid on time to avoid late filing penalties. If you find deadlines difficult to manage in-house then hire a professional bookkeeper to manage this element of your business. The CRA won’t tell you if you’re early or have overpaid but they will be quick to seriously penalize you for being late.

Save Your Pennies

Businesses tend to ebb and flow. Make sure you have a clear understanding of your fixed costs and create and maintain a monthly cash flow budget so that you can avoid stress during slower periods.

In addition to offering your services create passive income when possible, rent out your space to other professionals and community groups during your down times to maintain your income.

During our time offering bookkeeping services to Yoga studios around Vancouver, we have seen all the common mistakes that Yoga studios make and the great ideas that work. If you have a yoga business and need help with your bookkeeping don’t hesitate to contact us today.

Homeroom Client of the Month: Shanti Yoga

This month’s client of the month is Chantal O’Sullivan from Shanti Yoga Tsawwassen.

Over the last four years Shanti Yoga has helped spread the message that “yoga is for everyone” throughout the area of Tsawwassen .

Having recently doubled in size to accommodate their growing community, Shanti Yoga offers a variety of classes including; Hatha, Power, Flow, Yin Yoga & Shanti Sweat. They also offer a variety of yoga clothing created by unique designers. 

We asked Chantal a few questions about her business, and here’s what we learned

How many years have you been in business? 

Four years.

What do you enjoy the most about being a business owner?

That’s a tough one. It’s a lot of work, but I really enjoy it. I love teaching yoga, connecting people and seeing the kula, or Some of our Shanti Yoga teachers celebrating our beautiful community; L to R: Owner Chantal O'Sullivan, Cam Lee, Kaylen Jolly, Natasha Yule, Jodi Butchart, Dal Sumal, Oksana Yatsenko and Majessa Castonguay; photo by Daniel O'Sullivan, Centennial Beachcommunity grow.

What motivated you to start your own business?

I saw an opportunity and I jumped in. You know that saying? Leap and the net will appear? I really believe in that, especially if you have a big passion for something.

What advice do you have for other people who would like to start their own business?

Do lots of research before you take the plunge, be certain that you love, love, love what you’re doing & make sure you have a good support network. Friends and family, a partner who you can trust, make a huge difference.

I run my business along with my husband, who is all around amazing. And that’s an understatement. I’m also conscious that I can’t do everything, so I try to continually empower people to take charge and to lead.

How do you achieve a work life balance? Sometimes I do and s
ometimes I don’t. I’m always working on that. Like yoga, it’s a practice, not a perfect. But one thing that really helps: I try not to check my email after 7 p.m. (Notice I said “try”….hehehe)

And finally who could benefit from your services?

Everyone, really, every body. If you can breath, you can do yoga.  Yoga can help you to breath better, to exhale, to let go and to smile more.

Connect with Shanti Yoga Commercial Drive on Facebook and Twitter 

 

If you would like to be featured as our client of the month please let us know by contacting us.