Our Current Newsletter: Nov. 3, 2009 is below.

ECL Consulting, LLC

E-Newsletter

accounting and cash flow solutions for successful companies

In This Issue

Staff Contact Info

November Tax Deadlines

Changing Business Direction - Four Steps to Consider as You Chart a New Course

I Received a Letter from the IRS. What do I do?

Getting Organized

Remember to schedule your FREE meeting with us to see how we can save you time and money!

(520) 241-0371

info@eclconsulting.com

ECL Staff Contact Info

Each of ECL's staff members can be reached directly. You can also call 520-241-0371 to leave a message for any staff member.

Our central fax number is

1-520-843-2092.

Please make sure you dial the "1" and the area code, no matter where you're dialing from.

Eli Larriva:

520-241-0371

info@eclconsulting.com

Carol Rundle:

520-721-6868

carol@eclconsulting.com

Susie Guthrie:

520-638-6738

November Tax Deadlines

November 2

Employers - Social Security, Medicare, and withheld income tax. File form 941 for the third quarter of 2009. Deposit any undeposited tax. (If your tax liability is less than $2,500, you can pay it in full with a timely filed return.) If you deposited the tax for the quarter in full and on time, you have until November 10 to file the return.

Certain Small Employers - Deposit any undeposited tax if your tax liability is $2,500 or more for 2009 but less than $2,500 for the third quarter.

Employers - Federal Unemployment Tax. Deposit the tax owed through September if more than $500.

Employers - Income Tax Withholding. Ask employees whose withholding allowances will be different in 2010 to fill out a new Form W-4.

Employers - Earned Income Credit. Ask each eligible employee who wants to receive advance payments of earned income credit during the year 2010 to fill out a Form W-5. A new Form W-5 must be filled out each year before payments are made.

November 10

Employers - Social Security, Medicare, and withheld income tax. File form 941 for the third quarter of 2009. This due date applies only if you deposited the tax for the quarter in full and on time.

November 16

Employers - Nonpayroll withholding. If the monthly deposit rule applies, deposit the tax for payments in October.

Employers - Social security, Medicare, and withheld income tax. If the monthly deposit rule applies, deposit the tax for payments in October.

Getting Organized

As a small business owner you wear many hats. With all the rewards and responsibilities of ownership, it's no wonder that paperwork often falls to the bottom of your list, along with organizing your office, work flow and schedule.

If you want to eliminate misplaced paper files, know exactly where you put that document on your computer, have a clutter-free path to your desk, and remember important deadlines and appointments every time, contact us to put ECL's Organizing Solutions to work for you!

Better yet - call us BEFORE you get stuck to free up your time & start saving money!

Dear Client/Friend of ECL Consulting,

Changing the direction of your business - including altering your product or service offering, selling to a new market or opting for new distribution channels - is no mean feat and requires significant planning and organizational buy in. See the article below for advice on changing direction and achieving success in the process.

ECL Consulting, LLC's Business Coaches work with business owners and managers in the areas of business management, administration and strategic planning to maximize the potential of the business and help owners realize their dreams. By coaching you through every vital part of your business, we help create the plan, inspired action and measurable results to achieve your vision.

Changing Business Direction - Four Steps to Consider as You Chart a New Course

The risks of changing business direction are high. Small business owners who do so often find themselves back in start-up mode, running the risk of incurring the financial and emotional stress associated with starting up for the first time. They also run the risk of confusing customers and employees.

Nevertheless, if you have reached the point where diversification has not worked, or your business model simply isn't working for you anymore, how do you start going about a change of business direction?

Here are some steps to consider as you redirect your business acumen and investments into a new venture.

1. Understand what Went Wrong in the First Place

Before you embark on a change, step back and honestly assess the state of your current business and the reasons for your need to change direction.

If economic conditions prevailed, question why and how your competitors managed to ride out the tough times. Get feedback from both your customers as well as your employees - even your suppliers can give you insight that may be valuable.

You can also get useful objective feedback from online community forums where consumers objectively comment on local businesses (restaurants and food service industries are commonly reviewed on discussion boards), or find out what is being said about your business or competing businesses in the press or by independent bloggers.

ECL has expertise in evaluating the successes and challenges of your business to help you make informed decisions as you move forward in a new direction.

2. Research and Plan Your New Venture

Since changing business direction is high risk, prior planning and research are a must. Take time to prepare a documented business plan that outlines your new direction, goals and plans to achieve them. Then share key points with your employees and investors. Remember to revisit and fine tune the plan regularly.

ECL prepares thorough, effective business plan for new ventures and new business directions.

3. Prepare and Engage your Employees

Proper planning also includes preparing your employees for a change. Remember, employee morale is likely to suffer significantly from even the most minor of business changes, and short of closing the business down, shifting its direction and implementing sweeping changes could be counter-productive for all involved.

Instead try to change direction slowly. This may involve the gradual introduction of a new service, or the launch of a new business name, followed by the decommissioning of legacy offerings or distribution channels.

Above all, keep your employees in the loop. Oftentimes they are the eyes and ears of the business and if the new venture is not going to plan, they may be the first to spot it.

ECL helps businesses effectively communicate changes to their employees and partners so the transition is as smooth as possible.

4. Tackle the Legal Ramifications of Changing your Business Direction

If you have structured your business as a sole proprietorship, you will only need to worry about letting your state or local government know about your new business name (if you choose to change it). This involves filing and releasing your existing "doing business as" name (DBA) and filing for an additional DBA. The government provides clear information about this process here.

If your company is structured as an LLC, corporation or other formalized business structure, changing the direction of your business and running a new line of business through that entity is a little more complex. Each state has different laws that determine whether you will need to file any additional information about your business changes other than the business name registration form (DBA).

In some instances you may need to get a new Employer Identification Number (EIN). Read more about business structures and the tax ramifications of operating or changing a formalized entity here.

If in doubt, check your articles of organization and state's business registration Web site to see what laws apply in your locality.

Lastly, check whether any local zoning laws will restrict your new business direction and be sure to obtain the right licenses and permits to operate legally. You can easily do this using Business.gov's "Permit Me" tool, which allows you to get a listing of federal, state and local permits, licenses and registrations you'll need to run a business.

ECL provides expert advice on the business and tax ramifications of changes to the direction or focus of your business including assistance with filing necessary forms, recommendation on changes to your business structure and application for any new licences that may be necessary.

Based on an article by Caron Beesley.

Contact ECL Consulting, LLC today to schedule your initial consultation with a Business Planning Coach and start building an effective plan for your business!

Ask An Expert

Q: I received a letter from the IRS. Help!

A: Every small business owner will receive a notice, request or letter from the IRS. Usually, there is nothing to be concerned about, but letting that letter sit unopened on your desk can create a problem that could easily have been avoided.

Here are eight things every taxpayer should know about IRS notices - just in case one shows up in your mailbox.

Don't panic. Many of these letters can be dealt with simply and painlessly.
There are number of reasons the IRS sends notices to taxpayers. The notice may request payment of taxes, notify you of a change to your account or request additional information. The notice you receive normally covers a very specific issue about your account or tax return.
Each letter and notice offers specific instructions on what you are asked to do to satisfy the inquiry.
If you receive a correction notice, you should review the correspondence and compare it with the information on your return.
If you agree with the correction to your account, usually no reply is necessary unless a payment is due.
If you do not agree with the correction the IRS made, it is important that you respond as requested. Write to explain why you disagree. Include any documents and information you wish the IRS to consider, along with the bottom tear-off portion of the notice. Mail the information to the IRS address shown in the upper left-hand corner of the notice. Allow at least 30 days for a response.
Most correspondence can be handled without calling or visiting an IRS office. However, if you have questions, call the telephone number in the upper right-hand corner of the notice. ave a copy of your tax return and the correspondence available when you call to help us respond to your inquiry.
It's important that you keep copies of any correspondence with your records.

ECL Consulting, LLC offers a unique service to help you take the fear out of these situations and rest easy, knowing you understand what is expected and you can move forward with your business. ECL will review the notice & explain to you in clear, understandable terms the content of IRS and state notices, letters and forms, and assist you in compiling the information requested.

Ever have tax, QuickBooks or accounting question, but didn't know who to ask? Now you can Ask An Expert. Send us your questions and we'll answer it here.

Have you enjoyed this newsletter? Have any suggestions for things you'd like to see covered? Have a question for our resident Accounting Expert? Let us know by emailing askexpert@eclconsulting.com. Each issue will cover different topics and have different features, so watch for us every other Tuesday.

Remember, we provide accounting and cash flow solutions for successful companies -- yours!

Sincerely,

Eli Larriva
ECL Consulting, LLC
(520)241-0371
info@eclconsulting.com

We value your feedback!

Have any feedback about this email or our new website? Please Contact Us with your questions or comments and we'll be happy to extend a free 1 hour consultation to all new clients!

Know anyone who could use ECL's services? When you refer someone who becomes a client we will give you either $25 off our services or a gift card to one of many great local businesses. *Please see Referral Rewards on our website for more information.