Tax Efficient Transfers Of A Family Business
By GPSHow to Utilize a Grantor Retained Annuity Trust (GRAT) to Efficiently Transfer Your Family Business
Use of a Grantor Retained Annuity Trust, or GRAT, is a well-established gift and estate tax planning technique for transferring appreciating assets to beneficiaries without adverse gift tax consequences. A GRAT is often referred to as an “estate freezing” device because it allows an asset to be transferred to another party (the named beneficiary of the GRAT) at a future date, but allows the value of the gift to be calculated based on the asset’s value on the date it was contributed to the GRAT. …
Buyer Beware! No, Seller Beware!
By GPSWhat every seller should know about a business sale transaction.
The statistics and projections are staggering:
- It is projected that the number of new businesses will increase by 22% every five years.
- “An estimate of 65% to 75% of all small businesses will go up for sale in the next five to 10 years. Why? Retiring baby boomers.” – Inc. Magazine, April 2008.
- A PricewaterhouseCoopers survey confirms that one out of every two company owners intend to sell their businesses within the next 10 years.
- The Exit Planning Institute projects that in the next 12 to 15 years, in excess
Don’t Get Caught With Your Hand In The Cookie Jar
By GPSFiduciary Duties of Directors and Officers of Closely Held Corporations
As a controlling shareholder of a closely held corporation, were you ever tempted to take a higher salary in a profitable year even if it meant decreasing bottom-line profits available for distribution to other shareholders? Were you ever tempted to do a “side job” and take cash for yourself, rather than running business through your corporation? Have you ever claimed lack of knowledge of internal financials and tax returns as a defense against early detection of wrongdoing? If so, think again before acting on these temptations, as you don’t want …
Leveraging Government Opportunities
By GPS
Recently, I reviewed the financing and grant programs offered by the federal government to small business through the oversight of the Small Business Administration (SBA). Next, I’d like to review the order and sales procurement opportunities available to small businesses based on purchasing by the United States government.
Keep in mind
The federal government purchases billions of dollars in goods and services each year that range from paper clips to complex space vehicles. To ensure that small businesses get their fair share, statutory goals have been established for federal executive agencies. These are goals set so that small business gets …
The Thrill Of The Hunt
By GPSHiring the right person is important to your organization and one of the most strategic business decisions you will make.
According to recent governmental and private industry reports, the small business community is struggling to find enough qualified individuals to fill the current positions available, and the resulting labor shortages are negatively affecting production, profits and morale. It is estimated that 61 percent of all small businesses have critical hiring needs that have not been addressed.
Hiring the right person is important to your organization and one of the most strategic business decisions you will make. A position’s turnover has …
Bank Presentation Blunders
By GPSYou need money to expand your business…and you need it now!
There are many outlines for bank presentations and business plans. Choose one that is suitable for the business and presents the business in the best possible light.
You need money to expand the business and you need it now! Streamline the business and create greater profitability with the right infusion of capital. Have you tried, in the past, to make a convincing financial presentation, but nothing ever seemed to turn out right? Think your plan makes sense, but you can’t seem to get the presentation over the top? The …
What Is Your PR Score
By GPSPublic relations exposure extends beyond newspaper, radio and television mentions. Take the test now to find out how your company measures up.
There are several sayings that are commonly referred to when talking about obtaining public relations exposure, mostly as it applies to getting your name in the newspaper or heard on television or radio. Unfortunately, living by most of these adages won’t help you or your business.
“There is no such thing as bad press!” Sure there is. The media may expose improper personal or corporate behavior or hasten the demise for individuals and companies already under siege. The …
Evolving Impressions
By GPSWhen considering specific options for your next printing project it helps to have a good understanding of the different types of printing available and how new technology is helping to make printing and marketing communications more effective and cost-efficient.
The earliest dated printed book, known as the Diamond Sutra, was produced in China in 868 CE, but it is believed that the practice dates back well before this date. Many other contributors like Johannes Gutenberg and Ottmar Mergentahler have since then given us the ability to share our thoughts, ideas [and promotions] in printed form with others. The twenty-first century …
Common Sense Isn’t All That Common
By GPSShould your company have an employee handbook/manual?
If your company’s policies and procedures are scattered throughout a series of memos, E-mails, and other documents, and the only place for an employee to obtain a decision is to knock on your door, then it’s time to create an employee manual. Thus far in 2007, 33 states have passed legislation directly affecting the employer/employee relationship. Therefore, if your manual has not been revised recently, it’s time to compile a new or updated handbook.
There is a common misconception which states that by not having a formal handbook/manual discussing policies and procedures, a …
Let It Ride
By GPSOne of the most frequently asked questions by business owners regarding lending and business finance is, “Why does the bank need my personal guarantee?” The answer is fairly simple—they do not!
As a borrower, the business owner has a choice. However, with some financial institutions, the philosophy is best expressed as “my way or the highway” unless the banker feels comfortable with the business operations and the other types of security proposed. Although, if the business and its owner are on sound financial footing there may be room for negotiation regarding personal guarantees. Successful negotiation does not require the Wisdom …
