Professional Small Business Services Inc

10/30/2024

National Federation of Independent Business presents the voting record of the California legislators (senate and assembly) on SMALL BUSINESS ISSUES (2023-2024):

https://www.nfib.com/california/voting-record/

If you are a micro or small business owner, you should consider joining the one national organization with statewide offices that is exclusive to small business issues, bar none.

NFIB tracks the key legislative issues identified by our small business members every session and then we tabulate a score for each California lawmaker in the state House and state Senate. The NFIB voting record provides a critically important evaluation of a legislator’s attitude toward small bus...

08/28/2024

Let’s talk about TAXES, corporate taxes … (don’t get excited.)

According to the Small Business Administration (SBA), it is estimated that 99.9% of businesses in the U.S. are small businesses, 1 to 500 employees. Total businesses in the U.S. are approximately 33.2 million small businesses - 30% are S corporations (9.96 million) and 18% (5.98 million) are C corporations. (The rest are LLC’s, sole proprietors and partnerships.)

One of the presidential candidates is advocating to increase the “C” corporate tax rate from 21% to 28%. Everyone points at the mega corporations, and my problem is that the impact on small businesses tends to get swept under the rug.

There are many reasons why small business owners incorporate, mainly to separate their personal assets from the business.

While many applaud the recommended increase in the corporate tax, understand that I don’t and chances are the small privately owned restaurant you patronize, or the contractor working in your home will not agree to it. If you think a hike in corporate tax returns is a good thing, think about them.

08/14/2024

Yesterday, I visited the state building in Sacramento along with other small business owners. The level of frustration is real. Here is my point:

Government run economy vs. a free enterprise economy. What we have in California is heading towards a totally run government economy. ‘Death by paper cuts’ is what small businesses in California are experiencing. The quote, “Ignorance of the law is no excuse.” Sadly, this is where we’re at with respect to small businesses. The abundance and overwhelming regulatory burden are impossible to navigate through.

There are many legislative bills that find their way to the governor. Out of the 2,800 bills that are submitted annually, approximately half go before the governor. Many impacts the business sector – large, medium, and small. What is happening is that the state legislators see small businesses as part of a large or mega institution, and they’re oblivious to the day-to-day struggle of keeping their business open. On just one issue alone – paid leave laws – nine (9) became new laws in four (4) years.

The resources for small businesses cannot accommodate hiring experts on the frequently increasing labor laws; therefore, they have a choice: CLOSE, RELOCATE to another state, or go UNDERGROUND.

07/25/2024

I just had a client leave my office and we had a very interesting conversation – we always do. He and his spouse moved to Tennessee, although his business remains here. His objective is to sell his business in California while his new startup business in Tennessee builds momentum.

He shared with me the amazing letters of welcome he started getting from the state and local municipalities, along with a list of agencies willing to help and provide guidance.

Well…as he is getting those welcoming letters from Tennessee, he gets letters from California on new regulatory requirements and labor laws.

What a difference!