SMALL BUSINESS OUTLOOK AND FORECAST
Survive and Thrive in the Economic Downturn
THE REALITIES OF THE SMALL BUSINESS WORLD IN THE SECOND DECADE OF THE 21st CENTURY
You will find that many of the ideas and tools presented on this website may not necessarily be mainstream, but instead will tend to be somewhat contrarian, and may not be “politically correct”.
The Obama Administration as well as The Main Stream Media (ABC,NBC, CBS, CNN, MSNBC ETC.) are all assuring us that it’s all behind us and the Small Business Outlook is rosy.
Remember the real estate collapse (both residential and commercial), wall street meltdown, mortgage derivative debacle, banking disasters, lack of financing for small business, and a multitude of other problems? Well Team DBO sees things a bit differently. If you’ve been paying any attention at all you have seen that absolutely nothing has been done by the Federal Government to help the Small Business Community.
In fact just the opposite. Tons of new regulations to make it almost impossible to stay in business. On top of this you’ve got the roll-out of ObamaCare, the biggest burden ever imposed on small business.
Already most businesses are laying off employees or cutting back their hours.
But there are also opportunities if you can take advantage of them.
At this point in time many of your competitors are facing bankruptcy or going out of business. So if you can place your business in position to take advantage of the many opportunities available, your company will emerge a winner.
In addition to the many challenges of making money, there is also the challenge of trying to hold onto that money.
With a federal government strapped with ever-increasing and already enormous debt and many state governments on the verge of bankruptcy (or already in bankruptcy i.e. Detroit), tax collection efforts by the IRS along with other government entities are becoming very aggressive.
The challenge for your company is in holding onto the money you are making without giving it all up to the government in taxes.
As of January 2010, IRS internal audits had located an annual revenue collection shortfall of $300 billion per year. The IRS believes that the shortfall is coming from the smaller businesses and not from the large corporations. They are primarily targeting the sole proprietor (approximately 67% of small businesses) filing taxes on a 1040 Schedule C return.
By IRS statistics, if you operate your business as a sole proprietorship, you are 300% more likely to be audited by the IRS, compared to a corporation or LLC.
IS THIS YOUR BUSINESS ?
Small Business Outlook
The IRS is also monitoring filings with independent contractors involved — from both the employer and independent contractor standpoint.
Small Business Outlook and Forecast