March 2024 Newsletter
Warren Cook
Creating small businesses success through effective Strategic HR & Business Advisory Solutions.
Sole Proprietor, LLC, or S-Corp:
How do you Decide?
Small business owners and startup entrepreneurs sometimes engage us before these decisions are made to ensure informed effective decision making.? However, the majority have already established how they are operating their business without understanding how their entity type or lack thereof impacts how taxes are handled and filed.
At a very high level, anyone can start a business and receive payment as a sole proprietor at first and they are then taxed as an individual taxpayer.? Then you might decide to establish a Limited Liability Corporation (LLC) for any myriad of reasons, however too often these business owners may not realize the LLC is viewed as a pass-through entity for tax purposes by the IRS.? When deciding when to change to the LLC model, seek legal and tax professional advice and understand the differences.
Eventually, you may hear about S-Corp election to change the status of your entity for tax purposes and to start paying yourself on payroll.? Again, there may be tax advantages with this approach, however the actual opportunity to lower your tax liabilities is dependent on your revenue, the amount you choose to pay yourself and many other factors.
Insight: Determining when to leverage entity formation, the type of entity, the tax implications, and more, seek professionally licensed expert advice to both protect your business and ensure you only pay the taxes you are required to.
Engaging Employees Early Avoids Problems Later
“Warren, for months there were problems we just didn’t think they were a big deal and well, now we are unsure how to handle this.” ?What a common call I get from client and prospects alike and generally there has been zero communication to the employee about the performance, behavior, or conduct that is unacceptable or failing and now they want an easy fix which is not a simple as you might think.
Don’t treat new hires or recently promoted staff as on any grace or honeymoon period and certainly stop the whole “probationary period” mindset in an at-will employment world.? Immediately, and I mean in the first few days, present the job description, review the role and responsibilities, expectations, and establish goals.? Then, you must implement accountability from that day forward.
Insight: If there are deficiencies, communicate what they are verbally to the employee and then follow up in writing with clarity.? Coach first, give the employee training and support to achieve success, and then begin corrective action up to termination.? Bad hires happen, however when there is a good hire and you fail to help that individual achieve success everyone loses.
Establishing a relationship with an HR Advisor to mitigate this journey before the problem exists would be both strategic and smart for your business.? To learn more and have a discussion about your employment practices contact Warren Cook at TAHR Services by scheduling a free discovery call today.
Hiring Great Talent Isn’t Automatic
Far too often business owners share with us they are struggling to hire great talent.? They post a job, interview some applicants, make a hire, and then it doesn’t work out.? But why?
领英推荐
Have you ever considered why larger organizations have greater success in hiring top talent?? Is it just brand and name recognition? Better benefits or higher wages?? In our humble opinion, no, that is not the most significant issue to overcome.? What is?
Your hiring practices.? Starting with your job description which evolves into a job posting.? Poorly written or nonexistent and you are failing to use this strategic process to help applicants who are not qualified self-select out and qualified applicants align with your position and organization. Then we need to consider how you market the vacancy, meaning website, social media, job boards, etc.? These choices may send your posting to the wrong audience or where best talent doesn’t look for your type of job.
If we continue, then you have the resume review or applicant tracking system to perform initial screening, then initial interviews, and the story and journey goes on.? Without training, experience, and practices that are effective in determining who is the best applicant, you could be spending a significant amount of time producing less than desirable results.
Insight: Time to change that cycle and work with TAHR Services Inc to explore a new talent acquisition program or leverage our talent acquisition solutions to take this off your plate.
To get expert advice on hiring great talent today contact Jennifer Cook, VP and HR Strategic Advisor at TAHR Services by scheduling a free discovery call today.? We can develop a talent acquisition program and solution to enhance your organization’s ability to identify, attract, and hire great talent.
Having the Right Business Advisor Impacts Your Success
A significant portion of small business owners have amazing ambition, passion, skills, and ability in their area of expertise, however we can’t all know everything we need to know to achieve our desired success.? That is why most successful entrepreneurs, business owners, and even large corporation leaders engage strategic partners and business advisors to help successfully navigate the challenges and obstacles they don’t even know exist.
How are you overcoming this gap between your desire to succeed and your lack of not knowing what you don’t know?? That is where a business advisor with wisdom and experience to guide you effectively can be the missing piece in your current strategy.? Are you facing any of these challenges?
If you resonate with these or similar obstacles, challenges, or goals and would like to explore the advantages and peace of mind you can get from a strategic business advisor, schedule a free consult with us today https://calendly.com/tahrservices/discovery. You can also review our Business Advisory Solutions on our website here.