Practically every small business has receivables that it cannot obtain from clients. If your small business doesn’t have any such receivables, consider yourself lucky. For those small businesses that suffer from uncollected receivables, solace can be taken from the fact you can claim a tax deduction.

Bad Debt Tax Deduction

A small business can write-off bad debt losses if it meets nominal requirements. To claim such a tax deduction, the following must be shown:

A. The existence of a legal relationship between the small business and debtor;

B. The receivables are worthless; and

C. The small business suffered an actual loss.

Proving there is a legal relationship between the small business and debtor is fairly simple. You must simply show that the debtor has a legal obligation to make a payment. Most businesses issue invoices or sign contracts with debtors and these documents suffice to prove the legal relationship. If you are not putting your business relationships in writing, you should begin doing so immediately.

Proving receivables are worthless is slightly more complex. A small business is required to show that the debt has become both worthless and will remain so. You must also show that you took reasonable steps to collect the receivables, but you are not necessarily required to go to court to meet this requirement. A clear example where you would meet this requirement is if the debtor filed bankruptcy.

While proving that you suffered a loss may sound like the easiest requirement to meet, the issue is a bit more complicated. The Tax Code defines the loss as an amount that is included in your books as income, but is never collected. A classic example of such a situation would be a manufacturer that provides products to retailers on credit. The manufacturer can show a real loss if the retailer files bankruptcy. Unfortunately, there is almost no way to claim a loss if you provide hourly services and use a cash accounting method. The IRS does not consider the expenditure of time and effort to be a sustained economic loss.

Small businesses suffer all to often from uncollected receivables. If you failed to claim such losses as a tax deduction during your last three tax filing years, you should file amended tax returns to get a refund.

Having 101 ideas in your head is something that many people would be envious of. In fact, if you mention to others that you are running your own business, they might remark with wonder and encouragement at your actions.

However, one thing that isn’t discussed as often as it should be is how business owners keep their heads screwed on. How do they cope with the ideas that are in their heads, and not become overwhelmed by the enormity of it all? There are a few common traits amongst those businesses that have achieved a certain level of success.

** They know they can’t do it all **

Having lots of ideas is one thing – trying to do them all yourself is another. Although having others complete work for you is a real challenge – especially when you are starting out and have limited money – it is often one of the key elements why the business owner still has their sanity.

** They roll with the punches **

As kids when we were growing up, parents or adults might have told us to roll with the punches. This most likely made no sense to you as a child, but as we grow up, the wisdom of this saying was quickly realized. Life, in all its glory and unexpectedness, delivers curve balls to us every day. As such, we have two choices – be flexible and respond, or strike out.

Successful businesses have learnt that the economy, people, and business in general, is dynamic and organic – it changes all the time. In fact, the most together business owners have developed an attitude that helps them cope with these circumstances. When things don’t go the way they planned, they quickly assess the situation, focus on doing those things they can control, and for those areas of the business that they cannot control, choose to accept the fact and move on.

** They know what they want to achieve **

Every successful business has made it because they knew what they wanted to achieve. They had a compelling reason to keep on going through hard times. This doesn’t mean that they had it easy, nor does it mean that they had a truly defined focus for the business. Once reality kicks in, sometimes even the best laid plans go out the window. But it was the compelling reason that helped these successful business owners push through and find a way to achieve their dreams.

This compelling reason can be anything that drives you – something you are passionate about. For example, it could be providing a better life for your family. It could be the desire to build a business that you can leave as a legacy after you die, for the benefit of your family and community. Whatever the reason, it must be strong enough to help provide you with the fuel you will need when powering through the rough times that every business owner has.

Being a business owner – an entrepreneur – is a hard task. When starting off, it isn’t uncommon to see yourself doing 50-80 hours of work each week in the business, and you are still barely breaking even. Sometimes, despite the efforts you have made, you lose money. But, after a while, things will change. The sales will start to increase. Customers will start coming back to you again and again.

Others might call this Luck. It isn’t. It is the outward representation and reward for all the hard work and internal ‘fine-tuning’ that you have been going through up until that point. All the trials, tribulations, set-backs, disappointments and foiled ideas are all necessary for you to be ready for the Success when it comes.

So, if you have a clear vision and reason for your business; have a flexible plan and attitude; and an iron-will and dogged determination to achieve despite frustration and disappointments, success will be yours. After all, if it was easy, everyone would be doing it. There is a very valid reason why it isn’t ‘crowded at the top’. The question is – Are you prepared to go through your trials to get there?

Small Business Loans – Resources and Options
Just as every small business is unique, there are almost as many distinctive options available when it comes to securing small business loans or other funding options for your small business startup expenses or other ventures. Further, amid the various programs offered by the variety of lenders, the programs availability, terms, etc. may different from state to state even in the small business loan provider remains the same.

While the U.S. governments SBA (Small Business Administration) does not offer grants for starting or expanding small businesses, they do still offer a plethora of free help. The SBA has existed since 1953, and in that time it has assisted tens of thousands of Americans form small businesses through their outreach programs, now available in every U.S. state, the territories of Puerto Rico and the Virgin Islands, and the District of Columbia (Washington D.C.).

SBA offices are a rich resource of information and options in obtaining small business loans. Although the SBA does not directly loan or grant money, they are an invaluable asset to starting, maintaining and growing your company or determining your small business loan resources with localized options.

No matter where in the process you are in determining the needs for your small business loan, the SBA is a significant source of assistance that can save you time and money. Through extensive collaboration with local organizations, the SBA and its collective networks bring an unprecedented supply of information, tools, and information.

Making the most out of the resources available through the SBA at the federal, state and local levels will actually save you money. Not every small business starts out following a textbook model or formula. The desire or need for growth of your company will likely require funding, and small business loan providers will likely require documents, plans, records and statements youve never created, maintained or considered necessary; thats okay.

The process of obtaining a small business unsecured loan even with bad credit might seem inundated with an avalanche of paperwork, requirements, and obstacles. To top it off, if you dont have all of the traditional paperwork surrounding the textbook business, the process of creating it while applying for a small business loan can make the process overwhelming. One of the most valuable resources available through the SBA and other localized small business resource organizations, is mentorship programs – this firsthand assistance and knowledge directly from fellow local and successful small business owners is unparalleled, and best of all – free!

Getting the best small business loan to finance your companys future will likely take more than filling out an application. Doing your homework first, dedicated to your task and patient in your results, will help ensure securing the right small business loan that is best suited for your small business goals.

Small Business Computer Consulting: Additional Qualifications for the Sweet Spot

To find the ideal clientele for your small business computer consulting, you want to target small businesses by their number of PC’s, (10 to 50) as well as their revenue. Generally, companies that have anywhere from 1 million to 10 million in revenue are the sweet spot of small business computer consulting. In this article, you’ll learn why you should target this type of business. {Tip: Of course if you’re located in Canada, the UK, Australia, New Zealand, or any of the other more than 21 nations around the globe where our training has been adapted, be sure to convert this to your local currency. (See )}

Beware of the high end of this range
Once small businesses get to the high end of that revenue range, where they start having substantially more than 50 PCs, or substantially more than $10 million in annual sales, often the small business owners lean towards putting a real, salaried IT person on payroll instead of using a small business computer consulting professional. That’s when you start running into some tough competition. At this point, your client will add up your services invoices and try to figure out if they can do it cheaper or more efficiently in-house.

Look for clients that need a real server
Another important aspect is to find small business clients that are big enough to need a real dedicated server. Once small businesses need a real server, they need a ton of other professional services to go along with it. And it’s very unlikely they can handle it on their own, with just an internal guru. Bingo-you become their outsourced IT department!

Multiple locations are a bonus
Sometimes a sweet spot client has one location. A lot of times there’s a main office and some branch offices. The branch offices present a big opportunity for your small business computer consulting because there’s usually a HUGE need for sharing data in real time among employees in different locations.

The Bottom Line about Small Business Computer Consulting
In this article, you’ve been learned more about how to find the sweet spot in your small business computer consulting business.

Are you a small business owner who runs your own retail store? If you are, how is your business currently going? If it isnt going too well or as well as you had originally hoped, you may be wondering whether you should just throw in the towel and give up. Yes, this is something that you can do, if you want, but there may be other alternatives; alternatives that could allow you to keep your small business open. One of those alternatives involves relocating your small business.

When it comes to relocating a small business, there are many small business owners who think that it is a good idea and others who think that it will only end up being a waste of time and money. If you arent yet sure what type of perspective you have, you may at least want to further examine relocating your business to another building or even another city or town, especially if your only other options is to close your business doors down.

As you likely already know, there a number of pros and cons to relocating a small business. One of those cons is the difficulty. If you run a retail store, even just a small specialty retail store, there is a good chance that you have quite a large selection of merchandise; merchandise that needs to be carefully moved, as well as other office supplies and store fixtures. It can be a big hassle to move a retail store from one location to another. Although it can be considered a hassle, it is also important to mention that it can be done, with a lot of patience and hard work.

Another con or downside to relocating a small business is the uncertainty. There are some small businesses that just arent right for making money. Some business owners dont want to realize this though, so they continue to believe that they always have the chance of make money. Even if you take the time to find the perfect building for your retail store, as well as examine the local economy, and your competition, you are still not given any guarantees. Of course, that is something that you knew when you originally decided to start your small business; therefore, a lack on guarantees may not actually be a large problem for you, although it should always be kept in the back of your mind.

Although there are a number of cons or downsides to relocating a small business, there are also a number of pros or plus sides to doing so as well. One of those pros is a fresh start. When relocating a small business, many small business owners carefully take the time to choose which building they would like to relocate to, as well as what city or town they would like to relocate to, if looking to really, relocate. This carefully thought out decision can actually increase your businesss chance of seeing success. A fresh start, but one that is carefully examined, may be just what your small business needs to revitalize itself.

Before you decide whether or not you would like to relocate your small business, it is important that you speak to your current landlord or your financial lender. As for speaking with your current landlord, you may be legally bound by a commercial lease. As for speaking with your financial lender, you may need to borrow some money to relocate your small business.

Saving for retirement is even more important for solo-entrepreneurs because you dont have a company sponsored pension plan or matching 401K contributions to rely on. There are many retirement plans available to self employed individuals and small businesses. Which one is right for you?

Here is just a sample of the retirement plans available to solo-preneurs and small businesses:

Roth IRA although this is not just for solo-preneurs, this is the first place you should look to save if you are just starting to save for retirement (or resuming to save after starting a business). Roth IRAs are low-cost, very flexible, and allow you to grow money tax-free as long as you follow the distribution rules. Contributions can be made up to 4,000, and can be withdrawn at any time without tax or penalty (earnings withdrawn may be subject to penalty and tax if withdrawn before age 59 and certain other conditions are not met).

SEP IRA if youre maxing out your Roth IRA, and are ready to save more, a SEP IRA allows you to save up to 25% of your compensation (20% of your self-employment income) for a maximum of 44,000 per year. Contributions are tax-deductible, and SEP IRAs have low maintenance fees. Contributions can be made for employees also, but employees cannot contribute to their own SEP IRA. This is a good choice if you just have a handful of employees and are looking for a low-cost way to save for your own and your employees retirement.

Simple IRA a Simple plan offers many of the benefits of a 401K, but with less IRS reporting requirements. You can contribute up to 10,000 to a Simple IRA, with an employer match of up to 3%. Contributions are tax-deductible, and Simple IRAs also enjoy low annual fees. Employees are allowed to contribute to Simple plans, and a company match is mandatory. If you have a lower salary (or self-employment income) in your small business, a Simple IRA allows you to put more away towards your retirement than other plans.

Solo 401K for small businesses with no employees, the solo-401K allows you to put the maximum amount away, with less cost and less reporting requirements than a traditional 401K. Similar to a SEP IRA, contributions max out at 44,000. However, unlike a SEP IRA, participants in a Solo-401K can contribute up to 100% of the first 15,000 of compensation or self-employment income, and an additional amount up to 25% of your compensation. This is important because it allows you to save substantially more than a SEP IRA, if your compensation is less than 220,000 per year. A solo-401K is not appropriate for small business with employees or expecting to add employees.

Theres no one best plan for all small businesses. The best plan for you will depend on many factors, such as whether you have employees or not, how much you want to contribute each year, how much time you want to spend administering the plan, etc. To get more information about small business retirement plans, contact a no-load mutual fund company, a discount brokerage company or a fee-only financial planner.

Are you a small business owner who feels as if you are stuck in a money trap? Although a large number of small business owners are able to make money with their businesses, there are others who only end up losing money. If you think that you are one of those small business owners, you may be wondering if the time to get out of the business is now.

When comes to determining whether you should close down your small business or give it a few more chances, there are a number of important factors that should first be examined. One of those factors is your current financial situation. Do you think that you could afford to keep your business open for a little bit longer, even just a few more months? If you can do so, you may want to think about doing so. What you need to remember is that all small businesses, including those that are mainly operated online and those that are mainly operated offline, have slumps. It is not uncommon to have a few bad months. If given time, you may see your business and its financial outlook start to improve.

Another important factor that needs to be examined is your businesss location. If you are running an online business, this isnt much of a problem for you, as you can simply sell your online website or just close it down and discard it forever. However, if you run a local business, you may have a rental contract with your commercial landlord. While some commercial landlords are understanding, when it comes to businesses that need to close down due to lack of success, there are others who just want their money. Whether or not you can get out of your lease without being sued for the remaining amount is another factor that should be used to determine whether or not you should close your business doors. If you find that you need to pay off the remainder of your lease, you mine as well keep your business open.

It is also advised that you examine all of your equipment, supplies, and merchandise, if you were running a retail store. If you were running a retail store, you may want to think about having a liquidation sale, before officially closing your business doors. This will give you the opportunity to make a little bit of money from your leftover merchandise. Also, if you cant see yourself using your office furniture or other fixtures, you may want to think about selling them as well. When it comes to closing down a business, you want to try and be able to recoup as much as your startup costs as you can, as it may help to lessen the financial burden.

As it was outlined above, it is often easier for many online business owners to close their business doors, because they often have less invested into their business. If you would like to close your storefront doors, but you still think that your business has a chance of success, you may want to think about opening up an online business. With online businesses, you often just need an online website that allows your customers to order products or services and you have available and pay for them, it is as simple as that!

For years, I have tried to answer this one question: What do small businesses that achieve sustained growth do differently from those that do not grow?

As a senior consultant for Inc. magazine, I speak to thousands of business owners each year. I’ve learned that there are no silver bullets or 17-point checklists that will lead to guaranteed growth. There are, however, seven specific areas in which growth companies concentrate their efforts.

1. Strong sense of purpose. Most leaders of companies that have achieved growth discover that it takes more than the promise of increasing financial reward to fuel their aspirations and ambitions. They find a higher calling than simply the pursuit of “more money.”

2. Outstanding market intelligence. This is an organization’s ability to first recognize, then adapt, to fundamental changes in the marketplace. Many times, small-business owners become too myopic, seeing only a limited view of the markets in which they compete. Growth leaders see the bigger picture.

3. Effective growth planning. This is the best predictor of whether or not a business will grow. To be effective, a plan for growth does not need to be overly formal or complicated. However, it does need to be written, well-communicated and regularly updated.

4. Customer-driven processes. These days, every company I talk to believes it is customer-driven, when actually very few really are. Take a look at all of the business processes from a customer’s perspective. Are they in place to make it easier for the company, or to help deliver on the promise of faster, cheaper and better for the customer?

5. The power of technology. Successful leaders don’t let the boom and bust of technology cycles give them the excuse to ignore that we live in an information age. If a company is in business, it is in the technology business.

6. The best and brightest people. Growth leaders recognize that they are only as good as the people with whom they work. The ability to hire, train and retain the best and the brightest people is often the difference between success and failure.

7. Seeing the future. Few organizations take the time to regularly consider the future. Growth leaders learn how to diligently monitor and interpret the macro forces of change affecting the world in which they live.

Should you be in the early stages of a business start-up then there are elements to your personal business banking service which you should be looking for and if you havent yet set up an account now is the time to take a deep breath and go shopping!

Its a competitive market, and its often hard to be sure which services you should be looking for to provide the best service for your small business. Certainly the basics such as a business current account, savings account, and loan facilities should be there, but nowadays the upcoming business manager should be looking for more from their financial provider.

Often you are looking for support from your financial services outside of traditional office hours and its for this reason that todays small business owners should look for online access as a vital service for the building of their company. Not only does this provide true 24 hour banking support, but it enables complete transparency and allows you to pull up your small businesss financial details whenever you need them.

Having the information to hand is one thing, of course, but its also useful to have a dedicated team at the end of a phone line to run through the figure with you. Shopping around shows there are a few businesses who offer this service, Barclays (http:www.business.barclays.co.ukBRC1jspbrccontrol?site=bbb&task=channelFWvi2&value=5793&target=_self ) being one of them. Typically you are looking for most of the services also available online, such as account checking and money transfer services, allied with the opportunity to chat with a living, breathing, business manager who is local to your branch.

Interestingly, some companies also offer specialised software designed to integrate with their services and make your time management more efficient. This is surely a good sign, and indicative of the pro-active approach many banks now take to integrate online services with more traditional hands-on approaches.

Of course yours might not be a start-up waiting to happen, but instead a small business with a good track record and the ambition to grow your business within your market. Maybe you are unhappy with your current financial provider perhaps the service is good but limited, or you feel you could get a better financial package more suited to your small business. In either case you should be seriously thinking of switching your business account to a provider who can cover all your needs as a unique, small business. Additionally, and this might seem a minor point but it is surprisingly important, you should be looking for a banking service that will handle the transfer of your business account details with the minimum of fuss.

So there is plenty to consider when shopping for your financial provider but, assuming you are looking for a long term financial partner, perhaps the most important element is scalability: after all, you are looking for a financial provider that can grow with your business. Arent you?

Disclaimer

All information contained in this article is for general information purpose only and should not be construed as advice under the financial Services act 1986. You are strongly advised to take appropriate professional and legal advice before entering into any binding contracts.

Additional Information
http:www.business.barclays.co.ukBRC1jspbrccontrol?site=bbb&task=channelFWvi2&value=5793&target=_self

Disclaimer

All information contained in this article is for general information purpose only and should not be construed as advice under the financial Services act 1986. You are strongly advised to take appropriate professional and legal advice before entering into any binding contracts.

As a small business owner, you are a risk taker. There is excitement and challenge in such a venture, but to succeed you need good management information, an ability to be a good manager of people and the intelligence and inner strength to make the right decisions. From unnecessary risk taking, thousands of workers die each year and many suffer injury or illness from conditions at work.

How often does an owner or manager actually see work-related deaths, serious injuries or illnesses in the workplace? In some small businesses, the answer is rarely. For this reason, many owners or managers do not understand why there is controversy about the government having occupational safety and health agencies with enforceable laws. But others have learned why; unfortunately, they have experienced a loss. These ownermanagers will tell you that it is too late to do anything once a serious accident happens. They have learned that prevention is the only real way to avoid this loss and unnecessary risk taking.

Reducing losses and risks are goals that you as an owner or manager must set in assuring the safety and well being of all in the business. Small business owners and managers place a high value on the well-being of your employees. Family members and personal acquaintances may be part of the business and even hired employees will become almost like family as time goes by.
Investing in safety and health activity now will better enable you to avoid possible losses in the future.

Nobody wants accidents to happen in the workplace. A serious fire, a permanent injury, or the death of an employee or owner can cause the loss of profit or even an entire business. To prevent such losses, you dont have to turn your business upside down. You may not have to spend a lot of money, either. You do need to use good business sense and apply safety prevention policies. There are reasons why accidents happen. An accident always has a cause and a reason why. Once you know why an accident happened, it is possible to prevent future incidents.

The business needs a plan to prevent accidents. Not all dangers at the workplace depend on an accident to cause harm, of course. Worker exposure to toxic chemicals or harmful levels of noise or even radiation may cause gradual illness over a long period of time. There needs to be a plan that includes prevention of these unseen health hazard exposures. There needs to have a safety and health management system. It is not difficult to develop such a plan. Basically, the plan should address the types of accidents and health hazard exposures that could happen in the workplace. Because each workplace is different, the program should address the specific needs and requirements for the business.

There are four basic elements to all good safety and health programs. These are as follows:

1) The manager needs to lead the way, by setting policy, assigning and supporting responsibility, setting an example and involving employees.
2) The workplace needs to be continually analyzed to identify all existing and potential hazards.
3) Methods to prevent or control existing or potential hazards are put in place, maintained, and updated.
4) Managers, supervisors and employees need to be trained to understand and deal with worksite hazards.

Regardless of the size of the business, the plan should use each of these points to prevent workplace accidents and possible injuries and illnesses. Developing a workplace program following these four points is a key step in protecting you and your workers safety and health. If you already have a program, reviewing it in relation to these points should help you improve what you have.

Following this four-point approach to safety and health in your business may also improve efficiency. It may help you reduce insurance claims and other costs. The plan will certainly give you a way to express and document your good faith and commitment to protecting your workers health and safety.

This approach usually does not involve large costs. Developing a health and safety protection plan does not have to be expensive and generally does not require additional employees, especially in smaller businesses. Safety and health can be integrated into your other business functions with modest effort on your part and will become part of the daily routine.

The key to the success of a safety and health plan and program is to see it as a part of the business operation and to see it reflected in the day-to-day operations. Once implemented, the safety program will become second natured to the owner as well as the employees.