The Launch Blog: Expert Advice from the CorpNet Team
LLP vs. LLC
When you’re starting a small business that has more than one owner, you and your partner(s) may have concerns about your personal liability risks. If this is the case, it would be wise to compare LLP vs. LLC business structures. Limited liability partnerships (LLP) and limited liability companies (LLC) combine some aspects of general partnerships and corporations. As sorts of hybrid entity types, they provide a level of liability peace of mind for their owners while preserving some of the simplicity of operating as a general partnership. Although they have some things in common, [...]
What Kinds of Liability Should Accounting Professionals Be Concerned About Right Now?
Minimizing legal risks to your business has always been important. However, with so much uncharted territory and change within the current environment, it has become especially critical to look out for situations that could become problematic liability issues for your firm. Stephen Covey once said, “If there’s one thing that’s certain in business, it’s uncertainty.” That has never been more accurate than now. With the coronavirus pandemic persisting, nearly every company in every business sector faces uncertainty. As accounting professionals, these times of uncertainty bring a double dose of challenges your way: Your own [...]
Time to Declare Your Independence
For many, the “American Dream” is all about entrepreneurship. Business ownership is a way to declare personal independence and even though the COVID-19 pandemic has dampened the economy temporarily, it hasn’t quieted America’s entrepreneurial spirit. As a matter of fact, new businesses are starting despite the economic slowdown as evidenced by the recent number of EIN or Federal Tax ID applications for new businesses filed since mid-March (more than 500,000). But startups are not where all the entrepreneurial action is. Current business owners have been busy, trying to keep their businesses running at all [...]
Are Your Accounting Clients Worried About a Recession? Why They Need You Now More Than Ever
As far back as October 2019, half of Americans were already concerned a major recession was on the horizon and now that concern has become a reality, according to top economists. According to the National Bureau of Economic Research, the U.S. economy actually stopped growing in February this year, following an economic expansion that lasted more than 10 years. And, it all happened fairly quickly as the COVID-19 pandemic effectively shut down the economy and compounded unemployment. So, it’s not at all surprising your accounting clients are worried about the recession. It’s up to [...]
Post-COVID Marketing Strategies for Accountants
Clients need their accountants more than ever in our post-COVID-19 world. Whether it’s getting ready for the extended tax deadline, figuring out how to utilize government relief funds or how to start a new business in a recession, accountants need to make sure their services are in the foreground of their customers’ needs. Here are five post-COVID marketing strategies for accountants to win and keep clients for the long-term. Establish the Business as Post COVID-19 Experts As the economy struggles to get back on track and clients have specific questions on how to file [...]
Sole Proprietorship vs. Partnership
You have much to think about and many questions to answer when starting a business. One of the most fundamental considerations is what type of business structure is right for you. Often, brand new small businesses choose to operate as a sole proprietorship or general partnership. Would either be a good fit for you? You might be wondering, sole proprietorship vs. partnership—what’s the difference? In this article, I’ll share information about the similarities and differences between the two business structures and some thoughts about other business entity types to consider. This information should help [...]
4 Reasons Why a Recession Is a Good Time for Your Clients to Start a Business
With all the uncertainty in the world right now, you might think your clients are crazy to consider starting a business in 2020, but don’t be so sure. There are numerous examples of successful businesses that started during a recession, including Microsoft and Burger King. Startup entrepreneurs are inherently bootstrappers and agile thinkers, willing to put in the time and effort to hurdle any problem thrown their way, including a weaker economy. The latest survey from SCORE looked at The Impact of COVID-19 on Startups and found 18.4% of startups have scaled their launch [...]
How to Change from a Sole Proprietor to an LLC
Many determined individuals begin their entrepreneurial journey by operating their business as a sole proprietorship. It's no wonder why. As a sole proprietor, the costs to start and legal formalities to maintain a business are less than when registering as other types of business entities. However, there are drawbacks to being a sole proprietor. The most significant downside is that the business owner is personally responsible for all debts and legal liabilities of the company. It's common for entrepreneurs to consider changing from a sole proprietor to an LLC as their business grows and [...]
How Smart Businesses are Pivoting to Find Success in the Midst of COVID-19
Business owners are constantly moving. Whether it’s tracking new trends, operating the shop, meeting with clients, or attending networking events, you’d think there can’t be one more thing to add to their plates. And then, COVID-19 hit. As business owners ourselves, we saw a new kind of busy that was one of pivoting to meet new demands in a time of crisis. Pivoting business focus is not something unique to the time of coronavirus. Being able to quickly change or redirect a business is one of the hallmarks of entrepreneurship. Fortunately, smart business owners [...]
Marketing in the New Normal of COVID-19
Things are different today due to the global coronavirus pandemic. While we may eventually get back to some version of normal, when that happens is subject to much debate. COVID-19 changed how business gets done, from suppliers and distribution to sales and marketing, the world functions in a different way. So while we all adapt to the “new normal”, the messages we send to our customers will have to change. Our customers’ needs have changed, and they have understandably rearranged their priorities over the past few months. They’re more patient and have learned how [...]
How To Safely Reopen Your Small Business to the Public
As the country makes plans to reopen restaurants, retail, public buildings, and schools, your topmost concern should be the safety and well-being of workers and customers alike. Your reopened business will be scrutinized and the measures you take to reopen safely will go a long way in how your clients and customers feel about supporting your company post-pandemic. The risks are still real so it’s important to be scrupulous in formulating your reopening plan and how you execute it. Below are a few tips and suggestions to help you safely reopen your small business [...]
Sole Proprietorship vs. LLC
Are you considering starting a business as a solo owner, or will you co-own the business with your spouse? Then, you may be wondering if operating as a sole proprietorship or a limited liability company (LLC) will be the better choice. What are the advantages and disadvantages of a sole proprietorship vs. LLC business structure? In this article, I'll highlight the potential pros and cons of each to help you in your research efforts. Keep in mind that there are legal, financial, and tax-related implications when choosing a business structure. Therefore, I encourage you [...]
Business Ideas for People Who Love the Outdoors
If you love the outdoors and have always wanted to start a business relating to your outdoor passion, now is a great time to take advantage of the country’s desire for outside activities. Here are some outdoor business ideas and trends you need to know to get you running on the right path to business success.
Do You Need an LLC for a Hard Money Loan?
Do you need a register an LLC to obtain a hard money loan for your real estate investment? Let's explore the LLC and hard money loans so you can decide. Limited Liability Companies When it comes to investing in real estate, most investors choose to create a separate legal entity to purchase a property. The reason? To protect personal assets from liabilities associated with real estate transactions. Moreover, the Limited Liability Company (LLC) business structure has become a preferred entity of real estate investors for some very good reasons. The LLC business structure offers [...]
Time for a Change? The What and How of Business Entity Conversion
The one constant is change. Forgive the cliché, but I think it’s an appropriate introduction as I address the topic of business entity conversions. Your clients' businesses evolve over time — and the business environment in which they operate changes as well, especially at a time like this when the COVID-19 pandemic is having such a far-reaching impact on businesses of all kinds. As a result, the business structure they chose as a startup may no longer be the most advantageous one for their current situation. What happens at that crossroads? It might be [...]