EmpressofBiz, Biz Tips: Saturday Biz TiP. Make your dollars work in your neighborhood

Saturday Biz Tip  Just a reminder end the year right...shop small business. The majority of dollars you spend at your local florist, hardware store, restaurant, bakery, shoe store, auto mechanic, independent book store, yogurt and ice cream store and etc and stays in the neighborhood. Small business owners pay more their fair share of taxes...versus the big guys. 

Support one another...it is a good business decision.

NAWBO Newsmakers -Women, Business and Politics...Do they Mix?

NAWBO Newsmakers - Live & Recorded Episodes:

 NAWBO Newsmakers Women, Business and Politics with  Dana Brown 

Episode Notes: Please join us as I interview Dana Brown, Pennsylvania Center for Women and Politics from Chatham University,  is our special guest talking about an issue that women business owners need to know.
Women, Business and Politics ...Do they Mix?  Yes they do!  Why it is important. ..

Also updates on biz information WBO's need to know.
Host for today's show, JoAnn R. Forrester,  Board Member  Greater Pittsburgh Chapter of the National Association of  Women Business Owners. JoAnn Forrester is also the host of the Empress of Biz, Listen, Learn Prosper.
For more up dates on the Pittsburgh chapter please go to www.nawbopgh.org.

Empressofbiz, Biz Tips. Are you Listening?

Sunday Morning Reflection:

 This week as I listened, observed and worked with businesses it came to me that many of our problems occur because ....we are so busy telling people what to do and thinking of the next thing ...we miss what is going around us.

 Non-listening creates a great deal of frustration and alienation with employees, associates, vendors, friends and loved ones. By our non-listening we tell them they are not important.

Take a deep breath, slow down and be quiet for a minute. Stop the chatter in your head and just breathe and focus on the moment...and then start to communicate with people. You may be surprised at what you hear and learn that will eventually improve your business and life.

Make it a good week folks and give the gift of listening.

Thanksgiving Thoughts :   
When you are in business you have a tendency to feel alone....after all you are the one who is responsible for... well everything. Even if you have employees...you are still the one that as President Harry Truman stated, "The buck stops here." And that is at it should be. 

The BONUS is the friends you make along the way. Fellow business owners who share with you, associates who help and customers who are loyal.

Today I am thankful for all those who have been my friends, associates, business partners and clients. Thank you for being there and thank you for still being there after all these years.

 Special Thanks to the Following: 
Joanne Quinn Smith of Positively Pittsburgh Live
Jill Kummer of Blacktie Pittsburgh, 
Donna Baxter ofThe Soul Pitt, 
Allen Levine of Pittsburgh Sportsline 
Ola Jackson of OWN
Diane Daniels of DID Associates
Ruth Byrd Smith, Director of Allegheny County M/W/DBE Department

Thank you for everything you do to help small business.  Happy Thanksgiving.

How to prevent cyber crime

How secure are your small business assets from fraud, identity theft and cyber crime?

According to the Association of Certified Fraud Examiners (ACFE), companies with less than 100 employees can lose approximately $155,000 as a result of fraud each year. Small businesses also have a higher fraud rate than larger companies and non-business owners. 

One of the most frequent sources of fraud is credit card abuse,  due to the fact that few business owners make the time to go through every line item on their bill.  They also are careless in mixing their business and mingle business and personal accounts.

Other sources of fraud stem from an overall lack of security across the business – such as inadequate network and computer security and a lack of background checks when hiring employees.

Don’t be a victim! Here are some tips you can take to better protect your business from some common forms of fraud and cyber crime.

Protect Your Credit Cards and Bank Accounts:

1,  Since this is a common area of fraud, this one goes at the top of the list. Start by separating your personal banking and credit cards from your business accounts – this will ensure fraudsters don’t get their hands on ALL your money. Separating your accounts will also make it easier to track your business expenses and report deductions on your tax return.

2.  Use your cards wisely. Don’t hand over your plastic or your card number to employees or 

companies with which you don’t have a familiar relationship. 

3.  Switch to online bill pay or make sure you store paper bills securely. 

4.  Use a secure mailbox for receiving and sending bills. If you don’t have one, deposit your mail directly at the post office

5.Lastly, be sure to check your online banking every day for suspicious activity.

Secure Your IT Infrastructure

6.  Every business owner should invest in a firewall as well as anti-virus, malware and spyware detection software. Backing-up is also a must and will make it a lot easier for you to continue working in the event of a cyber attack.

7.  Use a Dedicated Computer for Banking

This is a great idea from Forbes magazine’s 5 Ways Small Businesses Can Protect Against Cybercrime.  Use a dedicated computer for all your online financial transactions and, ideally, make sure it’s one that isn’t used for other online activity such as social media, email and web-surfing which can open up the machine to vulnerabilities. Avoid mobile banking if you can.

8.  Have a Password Policy

Another easy step you can take to protect your IT systems is to institute a password policy. 

• Make sure you and your employees change them regularly (every 60 to 90 days is good rule)
• Set rules that ensure passwords are complex (i.e. contain one upper case letter, one number and must be a minimum of eight characters)
• Use different passwords for different online and system accounts
• Use different banks for your accounts for personal and business accounts.

9.  Educate Your Staff

Employees are perhaps your biggest point of vulnerability when it comes to fraud, but they are also your first line of defense. Hold regular training sessions on basic security threats (online and off) and prevention measures – both for new hires and seasoned staff. Enforce the training by instituting policies that guide employees on the proper use and handling of company confidential information, including financial data, personnel and customer information.

9.  Consider Employee Background Checks

One of the first steps to preventing fraudulent employee behavior is to make the right hiring decision. Basic pre-employment background checks is necessary business practice for any employer, especially for those  who will be handling cash, high-value merchandise, or have access to sensitive customer or financial data.

10.  Insure Your Business

Fraud and cyber crime does happen; however, you can still seek to cover your damages by purchasing an insurance policy that protects you against any losses that you may incur from crime or fraud. 

Make sure you know  what your bank is willing to do to help you out if your credit card or business account is compromised.

Information from www.sba.gov and recommendations of clients of S. I. Busienss Associates.

Empress of Biz, Biz tips..Business emergency plans..crucial for survival

Sunday Biz TiP: Reflection: One thing we do not like to do is think about what happens if......So the majority of us don't. Emergencies and bad things happen...as responsible and caring business owners we need to have an action plan when problems occur. Being prepared does not prevent disaster...it does help to cope, heal and restore.

This week I will be concentrating on some of the things you need to think of when problems occur.  Whether you are a home based business or  Walmart...life happens.  The right planning makes all the difference in the world.

First thing to do...LOOK AT YOUR INSURANCE POLICIES.  Home, business, personal, liability, car  etc.  Do you understand what the polices are saying.  IF NOT ....CALL  your agent and sit down with her and make sure you know your coverage and risks.

IF YOU ARE HOME based...make sure your office and all equipment is covered.  We often leave ourselves exposed and vulnerable.  

I cannot emphasize this enough  Make sure you understand your policy and risks.  

Empressofbiz, Biz TiP...What is the ending for your business?

HOW DO YOU WANT YOUR BUSINESS TO END?  

Do you want to sell it?

Pass it along to your family or an employee?

Just close it?  

We spend a great deal of time planning to open our business...but very 

little on how we see ending it.  

 Your business can be your "nest egg for your retirement? 

It can be golden goose that gets you started on your next adventure

  Or it can be something that just keeps you busy and occupied until you decide to retire. 

 Each goal is  is different and requires planning and making different kind of decisions. 

If want to sell your business your strategy is different than those who are planning to keep it .  

One thing you will NOT DO.  Is  TAKE ALL THE PROFIT  of THE BUSINESS. 
YOU Need to build VALUE and net worth into the business. In other words...you cannot play the tax game with the business...gotta show it is worth something to get a good buyout.

Some additional factors to consider if your plan is to sell the business.

1. You need to determine what you have to sell. 
2. How much you want for it?
3. What type of person you would want to own it?
4. How long do you want to own the business?
5. Are you willing to "hold paper"? 
6. How long are you willing to help the new owner?


Selling a business can be a profitable venture for you and a good start for a new business owner...if you plan it right.

ELIMINATING the CONFUSION

COST ACCOUNTING vs TAX ACCOUNTING

Accounting, a word that conjures up the image of Ebeneezer  Scrooge sitting at his desk with quill in hand entering numbers in a ledger.  Not a favorable image is it?  Yet keeping records is essential for business success.  Few companies make it a priority to keep their records up to date.  Nor do they take the time to understand the difference between tax accounting and cost accounting.  Both are necessary and yet each one has a different goal. 

Tax accounting, is what you do to make various government entities happy and report to them.   It aims at taking advantage of all the opportunities the government offers to reduce tax obligations. It doesn’t care about all the details of cost.  Instead it deals in gross figures.  It accounts for insurance premiums paid rather than rates of insurance, for example.  It allows plans of depreciation for investments rather than expected time of replacement.  The lower the profit calculated, the lower the tax obligation.  It is difficult, if not impossible, to develop proper pricing from tax accounting.

Cost Accounting,  is aimed at calculating all of the costs incurred in producing a product, service or project so the business owner or manager knows how much the company must charge for the item.

Management priorities are to stay in business, recover the owners’ investments in the business itself, earn a reasonable return on the investment in the business for the owners, pay off company debt, build a reserve to reduce the need for debt and produce a reasonable profit, after taxes, for the company’s growth.

In order to accomplish these objectives, cost accounting must allocate costs where they belong. Deductible  taxes and employee benefits must be attached to the proper categories:  materials that become an integral part of the project, labor with varying rates for different categories, such as, social security, medicare, unemployment insurance and retirement benefits.

Other project costs must be added, like the transportation of materials and workers, the cost per hour or mile for each vehicle or piece of heavy equipment (original cost, years of life, maintenance costs, repair costs, insurance costs and the expected annual hours of use) and subcontractors fees.

Administrative costs, finance costs, plus commissions and royalties must then be added.

Neglecting the tasks and details of cost accounting for pricing products and services properly is one of the reason ninety percent of businesses fail within the first ten years of their beginning.

                     - JoAnn Forrester & James W. Martin, SI Business Associates, 412-440-6969

Hate to do this...give us a call...with our Price it Perfect Cost Management,(TM)

 CFO in a Box System it is a snap for us...412-440-6969.

P.S.  Watch for our upcoming E-book on Pricing...coming soon!

EmpressofBiz, Biz Tips Attitude for Monday

Biz TiP:  Monday Attitude:   Bosses...you want productivity? :) 

Instead of gloomy faces & people dreading to come to work? :(

Then make Monday morning meetings positive.  If you have problems...make it HOW do we solve this?  Instead of who can we blame?

Monday sets the tone for the week.  Make it sure it is one that  gets people working together instead of hiding in their office trying to escape blame.

Empress of Biz, Biz Tips. Stuck? Diminishing Returns?

Wednesday Biz TiP:  
Is your business growth stuck because you are doing the same thing over and over and over again?  We often stick to the routine because it gets some results...and it takes a while to realize we are in a cycle of diminishing returns for your money. 
Take some time and look at what you are doing to promote your business...is it worth the time, effort and money invested? 
Below are some ways to look at what you are doing? 
1.  Are you using the same ads over and over again?
2.  What about your vendors...same ones?  Are they giving you good service or bad? 
3.  What about your costs for supplies?  Going up and no increased value?
4.   Does the name of your business accurately reflect  what you do?
5.  What about your office?  Welcoming? Stodgy? Fresh Looking?
6.   What is the age of your customers?  Growing older and NO younger ones coming in?
7.  Website...same old some old...or do you keep it fresh?
8.   Employees...how are they greeting your customers?  Like friends or enemies?
9.  Is the Coffee fresh?
10. When is the last time you got a compliment from customers for doing something extra in the business?
There are a lot more items I can add...but what  is most  important ...is you and your perspective.  Make sure you  periodically review your business and ask yourself  "Do I want to be my own customer?"
Want some more ideas...give us a call at 412-440-6969...We love sharing ideas to help you grow!

EmpressofBiZ: Biz Tips...Pricing facts or Feelings?

JoAnn (Found on LinkedIn Today) Remove feelings and base your pricing strategy on the facts - Pittsburgh Business Times bizjournals.com Your sales have tripled, but your profit has not. You have made adjustments, invested in equipment, hired staff and improved efficiency, and yet the bottom line remains flat. (See more articles ») View Article | Reply to JoAnn Forrester | Reply To All