Today’s challenges to small business owners are immense. COVID-19 aside (which, of course, is hard to put aside), there are challenges from the marketplace as well as from government. There’s competition, pressure to increase wages, problems in finding and retaining qualified employees, an endless array of employment-related government rules, tax complexity, supply chain problems, adapting to new technology, and more and more and more. So why are you in business? This may be a question that many small business owners are asking themselves now. Here are some answers to which you might relate: Having independence Having your own business means […]

September 2021 saw unprecedented destruction due to wildfires in California as well as Hurricane Ida—which cut a path of tornados and flooding up through more than a dozen states. But disasters can happen at any time in any location. If a business has been impacted by a disaster, hopefully there is insurance to cover the loss. But in reality, insurance may not cover everything…especially if you have a high deductible on the policy. What can you do from a tax and financial perspective to “weather the storm?” Submitting insurance claims Hopefully, you have your insurance company or agent’s telephone number […]

As employees return to the office after more than a year of working from home, it’s inevitable that office rules will change. Things won’t return entirely to pre-pandemic routines. Here are some rule changes to consider: Work arrangements Many employees have become accustomed to working from home and aren’t keen on returning to the office (leaving COVID-19 concerns aside). Some companies have delayed returns (e.g., Google postponed returns until January 2022). But those seeing employees return now are adopting more flexible arrangements. For example, some are allowing employees to work from home other than requiring attendance at the office a […]

While 2022 is still months away, it’s not too early to be thinking about health coverage for next year. While not every small business may have offered this employee benefit in the past (only 30.8% of firms with fewer than 50 employees did so in 2019) (the most recent year for statistics), the tight labor market virtually makes it a must now. However, the options for providing this benefit are numerous and can be tailored to your company’s needs. But you need to act now. Determine if you must offer coverage If you are an “applicable large employer” (ALE), under […]

Joni Mitchell only looked at clouds, love, and life in her 1966 song “Both Sides Now.” In today’s post-pandemic culture, there are so many issues to look at from different views. The following are some of the hotly debated matters which small businesses need to resolve in the pandemic recovery period. There are both sides to each of these matters, so ultimately, it’s up to the owner to decide, within the limits allowed by law. Work arrangements Should businesses require employees to return to the office? (Obviously, restaurants, retail stores, construction businesses, and other businesses need employees onsite.) Should businesses […]

The time clock, which has enabled employers to verify the time employees start and leave the job, was invented in 1888 by Willard Bundy, a jeweler who used the mechanical timepiece to track employee hours in order to figure their pay. There’s a famous picture of 74-year old Thomas Edison clocking in at his lab in Menlo Park, NJ (he used it to track the hours spent on projects and not to monitor workers’ hours for purposes of wages). Today, time clocks are still in use in many enterprises and are readily available for purchase at Staples and other office […]

September is National Preparedness Month, an observance created by the Department of Homeland Security. This year’s theme: “Prepare to Protect. Preparing for disasters is protecting everyone you love.” The theme for week one is “Make a Plan.” With the hurricane season underway as demonstrated by Hurricane Ida and disasters in Tennessee and North Carolina in recent memory, now’s the time to take action. While the information on Ready.gov is geared to preparedness by individuals and families, it’s a good reminder for businesses to make plans too. The following information is drawn from several prior blogs on this subject. Why you […]

A month from now, on September 30, 2021, a number of business tax credits end. Others are scheduled to expire at the end of the year. Of course, any of these credits may be extended by Congress. But in case they aren’t, here’s a list of business-related tax credits (and a few income tax rules) set to run out soon. In some instances, you are stuck with the end of the break and there’s not much to be done. However, in other cases, you may be able to act now and capitalize on an opportunity that is soon to end. […]

During the government’s 2020 fiscal year (ending September 30, 2020), there were 1.8 million C corporations and more than 5 million S corporations. While we don’t know how many of them were small corporations, we can estimate that most fit this category because the SBA says that 99.9% of all businesses are “small.” Win or lose, using a corporation for business start-ups may produce tax breaks for owners. Because of the specific conditions for each break, one or both may apply in a particular situation (i.e., you may use a break if you win or lose). But again, depending on the situation […]

Cybersecurity isn’t just for big companies. While small businesses may not be as tempting targets for cybercriminals, they have comparatively more to lose from a data breach. In light of this risk, small business security is essential. In 2019, 43% of online attacks targeted smaller companies. More worryingly, these incidents cost $200,000 on average, causing 60% of victims to go out of business within six months of the attack. Small business cybersecurity must improve, but many companies may not pursue it over concerns about its costs. While advanced security solutions can be expensive, many low-cost options can bring significant improvements. […]