What’s The Right Credit Card For My Business?

A number of credit card providers have been really aiming at including small businesses in their product line. For new, small businesses this can work wonders as it is a lot easier to get a credit card than a loan from a bank.

Of course, there are dozens of choices available and this can often make it quite hard to choose a specific card. The best way to evaluate the sort of card that’s best for your business is to take a look at its spending habits. Different businesses have different spending habits, depending on the sort of business they have.

Balance

Consider if you plan on paying the balance over each month, or whether you will pay it off with time and want to pay the minimum payment. If you do decide to carry the balance then you will need to take a look at the annual percentage rate, as this can end up being quite costly for business if it goes wrong.

For those that wish to carry their balance and also have good credit, take a look to see if you can get a 0% credit card, as this will mean you pay nothing back for a set period. Fixed rates can be very attractive when interest rates are rising; however this is not the case currently.

For businesses that pay all of their balance each month, they should look for cards with rewards or longer periods of grace. These businesses can benefit greatly from paying back and the rewards for being disciplined are good. However, make sure you are disciplined as the costs for not being so are also high.

Charge Cards

A good alternative to the credit card is the charge card. This card differs as it allows businesses to have a short line of credit. The card will always be paid back in the full amount at the end of the month and there are harsh penalties. However, if you do pay back in full your business will receive a number of benefits for doing so. Charge cards often also charge an annual fee and there is a similar process to the credit card application online, when applying for one.

Though, if you do need flexibility, then a credit card is a better option – just be aware of the interest charges and when you need to pay the balance.

Rewards

We’ve mentioned rewards on a number of occasions and both credit card and charge card companies issue these. These often come in the shape of air miles, cash back and discounts at retailers, hotels or for services. Access to airport lounges and hotel upgrades are also part and parcel of these benefits and perks. The main thing here is to pay attention to the fine print if you choose a card with these perks, as the costs of not meeting the criteria are high.

So, in conclusion, the best way to choose a card is to look at your businesses situation and all the financial products out there and then take your ability to pay into account. By then choosing a card around your ability to pay, you can be sure that you will avoid steep charges and gain all the benefits you can.

Cormac Reynolds writes financial articles for a variety of businesses and blogs and has done so for many years.

 

How To Make Sure Your Staff Are In It For The Long Haul

The best businesses have loyal staff that have been there since day one. They know the company like the backs of their hands and no situation or problem is unfamiliar to them. The longer you have worked somewhere the better you know the role and the company and there for the better you do your job. Every employer would love to have staff stick around for years to come but people often become bored and move on. So how can you ensure your staff stick with you through thick and thin?

Set Out  A Clear Career Path

Many companies loose staff because of the lack of progression they offer.  People do become tired of doing the same thing over and over and if there is no opportunity to move forward they will seek opportunity elsewhere. As a business owner you should encourage your staff to apply for promotions and work their way up in the company. In order to keep staff happy and motivated you should set out a clear structure when it comes to moving up the ranks.

Offer Rewards

It can become very tiresome for staff if they work hard and that hard work constantly goes unrecognised. A simple thank you or well done is a good start and goes a long way, but a great way to really keep staff happy and motivated is to offer small rewards for good work.

Consider monthly awards in the form of a title and a small gesture such as a bottle of wine or vouchers, for example ‘employee of the month’. This means your staff will get the recognition they deserve and is an excuse for a fun monthly get together.

Consider Staff Quarterlies

A great way to say thanks is to host an evening of fun once every three months. It is something for staff to really look forward to and is a great way to encourage staff bonding. You don’t have to do anything huge, maybe just put some money behind a bar or book a meal. Tell everyone the date and time and see your staff let their hair down for a night of fun.

Offer Bonuses

At the end of the day your staff are there to earn money, and money does make people happy. A great way to encourage staff to go above and beyond at work is to offer bonuses measured by how well they are doing.

Staff really appreciate being paid on time and the right amount. Mistakes do happen but that can cause great problems when people are expecting money. Ensure these mistakes don’t occur by making use of payroll services to keep staff happy.

Eilidh MacRae works for Trace Payroll who offer payroll services.

 

6 Businesses That Thrive In A Recession

Recessions mean everyone suffers? Well, not necessarily true at all and some businesses thrive during a recession and see the opportunities that it throws up really help them flourish. When most others who did well in the good times stall, these are the businesses that people should invest in.

Sin Industries

Where you would have once purchased a new TV, or taken a holiday to the wine region of France, people will scale down their luxuries in a recession. Fortunately for them most sin is cheap and though they may bypass the new electrical goods, it’s a good time to own an off-licence or sell cigarettes; all of which improve in sales during recession. Chocolate also becomes an alternative to a good night out and does well. The only morally dubious industry to suffer is gambling, which relies on extra cash to do well and takes advantage of the happy go lucky feeling of the good times. All that being said, mobile gambling is currently thriving during the recession.

 

The Constants

There are some businesses that just continue as usual and there is no boom or bust cycle. Pharmaceutical companies, grave diggers, waste disposal companies and healthcare companies are all constants that do well either way. People get sick, are taxed and die whether times are good or bad.

Discount Retailers

Those who can sell goods at a lower price will obviously do well when people are watching their pockets. Discount retailers benefit greatly during a recession as they allow people to save, something they may not care for significantly in the good times. People will purchase more expensive items when things are good, but may lower their quality when looking for goods in bad times.

These companies also benefit from economies of scale and so can offer cheap goods at great prices to consumers. Though people don’t shop there as an ideal, they still do so during recessions.

Freelancers and Freelance Service Providers

Instead of bringing someone in during a storm and paying them a full wage, business providers and freelancers are taken on as they cost less. These freelance providers don’t require health insurance, a roof, canteen facilities and all the extras that add up in business and so thrive during bad times.

Property Management

Letting agents and others in the property management game do well in recessions as people find it harder to get mortgages to purchase a house. These businesses do well from the increased rental market and so make plenty during recessions.

Debt Settlement

Anyone involved in the area of money collection does well during the bad times. As businesses close, people lose money and need to employ professional services to get their investment back. This means that they will employ people in this area including debt collection companies, legal representatives and others, who all do well when things are down.

These examples of companies, who do well during the bad times, show that there is opportunity in the bad times as well as the good ones.

Cormac Reynolds writes for http://snap-edition.co.uk/ and has written numerous articles on how businesses can succeed during recessions.

 

Getting the Value From Your Umbrella Company

 

Let’s face it, no-one likes dealing with the Inland Revenue. It’s especially the case for  contractors and freelancers, who are also subject to the dreaded IR35 tax rules. You could always run your own limited company in order to get around it, but that’s a lot of hard work. Fortunately, there is actually a way around this, and it comes in the form of umbrella companies. You can sign up with an umbrella company and they will act as an intermediary, which means you still get your money but you’re no longer subject to IR35.

How it works

You sign up as an employee of the umbrella company, and they sign a contract on your behalf with the end client – after you’ve agreed to the terms of the contract. You then submit your expenses and time sheets to the umbrella company, who invoice the client. They’ll even sort out your tax and national insurance contributions. You pay only when you’re working and you can end the contract at any time with one week’s notice. When your contract with the end client ends, you can either continue with the umbrella company for free or they’ll send you your P45.

Benefits

As well as sorting out all your tax headaches, umbrella companies come with other benefits as well – in fact, most of the benefits of being someone else’s employee, while still working for yourself. They’ll do health insurance, income insurance, mortgages and even pensions. They’ll also cover various liabilities – which they won’t charge you for. Fantastic! I hear you cry. But what if I fall ill?

Sickness and holiday pay

Umbrella companies will retain a small percentage of your monthly pay to create a fund for holiday and sickness pay. And, if you don’t claim any of it, they’ll pay you the whole fund as a lump sum at the end of your contract.

Fees

Ah, but what are the start-up fees? Well, depending on the service you chose, there might not be any. Okay, you ask, but what about the umbrella company’s fees? Of course they have to make their money somehow. Does 3% sound good? I can still hear you hesitating. Fine. How about if the company capped their costs to you at £25 per payroll? Oh, and they have two payrolls a week, so if you miss one you can catch the other.

More reasons

Okay, you can submit all your expenses online, you get a Personal Account Manager to help with your queries, and they will answer all emails within four hours if sent between business hours. All invoices are sent to the end client by email to avoid delays. They will even provide reference letters for financial institutions for you.

Contracting in the UK is supposed to be about having the freedom to work for yourself, so why spend hours on tax that you could be spending working (or relaxing, for that matter…)? Why would you subject yourself to IR35 when you don’t have to? If you pick the right umbrella company, you can kill two birds with one stone and get a whole load of benefits to boot.

I don’t know why you’re still reading.

David webster is a trainee accountant who has been interested since he was bought some shares as a kid. He now follows all things financial and trades forex for fun.

 

 

Top 5 Silliest Management Books of All Time

This post takes a satirical look at the business management book genre, specifically looking at five of the most ridiculous titles and how they often lead to bad management.

Reading Up

While the old cliché that “managers are not made, they are born” can in some degrees be argued to be true, it is also worthwhile acknowledging that you can often pick up a number of tips and ideas for your own leadership style from the vast plethora of management guide books available.

While there are undoubtedly some gems, some of them just give a ridiculous message, ridden with management speak that is often regurgitated verbatim by the reader when at work, under the misguided premise that they are now a great leader.

We looked at five of the most ridiculously titled management books there are.

1.Management in 10 Words

If it is possible to sum up management in 10 words, then why on Earth has this been extended out into a 320 page book? Surely each word does not require an average of 32 pages for an explanation of why it is such a great management tool. If management really can be defined in 10 words, then a piece of A4 paper should suffice just nicely.

2.Who Moved My Cheese?

There is also another similar book called “Why is my Iceberg Melting,” however the essential message is the same. How can you and your business survive and thrive in changing conditions in an evolving world? Well, the answer is somewhat obvious in that you too must also evolve to meet the demands of the world. There is really no need for a book that likens the business world to a mouse trying to survive by looking for cheese. The scariest thing about this book is that it is an all-time best seller. Is it any wonder the global economy is a mess?

3.Getting Things Done

There is a whole series of books carrying this title, with various sub-titles based around being productive and having a stress-free work life. However, the message after 250+ pages of reading is always the same. If you want to get things done, write it down and have a plan. Simple really.

4.The One Minute Manager

For me, personally, this was the first management book I ever read. Unfortunately, it had little bearing on me, as having read it I immediately realised that the manager who had borrowed it to me was the human manifestation of the book, a product of what he had read. Basically, the book is centred around managing everyone for a minute each day, based on the old business cliché that “my most valuable minute is the one spent with my people.”

5.How to Lead

If ever there was an expensive tick the box exercise, this is it. Although it does contain a lot of leadership advice, the main purpose of the book is to tick off everything that applies to you, then go away and get the skills needed to tick the rest. Perhaps if you spent the time leading rather than reading and ticking boxes you would acquire the skills easier.

Posterita is a revolutionary POS software, and its free point of sale software can show every aspect of that.

 

Collecting on Overdue Accounts

Collecting on overdue accounts can be a frustrating experience for a small business owner, particularly during the start-up period when every dollar of revenue counts toward staying solvent and repaying debts. It’s not the most pleasant part of being an entrepreneur, but not handling them expeditiously will almost certainly endanger your business’s cash flow and long-term viability.

60 Seconds to establishing a sound and rational policy for collecting payments.

0:60 Do What You Can to Prevent Late Payments

Establish a standard policy for payment and make your customers aware of them before starting work. Some types of businesses may require all or a portion of the payment up front, while others allow terms such as payment within 30 days after receipt of invoice (i.e., Net 30). Your invoices should also clearly state any surcharges for late payments.

0:49 Be Careful with Credit

If you provide goods or services on credit, develop qualification standards that are specific, yet fair (e.g., a good credit history from a credit bureau or good bank references). Put your credit policy in writing and make sure all employees understand it. You should also have the policy posted in your store, or available as a handout.

0:36 Take the Right Attitude

Your collections policy will do no good unless you enforce it. Do not shy away from a potential confrontation, but avoid provoking it as well. If you’ve met your obligation and a customer has not, you’re entirely in the right.

0:29 Find Out Why

On the other hand, don’t assume the customer is entirely wrong. Contact the delinquent account and ask politely for an explanation. It may well be that the invoice has been lost or is awaiting approval. A customer with cash flow problems may request extra time. How you proceed may be very situational. Based on your experience with the customer, you may feel confident enough to allow extra time or installment payments. Make sure you and the customer clearly understand any compromise. Be flexible, but firm; and don’t hesitate to follow up.

0:15 Take Stronger Action

If your collection attempts fail, it may be time to turn to an attorney or collections firm. Terms for these services vary; they may require a fee and/or a percentage of the invoice amount, or a retainer. Again, your course of action will depend on the situation. You may decide the amount of the overdue account does not justify the cost and effort to collect. If so, write it off as a bad debt and move on.

0:09 Don’t Make the Same Mistake Twice

Most everyone deserves a second chance. Should customers with poor payment histories approach you about working for them or restoring credit, don’t immediately refuse unless you are absolutely certain they remain bad risks. Ask them to explain how their situation has changed and decide whether it makes sense to restore the relationship. As a precaution, insist on stricter terms such as advance payment or cash-only.

0:03 Don’t Go it Alone

The small business experts at United Mediation Services can help you establish a payment and credit policy that makes sense for your business, as well as strategies for collecting on delinquent accounts. Contact United Mediation Services for business advice at www.unitedmediationservices.com or email jpillow@unitedmediationservices.com.

THEY WILL COLLECT THE FIRST TWO ACCOUNTS FOR FREE!

(must be B2B or B2C)

About United Mediation Services (www.unitedmediationservices.com)

United Mediation Services, headquarted in the Dallas-Fort Worth Metroplex suburb of Plano,Texas is uniquely positioned to supply an improved level of in-demand debt collection services. UMS is a nationwide company that has been involved in the mediation collections of commercial debt for over 70 years. The company charges no up-front costs nor contracts and the UMS staff is thoroughly trained to ensure they are constantly maintaining their clients’ positive public image.

 

Are all Banks the Same, or is it Worth Shopping Around?

If you are looking to put your money in a bank account, should you just go with the first bank that you see or it is worth shopping around?

Although bank accounts generally serve the same purpose of giving you a safe place to store your money, they can be very different in the services and features that they offer. No two bank accounts are the same and the right bank account for your needs will be very different than what is well suited for someone else.

When you have the wrong type of bank account, you will be paying fees that you don’t need to, you won’t have the services that you need, and banking will become an annoying hassle. When you find the right bank account you will find that all of your needs are provided for and banking is trouble free.

So what makes bank accounts different from each other and why it is worth shopping around? Here are some of the important differences between bank accounts:

Interest Rates

Each bank account that you consider will offer you a different rate of interest on the money that you have in the account. Interest is important because it can actually help your money grow, especially over long periods of time. Generally, the bank accounts with higher interest are the savings type accounts which might require you to lock your funds away for a certain period of time. Most bank accounts such as chequeing accounts which offer you fast and easy access to your money will not offer as much of an interest rate. It is up to you whether you are looking for convenience or a long term saving option.

Banking Fees

This is another area where bank accounts will differ. Some banks offer no-fee accounts and others will charge you a small amount per transaction or a monthly fee. These fees can really add up after a while, so make sure that you are looking for the bank account that charges you the least fees.

Customer Service

No two banks are the same when it comes to customer service and some banking institutions will offer much better services to their account holders than others. You will want to choose a bank where you feel that you are valued as a customer. If you are opening a business account for your small business, you might want to choose a bank with a dedicated business banking associate who you trust to answer your questions. If you find that you feel frustrated and ignored when it comes to customer service at your current bank, perhaps it’s time to switch to somewhere that you feel your needs are being met.

These are just a few of the many ways that banks can differ, which is why it is worth shopping around to find a bank account that meets your needs.

This article was written by Stephen Harmisson on behalf of Ulster Bank. For more details on current accounts or small business accounts see the Ulster Bank information pages.

 

Note to Self: Nobody is going to Pay You to Fill out Surveys, but They Will Steal your Identity

Yes, there are reputable companies out there that form focus groups and have people come in to try products, and they do pay reasonably well.  Tragon Research has picked me up in a cab and brought me into their offices to taste vodka, for $50.  There do not appear to be any reputable such survey groups on the net.

Yesterday I decided to give it a go.  I responded to an email that said “ I saw your ad and wanted to share this with you.”  First of all, I don’t have any ads running – nice try.  The “service” was “Trusted Survey.”  They advertised the fact that they were 100% free, and did not require a credit card, so I decided to give them a try.

I have a junk email address that I give to all my “white paper” subscriptions, so I have very little to lose. In doing my marketing research I have loaded my Chrome autocomplete with that email address, fake street addresses, bogus website information, and a fictitious name.  Its really kind of amusing when the spam starts coming back with the name Furd Farkel in front of it.

As expected, filling out the Trusted Survey survey led me to another page where I was instructed to fill out more profiles for several companies.  Filling out all of them was going to increase my chances at getting paid surveys.  I decided that this was a hoax so I ignored it for a few days.  Amazingly I got 5 emails a day welcoming me and encouraging me to fill out more profiles.  I unsubscribed about 10 times over the course of two days, and finally decided to give it a spin.  By the way, my spam level under the new Furd Farkel name was amazing.  Everything from Devry to ED to brest enhancements.  Guess they figured Furd was a girl.

I bit and filled out one more profile, only to be informed that they had no paying surveys currently, but that if I filled out another yet more detailed MANDATORY survey I would be put in the que for the paying jobs.

Trying to research survey scams on Google, I ran into the first 18 pages of testimonial articles and videos POSTED BY THE SURVEY COMPANIES THEMSELVES, extolling the legitimacy of them and with case studies of all the money these people were making.  It wasn’t until about page 19 that I started running into computer security companies and consumer advocacy sites.  It was truly amazing how much content the survey scam people have generated over the years.  The main reason for the survey information is to get you to fill out more and more information about yourself, initially for target marketing, but eventually to set you up for  identity theft.

What to do if you have filled out profiles.
Realizing that what I did was probably unsafe for my computer I took the following steps;

1. Go into the account settings on the bogus sites and change your personal details.  Since you have given your email address, replace it with a fake one.  Same for name, address, whatever.  Make sure to save the information on your survey site.
2. If you have created an account with these people using the same password you use for your bank accounts, you need to change all the passwords for your financial institutions.  NOW! I will be doing this as soon as I post this article.
3. Go through and permanently delete any of the emails that have been sent from the survey sites, or their spam affiliates.
4. Immediately run a virus, malware, internet security scan and remove all the Trojans etc.
5. Go to the junk mail section of your email options and black list the URL’s from the survey companies.

If any of you have any additional insights, they would be appreciated.  There still are some people out there who still fall for this.

 

What Does Deal Flow Mean to Private Equity Investors?

Private equity investors use the term deal flow to describe the prevailing rate of opportunities for investment.  Deal flow software can help investors both decide on whether to make investments and monitor existing investments.

What investors look for

Investors can use a deal flow software to monitor their existing investments as well as gain guidance on potential new investment opportunities.  Deal flow is measured simply as healthy or poor.  The rate of deal flow is determined purely by the level of good investment opportunities and returns,  Deal flow software helps private equity investors monitor this.

Deal flow software aids both individuals and groups with private equity investments generate good investment opportunities with the potential for a clear return.  Investors are looking for a healthy deal flow throughout their investments.  With a healthy deal flow investors will expect an equitable result from the initial investment against the amount ultimately earned.

Healthy deal flow

Private equity groups make investments with a clear strategy in mind.  Investors will often make separate investments to separate sectors in an organisation.  For example, directing their resources directly to consumers or liaising with suppliers can help private equity investors attain some security on their investment.

Deal flow has recently been very good due to the high level of entrepreneurs and private equity investment businesses against falling levels of venture capitalists.  Deal flow software helps potential private equity investors analyse and identify healthy trends quickly in order to make investments with a great chance of delivering high returns.

Where to find deal flow software

As the private equity market continues to grow, more and more examples of deal flow software are becoming available online.  Deal flow software is great for helping individuals and private equity investment firms make decisions on investment.  Deal flow software should not be used as a definitive decision making tool, but should be used to analyse potential gains from an investment and form a part of a private equity firms’ investment decision.

One of the most excellent and effective deal flow software tools is available completely free of charge from Dealmarket.  Their cloud based software, called MyOffice, enables private equity investors to organise and view all of their deal flow information in one accessible place.  The MyOffice deal flow software available from Dealmarket allows both individuals and private equity investors to search and compare investment opportunities and rate the best deals.  As MyOffice deal flow software is cloud based, there is no need to download any software as all of your investment information is stored securely online.  MyOffice utilises banking industry encryption standards to ensure 100% security at all times.

Dealmarket is a recent start-up company that offers a more efficient and accessible private equity marketplace and cutting-edge deal flow management tools.

 

Free Your Business From Chargebacks

If you’re a business owner, you probably cringe a little bit whenever somebody mentions the word chargebacks. This is completely normal. No business owner likes to deal with chargebacks, but for some reason they have the tendency to keep coming in, slipping around the cracks even if you take steps to safeguard your business from customer misunderstandings and fraudulent purchases. If you haven’t had the misfortune to deal with chargebacks in your business yet, you may not even know what they are. Chargebacks are credit reversals that come about when a customer or client requests their money back after making a credit card purchase. It may not sound too bad, but they can cause a lot of hassle and undue stress for business owners. Chargebacks take up a lot of time and resources, and they can incur a lot of fees that will eventually add up if you have a lot in any given time period.

There are ways to prevent chargebacks from happening though, and taking a few extra steps can go a long way towards freeing your business from them. Most chargebacks stem from two different things: the first is a simple misunderstanding between the customer and the merchant, and the second is fraudulent intent on the part of the customer.

In the first situation, something occurred which was not fully explained to the customer, or which they did not understand correctly. For example, if your return policy isn’t very specific, the customer may think that they have 45 days to return an item when actually the time frame is 30 days. They decide they want to send the item back on day 37, find out that they can’t, and go initiate a chargeback because they feel like they were not treated fairly. Misunderstandings like this happen quite a bit, and the best way to prevent them is to make sure everything on your website is explained clearly in an easy to understand way. The same sort of misunderstanding can occur with shipping policies, product descriptions, product images, and a whole range of other factors.

The second reason chargebacks happen – fraud – is a little harder to prevent, but you can still safeguard your business if you make the right precautions. Chargeback fraud happens when a customer makes a purchase with a credit card, usually through an online transaction on a website, and then initiates a chargeback with his or her bank on the premise that the item never arrived, or it arrived damaged, or something of that nature. In reality, the item arrived in perfect condition and the customer is simply attempting to get it for free, but banks typically take the side of the customer in matters like this, which doesn’t leave merchants with a whole lot of wiggle room to fight back.

The best way to prevent this is to screen any customers that seem suspicious or who have a history of chargebacks. You can find some very thorough online databases of people who have a history of chargebacks, and after doing this you can decide whether or not you want to do business with that person.

Niika Best is a chargeback specialist who runs a firm which fights against chargebacks for merchants. she has got a reputation amongst the chargebacks specialists as the leading person who has been in this industry. If you would like to know more about Niika’s chargeback initiatives or how to fight a chargeback, please log on to her website