Set the Stage for Business SUCCESS in 2015!
The New Year is here and you have survived the first full business week of 2015. Whether you are an established business owner, or just getting started, January is the perfect time to address your strategies for growth, change and potential risks throughout the year.
Be Strategic & Deliberate
Managing a business is a huge responsibility. There are vendors, employees and contractors that are relying on you to have your operations in order, and your reputation is on the line. Feeling the pressure? We can help! Here are some things you should consider as we begin the new calendar year:
It is critical that you establish and maintain the appropriate business licensing as required by your industry and profession. Apply or renew licenses, permits and continuing education requirements as set by city, state and federal guidelines.
Address your Business Structure
Many small businesses start out as a sole proprietorship or partnership, but then eventually transition to another type of entity. If your business is not an LLC or corporation, you could be exposing yourself to personal and financial liability. If you are in the process of forming your business, be sure to consult with a Mortensen & Reinheimer, PC attorney right away to ensure that you are filing for the correct status. Further, if you made any changes to your corporation or LLC by changing your business address, agent for service of process, authorized more shares, or a board member left the company, then you need to file an official notification with the California Secretary of State reflecting these changes. This step is critical to ensure that your LLC or corporation in good standing.
The type of entity can greatly impact business tax planning. While you are projecting sales revenue for the year, take the time to also estimate state and federal tax payments associated with the growth. This will help to avoid both underpayments and overpayments. Your CPA or tax specialist can assist you with this process. Also, make sure that your tax ID and employer ID are valid and active.
Contracts and Agreements
Be proactive in dispute resolution. We cannot stress this enough. The amazing vendors, employees and contractors that enable you to grow your business, will also become your biggest liability in every day operations. Hiring employees? Negotiating purchase orders and processing receivables? Establish and review your contracts and agreements such as:
- Employee and Contractor Agreements
- Non-Disclosure Agreements
- Trade Secret Agreements
- Master Agreements and Scope of Work
- Proprietary and Inventions Agreements
- Vendor Procurement Agreements
Having these documents ready and available ahead of time will alleviate the headache and potential risk of error in rushing to create them.
Put your Planning into Action
At Mortensen & Reinheimer, PC, we are REAL PEOPLE with REAL SOLUTIONS. I help clients with business formations, business succession planning, drafting and negotiating business contracts, resolving business disputes and business litigation. Please call me for a consultation to discuss your business planning needs.