Author: Pamela Swift

Categories
Operations

Seven Tax Tips for Business

Article Contribute by Bernard B. Kamoroff, C.P.A, author of 422 Tax Deductions for Businesses

Tax Filing Season is here, and there are still several things you can do to reduce your taxes for 2009. Here are Seven Tax Tips that can possibly save you a lot of money on your 2009 taxes. Remember, “It’s not how much money you make, it’s how much money you keep!”

Tip #1. For businesses on the cash accounting system (most small businesses), expenses are usually deducted the year paid. However, if you charge any business expenses to your bank credit card (VISA, MasterCard, American Express, or Discover) you can deduct those expenses the year incurred even though you pay them in the next year. Go through your December charges and add them to your December expenses.

Tip #2. Normally, the cost of your inventory (goods for sale, parts) cannot be written off until sold. But if you have any damaged inventory, inventory that is out of date or out of fashion, goods unsalable for any reason, you can write off this inventory for 2009.

Tip #3. Your business expenses are deductible even if you paid them from your non-business bank account, personal credit card or debit card, or cash. Take a few minutes and go through all of your expenses for the year. If the expenses were for your business, deduct them. (Does not apply to corporations).

Tip #4. Manufacturers, and some construction, engineering and architecture firms, software developers, and video producers, are eligible for a 9% “manufacturer’s deduction” for income earned from domestic production. This “bonus” deduction is in addition to the deductions already allowed for manufacturing expenses.

Tip #5. In addition to your deductible business expenses, you may qualify for special “Tax Credits” available to businesses. Tax credits are very specific and limited, but if you qualify, the credits reduce your taxes dollar for dollar. Tax credits can be a real tax pot-of-gold.

Tip #6. You can put some of your business profit into an IRA or a SEP-IRA, and not pay income taxes on the profit until you withdraw the money. You have until April 15, 2010 to set up and contribute to an IRA or a SEP-IRA for the 2009 tax year.

Tip #7. Finally, and one almost sure way to reduce your taxes, is to re-examine every purchase, every expense you made in 2009. Make sure you’ve taken all the business tax deductions you are entitled to: expenses you didn’t record in your ledgers, expenses you didn’t think were deductible, “personal” expenses that qualify as business expenses. Neither the IRS nor your accountant is going to know about a deduction you forgot to take. It’s entirely up to you.

About the Author
Seven Tax Tips for Business are excerpted from 422 Tax Deductions for Businesses and Self-Employed Individuals by Bernard B. Kamoroff, C.P.A., 9th Edition, 2010. www.bellsprings.com. Toll free 800-515-8050

Categories
People & Relationships

Business Opportunities With “Team” Mentality Can Help Ensure Success

Article Contributed by Tami Stodghill

As I’ve mentioned in earlier posts, my husband and I researched countless opportunities before landing on the one we finally decided on. For years we hesitated to make a move to be our own bosses. I suppose, at the time, some of that was fear of failure. However, a large portion of why we were afraid to move forward with our dream was that the opportunities we looked into somehow didn’t feel right or didn’t seem to fit. To a big degree, it was the free continuing training and mentoring that helped us finally make a decision, but it was also the “team” mentality that our mentors brought to the table that helped “seal the deal” so-to-speak. The comradery that a team offers in and of itself is valuable. But there are far more advantages to that approach in a business than the obvious.

Our team participates in nightly calls Monday through Thursdays and during that time, we accomplish a great deal. We are able to pose questions, get opinions from other business owners and offer input of our own. My husband and I call these valuable phone calls our B.S. sessions—Brain Storming Sessions. And out of those calls, we bring away a feeling of being part of a great company with top-notch people.

Additionally, we bring away beneficial insights as to how to more efficiently run our business, ways to market for low or no cost, ideas of new ways to gain exposure and recommendations for great websites and other information such as books or videos. If a member of our team is done with a particular book or movie, they offer to make it available to other members. That way, we all can share materials with a minimum of investment. We also role play with one team member being a prospect and another being the business owner. This lets us get genuine feedback on what we might say in a particular situation with a potential client.

We discuss important aspects of the company we all are members of—things that separate it from other opportunities out there. This also gives us added value in what we can share with prospects. The members of our team, obviously, all have different backgrounds, come from different places and possess different levels of experience and skills. In a lot of cases, this is just what we need as new team members are coming aboard all the time and it gives them the opportunity to hear many owner’s thoughts and experiences and what has and hasn’t worked for them. It also gives the team members a chance to be exposed to additional uplifting attitudes and serves to reinforce what is important in any small or home-based business.

Each team member pitches in in different areas. Some will offer to speak on an area of marketing they are exceptional at, others will offer ways they have managed to be successful with advertising and still others will lead a call on how the program that we sell has helped them personally. We also discuss co-op marketing opportunities and any of us who want to be a part of it can opt in. This can extend your reach with minimal investment in many areas of marketing. All of the input is priceless to us in our day-to-day operation of our business and we are always happy when we can bring something to the table as well. I should state that these calls are not mandatory in our business. They are strictly on a participate if you want to basis. But there really isn’t a single team member who misses out on those calls barring some emergency or prior important family commitment. We all look forward to them and have come to think of the team members as friends as well.

If you are looking for an opportunity, I highly recommend you choose one that offers this same “team” mentality. If you are already a home business owner, maybe you can suggest this type of participation from others who are working in the same business. It is incalculable in it’s value and presents a fresh mindset to you daily. If you can add this to your home business experience, you will find that being able to touch base with others and share experiences, ideas and approaches, as well as the sense of comradery, is a bonus you will find immeasurable.

About the Author

Tami Stodghill was the Press-Relations manager, for a world-wide extensible-technology distributor based in London and the US for 20 years. She was also a freelance writer for several industry publications and is now a home-based business owner with WMI. She makes her home in Page-Lake Powell, Arizona, in the summers and Palm Harbor, Florida in the winters where she enjoys boating and reading, camping, hiking and meeting new people. She runs a blog site exclusively to offer tips for success for any small or home-based business.

Categories
Networking

Business Success: Utilize Key Sites And Stay Focused

Article Contributed by Tami Stodghill

In talking with a number of associates recently, I found out that some of them felt overwhelmed with all of the social media sites that are out there. They expressed concern that they wouldn’t have time to actually call prospects and potential clients if they were to entertain a presence on the sites out there nowadays, yet knew that social media was an important part of their business. Some of them said it seemed that every day there was a new social site and they felt a pressure to sign on and participate when they were already spread thin. It’s true. There are countless sites out there and available now to network, market and connect with others on that may help propel your business to success. And while a solid presence for your business on these sites is always beneficial if done right, it can also take away from time you need to effectively approach the clients that contact you regarding your opportunity.

What I tell them is that I do sign up for most sites out there. However, I quickly ascertain which ones seem to be the most popular and that offer what I want to portray as far as my business. I find quite a number of those sites are nothing but spam and people hyping their business or opportunity and offer no real advantage or knowledge that will help me build my business. And when that is the case, very minimal, if any, continued participation is necessary in my eyes. Lately there have been 2 sites that I set up a profile on, and to be honest, I haven’t reaped even one shred of knowledge from them. What I have received is countless contacts and messages, all of which are from others pushing their opportunities. Since that is not the way I market, needless to say, I have relinquished all participation on those sites. I will leave my profile up, but since they don’t really offer a chance for me to post items that will benefit others (other than if I was to push my opportunity and “spam” members), it makes no sense for me to take away from time that could be better spent in my business day.

What I have learned, and what I advise people to do, is to participate in any site they are on and gauge the response and the type of information exchanges that take place on those sites. If there are links with valid and useful information posted and the opportunity is there for you to do the same, then definitely invest the time to actively and regularly participate. If the site is netting you nothing but hype and spam-type marketing, then you will be one of countless others on there and not really be moving toward valuable exposure for your product or service.

As I have mentioned in previous posts, forums offer a relief from some of the social site’s downfalls. They have moderators that keep the spamming out (except in maybe one section set aside for that) and allow for valid exchanges of information and advice. And also as I have mentioned, we can definitely always learn from others who have experience in areas we don’t. I spend quite a bit of my time that I allot for sites on the forums. People are generally there to learn and to help others learn. And that’s an environment I want to associate my business with.

I do participate on social media sites, but I stick to the key sites such as Twitter, Facebook and LinkedIn and I make sure that my content offers value and that I develop relationships with like-minded business individuals. I enjoy meeting new people as well, and am able to share resources that I found useful in the building of my business. That, to me, is time well spent and invested and presents my opportunity the way I want it to be presented.

If you make sure that you appraise the actual quality of the sites you spend your time on, you will definitely gain from the dedication of time. And time in your business is money—so it is of the utmost importance that you dedicate your time to only the sites and forums which best “fit” you and your business. By doing that, you can also improve the quality of the content you share on those key sites and stay focused on growing your business. So, take the pressure off yourself to be “everywhere”. Because being everywhere will not produce the results you are looking for if you aren’t even in those places effectively.

About the Author

Tami Stodghill was the Press-Relations manager, for a world-wide extensible-technology distributor based in London and the US for 20 years. She was also a freelance writer for several industry publications and is now a home-based business owner with WMI. She makes her home in Page-Lake Powell, Arizona, in the summers and Palm Harbor, Florida in the winters where she enjoys boating and reading, camping, hiking and meeting new people. She runs a blog site exclusively to offer tips for success for any small or home-based business.

Categories
Home-Based Business

3 Lessons to Learn Before Starting Your Home Business

As with any aspect in life, there are both pros and cons to working from home. On the plus side is the fact that you don’t have to commute to and from work every day; you don’t have to deal with careless drivers, frayed tempers and traffic snarls; you get to keep your own hours; and you can work without someone peering over your shoulder. But on the downside, you tend to get distracted more easily, people don’t often consider what you do as a real “job” because you’re at home the whole day, and your social skills start to take a backseat because you don’t get to interact with coworkers and colleagues. In general, working from home is an attractive option if you’re ready to learn three important lessons and avoid the following traps:

The “easy” trap

It may be run out of your home, but that does not mean that this business is going to be easy. When you start to believe that it’s going to be a breeze to manage your home business, you’re setting yourself up for failure. You don’t put in the necessary hard work to grow your business and make a success of it. And you begin to find excuses for everything that goes wrong because of your laziness and laidback attitude. Lesson number one – a home business takes much more dedication and effort than a regular business.

The “money” trap

If you’re working on the web, you’re going to be swamped with offers that promise to make you filthy rich in no time and with no effort. They make making money very easy and simple. All you need to do is send in some money, and you’re definitely going to rake in much more than you’ve dreamed of in a few short months, according to the spiels that bombard you through email and website promotional offers. If you want to work from home on the Internet and make a success of it, never ever pay money in exchange for job opportunities. Instead, visit legitimate sites that allow you to sell your services and which regulate payment through escrow accounts so that you have unbiased arbiters to deal with any conflict of interest. Lesson number two – you will make money working from home, but it will take a fair amount of time for you to establish yourself and make enough to quit your regular job.

The “time” trap

And finally, you may wake up every morning thinking you have the whole day ahead to get your work done. But if you don’t set designated hours for work and stick to them, you’re going to find that the day has gone by and you’ve not even done 10 percent of what was scheduled for the day. It’s very easy to get distracted when working from home, what with the television, the Internet, and family distracting you and demanding your time. Lesson number three – unless you set schedules and keep to them, you’re bound to fall behind on your work and miss deadlines when working from home.

Categories
Communication Skills

How Communicating With a Lack of Specificity is Sabotaging Results in Your Organization

Article Contributed by Skip Weisman

Communication is a catchall phrase for things that go wrong in companies and relationships. Unfortunately, the concept is too ambiguous to do anything constructive to fix it.

There are seven communication mistakes that lead to mis-understandings, and cause conflicts between co-workers, and bosses and their subordinates, which lead to low morale and toxic work environments.

They are called the “The 7 Deadly Sins of Organizational Leadership Communication.” This article will address the least understood and most common of these leadership communication sins, a “lack of specificity.”

The “Law of Specificity” states, “the level to which communication lacks specificity is the level to which individuals are required to become mind readers, guess and assume. We all know what happens we assumptions are made.

Three of the most common areas for non-specific communication, which will be addressed in this article, are:

  1. Lack of Specific Details
  2. Lack of Specific Direction
  3. Lack of Specific Meaning

Lack of Specific Details

This is one of the most regularly violated. It’s a simple as leaving out dates, times, and locations, etc. when making a request. Even when one believes they are being specific, often times they are not.
A recent client, who has embraced adding specificity to his communication, and has effectively integrated this strategy into his senior leadership team’s culture, sent me this e-mail recently:

“I will be in the office working on two projects Thursday and Friday. I can take a break to speak with you, though. To be specific, can you call me at 11:30am?”

He thought he was being specific. You may, or should notice, that although he was specific regarding the “time” he wanted a tele-coaching session, he forgot that he gave me two days to choose from.
This type of communication happens all the time. Double check your communication for specificity and ask for clarification when you feel you need it.

Lack of Specific Direction

Another client, a CEO, had a habit of moving things off his desk by putting them in his office manager’s in-basket. Because of his position, the office manager assumed that if he was giving her something “it must be important.”

Every time she would immediately stop what she was doing to work on the latest thing he had given her.
This seems like a very proactive assistant getting things done. The challenge is that it was causing stress and frustration for the office manager, as it prevented her from accomplishing her other priorities.

The problem was solved in 30-seconds by asking the CEO if everything he put in her in-box was an urgent priority requiring immediate attention. He said, “no,” that he was just trying to get stuff off his desk.

Moving forward the CEO began putting notes on items identifying the required level of urgency. This allowed the office manager to prioritize and schedule those items around her work without having to assume and mind-read.

Lack of Specific Meaning

A wife recently accused her husband of leaving the front door to their home “open” when he came home from appointments during the day. Her meaning for the word “open,” as it pertained to the front door of the home, and the husband’s meaning were found to be very different.

Upon further discussion it was learned the wife meant the door was not “locked” so as to seal the door to keep the cold winter air from seeping through the weather stripping. The husband’s meaning for an “open” front door was that the latch was not shut and the door was truly open so one could see outside.

Words have different meanings to different people in different contexts. Often times we assume the other person has our same point of reference. That is often not the case, causing misunderstandings and trust to break down.

A lack of specificity is just one of seven communication mistakes organizational leaders are making when interacting with their peers, direct reports and those they answer to such as shareholders and board members.

About the Author

Skip Weisman of Weisman Success Resources, Inc. of Poughkeepsie, NY (www.WeismanSuccessResources.com) works with organizational leaders to improve personnel, productivity and profits by helping them “Create a Champion Organization,” one that communicates effectively and takes action with commitment towards a shared compelling vision. His latest White Paper Report is “The 7 Deadly Sins of Organizational Leadership Communication” available free at www.HowToImproveOrganizationalCommunication.com