Facts About Small Business

Everyone agrees on a broad level that small businesses are vital to the American economy. However, most people would be surprised to know just how important. The United States Small Business Administration keeps records and statistics on small business in the United States and some of their findings are surprising.

First, the typical perception of a small business as a mom and pop operation with just a few, if any, employees is not the entire picture. The Small Business Administration defines a small business as an independently business with less than 500 employees. There are an estimated 23 million businesses in the United States that meet that classification. In some smaller towns in the United States, these businesses represent a major source of employment.

In fact, small businesses as defined by the Small Business Administration represent 99.7 percent of all the employers in the country and employ half of all private sector employees. More than 45% of the private sector payroll is generated by small business. Over the last decade small businesses have accounted for 60 to 80% of all new jobs created on an annual basis.

Although a large percentage of small businesses are in the retail and service sectors, small businesses are rapidly making gains in the technology sector. 41% of high tech workers like engineers, scientists and computer programmers are employed by small businesses. Employees at small businesses produce 13 to 14 times more patents than those employed by larger companies.

The Small Business Administration also offers some interesting observations on small business survival. Two-thirds of small businesses survive for at least two years declining to 44% after four years. Most of the factors that support a small business surviving are well known, such as access to capital and owner’s education level. However, a lesser known factor in small business survival is that the business is large enough to have employees.

Similarly, barriers to starting a small business include lack of access to start-up capital and lack of education. However, the number one barrier to small business start up and a primary concern of existing small business owners is access to private health insurance. Individual health insurance for sole proprietors is much more expensive than receiving coverage through an employer. If a small business owner is able to offer health insurance to its employees, the administrative and premium costs are often much higher than those for larger businesses.

Get Bad Credit Small Business Loans without Credit Worries

Small businesses are flourishing everywhere. You also are thinking of starting a small business so that you are no more dependent on a particular salaried job. Since you do not have enough funds at hand, you have decided to take a small business loan. Your bad credit however may be an impediment. This scenario is common to almost all the aspiring business people. Well, the remedy is in bad credit small business loans.

With the bad credit small business loans in your hands, you can utilize it for any business purpose like buying an office space, furniture, hotel, retail shops and even for clearing debts. Bad credit small business loans cover all business persons coming from different financial backgrounds. But the loan is especially designed for bad credit borrowers.

Bad credit is a big hindrance while asking for a loan. But business person with bad credit can easily take bad credit small business loans, especially if you have a property to secure the loan for the lender. Secured bad credit small business loans are provided on the basis of a property of business person that is put as collateral with the lender. The advantages of collateral are many. First and most important advantage is that on securing the loan, lenders do not look much into bad credit. This is because in case of payment default, the lender can recover the loan on selling the property. Secured bad credit small business loans have lower interest rates attached to it which goes a long way in strengthening the business. With lower interest rate business person reduces burden of paying higher monthly installments. Also secured bad credit small business loans come with greater amount in case you want to expand business. Moreover the repayment duration of secured bad credit small business loans is larger which enables in spreading installment amount to more months and reduces the monthly outgo. This means you can save money for other business usages.

Unsecured bad credit small business loans however require extensive credit checks and assurance to the lender that the loan will be safely paid back. Since there is no collateral involved in the loan offer, it is a risk free loan for the business. But lender needs to cut risks for himself. Lender will offer you an unsecured bad credit small business loan on seeing your repayment capability. Your surplus amount after paying for expenses and debts is considered as your real repayment capacity. So if you borrow an amount which can be comfortably repaid, lenders will readily give you an unsecured bad credit small business loan.

While applying for bad credit small business loans, take note that the more there are possibilities of the business generating a substantial income, the easier it is to take the loan. So make sure that your business earns sufficient income. Some businesses take time to establish themselves. In that case the business person must have adequate finance for repaying installments till the business starts earning sufficiently.

Compare as many bad credit small business loans providers as possible on internet. Compare their individual interest rates and terms-conditions for selecting the suitable lenders. Bad credit small business loans surely are available in an easy and hassle free manner. Pay off the loan installments regularly to escape debts and this way you can improve your credit score as well.

A Closer Look At Small Business Accounting Software

Whether it is a multi billion dollar corporation or a newly set-up small business accounting software is more than a mere convenience. It is absolutely crucial for any business, irrespective of its size. For with no proper accounting software, companies can find themselves unable to meet the mandatory compliance issues. Furthermore some others could even experience multi billion dollar financial fraud of the kind Enron and their like that have made very popular. More than the big corporations, it is smaller businesses that need professional accounting software. Since most of them are carry out small-scale operations and often too small to be able to pay for the services of a full time accounting professional, in fact they depend more on small business accounting software than their big counterparts. And through years, as an increasingly number of people have taken the entrepreneur way, small business accounting software has become a large industry in its own right.

Firstly what do you know about small business accounting software? Basically small business accounting software, as the name suggests, is accounting software specifically prepared to cater to the needs of the small business. Small businesses have their own specific requirements, specific needs, specific tax calculation structures and even specific sops. Small business accounting software hence combines these specifics into consideration to build or work out a special small business accounting package that such businesses could use. Small business accounting software also guarantees that firms with restricted manpower resources don’t have to spend in the hiring costs of expensive accountants to manage their records.

A number of small business accounting software available today are relatively easy to use, simple and cover a host of complex options. Previously small business accounting software was not so popular because the small businesses were not as well-structured as they are at present; simply because there weren’t too many small businesses to make the production of a specific small business accounting software profitable.

But the times have changed. And small business at present comprises well over 25% of all businesses in the United States of America. With this new critical mass, both the manufacture and distribution of small business accounting software has become not just practical, but also very profitable to the manufacturers of small business accounting software.

This includes even big players like Microsoft who have identified this business need and have special small business accounting software packages. Moreover every time you buy a premium laptop or computer, you will in all possibility get a bundled software package that includes some sort of small business accounting software. Sites like download.com offer a number of small business accounting software, some of which at no additional cost. So, if you haven’t yet already started using it, surely it is about time you did!