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  Marketing Consulting Insurance Coverage and Liability   Nowadays, many employers require consultants and contractors to carry liability insurance. This specifically applies to marketing consultants. Marketing consultants, whether a small firm with a few employees or an independent contractor are liable for any losses directly related to the work they do for a client. To ensure that they are compensated for any losses, employers protect themselves by requiring that the contractor be insured. The types of insurance required usually included are:   General Liability Insurance   Professional Liability Insurance   Worker’s Compensation Insurance     Having a comprehensive liability insurance package is also wise for the consultant. Legal defense fees are often so exorbitant that they can easily sink a small business. Having the proper insurance protects your business from going under in the event of a lawsuit.

  Starting Your Own Online Business   Starting up a business Online is a very feasible venture.  However, there are a variety of steps to take to guarantee the success of your Internet business.  Make sure that your product or service is actually in demand in the Online environment.  There are thousands of businesses selling Online, so build your product or service around a niche market.    Though it’s cliché, “Content is Key”, when it comes to selling online.  Well-written copy can make or break your Website.  SEM firms and SEO writing companies can be hired to not only market your product successfully throughout the Internet but to organize and design your Website so that it is appealing while promoting high ranking throughout search engines.     Use every avenue available to get your product or service known in the Internet world.  This can include building an email list, joining affiliate programs, and anything else you find to help out.    For more in depth research or tips on starting your own online business, please visit the following sites:   OnCallGeeks.com – 10-step Tutorial for Starting an Internet Business   Amazon.com – Starting an Online Business for Dummies (book)   Entrepreneur.com – Starting an eBusiness: eCommerce Tools & Tips     If you have any resources of your own or that you’d like to share, please leave a comment.  

Various Forms of Business and Selecting the Best One This blog is going to be discussing one of the most foundational decisions – what is the best type of business structure should your business employ. Starting a new business is an involved process that entails several strategic decisions. There are issues to consider such as the number of employees, location, hours of operation, products and services, and more. Not sure what types of organizational structure there are? No problem, we’re here to help. There are four main types of business structures:   ·         Sole Proprietorships       Owned in full by one person who is responsible for all decision-making. They can work independently (such as an independent contractor) or choose to hire employees. The sole proprietor assumes total liability for any debts that are incurred.   ·     Partnerships       Just like it sounds, a partnership is when two or more people decide to own a business together. There are three different types of partnerships with different structural implications. These are general partnership, limited partnership, and limited liability partnership. In a partnership, owners are personally liable in the same manner that a sole proprietor is.   ·         Limited Liability Companies (LLC)       having the characteristics of both a corporation and partnership, an LLC provides limited liability to owners. This is a popular business model since it has the most flexibility and offers the best of both worlds – ownership without responsibility to stockholders and protection from full personal liability should something go wrong.   ·         Corporations       A legal entity separate from those that formed it, a corporation has legal rights and specific laws that apply to it. This entity is controlled by stock – which is essentially how much of the company you own. Unlike a sole proprietorship or a partnership, if a corporation fails the owners/stockholders only risk losing their initial investment.   When deciding on the right business form, seek legal advice. There are several free resources for small businesses – such as the Small Business Administration  – that provide counseling, advice, and more. Do some research on your business industry and see what organizational structures have been working for your peers and competition.  

  Adjusting a Small Business Insurance Policy – Increase Policy Limits   Many small business owners have one question – “How flexible is my small business insurance policy?” Many times, small business owners need to increase their policy limits for a specific job or for a limited time and are unsure if they can do so without rewriting an entire policy. The short answer is “yes” your policy can be fairly flexible depending on your carrier, although, if you are adjusting your policy monthly, this might not go over well with the carrier.   Keep in mind that most adjustments to policy limits are increases to the amount of coverage necessary. If you are lowering your coverage limits, then something was probably wrong with your policy to begin with, or you are running the risk of being underinsured if a suit is ever brought against you.   You should also keep in mind that the amount of coverage you are able to utilize is based on your policy limit when the claim is filed, not when the job is delivered. This means that once you are done with a project, you should not immediately lower your policy limits in case a suit is brought against you. It is sometimes difficult to determine how much coverage you will really need when taking on a new job, so thankfully your existing policy can be flexible to handle necessary adjustments to your policy.  

Credit makes the world goes round.  Or is it money?  In either case, with today’s economy many small businesses are faced with numerous challenges, especially due to the lack of available credit.  Varying Credit Needs   Some businesses need credit lines just to stay afloat (to cover overhead costs, pay their employees, etc.) while others need credit to fulfill numerous orders for products that are selling well. Without availability of credit lines for the latter scenario, these businesses are not able to keep inventories in stock for all the products that are essentially being sold; therefore, they are not able to reach their full potential for income, which further affects the economy.   So, with the varying needs of small businesses in America, how does the outcome of the election affect the already tight credit crunch for small businesses?   With the Election of Barack Obama   What exactly does Obama’s election mean to the small businesses of this country?  Obama has publicly claimed that he plans to offer small businesses a tax credit as long as they provide insurance for their workers.  Although he has yet to specify what this tax credit will entail, it will surely increase the amount of small businesses that choose to provide medical insurance for their employees.    In an attempt to boost our struggling economy as well as stop the hemorrhaging of U.S. jobs to overseas companies, Obama has promised that businesses will also receive a tax credit for every new hire they make here in the U.S.  This is intended to inspire employers to discontinue shipping jobs overseas and consequently, lower our unemployment rate.     Lastly, Barack has made it a point to increase the amount of lending available to small businesses by requesting that the Small Business Administration put an indefinite halt on all fees charged to small businesses to obtain an emergency loan.  He is also requesting an expansion of the loan guarantee programs that currently exist in order to provide more financial security for small businesses.  

Tips on Setting Up A Merchant Account for Your Website Set it Up Right By following these steps, you can successfully set up a business merchant account and start accepting credit card payments, enabling your business to expand its payment options and serve customers more effectively. Setting up a business merchant account involves several steps to enable your business to accept credit card payments from customers.  Initially, your business merchant account will be set up through a service provider that hosts your account.  The provider will oversee the transaction between you and your customer, and deposit funds into your account when a purchase is made.  A wide range of choices is available when it comes to business merchant account providers across the Internet.  Google and Yahoo! are some of the top providers; however, smaller providers are available across the net as well. Here’s a general guide on how to set up a business merchant account: Research and Choose a Provider: Start by researching different merchant account providers to find one that best suits your business needs in terms of fees, services, contract terms, and customer support. Consider factors such as transaction fees, monthly fees, setup costs, and compatibility with your business model. Gather Required Documentation: Merchant account providers typically require certain documentation to verify your business and identity. Common documents include: Business license or registration Articles of incorporation or partnership agreement Employer Identification Number (EIN) or Social Security Number (SSN) Bank statements Voided check for the business bank account Photo identification (e.g., driver’s license, passport) Apply for a Merchant Account: Once you’ve selected a provider, complete the application process. This may involve filling out an online application form or submitting paperwork directly to the provider. Be prepared to provide information about your business, such as its industry, annual revenue, average transaction amount, and projected monthly sales volume. Undergo Underwriting and Approval: After you submit your application, the merchant account provider will review your information and may conduct underwriting to assess the risk associated with your business. This process typically involves a credit check and evaluation of your business’s financial stability. Once approved, you’ll receive confirmation and instructions on account activation. Set Up Payment Processing Equipment or Software: Depending on your business’s needs, you may need to set up payment processing equipment, such as credit card terminals, point-of-sale (POS) systems, or virtual terminals. Some merchant account providers also offer payment processing software or integrations for e-commerce websites and mobile apps. Integrate with Your Business Systems: If you’re using payment processing software or integrating with existing business systems, follow the provider’s instructions to set up and configure the integration. Test the system to ensure that payments are processed correctly and securely. Comply with Security Standards: Ensure that your business complies with Payment Card Industry Data Security Standard (PCI DSS) requirements to protect sensitive cardholder data. Implement security measures such as encryption, tokenization, and regular security audits to safeguard customer payment information. Start Accepting Payments: Once everything is set up and tested, you can start accepting credit card payments from customers. Train your staff on how to use the payment processing equipment or software, and provide clear instructions for customers on payment methods accepted. Monitor and Manage Your Account: Regularly monitor your merchant account for transactions, disputes, and account activity. Keep your account information up to date, and promptly address any issues or concerns raised by your merchant account provider or customers. If you’d like to sell your product or service on your Website then you’re going to need a business merchant account.  Essentially, a business merchant account will allow your customers to buy your product or service online with their credit card.  Since more and more of business is done via the Internet, a fully functioning Website with a business merchant account is vital for success in our competitive society.  Investment Setting up a business merchant account with larger providers can sometimes be a bit of an investment.  Not only does your stock have to be added to their store, but they may charge a fee of a few hundred dollars.  The benefit of going with larger providers such as Google or Yahoo! is the guarantee of security and usability.  Customers are more likely to use a business merchant account that is known than one that isn’t.   Though the big providers do have their benefits, there are a great deal of smaller, cheaper, providers of business merchant accounts that are just as secure, and just as usable.  Many times the business merchant account that you want will depend on the industry in which you’re in.  Thus, conducting a fair amount of research should be a first step before diving into any commitment with a particular business merchant account provider.

  Marketing Success Hinges on Creating Project Contracts   Marketing consultants face a unique challenge. They are asked to create a marketing plan for a product that they may not be initially familiar with, and then are expected to produce results in the form of sales, leads or brand recognition. As a marketing consultant, it is important that the entire engagement between you and your client is clearly labeled through a project contract.   This will ensure that the project stays on task, on time, and on target. Budgets, responsibilities and timelines are all clearly laid out, making it much easier for you, the marketing consultant, to reduce your risk of being held liable for a less than successful project. By creating a project agreement, you as the marketer are aware of exactly what the client is expecting from your services. Once agreed upon, you are protected legally from having to be responsible for anything that was not covered in the contract, therefore reducing your risk of lawsuit.    

  Subcontractors – The Proof is in the Name   So you think you’re a subcontractor right? Well, do you have a contract? The problem that seems to be floating around the subcontractor/independent contractor arenas these days is the lack of education when it comes to drafting service contracts. As an independent contractor, you are your own company. If you don’t have contracts that clearly define your scope of work, payment structures, etc. you will eventually be giving away your services and losing your “company” money.   Not only is it important for you to have the proper insurance coverage as a subcontractor, but your risk must also be managed in other ways. Although no contract is guaranteed to be perfect, it can prevent you from having to do extra work or bending over backward for clients who constantly change the scope of your project. Once it is in writing, you can rest assured that you, the employee know exactly what the job entails, and you, the manager know that the contract will not be changed without your approval.  

  Alternatives to Lawsuits: Dispute Resolution and Similar Strategies   No matter how you feel about your clients, good or bad, it is a dreaded day when two business partners choose to go their separate ways. Sometimes this severance is accompanied by a potential lawsuit, depending on the nature of the split, which only makes matters worse. However, before a lawsuit ever sees the inside of a courtroom, there are alternative steps that can be taken to resolve the dispute.   Many times, this dispute resolution alternative must be built into the contracts beforehand, requiring both parties to try to settle things outside of court. Options for this resolution might include mediation or arbitration. Although slightly different, there are many advantages to each method. More about mediation and arbitration can be read here: Dispute-Resolution Alternatives   The long and short of it is this…do everything you can to keep the dispute out of court, make sure you have alternative dispute resolution ideas built into your contract, and more importantly, make sure you do all you can to maintain great relationships with clients and business partners.