Positioning in Small Business Marketing

Myths About Starting Your Own Small Business

by: Daegan Smith

Before you jump into small business entrepreneurship, consider first the following myths which we will debunk.

1. Starting a Small Business is Easier Work

This isn’t true. You’ll probably work harder. A small business needs more work to survive. However, the potential to earn is more. The difference is, at work you would balk at overtime. With your small business, you may actually enjoy working overtime because you are caring for your own business.

2. MYTH: I’ll be the boss.
You may be the boss of your company. But you will still have to please someone else: the client. So in truth, they are the boss. Make sure you keep them happy and well served.

3. MYTH: I Can Now Ratchet Up My Asking Price

We often think that we work too much and are paid too little. When starting a small business we may be tempted to think that we can now push for a price more befitting our skills. However, we should remember that we have competition who might be offering their services for a pretty low amount. We always have to be competitive and practical. And exorbitant pricing may not help our small business any much.

4. MYTH: I Don’t Have to Deal with People I Don’t Like Anymore!

Unfortunately, no. You might find that the clients you now have may be pushier than your boss. And as we said in number 1, your clients are your boss. The goal here is for you to have more and more clients. So from here does it follow that the more the clients, the more the bosses, the more the headaches?

5. MYTH: I Own My Time!

Yes, you do own your time. Unfortunately you will find yourself using more and more of this time to tend to your business. So ultimately, no, you won’t gain much in the time department.

6. MYTH: I can’t work any harder. I can’t do all this.

Do you know that they most managers give more jobs to busy employees because they seem to know how to balance and allocate their time? The key to working more is to work smarter, not harder.

This will take a lot of organization, but being able to accomplish much in less time will prove to be its own reward.

7. MYTH: Freedom at Last!

Free from what? And free to do what. Yes, you will have more leeway to do things when you want to. But this does not mean that you will be free to do nothing. Or be free to do something else than tend to your business when you have to.

8. MYTH: I’m in Charge. There’ll be No Mismanagement from Me.

You may think that your boss was foolish not to listen to your suggestions regarding work. But unless you are on the hot seat, you will not appreciate how hard management really is.

9. MYTH: If I’m good, I’ll be a success immediately.
The unfortunate reality of life is that sometimes, talent and hard work are not rewarded. However, if one is patient with his or her small business, the chance that that business will turn out to be a success increases. So always be practical in your expectations of success. Don’t count your chicks when the eggs haven’t hatched yet.

10. MYTH: I Can Motivate Myself

No man is an island, remember? In any business, your first line of security is your friends and family members. They will help you assess yourself and should be ready with a kind word or two to motivate you to start your own business. But aside from them you should be driven yourself. Without this drive you might not find the fortitude needed to weather the trials that beset starting businesses.

About the author:
Daegan Smith is the leader of the fastest growing team of successful home business enterpernuers on the net. Find out how we’re creating financial freedom all across the globe and how to get in on the action FREE =>http://www.comlev.com

Five Steps to Starting a Business

by: Abe Cherian

Starting a business can be a rewarding experience, but it
can also be very time consuming and difficult. Many
resources are available to assist you, but information
overload can cause you from moving forward.

Keeping it simple is often the best way of maintaining the
momentum necessary to get your business started. There are
a series of steps to ensure success.

The first step toward getting your business going is
deciding on a name, for example “New York Landscaping.”
Any name that you do business under other than your own
given name is called a “fictitious” or “assumed” name, and
certain steps need to be taken in order for you to do
business under that fictitious or assumed name.

Depending on where you live, different government agencies
track which names are available. Look in your local phone
directory, under government agencies to find the number, or
contact your local Secretary of State.

Check to find out if the name you want has been taken. If
it is available, you may need to file a fictitious or
assumed name certificate with the state or local fictitious
name office. Some areas will also require you to publish

a notice in the local paper about your new assumed name.
Both state and federal law regulates the use of names and
“trademarks”. To avoid conflicts with other businesses
regionally or nationally using your business’s name, or the
names of your products, you may want to consider
registering your trademark on the federal or state level.
Contact an intellectual property attorney for trademark
search and registration services.

The second step is knowing that different areas have
differing licensing and permit requirements depending on
the type of business you are going into. Most businesses
that require a license will have a local licensing
authority that can guide you through the process.

Find out the licensing requirements on federal, state, and
possibly even local levels for your type of business and
get licensed. Failure to be properly licensed could result
in penalties such as fines, closure of your business, and
imprisonment in some cases.

The third step is getting insurance. When things are going
smoothly, insurance can seem an unduly burdensome expense
on a small business. But when things go wrong, whether or
not you have insurance can mean whether or not you and your
business survive a catastrophic event like a lawsuit, fire,
or natural disaster.

Liability insurance protects you against liability in the
event of injury to others or damage to other persons
property. Liability insurers most often have two duties:

1. The duty to defend you. Hire a lawyer, if you get sued
and

2. the duty to indemnify you. Pay for damage or injury to
others. Both duties are extremely important, but the
first is often overlooked by small businesses.

The cost of defending a lawsuit can easily run into the
tens of thousands, or even hundreds of thousands of dollars
even if you win. That’s why being careful is no substitute
for liability insurance.

Make sure you have adequate coverage for your vehicles and
those of your employees when used for business purposes.
You can be sued and held liable for injury or damage done
by your employees if it is within the course and scope of
their employment.

Property and theft insurance may be an important
consideration, as well as product liability or service
liability insurance. This is often called “errors and
omissions” coverage.

Interview a few local insurance brokers and find one that
seems knowledgeable and that you feel comfortable with.
Then ask the broker to do a risk assessment to determine
what coverages you might need and why. Remember, the
broker makes money by selling you insurance “products” so
be sure to question the types of coverage and amounts. If
your broker can’t explain why he or she is recommending the
types and amounts of coverage in the risk assessment, find
another broker.

The fourth step is recognizing and implimenting taxes. Sole
proprietors need to be conscious of local, state and
federal taxes and registration requirements relating to
their businesses.

Hiring an accountant or bookkeeper to help set up a simple
accounting system, or using a software package is a good
place to start.

Hiring a tax professional knowledgeable about local and
state taxes relating to your business, or contacting the
local tax authorities before you begin generating revenue
or expending money can help you stay organized and be ready
for tax time.

Additionally, the IRS offers assistance for entrepreneurs
starting a small business in various publications. You can
download IRS Publication 334, entitled “Tax Guide for Small
Business”, and Publication 583, entitled “Taxpayers
Starting a Small Business” from the IRS web site.
http://www.irs.gov

The fifth step is hiring employees (if needed). Though many
small business people start out running their own shop,
success will often bring the need for expansion. When an
employee is added, you must obtain an Employer
Identification Number from the IRS. You can download Form
SS-4 from the IRS web site.

In the United States, the Workers Compensation scheme does
a lot to protect employers from lawsuits by employees
injured on the job, while also providing employees with
easier compensation for workplace injuries. Be sure to
talk to your insurance broker about workers’ compensation
insurance.

Talk to your tax adviser, and make sure you register with
your state for payment of unemployment compensation taxes.

Download IRS Form W-4 from the IRS web site to take care of
employee withholdings. You should get copies of INS Form
I-9 to verify your employees’ eligibility for employment in
the United States.

Finally, issues regarding wrongful termination,
discrimination, workplace harassment, and other legal
issues have come to the forefront in today’s business
environment. Make sure you have an employment agreement
that spells out whether your employee is “at-will”. ex: can
be let go at any time without cause, or the terms of the
employee’s contract for employment.

Make sure you Draft employee guidelines or an employment
manual to make sure there are no misunderstandings about
what expectations, rules and responsibilities are in place.
Document any issues relating to your employees well and be
proactive about handling disputes. A little planning in the
beginning can save a lot of headaches and legal expense
later on.

In conclusion- hiring independent contractors is often a
good way to avoid the administrative burdens of hiring
employees, but be precautious. There are many pitfalls to
hiring an independent contractor who is for all intents and
purposes an employee. Talk to a lawyer and your tax advisor
about who is an employee versus a contractor.

About the author:
Abe Cherian is the founder of Multiple Stream Media, a company that helps online businesses find new leads and more customers without spending a fortune. http://www.multiplestreammktg.com

What Software Do You Need For Your Small Business

by: Jeff Schuman

When running a small business there can be several jobs and
tasks to take care of. Obviously knowing where the money is
coming from and going is essential to running your business.
That’s why it is good to find out which small business
accounting software is best for you to help you run a well
organized and efficient small business.

There are hundreds to thousands of small business accounting
software out there to help you with reports and tools needed to
use your financial data. Depending on the one you go with will
depend on how much you’re going to pay for it. The more you
pay, the more accessories and programs there will be that come
with it. Some come with a billing and time module, various
amounts of financial and management reports, and more. You can
choose to get it in different editions from basic, online, pro,
or premier for your computer.

One small business accounting software that is recommended is
the 2005 Peachtree Complete Accounting. This is a multi-user
ready system that provides you with all the features needed.
You’ll have features including in-depth inventory, job costing,
time and billing, fixed assets and more. With all these great
features the price of this runs between $165-$290 as it is sold
by different merchants. You can shop for this product through
the different merchants here:

http://about.pricegrabber.com/search_getprod.php/masterid=2936006/search=Peachtree%20Complete

Another feature that is offered with certain software is the
capability to scale as your business grows. That is just one of
the many features that the high end Microsoft Business Solutions
Small Business Financials North America Edition offers. Also
included in this program is the capability of keeping record of
financial management, sales, purchasing, inventory, payroll, and
reporting. This is software that will easily allow you to run
an organized small business and keep track of the people in it
and all of the numbers associated with running a small business.

This software will give you everything that you’ll truly need.
With this high end software is a hefty price as it runs between
$995-4,500, so you’ll have to decide how big your small business
is going to get. If you’re going to be running a large small
business, then this will be worth it to help keep track of all
the payrolls and inventory and more. On the website listed
below, you’ll also see a free 60-day CD demo that you can try it
out first to see if you like it.

http://www.2020software.com/products/Microsoft_Business_Solutions_Small_Business_Financials_North_America_Edition.asp

There is plenty more software to choose from, but there’s a high
end software and a cheaper software to check out. If you go to
http://www.2020software.com/default.asp you’ll find a list of
what this website claims the top 7 software out there. Included
on this list is the Microsoft software I have briefly talked
about just above.

This list is going to consist of the more expensive software out
there. All of the software on the list is priced at above
$1,000 with some of them reaching the $100,000 mark. While it
is pricey, it will install very easily, be very secure over the
internet and computer, and offer all kinds of features you
wouldn’t even consider such as a built-in report writer to help
deliver the content in the format you need.

Now you know the general price range for accounting software and
the features you’ll get for what you pay for. In order to get a
good quality software for your small business it’s going to be
pricey, but it will help keep your business organized and in
tact. So don’t be afraid to drop some money on software that
will help expand your business in the long run.

About the author:
Small business grants and small business resources to help you start and run your own business. Small business training, information, articles, loans and more. http://www.sites-plus.com

Business Laws: What you Need to Know

by: Matt Bacak

There are a myriad of things you must think about when opening any type of business whether it is a small business or a large corporation and one of those is how business law may affect you. Failure to pay attention to business and corporate law can land you in a world of trouble-both legal and financial. The good news is that you do not necessarily need to be a graduate of a fancy business law college or have a business law major to brush up on the basic ideas of small business law and corporate business law.
If you’ve paid attention to the headlines lately, you probably know that employment law for business is one of the number one areas where you can get into trouble if you aren’t up on all the employment laws and regulations. There are numerous laws that govern the employment of both regular employees and contract employees. Just for a broad overview, take a look at all the employment business laws you must meet:
· Civil Rights Act of 1966.
· The Equal Pay Act of 1963
· Americans with Disabilities Act
· The Immigration Reform and Control Act of 1986
· The Age Discrimination in Employment Act
· The Equal Employment Opportunity Act
· The Bankruptcy Act
· The Occupational Safety and Health Act
· FMLA, the Family Medical Leave Act
· Employee Polygraph Protection Act Labor Law
· FLSA, the Fair Labor Standards Act
And that’s not even counting the various state employment business laws that might apply to your business! If you aren’t sure of whether you are meeting all the regulations, it’s a good idea to get a checkup for your HR department.
Do you happen to work in the international arena? If you have anything at all to do with international business, then you should be aware of the many ways in which international business law can affect you, your business and your bottom line. At a minimum, you need to make sure that you meet general international business laws, specialized export laws, import laws and any laws of the foreign country in which your business operates.
And what about the business law scene at home? Were you aware that in addition to Federal business law and international business law, you are probably required to meet State business law regulations? Do you know whether you need a business permit or license? Failure to obtain one can result in the shutdown of your business and hefty fines and penalties. This is just one of the ways that state business law, such as California business law, can affect the health of your business if you aren’t careful to stay on top of things.
Finally, what about Internet and online business laws? Were you even aware that there was such a thing? The Internet has exploded so much in the last decade that the government has found it necessary to institute Internet compliance laws. If you operate a website of any kind and do not meet the compliance regulations, that site could be shut down and you could face criminal prosecution and hefty fines.
Of course, no one should ever attempt to navigate the complexities of any type of business law alone and the best course of action is to always seek the qualified professional advice of a business law firm, but hopefully these tips will help you to understand a little bit more about business law requirements.
Summary: When operating a business, regardless of whether it is a small business or a large corporation, you need to be on top of business law compliance. Even if you hire a business law firm, it’s still a good idea to understand what regulations you must meet.

About the author:
Matt Bacak became “##1 Best Selling Author” in just a few short hours. Recent Entrepreneur Magazine’s e-Biz radio show host is turning Authors, Speakers, and Experts into Overnight Success Stories. Discover The Secrets http://promotingtips.com

How To Find And Sell to Your Small Business Niche

by: Robert Moment
Any given market in its entirety is simply too vast for any business but the largest of corporations to properly undertake. Therefore, the most lucrative strategy for smaller businesses is dividing the potential demand into different manageable market niches, from which you can offer specialized goods and services, for attracting a specific group of those prospective clients.

There are, without a doubt, some types of products or services for which you are particularly suited to providing. Have a good look at the market, and you will be certain to find some ideal opportunities.

So what does finding a niche really mean for your small business? Identifying your small business niche means that you are discovering a distinct corner in the market, for your business to provide to a certain specific customer interest - and then capitalizing on it. It means that you find that one special spot within the business world where you stand out the most.

Now that you know exactly what a niche is, there are certain things that you need to find out about yourself and your small business before you take a look at that ever-reaching industry you’re looking to tackle.

Ask yourself:

* What is my company good at/what am I good at? When you answer this question, have a good look at your skills, and those within your current business. Find the areas in which your strongest skills lie, and list them. You may be surprised at what you discover. Performing this type of inventory really brings out the strengths as well as the potential of your business.

* What do I enjoy doing? What are the things that you love to do the most both in a business scenario, or even when there is not a profit available. The best place to start looking, is at your hobbies. These are the things that you enjoy the most, and into which you’re likely willing to invest a fairly significant amount of money. Therefore, you can potentially translate this particular passion into profit. This will not only make your business a more enjoyable venture, but it will also provide you with additional stamina and focus, which is crucial in starting a new business, or redirecting the focus of an existing business.

* What is needed? Now that you know what you can do well, and what you like to do, it’s important to assess these things with regards to what customers are willing to buy.

To find out what is needed, you’ll want to look into your potential customers, you’ll need to examine what is already being purchased, and consider trends for the future. Sound daunting? Actually, it’s simpler than you think.

As you research a niche for your own operation, perform a market survey and contemplate its results in order to discover the areas which have already been adequately saturated by your competitors. Place all of the gathered information into a table or a graph in order to illustrate where openings may exist for your products or services. Concentrate on finding the proper arrangement of products, services, quality, and price, in order to be certain that competition is as indirect as possible.

Regrettably, there is no universally guaranteed strategy for making those comparisons, however, the more thorough your examinations of the marketplace, the more accurate, practical, and successful your factual information and your “gut” instincts will be. The reason for the lack of a cast iron formula for discovering where competition is the most thin is due to the vast range in the desired attributes within any industry, as well as a certain imaginative element which simply cannot be formalized. There needs to be a proper balance between competition, and actual client interest in your product or service.

As you brainstorm for fantastic small business niche ideas, keep in mind that the heart of any successful venture is providing a product or a service that will be purchased in quantity by others. To do this, you will need to satisfy the needs of your target market, and in return, your target market will keep your small business healthy, happy, and (best of all) profitable.

By designing a quality database (or having one designed for you by a professional in the industry), you will be better able to sift through all of the market information available, in order to make a qualified decision about particular market segments which may not otherwise be obvious.

For example, do clients within a certain geographic region, or government agency or department typically buy products combining high quality and high price, or does that area look for the more “economical” choice? Do the customers from the market niche that you are considering tend to utilize customer service opportunities on a more regular basis? When you have the answer to these questions, you will be able to custom-tailor your business to meet the needs of that niche, making your business the obvious choice.

But where does one find all of this spectacularly handy information? The Internet is a natural, and highly effective solution. The Internet has become possibly the most broad and valuable source of current information for today’s small business. If you were a corporation, it would be easy to simply hire a team to discover the proper niche in the market for your business, however, as a small business, certain financial limitations step into place. Therefore, the Internet provides you with a tool to somewhat level the playing field. You can take all the information gathered by corporations, large companies, small enterprises, and home businesses alike, and apply them to your own business in order to discover what the world has to offer you.

Information about almost any product or service available around the globe is simply a mouse-click away. Brainstorm, ponder, and research all of the questions that can be relevant to your market, and then use the Internet to narrow down all of the information

Remember, though, once you do target a new niche market, make certain that this niche doesn’t conflict with your overall business plan. Your niche has to be within the realm of possibilities for your company and your potential.

Finding your own little niche in the enormous marketplace is a fantastic way to maximize the success potential of your small business. Primarily because your largest direct competitor… is you!

About the author:
Robert Moment is a successful master business and success strategist and author of “It Only Takes a Moment to Score”, which is currently available at Amazon.com and Barnes and Noble. Robert show entrepreneurs how to avoid becoming a statistic and turn their ideas into wealth and have FUN ! Grab a copy of his Free Special Report, “17 Profitable Ways to Turn Your Content into Money”. Visit: http://www.sellintegrity.com

First Steps to Starting Your Own Small Business

by: Marjorie Geiser

You’ve been dreaming about what it would be like to start your own small business. It has been on your mind since you were in school, and there are times, especially on Monday mornings, that you daydream about it. But, you’re not really sure what it would look like. You don’t have the first clue how to get started, and of course, you’re afraid that you would put your heart and soul into it, only to fail and look like a fool. You barely even talk about it out loud, because you don’t want family and friends to laugh at you.

But, anything is possible! The only limitations we have are the ones we put on ourselves! With planning and learning the steps, and doing your homework, if this is something you really want to do, you can do it, AND succeed greatly at it, too!

I’m not saying it’s easy! Nothing worth having is. I have had to learn a great deal; about myself, about business, about my clients and potential clients. And it never ends, because my interests and passions change with the years. But, how exciting!

When my daughter started kindergarten, I returned to school. It took me five years to get through school, but I had a vision: I wanted to help people become healthy and fit in the privacy of their own homes. After school, I didn’t have that plan fully in place, even in my mind, but after six years of working in a hospital, I was ready. I opened MEG Fitness in June, 1996. It’s been an incredible ride! I’ll never look back at my life with regrets that I didn’t pursue my dream. I really have learned that the only limits are those I impose on myself, too! So, I continue to dream bigger and allow my vision to become more grand. Why not? What’s the worst that can happen?

That’s what you have to ask yourself. If you never try, will you be happier? If you never try, how will you know if you could have done it? Consider some of the well-known names in sports, such as Michael Jordan, the basketball player; he has thrown more MISSED shots than those that have made their mark. What if he had not taken the chance to see what was possible for himself?

Okay, so now you’re ready to take the next step! First, in order to help you focus, I recommend that people start working on their business plan. The Small Business Association has invaluable resources on their website (www.sba.gov). This was the route I took. A year before I quit the hospital, I started working on my business plan. It helped me determine exactly who I was, what I offered, why, who my ideal client was, who my target market was (at that time), who my competition was, where I would offer my services, how I would offer them, and so on. As I coach other health professionals who want this dream, I now use a 3-page business plan for clients who don’t plan to look for outside funding. Regardless of the type of business plan, it will help answer many hard questions for you.

There are resources specific to most specific fields, too, including other professionals who help others get started. Do your research to see who you can contact for support and to ask questions of as you progress. Once you have your business plan in place, it’s not time to celebrate, yet! How are you going to accomplish the goals you have come up with in that plan? You next need a marketing plan. Now, although the marketing plan is also part of a business plan, it’s really just the intro! The marketing plan will become your template, your schedule, and will spell out the actions you will take to make those goals reality. If you use it seriously, it will be your day-to-day guide to making your dreams come true!

About the author:
Marjorie Geiser is a nutritionist, registered dietitian, certified personal trainer and life coach. Marjorie has been the owner of a successful small business, MEG Fitness, since 1996, and now helps other health professionals start up their own private practice. To learn more about the coaching services Margie offers, go to her website www.marjoriegeiser.comor email her at margie@megfit.com

For Entrepreneurs A Simple IRA May Be Best

by:Tim Knox

Q: I own a small decorating business and
I’ll be the first to admit that I don’t know
anything about taxes or retirement plans. I’d like to set up
a 401(k) or an IRA or some other kind of retirement plan for me and my
three employees. What are the various retirement plan options available
for a small business owner and in your opinion, which would work best
for me?

– Wanda S.

A: Wanda, I appreciate your confidence in my humble opinion, but asking
me for financial advice is like asking Donald Trump for a
recommendation on hair care products. I can tell you what works best
for me and my business, but you’ll need to do your homework
and seek professional advice to figure out what would work best for
you. As a side note, I hear that Donald Trump is coming out with his
own line of hair care product soon to be called “Big
Head.” The formula is 1.ousse, 1.iquid nails, and 98.ot air.
It should be a big seller among the high brow, comb-over crowd.

Here’s my best advice on retirement plans: find yourself a
financial advisor (or financial planner) who is has experience working
with small businesses and have him or her explain the options available
and make a recommendation as to the type of plan best suited for you
and your business. When I say “financial advisor”
I’m not talking about your know-it-all brother-in-law or your
accountant. I’m talking about a broker or financial planner
(or other licensed professional) who has a proven track record of
making his clients money and is an expert on IRAs, 401(k)s, mutual
funds, etc.

The best way to find a good financial advisor is to ask for referrals
from your most successful friends and associates. Find the richest,
stingiest man in town and ask who his advisor is. Meet with several
advisors, explain your situation, and ask for their recommendations.
You should also make sure the advisor is a good fit for your
personality and your business. If all goes well you will be doing
business with this person for many years to come, so make sure the
relationship feels comfortable to you and that you are confident in the
advisor’s ability to manage your money.

Let me give you a quick overview of a few of the retirement plans
available to small businesses so you at least have an idea of
what’s out there before you start your search for a good
financial advisor.

As a small business you basically have three types of retirement plans
that you can take advantage of: the Self-Employed 401(k); the
Simplified Employee Pension Plan or SEP IRA, and the Savings Incentive
Match Plan for Employees or SIMPLE IRA. Each allows you to make pre-tax
contributions to the plan, which lets you save for retirement and
lessen your taxable income by the amount of the contribution. Your
investments also grow tax-deferred until withdrawal.

A Self-Employed 401(k) is an option for self-employed individuals or
business owners with no employees other than a spouse. The business can
be a sole proprietorship, a partnership, or a corporation, including S
corps. You can make salary deferrals to this type of plan of up to
$14,000 for 2005.

Next is the Simplified Employee Pension Plan or SEP IRA. A SEP is an
option if you earn a self-employed income from a full or part time
business, even if you are covered by a retirement plan at your fulltime
job. A SEP allows you to contribute up to 25.f earned income, up to
$41,000 for 2004 and $42,000 for 2005.

My preferred type of retirement plan is the Savings Incentive Match
Plan for Employees or SIMPLE IRA. The SIMPLE IRA was created to make it
easier for small businesses with 100 or fewer employees to offer a
tax-advantaged, company sponsored retirement plan.

With a SIMPLE IRA you and your eligible employees may contribute up to
3.f earned income (with a maximum contribution of $10,000) on a pre-tax
basis to individual SIMPLE IRAs. You must deduct Social Security and
Medicaid from your gross income, but you can then make your SIMPLE IRA
contribution before other taxes are levied, effectively lowering your
taxable income.

As the employer you must make “matching” or
“non-elective” contributions into your
employees’ SIMPLE IRA accounts. Matching contributions means
that the business matches the elective deferral contributions made by
employees. For example, if the employee opts to contribute 3.f his
salary to the plan, the employer must match the 3ontribution.

At first you might cringe at matching your employees’
contributions, but as the business owner and an employee yourself this
can be great news. As an employee of your own business you can
contribute up to $10,000 to your SIMPLE IRA and the business can then
match your contribution dollar-for-dollar, which means that you can put
up to $20,000 in tax free dollars into the plan per year. The cost of
the contributions is also deductible as a business expense.

The non-elective contribution option requires that the company
contribute 2.f every employee’s earned income to the plan on
the employee’s behalf regardless of whether or not the
employee contributes to the plan himself. For 2005 the maximum
contribution you would be required to make is $4,200.

Like a traditional IRA, you can withdraw money from a SIMPLE IRA at any
time; however distributions within the first two years of participation
are subject to higher early withdrawal penalties than traditional IRAs
or Roth IRAs. Withdrawals within the first two years are subject to a
25.arly withdrawal penalty. Withdrawals taken after the first two years
are subject to a 10.arly withdrawal penalty.

As the employer, the advantages of a SIMPLE IRA include: company
contributions to the plan are tax deductible as a business expense;
plan documents are simple and easy to administer; administration costs
are low; and there is no government reporting required by the employer.

The advantages of a SIMPLE IRA for your employees include:
contributions are immediately 100.ested; contributions and earnings are
tax-deferred until withdrawal; employees can contribute 100.f earned
income up to $10,000 for 2005; and employees can direct their own
investments within the IRA.

This is a complex topic and I’ve just tipped the iceberg
here, but hopefully this will give you enough information to get the
investment ball rolling.

Here’s to your success!

Tim Knox

About the author:
Tim serves as the president and CEO of three successful technology companies and is the founder of DropshipWholesale.net, an online organization dedicated to the success of online and eBay entrepreneurs.Related Links:
http://www.prosperityandprofits.com
http://www.smallbusinessqa.com
http://www.dropshipwholesale.net
http://www.30dayblueprint.com

Business Goal Setting

How many times have your decided to set a goal for your business

and set it aside because the task seemed too huge or difficult

to begin? I have seen this happen over and over so I decided to

write and article on business goal setting.

When setting your business goals it is interesting to see that

the thought process is no different than personal goal setting.

You have to clearly define your goal and write it down. Here are

7 steps that will help your business achieve th goals you are

setting for it.

- Think about the goal you want to set for business

- Write the goal down as soon as you visualize it. Writing the

goal on paper for posting on a wall or desk where you may review

it daily is very important.

- As you develop and write your goal, make room for changes and

put it on a type paper that can be easily updated as needed.

This just means you will need to be ready to revise and change

the written procedures as you move forward with the

implementation of your goal. Change is inevitable a necessity of

life.

- Start taking the steps neccessary to implement your goal.

- Be sure to write down the date you want the goal to be

completed! Also write down the time and day of the week you will

start working toward the goal!

- Begin reflecting on how you are doing working towards you

business goal. You can always make adjustments as needed.

- Develop an attitude of I will do whatever it takes. Too many

business owners set goals and then give up do to laziness or

they just get to busy to follow thru.

Business goal setting is a long term process and you are going

to have to work at it to make it happen. It’s your business so

you determine the success and failure. Business goal setting is

one step that will help you fall into the success category.

About the author:
Jeff Schuman’s small business resource website has the best of everthing to help you run your own small business. http://www.sites-plus.com/business-goal-setting.html

Why Online Presence Is Essential For Small Business Success

by: Srinivasan R.G.

If you are any kind of small business or home operated business, online presence is essential. Majority of web site visitors are from the English speaking population due to the high levels of internet penetration in that category, online presence for all small enterprises cannot be overemphasized. The research data in the US about online connectivity reveals the following facts which may help to understand the importance of the web presence for businesses especially the small enterprise.

70 % of the US households have web connectivity.

In 2004 worldwide online population was 801 million worldwide.

Of these 36% used English as the language. Of this U.S. alone accounts for close to 200 million.

The next major group was European languages with 38 % and major single language next to English was Chinese accounting for 14%.

Home web users were generally affluent, literate, and belonged to the younger age profile. This means the web presence for any business is necessary if you want to succeed in promoting your products and services to a population who can afford them and also willing to buy them online.

The household that did not own a computer or who were were not connected to the web, generally felt it is not useful or needed and cost too much.

What this means for a small business owner is that they are better off promoting their products to people who were online.

You small business success is undoubtedly linked to your online presence

About the author:
R.G. Srinivasan is a managerial professional, Writer and Author. He writes a regular blog on management thoughts with interesting articles, resources, personal experiences and links useful for practicing managers athttp://management-thoughts.blogspot.com