Choosing the Best Business Entity for Your New Small Business

Starting your own business can be an exciting time in your life, but not one to be entered into lightly. One of your biggest decisions will be , but what type of business entity should you use? There are advantages and disadvantages to every type of structure.

The key is to consider your needs and then simply match them to the business entity that makes the most sense depending on the kind of small business you wish to run.

Forming a business properly will give you tax advantages, and protection from identity theft. You will not have to give anyone your social security number online, for example, in order to get paid for your products and services. So which business entity is right for you? Let’s look at the most common structures for the small business owner:

1. Sole proprietorship.
With a sole proprietorship, legally, you have no separation from the business. You would report the business income as personal income. Also, the business debts and liabilities are your debts and liabilities.

2. Partnership.
This is essentially the same as a sole proprietorship, but with more than one business owner. Sole proprietorships and partnerships make the best sense for smaller service businesses (little business debt) and those with limited assets.

* If you’re going to be selling products, you’ll have inventory. Inventory typically means debt, since there is usually a period of time before the bill comes due.

* Be careful about using a partnership or sole proprietorship in this situation. If you can’t pay your bills, everything is fair game for the bill collectors, including your house, car, bank accounts, and other assets.

3. Limited Liability Company (LLC).
A limited liability company separates the owner from debts, liabilities, and legal judgments against the business. In theory, any claims against your business could not result in you losing your personal property or assets.

* It’s smart to consult an attorney to set up your LLC in such a way that no court would be able to “lift the veil” of separation between your corporation and your personal assets.

* For tax purposes, an LLC is handled the same as a sole proprietorship or partnership. Your business income is reported as personal income. However, there are a significant number of tax deductions you would be allowed to take compared with filing a personal return.

4. C-Corporation or S Corporation.
From a liability standpoint, a corporation is similar to a limited liability corporation. Your personal assets are safe from your business-related issues. However, for tax purposes, the business is taxed separately from personal income. The business itself is taxed.

* You would be taxed for whatever salary or bonus you receive. This would be considered personal income.

* Corporations and limited liability companies make a lot of sense for owners that have a real risk of being sued, or the possibility of creating a lot of business debt. It is also worth considering for those that have considerable personal assets. In our litigious society, it is often not a case of IF you will get sued, but WHEN. Do not let this deter you from starting your own business, but do let it be a practical reminder to put all your protections in place from the beginning of your business in order to save a lot of trouble further on down the road.

* Corporations also allow for the issuing of stock. This means you could raise funds later if you needed to.

*Corporations are allowed many more tax deductions that an individual.

*Corporations will cost more money to set up, and there are very specific rules that need to be followed in running your corporation.

*Fortunately, thanks to the Internet, incorporating is a lot easier that it used to be and depending on what company you use, you will often get a kit with all of the paperwork and so on that you need to set up and run the corporate effeciently.

* Keep in mind that the corporate tax rate in the United States can be quite high. That’s why so many corporations have a small office in another country and declare that their headquarters. Unless you want to raise money by issuing financial instruments (stocks and bonds), the corporation structure is probably not the most beneficial choice.

5. Nonprofit. If your business will rely on donations and carry out a purpose that serves the community, you might consider a nonprofit corporation structure. Suitable purposes include educational, scientific, religious, or charitable purposes.

* The income received in the form of donations is typically not taxed.

*Non profit does not mean you make no profit. There are rules and regulations involved in how the money is earned and spent, but basically, you work it so you have a $0 balance at the end of the year.

6. Cooperative. A cooperative is very similar to a partnership and limited liability corporation. There are multiple owners with liability protection, but income is taxed as personal income. Cooperatives are all about having equal owners. One person=one vote. All income and benefits are distributed equally. This might be great if you have a range of people you can work well with, but going into business with someone else can change both of you. Do not be willing to get married if you are not prepared to also get divorced if things do not work out, in partnered life, and in business.

Setting up a business doesn’t have to be difficult. Choose the structure that best suits your needs. Some forms of business are more complicated and expensive to set up than others. Check out all the details before making your decision and get some expert help.


How to Make Money from Private Label Rights Products – Review

Title is an excellent resource for any small business owner who wants to drive more traffic to his/her website through the use of great content.  This e-book is certainly worth reading if you want to learn how you can use Private Label Rights (PLR) to get more website traffic and increase your profits no matter what business you are in.

If you are new to the idea of PLR, this guide can help you to understand how to fully utilize PLR to increase your revenue streams and add to the prestige of your company.

In this guide, you will learn what Private Label Rights content is, and how it differs from Master Reseller Rights content. It outlines how to find and choose high quality Private Label Rights content, and the best ways to use PLR to grow your site quickly and position yourself as an expert in your industry or niche.

If you really want to start up your own online business, but don’t think your writing skills are that great, or just don’t have the time to build a website completely from scratch, PLR can certainly help. You can use it as research, the foundation for more detailed information that you can add, and much more. Turn it into lists, templates, Frequently Asked Questions (and Answers) and more.

If you already have a website, but it is not performing as well as you had hoped, this guide will also show you how PLR can give your business a real boost without spending a lot of money and effort. The main lesson takeaway lesson of this guide is to be sure that you do not just slap up PLR on your site without editing it in some way, otherwise you will be penalized by Google for having duplicate content on your site.

In addition, a lot of people who do not understand what PLR is and might think that you have plagiarized (that is, stolen) the content from another site, when in fact you have paid to license the content in a similar manner to people buying a license to use a photo online.

If you need fresh up to date content, you can outsource it to freelance writers, but they will usually charge a lot more than the cost of a PLR license. And as this guide says, to be honest, how do you know they have not already sold similar content to other websites, in which case you might still get zapped with the duplicate content penalty.

This guide teaches you how to use PLR for maximum effectiveness and get the most bang for your buck. So if the pressure to keep publishing fresh content at your site or blog is starting to seem overwhelming, get this guide and learn the ins and outs of using PLR.

Further Reading:
How to Make Money from Private Label Rights Products


How to Create Compelling Infographics Easily

Infographics seem to be the next wave of user friendly content. They’re visually interesting. They communicate a thought or message quickly. And they’re easy to share on social networking sites. That makes them excellent viral and social marketing tools.

If you’re new to the world of infographics, rest easy. You don’t need to be a designer to create compelling infographics. With a few steps and user friendly tools you can begin capitalizing on this new content form.

Step #1 Choose Your Tool

There are actually several free and inexpensive tools you can use to create your graphic. Here are a few of the top tools:

* Wordle – Wordle is a graphic tool that makes it easy to create a word cloud. You simply paste your text into their form and click “GO.” Or you can enter a URL and click “Submit.” The results are fun and can be surprising. You can then save the image, print it, randomize it, or save it to a public gallery.

Each time you click on “Randomize” the image changes. You’ll see different fonts, colors and layout.

* Creatly – This software offers an abundance of shapes, templates and diagrams so you can create the infographic you need. You can try a demo version for free. Prices begin at $5 a month.

* – is more of an infographic sharing site. It’s free to use. You can upload your own infographics for others to post on their site. Additionally, you can post existing infographics on your own site. You can also use their software to create your own infographic. You do need a Facebook or Twitter account to register.

These are just a few infographic tools. There are actually dozens to choose from.

Step #2 Plan Your Graphic

Before you start drawing or creating your graphic, plan what you want to accomplish. What is your goal? What is your message? Who is your audience? Remember to keep your graphic simple. You want people to be able to glance at your graphic and understand the message in just a few seconds. Complicated infographics are often overlooked.

Use complimentary colors. While your infographic may be published on many sites, you’ll want it to be visually appealing on your site too. You can brand your graphic a bit by ensuring that it matches your brand, logo and website colors.

Do your research too! You want the data that you present in your graphic to be timely, interesting, and accurate. Make sure your graphic makes a point and draws a conclusion.

Finally, don’t forget to include your URL in your graphic. Ideally, it will be somewhere near the bottom and easy to spot.

Step #3 Create Your Graphic

Have fun with this process. If you’re keeping it simple, you should be able to create your graphic reasonably well. Remember, it’s not about complicated designs or information. Keep it simple and to the point. As with any content, test and track your results. You may find that some information performs better as a graphic while other info may make a better post or article.

Infographics are a hot trend right now. Have fun with them. Experiment and test your audience. You may find this new information format is a new favorite.


How to Get Better Gas Mileage

How to Network Like a Pro on Your Job Hunt

70 Top Exercise and Fitness Tips for Busy People


How to Host a Successful Online Direct Sales Party, Part 5

(Continued from Part 4)

8-Run Your Parties like a Business
Remember that in-person parties are fun, but online parties can be the secret of your ongoing success in direct sales. Therefore, view them as a real business with the potential to make substantial profits through repeat sales from happy customers.
If there are any customer service issues, follow up promptly with either a return policy (though it will probably not be worth it to have the item sent back to you, or a partial refund of their order, which you can issue from PayPal.

One other thing to keep an eye out for from PayPal is people who pay via their bank accounts. This can take 2 to 5 business days to process the transaction. Do not ship the items until you have the money. Also do not forget to check your PayPal account every day for transactions. Some will be processed directly. Others will need to be accepted manually. You will need to fulfill all orders that are coming in, so be sure that the customer’s name and address are mandatory fields in your PayPal account or your PayDotCom interface.

PayPal is a great way to process transactions online, but if you want to keep track of an extensive catalog of items, use PayDotCom if you can afford their $1 per transaction processing fee on top of PayPal’s percentage. (Hint, offer bundles or gift baskets of lower priced items or buy one, get 1 50% off deals in order to create one larger but still cost-effective price to make the most of the $1 fee.)

If you’re unsure how to host an online party, consider attending a few first yourself. Take notes as you go along about what went well, and what could be improved upon. Then start planning your own party. In this way you can learn as you go without any pressure, and this can help your host your first successful online direct sales party whenever you feel you are ready.


How to Start a Successful Direct Sales Business (Business Basics)

How to Market Your Direct Sales Business Effectively (Marketing Matters)


How to Host a Successful Online Direct Sales Party, Part 4

(Continued from Part 3)

7-Following Up
Be sure that whatever links you send them to will give you credit for the sale. Also be sure to provide your contact information in case people have questions later. Create a plan to follow up with attendees a few days later, possibly in the form of a survey or just further chances to ask questions. You might want to create an email list of the attendees in Aweber to make this easier, or add them to a live events customer list.

Send them a thank you note and maybe a coupon or discount on a future order.  Use coupon codes for each event, such as LE020212 for a Live Event that took place on 02/02/12 or OE for Online Event. This will help you track the lifetime value of these participants and help you know whether continuing with online events is a worthwhile way to spend your time.

Then start planning and reminding them of your next date. Plan different or even better games, spot prizes and so on.

Follow up also in the form of every order that you send out. Again, they should be able to use coupon codes so you can track the sales and they can get discounts for what they order.  Getting them to pay by credit card or PayPal will be cash in your pocket up front, rather than having to chase party attendees for the money for orders that they placed.

(Continued in Part 5)


How to Host a Successful Online Direct Sales Party, Part 3

(Continued from Part 2)

4- Be the First to Arrive at Every Event

Make sure you log into your online party ahead of schedule. You will then be able to make sure everything is working and you can chat with the early birds until everyone gets there.  If possible, have a helper online who can assist in managing the technology, such as the webinar presentation you will be giving about the different lines. Have a list of FAQs at the ready as well so that you do not need to lose focus or waste time and can spend time having fun and getting to know your participants.

5-Be Professional at All Times.
These events can be really fun, but never forget that you are WORKING, and that direct sales is a multi-BILLION dollar global business. You will want to act in a professional and honest manner at all times and not say or do anything inappropriate online that could come back to haunt you. Remember that what you might think is a joke or a harmless phrase can be misunderstood online, or by people who do not speak English as their first language.

Remember also that any sales you make will need to be mailed out to the recipients, so be far but firm in your insistence that participants and winners need to be from your own home country. In this way, you will avoid any issues with postage and above all customs and excise. If you know any Canadian or Mexican direct sales reps, then perhaps you can reciprocate on orders being fulfilled, but this can get complicated in terms of payments and collections, so it is probably best to simply refer them directly to those sales reps and their online shopping carts.  If they do the same for you, then everyone wins.
6-Finishing Up
Make sure to finish the party on time. As you are playing the last game and then wrapping up, ask if there are any questions. Make sure people know how to place orders online through your website or company link, and any great bonuses they will get for having attended and placing an online order.
You might want to give them a fast-acting bonus incentive such as a free X, valued at Y, if they place their order within the next 2 hours, and so on.

Also, don’t forget to tell them to pencil in the date for your next live event, and to invite their friends. Let them know that the prizes and game will be even bigger next time, with more chances to win.
(Continued in Part 4)