Small Business Center

Part of me is always on the lookout for words, phrases, or situations I might use in a cartoon.

After so many years it’s not even a conscious thing anymore. It’s just always there below the surface, and occasionally something trips my cartoon radar and I jot it down.

I remember hearing a business story on the radio and the phrase “costs are skyrocketing” popped out at me. It’s so common that you generally ignore it, but “skyrocketing,” when examined more closely, opens up a lot of opportunities, like the cartoon above.

Last summer Google made SMBs owners very happy by releasing a new business dashboard for sites that claimed their Google Business Listing. The addition put actionable data and stats directly into SMB owners’ hands so they could learn about the folks visiting their site and act on the information provided. Well, now it’s FourSquare’s turn to grown up. Yesterday everyone’s favorite location-based social network revealed new plans to provide SMBs owners a free dashboard and analytics tool to give them  important stats about the people who check-in and visit their establishment.  It’s FourSquare 2.0.

According to the New York Times, the analytics features have been available in alpha for a small number of businesses for a week now. The selected businesses are able to see, in real time, who has checked in to their businesses (on a daily, weekly, 30/60/90-day or all-time basis), when they arrived, the male-to-female ratio, what times are most active for certain customers, and they get the ability to offer instant promotions. FourSquare will also offer a Staff page so that employees can interact directly with customers using the site.  It makes things significantly more interactive for business owners, which may increase a Twitter-esque adoption.

Early shots of the dashboard look like this:

And that’s just the beginning.

According to FourSquare’s Tristan Walker, the social site plans to up the information they’ll be providing. Things slated to be added include correlations between check-ins and weather to help merchants offer better rainy day incentives and the ability to tie purchase information to check-ins.

What FourSquare is really doing is taking everything up a notch. Over the past year, SMB owners have learned to use Twitter as a medium to reach out and connect with customers. We’ve used it to have real conversations, to find people talking about our brands and to encourage them to come visit our store or Web site. However, with the new analytics from FourSquare, we actually have an ability to track users and tie them to specific actions. It’s a much more interesting conversation when you can identify a former “regular”, and look at their behavior to see they haven’t been in the store for weeks.  Knowing this means you can use the Staff pages to then interact with that specific customer and give them an incentive to come back in.  It’s as much about retaining customers as it is attracting them with new deals.

And whether you’re a FourSquare user or not, yesterday’s announcement is something you should be aware of because it signals that location wars are very much upon us.

On the heels of FourSquare’s launch Twitter announced it will be turning on geolocation for tweets and Facebook will also allow users to share their location. With everyone going in the same direction, it’s probably a sign you should be paying attention. We understand social media, now what can you do to make it more locally-focused and to connect with your current customers. FourSquare is giving SMB owners a great way to look into the habits and actions of people who frequent them, and so are many of the other social networking sites. The more data you can use, the smarter decisions you can make.  Start figuring out how you can use it.

Did you know that the Small Business Administration offers small business owners an online forum to share information and experiences with other business owners and subject matter experts alike?

Business.gov, which has long operated as the government’s official website for small business, not only brings together resources from across government to help small businesses start-up, operate and grow, it also operates an online Community (with more than 8,000 members) that enables business owners to interact directly with government and industry professionals, while sharing information about starting and running a successful business with each other!

The Community provides a forum for you to connect with other business owners for advice, camaraderie, and even potential partnerships.

Each month we hope to bring you a round-up of what small business owners are talking about in the Community, what our experts have to say, and answers to common questions.  We’re kicking off this month with tax season tips and resources!

Tax Season is Here – Get Answers to Common Small Business Tax Questions

No one says that doing your taxes is easy, but a little preparation and planning can make the process less painful. Here are some essential resources and tips from the Business.gov community of small business experts to help you get your arms around your business tax preparation and avoid common pitfalls.

New Tax Laws for the 2009 Filing Season

As you prepare to file your small business tax return, you’ll need to be aware of several new tax laws that went into effect in 2009. Read “Before you File your 2009 Tax Return – Take Note of Major Tax Changes that Apply this Year!”.

Business Income Tax Filing Tips

Small business owners have many questions about filing taxes, but here are answers that address some of the more common areas of confusion:

• A Primer in Taxable Business Income – When filing your business income taxes, you must report all income – not just income from the sale of goods, services, or property. Check out this easy-to-read guide on what is taxable income and what is not.
• Cash vs. Accrual Accounting for Taxable Income and Expenses – Are you filing your taxes and are confused about how to record your business income and expenses? Read on to learn which cash vs. accrual accounting method can work better for your small business.
• An Intro to LLC Tax Law – Whether you are newly registered LLC or have been established for some time, this 101 in LLC Tax Law can help you navigate the constantly changing tax laws that apply to your business structure.

Tax Deductions and Expenses

Tax deductions are tricky to navigate and the laws that govern them are often misinterpreted. Get the facts with these quick reference articles:

• Home-Based Business Deductions – Run your business out of your home? 52 percent of small business owners do.  Read “Do you Run Your Business Out of Your Home? You May Qualify for a Tax Deduction” to get the lowdown on whether you qualify for this deduction. And get tips on how to file for this deduction in “How to Claim the Tax Deduction for Business Use of Your Home”.
• Personal Vehicle Deductions – Another important deduction to understand is how to claim a deduction for business-related use of your personal vehicle. Read “Using Your Personal Vehicle for Business Purposes – Tax Deductions, Insurance and the Like!” to help you understand how the deduction works.
• Charitable Donations – The IRS enforces strict tax laws around charitable giving, read “Charitable Giving and the Tax Benefits for Small Businesses” to understand what you can and can’t deduct.

Avoiding Tax Audits

When Avoiding a Tax Audit – the Best Offense is a Good Defense – Though fewer than 1% of taxpayers are selected for a tax audit, business filings that report year-after-year losses, large charitable contributions, or claim large tax deductions may raise red flags for the IRS. Here is some guidance to file your tax return in a way that minimizes your chances of getting audited.

Additional Resources

Visit the Small Business Tax Center on Business.gov. This one-stop shop portal helps business owners stay abreast of tax requirements, tax changes and a whole range of tax tips to help you prepare for the year ahead.

If you have tax questions or tips you want to share with other small business owners, post them on the Business.gov Filing and Paying Taxes Discussion Board.

Among the raft of recent proposals that President Obama announced during his State of the Union address was a plan to help Americans increase their retirement savings.

As reported by AP, the proposed package would guarantee all Americans access to a retirement plan through the workplace, increase tax credits to reward retirement savings, and increase regulation of 401(k) plans.

The proposal small-business owners will be most interested in is the “automatic IRA.” The proposed program would require employers who don’t offer a retirement plan to enroll employees in a direct-deposit individual retirement account. (Employees would have the choice to opt out.) Companies that have 10 or fewer employees or have been in business less than two years would be exempt.

Some 78 million workers do not currently have access to a retirement plan through the workplace. According to The Retirement Security Project, automatic enrollment has been shown to strongly increase participation in retirement plans, especially among low- and middle-income workers.

Supporters of the automatic IRA idea point out that it would be fairly simple for most small businesses to implement, and would help small companies compete with bigger ones that offer retirement benefits.

AARP, which supports the plan, notes that automatic IRAs are simplified accounts owned by individuals–not employer-sponsored retirement plans—so they are much less complex. There are no plan-qualification rules or IRS approvals; you don’t have to comply with ERISA; no employer contributions are required; and the employer has no responsibility to choose, hold or manage investments. Employers simply serve as a conduit helping employees put their own money into their own IRAs. Employers who don’t offer direct deposit would send contributions to the IRS along with tax withholdings.

A survey by the National Federation of Independent Business showed that nearly 50 percent of small businesses with 10 to 19 employees use an outside payroll firm. Of those that do payroll in-house, more than 80 percent use software. For companies that use payroll providers or software, automatic IRAs would easily integrate into the systems they already use. To offset administrative costs, employers would get a tax credit of $25 for each employee who chooses to save in an automatic IRA (up to $250) for two years.

Most companies that still do payroll by hand would be exempt from the proposal, although they could participate if they so desire.

Editor’s Note: this article was previously published at OPENForum.com under the title: “What Would Automatic IRAs Mean to Small Business?” It is reprinted here with permission.

Recently I blogged about President Obama’s proposal to help community banks lend more money to entrepreneurs. For many small business owners in the Great Recession, community banks have been a lifeline.

But that lifeline could be about to snap. The Congressional Oversight Panel, which monitors the financial bailout, just released a report on the state of commercial real estate lending—and the news is not good.

“There’s been an enormous bubble in commercial real estate, and it has to come down,” panel chair Elizabeth Warren told the Washington Post. “A mortgage crisis like the one that has devastated homeowners is enveloping the nation’s office and retail buildings,” the Post reports. The fallout will hit community banks hard.

In general, large, community banks haven’t been hurt by the residential real estate crisis. But community banks issued higher proportions of commercial mortgages than did the big banks. Some 3,000 community banks have disproportionate amounts of commercial loans relative to their assets, according to the oversight panel’s report. And, as Warren says, “Every dollar [community banks] lose in commercial real estate is a dollar they can’t use for small businesses.”

Commercial real estate mortgages have shorter terms than standard residential mortgages; according to the report, some $1.4 trillion in commercial real estate debt will come due in the next three years. And Warren says, half of all commercial real estate mortgages will be underwater by 2011.

Areas most at risk? South Florida, metropolitan New York and Washington, DC, lead the nation in the per capita value of commercial real estate currently in foreclosure, default or delinquency, according to research group Real Capital Analytics.

Responding to the problems many borrowers are already having refinancing commercial mortgages. President Obama has proposed expanding the SBA’s 504 loan program to temporarily support refinancing for owner-occupied commercial real estate loans. Currently, these loans cannot be used to refinance maturing debt.

The full report from the Congressional Oversight Panel is interesting reading.

There’s plenty of news for small business owners out there as innovations change the market and hard times yield unusual opportunities. Keep a perspective with our regular selection of small business news exclusively gathered by the Small Business Trends team Monday through Friday in our small business roundup. Here are the news items and blogs we’re watching today.

Leadership

Small business in the driver’s seat? In hard economic times when statistics show small businesses may be the answer, it’s time to step up. Tom Raducha’s Blog

Nothing happens without a vision. And usually it doesn’t come from the people who fit in. Open Forum Innovation

Improving your international business skills. Here are 21 tips for the small business planning to go global. Cindy King

Marketing

In search of a do-it-yourself marketing guide. Why asking good questions can sometimes also be the perfect answer. DIY Marketers

Save your money. 10 ways to avoid paying way too much on your marketing campaign. Entrepreneur.com

What are they saying about your business? Why testimonials remain one of the most powerful forms of marketing and why you need to cultivate them. NJ Entrepreneur

Seeing is believing. How virtual tours can boost an e-mail marketing campaign. Understanding Marketing

Public Relations

Learning from the pros. Avoid these four major screwups when doing PR for your own small business. The Netsetter

Publicizing your local small business online. Following even 25 percent of the 51 tips on this list is guaranteed to get you noticed.  Softline Solutions

Social Media

Enhancing LinkedIn for your business. Here are 11 tips to make a positive impact with the premier business social network. Paul Castain’s Sales Playbook

Adding value to your Tweets. How to up the ante when using social media to market your small business. The Rise To The Top

How Twitter and Facebook are affecting your search engine ranking. If you aren’t taking into the impact of social media on your online business reputation, you are missing an opportunity. SysComm International

Humor

It’s either the world’s best or worst franchise idea. Now all we’ve got to do is figure out whether Joel Libava is kidding or not. Franchise Follies

Policy

More doubt cast on small business aid program. Not only will a government plan to stimulate small business hiring not work but its delay is probably costing jobs and growth right now. The Entrepreneurial Mind

Show me the money. A year after a $787 billion stimulus package aimed at rebuilding the economy, a report says most small businesses haven’t seen any funding. Reuters

As part of their mission to bring value to small business owners, Yelp is introducing the Yelp for Your Business webinar series that will offer advice on how SMBs can market their businesses using the site. It’s a smart move for both Yelp and its users. And even better, the first one kicks off this evening!

Appropriately, the first Yelp webinar will help small business owners learn how they can use the free tools on Yelp to promote their business, which I think is an area where many SMB owners could use a refresher. Back in August, I wrote a post about how to get the most out of Yelp, which touched on some of the lesser known features that Yelp offers specifically for small business owners through Yelp for Business. They included things like the Yelp dashboard, real analytics and how to get more from your Yelp profile. Today’s webinar should go into some more detail on those and hopefully touch on some of the new additions.

As a small business owner, it’s really important that you take the time to sniff out Yelp and learn about all the ways it can help your business. From allowing you to fight back against inaccurate reviews, manage positive ones, and now even track consumer patterns, they’re providing a whole lot of data and opportunity that SMB owners will want to be aware of. These webinars should give SMB owners a lot of insight both on what’s available to them and how to be leverage it. There’s nothing better than hearing “how tos” directly from the source to give you a competitive edge.

These webinars are also much needed for Yelp. Yelp’s been a beloved part of the local search community for some time, but new rumors about impropriety and extortion at the site are once again spreading. By opening up the window a little bit, they’ll give everyone a closer look at how the site works and increase the transparency inside Yelp. [Though, I personally find Yelp to be one of the more approach companies on the Web.]

As mentioned, the first webinar takes place will take place today at 6pm ET (3pm PT) and will be focused on all the free tools available through the site. If you’re a small business owner curious about why you should leverage Yelp, or if just want some tips on how to get started online, I’d encourage you to check out the new webinar series. To get more info on today’s webinar or to register, head to the webinar site.

It’s time for another addition of our small business news roundup here at Small Business Trends. We hope you find these roundups useful and will visit some of the stories we’ve recommended being sure to let them know where you heard about their post or article.

Marketing

Is the idea of viral marketing a bit too contagious? Viral marketing may not be good for every business so keep in mind it’s a means not an end. Right Ideas/Bright Ideas

Getting personal with your marketing strategy. With all the buzz words out there in the marketing world, sometimes the best advice comes down to a very simple idea. Five Forces Group

It’s not just about the clicks. A look at how to improve sales through more focused online marketing campaigns. Web.com

Operations

Why should your customers trust you? The answer may have to do with how you operate your business everyday. Flying Pig Communications

Forbes puts small business owners on the couch. Another report looks at the mental outlook of the small business community. morebusiness.com

How to get more business. Some thoughts on bringing the new customers you need to you. Unique Insights

Startup

Date your business before you marry it. How can you be sure the business you’re planning is the right one for you? Open Forum Innovation

Is your business making Google nervous? How to create a startup that sells to the big boys for millions. The Huffington Post

You don’t need to go to heaven to meet an angel. How to find these special investors and what they can do to help your business. Youngentrepreneur.com

Policy

For solopreneurs, health care may be getting even more expensive. Health care reform may shift a disproportionately large burden onto the shoulders of the already struggling self-employed. National Association for the Self-Employed

Can risk really be managed? The recent meltdown contains lessons about economic uncertainty, but what can it teach business leaders for the future? The Economist

Why bigger is not always better. Finally government reformers may discover what small business owners and their customers have always known. Huffington Post

Tech

New tools allow a more customized approach to sales. Wouldn’t it be great if visitors could buy from you even after they’ve left your site? smallbiztechnology.com

How to make cool side-by-side interviews for your Website. A warning to PC users: This tutorial is for Mac’s. The Rise to The Top

Contests

Sugartone Sweet Business Blogging Contest. Two of the Net’s fastest growing small business communities join forces to promote great business blogging online with some really cool prizes. Bloggertone

It’s that time again. Time for our daily roundup of top small business news from blogs we follow and other sources handpicked for your benefit by the Small Business Trends team. If you have a friend who values small business news, share this post with them today.

Marketing

What’s the buzz, tell me what’s happening? Here are some important guidelines for anyone interested in using Google Buzz in your marketing arsenal. Marketing Professor

Don’t fail to plan when it comes to marketing. Four simple steps can save you oodles of time and plenty of wrong turns. Bloggertone

Social Media

Talkin’ trash? Small Business Trends’ own Anita Campbell talks about freedom of speech in the new social media…and the responsibility that comes with it. Open Forum Innovation

Stories and conversations that position your brand. Tips for guerilla marketing in the world of social media. Closing Bigger

Finance

Why new credit card laws don’t apply to you. And why that may not be such a bad thing after all. Small Business Trends

Getting ready for a micro-audit. Even the smallest businesses aren’t below the radar of the IRS. Be sure yours is prepared. NASE

Operations

Home alone? When the only employee is you and your office is the couch or the kitchen table, consider these important productivity measures. Small Business CEO

How referrals can grow your business. And we’re not talking about the ones you get, either. Sales Tip a Day

Self-Development

Handling life’s little interruptions. When trying to run a business, things always get in the way. Stepcase Lifehack

Startup

How is building a business like having a child? Fresh from becoming a new father, Polish entrepreneur Karol Zielinski has some interesting insights. Karol Zielinski blog

Five reasons not to share equity. Why entrepreneurs may not want to offer their first employees a piece of the pie. Startup Nation

Tech

How is your small business using mobile technology? A recent report shows texting as the top form of mobile content usage. Is text marketing in your small business plan? comScore

Map out your favorite online small business tools. Check out a cool new interactive map tracking the growing list of tools you can use to promote your small business online and then suggests your picks. The Small BizNest

Policy

Is the economic recovery really a myth? Why government projections of an economy bouncing back may not have real validity. Reason.com

Thirty-six percent of Americans pay no federal income tax? This includes many families making over $50,000 a year but how does it compare with small businesses that are among the most likely to face audits. TaxProf Blog