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Near misses in business are learning opportunities

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In business, near misses occur on a regular basis. Most people who have been in business long enough can recall at least several near miss events Being Lucky In Business Can Hurt You A recent study published in Risk Analysis, an official publication of the Society for Risk Analysis, analyzes the impact of “near misses” on an individual’s protective responses to hurricanes. Authored by Robin L. Dillon, Catherine H. Tinsley (a former professor of mine) and Matthew Cronin, the study shows how … [Read more...]

Small Business Tax Reform May Finally Be Here

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For years small business owners have sent a clear message to national elected officials: We need tax reform! The complexity of the tax code and the burdens it places on small businesses are tremendous. According to the non-partisan Tax Foundation in Washington, D.C., the average person has to work until Apr. 12 this year to pay all local, state and federal taxes. That’s 102 days. Even a 15 percent reduction in this burden would free up significant resources for business owners. Lately, several … [Read more...]

How To Protect Yourself From Counterfeiters

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Counterfeiters are a huge problem for U.S. businesses. As more companies outsource production to foreign countries, they lose control Counterfeiting of goods is a huge problem for U.S. businesses. As more companies outsource production to foreign countries, they lose control of their designs, plans, processes, trademarks and copyrights. As I recently noted, China is clearly taking a leisurely approach to enforcing intellectual property protections—it should be no surprise that 66 percent of … [Read more...]

Audit Red Flag To Watch Out For

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If you are in the business of renting property, the IRS is going to take a very close look at your tax return beginning this year. Here is the one audit red Flag to watch out for. If you are in the business of renting property, the IRS is going to take a very close look at your tax return beginning this year and will continue to do so for the foreseeable future.  In December, the Treasury Inspector General for Tax Administration (known as TIGTA) published an audit report analyzing the income … [Read more...]

How To Tell If Your Accountant Is A Crook

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Misconduct on the part of accountants and bookkeepers is an unfortunate reality. While most accountants and bookkeepers are honest and take their work seriously, the small number of bad apples justify taking a cautious approach. As a business owner, any level of misconduct places your entire business at risk. How to tell if Accountant Is A Crook Warning signs Here are some warning signs that your accountant may be engaging in misconduct. Being evasive or difficult to … [Read more...]

Take it Personally When Pitching to Investors

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When it comes time to pitching to investors, most business owners play it safe. They have their traditional PowerPoint presentation that includes the Mission, Vision, Product description, management team experience, sales strategy, financial projections and competitive advantages. That’s fine, but it isn’t enough to convince investors to write you a check. Experienced angel investors and venture capitalists evaluate dozens or hundreds of potential investments each year. Most of them have the … [Read more...]

Understanding the Economics of Your Product Distribution Channels

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A “channel” refers to a method of distribution that puts your product in the hands of customers. There are many different Distribution Channels. .Most businesses start out selling their products through a single channel. This channel could be a store, a website, or a distributor.  But as time passes and the business expands, new channel opportunities present themselves. When selling through multiple channels, sales and marketing decisions become more complex.  Without a proper understanding of … [Read more...]

Small Business Banking in 2016

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Banking in 2016 in the United States is going to change. Big time. Over the next five years, a revolution in financial services will take place. Banking in the United States is about to change.  Big time.  Over the next five years, a revolution in financial services will take place.  It’s already started, but unfortunately many big banks haven’t gotten the message. Consumers and small business owners are empowering themselves through technology to take more control of their money. Welcome to … [Read more...]

Use the Equity Simulator When Raising Money

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When a small business goes through the process of raising money from investors, it’s far from painless.  It is one of the most stressful events in the growth of a company.  If the owners aren’t prepared for what fundraising entails, they run the risk of losing control of the company they are fighting so hard to grow.  In many cases, it could lead to the complete disintegration of the professional and personal relationships among the owners that allowed them to succeed in the first place. The … [Read more...]

Getting Finance and Sales departments to Collaborate

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Many companies – even small companies – have communications problems between their finance and sales departments. How to get the finance and sales departments to collaborate Even if each “department” consists of only one person, they still have a hard time talking to each other. The problem can be even worse at smaller companies that don’t have sophisticated feedback or evaluation mechanisms and can’t afford expensive consultants to help them work through the problem.   Stereotypes   The … [Read more...]