Did You Know?

• Recent statistics reveal that about half (50%) of all small businesses fail from Startup in the first 5 years – it is not the 80-90% some believe.

• Great ideas do not make great businesses; educated risk takers do….

• Raw talent will open doors, but it will not always result in a successful business.

• A successful business is identified by 3 things – longevity, security for both the owners and employees, and being valued by its customers.  Not everything in small business is about the bottom line.

• “Build it, and they will come.” This cliche is simply not true in business. In fact, you’ll probably need to spend 3-5 times more on marketing than you planned. It’s critical that people find you, and you need to get them there before running out of cash.

• Using a Consultant is not a sign of weakness, nor does it insinuate a lack of education. Actually, most consultants are used by people looking for validation of their ideas and as a support system for executing their growth. Those that use Consultants tend to be highly trained and intelligent.

• Misclassified workers are one of the costliest errors a small business owner can make. The impulse to “try people out” or avoid the extra payroll taxes when getting started can lead to an expensive host of bigger problems. It is not just the IRS you should worry about- the Department Of Labor has a long and deep reach that will teach you a difficult lesson.

• Mitigating Risk in small business is often the last piece people consider when starting out. The idea that there’s ‘nothing to lose’ is more myth than reality. You need to insure your investment upfront and have policies and procedures in place that will protect you, your business, your employees, and your clients.

• Budgets, and the budgeting process, are one of the single best tools to understanding your business from the financial side. No matter your size, you should have a yearly plan laid out and then monitor yourself.

• NEXUS Rules Apply: If you think we are talking about shampoo or a car, then you have a problem. As a business owner, you need to know what you have to do to be compliant for sales tax collection. Business owners are not entitled to the “I didn’t know” defense.

• What does LLC stand for? Limited Liability COMPANY – and LLC is NOT a corporation! You must designate your entity type – Sole Prop, Partnership, or Corporation.