- To Move Your Small Business Forward Take A Step Back 1 Hour
- To Move Your Small Business Forward Take A Step Back Clean
For more than 40 years I have played and watched the beautiful game of soccer. Fans of the sport know the most successful teams are not those whose players run forward with the ball every time.
The first step in developing a rebuilding plan for COVID-19 is determining just how deeply your small business has been affected. There are different layers involved, starting with the hard numbers. Bounce Back and Move On. Once you've fully recovered from your small business failure, you're ready to start again. This can mean anything from another entrepreneurial venture, to joining an existing start-up, to getting a traditional job with a traditional company.
Nov 20, 2019 Costs associated with the moving of your business are tax deductible. This includes costs to move equipment, computers, supplies, inventory, and miscellaneous. Your personal move expenses may be deductible if they are directly related to the moving of the business location, and if they meet the IRS time and distance tests. Sep 02, 2019 In all pursuits, it's prudent to stop and take a step back in order to go forward. Taking a step back from an immediate problem can make it clear that your current approach isn't working. You cannot move forward until you start a savings program. Use Your Current Job As A Springboard. Number three, use your current job as a springboard to later success. Learn while you earn. Take the long view. Number four, experiment in business on a limited scale so you can learn the key abilities necessary for success.
Instead, successful players advance the ball, but upon encountering an obstacle, retreat, seek a lateral position and continue the attack. Success is dependent upon movement and keeping possession of the ball. Teams that stall upon encountering an obstacle lose the ball and ultimately the match.
Sometimes you need to take a step back or sideways to keep moving forward.
Related: What Entrepreneurs Can Learn From the World Cup
I have had the opportunity to work with scores of entrepreneurs. A factor I have identified in successful ventures, whether recent startups or established businesses, is constant movement.
Indeed Shark Tank's Robert Herjavec wrote in a recent LinkedIn post, 'Action is better than inaction.'
'It's critical once you believe in an idea that you make the step to some form of action right away in order to start building momentum towards your goals,' Jon Gillespie-Brown wrote in So You Want to Be an Entrepreneur. Many new entrepreneurs 'talk a good game but do not follow through.'
Some believe that the toughest part of launching a new business is arriving at a great idea. While that's essential, more important is what's done to execute them and bring a product to market. I myself have been guilty of coming up with a great idea only to let it sit on a shelf and later discover that someone else developed a similar notionand acted on it.
The importance of action is not just pertinent to a business launch. Owners of established businesses may also be stopped in their tracks in the face of challenges posed by regulations, advances in technology or the overall economy. A successful entrepreneur is someone who, regardless of the challenge, keeps moving though not always forward.
One entrepreneur who produces a high-quality product recently consulted with me. His success has been limited despite his having an innovative product with military and consumer applications and significant potential demand. After encountering buyers who saught large quantities of his product, he stalled. His challenges included capital raising, recruitment of talent and development of a comprehensive and thoughtful business plan.
None of these activities he had experience with, resulting in a type of entrepreneurial paralysis. Once he realized and accepted that his lackluster performance resulted from an inability to deal with the challenges, he made adjustments, accepted mentors (myself and a technical expert) and has begun moving past the obstacles.
Successful entrepreneurs know that success is not always a linear upward progression and understand that obstacles arise. Those who are ultimately successful do not become paralyzed by challenges but instead find a way around them. They don't sit still. They keep moving.
Herjavec suggested in his column that entrepreneurs who are unable or unwilling to continue to move forward or backward or seek an alternative route are destined to doom. Without movement of some sort the entrepreneur's venture gets stuck and eventually fails.
Murray Rothband's Man, Economy, and State with Power and Marketsummarized the importance of movement: 'The concepts of success or failure in entrepreneurship are thus deducible from the existence of action.'
The following five tips can help entrepreneurs keep taking action and moving toward success:
Related: Turning Crisis Into Opportunity: 5 Ways to Deal With Hardship
1. Set goals.
Entrepreneurs who know what they want and have set a course are more likely to accomplish their objectives. Goals act as the homing device for an entrepreneurs' actions. At times they may need to take a step back or sideways to continue to move forward. Like the North Star guiding navigators, goals help entrepreneurs create a new course after making adjustments.
2. Don't fear failure.
A mantra I repeat on my radio show, speaking engagements and YouTube channel is 'Fail often. Fail fast. Fail forward.' Often people are taught that failing is bad. Yet without failure few entrepreneurs would know the way to success. Entrepreneurs seldom get it right the first time. But having the ability to keep moving by making adjustments improves the odds of success.
3. Take risks.
Herjavec also wrote, 'Accept that there is a chance you will fail to make the leap across a chasm, or the rock you are about to step on may crumble, but understand that the rewards outweigh the risks.'
Indeed there is truth to the saying 'Nothing ventured, nothing gained.'
4. Don't settle.
Some entrepreneurs may strike gold the first time out. Korg pa1x pro download. Others require more time, energy and perhaps the alignment of some planets.
Don't become discouraged. Keep moving. Evaluate your business plan and make necessary adjustments based on feedback and results. Sometimes moving past a large obstacle means going around it and not necessarily over it.
5. Seek a mentor.
The entrepreneurs who freeze and do nothing when they come to their 'moment of truth' may do so because they don't know what to do next. The best way to achieve success is to work with someone who has already been down the same road. Plenty can go wrong in business but the right mentor can help an entrepreneur navigate the pitfalls and keep moving forward, improving the odds for success.
Related: Choosing Between Opportunity and the Comfort of Home
Keeping your financial records in order is hugely important to the success of your business. Not only does it keep you up-to-date on your profits and losses, but legally speaking, it's necessary to have your records straight. It makes the close of your fiscal year easy to execute by ensuring that all of your required statements are in the right place. This is especially important for dealing with the IRS.
Understanding just what exactly goes into a fiscal year close can be confusing, however, especially for new business owners. Even if you have an accountant on staff or retainer, it's still important to keep track of your finances yourself. It just makes good business sense for you, as the owner, to understand what exactly is happening with your money.
Let's examine the steps you should take when closing out your small business' books for the end of the fiscal year.
Steps to Take Before the Last Day of the Fiscal Year
To Move Your Small Business Forward Take A Step Back 1 Hour
1. Review your profit and loss statements
Your business' profit and loss statements will help you get a snapshot of its financial performance. What does your revenue look like now that the year is almost through? Do you anticipate any other large expenses to hit your books? If not, evaluate how much money you have available, and see if it might be wise to make a larger purchase before the end of the year so that the item can depreciate.
2. Verify Your Vendor and Lender Files
It's important to review the paperwork—including 1099s—associated with any of your vendors, as well as information relating to any current outstanding loans. Make sure all of your vendor 1099 forms are up-to-date and accurate. You also want to make sure the 1099 information has been inputted correctly into your accounting system so that it'll populate the forms when printed.
3. Take Inventory
If you sell products, conduct an inventory assessment and compare the results to your last inventory report. Make any necessary adjustments so that you have an accurate account of how much capital you have wrapped up in your current inventory.
Even if you don't sell products, it's not a bad idea to take an inventory of elements in your office, such as equipment, computers, office supplies, etc. Make a list of any broken equipment or equipment in need of repair. If you lease any electronics, such as copiers, pull out the contract associated with it and make sure the terms are still appropriate for your situation.
4. Look for Benefits to Report on Your Outgoing W-2
As a business that issues W-2s, these benefits relate to the organization as a whole and can reflect things such as health and life insurance, transportation subsidies, educational reimbursement programs and more.
5. Create a Budget for the Following Year
It's never too early to plan. By reviewing your statements from the current year, you'll start to see a pattern in the things you need to budget and plan for in the next year. By taking stock of your expenditures from the current year, you'll have a better understanding of where to focus your efforts moving forward.
Steps to Take After the First Day of the New Fiscal Year
1. Print Out Your End-of-Year Statements
You should keep them as electronic files, of course, but it still might be helpful to print out your profit and loss statement and balance sheet at a minimum. Accounting software like QuickBooks can help generate these financial reports, or you can reach out to an accountant to do it for you.
If you have a sales staff, you might want to print out sales per salesperson. If you're curious about your clientele, you might also want to take a look at how much each client generated in revenue over the past year. As with most metrics, your end-of-the-year statements are as useful as you want them to be. Choose the data that will tell you what you need to know.
2. Make Depreciation Entries
Depending on how savvy you are with your finances, you may need some help from your accountant for this step. The benefit of listing depreciation is that it decreases the amount of taxable income you must report on your taxes. There are four key characteristics of assets that are considered depreciable by the IRS:
- The asset must be wholly owned by the company.
- The asset is used to produce income.
- The asset must have a determinable lifespan.
- The asset should last more than one year.
To Move Your Small Business Forward Take A Step Back Clean
There is also a list of assets excluded by the IRS that you need to cross-reference.
3. Reconcile All of Your Accounts
Go through all of your credit and bank accounts for the business, and reconcile all charges and payments. Make sure the statements match with your records, and investigate any unexplained discrepancies.
4. Print and Mail Out Tax Forms
If your fiscal year coincides with the calendar year, you must print and mail certain forms by a certain time. If your fiscal year doesn't coincide with the calendar year, some of these deadlines may still apply, so be sure to double-check with your accountant.
- 1099s: These forms should be mailed no later than January 31 to any independent contractors you hired. Don't delay in case there are errors.
- 1096: This form must be mailed to the IRS no later than February 28.
- Payroll Forms (e.g. W-2, W-3, 940, 941): Print and mail these forms as soon as you can, especially if you're handling it yourself and not asking an accountant or firm to do it. Remember that your employees cannot file their taxes until they receive a W-2, and many people like to file as soon as possible.
Some entrepreneurs may strike gold the first time out. Korg pa1x pro download. Others require more time, energy and perhaps the alignment of some planets.
Don't become discouraged. Keep moving. Evaluate your business plan and make necessary adjustments based on feedback and results. Sometimes moving past a large obstacle means going around it and not necessarily over it.
5. Seek a mentor.
The entrepreneurs who freeze and do nothing when they come to their 'moment of truth' may do so because they don't know what to do next. The best way to achieve success is to work with someone who has already been down the same road. Plenty can go wrong in business but the right mentor can help an entrepreneur navigate the pitfalls and keep moving forward, improving the odds for success.
Related: Choosing Between Opportunity and the Comfort of Home
Keeping your financial records in order is hugely important to the success of your business. Not only does it keep you up-to-date on your profits and losses, but legally speaking, it's necessary to have your records straight. It makes the close of your fiscal year easy to execute by ensuring that all of your required statements are in the right place. This is especially important for dealing with the IRS.
Understanding just what exactly goes into a fiscal year close can be confusing, however, especially for new business owners. Even if you have an accountant on staff or retainer, it's still important to keep track of your finances yourself. It just makes good business sense for you, as the owner, to understand what exactly is happening with your money.
Let's examine the steps you should take when closing out your small business' books for the end of the fiscal year.
Steps to Take Before the Last Day of the Fiscal Year
To Move Your Small Business Forward Take A Step Back 1 Hour
1. Review your profit and loss statements
Your business' profit and loss statements will help you get a snapshot of its financial performance. What does your revenue look like now that the year is almost through? Do you anticipate any other large expenses to hit your books? If not, evaluate how much money you have available, and see if it might be wise to make a larger purchase before the end of the year so that the item can depreciate.
2. Verify Your Vendor and Lender Files
It's important to review the paperwork—including 1099s—associated with any of your vendors, as well as information relating to any current outstanding loans. Make sure all of your vendor 1099 forms are up-to-date and accurate. You also want to make sure the 1099 information has been inputted correctly into your accounting system so that it'll populate the forms when printed.
3. Take Inventory
If you sell products, conduct an inventory assessment and compare the results to your last inventory report. Make any necessary adjustments so that you have an accurate account of how much capital you have wrapped up in your current inventory.
Even if you don't sell products, it's not a bad idea to take an inventory of elements in your office, such as equipment, computers, office supplies, etc. Make a list of any broken equipment or equipment in need of repair. If you lease any electronics, such as copiers, pull out the contract associated with it and make sure the terms are still appropriate for your situation.
4. Look for Benefits to Report on Your Outgoing W-2
As a business that issues W-2s, these benefits relate to the organization as a whole and can reflect things such as health and life insurance, transportation subsidies, educational reimbursement programs and more.
5. Create a Budget for the Following Year
It's never too early to plan. By reviewing your statements from the current year, you'll start to see a pattern in the things you need to budget and plan for in the next year. By taking stock of your expenditures from the current year, you'll have a better understanding of where to focus your efforts moving forward.
Steps to Take After the First Day of the New Fiscal Year
1. Print Out Your End-of-Year Statements
You should keep them as electronic files, of course, but it still might be helpful to print out your profit and loss statement and balance sheet at a minimum. Accounting software like QuickBooks can help generate these financial reports, or you can reach out to an accountant to do it for you.
If you have a sales staff, you might want to print out sales per salesperson. If you're curious about your clientele, you might also want to take a look at how much each client generated in revenue over the past year. As with most metrics, your end-of-the-year statements are as useful as you want them to be. Choose the data that will tell you what you need to know.
2. Make Depreciation Entries
Depending on how savvy you are with your finances, you may need some help from your accountant for this step. The benefit of listing depreciation is that it decreases the amount of taxable income you must report on your taxes. There are four key characteristics of assets that are considered depreciable by the IRS:
- The asset must be wholly owned by the company.
- The asset is used to produce income.
- The asset must have a determinable lifespan.
- The asset should last more than one year.
To Move Your Small Business Forward Take A Step Back Clean
There is also a list of assets excluded by the IRS that you need to cross-reference.
3. Reconcile All of Your Accounts
Go through all of your credit and bank accounts for the business, and reconcile all charges and payments. Make sure the statements match with your records, and investigate any unexplained discrepancies.
4. Print and Mail Out Tax Forms
If your fiscal year coincides with the calendar year, you must print and mail certain forms by a certain time. If your fiscal year doesn't coincide with the calendar year, some of these deadlines may still apply, so be sure to double-check with your accountant.
- 1099s: These forms should be mailed no later than January 31 to any independent contractors you hired. Don't delay in case there are errors.
- 1096: This form must be mailed to the IRS no later than February 28.
- Payroll Forms (e.g. W-2, W-3, 940, 941): Print and mail these forms as soon as you can, especially if you're handling it yourself and not asking an accountant or firm to do it. Remember that your employees cannot file their taxes until they receive a W-2, and many people like to file as soon as possible.
The end of the fiscal year is a crazy time for any business, but smaller businesses feel the pinch even more due to limited staffing and skill-set availability. Prepare yourself and make sure to cross off all of the steps necessary for a successful and responsible end of your fiscal year.
Looking to reduce your bills in the new fiscal year? If so, here are seven ways to instantly reduce your business expenses.
