The economic environment is extremely problematic for those who are new in the business field and those who start their own small business; they should make them prepare for all these difficulties. Since the 2008 has passed, the U.S financial institutions and consumers were hurt dramatically by the over levering and bad debts, when the credit bubble bursted. These are the two vital components of the economy of U.S. by which the individual consumption is driven which is two third of the U.S. GDP and over the last four years it has been a drag on its economy. Although the balance sheets were partially repaired by the financial institutions and consumers and a big part of debt burden was transferred towards the local, federal and state governments. The five essential things that an owner needs to run a business will be reported by the small business authority and which is essential for the owner in positioning them. These five essentials are as follows.
According to Justice Roberts the employers running the business with 50 or more employees would have to buy the health insurance for them or in other cases have to pay a fine or tax, under the PPHCA. In addition under the PPHCA the small businesses are made eligible for the tax credits as well as to beat or meet the threshold of 50 employees they can take under consideration to manage part time and full time staff. Now the questions raises that will the owners of small businesses hire the consultants and advisers to sole their problems or will they read the 2000 plus pages of legislation and understand that themselves? There is a significant concern for the owners of small businesses and that is the spiraling healthcare costs as the expenditures for the healthcare have approached 20% of GDP.
For the refinance and growth the businesses have to consider the procedure to get loans. The struggle has stepped into its fifth year after the credit bubble of 2008 was bursted. New credit is not available to support the growth of the small businesses many of the small businesses are facing problems regarding this. For small businesses a big struggle of refinancing or rolling over the existing debt has made by the continuous process of shrinking and de levering the balance sheets of the banking industry. The small businesses must do something themselves to continue the de levering global process also with the bank industry and also by working with the already existing bank relationships.
eCommerce solutions have become essential for the small to medium sized businesses. From the last few months the eCommerce payment processing sales have grew with a percentage of 15 to 20 while sales of bricks and mortar were down. An eCommerce site is necessary not to take payments but also to make online availability of your business. The businesses are at a disadvantage who does not own a website. This includes the local small businesses and their competitors in addition to major service providers and big box retailers. These days it is a plus point to be searched and highlighted by the local internet search.
Small businesses are at risk with every passing day and this is the fact which is to be accepted by the small businesses. There are a lot of risks about the sensitive data they keep in there hard drive and this is the thing they cannot ignore anymore. The medical professionals or the lawyers cannot ignore those risks related to the client’s financial or health records while using a server of the unbounded local IT or the closet of their office. The cloud must be embraced by the businesses for the following reasons:
Critical transactions of a small business are allowed by the cloud computing as well as ecommerce, economic and traffic data of a website has made accessible any where and any time also with proper applications are also allowed. Newtek advantage is extremely good and beneficial for the owners of small businesses as they are allowed to see all their business information from any tablet or smartphone. Cloud computing is SMART as:
S: This means sales increases and administrative matters are not mostly deal which means more time servicing customers and selling.
M: This means more control and fewer surprises, in real time key business metrics and stats are available, more informed decisions can be made faster by the small businesses and they can remain in touch with their important business data.
A: This means accelerated profits; more and better profitable decisions are meant by the real time information.
R: This means real time, which is the business management data, that is just away by the seconds and is accessible whenever and wherever you want it.
T: This means technology enhancement, which leads you to the decreased expense and costs of IT department. In short in the cloud you can get anything you want and everything is present in it.
Small businesses are not much difficult to handle if you keep in mind all the above given essentials and follow all the information. Firstly you must understand the difference of the job and the business and then make your self ready to start your business. As money is the basic and biggest need of the present day so it must be consumed sensibly in businesses.