Connect with us

Business Entrepreneur

To all our small business owners: you’ve gotta have insurance

(ENTREPRENEUR NEWS) To all of our small business owners: you should know what kind of insurance you need and how to get it.

Published

on

black-owned businesses

You know you should have insurance, but you don’t know why. You’re running a small business and you have at least ten other things on the brain besides what type of risk mitigation measures you need to put in place. Besides, the cost of the monthly premium alone could be put to much better use in the rest of the budget. Any of these sound familiar?

Small business insurance is a necessity for conducting protected business activities. It may sound hyperbolic, but not having it could cause your not just your whole business to collapse, but also bankrupt you in the process. This scary reality can be avoided by choosing to invest in the correct coverage for your needs. The federal Small Business Administration (SBA) states that a good rule of thumb is to “insure against things that you could not pay for on your own.”

Here’s a quick rundown of the types of policies you could choose for your small business.

General Liability
According to insurance provider Hartford Fire Insurance Co, general liability insurance “helps protect your business from liability in the form of property damage claims, bodily injury claims, and/or personal and advertising injury claims that could put your business’s assets at risk.“ Consider general liability insurance as the first line of defense that can cover many different types of claims, but lacks some nuances that you may discover you need for your specific business.

Product Liability
Product liability is insurance that covers a business that manufactures or distributes a product. This type of coverage can be useful from individuals who make their own cosmetics to sell on Etsy or merely sells on the behalf of others. If a product caused harm to someone who purchased it, product liability would cover you.

Professional Liability
Professional liability is for the business that provides a specific service instead of a good. Whether you’re a financial consultant or a certified masseuse, if you don’t have professional liability insurance, you could be put at financial risk if a customer who used your service sues you. This type of coverage insures you against the financial loss of malpractice, negligence, and errors that a customer can receive if they purchased services from you.

Home-Based Business
52 percent of all businesses in the United States are run from home. It makes sense that a specific subset of insurance was developed for individuals with this particular need area. This type of insurance is added as a rider on top of a homeowner policy that adds specific language to cover equipment and if third-party (i.e. not the homeowner) becomes injured while at the home based business.

These are the four general areas of applicable small business insurance. Of course, there are many more types that you may need like workers compensation or auto liability. The price of all these coverage areas can be affected by the type of industry your business is in, as well as the number employees that work for you.

By now, the dollar signs may be ticking up in your head. Take a deep breath. The best way to deal with the cost of a good policy is to decrease your risk areas as much as possible and consider the amount of deductible you’d be willing to pay. The SBA recommends assessing your liability annually before renewing policies, and that’s a great way to start this process for the first time. Get with a licensed agent before making any policy decisions and rest assured, the cost of coverage will be small in comparison to the cost of trying to cover a catastrophic event out of pocket.

I’m not an insurance underwriter/broker and this story is not to substitute consultation with a real-life trained insurance agent. With that in mind, go find your nearest small business insurance broker or contact your Chamber of Commerce for assistance.

Alexandra Bohannon has a Master of Public Administration degree from University of Oklahoma with a concentration in public policy. She is currently based in Oklahoma City, working as a freelance filmmaker, writer, and podcaster. Alexandra loves playing Dungeons and Dragons and is a diehard Trekkie.

Business Entrepreneur

Business advice from Babe Ruth that all leaders should mind

(OPINION) Leadership comes from years of refining your practice, and great leadership comes dedication and focus, but Babe Ruth would add more to that…

Published

on

All good leaders pull from a variety of inspirational sources to create their formula for success, even from unlikely sources like an overweight baseball legend. Babe Ruth was a winner in his day without steroids and without the paparazzi and while he wasn’t a business leader, he hustled every day to be the best.

Today, we share with you a quote from Babe Ruth that all leaders should mind when operating business because this simple concept is one of the hardest to remember. “Yesterday’s home runs don’t win today’s games,” Babe Ruth said. Let that settle in. Are you resting your laurels on yesterday’s home runs?

Are you puffing your chest because last year’s sales were high or because your net worth was higher in 2008 than anyone else’s in your circle or because you won a prestigious award in 2007?

It’s very common to consider past accomplishments as part of your identity, there’s nothing wrong with that, but sometimes relying on yesterday’s home runs stunts a leader’s intellectual growth – once you think you’re at the top of your game, sure you keep working, but are you really focused on today’s game?

The cliche of keep your eye on the ball would also be relevant here, because if you’re in the outfield dreaming about last week’s home run, you’re not in the game today with everyone else.

What steps are you taking to focus on today’s game? Maybe the image below should be your desktop or smartphone wallpaper as a reminder to focus?

Continue Reading

Business Entrepreneur

10 advantages and disadvantages of becoming a freelancer

For many reasons, you may be considering becoming a freelancer, and while there is great freedom in becoming your boss, you also take on a great deal of responsibility and risk.

Published

on

You already know the signs of when it’s time to quit your job and become an entrepreneur. But before you start your own freelance business, you should be aware of the pros and cons for your decision. After all, this type of decision has the potential to be life-changing, in either a positive or negative way. But we’ve done the work for you. Here are the top five positives and the top five negatives of becoming a freelancer in lieu of a full-time, 9-to-5 employee.

5 advantages of being a freelancer

1. Flexible Hours – The first advantage of becoming a freelancer is that you can work whenever you want. You get to choose your own hours. If you want to sleep in until noon, you can do that. If you want to take the weekend off so you can explore the city, by all means, go for it. As a freelancer, you can actually work during your most productive hours, and those hours don’t have to fall in during regular business hours.

2. Control over Jobs and Clients – When you work for someone else, you don’t get a choice of who you work with. You can become stuck with unprofessional or rude clients. But, when you’re a freelancer, you can choose with whom you work. If you don’t mesh well with a client’s personality or business or payment philosophies, you can pass on the opportunity and wish them the best. It’s as easy as that.

3. Work Wherever You Want – Whether you prefer consistency or shaking things up when it comes to your work environment, you can choose to work wherever you want, whether you choose to work in a local coffee shop or while you’re on vacation in Europe.  You are no longer stuck in an office or even in your home. Find a place in which you work best. You could work in a park, at the library, or in your living room while you’re wearing your pajamas.

4. You’re the Boss – You no longer have to answer to anyone but your clients and yourself. No one is hanging over you or micromanaging you. You are free to do as you please, when you please. Making all the tough decisions just became your responsibility; you have all the control.

5. You Keep All the Profits – No longer do you have to work for a flat rate, no matter how large the projects are taht you complete. Now, you get to allocate or keep all the profits from your large and small projects and clients. This gives you the freedom to then use that money to improve yourself and expand your business.

5 disadvantages of freelancing

1. Not Steady or Reliable Workloads – Unfortunately, being a freelancer means that your income and your workload are unstable and inconsistent. For the most part, you won’t be able to depend on any regular project, client, or profit, whereas you would know the exact pay you’ll receive at a traditional job.

2. Distinguishing Between Work and Personal Time – Being your own boss and working from your home also means that it can be difficult to distinguish between your work time and your personal life. This means that you can work long hours and never make time for your personal interests.

3. A lot of Legwork – You are now in charge of finding all your own clients and projects. When you worked a traditional job, your projects were probably handed to you. But now, you’re the sole person responsible, so that means a lot of legwork on your part.  And that means you have to wear many hats, including marketing, advertising, and sales.

4. Not Getting Paid – Being a freelancer also means that you run the risk of not getting paid. This is fairly common in the freelance world, and one more hat you’ll have to wear is that of a debt collector. There are ways to protect yourself from non-paying clients, but sometimes you won’t realize you’re at risk until it’s too late.

5. No Employer Benefits – Health benefits are expensive. Depending on your current health, switching to a freelance lifestyle might not be in your best interest. Also, starting your own freelance business means you no longer have paid sick days or vacation time to use. Every day you don’t work is a day you won’t get paid.

The takeaway

Freelancing is equal parts positive and negative. You just have to decide if you’re willing to take the risk that almost always accompanies it. Freelancing means professional freedom, but it also means instability and the risk of failure. And that may not be what you need in your professional life. But if you risk your stability for something more in tune with your professional goals than a traditional job, you have the opportunity to build your name and reputation and reach your professional goals.

This editorial was first published here in 2012.

Continue Reading

Business Entrepreneur

6 entrepreneurial tools for startup productivity

(ENTREPRENEUR NEWS) Whether you’re a small business or startup, improving efficiency means more money and less stress. Here are six tools to help do just that!

Published

on

automately net neutrality desktop laptop freelance isps

Truly great entrepreneurs are also well organized and know which tools will help them see their ideas to fruition.

That can be key for getting a startup business off the ground. Good ideas and a strong entrepreneurial spirit aren’t always enough on their own. Sometimes you need the right mix of technology and tools to keep the more mundane and tedious tasks from bogging down your efforts.

Here are six tools almost any entrepreneur can use to help keep productivity high when starting a new business:

Lawtrades: For legal help

For most entrepreneurs, it’s not the most exciting thing in the world, but making sure you have your legal ducks in a row is important for any startup. Lawtrades helps with that while trying to keep costs down — music to the ears of any startup business owner.

The service is a legal marketplace of sorts designed specifically for startups and entrepreneurs. It connects business owners with legal professionals that it claims don’t charge “bloated law firm hourly rates.”

Lawtrades offers a number of services, including business formation, employment and labor, contracts and agreements and intellectual property.

Do: For productive meetings

Anyone who has started a business knows that it doesn’t happen without a multitude of meetings. Do is a service that can help make your meetings productive so you can waste as little time as possible.

The app allows you to plan and share an agenda to make sure everyone is on the same page. Other features include the ability to track accountability by showing you which points and/or tasks have been covered.

1Password: For easy password management

Starting a new business likely means starting and managing lots of online accounts. The 1Password app from AgileBits helps you save time by remembering passwords and other information for you.

The app helps you generate strong and unique passwords for your many accounts, and secures them behind one safe password known only by you. The app doesn’t only work for passwords — it can also help remember other information such as credit card numbers, safe combinations or street addresses.

Kanbanize: For product development

If your startup involves a specific product or set of products, Kanbanize helps you develop them with your team without bogging down the process. The software allows you to post and share boards that include product information and progress, and you can choose which people see which information.

For example, if you want to update investors on the status of your product development, you can share certain boards with stakeholders and no one else.

Evernote: For organization

There are many applications available that aim to help team productivity, but Evernote is one of the best.

The software allows you to collaborate with your team all within one workplace, keeping projects and other work together. You can also give feedback on ideas and share notes while syncing the data across computers and phones.

There are many other features as well, including in-app chat functionality and integration with Google Drive.

TaskHusky: For web development

Almost any new business will want some sort of business, but a staff of web designers and developers isn’t always an option for startups. That’s where TaskHusky comes in.

TaskHusky is an on-demand service for small businesses that need help with one-off tasks with the Shopify, Bigcommerce or WordPress platforms. The company has a simple three-step process: You create a task and pre-pay, a TaskHusky team member is assigned the task and gets to work and the task is completed and is sent back for your approval.

The takeaway:

Smart entrepreneurs understand they can’t get everything done on their own when it comes to starting a new business. These six tools may not be everything you need to launch and maintain a startup, but they will go a long way to helping you keep productivity at a high level.

#productivity

Continue Reading
Advertisement

Our Great Parnters

The
American Genius
news neatly in your inbox

Subscribe to our mailing list and get interesting stuff and updates to your email inbox.

Emerging Stories