Home/

Archive for the ‘How To Information’ Category

Small Businesses Resources, Part 1: The Association of Small Business Development Centers (ASBDC)

Posted on February 1st, 2012 by Joey Donovan Guido

Category: Entrepreneur, Grow a Business, How To Information, Small Business, Small Business News, Start A Business

Small-Business-Resources If you’re an entrepreneur, or small business owner, there’s a very good chance that you can benefit from getting involved with the Association of Small Business Development Centers (ASBDC).

They provide excellent resources — both locally and nationally — for networking, funding ideas, free forms, community connections and much more.

In a Nutshell …
“America’s Small Business Development Center Network is the most comprehensive small business assistance network in the United States and its territories. The mission of the network is to help new entrepreneurs realize their dream of business ownership, and assist existing businesses to remain competitive in the complex marketplace of an ever-changing global economy.” — ASBDC

To make full use of the resources the ASBDC provides, it’s a good idea to take a look at both their national website, as well as the local website.

ASBDC National Website
Here, you’ll find an abundance of resources including:

The ASBDC Blog

A gateway to special offers, discounts and opportunities

Free webinars from ASBDC partners

Helpful links for small businesses regarding information, products and services

Business resources for veterans of America’s Armed Forces

Disaster assistance

There’s also an annual conference which, “brings together over 1,400 Small Business Development Center (SBDC) professionals, trainers, consultants, management, and administrative personnel.” The 2012 annual conference is September 11th.

Let’s Talk Local (SBDC)
Each local small business development center (SBDC), offers unique opportunities for entrepreneurs and small business owners based on the needs of each individual state and city.

There are programs in place focusing on topics like startup business solutions, youth entrepreneurship programs and veterans business programs — to name a few. Some local SBDCs offer networking events that bring small businesses together. Of course, attending classes or presentations will also give you the opportunity to meet other business owners — making your professional circle larger and stronger.

Local SBDC websites are chock-full of information, but you can also call to speak to someone the old-fashioned way — by phone. I have spoken to my Wisconsin SBDC, and I can honestly say that the representative I spoke with was extremely knowledgeable, pleasant and happy to answer questions and offer direction to relevant resources.

As an entrepreneur or small business owner, you need every edge you can find to build and maintain a successful business. The SBDC is an excellent place to find this.

Related Links:
SCORE
SBA.gov
Startup America

blog

No Comments

Tax-Exempt Companies and IRS Form 990-N

Posted on January 31st, 2012 by Joey Donovan Guido

Category: How To Information, Small Business, Small Business News, nonprofit

Have you heard of the IRS Form 990-N?

If you haven’t, you are not alone. But that doesn’t mean it’s not an important form. In fact, if it’s not filled out for three consecutive years a company will automatically lose its tax-exempt status.

In an effort to help your nonprofit organization remain compliant, we’ve put together this brief article to give you a quick overview of the form and whether or not you’ll need to actually file one.

The first thing you’ll need to determine is whether you’re a tax exempt organization with annual gross receipts that are usually $50,000 or less. If you are, filing IRS Form 990-N (e-Postcard) is typically required. Companies can also file a complete Form 990 or Form 990-EZ, instead of the e-Postcard.

Due Date of the e-Postcard

According to the IRS, “the e-Postcard is due every year by the 15th day of the 5th month after the close of your tax year. For example, if your tax year ended on December 31, the e-Postcard is due May 15 of the following year. If the due date falls on a Saturday, Sunday, or legal holiday, the due date is the next business day. You cannot file the e-Postcard until after your tax year ends.

Filing IRS Form 990-N

Click here to file your form. The IRS has partnered with the Urban Institute to make this form available for completion online. This form must be completed and filed electronically. There is no paper version.

What You Need to Complete the e-Postcard(according to the IRS):

Employer Identification Number (EIN), also known as a Taxpayer Identification Number (TIN)
Tax year. Are you following a calendar tax year, or a fiscal tax year?
Legal name and mailing address
Any other names the organization uses
Name and address of a principal officer
Web site address if the organization has one
Confirmation that the organization’s annual gross receipts are normally $25,000 or less ($50,000 for tax years ending on or after December 31, 2010)
If applicable, a statement that the organization has terminated or is terminating (going out of business)

For more information, please visit the IRS Form 990-N page.

blog

No Comments

Choosing a Tax-exempt Status for Nonprofit Companies

Posted on January 27th, 2012 by Joey Donovan Guido

Category: How To Information, Incorporate a Business, Small Business, Start A Business, nonprofit

Tax-Exempt

Nearly everyone’s heard of the infamous 501(c)(3) tax-exempt formation. But did you know that there are other no less than 32 tax-exempt options for nonprofits?

To follow is a listing of four of the most popular ones — including 501(c)(3) — along with a brief description of what makes each of them unique …

501(c)(3)

These are typically public charities or private foundations established for a variety of purposes including: religious, educational, charitable, scientific, literary, testing for public safety, fostering of national or international amateur sports, or prevention of cruelty to animals and children.

Application form number: 1023
Annual return required to be filed: 990 or 990EZ, or 990-PF
Charitable contributions allowable: Typically, yes

501(c)(4)

Geared toward civic leagues, social welfare organizations, and local associations of employees. This type of nonprofit generally promotes community welfare, as well as charitable, educational and recreational endeavors.

Application form number: 1024
Annual return required to be filed: 990 or 990EZ
Charitable contributions allowable: No, generally

501(c)(6)

This type of nonprofit is often a business league, chamber of commerce, or real estate boards. The general nature of activities involves improvement of business conditions of one or more lines of business.

Application form number: 1024
Annual return required to be filed: 990 or 990EZ
Charitable contributions allowable: No

501(c)(7)

Consisting predominantly of social and recreation clubs, this type of nonprofit organization focuses on pleasure, recreation and social activities.

Application form number: 1024
Annual return required to be filed: 990 or 990EZ
Charitable contributions allowable: No

A Note on Defining Your Business Purpose
Your business purpose is an explanation of what your nonprofit corporation is formed to do or provide. Having a very detailed description is essential. If you plan to apply for tax-exempt status, the IRS will require a copy of your Articles of Incorporation and will pay particular attention to your business purpose and use it to classify your business.

For a complete list of nonprofit, tax-exempt formation choices, visit our IRS Organization Reference Chart.

We’re Here to Help
If you have questions, or would like assistance with forming a nonprofit company, feel free to give our customer service team a call between 8am and 7pm CST, at 800-981-7183. Or, send us an e-mail anytime. We’re always happy to help.

blog

No Comments

Top Benefits of Forming a Nonprofit Company

Posted on January 26th, 2012 by Joey Donovan Guido

Category: How To Information, Incorporate a Business, Small Business, Start A Business

Thinking about forming a nonprofit company?

You probably already know that they’re specifically formed for purposes other than operating a profit-seeking business. But you might not be aware of all the benefits associated with being a nonprofit organization.

To follow are the top advantages of forming a nonprofit company. We hope they help you gain a clearer picture of what these types of business formations have to offer …

Top Seven Benefits of Forming a Nonprofit Company

Limited liability protection. Protects directors, officers and members against being held personally responsible for their company’s debts and liabilities. With limited liability protection, creditors cannot pursue the personal assets of the business owner to pay off business debts.
Tax-exempt status. Nonprofits can apply for both federal and state tax-exempt status.
Access to grants. Some nonprofits are eligible to receive public and private grants, making it easier to get operating capital. For instance, certain grants and other public allocations are only available to 501(c)(3) organizations.
Tax-deductible donations. With 501(c)(3) nonprofits, donations made by individuals to the nonprofit corporation are tax-deductible.
Possible state sales and property taxes exemption. This benefit varies by state.
US Postal Service discounts. Tax-exempt nonprofits generally can receive discounts on bulk mail rates.
Credibility. There is established credibility for an organization that is recognized by the IRS as a tax-exempt nonprofit.

blog

No Comments

Incorporating a Business? What You Need to Know to Ensure Your Limited Liability Protection

Posted on January 20th, 2012 by Joey Donovan Guido

Category: How To Information, Incorporate a Business, LLC, S-Corp, Small Business

Limited-Liability-Protection

When you’re incorporating your business, whether it’s a Limited Liability Company (LLC), S corporation (S corp), or another business formation, there are at least two things you’ll need to do to properly set up your company.

Filing incorporation documents within the state you’re doing business in is critical. Even if you choose to incorporate in Delaware because of the many business advantages it offers, you’ll still need to incorporate in the actual state you’re physically doing business — often referred to as your home state. If you have multiple states where you have a physical presence, you’ll need to incorporate in each of them. Incorporating in any state other than your home state is called Foreign Qualification.

Once incorporation documents are filed, many small business owners think they’re done. This is not the case. It’s true that your company is officially formed, but if you want to ensure that your limited liability protection remains intact, you’ll have to conduct business in a certain way.

Obtaining an Employer Identification Number (EIN)
The key next step is setting up a bank account, but in order to do this you have to file a form with the IRS to attain an Employer Identification Number (EIN). This Federal Tax ID number is what will enable you to open up a bank account in the name of your company (or its DBA name). It’s very important that your business transactions are kept separate from your personal bank account.

Clients and customers will need to make payments to the business, or DBA name, and all funds should be deposited in the business account. If there’s a hazy middle ground where checks are being made out to you and deposited into your personal checking account, this may compromise your limited liability protection.

What is Limited Liability Protection?
One of the major benefits of incorporating, limited liability protection protects a business owner against being held personally responsible for their company’s debts and liabilities. With limited liability protection, creditors cannot pursue the personal assets (home, savings, etc.) of the business owner to pay off business debts.

We’re Here to Help
If you have questions, or would like assistance with incorporating your company, feel free to give our customer service team a call between 8am and 7pm CST, at 800-981-7183. Or, send us an e-mail anytime. We’re always happy to help.

blog

No Comments

Turning Your New Year's Resolutions into Reality

Posted on January 19th, 2012 by Joey Donovan Guido

Category: Goals, Grow a Business, How To Information, Leadership, Small Business

Did you make any business or personal
New Year’s resolutions this year?

If so, bear with me while I ask a redundant question:

Do you want your resolutions to become reality?

Of course you do.

But in order to do so, you’ve got to transform your resolutions into actual goals.

To follow are four major steps that will help you create detailed, attainable goals — upping the odds for manifesting your New Year’s resolutions into reality.

1. Discover your goals. If you’ve already determined your New Year’s resolutions, you’ve already accomplished this first step. If not, take out a piece of paper (or open a Word doc) and click here for details on discovering goals.

2. Clearly define your goals. I like to say that vagueness will leave us directionless, but a goal that is brimming with details gives us a “high-definition” view of what our future looks like. Take a moment to think of your small business as a trip you’re planning. A clearly-defined goal is like the address (destination) you enter into your GPS. Without the destination, your GPS can not plan a step-by-step route to get you where you want to go. More on defining goals.

3. Setting your goals. Speaking of step-by-step, the next part of the process is creating a step-by-step plan of action. It’s imperative that each step is manageable, or what I like to refer to as “bite-sized.” Here’s how Zig Ziglar and Napoleon Hill, two of my mentors, describe the process of developing your step-by-step plan of action:

Identify EXACTLY what you desire
Spell out exactly why you’d like to reach these goals
List the obstacles you need to overcome in order to get there
Identify the people, groups and organizations you need to work with to get there
Identify what you need to know (learn) in order to reach these goals
Develop a plan of action
Set a date on it. When do you expect to get there?
Write it all down!
More on setting your goals

4. Overcoming obstacles. Let’s face it, we’re not working in a controlled environment here. It’s very likely that obstacles will present themselves as we strive to attain our goals. Here are some practical ways to manage obstacles when they arise:

Learn to respond instead of reacting
Seek our positive input from people, books, seminars …
Have a flexible plan that has room for revisions as needed
Develop your long-term vision so that you don’t lose sight of your goals when obstacles arise.
Avoid them all together by being aware of potential problems before they arise
More on overcoming obstacles

As you can see, there’s a considerable amount of work involved in the process. But this is your business and your life we’re talking about. At years end, I’m sure you’ll want to look back and see success, not frustration because your resolutions never manifested into anything but a big idea.

Take the time to turn your New Year’s Resolutions into attainable goals. You’ll be glad you did.

Good luck!

blog

No Comments

Dissolution: How to Properly Close a Company

Posted on January 9th, 2012 by Joey Donovan Guido

Category: How To Information, Small Business

Dissolution-How-to-Properly-Close-a-Company Small business owners don’t typically open up their business with the intention of closing it down. In reality, it happens.

Anyone who’s closed a business knows the emotional baggage that goes along with it — including feeling like a failure. But it’s important to remember that more often than not successful endeavors — and successful businesses — are the result of one or more failures.

From Thomas Edison, to Steve Jobs, failure played an integral role in their ultimate success. Learning what went wrong, as well as taking note on what worked well, is a recipe for success.

But before you move on to your next endeavor, you’ve got to get your current company closed properly. Walking away without taking the right steps to dissolve your company could cost you money — and it could hurt your reputation in the business world (some states make this type of information public).

Although it may be overwhelming now, correctly dissolving your company is something you’ll be glad you did down the road.

To follow is an overview of the steps a business needs to take to dissolve their company. For more details, visit our dissolution article at BizFilings.com.

Step 1: Corporation or LLC action
Company owners must approve the dissolution of the business. With corporations, the shareholders must approve the action; with limited liability companies (LLCs), members grant approval.

Step 2: Filing the Certificate of Dissolution with the state
After shareholders or members have voted for the dissolution, paperwork must be filed with the state in which the business was incorporated. If the company qualified to transact business in other states, paperwork must be filed in those states, too.

Step 3: Filing federal, state, and local tax forms
Although you’re ending operations, your tax obligations do not immediately cease. You must formalize the business closing with the IRS as well as your state and local taxing agencies.

Step 4: Notifying creditors your business is ending
You must notify all of your company’s creditors by mail, and explain:

That your corporation or LLC has been dissolved or has filed the statement of intent to dissolve
The mailing address to which creditors must send their claim(s)
A list of the information that should be included in the claim
The deadline for submitting claims (often 120 days from the date of the notice)
A statement that claims will be barred if not received by the deadline

Step 5: Settling creditors’ claims
Creditor claims can be accepted or rejected by your company. Accepted claims must be paid or satisfactory arrangements made with creditors for repayment.

Step 6: Distribution of remaining assets
After paying claims, remaining assets may be distributed to company owners in proportion to the share of ownership.

Just like Thomas Edison, who failed at creating a working light bulb over 10,000 times, we have to keep trying and learning until we get it right. Until then, don’t give up.

Creating a Vision Board: A Tool for New Year's Resolutions

Posted on January 5th, 2012 by Joey Donovan Guido

Category: Entrepreneur, Goals, Grow a Business, How To Information, Leadership, Small Business

VisionBoard Every January, millions of people make New Year’s resolutions. Most of the time, these are either verbal or written resolutions. But there’s another powerful way to set your goals for the upcoming year — a vision board.

What is a Vision Board?

More than a simple craft project, vision boarding is a tool that helps us craft the life and business we want.

“A vision board is a tool used to help clarify, concentrate and maintain focus on a specific life goal. Literally, a vision board is any sort of board on which you display images that represent whatever you want to be, do or have in your life.” — makeavisionboard.com

What’s great about vision board, which is essentially a collage, is that it’s something you can place in a prominent spot in your home or office (or both) and easily refer to it on a daily basis.

Being Mindful is the Key

If we’re mindful when we’re creating our boards, and mindful each day when we review them, we’re filling our heads with positive input that’s both relevant and specific to us. Muhammad Ali once said, “what you are thinking about, you are becoming.” He was right.

What we’re thinking about will affect what we talk about. What we talk about affects the actions we take each day — which ultimately shapes our reality. The more we align our thoughts with our goals, the more likely it is for us to act on them and ultimately accomplish them.

What You’ll Need to Make a Vision Board

Every person making a board will need a poster-sized piece of foam core or oak tag. What’s nice about foam core is that it lays flat and is more durable than oak tag, but either will suffice.
A collection of images from magazines, photo albums, the internet, books — or anything else — that represents what you would like to attain. Whether it’s good health, or a healthy bank account balance, the images you choose should be meaningful, and clear, to you.
You’ll also need scissors, glue or glue stick, markers, tape, or other scrap booking supplies you might like to use.
Most importantly, you’ll need to take some time to think about exactly what you want your business and life to look like. Without a crystal-clear vision of what you want to manifest, your vision board won’t have much value or impact.

Happy New Year, and good luck with your vision boards.

blog

No Comments

A New Year, Without New Ideas, is Still the Same Old Thing

Posted on December 30th, 2011 by Joey Donovan Guido

Category: Goals, Grow a Business, How To Information, Leadership, Small Business, Small Business News

BrickWall Have you ever heard the quote, “if you always do what you’ve always done, you’ll always get what you’ve always gotten?”

When trying to find a definitive source for this quote, many names are mentioned — from Abraham Lincoln to Tony Robbins. No matter who is responsible for first uttering these words, one thing’s for sure: they’re true.

The new year is a perfect opportunity to take stock of what we’ve accomplished in the past twelve months. It’s also a good time to look forward and define what we’d like our next year to look like.

But beyond retrospect and goal setting, there’s an important question we need to ask ourselves:

What can we do different?

If something’s working well, great. But if it’s not, what can we do differently to change the outcome from negative to positive?

Are You Banging Your Head Against the Wall?
It’s very easy for humans to get stuck in certain habits. And when we’re busy, it can be incredibly hard to stop for a moment to make sure we’re approaching a problem or project in the most effective way.

I’d argue that taking the time to stop, think, make changes (as necessary) and then proceed is actually a big time saver. Do you really want to have to do something all over again when you don’t have to? Front loading your time investment with the best strategy possible is good business, and it puts you in a better position to succeed.

If you feel you’re banging your head against the wall about a specific aspect of your small business (or your life), here’s what you need to do:

Stop banging your head against the wall
Try something different

Trying something different means change, which often scares people. But, in the words of world-famous speaker Brian Tracy, “what if it works?” What do you have to gain if you succeed?

blog

No Comments

The Evolution of New Year's Resolutions

Posted on December 29th, 2011 by Joey Donovan Guido

Category: Entrepreneur, Goals, Grow a Business, How To Information, Small Business

TheEvolutionOfNewYearsResolutions Do you make New Year’s resolutions? Be it on a personal or professional level, it’s an excellent opportunity to take stock of where you are in life vs. where you want to be.

But a New Year’s resolution, without a well-defined plan of action to back it up, is like owning a brand-new car without a key. It may look nice, but it’s not going anywhere.

The Evolution of the Resolution
What I’m really talking about here is creating clearly defined goals. If we take our resolution, which is typically a big idea without any specifics, and fill in the blanks on HOW we’re going to accomplish it, we give ourselves a road map to follow — which ultimately leads to completing the goal.

Before you fill in the details of your road map, ask yourself the following question:

What do you love to do the most?

The reasoning behind this is simple, yet powerful. If my goal is to double my profits in the coming year, I have a much better chance of accomplishing my goal if I’m engaged in activities that I enjoy. Of course, these activities need to propel me toward my ultimate goal, but as I define what I need to do in order to accomplish my goal, choosing things I’m excited about will keep me in the game.

A Hypothetical Example
Let’s say I enjoy analyzing metrics, developing products and working face-to-face with my customers. But I do not like working in online social media, blogs or developing my company’s marketing strategies.

I’m better off focusing on what I love to do and delegating the work I don’t like (albeit absolutely necessary to my success) to someone who is proficient at it and enjoys it. Trying to “save money” and do it myself could deter me from reaching my double-profit goal — causing me to lose money.

Why? Since I don’t like social media or marketing (hypothetically), the work I accomplish won’t be the best it can be. How could it, if I’m not excited about it? There’s no way we can do a consistently great job working on something we dislike. Remaining engaged is near impossible, and eventually most people simply stop doing the task.

Plus, being the lone guy or gal — trying to do it all ourselves — is a surefire way to introduce frustration and failure into our days. We can not do it alone. Building a team we can depend on is a must for long-term success.

Discovering What You Love
Whether it’s choosing which type of business to start, what type of products to sell, or which projects to work on — the most important factor is determining what’s most enjoyable to you.

How to determine what’s most enjoyable to you …

First, write down what you love to do more than anything else in life. This does not have to be business oriented. If more than one thing comes to mind, write them all down. See if there’s an overall connection. Ultimately, you’ll have to pick only one thing — and only one thing — at least for now.

This may prove difficult, but once you have only one choice you’ll have a lazer-like focus to help propel you forward (as opposed to being in conflict with yourself regarding what to work on).

Next, make a list of all the things you can do with your small business that’s directly associated with what you love to do the most. Even if it doesn’t seem realistic right now, write it down anyway.

By the time you’re done, you should have at least thirty different ideas/ways to bring what you love into your business. This exercise may uncover some pretty unique opportunities on how to reach your goal. In some cases, it may transform your goal, or your entire business into something you’re much more excited about.

blog

No Comments

Archive for the ‘How To Information’ Category

Small Businesses Resources, Part 1: The Association of Small Business Development Centers (ASBDC)