Recession. Even though it is a dreaded word, economists have been predicting one since mid-2018, and now with all the socioeconomic impacts of the COVID-19 virus, a recession is on our doorstep. This one is not the first and probably won’t be the last. The U.S. has lived through the 2002 economic aftereffects of the 9/11 “Attack on America” and the 2007 housing bust which lead to the financial crisis of 2008-2009. In the face of today’s crisis, the best…
A startup is a new company founded by entrepreneurs based on a vision for success in developing a unique service or product and bringing it to the marketplace. Many of today’s most successful businesses began as startups including McDonald’s, Ford Motor Company, and Microsoft. Each of these founders had a vision for success. As Tony Hsieh, Zappos CEO said, “Chase the vision, not the money; the money will end up following you.” Successful startup plans start with a clear vision….
THE GOVERNMENT ACTUALLY PUT OUT A SIMPLE PROGRAM: This program started with a simple idea and hopefully, the final guidance on the forgiveness will be as simple. The original program allowed businesses to borrow 10 weeks of gross wages plus state unemployment cost, related employee health insurance, and retirement contributions for those 10 weeks of wages. The goal was simple, give employers the money to keep their trained workforce on payroll so when the economy opened up the workforce…
Competition can feel threatening as a small business owner. However, changing your mindset about competition can benefit your business in many ways. For example, instead of viewing competition as something negative, remind yourself that it forces you to work harder to attract and keep clients. It can also push you to embrace innovation sooner than you would have otherwise. Below we identify other benefits of small business competition as well as strategies you can follow to better use competition to…
Ask a typical American on the street about their interest in analyzing financial statements and you’ll likely get a glassy look or loud laughter. But, to every business executive, financial statement analysis is no laughing matter because the analysis is both informative and critical for business success. What are Financial Statements and Why are They Important? The financial statements of a company record financial data reflecting the components of its business activity. Financial statement analysis is simply the…
These are the basic details of loans available to businesses. They are unbelievable unless regulations put limits on these loans: This new law lets any business borrow 2.5 months of payroll, benefits, interest on loans and lease payments. The loan is made through a bank that is an SBA approved lender and is guaranteed by the SBA. Loan Is nonrecourse to the borrower. The loan is forgiven if you don’t cut back on staff and spend the money on the…
As more information comes available here is the latest we can provide on what we do know and what we don’t know about the new sick leave bill, The Families First Coronavirus Response Act was passed and signed into law on March 18 to become effective April 2. Only for time off incurred after April 2: At this point, it appears the law is not retroactive and will expire Dec 31, 2020 so everything you do prior to April 2…
Information is changing so rapidly that news is outdated almost as soon as it comes out. Here are some recent developments that will affect small business: Which payments you can extend to July 15: The IRS issued minimal clarification on their extension of tax payments. The wording on their website states “Taxpayers can also defer federal income tax payments due on April 15, 2020 to July 15, 2020, without penalties and interest.” Since this wording does not relate to any…
The IRS announcement on delaying 2019 taxes yesterday can cause some confusion. Here are a few things you should be aware of and some unanswered questions: 1. The announcement did not extend the time to file. It simply gave taxpayers another 90 days to pay the tax without additional interest or penalty during that 90 days. Your tax return is still due April 15. 2. It is not clear whether the IRS extension of payment for 2019 tax also extends the…
There’s a lot required to make a business operate successfully. Many small business owners face the challenge of trying to wear many “hats” in order to accomplish the varied needs of the business. However, trying to “do it all” is not a good approach. Rather, the idea of leveraging strengths, as taught to individuals, applies well to business. So, consider focusing and leveraging your skills and energies on the things that are critical to the mission of the business, and…
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