Buying or leasing a vehicle for your business simply comes down to dollars and cents. Having your accountant run the numbers both ways before a tax year beings will help you determine the wisest course to take.

Many times leasing a vehicle allows a company to take a large deduction, and that can be beneficial since deductions save money. Many leasing companies and car rental agencies have special business plans and can help a small business needing only one or two vehicles to determine a good fit.

If a business is larger then auto manufactures often have fleet leasing representatives who can help the business take advantage of the buying power of needing more automobiles. All of the major manufacturers, be they American or foreign, have fleet programs in place.

While the benefits of leasing are well known, what is not as well known is that businesses often come out ahead through outright purchase due to the tax credit rules that apply, and change from year to year.

If a tax credit is being offered, then the entire cost of a vehicle can be taken right off of taxes rather than depreciating the cost over several years, or taking the deduction as with a lease. Again, it varies from business to business and from year to year as to which option will save the most money. The tax credit saves a lot of money for a company during one year, but saves nothing the following year, and deprecation and deductions both continue from year to year.

Which is best depends entirely on you, your business and the particular tax bracket you are falling into this year. Of course, those who sell leases and those who sell vehicles will always know and if their particular product is the best tax wise for you, they will probably let you know. But the best way to decide is probably through a visit with your tax preparer doing some joint pre-planning to get the best deal.

The type of license needed for your business will depend on several factors. They include the jurisdiction that our business is located in, and the type of business. For instance, if your business is located in a city, it probably needs a license from the city itself, from the country, and in some states from the state as well. Since business licenses are a great source of revenue for government agencies, counties and cites both try to get in on the act.

Now, as to the type of business, that may be regulated as well. If your business is an insurance agency selling life, health, and auto insurance then you will need a state license for each: life, health, and property & casualty. If you also sell mutual funds or stocks then a federal NASD Series 7 Securities License will be required. These licenses are issued only after stringent testing and are subject to revocation if laws, regulations and guidelines are not followed.

Lawyers will need to pass a state bar exam and receive a state license to practice law in addition to city and country licenses. A doctor in private practice will have to have city and county business licenses as well as a state medical license. An insurance agent will be in the same category, needing a license from the state that is partially contingent on passing a national standard real estate examination.

Some businesses will need special licenses from either state, county or city regulatory agencies in addition to a standard business license. A daycare for instance will need to be inspected by children’s services. A liquor store or bar by liquor control, which is usually a state organization administered by the county. In addition, while not legal licenses many professionals encourage their members to join professional organizations. The members will often take exams and try to earn credentials to show their knowledge and expertise. While these credentials may not be legally required, they are smiled upon by most consumers.

When it comes time to license your business, first check with the city and county to see what is required. Then determine if your particular business has any special licensure that you may need to acquire.

Types of insurance needed for a business will, of course, vary from type of business to type of business. If a business is larger than a one man sole proprietorship and actually has employees, then unemployment insurance is required, with premiums paid to the state government or a designated energy.

Also, with employees Workman’s Compensation insurance is required, which covers medical emergencies and injuries employees could sustain while on the job. Also if your business has employees you may be providing some sort of health insurance coverage as a benefit.

Determining exactly what type of insurance the business itself needs is a different story. How much risk is there in your particular business of liability? Obviously if the company owns or operates motor vehicles then at minimum liability insurance for the vehicles is needed.

It may be wise to pay a slightly higher premium for comprehensive and collision insurance to cover repair or replacement in case of accident. With regards to liability insurance, don’t just take the minimum required by the state. Most experts recommend having at least a million dollars in liability coverage on each vehicle.

Lawyers see deep pockets when company vehicles are involved in accidents, and the last thing you need is a half a million dollar judgement with only two hundred thousand in insurance, which would leave three hundred thousand in company assets vulnerable. Regarding liability insurance, better safe than sorry.

The same thought holds true with regards to liability insurance on company property. If someone trips and falls on ice during the winter the company is liable, so having at least a million in insurance, if not more, is essential.

Taking a look at the personnel involved in your business, you can probably spot the key individuals, without whom the company could not function, or at least could not function as well. For these individuals the company may wish to have key man insurance, a life insurance policy that pays off if someone essential to running the business dies, providing functions to replace his expertise.

If the company is a partnership, or an LLC or corporation with key individuals, then having life insurance policies that will buy out the shares of the deceased partner for the remaining partners is a good way to maintain continuity in the business. Then the deceased family members will receive cash settlements, but loose interest in the business, which they may not have expertise in.
There are many types of insurance available, and the needs of every business are different.

Consulting an insurance specialist who works with other businesses will give you an idea of options, and then it is up to you to decide on what is right.

Creating a web site for your new business may be the most fun part of the entire process. It is something you can do yourself even if your expertise is limited.

First you need to decide what you want your web site to accomplish. Is it to be a selling site with a full shopping cart to sell your products online, or do you simply want to encourage customers to come in and see you or give you a call? This will determine the complexity. Assuming you just want a simple site, the first step is to create a domain name and register it.

If your business name is available as a .com, then that is your best choice. If not, check .net, .biz, .us, .info, .tv, .ws and .org. Chances are good that at least one of the names you want will be available.

If you have the funds and want to reserve some domain names for possible later use, do so. You can always park them with a redirect to your site.

Then find a web hosting service. There are many good ones available both locally and on the net. Some will have templates and wizards that will help you create your web site. Others require you to use a program like FrontPage or Dream Weaver, or write code in HTML. If that is the case, HTML isn’t difficult to learn and there are many tutorials available for free and many books on the subject, as well as classes at community colleges and computer training centers.

If you have experience making web sites, great. If not, now is a good time to get some help from someone who does, either in person or by reading a good book on web page design. Most will tell you to keep the site simple. Graphics look nice, but sometimes they slow down older computers and dial up connection modems, and could turn off the casual web surfer.

Making the web site simple but attractive is your best bet. Be sure to include a “contact us” section where a surfer can mail you, and it is also a good idea to offer a free ezine newsletter, a great promotional tool. Have fun with your new web site, because if it is fun for you then it will be fun and appealing to your customers and they will come back again and again, and eventually come in to see you.

If you need a Web Site for your business visit Artitude.com, or Strategic Web Success

My company owns both Sites.  I have been creating successful Web businesses sinc 1994.

Inexpensive ways to promote your new business are abundant. Here are a few examples:

1.Print fliers and distribute them on car windshields in the parking lot, post them on public bulletin boards, and put them anywhere else you can find.

2.Write and distribute press releases to local media. Include the daily newspaper, the weekly business journal, your city magazine, any alternative monthlies or weeklies, and the papers in the surrounding suburbs and small towns. Write the press release like a short news story, not an ad. Be objective and you’ll get printed. No hype.

3.Place cheap classified ads in the local shopper and the daily newspaper.

4.Call in and chat with your morning radio talk show host, and find a way to mention your business during the conversation. Then show up the next day at the studio with a dozen donuts. He’ll probably mention you on the air.

5.Take a journalist to lunch, and tell him or her why your business is news worthy.

6.Submit your web site to the search engines, is free.

7.Buy Pay Per Click advertising in the local section of the major search engines. You can limit it to as little as one dollar a day in spending.

8.Take a news reporter from your favorite local TV station to lunch. Tell her why your business is newsworthy.

9.Make a low bid on unsold inventory at a local radio station. You might pick up some twenty dollar radio commercials for a dollar each.

10.Use chalk talk. Use colored sidewalk chalk to put your message on a downtown sidewalk. Include your phone number.

11.Give your business card to everyone you meet.

12.Post a banner in front of your building for traffic to see.

13.Offer your services as a public speaker. You are an expert in your subject area if you say you are. When you make your speech, plug your business and pass out a business card.

14.Offer to trade web site links with other local businesses, and display their fliers and cards if they will display yours.

15.Write an ebook, and give it away free online. Include links to your web site.

16.Keep a mailing list, or email list of your customers. Send them a monthly newsletter, even if it is just one page typed. Offer them discounts for repeat business and bigger discounts for referrals.

What type of bookkeeping is necessary to maintain a business,
like many other questions, depends on the type of business. A large
corporation will probably need a team of CPA’s on staff, and even a
lawyer who specializes in tax matters. A small business though, an LLC,
S Corp, partnership or sole proprietorship has simpler needs.

The small businessman may do much of the bookkeeping himself, or
have it done by his administrative assistant using one of the many
popular bookkeeping software programs out today, or even templates
available for spreadsheets like Excel, Quattro and Lotus. The small
businessman really just needs to keep track of income that comes into
the business, money that goes out of the business, what it goes out
for.

Saving receipts and making notes in the checkbook ledger are two of
the most important parts of small business bookkeeping. You can only
claim a legitimate business expense, and therefore claim a deduction if
you have a receipt to prove it if challenged during an audit. Save all
receipts, no matter how small, because they all add up.

One of the most important reasons to have good, accurate bookkeeping
is tax time. Many business pay taxes on a quarterly basis, Some pay
annually. Either way, accurate records are demanded by the IRS, and are
the only way to limit your tax liability legally and to withstand an
audit if it ever happens.

While most small business owners prefer to have someone else handle
their taxes, and many prefer to delegate bookkeeping chores to an
employee, is essential that the business owner understand the process
of bookkeeping and the tax system. If your education didn’t include
bookkeeping and taxes, check the local community college and see what
they offer, and get an education in order to help yourself.

Health insurance is a much talked about aspect of small business today. Employees want it, and need it. Small business owners need it as well, and the prices are high.

The first thing to keep in mind with health insurance is that all policies are not the same, and neither are all health insurance companies. Shop around to get the best rates of course, but don’t assume that the cheapest is naturally the best. When you find a policy that fits your budget, check out the company. Make sure that it has an adequate rating, preferably A plus. Check with your state insurance commission and assure yourself that the company pays claims when they are filed.

Next, decide if you will be best served with a traditional insurance plan, or a PPC or HMO. HMO stands for Health Maintenance Organization. PPO means Preferred Provider Organization. This is a network of healthcare providers who offer services to the members of participating health plans for a lower than usual cost.

Usually these doctors and hospitals are made known to you through a list provided by the PPO. You can see another doctor under a PPO, but it is more expensive to see someone not a part of the network. In that case only a percentage of the claim is paid. With an HMO you are restricted to physicians who are members of the HMO.

After checking out the available options, also consider a high deductible combined with a Medical Savings Account. With a high deductible, usually $5,000, you are considered self-insured for the first $5,000 in medical expenses, but have the insurance available for catastrophe or unusual circumstances. This leads to very low premiums. Combining that with a Medical Savings Account is a good combination for many people.

The Medical Savings Account is much like an IRA for retirement. With this program you put aside tax-free income into the savings account, that can only be used for medical expenses.
When checking these programs out, remember that you have many options.

Don’t be afraid to take the details of a plan one company is offering into another insurance office to let them compare and make a competing offer. Health care is important, and making the right decision now could help you in many ways, including financial, down the road.

For a more in-depth look at health insurance for the self employed visit: http://simplehealthcoverage.com

Methods of conducting market research are varied. What is the best way, frankly, is usually determined by the budget a business has to work with.

Direct mail research for instance is considered to be highly effective, but it is a very expensive method. The same is true with telephone surveys. Several telephone operators are required, in addition to telephones, equipment, an office space, and a database of people to call. Add to that the frustration factor of people confusing market researchers with telephone sales people and hanging up on them and it can be a chilling experience for the ego and the budget.

Many companies have discovered that the most effective way for them to conduct market research is by posting researchers in areas with large numbers of consumers. Some do it at trade shows and exhibit halls at county fairs. Others use the larger shopping malls. Some even use busy grocery stores and discount stores. They will set up a table, have a display of the free giveaway items to encourage people to engage in the research, and the product they are sampling. They will also have a supply of forms.

Many times with research in foods they will have a blind taste test, comparing two different types of snack foods or two types of soft drinks in this manner is popular. In addition to getting willing subjects at a low price – only the cost of the giveaway item – the market research doubles as an advertising and promotional vehicle for the company. If a banner with a company name or logo is prominently display, participating in the research can become the “in” thing to do that day at the mall or in the supermarket.

Another bonus is that the table can also have a sign up sheet for more information on the product if it becomes available, creating an instant mailing list for the new product.

Working for yourself is the American dream. Most employees have dreamed of being their own boss, and it has many benefits, but there are a few disadvantages to it as well.

Advantages of working for yourself are that you are responsible to yourself. Your destiny is in your own hands, as well as your financial future. You determine how much work you do, when you go to work, when you quit for the day, when you take a vacation, how long the lunch break will be, and if you really want to put up with a grouchy customer. The business is in your hands and you decide. Instead of griping about the bad advertising campaign that corporate came up with, you decide on an advertising campaign yourself.

Disadvantages of working for yourself are really the same as the advantages. You decide when you go to work, when you quit for the day, when you take a vacation, and how much you will make. All the while knowing, if you are a small business, that if you are gone the business is either not open, or if you have employees, that they are not being supervised by the person who cares the most about the business—you.

You have to make all of the decisions regarding health insurance, benefits, marketing, bookkeeping, management, and customer service. Owning and operating a business is a tremendous responsibility and not everyone is ready for or capable of handing the stress or the commitment.

Still, if you are one of those unique individuals with the spirit of an entrepreneur, then being in business for yourself is the only way to live. Many people in fact simply can’t imagine another way to live. Some people in this world are sheep, following others blindly.

Others are shepherds, preferring to lead. Pathfinders who make their own way. If you are an entrepreneur, you are one of the shepherds and will only be happy in business for yourself.

Every small business owner needs to have a basic understanding of taxes, both state and federal, as well as any local taxes that may apply.

While everyone pays taxes, a small business owner has as a primary goal paying as few taxes as possible. For this reason small business owners need to save receipts for every purchase made. Keep track of all expenses, including the mileage you put on your car for business related trips. It all adds up, and with enough deductions, you reduce your tax bill.

Also, always pay business bills by check or by credit card in order to have a written record of the expenditure. If possible, avoid keeping petty cash in the office. If you must use petty cash, always get a receipt.

Some businesses do some business with others through bartering. This can be great for cash flow, but treat the barter like cash for tax purposes. Trade invoices with the other business and you’ll both come out ahead at tax time.

When it comes close to tax time or when you are planning the new year’s goals, it is always a good idea to look at possible capital expenses. Would you be better off buying a new vehicle, new piece of heavy equipment, or a new computer before the end of the year or after the end of the year? Or would you be better off leasing. Taxes bring up permanent questions such as these, with only temporary answers because the answers change from year to year as the tax code changes.

For this reason having a good tax preparer available as a hired gun is always a good idea. This can be a CPA, or a good non-certified accountant whom you trust. Or a lawyer who specializes in taxes. Generally if you have a very small business a non certified accountant is fine, and the larger your business gets, the more likely you are to need a CPA.