Retaining Profits Creates Different Cash Problems in Different Structures
Model business reinvestment and owner tax funding together.
TOPIC COLLECTION
Retained earnings
A focused reading path from Entity Economics. Start with the question closest to your situation, then review the linked sources and documentation steps.
Tax Distributions Compete With a Growth Budget: Put Both in the Ownership Agreement
Model owner tax funding alongside reinvestment, reserves, and unequal household circumstances.
A C Corporation Retains Large Cash Balances: Document the Business Need
Connect reserves to specific plans and obligations before assuming indefinite retention has no further tax issue.