by Barbara Weltman on September 9th, 2009
Most businesses are feeling an economic pinch, with record oil prices, increased inflation and other hiked expenditures making it a challenge to ensure that cash flow keeps pace with expenses. NFIB has reported that 30% of the 65.7% of businesses with cash flow concerns say that difficulty collecting money owed is the main reason. What can you do to keep from finding yourself in the uncomfortable position of being a bill collector or, even worse, failing to get paid the money that’s owed to you?
Limit credit to customers
If you have been extending credit to customers, consider a change... Read more »
by Barbara Weltman on September 1st, 2009
Give your company a financial health examination to determine if you’re in good health or in danger of becoming ill during these tough times. Dr. Jeff Cornwall, who heads up the entrepreneurship program at Belmont University in Nashville, TN (and who’s been a guest on Build Your Business Radio) suggests that you examine certain key indicators and, if you’re not in good shape, work now to cure your problems. I interviewed Dr. Cornwall to find some critical areas to explore; here are his suggestions.
Cash flow
The adage, cash is king, can’t be repeated too often. Even if your sales... Read more »
by Barbara Weltman on August 25th, 2009
Twitter, a real-time short messaging service created in 2006, now has an estimated 6 million users and is growing everyday. It is a vital part of the social media scene, so you should know how to use Twitter effectively for business.
Follow and un-follow
Twitter enables you to follow the postings of registered users on the site; they can opt to follow you. Is it impolite to not follow someone who’s following you? While many advocate for reciprocity, the reality is that following too many Tweeters can eat up time and obscure postings that would be meaningful to you. Do... Read more »
by Barbara Weltman on August 19th, 2009
With car dealerships offering amazing bargains, now may be a good time to get a new business car, truck, or van. Decide whether to buy or lease the vehicle, and who should hold title to it.
If you own or lease the car:
If a personal vehicle is used for business, you can deduct the actual expenses of business use, including gas, maintenance, and depreciation if you own the car or lease payments if you lease it, or use the standard mileage rate set by the IRS ($.55 per mile in 2009).
If you are an employee of your corporation,... Read more »
by Barbara Weltman on August 14th, 2009
If your business is on the edge of disaster and you need to count every penny in order to survive (or you just want to run leaner and meaner so you can optimize profits), here are 30 ways to slash your expenses, conserve your cash, and weather this economic tsunami.
Payroll costs
1. Eliminate all raises and bonuses. While staff may have come to expect these annual payments, they prefer to have job security, something that can only be assured if you stay in business.
2. Eliminate 401(k) and other retirement plan contributions.
3. Reduce medical coverage. Shift more of... Read more »
by Barbara Weltman on August 4th, 2009
As the economy improves, you may be reluctant to hire new employees but still need extra help to meet increased demand. Some alternatives: independent contractors, temporary workers, or even summer interns. Be sure you understand the tax and legal issues before engaging this type of help.
Independent contractors
IRS worker classification. One of the hottest audit targets is worker classification. You may treat a worker as an independent contractor (IC) because you believe this is the correct treatment, but the IRS may think otherwise and reclassify your worker is an employee. Result if the IRS is correct: You could owe... Read more »