Archive for July, 2010
What Type Of Company Should I Set Up?
When setting up your company you need to decide at an early stage how you intend to structure it. What type of company legally beneficial a Limited Company a Partnership Limited Liability Partnership or Sole Trader?
This decision can have both legal and practical implications so it’s an important decision to make. It’s advisable to seek individual advice before you commit yourself to any of the four basic options:
Limited Company
A limited company is where shareholders members or owners have limited liability to the company’s debts. Their liability is restricted to the value of the shares that they own or the guarantees that they signed up to. This could be as little as 1.
A limited company is a separate legal entity. It can sue and be sued and will continue to exist even if the members or owners die or resign. It can only be folded if it is wound up or struck off the register by Companies House.
In return for these benefits limited companies are governed tighter rules and regulations than partnerships or sole traders. Among other things they are obliged to:
File annual accounts and returns at Companies House facing penalties if they are late.Appoint at least one company director and a company secretary and face criminal prosecution if they fail to.They have to use the word limited in their company nameNotify any changes to members officers or registered office address.
Partnership
A partnership is a business arrangement where 2 or more people usually up to a maximum of 20 are in business together to make a profit. A partnership agreement has no limited liability of debts as partners share the business costs profits and debts
Limited Liability Partnership LLP
The Limited Liability Partnership LLP came into operation on 6 April 2001. It is a new legal business structure that aims to combine the flexibility of a partnership arrangement with the benefits of limited liability. The main differences between a limited company and an LLP are that that the latter is taxed as a partnership rather as a corporation and that it has more organisational freedom. An LLP’s duties in return for the limited liability status are similar to those applying to limited companies.
Sole Trader
A sole trader is someone who is in business on his or her own account. They are self employed and personally liable for any debts the business incurs.
It is imperative that you work out which of these four options is right for you as it has wideranging implications. Often the decision will be forced on you by the rules of the business you work in or your personal circumstances. For example a solicitor or accountant planning to set up his or her own law or accountancy firm is in effect forced to be either a sole trader or in a partnership. This is because the law currently does not allow solicitors or accountants to limit their liability and therefore will not allow them to form limited companies.
You may like the independence that a sole trader has to offer or you may wish to limit the risk you are taking by opting for a Limited Company or LLP. Either way you need to consider the decision carefully and should seek specialist advice from your solicitor or accountant.
About the writer:nbsp;nbsp;Chuck Tourtillott and his wife Michelle are entrepreneurs in network marketing home business.You may contact them at:chuckandmichelleusana.com or visit their websites at http://www.robertallenroadtowealth.com http://www.robertallenwealthbuilder.blogspot.com
What Is Residual Income-Overview?
Residual income is income that you earn monthly. Instead of just getting a one time affiliate commission from selling a product you will get a monthly commission from the sale. Residual income can be from affiliate programs as mentioned or from network marketing opportunities. It can also be from recurring sales of a product that a customer needs on a regular monthly basis.
Different ways to get residual income:
Google Adsense: these are small text or image ads that you place on your website. When a visitor clicks on them you will earn a commission from Google.. You just have to put the code on your website and Google will handle the ads. They will always be targeted for your site and visitors.
Membership site: You can pick up a monthly income from just one promotion. For example you do marketing for your membership site and get several buyers. You will then be able to get a monthly income from this one promotion. As more members join you will then get a larger monthly income that will just keep growing.
Affiliate residual income: you can join affiliate programs that are monthly subscriptions like the membership site mentioned above or software like autoresponders. As long as the customer continues to pay the subscription you will get the commission.
2 tier Affiliate income. When you join affiliate programs be sure that they are 2 tiered. This means that you can collect affiliates under you and make commissions from them Of course this will not be very much at first but it can add up. The trick is to gather a large amount of sub affiliates and join multiple 2 tier affiliate programs.
Network Marketing and MLM: There are 2 ways to get a residual income with network marketing and MLM businesses. Firstly you will be able to get commission for selling the product. If it is a monthly supply you can pick up a commission for reoccurring sales. Secondly you will receive commission from your team members’ sales. You can amass a good residual income from this.
All these residual incomes can be obtained by an initial promotion and some have none at all. In this way you will gather increasing amounts of monthly or residual income. This will require very little effort after the initial push and you can therefore consider these methods to be passive residual income. This is the pinnacle of success in your business to make maximum profits with minimal effort time and money.
So try out some of these ways to make residual income today. It is important for your business to have as many ways of making residual income as possible. This will snowball your profits and help you to develop your business faster. Also try to find sources of residual income that will require the least amount of effort so that they will eventually become good passive income. Start with the easiest ones first then work up to the ones that require more marketing and skills.
About the writer: Zach Thompson is a 23 yearold network marketer marketing consultant. Why Residual Income?
Web Marketing Strategy: Why Small Businesses Often Fail Online
Over the past few years many small businesses have made the leap to the Internet. They’ve found some success in the traditional sense and decide they can take that success to a new level by developing a website. Yet after a few months they discover the Internet isn’t what they thought it was. And they start looking for solutions. Does this sound like you?
Most businesses fail online because they don’t use their website as a marketing tool. They design the site once and expect it to bring in leads over and over again year after year. Yet a website is meant to grow and change just as you change your business with new products and new promotions.
Did you know the standard website has 8 pages of content and will never grow beyond those 8 pages? Yet the number one way to reach your prospects and potential buyers is through content.
A standard 8 page website is a great place to start but don’t stop there. It’s time to build and create a site that attracts clients to you. Consider these 8 reasons to continue building on to your website.
1. Depth. People like investigating and being able to discover more resources. Multiple pages allow people to drill in deeper to your site.
2. Resource. What makes your site valuable? People bookmark sites that have a variety of benefits and solutions. Add pages to your site to keep people better informed.
3. Power. A powerful site lets people take action. What can you do to direct people to your pages that allow people to take action?
4. Selection. When you head to the mall do you buy the first thing you see or do you look through a variety of stores to find the best deal? A variety of pages on your site allow a visitor to sort through your material and confirm they are getting a great deal.
5. Value. Can a visitor on your site learn something new? Can they see themselves in your message and have you provide the solution? The more value you portray the better your chance of creating the sale.
6. Influence. Sometimes you can persuade people to take action by your stories graphics and messages. The more personal your site becomes the more people will look up to you as the expert.
7. Copy. Sometimes it isn’t the amount of pages that has influence; it’s the copy. Does your copy speak to your audience? Does it motivate them to take action? Don’t be afraid of the long sales letter pages if it’s appropriate for your business.
8. Professionalism. Is your site a sales team? Look at the message your site construes. Would you buy from you?
About the writer: Having and running a Home Base Biz can be fun and very profitable.
