Forums: Discussions for entrepreneurs and small business.

Newbie here... Nice to meet you.

I am struck with panic and anxiety as I sit here, staring blankly at the tax books I`ve recently purchased from Amazon, hoping that their amazing wisdom would somehow seep into my brain.

I am an actor who, by the suggestion of a wonderful elderly man at my local SBA office, incorporated as an S-Corporation ealier this year as a means to help grow my on-going business of teaching improvisation. I feel overwhelmed and I have no idea where to begin and with what. I feel like reading these tax materials and books on S-Corporations is like reading a foreign language. Will some kind soul hold my hand for a little while, please?

So what are my questions? For now, I suppose I should slow down and start with one:

1.) What should put my focus into first? I feel like I`m burried at the bottom of a heap of new information and I have no clue which to tackle first.

My sincerest thank you for allowing me to vent here. :)

GP,

Congrats on incorporation - nice first step. This business stuff is not as complicated as you think at the beginning of your venture. Remember, people like you have been doing this in America for a very long time and before America even longer.

In a one-person business like yours, if you are not comfortable with the paperwork like taxes and payroll, etc. - farm it out to someone who does this for a living. There are many, many small firms - many like you, one-person operations - that their job is to provide professional accounting and paperwork assistance. Find one and make them your friend. Then ... get on with the work at hand - selling and providing your services and growing your business.

It sounds as if your advocation is now your vocation and honestly, it does not get any better than that - doing something you love. Don`t let the details of paperwork stand in your way. Yes, you have to pay attention to these details and a good accountant (maybe even a virtual assistant) will help you do this. Do what you do well and hire others to handle what you can not.

Don`t be afraid - get that out of your mind. Have definiteness of purpose. No fear. Build your "mastermind" group and support team. When you`re a one-person show, you create your own team of support actors to help you become a successful business person. You can do it.

R@

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Richard Arnold · Key Concept Writers · Business Communication: The "Key" To Success· Law of Attraction Blog · Life Ain`t Brain Surgery Blog

Don`t fret. It will work out. 1st rule. all the legal mumbo jumbo doesn`t matter if the business isn`t bringing in money. Make sure you have covered the basic steps first.

1. What are your goals, objectives for the first months, 6 months, year? Set acheivable goals or milestones that let you know you are progressing.
2. Do you have a sound business plan? it may seem mundane, but trust me, it helps create focus for your business.
3. basic office setup? Make sure you got a place that feels like YOURS. by that I mean not the kitchen table or in the car. If it`s at home, pick a place that you can create some sort of an office setting where you can get into the groove of what you`re doing.
4. Keep everything simple.

Got those steps already? Cool. Then as far as the legal stuff, I personally recommend:

1. A very good accountant who specializes in business tax and understands legal entities (s corps, llc, etc). Money may be tight, but it is very worth it.
2. Buy and read the book E-Myth by Michael Gerber. It will show you how to work on your business and not in it.
3. If you want to learn about taxes and tax loopholes, I strongly urge you to read Tax Loopholes of the Rich by Diane Kennedy. Great for small business owners.

Good luck! Let me know if I can help further!

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Scott www.ghsfireguard.com

I was a musician in my first life, and I too was overwhelmed. I`m not great with numbers, although I think in relation to algebra. The first thing to understand is that no matter what money you make and who you are, you get a certain basic deduction. That`s the personal deduction everyone takes off their gross income---all the money you make (or the IRS can track down, at least). If you "itemize" you have to be able to come up with enough deductions that the effort of tracking every penny produces more than if you just take the main deduction.

Excel is an easy way to track your money, as are such programs as Quicken or QuickBooks. Or, you can pay someone else to track things, but still do all the work of organizing it yourself, as they most often tend to want you to do.

The second question is, which is more important: Living your life and getting the joy of building a business, or pulling out a notebook after every single expenditure and writing it down? Would you rather remember that wonderful dinner you had with someone, or how much it cost? Would you rather remember that excellent class you taught or how much money you got from everyone, what day, for what purposes?

Over the years, for good or bad, with all the many opinions given to me, H&R Block has tended to be the most reliable and least expensive way to get good and legitimate tax advice and help. I recently had tax problems of my own, and H&R Block helped make it understandable and bearable. Remember; you`re in an esoteric business with mostly "gray areas" in terms of business expenses. Also remember that barbers deal with a lot of cash and always seem to have more money than anyone thought. :-)

Thank you all for your kind words of encouragement! I believe my next step is to make an appointment with a friendly accountant who has a sense of humor and patience.

I`m so glad I`ve found this site to post upon!