Small Business Statistics: An Infographic

Today’s infographic is brought to you by our friends at Harborcove!:

“Small businesses employ the majority of American workers. We’ve gathered data from various sources to give you an idea of the big picture in the lending industry, among other small business statistics. Many small business owners are skeptical on lending and how it will affect their business, both positively and negatively. After the recession, lenders expected a drop in lending from small businesses; however, they’ve stood strong in tough times and the economy shows some signs of hope. Lending is on the rise and most lenders are now expecting more in the near future. Take a look at some of these statistics around small businesses, factoring, and SBA-backed lending and let us know what you think is in store for the future!” Continue reading

How to Turn Your Side Business into a Small Business

How to Turn Your Side Business into a Small BusinessSmall businesses get better tax breaks than hobbyists, reports the Small Business Administration. As a hobbyist, you must pay tax on any income earned from your activities, but are limited in your deductions. When performing an activity with the intent of making a profit, you are considered “in” business.

Hobbyists, go a little further and become a business-in-fact with all of its tax and legal benefits.

Telltale Signs you are Running a (Real) Business

  • Your garage and/or spare bedroom are so full of supplies and inventory that you can’t park your car or find your way to the window.
  • Your sales have grown, along with your need for supplies and related expenses, and you’re making a name for yourself, your products and/or services (branding).
  • Your supplier tells you that to be able to order in larger quantities and to get price breaks, you’ll need a state tax ID number (obtainable only for registered businesses).

Continue reading

Why It’s Time to Arm Your Employees with Business Credit Cards

Why It's Time to Arm Your Employees with Business Credit Cards The idea behind allowing employees to have their own company credit cards tends to be focused on security and convenience. There is simply too much that can go wrong by handing an employee cash— there is no protection against it getting lost or stolen, and it can’t be canceled and reissued. When it’s gone, it’s gone.

Checks are an alternative, but then you have to write out a check to every single vendor your employee does business with— not to mention many businesses aren’t thrilled about accepting checks, even business checks. Hotels are a perfect example: if your employee is traveling and needs to stay the night out, it’s unlikely a hotel or motel will accept a secondhand check as a form of payment.

If you’re still giving your employees cash or checks to conduct business regularly with, it’s time to consider the convenience of a business credit card. Before you hand one over, however, here are a few things to keep in mind.

Continue reading