Professional Development Programs Improve Business Operations

Business owners who are looking to save money often eliminate employee training and educational programs.  However, training, education and degree completion programs have become one of the most desired employee benefits available. In fact, the opportunity to learn new skills is the number one benefit among young job seekers.

The Generation X and Generation Y workforce view professional training and development as necessary. They value the opportunity to advance, increase their value and make a bigger contribution in the competitive world.  It’s no surprise that business owners seek out the professionals at Global Resources LLC to create state of the art development programs unique to their business.

Training programs created by Global Resources will benefit the entire business. Well-trained employees are:

• more capable and willing to assume control in the workplace
• require less supervision, which frees management for other tasks
• proficient to interact with customers, which builds loyalty and customer retention
• more motivated and driven by success
• fulfilled by having positive workplace relationships

Last year the American Management Association (AMA) survey of 352 HR executives confirmed that certain workplace enhancement issues were of top importance to employees and also improved employee retention. Investing in employees' future is often more important than immediate compensation. Programs that improve work skills and future career development are seen as particularly effective amongst the work force. The AMA survey identified the following skill enhancement techniques and the percentage of companies employing them as a retention strategy:

•External conferences/seminars/78.1%

•Tuition reimbursement/67.3%

•Managerial training/66.8%

•Company support for degree/62.2%

•Interpersonal skills training/56.8%

•Technical training/54.5%

•Employability training/35.2%

Global Resources will help integrate a variety of techniques into your training and educational program, which will have a positive effect on your entire business. To learn more and / or to schedule your complimentary appointment with the business experts at Global Resources LLC, call us at 855-338-0266.

Increase Business Profitability

Business owners typically share one goal, which is to maximize business profit.  At Global Resources LLC, we maintain the expertise necessary to help our client’s increase their business profitability.

Typically, companies evaluate gross profits, operating profits and bottom-line or net profits. Increasing profit at any of these levels is based on increasing revenue, lowering costs, or both. The professionals at Global Resources will implement proven strategies for you to maximize your business profit.

• Gross profit: Your gross profit is revenue minus costs of goods sold. One strategy to add profit is to generate more revenue while maintaining a constant cost of goods sold.  Developing a productivity-based excess profit compensation plan for your sales employees is a proven way to increase revenues while keeping control of costs.

• Operating profit: Your operating profit is gross profit minus operating expenses, such mortgage / rent payments, utility bills and marketing expenses. In addition to increasing revenue, a company can boost operating profit by reducing its cost structure in one or more of these fixed expenses.  We have the needed expertise to review all the costs associated with your business.

• Net profit:  The bottom line for business owners can be increased by implementing a plan to pay yourself first with what we call a “minimum mandatory profit”.

Increasing Profit Margins

A profit margin is a ratio comparing profit to revenue. A business could increase profit -- but not profit margins -- in a given period if it takes on a higher proportion of costs to revenue than it previously had. The goal of improving margins is to enhance efficiency in turning revenue into profit.  To ensure that your profit margin grows, the business must generate revenue in a more efficient way. Raising prices and / or lowering cost of goods sold are often key drivers of gains in profit margins.

There are four key areas that can help drive profitability. The experts at Global Resources will pinpoint the crucial changes needed in your business and then implement new methods, systems and controls to increase profit margins:

·         reducing costs

·         decreasing turnover

·         increasing productivity

·         increasing efficiency

To learn more and / or to schedule your complimentary appointment with the business experts at Global Resources LLC, call us at 855-338-0266. 

Tax Consequence of the Sale of a Business

Selling a business may mean big profits for you, but it may also come with a substantial tax bill. The taxes you pay are collected by the IRS, based on the nature of the business transaction. At Global Resources LLC, our strategic tax planning experts will ensure you and your company take the necessary precautions to come out ahead. 

Consequence - Capital gains tax differs from ordinary income tax. Capital gains refers to a flat tax assessed on the difference between the amount of money you put into the business as "seed capital" or "principal" and how much you receive back as profit when you sell. When you sell your business, you must add the values of all of the business's assets and determine what the fair market value of the combined assets is. 

Benefit - The rates of capital gains are typically lower than general income tax rates, which means you won't pay a progressively higher rate that depends on the final sales price of your business. Because of this, you'll end up with more profit than you otherwise would under a progressive tax.

Disadvantage - You must add the complete value of your business assets when selling, which may require hiring an accountant. However, if your business is large and your profit margin slim, then the cost for assessing the value of your business may erase most or all of the profits from the sale.

Consideration - The IRS allows you to exchange business property for other business property. If the sale is influenced by your desire to start another business, consider a "like-kind" exchange. This avoids tax on all of your gain until you dispose of the new property you acquire. The experts at Global Resources will walk you through every step of the way. 

To learn more and / or to schedule your complimentary appointment with the business tax experts at Global Resources LLC, call us at 855-338-0266.