Business Information for Entrepreneurs by an Entrepreneur

Before you choose a phone system for your business, it is a good idea to identify your needs. You want a phone system that is suited for your current needs, as well as one that is scalable for your future growth.

Only after you have a very clear picture of what you absolutely need are you ready to start shopping and making decisions. When you are weighing the positives and negatives of each system, you'll be able to eliminate any that don't meet your requirements. Here are some helpful things to consider when thinking about phone systems:

Growth & Technology. Think about a system that can handle both traditional telephone lines and the new internet lines such as those offered by Vonage. Being able to support the internet lines can save your business a lot of money, especially on long distance fees, while still allowing you to rely on the established infrastructure of the old phone system. A phone system that can grow with your company is the wisest option.

Maximizing on Quality. Find a system that will allow you to increase your maximum number of lines and will let you add other features as well. Be careful to pick a phone system that will support your voicemail needs. One expert recommends at least 15 to 30 minutes of storage per user to prevent overloading you system.

Cheap standard CD players are simply not enough for waiting music, as they won't last longer than a few weeks before breaking down. If you invest in a higher-quality CD player with disc changing technology, you'll actually be saving yourself money and a headache.

Finally, choose a system that is compatible with any phone so you don't need to spend $100 for the receiver in your storage room.

Each business is an organic entity and will have unique communication needs. Keep this in mind and don't let a salesperson try and sell you on a one size fits all quick fix. Don't be afraid to make a concrete list of needs and let several different vendors present a package to accommodate you. This is a great way to shop for the best price, as well as test the waters in what to expect in the way of customer service.

The state of the economy has frozen plans for many people and businesses. Setbacks have become commonplace, and individuals and businesses have been forced to wait for the economy to rebound. Thankfully, there is some good news for seekers of small business loans! The market appears to have made a recovery into figures just shy of the numbers seen before the recession, and experts are saying the resurgence is largely unrelated to government programs designed to produce such results.

Pre-Recession Levels

Before the recession, many small business loans given by banks were quickly sold to investors in bundles known as "asset backed securities" (ABS) on what is known as the "secondary market." While small business loans are a relatively low risk investment, a problem arose when they were regularly bundled with mortgages and other loan types. When the housing crisis hit, the bottom fell out of the ABS market, which is why lending for small businesses slowed down quickly.

Government Intervention

The government sprang in to action with a $200 billion plan to subsidize incentives for investors to buy up asset-backed securities. The only problem for small business loans was that investors were primarily interested in auto and credit card loans, leaving small business loans with a very small piece of the proverbial pie. Small business loans are typically just not as attractive because they don't provide as large of a return.

Today's Small Business Credit Market

Even though the government plan was only helping small business loans minimally, the market still has seen a nice recovery. One reason is obviously that the credit markets have begun to stabilize. Another is that new investors are starting to participate that have a less classical view of the marketplace. This is music to the ears of potential loan recipients.

Banks still aren't handing out money the way they did previously. A loan applicant is still bound to face a lot of resistance, but the recovery of the secondary market should be something that will grease the wheels in moving forward. Maybe you won't have to put your dreams on the back burner for as long as you thought!

The nature of small business includes a myriad of risks. After all, no investment can escape the inevitability of the risk-to-reward ratio.

There are many different types of risks in small business, and depending on the owner's level of risk tolerance, a company may face more risk than security. Here are three of the key risks that small business owners often make, as well as tips on how to reduce them and protect assets.

Risk #1: Not having enough cash in hand

Small business owners often fail to make the grade when it comes to cash flow management. They rely so heavily on business lines of credit, investors and credit cards that it's hard to see where the actual dollars are. One contingency measure to combat cash flow problems is determining how much money the business actually has and planning for the worst. Asking certain questions can help address cash flow issues. What if the biggest client suddenly stopped buying? How long could the business last if no more revenue was generated? What expenses could be cut in a crisis? Simply asking these questions is enough to start developing a contingency plan.

Risk #2: Not aligning insurance with the business

Insurance is complicated, but it's one of the best ways to protect against adversity. Often times, business owners fail to align their insurance policies with their actual assets and risks. This is especially true when changes arise in the business (i.e. moving to a new location, purchasing new equipment, etc.). Make sure to change your insurance policy when you make a significant change in the business.

Risk #3: Relying too much on one person to manage critical business functions.

Small businesses often feature small numbers of employees. A serious risk is relying too heavily on one person to take care of pertinent functions. If one person in the company knows how to do payroll, and that person is injured seriously in a car accident, it creates a significant problem for the business. Cross-train employees and make sure that no one person becomes indispensable.

Addressing just one of the above issues can significantly reduce the level of risk in your small business. Tackle all three, and you will have a business that is fortified against adversity.