Quote:
Originally posted by RawAlex@Dec 15 2002, 05:32 PM
You set up a second corporation, and pre-pay it for traffic... then use that money to pay for traffic in the next 12 months... 1st company takes the expense in 2002, and the second company only book the revenue as it expenses the traffic in 2003 (because until it actually buys some traffic from someone else, it is not able to sell anything... it just has a pre-bill).
Alex
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Problem with that is that the prepay for 12 months is not a deductible expense if you follow proper accounting and taxation rules. It is a prepaid asset that should sit on your Balance Sheet as a pseudo-receivable.