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Starting a Michigan Business Series: License and Permits

As you prepare to launch your Michigan business, be sure you’ve done your due diligence.  While it’s still pretty simple to start a business in Michigan there are a few guidelines you need to follow.

One step of particular importance is determining if your business requires any type of license or permit to do business in the state of Michigan, and if you need to organize an office to work, the use of sliding walls can be a great option and you can get them from sites such as  https://www.movablepartitionwalls.co.uk/sliding.

Not having a license in place can be serious problem, especially if you’ve already been doing business for some time.  Not doing your homework early on, can lead to massive headaches down the road and possibly a fine or closure of your business.

You’ll need a license if you fall in the following categories:

  • Construction
  • Financial
  • Insurance
  • Occupational (see full list below)
  • Real Estate
  • Utilities
  • Transportation
  • Retail Fuel

Most of what you need to do can be handled online at this State of Michigan website.  Another option is Michigan Business One Stop.

Not every business in Michigan requires a license.   If your business isn’t in the above list and you’d like to double check, Michigan offers an alphabetical list of required licenses by occupation.

If you require assistance getting the most out of your business, contact us at TalanSBS.  We believe in the power of the entrepreneur.

Occupational Licensing

  • Veterinarian Exams
  • Inspector – Information
  • Plumbing – Information
  • Plumbing – Forms
  • Architects – Information
  • Barbers – Information
  • Cosmetology – Information
  • Forester – Information
  • Hearing Aid Dealer – Information
  • Landscape Architect – Information
  • Morticians – Information
  • Nursing Home Administrators – Information
  • Ocularist – Information
  • Engineer, Professional – Information
  • Polygraph Examiner – Information
  • Police Officer Licensing – Information
  • Certified Disadvantaged Business Enterprise
  • Commercial Driver Licenses
  • Notary Public – Information
  • Chauffeur License – Information
  • Commercial Services License Look-up
July BIZMix – The Social Media Experiment – Ann Arbor

Back by Popular Demand – the Social Media Experiment 2 – Ann Arbor

Are you aware that Facebook gets 25% of ALL U.S. page views?! Did you know that 55% of small businesses use social media to promote their products and services? Do you realize that Google and Bing have integrated social media content into search results? Social Media is the fastest growing tool available to businesses today and if YOU aren’t using it to have regular conversations with your customers… your COMPETITION is! If you aren’t using social media to its maximum potential in your business or if you aren’t using it at all… join The Social Media Experiment now!
The Social Media Experiment started in Livonia and we are excited to bring it to Ann Arbor.

You can’t afford to miss the Talan BIZMix Event on July 29th from 12 – 2pm at the A2Y Chamber offices. The offices are located in the Key Bank Building at 115 West Huron Street, Third Floor, in Ann Arbor.

BIZMix offers you Networking, Lunch, and our social media expert Billy Strawter will be sharing real world information to help you improve your business immediately! Billy will answer your questions about using social media in your business AND answer the questions you don’t have yet.
For more information, contact Deb Molloy (248) 919-1950. Feel free to invite your co-workers and friends to join us.

We look forward to seeing you for the Social Media Experiment. Register Now.

Facebook for Small Business

Facebook has grown at a break neck pace and there is no doubt that it’s weaved it’s way into our daily lives.  We’ve all watched as business both large and small have utilized Facebook for business.

Chances are you already have a Facebook page for small business.  We thought we’d share how are we use Facebook for business to give you some ideas on how to make it work for you.

1.  Post consistently

Give your audience a reason to come back.  We try to post in the morning each and every day to catch those who check Facebook fist thing in the morning.

2.  Post Interesting Content

The content we share is relevant to our customer base.  We try to seek out content that can generate discussion and ask a question to spark discussion.  Even if we don’t get feedback we are trying to stay fresh in their minds.

3.  Ask questions

As per number 2, we try to ask open ended questions to hopefully get our fans to engage with our content.

4.  Share our Page

A link to our Facebook page is everywhere we find ourselves on the web.  It’s on our homepage.  We add it to other social media profiles.  We also try to add it to all of our traditional marketing materials such as our 48 sheet billboard.  If our customers don’t know we’re there how can they become fans?

5.  Create a default landing Page

A landing page has been a great way to welcome new Facebook visitors to our page.  We’ve used it to highlight upcoming events, asked for subscriptions to our email list,  and encouraged sign ups to our newsletter.

6.  Creating Events

Anytime we have an event going on at TalanSBS we create a Facebook Event.  Even though we’ve sent an email it’s another way to stay engaged with our audience.

7.   Utilizing Notes

Notes have been perfect for adding our blog to Facebook.  Not only does it allow for fans to read our content within Facebook and easily share it, the content provides back links to our website.

8.  Adding Pictures

Adding pictures of events or random acts that happen day in and out, helps us to connect on a personal level with our fans.

9.  Tagging

Anytime we can tag customers or friends we do.  It always drives traffic to our Facebook page.

10.  Adding Keyword Links

We utilize social media management software that allows for a keyword link for each an every post we add to Facebook.   Each time we do this it’s another vote for our website in the eyes of search engines.

That’s it in a nutshell.  An abbreviated list of how we are currently using Facebook for small business.  How are you finding the reception to your business on Facebook?

8 Reasons Your Website is Awful

Your website is your calling card on the web.  For that reason it’s important that you take care in how you present yourself.

If any of these apply to you, do not pass go, and immediately head to Google to find the nearest web developer/designer.

1.  About Us

If your About Us page is all about you and your accomplishments it’s time for a redo.  Focus on what is about your business that will connect with a potential client.  Why should they do business with you.

2.  Latest News isn’t New

It’s amazing how many websites have a Latest News section that hasn’t been updated in several years.  If you don’t care enough about your website to update it on a regular basis, what does it say about how you’ll treat your clients?

3.  Outdated Homepage

The web changes frequently and is fickel.  Styles change.  Bell bottoms and eight tracks have long been out of style.  The same goes for your website.  If you’re site is still in it’s original format, it’s time for a refresh.  We know quite a bit more about how people navigate websites.  An update will go a long way to increasing conversions.

4.  Bright Fluorescent Colors

When was the last time you visited your website yourself?  Bright colors hurt the eyes and makes it hard to read.

5.  Auto Start Video/Audio

Stop this immediately.  Nothing is worse than visiting a website with your volume full bore, only to be blasted with elevator music from 1983.  Certainly you want your video played, but let the content speak for itself.  If the video is worth watching it will be seen.

6.  Ditch the old Flash

Early flash sites had a lot of sound included when clicking on links and navigating to new pages.  Don’t force visitors to have to mute things to navigate your website.  It’s easier to just not come back.

7.  Poor Navigation

Where do you want us to go?  Do you have 15 different tabs?  Have you tried to stuff the kitchen sink on the homepage?  Make it simple.  Set up your website so it’s easy for visitors to find information.

8.  Designed for You

Remember this statement.  “Your website is not for your current customers, it’s for prospective customers.”  Your website is all about converting visitors into customers.  Focus on creating content that speaks to those seeking to do business with you.  Understand how they consume information and what drives their buying decisions.  If the amount of people coming to your website are seeking you out by name you need to better content or SEO (search engine optimization)

A website is key to your digital marketing strategy.  With the tools available today there is no excuse for having a poor online presense.  If your a do-it-yourself type WordPress or Joomla both make for great content management systems.  They both offer tons of plug-ins and themes to make your site look professional and polished.

If you need assistance TalanSBS can help get you started today.

What are a few of your website pet peeves?

 

Start a Michigan Business Series: Employee Identification Number

 

 

 

 

 

 

 

 

Often mistakenly called an Employee Identification Number, an EIN, or Employer Identification Number is also known as a your Federal Tax Identification Number according to this tax payment tips.  Similar to a social security number, an EIN is used to identify a business entity.

Do I Need an EIN?

If you have employees or operate a partnership or corporation you’ll need an Employer Identification Number.  If you answer yes to any of the other questions you’ll need one as well:

  • File employment, excise, or alcohol, tobacco and firearm taxes?
  • Withhold taxes on income, other than wages, paid to a non-resident alien?
  • Do you have Keogh plan?
  • Are you involved with the following types of organizations:  Trusts, IRAS, Estates, Non-Profits, Farmers Co-ops, Plan administrator?

Getting an EIN is a free service and you can apply online.

Your EIN will be a nine digit number assigned by the IRS.  It’s important to keep this number safe.

If you recently started a business that falls under the above listed categories, this is an important step to launching your business.  Be sure to follow all the steps listed on the IRS website to ensure timely processing.

Employer Identification Exempt Organizations

A tax exempt organization is non-profit org that is exempt from certain taxes as described under Section 501 of the IRS code.  If you think your exempt you’ll need to apply to the IRS for a determination letter that would grant you formal tax exemption, also known as 501(c)(3) status.

Avoiding Common EIN Problems

  • If you file as an S Corporation be sure to file Form 2553, Election by a Small Business Corporation
  • An association, LLC, or other org that elects to be taxed as a corporation must file Form 8832, Entity Classification Election
  • Remember to always include your SSN, EIN, or ITN on Line 7b or Form SS-4
  • Always use the full legal name you entered on Form SS-4, line 1 and the EIN given to you, consistently on all business tax returns
  • If you change your address after receiving your EIN, you must use Form 8822 to notify the IRS of the new address

 

6 Tips to Managing Cash Flow Schedule

Cash is king.  In your business cash flow is the ultimate king.  Do you have a firm grip on your cash flow?  Do you understand how cash flow affects your business?  Well you should.

The best way to monitor cash flow is by utilizing your cash flow statement.  If you use Quickbooks or Peachtree, this is a built in report.  A cash flow statement is a financial statement that shows how changes in a balance sheet accounts and income affect cash and cash equivalents, and breaks the analysis down to operating, investing, and financing activities.

Simply, it helps you understand the flow of cash in and out of your business.

The reason your cash flow is important is that:

  • it allows you to know if you can meet payroll and other expenditures
  • it tells potential lenders if you have the ability to repay
  • it lets potential investors know if your company is financially strong

Here are 5 ways to get your cash flow positive:

1.  Track customers’ payments

It’s easy to let 30 days turn into 45, especially if it’s one your best customers.  But there are bigger issues here, if you have to borrow money due to late payments you’re doing yourself a disservice.

2.  Set resonable payment terms

Don’t be afraid to offer a discount for early payments or a cash discount if it helps you get paid early.  Having cash in hand is key.  Offering a discount to get paid 15 days early can make a big difference in how you run your business.

3.  Check credit histories

Must do.  Don’t take their word for it.  Just because they have a big new building doesn’t mean they have the ability to pay or haven’t stuck someone else for services in the past.

4.  Take advantage of discounts

If you have the opportunity to receive a discount for paying early yourself, by all means take it.  But remember if there is no discount offered to hold on to your cash.  There is no sense in paying your bill two/three weeks early when you can use the cash (especially if you have a good handle on cash flow)

5.  Get Rid of excess inventory

It’s costing you money.  Even if you sell it at a discount it’s better than not selling it at all.  Plus it injects cash into the business.

6.  Wait

Do you really need that new iPhone/iPad/Tablet/Blackberry/Printer?  Think hard about it.  It’s easy to justify the expenditure, but will it really make you more efficient?  Purchases like these can nickel and dime you and kill cash flow in a hurry.

Understanding how to forecast cash flow will be a key asset in running your business.  If you need help reading or preparing cash flow projections contact us here at Talan Small Business Services.  It’s what we do.

Starting a Michigan Business: Michigan Business One Stop

 

 

 

 

 

 

In my talks with other aspiring business owners I’m always surprised by the lack of awareness of Michigan Business One Stop.  What is it?  It’s Michigan’s online portal with pretty much everything you need to get your business up and running.  All in one location.  Talk about a time saver.

Here are just some of the things you can do with Business One Stop:

  • Learn about Financing your Business
  • Tax Information
  • Play with the One Stop Simulator
  • Find Employer Resources
  • Business Entity Search
  • Keep track of filings

The Business Start Up Tool on One Stop is a great tool for creating varying scenarios for launching different types of business.  It will help you understand the state requirements for that business, including costs and time frames.  It’s really simple to use and leaves you with a wealth of knowledge for the onset.

The site includes a online secure service for starting your business.  Right online.  Register for taxes, apply for licenses and permits.

If you’re in the process of starting a business, Michigan Business One Stop is the place to go.

Have you used Michigan Business One Stop?

 

 

 

5 Social Media Tools for Your Business

 

 

 

As a business owner you wear a large number of hats, so the idea of adding social media manager to the mix can be a bit daunting.

The following are 5 social media tools for business to make your job a bit easier

1.  Hootsuite

Hootsuite is a social media management tool.  It allows you to monitor several social networks, including Twitter and Facebook.  Other benefits include scheduling posts to Twitter and Facebook.  You can even respond to questions all without leaving Hootsuite.  We like it because it’s in the cloud, meaning you can use it several different devices like your iPhone.   Best of all, it’s FREE.

2.  WordPress

In addition to being a blogging platform, WordPress is considered a content management system.  Entire websites have been built around the WordPress platform.  If you’re considering blogging for the first time you can start one for free at WordPress.com or integrate it into your existing website.

3.  StumbleUpon

StumbleUpon is a social bookmarking service that allows user to “stumble” upon web content.  By submitting your content here, people interested in the topics you discuss on your blog are able to find your content.

4.  Social Mention

Social mention is a search engine for conversations.  Search forums, Twitter, Facebook and other social networks for your keywords of choice.  You can also use Social Mention to discover conversations about your business.

5.  Google Analytics

Google analytics allows you to see how people are finding your website.  You’ll be able to see if what content is the most popular, how long visitors stay on your site, mobile tracking, and location.  You can even create custom reports based on your own requirements.

There are plenty more tools for managing social media, however, if you’re just getting started with social media for small business, these are 5 worth taking a look at.

What would you add to the list?

 

Starting a Michigan Business Series: How to Structure a Business Plan

Planning is important in any business.  A business plan is a tool that keeps on giving.  Providing guidance when necessary and answering questions when you stray off the beaten path.

A business plan can help you woo investors, get bank financing, identify potential markets, point out potential competitors, and ultimately gives you a clear path and direction for your business.

Quite often business owners skip this phase when launching a business.

As we move forward in our Starting a Michigan Business Series, this weeks focus is on how to structure a business plan.

1. Executive Summary

An overview of your business. Even though this will be at the beginning of your business plan, it should be written last, after you’ve evaluated other areas of your business.

2. General Description

Explain the type of business your in. If it’s an existing business give a history of the company. If it’s a start-up focus on the qualifications for starting the business. Note why the business is needed and it’s chances for success.

3. Products and Services

What are the unique features of your products and services.  Use this section to describe them and how they will attract customers to your business.

4.  Marketing

Specify your target market.  You should be able to show that there are specific market segments that will pay for your products or services.  Outline what your strategy (marketing) will be to attract customers.  List your competitors giving an honest evaluation of their strengths and weakness and how you will compete against them.

5.  Management

List the people that will be active in your business.  Showcase their skills and experience.  Think abbreviated resume.

6.  Legal

What will the structure of your business be?  Corporation, Limited Liability Partnership, S or C Corp?  Will there be patents or trademarks involved?  What sort of agreements are in place between owners?

7.  Finances

List the business’ financial needs and where you expect to get these funds.  Be sure to project revenue, expenses and profits.  Going through this section to create a financial statement will help you understand cash flow, the life blood of every business.  It addition you’ll understand your break-even point and how sensitive your business may be to market fluctuations.

8.  Operations

What systems or process will be used in your business?  Where will your business be located?  What type of facilities will you require?  Do you need supplies?  Where will be the be obtained?  What will the hours of operations be?  Use this section to explain operational process for your business.

Your executive summary is going to be the most important part of you business plan.  Most investors won’t get pass this point, so be thorough when crafting it.  Focus on drawing the reader in, give them a reason to move past this section and on to your overall plan.

Remember the depth and complexity of your plan will depend on what type of business your launching.  No matter what, it’s an important exercise in getting insight to your business pre or post launch.

What do you think, is a business plan still a important part of launching a business?

 

 

Starting a Michigan Business Series: Forming a Corporation

It’s Monday, which means only one thing.  Starting a Michigan Business time.  This week the focus is on Forming a Corporation, what you need know, where you need to go, and how to find the documents you need to get started.

First things first.

1.  Choose a name.

Have you settled on a name?  Make sure you name is not already taken by visiting  the Michigan Corporation Division Name Availability Search.

You’ll also need check the list of restricted words. These words are not allowed in your corporate name:  List of Restricted Words

2.  Determine if your business is subject to special licensing or permits.

No need for surprises.  You can check online here:  michigan.org/medc/services/license.  You may also want to check with your local county, city or township clerk for local requirements.

3.  File Paperwork with the State of Michigan

Be thorough when completing the paperwork.  Be sure to have the proper corporate form, filled out completely.  Forms are returned if not properly completed.

4.  Register for a federal Employer Identification Number (EIN)

You can apply for an EIN number by faxing your SS-4 (Application for Federal Employer Identification Number – EIN) to 859.669.5760 or calling 800.829.4933

5.  Register for Michigan Taxes

You’ll need to complete Michigan Taxes Form 518 and return to the Michigan Department of Treasury and fax to 517.636.4520

Corporation Advantages:

  • Shareholders (company owners) have personal limited liability
  • Access to capital is easier than with other structures
  • Profits can be divided between owners and the corporation which reduces taxes and offers lower tax rates
  • Perpetual existence. Upon death of an owner (stockholder) the corporation continues to exist
  • Tax benefits for employee fringe benefits such as medical, dental, and disability

Corporation Disadvantages:

  • Fees. It costs money to incorporate, plus recurring annual corporate fees
  • There are formalities that MUST be followed. There is no flexibility here
  • Profits paid to owners are subject to double taxation
  • Can be complex to set up and maintain
  • Dissolution does not automatically happen

A great resource for starting a business is Michigan Business One Stop.  It’s an online portal with access to FAQ’s and necessary documents for starting a business.

If you have questions you can call the DELEG (Department of Engery, Labor & Economic Growth, Bureau of Commercial Services, Corporation Division) at 517.241.6470.  Or visit online at michigan.gov/corporations

It’ never a bad idea to seek out the services of a lawyer and accountant when launching a new a business.  While these steps will get you on your way they should never be considered a replacement for legal advice.