Many new entrepreneurs have good intentions, great ideas, and strong goals. Coming from a job to starting a business, however, introduces new concepts that many new business owners are not aware of or familiar with. Some of these are legal, most are financial. These few tips will keep our businesses running smoothly and increase cash flow.
1. Have a dedicated business budget. After we have calculated total business costs such as fees or dues, we set aside a dedicated amount to spend on products, educational materials, and advertising. If there is an expensive item we want to purchase we average those funds if needed and add them to our monthly budget, cutting back on something else. If we stay within budget we will develop a good habit that will save us money and increase cash flow. As our business grows more profitable we can expand spending accordingly on advertising and other essentials.
2. We make sure that everything we are doing is legal and the companies and organizations we work with are also legal. If we are in doubt we consult an attorney. This is important for two reasons: illegal companies will rarely pay us, no matter how hard we work, and our reputations can be severely damaged by promoting illegal or illegitimate products and services.
3. We plan for taxes and remember to file a schedule C every year. We can claim a business loss, deduct business expenses, and recoup much of what we spend on our businesses. We make sure we are following the tax laws as well. Review the IRS guidelines for home businesses. In a recent Webinar only about 10% of the people in the business had filed a schedule C. Most did not know the tax laws also. Not following the laws can cost us money and also get us in legal trouble. Tax issues can be very costly.
4. We pay attention to proper and acceptable marketing techniques. We don't spam, we don't blast ads inappropriately, and we don't spam social media sites. We provide value and position ourselves as leaders who truly want to assist others. This is the method the leaders use to build and maintain their lists. It is much more effective than spam and ad-blasting.
5. We keep organized lists of actions to take, results we have achieved, and places to improve. This includes tracking ads, tracking responses to article and video posts, and tweaking our efforts as necessary. Being organized in this way maximizes results and reduces effort accordingly. I personally am not well organized so keeping track of everything is really important for me and makes life much easier.
Simple organization and tracking will make running our businesses simpler and more enjoyable. Paying attention to legal issues and taxes will reduce liability risks and increase cash flow. Budgets help us develop good habits and control our expenditures. Simple efforts can produce massive results in many areas and will improve the quality of our businesses. More important is that a good foundation in these areas when our business is small will pave the way for our business to grow huge with few complications.
Hello my friends, I'm Dave Cleinman. Network marketing can be fun and rewarding, but it is also hard work. For information on how to make the process easier, including tips, methods, and valuable life-changing information, visit my blog Steps to Success and sign up for my newsletter, Step by Step.
Article Source: http://EzineArticles.com/?expert=Dave_Cleinman
1. Have a dedicated business budget. After we have calculated total business costs such as fees or dues, we set aside a dedicated amount to spend on products, educational materials, and advertising. If there is an expensive item we want to purchase we average those funds if needed and add them to our monthly budget, cutting back on something else. If we stay within budget we will develop a good habit that will save us money and increase cash flow. As our business grows more profitable we can expand spending accordingly on advertising and other essentials.
2. We make sure that everything we are doing is legal and the companies and organizations we work with are also legal. If we are in doubt we consult an attorney. This is important for two reasons: illegal companies will rarely pay us, no matter how hard we work, and our reputations can be severely damaged by promoting illegal or illegitimate products and services.
3. We plan for taxes and remember to file a schedule C every year. We can claim a business loss, deduct business expenses, and recoup much of what we spend on our businesses. We make sure we are following the tax laws as well. Review the IRS guidelines for home businesses. In a recent Webinar only about 10% of the people in the business had filed a schedule C. Most did not know the tax laws also. Not following the laws can cost us money and also get us in legal trouble. Tax issues can be very costly.
4. We pay attention to proper and acceptable marketing techniques. We don't spam, we don't blast ads inappropriately, and we don't spam social media sites. We provide value and position ourselves as leaders who truly want to assist others. This is the method the leaders use to build and maintain their lists. It is much more effective than spam and ad-blasting.
5. We keep organized lists of actions to take, results we have achieved, and places to improve. This includes tracking ads, tracking responses to article and video posts, and tweaking our efforts as necessary. Being organized in this way maximizes results and reduces effort accordingly. I personally am not well organized so keeping track of everything is really important for me and makes life much easier.
Simple organization and tracking will make running our businesses simpler and more enjoyable. Paying attention to legal issues and taxes will reduce liability risks and increase cash flow. Budgets help us develop good habits and control our expenditures. Simple efforts can produce massive results in many areas and will improve the quality of our businesses. More important is that a good foundation in these areas when our business is small will pave the way for our business to grow huge with few complications.
Hello my friends, I'm Dave Cleinman. Network marketing can be fun and rewarding, but it is also hard work. For information on how to make the process easier, including tips, methods, and valuable life-changing information, visit my blog Steps to Success and sign up for my newsletter, Step by Step.
Article Source: http://EzineArticles.com/?expert=Dave_Cleinman
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