Don't Let the Looming Tax Increases Push Your Business Over the Cliff

By Eddie Velez

Be Prepared for the Fiscal Cliff So Your Business Will Survive the Fall

2012 was like no other year in recent history. We had the Japanese Tsunami, the Middle-East uprising, Super Storm Sandy, the tornadoes and floods, Hurricane Irene and the cataclysmic Mayan apocalypse we all wait for on December 21st. In 2013, we have another storm coming, the economic Fiscal Cliff. If you don't plan accordingly - before the end of the year - the increase in taxes can cripple your business' growth. But you can ensure your business is ready to compete, while getting tax write-offs for 2012, minimizing your liability in 2013.

What's Coming?

While contrary to popular belief, the Bush era tax extensions are not the only taxes that will affect the average business owner's liability. Just to name a few, they include:

• The Exemption Phase Out
• Itemized-Deduction Phase Out
• Payroll Tax Increase of 2%
• Long-Term Capital Gains Increase
• Regular Rate Increase
• The AMT (Alternative Minimum Tax) Increase
• The Hospital Insurance increase (not to be confused with the Affordable Care Act)
• The Affordable Care Act tax and fines

And the list is longer. For a complete list and explanation of what each is, read Tax Increases Looming in 2013. You can find the link at the end of the article. Regardless of whether a deal is reached, taxes will still go up; the question is by how much.

Take Advantage of Tax Write-Offs Still Currently Available

While you're not in control of what will happen in Washington DC, you are for what happens in your business. So what are several things you can do to ensure you're prepared for maximum impact? Let's take a look.

Business-Startup Costs Write Off: If you are a new business (author with a first book, a consultant who transitioned during the economy from employee to self-employed freelancer for example) you are allowed to write off your qualified business startup costs up to $5,000 in the year you launched. So if you started conducting business in 2012 (not still in the setup phase) you can write off those costs. Typical costs include hardware (computers and smartphones), marketing material (brochures, business cards and website), signage, legal and professional consulting fees, and any other qualifying startup expense.

If you have not exceeded the limit of $5,000, then you might consider investing in that computer you needed, getting a collateral marketing piece or a mobile ready website. Make sure you are set to compete and attract your customer in 2013.

Marketing Infrastructure for Existing Businesses: Marketing is crucial during downturns in the economy and is a legitimate tax-write off. So if you purchase that public relations campaign, social media package or anything else you may need for your 2013 marketing campaign by December 31st, instead of giving Uncle Sam your hard-earned money, you can strengthen your business for growth and sales. Plus, you will not only get your investment back in January as a tax write-off - but also in ongoing future sales.

With the advent of the Smartphone and tablets, more and more people are shopping on their mobile browser. Read Why You May Be Losing a Boatload of Sales and Not Even Know It. If your website is outdated and not mobile ready (responsive), studies show when a mobile surfer arrives at your site and finds it incompatible with their phone or tablet, they will move on to another and never return. So make sure that doesn't happen to your business, because Microsoft projects that mobile Internet usage will outpace PC desktop usage by 2014. You can't wait until then to get ready.

While death and taxes are unavoidable, you can postpone death with smart health decisions, and you can minimize your tax burden and increase your sales with smart business-investment decisions. And by doing so, hopefully you will gain a whirlwind of sales that not only will pay your taxes for you, but give you a good problem to have - how to minimize your tax burden for 2014!

Click here for the article: Tax Increases Looming in 2013.

Eddie Velez is the CEO and founder of Success by Design. He is also an Examiner.com contributor and social media marketing professional (beware of those who use the word "GURU"). http://www.eddievelez.net.

4 Marketing Tips For a Small Business

By Helen Neal

Budgets are tight, but nowhere more than in a small business operation. You need to be creative in your thinking, be willing to spend some time developing a plan, and designate jobs to staff, hire a marketing specialist or do it yourself. It all depends on your time and your budget. The following are some tips to get you started.

1. Write a Newsletter - You need to tell everyone why your business is better than your competition. What better way than in a newsletter. A newsletter should not just be an advertisement for your business; it needs to be about your character, policies, employees and more. Write about upcoming events, how to use your widget in different ways, or your give your staff bios. Focus an article on one employee each month. Give free tips on how to do something related to your business without selling your business. For example, if you sell shovels, there is a variety of times when they are used. In winter give tips on how you can maintain your shovels and make snow slide off quickly by spraying Pam on them before you start shoveling. Give a garden tip for using that special spade. It involves using your product, but it is a tip that gives more information.


2. Create a contest on your website - Many people enjoy puzzles and contests. You could have a feature area on your site for specialized crossword puzzles, word searches, etc. There are even free tools on the Internet to help you create these using terms you select, which of course will be related to your business. Run a contest every quarter. You don't have to give away anything expensive. If you have written a number of articles for your newsletter, compile them into an e-magazine and offer a free copy to the winner.


3. Join local organizations to network - Networking online is one thing, but networking in person is better. You get a chance to meet different people from different businesses. Many will complement your business. When you speak to these people be sure to listen to what they do, what their position in their company is and how they advertise. If your businesses are in a similar niche but not competitors, you might be able to exchange web links, which puts you higher in search engine page rankings. You might even combine your marketing strategies into one mailing and split the costs.


4. Use Creative Advertising - Think outside of the box for advertising. Small businesses usually don't have the budget to give away a lot of quality merchandise with their name and logo on it. So you have to be more creative. Always put your logo and your website on all information leaving your office; stationery, envelopes, business cards, emails, etc. What about your vehicle? You can get a window cling for a song from a local sign dealer who also does static clings. Ask if you can put a good, quality poster in the window of a complementary business; you can offer to do the same if you have a brick and mortar store. You can create your own poster in Word and save it to a flash drive. Take it to your local print shop and ask to have it blown up to your desired size and laminated. Remember this is marketing and you have to spend a little to do this. The more you think about it, the more ideas you will come up with.

Now you have the idea. Just use your imagination to increase traffic to your store or to your web site. There are many things you can do off the Internet to get your business to the people.

Looking for a better way to get business? Tired of wasting money on local advertising, radio spots and public TV? Get moving! This is the time to start going out and meeting people - in person and online. There are ways to increase traffic to your store and to your Internet business. Helen Neal, Owner http://www.hlnwebdesigns.com