Archive for the ‘retail revenues’ Category
Friday, June 24th, 2011
a letter from Inland Revenue, claiming that my employees didnt tax me enough for these 3 years and I owe them around £ 4200, which they intend to collect from my wages during next 12 months, but if they do this, I will have no money on living, whats the way out?
You need to go and talk to Inland Revenue at their local office. Maybe that way you can come to some sort of agreement. However, I feel that you will have to repay what you owe, whether your fault or the employers.
Posted in retail revenues | 5 Comments »
Tuesday, June 21st, 2011
A Tax is an enforced contribution which helps the government in various services such schools, utilities, public health care units and laying of roads. Taxes, which are levied by various entities of government, are present in different forms. The most common among them are indirect and direct taxes. Direct taxes are those that are paid to government directly through income taxes which are paid yearly. Indirect taxes refer to those which come from purchase of goods from retail revenues. There are different rates of taxation fixed by the Federal government; but the counties and states can fix their own tax rates depending on the various public works that need to be done in the state.
The history of taxation takes us to prehistoric times. It’s known that the ancient Egyptians were the first to introduce a tax system .Livestock and goods were the modes of tax as currency was not widely used. Tax were given based on their type of work and individuals who were unable or refused to pay, were punished. References to taxes also date back to European history where every product from window to even bread was taxed. These taxes helped the soldiers in gaining victory in wars by affording the expenses spent to buy weapons.
Taxes are always paid in the form of percentage though there are many other methods followed. These percentages vary according to the entity that decides them. Indirect taxes reach the government more quickly as people pay the tax along with the purchase of the goods. The retailer, on calculating the amount of tax payable to state and federal government, pays them to appropriate office of revenue. Taxes related to real estates and other property is paid on yearly basis. Individuals and retailers who don’t pay taxes are viable for imprisonment and stiff fines by the government.
Taxes have proven to be an important part in the history of the world. There is almost no country in the world that doesn’t have a contention with their current tax system’s and when this controversy over tax system occurs ,the people protest saying that the tax rate is very high or question as to whether these taxes are utilized properly. As a matter of fact, it was the taxation of tea which lit the fuse for America in gaining independence. In addition to that, these taxation issues have served to be the most sorted topic for politicians. Whether or not taxes are helpful, large amount of things depend on these tax systems. It is this intricately structured tax system that helps the citizens to get the basic needs provided by the government.
Abhishek Agarwal
http://www.articlesbase.com/taxes-articles/taxes-fundamentals-and-basics-708552.html
Posted in retail revenues | 9 Comments »
Monday, June 13th, 2011
With most of the developed economies either in, or heading for a recession, can now really be a good time to start a franchise business in Australia?
Firstly, recession in Australia is not by any means a certainty and even if it does happen, it seems that it will be less severe and have a faster recovery than most other economies. But still, bad times are bad times, is it wise to start a business in less than ideal conditions?
The answer to that is unique to each person that asks the question, but generally speaking, if most of the other factors influencing your decision are still positive then you shouldn’t let a weak economy dissuade you from taking the plunge.
Of course there are some cautions. Go through your business plan again (the real one, not the one you did for the banks!) and analyse how well you will fare with reduced revenues. Quite possibly it may simply mean a slightly longer period before you hit break-even.
If your funding isn’t already in place, you might find it harder to secure a business loan, at least for the next few months until the banks have sorted through some of their woes and a sense of stability returns to the financial markets again.
There are plenty of factors that will work in your favour if you go ahead with your business start-up plan.
Firstly, talented people should be much more available and for less expensive wages than at any time during recent years. If you are looking for partners, there will now be a pool of people just like you who are looking for an opportunity, people who realise how fragile a career in the corporate world can be and are looking at ways to take more control of their future. Some up these may have received a retrenchment package or be cashed-up through prudent savings. Not many potential investors are going to trust the financial markets or fund managers any time soon and this ought to make investing in a franchise a much more attractive proposition.
It will be easier to negotiate a lease and get the rental significantly cheaper than it was just a few months ago. Office renovation and shop-fitting expenses will be cheaper, as will perhaps any new or second-hand equipment that may be required for the new business. Consider using the services of a “virtual office” which can handle everything from answering telephone enquiries to secretarial services to basic book-keeping. Most of the time your clients won’t even realise they are not talking to one of your employees and you may find that the level of professionalism they bring to your business helpful in the start-up phase.
Buying a franchise as distinct from creating your own unique business, adds a level of safety that should not be underestimated. Franchises that have been around for a while have already weathered economic downturns in the past and have proven strategies in place to see it through this one as well. If the franchise is relatively new, the creative minds and determined personalities who founded the business are probably still at the helm and you can be sure they are not about to let their business fail.
All the usual advantages of a franchise apply. Franchisors have the buying power to negotiate the best prices on raw materials or ingredients while franchisees have a good knowledge of their customers and their neighbourhood and stand to profit from the trust and familiarity of the franchised brand.
When choosing a franchise don’t underestimate the newer arrivals in the market. Although their brand may not have the instant recognition of the market leaders, often their artwork, advertising and business models are as equally professional. People are naturally curious about a new brand and if it looks interesting and their logos and catch-phrases have appeal, they are likely to give it a try.
Do the same yourself. First test each franchise you are considering as a customer, evaluate the product and make an assessment from this perspective. Next talk to as many franchisees as possible. You should be able to arrange this through the franchisor. Add to this your feelings about the branding and the business concept. Although more caution is warranted with a new brand, you may find it a much easier franchise to buy into compared to a more expensive established one and if it grows quickly, being one of the pioneers should bring greater rewards. Don’t be afraid to negotiate. If the franchisor feels that you are the right person you may be able to get a substantial discount, or a deferred payment scheme of some sort. Explore these alternatives openly an honestly with the franchise sales team. An eagerness to negotiate doesn’t mean you you are coming from a position of weakness, if done professionally it could demonstrate that you have a mind for business and that could work in your favour.
Look at what is happening in other states. Does a new car wash franchise in Perth seem to be taking off? Are there any in Sydney, yet? Or does that new juice bar franchise that started and grew quickly in Melbourne have similar take-up rates in Adelaide? How well would it be accepted in Brisbane or the Gold Coast? If it is the retail sector that you are interested in look around your local shopping centres. Which businesses are doing well? Which ones are under-represented? Does this represent a niche that could be successfully filled by your new business?
Remember, when things are going well, people assume they will keep going well, when there is a recession, people fear the worst and wonder if it will ever end. Now may well be the best time to put the contrarian principles into action and become established during times of economic weakness, get the bugs ironed out and be well positioned to benefit from the good times just over that next hump.
Michael Tunstill
http://www.articlesbase.com/business-articles/is-now-really-be-a-good-time-to-start-a-franchise-business-in-australia-715200.html
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Sunday, June 5th, 2011
There is something common about Allied Irish Bank, Bank of Ireland and Anglo Irish Bank ? All these banks are struggling with their balance sheets and revenues. In such a scenario, you would find that some element of external assistance is welcome. A 10 Billion Pounds making a bailout plan is something all these banks were waiting for!
Anglo Irish Bank is one of the biggest banks, that is seemingly poised to be taken over by one of the other two banks.
Couple of months before, the Government had planned for a fiscal revival. As on date, you would find that the Government has somewhat been pushed back on the agenda.
The 10 Billion Pound was seemed to a good enough amount to rescue the fortunes of the banks. But what really happened over time is ? This amount has not been good enough for these banks to survive!
The stocks of all these banks were supposed to hit a new high. But quite the converse happened this time around. The stocks of all these banks hit an all-time low on some of the subsequent days.
There have been a lot of plans laid by the Government trying to finalize the lending norms for the financial institutions.
Anglo Irish Bank is poised to have a change at the top. The change is expected to come through Richie Boucher, the head of retail financial services for Bank of Ireland. He is been seen as a guy who could take over the role of Chief Executive Officer of the AIB.
What is one big problem for the Anglo Irish Bank? Well ? For most struggling banks now, assets is something they need. The story is not any different for the AIB with it requiring 2.6 Billion Pounds.
The Bank of Ireland seems to require an injection of 3.4 Billion Pounds and the AIB may require an injection of about 3.9 Billion Pounds.
EBS and Irish Nationwide is seemed to be set for a merger. This merger would bring together two societies and needless to say, a financial turnaround is on the cards for sure.
It has also emerged that distressed Irish banks will have to pay the Government a premium of 10pc per annum to avail of the new ?10bn rescue fund.
It is widely believed that the stakes in AIB is pretty low this time, with seen erosion in the capital some days ago. This possibly has also resulted in having a fix on the sale value of AIB.
The announcement coming from the government could have resulted in some kind of cheer with the banks. In fact, the 11th hour news from the government seems to have bought in more gloom for these banks.
It remains to be seen how the bailout money would be spent on the banks. In fact, ask most financial experts and this is one question that they fail to answer. It remains a suspense, which can only be revealed with time.
Mallabraca, a private US Equity firm, for now does not seem to show any interest in the Anglo Irish Bank.
Gen Wright
http://www.articlesbase.com/credit-articles/big-3-irish-banks-to-survive-as-separate-entities-694615.html
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Saturday, May 21st, 2011
If I open a bake shop and give away product to attract customers do I deduct it’s wholesale value or it’s retail value? I mean I would just be losing out on the wholesale cost, but for taxes or projections do I also factor in the lost revenue that I would make from it’s retail value?
One is the real cost to put them out there, the other is lost income, so do I list the lost income?
I’m asking from a perspective of doing taxes, as well as for how it would apply to doing business plan projections.
Thanks in advance for your time.
My initial answer wasn’t clear. I wanted to change it so it makes more sense. First I will assume that you are in the US.
All the items you buy for your business are expenses. Ingredients included. If you were to give away your product you would not need to deduct anything for taxes as your initial purchase of the ingredients counts as loss.
You will still want to keep track of all your expenses and profits on a balance sheet, but you will not be able to take a second deduction from the product you give away.
Everyone does a balance sheet differently. Just make sure it’s clear enough for you, your accountant and your bank to understand.
I would suggest having an internal report showing sales vs giveaways to see if your marketing campaign is effective, but that would really only be for your benefit. To know where the money is going.
Hope that helps!
Posted in retail revenues | 3 Comments »
