Tag: Secrets

Ultimate Practical Tax Lawyer Secrets to Tax Audit Survival

CRA Income Tax Audit – Toronto Tax Lawyer Introduction

As Toronto tax lawyers we deal with CRA audits and auditors on a daily basis. So what is a tax audit? This article will explain what you can expect to happen if you are audited for taxes.

The Canadian income tax system is based on self assessment. In other words it is up to every Canadian taxpayer to fully and properly report their total income from all sources on their annual T1 or T2 income tax return. The Canada Revenue Agency performs tax audits and issues income tax assessments to ensure that the self-assessment income tax system continues to work properly. While most Canadians are truthful on their tax returns, there are some who are not. CRA is looking for errors or disputable positions or deliberate misstatements on tax returns that have been filed.

What is a Tax Audit?

An income tax audit is an examination of a taxpayer’s returns and supporting records to make sure that income and expenses have been properly reported and are supported by accounting records and receipts. The CRA tax auditor will ask to see the individual or corporate books and records and bank account and receipts for expenses. A corporation will normally have to provide its minute book to support any dividends or bonuses. There may be questionnaires to be filled out. Any information that is wrong, even if due to an error, will be used against the taxpayer.

Most audits are done to ensure compliance with the Income Tax Act for income or payroll deductions or under the Excise Tax Act for GST/HST.

Canadian Tax Audit Procedures

CRA auditors will often search for relevant information on the Internet, and a taxpayer’s web site or other sources located on Google might contradict information the taxpayer provides to the auditor. This information will then be used for further enquiries possibly including 3rd party requests for information. Furthermore open social media accounts are publicly accessible, and CRA auditors will gather this data from taxpayer social media accounts to build a case against a taxpayer. CRA officials have publicly discussed using taxpayer’s social media accounts in this way. If taxpayer lifestyle and reported income don’t match up the CRA tax auditor may decide to look into the taxpayer’s situation to see what’s actually going on.

CRA’s practice on income tax audits is to do a GST (and HST) compliance review; if problems are found, the matter is normally forwarded to a GST/HST auditor for a full GST/HST audit. Similarly, an income tax compliance review is often done during GST/HST audits. Combined income tax and GST/HST audits were discontinued in July 2010. These compliance reviews are not always carried out and sometimes income tax audits may miss large GST/HST problems and vice versa.

CRA Audit Statistics

CRA issues an annual report to Parliament. The latest one was released in January 2016. The audit statistics from CRA Annual Report 2014-2015 provide less detailed information than for the previous year.

For small & medium enterprises no statistics were given. CRA reports that they reviewed 12,981 international and large business files and 9,440 aggressive tax planning files that resulted in identifying $1.4 billion in fiscal impact. For international and large business files CRA audited 6,540 income tax and GST/HST underground economy files and identified over $448 million in fiscal impact. In all cases there were fewer audits in 2014/15 that the previous year. Presumably this reflects the results of budget changes.

Reasons for Tax Audit

CRA may choose to audit a taxpayer for several reasons. Amongst them are:

  • Industry audit projects
  • Random selection
  • Third party tips
  • Past history of non-compliance
  • Comparison of information on returns to information received from third-party sources – in other words are all T-slips reported

Since 2011 CRA has been auditing high net worth individuals and families, sending questionnaires asking for information about all companies, trusts, etc. that they control.

CRA has also been concentrating additional audit resources on the underground economy in an attempt to deter unreported cash sales.

What is the Tax Auditor Looking For?

The focus of the tax audit is to find errors in tax returns. Here are some examples of typical issues that may arise in a tax audit that would cause a taxpayer to receive a tax assessment at the end of the tax audit and that could result in penalties or a referral for a tax evasion investigation:

  • Overstated Expenses
  • Overstated Deductions
  • Over claimed Income Tax Credits
  • Under reported or unreported Earnings
  • Unreported cash sales
  • Unreported internet income
  • Unreported offshore income
  • Unreported offshore assets
  • Credits, such as for charitable donations, that are not supported by receipts
  • Personal expenses deducted for business
  • Shareholder loans not repaid within 2 corporate year ends

Right of CRA to Audit and CRA Audit Policies

Section 231.1 of the Income Tax Act gives CRA the statutory ability to carry out audits. In particular it entitles auditors to request and examine documents including computer records. Section 231.2 is a more formal provision whereby a “demand” or “requirement” is issued, but it need not be used by a tax auditor in the normal course where s.231.1 suffices.

The CRA can choose to audit anyone, but case law has held that such discretion does not permit a vexatious audit made for capricious reasons.

The Canada Revenue Agency has an internal policy in CRA Audit Manual §9.12.3 that audits should normally be limited to “one plus one” years that is to say the most recent year for which a return has been filed and assessed, plus one year back, with limited exceptions. This policy can be pointed out to a tax auditor to try to limit the scope of audit requests, but it has no legal effect and cannot be used in court to challenge a tax assessment that has been issued. Of course this rule of one plus one years does not apply in the case where CRA suspects unreported income. They will typically look at three years, and in some cases even more than 3 years.

In theory, the CRA has no discretion in applying the Act and must “follow it absolutely” by issuing a tax assessment for all otaxes wing. The reality is that in practice tax auditors have wide discretion not to assess an amount, however once it is correctly assessed; a Tax Appeals Officer or Tax Court judge will have no power to cancel it on grounds of equity, fairness or compassion.

Tax Audit Assistance from Toronto Tax Lawyer

Our top Toronto tax lawyers fight CRA tax auditors every day. A taxpayer has the right to professional representation at all times. This is specifically provided for in right 15 of the Taxpayer Bill of Rights which says “You can choose a person to represent you and to get advice about your tax and benefit affairs. Once you authorize us to deal with this person, we can discuss your situation with your representative.” A taxpayer should never meet with a CRA auditor without a professional Canadian tax lawyer present. Any information that is wrong, even if due to an error, will be used against the taxpayer. The auditor will also take notes and may misunderstand what the taxpayer has said or may wrongly record responses. An Ontario tax lawyer will have his or her own notes to contradict any auditor errors. Contact our Toronto tax law firm for tax help as soon as a CRA tax auditor contacts you.

The Secrets Of Starting A Profitable Flower Vending Business

I have sold in the retail market, millions of fresh roses and fresh flower bouquets successfully for 32 years. I bought a retail nursery and florist across the street for one of Connecticut’s largest cemeteries, on a busy route that had several thousand vehicles pass every day. I made deals with all the flower wholesalers at first and then I proceeded to undercut the price of all the flower shops in the state. My main objective was to create a customer base that would frequently buy flowers “just because”. My customer service was created with an over friendly staff of a great combination of super personalities and knowledge of the business, which was simply liking people and helping them to satisfy a feeling. My motto to my staff was to let them know that we not only sell roses and flowers but mostly, We sell Love, we sell feelings! My obsession with quality and consumer service was so successful that it spread through out the community and the state.

Wow, I can remember Valentines week with a staff of over 50 wonderful employees wrapping and boxing roses through out the day and nights, get ready the rush of the year. I was so careful with every dozen to prepare each like it was for my mom or wife. We dethroned all the roses, cut them under water, to hydrate them according to the “Chain of Life” procedure. They re-hydrated them in solutions to further guarantee and extend their vase life. Our 4,800 Dozen roses that we sold that week were our best advertising for the rest of the year. Heck, they lasted over 10 days which pleased amazed our dedicated customer’s recipients. What a great feeling to know how many people we made happy.

Selling flowers at strategic locations has become a highly profitable retail business for many enterprising individuals. These entrepreneurs are taking advantage of a market that is, for the most part, impulsive in nature. Many people buy flowers on the spur of the moment, and the presence of a flower vendor is usually their inspiration.

Very often, men on their way to a date will see a roadside flower vendor, and suddenly find the idea of taking flowers with him quite appealing. The same holds true for many men heading home from work. If they’re married, these men will often purchase flowers from roadside vendors for their wives. The flowers are fresh, attractive, and package to sell, not as nearly as expensive as an arrangement from a florist, and the buyer doesn’t even have to get out of his car. Women are also potential customers for flower vendors. A woman will buy flowers to add color and decoration to her house or apartment, or sometimes, just to cheer up a friend. In any case, the purchase is usually made on impulse, brought about by the availability of a flower vendor.

Starting a flower vending business is not difficult. No previous experience is necessary. There’s only a minimal initial investment required, and you won’t need a lot of equipment. What you will need is an adequate supply of fresh, attractive flowers, a good location for selling, and a cheerful disposition. After all, you will be dealing directly with people, so a good disposition is a necessity. You can begin as a home-based operation with an investment of as little as $300. If you live close enough to the market you want to reach, your own garage can serve as storage space as well as your preparation area. Your operating expenses will be minimal, and you’ll have the opportunity to realize a high margin of profits.

Depending on the size of your investment (both time and money) and the size of your trade area, a flower vending business could net anywhere from $20,000 to $175,000 per year. It can be an extremely high profit business, if you choose your selling locations wisely, and offer only fresh, attractive flowers.

BUSINESS OVERVIEW

Successful operation of any small business depends on several key factors. Perhaps the most important is the ability to be a good business manager. Although no experience is necessary to start-up a flower vending business, some small business management training could give you the edge needed to insure success. Most community colleges offer night school courses in small business management and, if you are unsure about your business knowledge and or management skills, enrollment in such a course would be a good idea.

Here are other basic steps involved in the successful operation of a flower vending business:

(1) Know your market. Proper knowledge of your market will enable you to set-up at the best locations. You’ll need to know the high-traffic areas as well as the time of day traffic is at its peak in order to take advantage of a roadside operation. You’ll also need to investigate other potential locations such as restaurants, malls, local festivals and flea markets.

(2) Obtain a dependable source for fresh flowers. Your business depends on the quality of your merchandise. And since you are selling flowers, they must be fresh and attractive. You should locate a quality wholesaler and establish a sound working relationship. You should also have some knowledge of the types of flowers people are most likely to purchase from a vendor.

(3) Establish a workable preparation area. Ideally, your preparation area should be centrally located within your sales territory. The space needed should be adequate for storing flowers and materials used for the preparation of bouquets, as well as for the preparation itself.

(4) Hire the right help. Unless you plan a one person operation you’ll need to hire some dependable helpers. The people you hire should be outgoing and trustworthy with the ability to deal with customers in a professional and courteous manner. If your flower vending business is to be successful and highly profitable, you’ll probably need to have other people helping you. One example is a successful flower vendor in Washington State who employs young people, pays them minimum wages, and enjoys a brisk business at several key locations.

(5) Advertise and promote your business. Effective advertising and promotion can help generate sales and profits. Knowing how to advertise and promote your business, especially in the beginning, is a key step in the success of any business operation.

All of these steps can be taken with a relatively small initial investment, and your flower vending business can be in operation, and realizing a profit, in just a few weeks. However, prospective entrepreneurs should also be aware of, and comply with, any rules and regulations that apply to this particular business in their area.

Depending on the location(s) of your flower vending business, you may need a license to operate. If you plan to set- up a flower vending stand on a city street, or any roadside operation within city limits, you’ll most likely need to get a permit. The best thing to do is consult a trusted attorney, or contact the business-license department in the city your market covers to find out what licensing requirements you must meet.

If you plan to sell flowers in restaurants and nightclubs, it is usually not necessary to have a license. Also, if your roadside operations fall outside the city limits, you probably won’t need a license because most counties don’t issue them. Again, you should check with your attorney, or the proper licensing authorities in your area before you start selling flowers.

Another consideration for a new business owner and employer is taxes. As an operator of a business you will be responsible for collecting and sending in various state and federal taxes, as well as certain taxes you will have to pay yourself. If you are not familiar with your tax responsibilities as a business owner, consult a qualified accountant or contact your local IRS office to get the information you need.

You should also consult with an accountant as to the type and arrangement of bookkeeping and record keeping best suited for your flower vending business. Records of your business operations are, of course, helpful in the successful management of the business. These records need to be as accurate and permanent as possible in order to ascertain any tax liabilities. They should include business income, deductions, credits, and any employee information. As well as any other information required by federal, state and local regulations.

EQUIPMENT AND INVENTORY

Since a flower vending business does not require an abundance of sophisticated equipment, start-up costs can be kept to a minimum. The basic equipment necessary should not cost more than $200 and can usually be found at a wholesale florist supply house. You can also get your supplies and equipment from several firms that cater to florists. You should be able to find a complete directory of such firms at your local library. You can also contact several florists (not necessarily in your market) and obtain this information.

For the preparation of your flowers and floral arrangements, you’ll need stem cutters and a supply of cellophane or florist’s tissue. You will also need several plastic buckets to keep the flowers in water and fresh while being transported as well as on your selling sites. To prepare the flowers for selling, you will need a preparation area. This area should be cool and shady to help keep your flowers as fresh as possible. As mentioned earlier, a location central to your area of sales is most desirable. If your own garage fits that description, you won’t have the added expense of renting space.

Your preparation area will require several storage containers and a table. Some refrigerated coolers may be necessary, but since most flower vending businesses pick up their flowers on a daily basis, and sell them as quickly as possible, that sort of storage requirement should not be excessive. However, during the summer and winter months, you may need an air-conditioner and portable heater to keep your flowers in salable condition. If you don’t already have these items, you can count them as a business expense and they are tax deductible.

Your inventory will consist of flowers. You can purchase these from wholesalers found in most major cities. You can find these suppliers by looking in the Yellow Pages of your area’s metropolitan phone directory. Look under ‘Florists, Wholesale.’

Since you will probably have some flowers left over after each day’s sales, it is essential that your inventory be fresh when purchased from the wholesaler. You can check the freshness of your flowers by examining the heads of roses to see if they are tight to your touch. Also, if the blossom appears purple around the edges, the flower is probably too old. When buying carnations, look to see if they are firm and heavy-stemmed. If carnations are somewhat discolored, don’t buy them, because they probably aren’t fresh.

The largest part of your inventory will most likely be roses. Roses are the most desired flower, and they are expensive. Prices will vary with the season and area of purchase. Carnations will also make up a substantial portion of your inventory. These flowers, while very attractive and popular, are much less expensive than roses.

Other flowers you may want to add to your inventory are gardenias, tulips, daffodils, and orchids. Some of these flowers are expensive and usually appeal to an older set of customers, so don’t go overboard when dealing with your supplier. Roses and carnations will be your best sellers. Your best sales months will be during the holidays so you will have to make sure you have an adequate supply of flowers. You’ll also want to have a supply of appropriate flowers to match the specific holiday, lilies for Easter, poinsettias for Christmas and so on.

CHOOSING A LOCATION

Once you have a marketable inventory, you will need to set- up in a good location. If you choose the wrong location your business will not be successful. For flower vending, the two best selling locations are restaurants and roadsides/street corners.

Restaurants are good selling locations if they attract large lunch and dinner crowds. Especially good restaurant locations are those with specific themes. French, Italian and Mexican restaurants are usually profitable locations for flower vendors. You’ll also find successful flower vendors in upscale lounges and taverns.

In general, restaurants and lounges with a quiet and romantic ambiance, are usually conducive to flower vending. Many restaurants are attracted to the idea of flower vending at their places of business because it offers an extra ‘romantic’ touch to their service. Usually, the management of a restaurant will charge the flower vendor only a nominal fee. In some cases, the fee may simply be a few flowers to arrange and display throughout the restaurant.

For street-selling locations, freeway exits and stoplights on main streets are preferred. These areas represent the highest amount of traffic therefore, the largest number of potential customers. Ideally, your locations should be along streets, highways and exits that feature a great deal of late afternoon and/or early evening rush hour traffic. These conditions are ideal if you can find an area where the traffic must come to a stop, or at least has to slow down. Your location must be plainly visible so that oncoming drivers will be able to see you in enough time to get out of traffic and pull off the road.

It is important that you stay away from roadside locations that could limit the ability, or desire, of your customers to reach you. Never set-up at dangerous intersections, along steep hills and other areas that could be hazardous. You could lose a lot of business if potential customers don’t stop because they fear getting struck by other traffic.

When selling on city streets the most desirable locations are those that take advantage of both automobile traffic and pedestrians. You should try to find a spot in an area of heavy pedestrian traffic as well as vehicle traffic. Business will usually be better when people are on their way home. If you know which side of the street is the ‘going-home’ side, that’s where you should set-up.

Operating a flower vending business allows you more flexibility than many other businesses have. You won’t have to stay in one location, if it proves unprofitable. You can move around as often as it takes to find the locations that afford you the most success.

You may have to experiment in the beginning. Simply keep a record of the number of flowers sold at each location and the number of hours at each spot. From these records you’ll be able to determine the most satisfactory locations for your business. You will also have a better idea as to the actual inventory you need so you can cut down on the amount of excess that results in spoilage.

HIRING PERSONNEL

In order to be successful in the flower vending business, it may be necessary to hire help. If that’s the case, not just anybody will do. As the owner/manager of the business you will have to hire people who are right for the job of selling flowers. Although this may seem difficult, there are some guidelines that many flower vending businesses follow quite successfully.

Students and people seeking part-time jobs are the most likely candidates for employment in the flower vending business. Your interviews with such prospective help should be designed to ascertain if they are trustworthy and dependable. You also need salespeople who are outgoing, enjoy interacting with other people, and who are well-motivated.

In most cases, if you are selling flowers in restaurants, attractive young women are the best salespeople. Usually these women are dressed in a costume that serves to identify your business. The most basic sort of identifying costume, or dress, would be a white blouse and dark skirt. As the business ‘blossoms’ you may want to invest in more elaborate costumes depending on the image you want for your business as well as the particular restaurant theme.

Usually, an employer can find adequate part-time help simply by placing a catchy ad in the help-wanted section of the classifieds of the local newspaper. The ad should allude to making ‘good money’ for ‘enjoyable’ part-time work. Response to the ad should be such that you can be selective in hiring the help you need. You should also get excellent response with an ad in college newspapers. And you can try placing the ads on school bulletin boards to elicit even more response.

Once you begin interviewing prospective employees, it is imperative that you have them fill out an application form and supply you with at least three references. And don’t just read the references — check them out. You should know as much as you can about your help before you hire them.

Once hired, make sure all employees know exactly what their duties and responsibilities are, as well as their salaries. You should also plan to review each employee’s performance on a regular basis. These reviews, or evaluations, should be shared with your employees so they will know how they are doing and how they can improve, if warranted.

DAY-TO-DAY OPERATIONS

Operating a flower vending business does not require hours of strenuous physical labor. However, that does not mean flower vendors lead a life of leisure. With any business there are demands that require time and effort. The flower vending business is no exception. You and/or your employees will need to be well organized from the time of preparation until the day’s selling is done.

Preparing flowers for sale is an essential part of a flower vendor’s work day. In order to be salable, your flowers must appear fresh and colorful. Also, every bouquet you plan to sell must be arranged in an appealing fashion. Therefore, you should allow enough time for preparation so that the job is done right. But, don’t overdo it. If you spend too much time on flower preparation, you could be cutting into valuable selling time.

The actual preparation phase should take as little time as possible without sacrificing quality of work. To be as efficient as possible with your preparation time you should organize the process. You can do this in a step-by-step manner.

First of all, you should plan to remove many of the thorns from each rose stem. About half of the thorns, beginning at the bottom of each stem, should be removed. Then, you will need to clip a small portion from the bottom of each stem. This will allow the flowers to absorb water and retain their freshness and color. You can do the clipping with a sharpened knife.

Once you have dethroned and clipped your roses, you will need to place them in relatively warm water. The water temperature should be about 105 degrees. You can leave them in the water for up to two hours and they will be refreshed and colorful when you are ready for the day’s vending. All your other flowers must also be properly cared for and prepared so that your entire inventory is appealing to your customers.

Your preparation process should not involve much ‘decoration.’ People buying single flowers usually won’t expect frills such as ribbons or bows. However, you should have such adornments on hand at your selling location in case some customers request them. It’s also a good idea to supply your sales team with pins, if corsages and/or short-stemmed flowers are part of your inventory.

Any bouquets you sell should be wrapped in tissue or green cellophane. Not only do the flowers keep better wrapped, they also appear more attractive and are more appealing as gifts. Unwrapped bouquets do not have a particularly neat appearance, and they probably won’t stay fresh and colorful as long as they would if wrapped.

How much time should all this preparation take? Well, most successful flower vending businesses spend no more than two to three hours a day buying and preparing flowers. It will probably take a new business a couple of months to become organized and experienced enough to cut buying and preparation time down to two hours per day. That will happen once you learn how to utilize the early morning hours, after the flowers have been purchased from the wholesaler, for preparation of the flowers and organizing your salespeople.

The best times to sell cut flowers, really depends on location. Street corner and roadside vending hours are most successful during the late afternoon and early evening hours when most workers are heading home. Most people are more apt to take the time to make such a purchase as flowers on their way from work than they are on their way to work. Weekends have also proven very successful for many flower vending businesses that operate all day on Saturdays and Sundays.

If you are selling in restaurants, the most profitable time will be during dinner hours. In some cases, lunch crowds will buy flowers, but usually the evening diners will be your best customers in a restaurant. Your salespeople should plan on up to three seating’s of diners each evening in a popular restaurant.

Between seating’s, your salespeople can canvass the immediate neighborhood for other potential customers, and then return for the next seating at the restaurant. This type of selling will take some practice and experience, but a good salesperson will soon learn how to make the most of his time and inventory.

It is important that you and your sales team be as poised and as professional as possible when selling at any location, especially in restaurants. In restaurants, a low-key approach is much better than an extremely aggressive sales pitch. Be polite and friendly, and utilize flattery as an effective tool. Approach the man in a couple and in a casual and friendly manner ask if he would like to compliment his lady companion with a beautiful flower. Most men will then buy a rose for their dining companions.

ADVERTISING

A flower vending business is unlike many small and part-time businesses in that the usual forms of advertising — newspaper, radio, TV, and so on — are not really effective. Since your selling locations may change from time to time, and since buying flowers from a flower vendor is usually done on impulse, you’ll need a more immediate form of advertising. It should be something that draws attention to your business as your customers approach your selling location.

For street corner and roadside vending, signs are the best form of advertising. All that’s needed is something to let potential customers know you are there, and that you are selling flowers. Seeing your sign, many people will act on impulse and stop to see what you have to offer.

The sign(s) should be hand-made rather than professionally painted. You don’t want to appear like a big business. And a hand-made sign will give the impression of a small, family-type operation which usually means more reasonable prices.

In some cases, a new business can get publicity from a local newspaper. If you are selling flowers at a restaurant, you can try getting such publicity by alerting the local newspaper. Most local newspapers use information of this sort as fill, and it could prove valuable to your business.

If, as part of a special promotion — a grand opening, or a special day such as Valentine’s Day — you will be selling flowers at a business location, send the information to the editor of your local newspaper. You may also want to include a picture of you and/or your sales people. The paper may not decide to run the story, but there’s a good chance they will. Either way, you have nothing to lose, and a bit of publicity to gain.

SUCCESS ANALYSIS

Eight contributing factors are measured on a 1 to 10 basis (with 10 being excellent) based on analysis of this opportunity.

1. Time Investment 7 2. Start-up Costs 9 3. Gross Income Potential 8 4. Net Income Potential 8 5. Income in Relation to Investment 10 6. Stability 8 7. Overall Risk 9 8. Potential for Growth 10 Overall Potential for Success 8.63

POTENTIAL EARNINGS

The profit you can realize from a flower vending business depends on several factors:

(1) The size of your market. Obviously larger metropolitan areas supply the greatest source of potential customers, therefore profits. However, your expenses in these larger markets will probably be greater, because of larger inventory needed and a bigger sales team to cover the market adequately.

(2) Good selling locations. Even if your market has a large selection of potential customers your profits will be, at best, minimal if you are not selling in the best locations to take advantage of impulse buying. You have something that practically everyone likes, flowers. But most everyone who buys flowers from a vendor does so on impulse. To be successful, a flower vending business must locate in areas of high-traffic, increasing the possibility of impulse buying.

(3) Consistently marketable inventory. If you try to sell flowers that are too old, wilted and faded, don’t expect to do much business. Make sure your entire inventory is always flower- garden fresh and attractive. Also, price your flowers at reasonable rates. That way, both you and your customers will be happy.

(4) A professional sales approach. Whether you are running a one-person flower business, with yourself as the only salesperson or have several salespeople, a friendly, low-key sales approach is essential. After all, you are selling flowers, not used cars. Most people who buy flowers from a vendor are buying them for a special person, and a friendly, non-aggressive salesperson has a good chance of making a sale.

(5) The size of your investment. This does not just apply to the amount of money you invest in the business. Your investment also includes the time and effort you expend on making it a success. As a weekend business, or operating on a daily basis, a flower vending business will require a certain amount of your time and effort above and beyond your monetary investment. The amount of success and profits you can realize depends, in large part, on how much you are willing to put into the business. Some flower vending businesses have reported netting as much as $175,000 a year. That kind of income usually requires a sales team of half-a-dozen or more people working in a large metropolitan area.

Smaller markets should expect a net profit of $10,000 to $20,000 per year. The thing to keep in mind is that there is always a large market for a flower vending business because flowers make personal gifts year-round. Obviously, some months featuring special days such as Valentine’s Day, Easter and Christmas will be better than others, but this is not a seasonal business. You should be able to realize a healthy profit every month.

Your initial investment can be as low as $300, or as much as $1,500, depending on what you can afford and the size of your operation. It will most likely take several months until you get adequately organized, and until you discover all the best selling locations. But within a year you should be realizing a nice profit with an efficiently operated flower vending business.

SUMMARY

A flower vending business is one of the best small businesses you can get into, if you are short on investment capital. Very little equipment is needed. You can use your own garage or utility room as a preparation area and for storage. And you can sell your inventory on location, from the back of your own car, van or pickup. You may want to invest in a business management course, if you are uncertain about your management knowledge. But no practical experience is necessary to get into this business.

The biggest expenses will be in inventory, which a good month’s sales will recover, any extra personnel you decide to hire, and in any licensing fees you encounter. Advertising costs for a flower vending business are extremely low.

Since flowers have universal appeal, there will always be a sizable market for a flower vending business. If you operate professionally, offering fresh, appealing flowers, establish a good business relationship with dependable wholesalers, find the best selling locations, and hire dependable, competent help, there’s every reason to be confident that a flower vending business can be highly profitable. Remember. You must “do what you love and love what you do!” I will let in to my other secret, my profitable “Rose-Express” drive up flower shops.

7 Big Ticket Copywriting Secrets I Learned from Ted Nicholas

I recently sponsored and attended Joel Christopher and Ted Nicholas’s Double

Birthday Bash and Interactive Marketing Summit in beautiful San Antonio, Texas.

There was a fantastic lineup of speakers including John Assaraf, Joe Vitale,

Brad Fallon, George McKenzie, Shawn Casey, Alan Bechtold, Tom “Big Al” Schreiter,

Brian Keith Voiles, Rosalind Gardner, and Sydney Johnson.

And, of course, both Joel Christopher and Ted Nicholas presented as well.

Don’t know who Ted Nicholas is?

Ted is a living legend in the offline direct marketing world. He’s considered

the “King of Print”, the “Copywriter’s Copywriter”, the “Entrepreneur’s

Entrepreneur” and the “GodFather of Direct Marketing”.

He’s known as the “4 Billion Dollar Man” because that’s how much of his own

products he’s sold using offline marketing methods.

Ted’s business card says: “I help people turn words into money“.

Anyway, it should be clear that Ted knows a lot about marketing and

especially copywriting.

Copywriting is simply selling with words. When someone reads the “copy” or words

of an advertisement or sales letter and is compelled to respond to the offer,

then you know your copy is effective.

I wanted to pass on some copywriting secrets I learned from Ted while I was at

the Double Birthday Bash. These secrets are taken directly from my notes so any

errors or omissions are mine.

Secret #1: Write the copy BEFORE the product is created!

Ted Nicholas says the smart marketer writes the copy BEFORE the product is

created.

Say, for example, you have a product idea. You should write the copy that sells

the benefits of the product even before you create the product.

There are two great reasons for doing that.

The first reason is that you get a much clearer idea of the focus of the product

from a customer perspective because you will be focusing on the benefits to the

customer in the copy.

Remember, people buy products that help solve their problems or give them

information that they need to solve a problem. By focusing on the benefits to

the customer, you can ensure that your product is really targeted towards

providing those benefits.

The second reason to write the copy first is to do market validation. In other

words, even if you’ve done some market research that indicates there is a huge

market, you can perform one final test using the copy you write first.

Even if people order your product you can tell them that it is not ready yet but

that they will be the first to be notified when it is ready.

If no one tries to order the product THEN don’t spend any more time on it! This

is the smart way to determine if a product is worth creating before wasting time

creating it! Especially for a Big Ticket product.

Also, if a ton of people order the product based on the copy then it is a huge

motivating factor to create a product that meets the expectations in the copy!

Secret #2: Headlines – The Most Important Item to Focus on when Writing Copy

When Ted Nicholas writes copy for a product, he has to look at the research, the

features, the claims and the benefits of the product – all before he creates the

copy for that product.

The first thing Ted writes are the potential headlines for the products.

Ted writes the headlines FIRST!

Before any copy.

Without the headline you are DEAD!

Because if the headline does not draw your reader’s attention and intrigue them

enough to read further, then they WON’T buy your product!

It does not matter if you have the most killer Big Ticket product in the world,

if people stop reading after the headline you have no chance to make the sale.

Spend 50% to 80% of your time on your headline and make sure that there are no

more than 3 ideas covered by the headline. Any more than 3 ideas is too

confusing to readers. And confusion causes readers to stop reading, something

you definitely don’t want.

One final tip on headlines: Studies show that 27% more people will read a

headline that has quotation marks around it because it indicates that someone

important said it. And of course someone important did say it – you did 🙂

Secret #3: Headline Generation Process

As mentioned in Secret #2, when Ted Nicholas writes copy for a product, he has

to look at the research, the features, the claims and the benefits of the

product.

As he goes through this process, he lists all the benefits of the product on 3×5

cards. He lists one benefit per card and uses as many cards as required to list

all the benefits.

Once Ted has all the benefits down on the cards, he reorganizes the benefits in

order of highest impact.

The strongest or best benefits are used in the main headline for the sales copy.

Many of the other benefits become sub headlines for the copy. Any others that

are left over are often used as bullets in the body copy.

So this process is extremely useful not only for creating headlines but making

sure that all the benefits are covered somewhere in the body of the copy itself.

With Big Ticket items and their higher price tags, it is crucial to make sure

all the benefits are covered. The more benefits you can point out in the copy

the more you move your reader away from their natural skepticism towards the

value that your product can offer!

Secret #4: Copy Flow is Key

Ted Nicholas brought up a quote that many of the top copywriters agree on:

“Copy can never be too long. Only too boring”.

What this means is that you must engage your reader and keep them engaged

throughout the copy of your sales letter or advertisement.

If your potential customer loses interest at any point and stops reading or puts

your copy down there is a good chance that they will never come back and finish

reading.

Your Big Ticket copy needs to cover all the benefits and possible objections

that your potential customer might have. That means its going to require a lot

of copy to cover everything. So you must ensure that your copy flows and that

they keep reading.

Here’s what Ted had to say about the flow of copy and what makes good copy:

  • Keep your paragraphs short and only cover 1 idea per paragraph.
  • The best way to test the flow of your copy is to read it out loud. If it doesn’t flow naturally when you read it out loud then chances are doesn’t flow. Change the copy until it does.
  • Have a student in Grade 7 or 8 read the copy. If any of the copy is hard for them to read then you need to rewrite your copy. You want the copy to be easy to understand.
  • Great writing is about rewriting. It makes it clearer and simpler, removing unnecessary words and loaded with emotion. That is when the writing is truly great.

Secret #5: Buying is Emotional

Almost all purchasing decisions are emotion driven. When we buy something, we buy it because of how we think it will make us feel or because we think it will solve a problem for us and make us feel better.

We may come up with all sorts of other rational reasons why we should make or made the purchase but the core reason is always an emotional one.

The last bullet in Secret #4 says that great writing is clear, simple and loaded with emotion. It appeals to our emotions.

So, when you write or read a good sales letter, you need to look at the copy and ask:

What is the emotional feeling you get when you read the sales letter?

Is it Hot?

Exciting?

Important but boring?

Or just plain boring?

Any parts of your copy that are in the “Important but Boring ” or “Just Plain Boring” categories you need to rewrite or get rid of those sections.

Why?

Because those sections are the ones where your potential customer could choose to stop reading.

You never want them to stop reading!

Ted Nicholas also said:

“If you can’t cry, you can’t write copy!“

It takes great strength to admit your feelings.

It’s also vitally important that you can relate on an emotional level to the situation of your potential customers. The more you can emotionally experience where they are coming from the better copy you can write.

Secret #6: Trust

When people know you, trust you and love you they will buy from you forever.

If you ever betray that trust, you will lose your customer forever.

In copywriting, never try to trick your potential customer with misleading copy and then switch topics.

They can detect that, will feel deceived and will not read your copy any further. You have lost the sale.

So when you sell someone a first product, make sure you astonish them with the first product because you want to win their hearts and minds!

This is especially true of Big Ticket products.

Secret #7: Avoid These Common Copy Mistakes in Your Sales Letters

Here is a list of the most common mistakes you must AVOID in your sales letter or advertisement:

  • No headline – You must have a headline. It is what catches your reader’s attention and makes them want to read you copy.
  • Few subheads – People tend to read in two ways. They either read your whole letter or they scan it. If they scan it you want to have lots of sub headings to catch their eye and interest and make them read at least those sections.
  • No guarantee – Always include a moneyback guarantee with your offer. The longer the guarantee period the more credible your offer.
  • No P.S. – Always use a P.S. on every letter you write. If people scan a letter they will usually read the P.S if nothing else. The P.S. should re-emphasize the strongest benefits and restate your offer.
  • No signature – Always sign your letter. It’s more personal.
  • No free bonuses – Free is one of the most powerful words in the human language. Providing free bonuses enhances the already great value of your product offering. In some cases, the right bonuses might convince someone to buy your product just to get the bonuses!
  • Logo on the letterhead – Your logo is about you, not about your customer. It’s just one more distraction from your sales message. If you must include a logo put it at the bottom of the letter.
  • No close – Make sure you give specific instructions on what you want your potential customer to do. If you don’t tell them to buy your product and exactly how to do it then the won’t.

And that’s it for 7 Big Ticket Copywriting Secrets I learned from Ted Nicholas. I hope this helps you improve your own copy.

Or, if you need help with your copy, at least hire someone who knows and follows these secrets. It will be worth the money you pay them to get more sales with great copy.

Copyright (C) 2005 Chuck Daniel, Like Magic Marketing, LLC — All Rights Reserved.

Best Kept Publicity Secrets of the Big Red Envelope

Two years back I interviewed a self publishing millionaire who had sold 500,000 copies of his Special Effects Cookbook, and had a great way of getting free publicity.

Here is what he said ..

“As the author of a cookbook, I’ve been on full page in the food section of a Newspaper – full color. The whole first page is my face and my story and all my contact information. And if you get a big story in Boston or LA or Chicago or New York, millions of people are going to see that.What do you think happens when a full page comes out in a big city like that?”

I’ll tell you what happened to him…

When a full story breaks in a big city like that, you sell a lot of books! And he did!

As a self-published author, publicity becomes your new best friend. And in most cases, there’s no perfect time to launch a publicity campaign for your self-published book. You do it pretty much all year long.

He began sending press releases by mail during a time that email wasn’t as prominent, but even now, email and just doesn’t work as well. Neither does fax. Instead, direct mail is the way to go. There are special ways to do direct mail. You put your press release in a big red envelope and you use a magic marker for your return address and you just write in big letters all over it so that this envelope really looks special. I’m talking a big red envelope, 8 x 10, #10. You can get them at Staples.

Just be outrageous. Like the guy who wears a red suit, he walks into the room and you’ve got to see him.

So you send your press release out in a big red envelope and with a black magic marker you just write the guy’s name in big black letters. Use a couple of stamps, and hand-write the address. You only need ten a day.

He sent out hundreds a year for his book. You can do a little bit every day so that you get that constant flow of interest from TV, radio or newspapers, lastly of which can work the best because you can get a write-up; usually a full page.

He puts an 800 number in the press release, and a computerized system where it’s all automated that can handle 10,000 calls simultaneously. Calls can come directly to you from the press release.

The way a press release works and looks is that if you have to follow a format. At the very top of the press release, the upper left hand corner, you just type in for immediate release.On the other side, right across from that, you say for further information, contact… and then you’ve got to have your name and your office phone number. You can leave a number with an answering machine, but I don’t recommend that. You want to handle all the media contacts yourself.

The person who calls you is usually a journalist and they have an editor. And the whole point of writing a press release in the format that I recommend is that you’re not selling anything. You can’t sell anything with a press release. Make them look good with your story. When they go to their editor and they say “hey Mr. Editor, I found this great story”…. it makes the editor look good, so you let him write and let him sell it for you. It works like a charm. It really does.

If you want to see your sales skyrocket, put together a publicity campaign that will get you noticed. Be Unique. Let them know there’s no one like you out there. Use his advice on using this big red envelope. It works.

10 Secrets For Writing Killer Complaint Letters

Complaint letters aren’t always fun, but sometimes they need to be written. In many cases, if people don’t complain, the problem agency at fault (i.e. company or government) won’t even know that the problem that you and others may have experienced even exists.

Ultimately, legitimate complaints, by even a few people, can (and often do) result in better service for everybody. Not only that, writing complaint letters can be personally beneficial too!

That’s right. Writing complaint letters can be an empowering and therapeutic experience! It allows one to take action instead of playing the role of a victim and “nursing” an ongoing resentment towards a company about poor service or treatment received. Once the complaint letter is written and in the mail one can “let it go” knowing that one has done something tangible and constructive about the situation.

Not only that, but properly written and handled complaint letters get action!

After I started writing complaint letters, I began receiving gracious letters of apology and contrition from senior executives including bank vice-presidents and VPs of marketing for giant corporations.

Getting those in the mail, felt one heck of a lot better than “polishing” an ongoing resentment and getting even angrier the next time something bad happened. Sometimes I even get discount coupons and free merchandise!

THE 10 SECRETS

Here are some strategies I have learned for writing complaint letters guaranteed to get attention and action.

1. Write To The Senior Person Responsible

It is important that you get the name and detailed mailing address of a very senior person responsible for the product or service that you are complaining about. I generally try to write to the V.-P. level. Never go below Director level if you want a serious response. Name and address information can be obtained from the organization’s Web site or by calling the company and asking for the name and title of the senior person who you should write to.

2. Don’t Send An E-Mail

When it comes to sending a serious complaint letter to a company or the government, don’t send an e-mail, regardless of what it may say on their Web site. E-mails are usually handled dismissively by low level “customer service” people. If you want serious attention and action, the formal written complaint letter is the only way to go. When it arrives in the VP’s office (yes, by snail mail!), it triggers a bureaucratic process that ensures that the right people will see your letter, and will act on it.

3. Keep It As Short As Possible

Preferably no longer than one page, two at the most. When drafting a complaint letter there can be a tendency to go on and on just to make sure the recipient gets the point. Keep it as short as possible, but without diluting the facts of your message too much.

4. Give It A Heading For Identification

Place a heading at the top of the letter with information that the company or agency will relate to, such as your account number or customer number. Make it easy for them to find you on their computer filing system.

5. Clearly Explain The Situation

Make sure that you give all of the specific details needed so that the company or agency can verify your claim without you having to get into an endless game of telephone tag with them. Include specific dates, times and places, as well as the names of people you dealt with. If you’re not sure of these details when composing the letter, call them back and ask for the specifics. (You don’t have to say it’s for a complaint letter).

6. Use A Positive And Respectful Tone

I have found that the best approach is to use a positive upbeat tone. Remember, you are writing to a senior person who probably sympathizes with what happened to you. Your tone should convey the message that you are the innocent victim and you understand that the company wouldn’t have done such a thing deliberately.

7. Send Copies If Appropriate

There can be cases where it is wise to send a copy of the letter to other parties just to make sure that you will get some serious action. For example, in a case where you have been told to write to the Regional Manager of a program, it is often a good idea to make sure that someone in head office also gets a copy. I sometimes send a copy to customer service or customer relations offices at the national level.

8. “Shame” Them As Much As Possible

Companies that claim and advertise high levels of customer focus and service do not like to be criticized in those areas. If you have a strong case that makes them vulnerable in one of these areas, use as much ammunition as you can to embarrass them in these sensitive areas. Modern marketing terms such as: customer relationship management (CRM), one-to-one marketing, most valuable customer (MVC), and customer-centric focus, all tend to get their attention. Also, using such terms makes you sound like an authority.

9. Imply You Might Take Your Business Elsewhere

I always do this near the closing. Companies don’t like to lose customers, especially long-time customers. Senior marketing people are well aware that study after study has shown that it costs five to seven times as much to recruit a new customer as it does to hold on to an existing one.

10. Ask For An Early Reply

In the closing paragraph of your complaint letter, state specifically that you are expecting an early reply. Make sure that you follow-up by phone or e-mail if you have heard nothing in three weeks. Some companies will send you an acknowledgement letter stating that they are working on your case and will get back to you within a week or two.

Use the above strategies and you are sure to get action from your complaint letters. And, don’t forget the old truism “the squeaky wheel gets the grease”!

To see a fully-formatted “real-life template” of a letter of complaint, go to the following link:

http://writinghelp-central.com/complaint-letter.html

© Shaun R. Fawcett

The Secrets of Starting Business Successfully

Starting Business Secrets will help you to start your own business successfully.

The American Dream is, and always will be, to come up with an idea, start a business and become rich from your own efforts. Based upon this motivation, thousands of businesses fail each year, due primarily to not being familiar with the basics involved in running a business.

This report will enlighten you, and give you a number of suggestions you can use to better guarantee your chances for success. This report is written with the warning that any and every business venture contains certain inherent risks, and any number of alternatives. We do not espouse that any one way is the right way or that our suggestions are the only way. On the contrary, we advise that before investing any money in a business venture, you seek counselling and help from a qualified accountant and/or attorney.

Just about the first thing you should consider before deciding to start or purchase a business is the legal form you’ll be operating under. There are basically four choices: sole proprietorship, partnership, limited partnership, and/or corporation.

Each has a number of advantages and disadvantages. We’ll try to enumerate some of them for you.

As much as anything else, for many people starting a business is a form of ego-gratification, and they form a corporation for some sort of prestige gain – just to say, “I own a corporation.”

With just a little bit of observation, you’ll find that one of the major causes of business failures is due to the founder wasting start-up capital on frills, such as an impressive store- front office, expensive furnishings, and corporate legal costs.

One of the basic traits you must develop it you’re going to be successful in business, is a tight hold on your expenditures. In fact, a good rule of thumb is that anything that does not make money for yo or protect your investment, should not be purchased at this time. Very definitely, this applies to the expense of setting up your own corporation.

Unless you have a partnership and start your business as such, the only real advantage to forming a corporation would appear to be that a corporate structure will semi-protect the property you personally own.

As an example, you own a home and car. You form a corporation to protect these possessions from business losses. Yet, if you can be found guilty of misusing corporate funds, your business creditors can pierce the corporate shield and come after your possessions.

Basically, if you invest everything you have in your business, as most newcomers do, you don’t usually need a corporation because you have nothing to protect. Your household possessions, personal belongings, generally your car, and even a portion of the equity in your home is protected by the homestead provision of the Federal Bankruptcy Act, and cannot be taken away from you.

As a sole proprietor or partner of a business you’ll be paying taxes on your overall earnings, much the same as if you were holding down a salaried or hourly paid job. Whether you do or don’t take out money as a salary will have no bearing on the earnings of your business and tax return.

The often advertised advantage of incorporating, that you can manipulate your salary in order to save on tax dollars, is real because of corporation laws. However, the IRS frowns on this practice. When your business is successful and making a lot of money, definitely check with your accountant on the advantages of incorporating.

As a corporation, you’ll be subject to a number of other drawbacks as well: generally higher state taxes, stricter laws concerning the operation of your business, more elaborate accounting procedures, and legal papers that are required just about every time you make a major move or sign almost any contract. Thus, your legal and accounting fees will be much higher as a corporation than will those required for a sole proprietorship type of business.

As a sole proprietor or partnership, you’ll find many areas require the registration of your business name. The cost however, is minimal, ranging from $5 to $100. About the best way to find out what laws apply in your area, is to call your bank and ask if they need a fictitious name registration card or certificate in order for you to open a business account.

Selecting a name for your business is quite important to you and particularly relative to advertising. Your business name should describe the product or services you offer. Fancy names such as, Linda’s Clipping Service will lose potential “walk-in and passing” customers to the beauty shop across the street that calls itself, Patti’s Beauty Salon or Jane’s Hair Styling Shop.

The advantage of using your full name in the title of your business, such as Johnny Jones’ Meat Lockers, has the advantage of making credit somewhat easier to come by – provided you pay your bills on time – but it also includes the disadvantage of confining your services to a local or at most, a regional area.

Should you buy, lease, or rent a space for your business? think twice before you make any decision along these lines. Most businesses tend to grow quickly or they never get off the ground.

There are a few exceptions, but only a very few, that tend to grow at a modified rate.

So, buying a piece of property and setting up your business on or within that property, obligates you to ownership regardless of what happens to your business.

Leases are almost always very strong contracts written by attorneys to the advantage of the property-owner. When you sign an agreement to pay someone for the use of their space over any length of time, you’re “nailed in” to paying for that space regardless of what happens to your business.

In the beginning, it’s wise to either get the shortest-term lease possible, or arrange to rent with an option to lease at a later date. This does not apply to a retail business, unless your particular business happens to be an untried one.

Definitely, you should open a business bank account. In selecting a bank for your business, scout around and look for one that can, and will help you. Determine what your banking needs will be, and then via telephone, interview the managers of the banks in your area. The important convenient bank to your business location.

A point to remember: the closer you can make the relationship between you and the bank manager, the better your chances are going to be for approval on loans and/or special favors you may need at a later date.

Try to become acquainted with as many of the bank employees as possible. The better you know them, the more courtesies they’ll be extending especially to you in the course of your association.

Just as a doctor is a specialist in his field, and you go to him for medical problems, your banker is a specialist in his field and you should go to him for your money problems. In business, you’ll have to learn that everyone is an expert in his own line of work, and in your associations with other business people, refrain from acting like a “sharpie” and/or pretending that you know exactly how everything works in someone else’s specialty.

You’ll find that very often, different banks specialize in different types of businesses. As an example, you’re sure to find banks that specialize in real estate transactions, export- import businesses, and even manufacturing operations only.

What I’m saying here is that if you’re planning to sella fairly expensive item, your customers will probably need and/or want financing. It will behoove you to select a bank familiar with your type of product that will afford your customers, through you, contract financing.

Some of the questions you should ask of your banker include the following:

Is it necessary to maintain a certain balance in your account before the bank will approve a loan for you? What qualifications must you have in order to obtain a line of credit with the bank?

Does the bank limit the number of loans, or types of loans it will approve for small businesses?

What is the bank’s policy regarding the size of a check you might deposit that requires holding for collection?

And what about checks less than that amount – will they be immediately credited to your account?

In almost all types of businesses, it will be to your benefit to set up with your bank, a method of handling VISA, Master Charge, and regional credit cards. The important thing here is to ultimately set up your account in the bank that will service all of these credit transactions for you – one stop for all your banking needs. In most instances, you’ll find that having the capability to fill orders/make sales via credit card transactions, will increase your volume of sales appreciatively.

Once you’ve made the decision as to which bank is going to handle your account, you’ll need your Social Security Number or your Federal Employer’s Identification Number, your driver’s license, the fictitious name certificate, and if you’re requesting a VISA or Master Charge franchise, you’ll also need a financial statement.

For corporations, you’ll also need a corporate resolution approving of the opening of your business account.

There are different policies exercised in just about every state regarding installation/hook-up charges by the telephone and utility companies. Some require a deposit, and some don’t.

You’ll find that a great number of city business license departments are there solely for the purpose of collecting another tax. Depending on the type of business you’re asking a license for, the building and zoning people may inspect your premises for soundness of structure and safety. Generally, you won’t encounter any difficulties – you simply pay your fee to operate your business in that city, and the clerk types your name onto a city license certificate.

Relative to sales tax permits and licenses, each state’s rules and regulations very widely. The best thing to do is call your state offices and ask for information concerning registry and collection procedures. Many states require an advance deposit or bond, and you’ll find that some wholesalers or manufacturers will not sell to you at wholesale prices until you can show them your sales tax permit or number.

Should your business entail selling your products or services across state lines, in another state, you’re not required to collect taxes except in those where you have offices or stores.

You may find also that your particular business requires the collection of Federal Excise Taxes. For information along these lines, check in with your local office of the Internal Revenue Service.

Some states also require certain businesses to hold state licenses, such as those required in many states for TV Repairmen.

These are known as “occupational permits” and are most often required of barbers, hair stylists, real estate people and a number of other consumer oriented businesses. If you have any doubts, check with your state offices for a list of those occupations that require licensing.

Any business doing business in any type of interstate commerce is subject to federal regulations, usually through the Federal Trade Commission. This means that any business that shops, sells or advertises in more than one state is subject to such regulation, and this includes even the smallest of mail order operations.

Normally, very few business people ever have and contact with the federal regulatory agencies. The only exceptions being when there is a question of your operating your business unethically or illegally.

Any business that sells or distributes food in any manner almost always requires a county health department permit. If your business falls into this category, simply call the county health department and invite them out to your place of business for an inspection. The fees generally range from about $25, depending on the size of your business when they first inspect it for permit approval.

There are also a number of businesses that require inspection by a fire marshall, and fire department approval. Generally, these are those that handle flammable materials or attract large numbers of people, such as a theater. Overall, the local fire department has to be allowed to inspect your premises whenever they desire to do so.

You may also run into a requirement for an air and/or water pollution control permit. These specifically apply to any business that burns anything, discharges anything into the sewers or waterways, or use any gas-producing product, such as a paint sprayer.

Without a doubt, you’ll need to check on local regulations relating to advertising display signs. Each city or township makes its own rules and then enforces those rules according to its own thinking -check before you contract to have a sign made for your business.

The design and placement of your sign is very important to your business – specifically to retail establishments – but let me remind you that your business sign is usually the first thing a potential customer sees and as such, it should catch his eye and leave an impression that lasts. It would be a good idea to ride around your town and take a look at the signs that catch your eye, and try to determine the impression of the business that sign leaves on you. This is a basic learning formula for determining the design, size and placement of your business sign.

Some of the other things to consider before opening for business – If you intend to employ one or more employees, you’ll be required to deduct Federal Income Taxes, and Social Security payments from their checks. This will involve your filing for a Federal Tax Number and necessitates contact with your local IRS Office.

Most states have “unemployment taxes” which will have to be deducted from the paychecks of any employees you hire. And there are a number of states that have income taxes – disability insurance – and any number of other taxes. Again, the best thing to do is check with your local office of the IRS. And above all else, don’t forget to ask for the rules of the minimum wage law, and comply.

When your business grows to the point of needing additional help, don’t be afraid to look for and hire the help you need. when you’re ready to hire someone, simply run an ad in your local paper and/or register your needs with the local office of your state’s employment service. Businesses either grow or die, and those that grow eventually need more people in order to continue growing.

When that time comes, hire the additional people you need, and your business will continue growing. If you don’t, for whatever reason, you’ll find yourself married to your business and your business growth stymied.

Regardless of how small your business is when you begin, never walk in with the thought in mind that it’s something to keep you busy. Anyone with an attitude of that kind is a fool. You begin and make a business successful in order to realize financial freedom. Establish your business. Put it on its feet, and then hire other people to do the work for you. And those businesses that require an operations manager, or someone to run a phase of the business you’re too busy to handle, hire the person needed or the business will surely suffer.

To protect the investment of your business, you need business insurance. If you’ve never had any experience with business insurance, simply look under the heading of “business insurance” in your phone directory. Ask for bids from several different companies or agents…Primarily, you should have a policy that gives you general liability, fire, workmen’s compensation, business interruption, and vehicle coverage. You amy also want coverage against possible losses related to burglary, robbery, Life & Accident, Key Man, and Fidelity Bonds.

As the sole proprietor of a business, you won’t be paid as an employee, so there will be no income tax deducted from whatever you withdraw from the company’s earnings. What you’ll have to do is a gain check with the IRS Office for a Tax Guide For Small Businesses Handbook, and probably end up filing an estimated tax return on a quarterly basis.

The minute you open your doors for business, you’ll have to spend some time engaged in the work of bookkeeping. Exactly how, and using what forms, you keep books, should be on the recommendations of a good tax counselor…The same holds true for your overall business and/or payroll accounting system. Look for an experienced CPA that knows the accounting problems to your particular kind of business, and solicit his advise/counseling.

If your business is going to involve the possible purchase or lease of operating equipment, again seek the help of your tax counselor for the most advantageous method of obtaining the needed equipment.

Basically, arranging for your suppliers to give you materials on credit will depend upon your honesty and personal financial statement. The best way is usually a personal visit to the person with the power to approve or disapprove of credit at the company where you want to set up a credit account. Show him your financial statement, and explain your prospects for success. Then assure him that you’ve always honored all of your obligations, and that if ever there’s a question or problem, you’d like for him to call you at home. And of course, give him your home phone number.

We won’t go into the exigencies of advertising your products, services or business here, but there is something along these lines you should always keep in mind. The best kind of advertising your business can receive is that you don’t really pay for – publicity.

When something unusual happens to you, your business, or your employees – that’s news, so be sure to tell the news media in your area about it.

The most important ingredient of your eventual success will be the soundness of the planning you did before you started your business. Any number of bad things can really throw your business into a tailspin, but it you’ve done your homework well – really set up a detailed business plan before starting – your losses or setbacks will be minimal. Success takes planning, and within this report, you’ve got a basic checklist…The rest is up to you…Good luck, and may your life overflow with success in all that you undertake from this moment forward.

LinkedIn Traffic Secrets – 5 Simple Steps for High Quality Daily Buyer Traffic


Don’t chase after traffic. Discover where the traffic is already going and get in front of it. Then redirect the traffic where you want it to go, directly to your profit centers.

Get Your Wisdom Right Here

So many online entrepreneurs chase after traffic. Even veteran online entrepreneurs get caught up in this potential trap.

Chasing after traffic is especially dangerous for the beginning online entrepreneur. They throw money after traffic by buying traffic before they know what they are doing.

This can lead to lots of money going out with nothing to show for it.

Listen. I’m not against paid traffic. I use it.

I just strongly recommend that you create a proven system that takes a new person from prospect to customer before you pay for traffic.

Especially since there are so many great ways to get high quality buyer traffic for

Let’s Look at This the Right Way

Your mindset about traffic is critically important. When you view traffic the right way you are much more likely to do traffic the right way.

Before we talk about what the profitable traffic mindset is, let’s talk a bit about what it’s not.

Profitable traffic is not a one time event.

I hear this often as an excuse for not being successful with traffic online.

“Well, I tried to get traffic like they said. I create a (fill in the blank) to get traffic and nothing happened. This traffic stuff doesn’t work!”

This traffic stuff does work, it just might be you didn’t work it right.

Driving consistent, evergreen buyer traffic is a life long task. I’ve been at this full time for almost 10 years now. I still make creating new traffic one of my daily revenue generation rituals.

The correct view is for the long haul, getting immediate, long-term and evergreen buyer traffic.

While looking at traffic the wrong way is one of the common traffic mistakes, there are 3 other big profitable traffic mistakes you need to be aware of and avoid.

Mistake #1

As with lots of online success, there’s this myth about traffic. The myth goes something like this:

“Well really good traffic is for those people, and I’m not one of those people.”

On the surface it’s the magical thinking that profitable traffic and the success that comes with is just something that magically happens to a chosen few. And you are certain you are not one of the few.

This is at best a glorified excuse for failing, even for not trying at all.

At worst it’s a story some are committed to believing, because they are very committed, almost wed, to the notion that success is for other people, not them.

The reality is that every single one of those people who are enjoying successful traffic started with ZERO TRAFFIC.

Then they got the first person, then another, and then another and so on. They were willing to do the necessary things and work for the traffic they said they wanted.

Implement the correct and current strategies for building traffic, work at it, and you’ll enjoy lots of evergreen buyer traffic.

The bottom line is that building traffic works when you work, and when you work it right.

Mistake #2

Here’s another big profitable traffic mistake: relying on only one source of traffic.

Many entrepreneurs do this silly thing around many issues in business. This mistake is so prevalent in fact that master marketer Dan Kennedy has said:

“The worst number in business is 1.”

Back when I was a therapist in private practice I build many sources of referrals, which is the same as traffic offline.

When I started writing a weekly relationship column for the local newspaper that quickly became nationally syndicated my practice exploded with referrals. I was full with a waiting list and was filling up the practices of colleagues as well.

It was very, very tempting to stop nurturing other long term traffic sources and to not build any other sources of referrals.

Knowing the worst number in business is “1” I continued to nurture all my other traffic/referral sources and build new ones as well.

I wrote that weekly column for the local newspaper for 10 years. When that column, a major referral source, ended I was not panicked or affected at all because I had continued building additional sources of referral.

The bottom line online is you want to make building traffic a life long daily pursuit so that you have multiple streams of traffic coming in from multiple sources.

Mistake #3

Once you get good at generating consistent traffic it’s very easy to believe you can then go do the rest on your own.

And you will be able to do some.

The reality is that the profitable traffic game online is ever changing. It’s really too much to try to keep up with on your own.

For this reason and many more I will always have a coach and always be a part of a mastermind. I always want to have another set of trusted eyes on my business.

Other people whom you trust can always see the things you can’t see, simply because it’s your business and you can get too close to be able to see all your options.

The bottom line for you is to always have trusted eyes on the traffic generation part of your business.

The Power of Profitable Traffic

Remember when I said don’t chase after traffic, find out where the traffic is going, get in front of it, and then re-direct it exactly where you want it to go?

And where you want it to go is your profit centers like your blog, your opt in pages, your product resource pages as well.

The 3 types of traffic you want to build are:

1) Immediate traffic

2) Regular traffic

3) Long-term/evergreen traffic

Results Now Mini-Workshop

Now let’s get you some traffic with your content, shall we?

The steps are simple really:

Step 1 – Choose a specific topic in your niche – Interestingly enough, the more specific you can make the topic, the more buyer traffic you will pull.

Cast too wide a net and the less high quality traffic you get.

Cast a specific targeted net and the more high quality buyer traffic you get.

Step 2 – Come up with the 3 most common mistakes most beginners make around that specific topic. These can also be mistakes everyone makes, beginners and veterans alike.

Step 3 – For each mistake talk about how the mistake is made and what it looks like, how easy it is to make. You want to avoid making your prospect feel bad for making this common mistake.

Step 4 – For each mistake include what to do instead. You are not giving away the farm here, just offering one small tip.

Step 5 – Include a call to action to visit one of your profit pages and get your content out on Social Media, your blog and LinkedIn.

Major congrats! You’ve just created and shipped an Evergreen Traffic Machine that will bring your immediate, regular and long term evergreen traffic.

Profitable Genius Tip

“An evergreen traffic machine a day sends buyer traffic your way.”

I promised you a “traffic genius tip” and here it is:

You want to make creating your evergreen traffic machines something that you do daily. While that may sound like a lot, when you see the results it will feel much easier.

As you’ll see ETMs come in all forms – some as simple, quick and easy as an info-graphic, along with some that take a little more time such as blog posts, articles and videos.

Building ETMs is one of my DRGRs – how’s that for alphabet soup?

Said another way – creating evergreen traffic machine to build waves of highly qualified buyer traffic is one on my Daily Revenue Generating Rituals. I recommend it becomes one of yours too.

The Secrets of Scientific Street Fighting

Scientific street fighting is all about understanding the human bodies physiological response to a fight and understanding the effectiveness of various street fighting strategies based on statistics.

Scientific street fighting may sound complicated but it’s not. It is actually quite simple. The best part is it is actually easier than learning a martial art. The key is that scientific street fighting eliminates showing difficult to do moves in favor of simple techniques that have a proven track record of success.

So here we go…

How Your Body Reacts To A Street Fight:

The first thing many people notice (and the most important things when it comes to fighting) is that your hands begin to shake. This is not a sign that you are scared; it is your body’s natural reaction to a life threatening situation.

What does this mean for scientific street fighting? It means that fine motor skills shut down, things like hand writing or complex martial arts moves (like joint locks that require several steps). This is critically important so pay attention.

Why in the world would your body shut down fine motor skills when your life is being threatened? The thing is your body sacrifices fine motor stills for increased strength and speed in gross (or large) motor skills. These are much more important things like running, jumping, punching, and kicking.

The key to scientific street fighting is understanding this reaction, and creating a fighting system that takes full advantage of your stronger and faster gross motor skills. Don’t even waste your time trying to learn complex moves your body simple won’t let you use in the heat of the moment.

The loss of fine motor skill is by far the most important part of scientific street fighting but here are a few more reaction that are pretty cool:

Your skin will go pale, because your body is restricting blood flow to the skin. This reduces blood loss from shallow cuts and scrapes you will likely receive.

To save energy you brain stops recording as many short term memories. This is why people often can’t remember exactly what happened after a disaster or fight.

There are a lot of other really cool things your body does to get you ready for a fight, but when it comes to scientific street fighting the number one thing to think about is focusing on gross motor skills.

Any move or technique that will work well in a street fight should be simple and easy to learn. In fact it should not take you more than a few hours to become proficient in any self defense technique.

I’m not saying you will master anything in a few hours, but you should be able to learn it well in this amount of time. If you can’t it’s probably based on fine motor skills that take tons of time to learn. These fancy moves are likely to get you hurt when you really need it.

Okay now for the scientific street fighting statistics…

The number one street fighting statistic you should learn and live by is that the average street fight last between 3 and 8 seconds. That’s right. No 5 minute street boxing scene from some movie, just 3 to 8 seconds of ugliness.

So if you are going to focus on scientific street fighting this means that you need to take care of business fast.

To further illustrate this point I like to use another statistic. The person who hits first is way more likely to win the street fight. If you haven’t figured it out yet hitting first means that for at least one or two of those 3 to 8 seconds you will be ‘winning.’

The last statistic is that after 12 seconds the fight will almost always go to the ground. Now most fights never get to this point. 12 seconds is a long time in a street fight, but if it does go that long it will go to the ground.

What does this mean for scientific street fighting? Well, first of all it means that you should try your best to end it in less than 12 seconds.

Going to the ground dramatically increases your chances of getting seriously hurt. I often tell people nothing good happens on the ground. You will get cuts, scrapes, lose skin on your palms, elbows, knees, and face, and don’t forget about having your head slammed into the concrete (and I didn’t even get to the part where bystanders or you attackers friends start kicking you).

Bottom line, try to end the fight in less than 12 seconds by hitting first, using gross motor skills, and dirty fight moves.

You should also realize that if the fight does go longer than 11 seconds you will need to know how to handle yourself on the ground. There are scientific street fighting skills that will dramatically improve your chances of winning on the ground but I’ll save that for another occasion.

Okay here’s a quick review of scientific street fighting:

  1. Don’t waste your time on fine motor skill moves, they won’t work in a street fight (This is not an opinion it’s a fact).
  2. Use gross motor skills like punching, eye gouging, ear slapping, head butts, kicks and only the simplest joint locks.
  3. Always hit first if you want to win a fight.
  4. Most fights end within 8 seconds so hit him with your nastiest barrage of attacks right from the start (using gross or simple motor skills of course).
  5. End a fight as fast as possible to avoid going to the ground.

For more scientific fighting tips check out my blog at Fightfast.com/blog.

Stay Smart and Stay Safe,

Bob Pierce

President, Fightfast.com

Secrets of Motivation

If you want to experience how motivated athletes are with the deck of physical athletic cards stacked against them, then attend a Special Olympics Championship. The athletes participate because they can, want to, and excel in multitude of different sports.

Ask any competitor, “Who won?”

They’ll respond, “We won.”

“Who had their best time?”

“We did.”

“Who’s going to win next time?”

“We will.”

Your rational mind’s inclination is to correct them and tell them otherwise but you would be wrong.

Every athlete at any Special Olympics event not only think they won, they know they won.

And they’re all right. They won qualifying to get there. Everyone wins in the experience because the Special Olympics organization, volunteers, and donors gave them the opportunity. Athletes arrived brave enough to run on the field, jump in the water, or balance on a beam. They competed with confidence, competence, and concentration to do their best among a few hundred of the best athletes in the state. They displayed class and sportsmanship beyond perceived normal comprehension of what is accepted and even encouraged on a professional big league field, court, or track where championships are broadcasted all over the globe.

The perfect sporting event occurred when the best, bravest and most positive attitude athletes at a Special Olympics Championship competed. Realize there are similarities between the Olympics and Special Olympics. Competitors arrive amped up, with extra equipment, and more coaches and team managers than weekend warriors. The differences are the Special Olympians leave behind their labeled handicaps of predisposed limitations and other public prejudices to put forth their best effort on the line.

In the Olympics, athletes tend to bring their limitations to the forefront when not living up to their own hype.

One swimmer, 10 year-old Hayes, was disqualified in the 25 yard breaststroke event. She changed strokes after falling behind two 18 year-old competitors. Hayes was on the verge of crying because she thought her dad was angry with her for the DQ. She also didn’t want to swim in her next race. I told her the most important thing was to participate and have fun. She smiled in relief and went on to her next race and tried her best to win.

These participants and coaches get to experience the same feelings as “normal” athletes who engage in sports through schools, clubs, and other athletic associations. This includes the discipline of learning new skills, training, teamwork, and the actual emotions of a competitively measured contest. We all learn that the most important measurements of the event are not the time or distances or heights achieved but the number of smiles displayed, pumped fists in the air, hugs awarded, and sighs of relief that the special athlete achieved something they were unsure of at the start of the event. All participants are winners for their involvement.

Volunteer at a local special recreation event. Donate time, money, and most of all the love of sport for all to enjoy.

Why did you volunteer at a Special Olympics competition or fundraiser? What did you learn from athletes you didn’t expect to experience? Did this help you approach future races differently?

Start a Home Based Business Online – Discover the Secrets

So you know that you would like to start a home based business online. But how exactly do you do it? And how do you avoid the many obstacles and pitfalls that many other entrepreneurs fall into. The answer all boils down to careful research. Whilst this may not sound sexy, it is an essential part of setting up your online business, and need not be dull once you get started.

Indeed a home based business that you can run entirely from the comfort of your own home, using only your computer and the internet, provides its own enjoyment and is the dream of many people, and with a few simple checks you can make this dream a reality. Let’s get started with some of the work you will need to complete.

Firstly you need to take a look at those particular markets with only minimal competition. Don’t go for too competitive markets, or you will get swallowed up. It’s better to be a small fish in a small pond, than a big fish in a large lake. Even looking at Google trends or the trends on twitter can give some interesting info for your home business. If people are talking about something, but you cannot find much catering for that area – then you have just found a potential market.

Once you can find products for a particular market, then you know it’s possible to make money in that market. Remember, nobody will be making products for any market that they cannot make a profit from. In other words take a look at what the professional marketers are doing, and if they are promoting a product, then you know that you can promote it with your home based business.

You do not simply want to start your online business without doing this simple research. If you do that you will be very likely to either target a market that’s way too competitive for a beginner, or you will target a market that does not have enough traffic to be profitable for you. This is the area in which most people that start a home based business online fail.

At this stage of the article you will begin to see certain common features between this and other articles on the subject of home based businesses. All of the guides to setting up an online will encourage you to conduct this type research in order to save time and effort on a venture that has little likelihood of success.

All of the guides will instruct you of the importance of finding profitable markets. You should not need to invest weeks or even days of effort to complete this stage of the research. In fact you really should be able to complete this stage of the process in just hours. A good guide will help you to identify target markets in as little time as possible. Time is money after all.

Then you simply need to search for wholesalers of dropshippers who you can source the products for your online business from. Ideally at this stage you should consider getting some help, as the world of dropshippers can be a nightmare. They seldom want to reveal their prices until you have paid them a registration f4ee. As you can imagine this can lead to you paying out money only to discover the prices they charge are uncompetitive, and you are unable to make a profit from them.

To really increase you chances of finding the right products at the right prices when you start a home based business online, I would recommend getting help from websites that exist primarily as wholesale or dropshipping directories.

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