Def wouldn't go below about 2500 calories to cut, better the weight comes off moderately and you be able to feel good and sustain your diet then crash and give up. Count your calories, eat clean sources of food, and if you're not squatting, start. If you are, squat deeper than you have been.
Squatting has no bearing on weightloss necessarily, but if you don't have a good medical reason not to, you should be doing it. And deadlifting. They put hair on your chest. Even if you're gonna shave it off, at least you have the option.