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The Small Business Administration estimates that 90% of all U.S. businesses are family owned but because of the recession they are struggling. The recession is also having an impact on employers because they are not hiring until they see some improvement in the economy. The good part is that if you are talented and laid-off you have a chance because some employers are taking advantage of the talent pool of skilled workers that are jobless right now. They are doing this because the talent pool of these workers is working for less now.
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It seems that E-mail marketing is not so bad after all. Small businesses need to incorporate it into their social media marketing strategy by using it as a marketing tool. Newsletters are a good example because they provide valuable information and help establish a name for your business. Such marketing is becoming very effective when reaching out to others. This has proven to increase distribution. Remember the solicitation rules when sending e-mails out about your business and remember to keep it ethical. You do not always want to benefit yourself by trying to gain customers but you may want to provide them with some facts in your newsletters. This can create confidence in others to accept your e-mail and can generate leads. Online Marketing Blog (10/14)

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When considering opening your business as a proprietor consider these facts. When filing as a proprietor there is only one owner(you). The life of the organization depends on the life of the owner. A proprietor is liable for all business debts. Proprietors are usually small retail stores, physicians, attorneys, and accountants these are considered professional businesses. A proprietor’s accounting records are not considered their personal financial records.
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Three ways to increase your credit score as a small business owner include getting accounts in order, trading credit with vendors or suppliers, and paying bills on time. Business credit is good for businesses that need loans to pay employees or increase supplies and inventory. The small business sector is taking a big hit due to bank failures and the inability to increase lending to small businesses. The important thing for business owners to do in this type of economic structure is to be conservative and maximize the ability of your staff. If help is needed stick to part timers or issue a well formatted overtime list. In this type of economy hiring can be risky due to the financial state of the economy.Try to utilize income and minimize credit and loans. You can help the economic structure by even paying them off.

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A partnership is almost the same as a proprietorship but you just have to individuals as co-owners. It is always good to have a binding contract when operating a partnership between the two owners. This is to protect the two if legal issues arise. Be sure to examine what you and your partner agree on when opening up for business. Always be straight and informative about your demands with your partner.

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Customer loyalty is hard to maintain in this day and age but there are a number of ways to increase your customer loyalty programs. To maintain a good customer basis try to give customers incentives to stay loyal to your brand or business. It is always a good thing to provide rewards or a points program to keep customers satisfied and saving money. Keep track of your customer’s spending habits so you can always have their products in stock. Building a good customer basis takes time and patience, but you have to keep them happy.

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November 17. 2009 22:34

Filing as a corporation means that a business is owned by stockholders, or shareholders. Stockholders and shareholders are people who own a part of a business that issues shares as a corporation by purchasing the shares issued. These type of people are called shareholders. Businesses that are corporations have to have their articles approved by the state. A corporation is not defined by its owners this is what makes this filing status different from a proprietorship or a partnership. Corporations are also different from proprietorships and partnerships because if a corporation cannot pay its debts, lenders cannot take the owners’ personal assets or the businesses cash to help satisfy the business’s obligations. If a corporation goes bankrupt, lenders cannot take the personal assets of the stockholders either. When filing as a business you have the option of filing as an S Corp or a C Corp, each has different filing advantages.
Reference:
Charles T. Horngren, Walter T. Harrison, Jr., Linda Smith Bamber, 2005, Accounting I&II, Pearson, Chap. 1, Page 8

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November 23. 2009 01:19

Goldman Sachs and Warren Buffet will create a $500 million program aimed at helping 10,000 small business owners. The two are trying to give a boast to the struggling job market. Small Businesses play a vital role in the growth of jobs in the economy. The target will be businesses in underserved communities. This article was posted on Bloomberg and shows how Mr. Buffett continues to be a big help to the business industry. His investments are always needed in the job market. It is evident that now is the time to save and not spend because everyone does not have a Warren buffet or Goldman Sachs to rescue them. Even if you are thinking about opening a new business take the time to plan and know your market. Now is not the time for risk.

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It seems that spending on e-mail, social-media marketing is highly expected to rise with the constant evolving revolution of the internet. 74.1% of businesses intend to increase spending on e-mail with a 68.3% will add to social media, and 79.6% will be avoiding television advertising with a wiping 72.7% not participating in radio ads. Advertising is an important part of business but spending sometimes can be a waste or is it? Relate your advertising to your business and you may win the battle. If you want to be popular chose radio, if you want to conserve money and slowly merge into the market use a cheap old school style of marketing like newspaper and bill board ads. It depends on your message and budget. The key is to be smart when advertising and examine your market.
Reference Small Business Trends 11/19

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