My husband and I are therapist and see clients under our individual ss#. We are not incoporated and when we are gone the business is gone. So I do not know how to complete the css. There is no “value” since our business is not some thing we can sell. We do claim business expenses and file jointly. So how do I answer these questions.
Thanks
Your customer list has no value? The business has no business assets (laptop, ipad, cell phone, printer, car, furniture)?
Even with no tangibe assets, a service-based business can often have a value for the customer base.
But I get what you are saying. If you believe the value is zero, then put down zero.
For you and for most everyone else who owns a business the answer should be ZERO. Aside from the fact that you are asked to report its NET WORTH (assets minus liabilities), Congress changed this reporting requirement in 2005, exempting families from reporting any dollar value if they control more than 50% of a business having 100 or fewer full-time employees.
@minnesotadadof3 As per the thread title and in her original post, she is asking about reporting small business value for CSS Profile, not FAFSA.
Thanks for the CSS reference, Madison85.
Good point about FAFSA, MinnesotaDadof3.
I’m not sure that the business has no value. If have an established client/patient base, it may have a value.
I don’t think it does. Doctors can’t sell their patient lists, and another psychologist can’t buy the list and go looking for customers. A transfer is usually done by the doctor giving the patient a list of a few other doctors and the patient seeing if anyone on the list takes the same insurance. The OP and spouse would get no value from the transfer or ‘sale’ of the referral.
I’d value the ‘good will’ at zero, and the minimal assets (computer, office furniture) at a minimal value, maybe the insured value?
Called a university with this exact question today for CCS - both parents are self-employed and have a small service based business (no real estate, no inventory, 2-4 employees in addition to us) and was told we should just fill out as if we were 2 independent contractors and not put value for business - but under business income we should put both of our combined earnings. I hope this is correct.
You’ll find out, because they will almost certainly want your tax returns, Schedule C (or corporate, LLC filing) and other business tax docs before they offer you financial aid. IMO filling out the CSS is like making your best guess - they will make an award based on your actual docs. That was my experience last year.
Value is zero because you have no business assets unless you own some real property. It is very difficult to sell an unincorporated business.