Author: Tyler Virgin
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Markup vs Margin
Price setting is often a place of mass confusion for small business owners. I know for myself it is hard to find the price that optimizes profits while maintaining my competitive advantage. Understanding the difference between margin and markup on price increases is a must for properly achieving your profit goals.
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Charities Protect Your Donors With The “Magic Blurb”
Bottom Line: Non-Profit organizations (i.e. Churches and Charities) must ensure that they protect their donors by including the “magic blurb” stating that no goods or services were provided in exchange for the donor’s contributions no later than January 31 of the year following the donation. What does It Mean: In a recent tax court case a Texas couple,…
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How to Use Per Diem Rates for Small Business
Small business owners are always trying to make their lives easier and efficient. Who could blame them. This article aims to explore the entrepreneurs option to use per diem rates while traveling. Basically there are two ways one can deduct travel expenses. The actual cost of meals, incidental expenses, and lodging can be deducted provided…
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Crush the Triangle of Triple Constraints
Triangle of Triple Constraints When performing a service, the provider is often times caught in a quandary between price, time, and quality. The Triple Constraint Theory of Project Management states that one is given the options of Fast, Quality and Cheap, and told to pick any two. The triangle of triple constraints reflects the fact that…
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Three types of profit measures that small business owners should be concerned?
There are many different measurements of profit that can cause confusion while presenting the financial statements. Our main goal here is to explain how to use the three types of profit and the differences between them in the most simple way possible. Three types of profit measures that small business owners should be concerned?
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How Does The Home Office Safe Harbor Work
What is the Small Business Home Office Safe Harbor Deduction The new business use of home safe harbor option has revolutionized the much maligned home office deduction. I am sure that many of you were like me when I start my small business, scared to death of the IRS. Currently, I run my CPA /…
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Rally Around The Barn: Plan to Like People Lessons Learned
A couple of years ago, a massive wind storm that produced extraordinary damage across the Midwest has caused me to realize that success depends on the support of other people. The night started at my 31st birthday party in which the electric went out soon after everyone arrived. I spent the first half-hour with the grill…
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Balance Sheet Simplified and Defined
The Balance Sheet Simplified The balance sheet is a statement of financial condition on what a firm’s assets, liabilities, and stockholder’s equity are at a point in time with the essence of the total of all “assets must equal the sum of liabilities and stockholders’ equity.” (Fraser and Ormiston 37). The balance sheet is understood…
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Health Savings Account (HSA) Option for Small Business Owners and What HSA Bank To Use
Health Savings Account (HSA) Option for Small Business Owners In my opinion one of the scariest things about being self-employed is health care coverage especially if you have a family. Obtaining reasonable health care coverage with affordable premiums is a problem that plagues many small business owners since you will probably end up with a…
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Go Old School with the “Golden Rule” for small business.
I am usually not a huge fan of big business or corporate policies. However we all must deal with the realities of life when convenience or necessities dominate. With that said, this week I was at Wal-Mart and witnessed an action by an employee that every small business owner should emulate.