5

A look at

A Burden
on Small
Business?

Presented by SCORE.org

Business Owners Spend Significant

Time and Money On Tax Preparation:
28%
40%
Time spent on taxes, payroll,
working with accountants Spend <21
hours/year
and obligations: Spend 80+
15% Spend 21-40 hours/year hours/year
18% Spend 41-80 hours/year

23% 31%
Spend $1000
18% 12% 16%
Spend $1000 Spend $5000 Spend $10000 Spend $20000
to $5000 or more
or less to $10000 to $20000

(Annual costs of administration of taxes, internal costs, legal fees, etc.)

40% Say Bookkeeping & Taxes

Are The Worst Part of Owning
A Small Business
Specifically...
47% dislike the financial cost
13% dislike administrative headaches and time
13% dislike the complexity of compliance
10% dislike changing regulations and confusion
8% dislike all the paperwork
8% dislike inequity of the tax code

Monthly Payroll Time and

Business
Spending Adds Up,Too: Payroll Costs
(monthly)
Monthly time 21% 8% < $50
spent by those no time at all
15% $51-$100
that do payroll 26% 46% $101-$500
in-house: 1-2 hours/month 14% $501-$1000

26%
3-5 hours/month
12%
5%
$1001-$5000
$5000+

17%
6-10 hours/month

11%
10+ hours/month

SOURCES:
http://www.businessweek.com/articles/2014-04-11/10-tax-stats-for-procrastinating-small-business-
owners
https://www.godaddy.com/news/article/small-business-owners-not-taking-advantage-of-
technologies-that-save-time-money-during-tax-time.aspx
http://www.nsba.biz/wp-content/uploads/2014/04/NSBA-Tax-Survey-2014.pdf