On today's episode of the podcast I chat with Taylor Darcy, owner of Think Legal PC, about the legalities of buying and and selling a business.
Taylor works with small businesses to help them get started the right way to help them prevent disputes, or help get them out of disputes for the least amount of money as possible (or get them the most amount of money depending on what side he's working on). Taylor works on litigation, helping businesses file complaints or defend if there is a complaint against them, all with the goal of avoiding litigation if at all possible.
When selling a business, the value comes from systems. If you are the value in the business and you leave the business, then there's no value and the buyer isn't going to want it. The value of the systems is what will bring in a higher price.
Buying a business is a great way to get into entrepreneurship because you can use the assets of the business to finance the business. On the flipside, if you...
On today's episode I chat with Amber Anderson, Owner of Refine for Wedding Planners, about business acquisition and trademarks.
We should all run our business with a long-term perspective of "do I want to run this thing until I'm ready to retire?" or "do I potentially want to sell my business one day?" Even if you think you don't want to sell, it's good for business to run it in a systemized way that it could one day be sold.
Amber Anderson sold her wedding planning company, Heavenly Day, in January of 2020. She said it was easier to sell the company since it was not tied to her name directly, though the name was not trademarked. When she was ready to sell, it all came down to timing and who was ready to buy at the same time Amber was ready to sell. As for pricing, Amber calculated based on 3-4x annual revenue. Depending on your timing and if you had a broker and how much time you have will also play a factor in the money you will get...
On today's episode I chat with Carnez Williams insurance broker at Carnez Insurance KC, about the different types of insurance policies for creative small business owners and what to look for.
An independent insurance broker works with any number of insurance carriers, whether on the personal insurance side of home and auto or on the commercial side of business owner polices, professional liability, etc. An insurance broker shops your information among carriers to find the best provider for you based on rates and your coverage needs.
One frequently asked question is "If I have an LLC and a contract, do I really need insurance?" The answer is absolutely, 100%. Insurance is necessary whether we're talking contracts, LLC or whatever business you're dealing with. You want to protect three different things 1) protect your assets and property, 2) protect you from liability and 3) protect your income. If your objection is that you don't really have any assets or have much...
On today's episode, my guest, Danait Berhe, Founder & Brand Strategist of The Asmara Agency, shares her insight on evolving your contract as your business grows.
Offering a wide scope of services from logo and web design to brand refreshes, Danait's scope of services changes for each and every client which means each client is getting their own custom contract.
Clarity is key when it comes to contracts. Start by spelling out all the details in your proposal before the contract so your client understands what they will be getting and the timeline for the project to be completed so this way you can accommodate and charge for any changes as you move them into the contract and need to charge additional rates for faster results.
Be sure to include:
-updated scope of services - define what they're getting out of the services
-project schedule - detailed timeline of when to expect client responses and what happens if the client does not respond by the specified...
On today's episode I chat with Emily Loeppke, Principal and Founder of Anna Delores Photography about how much to pay your contractors as you grow your team.
Emily was doing paid advertising on every blog she could, networking at local events, and building her relationships with wedding planners which lead to her having a fully booked wedding photography schedule and knowing it was time to hire.
As Emily grew her team of second shooters, she started by calling them associates but transitioned to keeping that an internal term, understanding the importance of calling them the team or lead photographer because they are not any less than and she wanted to avoid clients feeling like these photographers were not all equal members of the photography team.
The question Emily was facing was if her team should be employees or associates (more on this in Episode 177). Emily started by paying her contractors on an as-needed basis per job. She would pay them a booking bonus...
On today's episode I chat with Ashley Ebert, Co-Founder at The Abundance Group + Owner of The Simply Elegant Group, about what goes into successfully hiring a team.
Ashley started hiring 6 months into her business by hiring a contractor and now has part-time and full-time salaried employees and helps other businesses hire and grow their own team of employees.
The biggest challenge is overcoming mental hurdles/mindset blocks to hiring whether it's thinking that you
- wouldn't be good leader (leadership is a skill, not a personality trait)
- don't want to be a boss (being a boss opens up freedom for you to do the parts of your business you love)
- can't afford (start with a small position you can afford and build the role)
- it's my art (hiring a team does not mean you need to lose creative control of your business. It means training someone so your creativity can be in multiple places at once).
Don't wait until you're 100% booked to start hiring. If you wait...
Today on the podcast we are reairing episode 63 of the podcast where my friend, and sales tax expert, Amy Monroe shares the five steps to manage small business sales taxes.
1. Where do you need to collect tax (do I have nexus)?
This can depend on the size of your business and the services/goods you sell. You will need to know if you need a seller's permit.
2. How you register for a seller's permit
You will also need to search if there may be a secretary of state requirement.
3. What are the sales tax rates and how do you collect them?
Often the sales tax rate is based on the location of the buyer. You need to make sure you are also collecting any additional local, county, city and district taxes.
4. Know and manage taxability and exemptions
If you provide goods and services it's important to know what is and isn't subject to sales tax and when/if they need to be bundled together or specifically stated. The exemptions may be more nuanced than you need.
When a business is in the business of selling something, chances are they have a sales tax filing obligation. Sales tax is a consumptive tax, based on consumer consumption of tangible personal property.
As a business, you act as an agent on behalf of your state to collect the tax. The tax belongs to the state, not to you. Every state is different and even every locality can be different. There are local tax rates, but the state collects everything. You file it all on one form and then it's up to the state based on the form to send those tax dollars to the local government.
If you are running a business, you want to visit the state tax website to learn more about your area's basic tax rules. Failing to pay the sales tax and keeping it for yourself is illegal and can result in jail time. It's critical to keep record of your sales tax as part of your bookkeeping, consider keeping the sales tax money in its own bank account so that's ready to pay each quarter.
On this episode of the podcast, my Unf*ck Your Biz alumni answer commonly asked questions about their experiences with the program. To learn more about the course click here.
If you’ve been listening to this podcast lately you’ve heard me mention the Oh Shit Cycle. You might even be in it right now, many of us are or have been. The Oh Shit Cycle is when you’re trying to do all the things at once like keep up with loan payments, put money into savings, pay off back taxes and save for retirement all at the same time. It can feel never ending, which do you pay first and how do you save money for all of them at once? Getting out of the cycle is covered in my Unf*ck Your Biz course.
I often hear business owners who are considering the Unf*ck Your Biz course share a few of the same common concerns over and over again. They’d rather hire someone to do it for them, they don’t have time, they don’t have the money, they’re...
On this episode of the podcast I chat with Karen Escobar, owner of Golden Coast Marketing about her process through the Unf*ck Your Biz course fully setting up her business for success.
This episode is brought to you by my new FREE Masterclass, "The Most Common Legal and Tax Mistake at Each Stage of Business and How to Avoid Them." This Masterclass will cover if it's time to go from a sole proprietorship to an LLC or an LLC to a S-Corp and how to properly run an S-Corp. You'll learn how to get more profitable in a snap and put your taxes on auto-pilot as well as how to manage the growth of your business without fear of IRS hate mail or lawsuits. Click here to sign up for the Masterclass.
Karen had been in business for less than a year when she joined Unf*ck Your Biz. As much as she was able to figure out certain things she needed someone to ask questions and help. Karen filed for an LLC when she started her business to help mentally separate her business from her full...