Need Advice About Business Expense Management

Knowledge is power, they say, and it always has been. But these days it's to be found in the unlikeliest of places. It's in your coffee machine, your central heating system, and even your home lighting.

It's the Internet of Things; the network of physical devices, vehicles, home appliances and other items with electronics, software, sensors, and actuators embedded into them, alongside the power to communicate with each other and exchange data.

Working together they can adapt automatically and change their behaviour to match changing circumstances; analyse and draw conclusions from data they've gleaning for themselves, and use it to decide what they should do next.

But if they're talking to each other and exchanging data, shouldn't you be part of the conversation? After all, in a world where the coffee machine can prepare itself to make coffee when the home central heating come on - because you've told it to during your commute, why should they cut you out?

Cut wasteful spending

But back to the 'knowledge is power' thought. If this information is being exchanged it has the power to impact your business expenses. Lights that don't need to be on don't have to be, and the heating won't be warming a space when no-one's there. Make no mistake; a warm office block with all its light blazing is making your electricity bill larger than it needs to be. And who wants to pay more than they should because of waste that could so easily be eliminated? Quite apart from the pain in your pocket, it's also bad for the environment.

Remember that you, as a business owner, probably take a different view of wasting your money than your employees. I recall one employee who didn't turn his work computer off for a little over four years - even when he went on two week's annual leave. That meant the computer was in standby mode for longer than he was actually using it, but he didn't care; his money wasn't paying the bill.

Manage energy

So what can you do with smart energy management? You can use electricity from the solar panels on the roof (you do have those, don't you?) to run appliances. At night, when everyone's gone home, devices on standby can automatically be switched off to reduce power consumption - and the size of your bill. Your heating and air con systems can learn the temperatures needed in any given room and maintain them at that level; and can turn them down when the rooms are not in use. It can even protect your assets by incorporating intruder alarms, or telling you about water leak, for example, so you can react promptly and minimise any potential damage ­- and the disruption and cost that invariably go with it.

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Plan a Successful Hotel Grand Opening?

If you're planning to have a grand opening of your hotel grand, you must make sure it gives an amazing impression for all the right reasons. Here are the top 3 tips to make sure a successful launch event.

Tip1: Share your vision

This may look to be obvious, but getting the answer- "What, Who, When, Why, Where" cannot be more crucial to the launch of a successful event. The question- "why" is particularly vital because, in the end, if you don't know the reason for organizing the event, you are much less probable to achieve your goals.

Good events don't happen by themselves; it takes a strong army of partners & vendors to get the "wow factor". Share the clear vision with your team, so that they can help you increase the overall experience and eventually assist you achieving your goals.

Tip 2: Highlight the existing features of your hotel

In several instances, event planners concentrate on fully transforming a space to build an impressive event experience which your guests will remember. For a grand hotel opening, you should look for a fine balance between developing an exceptional brand experience, while at the same time encouraging the existing features of the hotel without overriding them with lighting, decor, etc. The main goal is to have guests leave your event with a positive impression of the hotel itself; not merely a good time at a cool event.

If you are not skilled in organizing events, you must take assistance from a professional hotel consultant to make your event grand and successful.

Tip 3: Expand the existence of your event

Many people may think that once the event gets over, your opportunity to make an impact on your guests and customers ends as well. In contrast, the post-event follow up is a potent tool in your armory to continue to cultivate your business relationships from the hotel opening. Just when your guest or customer thinks that the event has ended, have valet surprise them with a bottle of sparkling water or coconut and a thank you note on their car.

Giveaways- don't forget them! Give your existing and potential guest some small giveaways with your hotel name printed on it, so they remember your hotel. It lets guests take a piece of the hotel home with them and memorize the positive experience that they had at your hotel.

Conclusion

An effective hotel grand opening doesn't have to break the bank. Most of the hoteliers have a fear of spending too much on a luxury hotel's grand opening won't get a big ROI, so they choose a very apathetic tour with a simple cocktail reception. Rather, follow some of the above-mentioned steps to make a highly impactful event choice exciting guests and leaving a long lasting impression of your hotel. Connecting your brand (hotel) to your people in an unforgettable way is the most crucial thing to consider when planning the opening of your hotel. Or, the other best way is to hire a professional hotel consultant to look after everything on behalf of you.

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Secrets of Bonding 121: Are Court Bonds Like Fruit?

Mostly we issue contract surety bonds (Performance & Payment) for contractors and our insurance agent / colleagues. However, we are also an important provider of Court and Probate bonds. We issued a number of interesting court bonds recently so here is some info on this subject.

What Are Court Bonds Are Why Are They Needed?

Generally, court bonds serve three purposes.

They provide required protection for the other party in the litigation (opposite the bond applicant)
They guarantee the payment of related court costs
The court likes them
An Injunction Bond is a good example. In these legal actions one party wants to limit or prevent the actions of another. An insurance agency may request an injunction to prevent a former salesman from soliciting their clients. The court requires the plaintiff (insurance agency) to provide a bond for the protection of the defendant (salesman) in the event it is found that (s)he has been wrongfully restrained.

A Replevin Bond is similar. These are required when the plaintiff (a bank) wants to seize an asset (your private jet) for failure to pay your finance charges. The bond will protect you if it is later found they wrongfully seized "Wings Over Yonkers." See how these work? In different situations the bonds provide the same type of function. The name of the bond identifies the underlying legal action.

Why Do Courts Like Them?

You may think "what's not to like?!" That's true. But the court may require a surety bond for a practical reason. If the litigation involves a financial matter, they could require that an escrow deposit be placed with the court for the benefit of the other party. They would hold this money until the case is decided.

This works, but is not convenient. Where will the funds be held? Who is responsible for their safekeeping? Will there be periodic accounting if the case runs for years? Who pays the expenses associated with this? What if the money is misplaced or stolen?

Compare this to a surety bond: Get the bond, throw in the file. Done!

Even though the court may have the option to take cash in lieu of bond, they may demand the issuance of a surety bond simply for its convenience.

Other Court Bonds

When a money judgment is rendered, the defendant may want the matter heard by the Appellate Court. Let's say Maynard sued Dobie for money and wins a $10,000 judgment. Maynard figures "OK here comes 10 big ones!" However, Dobie wants to dispute the decision so now Maynard has to wait.

In order to bring the Appeal, Dobie must obtain an Appeal Bond which protects the interests of the court and guarantees prompt payment if Dobie loses again. To get this bond, he'll have to give his personal financial statement, his indemnity, and put up maybe $11,000 for the surety to hold. Oh, and pay the bond premium! Why is all this necessary?

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Why Are Indians Starting Their Business in Singapore?

India is a country full of promises, it is the world's largest economy; but astonishingly, many start-ups are looking for a business setup in Singapore. Surprisingly, the earlier trend involved start-ups integrating their businesses in Silicon Valley or Hong Kong. What precisely caused this shift? Let's explore the reasons as to why Singapore has suddenly become every Indian entrepreneur's go-to destination?

• Infrastructure & Facilities: it has a well-connected route to India which makes it possible to reach this city-state in approximately 6 hours. Singapore is easier to get to than most places in India itself. Additionally, the infrastructure of our country acts as an obstacle in the way of good business. The world is getting digitalized by the second and the internet facilities available in India are less than satisfactory. On the other hand, Singapore boasts of the world fastest broadband services. Moreover, it has a sound logistic transport system, which is an added advantage to the import and export sector.

• Tax structure: Singapore also boasts of one of the most ideal tax regimes for businesses. Where the tax rate of profit is between 30 to 40% in India, in Singapore it makes for less than 20%. Moreover, Singapore does not charge tax on dividends and capital gains. It is also the 5th easiest place to pay taxes. Where India not only charges a high tax but also makes it difficult to pay it, Singapore seems like a lucrative opportunity then.

• FDI regulations and the finest IP regime: Singapore is known for its political stability, which means a business does not run on the whims and fancies of the controlling power. In a world where Intellectual Property is guided with utmost care, Singapore offers investors a sense of assuredness whereas the same cannot be said of India. This liberty accompanied by one of the finest Intellectual Property rights in the world creates a sense of trust and certainty among business owners who find it easier to invest their money in Singapore. Additionally, it is also one of the places with the least corrupt economy. They abide by GAAP, which is observed to be more user-friendly and transparent.

• Ease of doing business: It is no mystery that Singapore has consistently ranked in the number 1 spot as the easiest places to do business for over a decade now. It takes the least amount of time to set up a business in Singapore, which is further simplified by means of using online registration procedures, this means no years of endless paperwork. Another advantage is that along with the registration one can also take care of the tax work at the same time. Whereas, in India, the registration and tax procedure, are two separate procedures. Singapore offers ideal conditions where entrepreneurs can focus on growing their business rather that get tangled in a hazy registration system.

If this wasn't reason enough, Singapore is influxed with talent which makes recruiting a skilled workforce an effortless experience. Additionally, there are many agencies that support the growth of businesses' in Singapore; some of them include Economic Development Board, Standards, Productivity and Innovations Board, Accounting and Corporate Regulatory Authority and SMEPortal.

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Step to Gain Recognition Under Startup India Program

India has the third largest startup ecosystem after U.S. and Britain. India is the youngest startup nation with more than 72% of the population below 35 years of age. Prime Minister Narendra Modi has encouraged the youth of India to believe in their ideas through Startup India and Standup India initiative. He sees technology and innovation as a way to transform India.

The Startup India initiative aims to help people with creative ideas realize their potential and help them start their own business. A startup India Action plan is formed to help budding entrepreneurs concentrate on their core business. This flagship of Government of India aims at nurturing the Startups of India and driving sustainable economic growth.

The Startup India Plan got rationalized on 1st April 2016 and since then it has addressed more than 12,500 queries through social media, e-mails and telephones.

Blooming buds can easily avail benefits under the Startup India programme like relaxation in environmental and labour laws. Often Startups are too much stressed with regulatory formalities requiring compliance with environmental and labour laws. Many a times people are not aware of many rules and regulations, as a result they often end up being a victim of intrusive action by the regulatory bodies. The program will allow startups to self-certify their business through a mobile app, and avail 9 labour and environmental benefits. Also there will be no inspection on these startups for three years.

The question which arises here is how will startups gain recognition under this flagship.

There are certain criteria which a startup needs to do before gaining recognition.

The legal entity of a startup is either a Private Limited Company, Limited Liability Partnership or a Partnership.

The age of a startup is not more than five years.

The annual turnover of a startup must not exceed 25 crores.

The next step would be to gain a recommendation letter from any one of the following:

a. be supported by a recommendation (with regard to innovative nature of business), in a format specified by Department of Industry Policy and Promotion, from an incubator established in a post-graduate college in India; or

b. be supported by an incubator funded (to the project) from government of India as part of any specified scheme to promote innovation; or

c. be supported by a recommendation (with regard to innovative nature of business), in a format specified by Department of Industry Policy and Promotion, from an incubator recognized by government of India; or

d. be funded by an Incubation Fund/Angel Fund/Private Equity Fund/Accelerator/Angel Network duly registered with Security Exchange Board of India that endorses creative nature of the business; or

e. be funded by the Government of India as part of any specified scheme to promote innovation; or

f. a patent granted by the Indian Patent and Trademark Office in areas affiliated with the nature of business being promoted.

A startup will gain a recommendation letter only if it is working towards the innovation, deployment development of a product or service or it is adding value to the existing product or service.

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How Equipment Appraisal Can Help To Secure Bank Loan

When you plan to set up a business or expand the existing one, bank financing is the foremost concern. If the bank asks for collateral, your existing machinery or equipment seems to be the most viable solution. If you do not possess any asset to be presented as collateral, then you may be required to pay hefty interest rates. But, if you possess some machinery that you can use for this purpose, it is advisable to avail services of certified equipment appraisers. They are experienced and experts in this domain. As such, they can offer you better business valuation services that you can present to your bank. Here are some other reasons to opt for professional appraisers for your machinery before using it as collateral for a bank loan.

- It Helps To Ascertain True Value Of Equipment:

Certified equipment appraisers can offer you specialized services for valuation of your existing machineries. Banks accept this valuation agreeably because it is verified and true to the facts. Hence, you can negotiate in a better way to resettle the terms of your loan with respect to its repayment, interest rates, duration, or amount of loan.

- It Helps To Determine The Life Span Of Equipment:

Only an expert appraiser can tell you about the true life of any evaluated equipment. It largely helps to determine the duration of your loan. If your machine is estimated to have a life of 10 years, your repayment term can also be prolonged reasonably in relation to its expected operative life. This verified documentation from certified equipment appraisers can solve many of your problems.

- It Serves As The Most Trusted Collateral:

Your bank will always trust a verified appraisal report from certified business valuation service provider better than any other arbitrary document. It is legally binding and helps them to ascertain a better loan amount depending on this authentic value of your existing equipment. You can get a loan closest to the amount of valuation of equipment to be used as collateral. It also facilitates banks to fully reclaim loan amount in the event of non-payment. If you have copies of latest valuation reports at the time of such contingencies, it gives you better credibility at the lending institution.

- It Is Always Fair Priced And Timely:

When you need finance for your business, time is always at a premium for you. In this regard, professional business evaluation service companies can offer you timely reports with a fair pricing of the equipment based on its current market value.

These points prove the trustworthiness of equipment appraisals to secure a bank loan at better rates and term. But it is equally imperative to get this valuation done by a certified appraiser.

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What Is Cognitive Bias And How Does It Affect Decision-Making

Are you a successful decision-maker? Do you, more often than not, choose the right decision?

Ask most people these questions and they would probably think they do okay, without being perfect. Lack of perfection would be no surprise to any neuroscientist, because the decision-making process is known to face many challenges.

Emotion is likely to 'hijack' decision-making at any moment; and then there is cognitive bias, which can cause us to make decisions based on predetermined perceptions rather than the facts at hand.

It may be surprising to readers that, in business, where it is tempting to assume that decisions are always made rationally and logically, these biases apply just as much as they do to other decisions we make.

What is cognitive bias?

Consider the many recent cases of the unjustified killings of black people by police in the USA; this may provide a clearer idea of how cognitive bias play outs in the most serious cases.

Cognitive bias is defined as a systematic pattern of deviation from norm or rationality in judgment, whereby inferences about other people and situations may be drawn in an illogical fashion.

While we must be careful of making generalisations with the aforementioned shootings, there may be no outwardly racist motive involved in them; but it is highly possible that cognitive bias was a key reason for the police offers acting the way they did.

Our own perception of reality is based upon our cognitive biases, which sometimes fly in the face of the objective input i.e. what's really happening, the facts etc. By definition, our own version of reality is subjective, and our behaviour is based upon that.

How does it affect our decision-making?

In the example given, a black policeman may not perceive the same sense of threat as a white policeman in the same situation. A less intense cognitive bias in this particular situation might lead to different decisions and different behaviour.

This also helps to explain why you may not make the best decisions in the workplace or at home; your cognitive bias may distort the facts and lead to inaccurate judgment, illogical interpretation, or "irrationality".

Just to be clear - we are all victims, to an extent, of cognitive bias. It is normal. Indeed, in the case of many everyday situations we face, cognitive biases can help us make the fast decisions necessary to go about our daily business effectively.

However, being aware of cognitive bias, especially when making more challenging decisions, can help prevent the mistakes and errors of judgment that may have serious consequences.

Most readers here will not face life and death situations like policemen do; but we all have to make decisions constantly every day. So, by increasing our awareness of how we arrive at these decisions, and how to combat some of the most serious challenges to good decision-making, we clearly benefit.

Since the 1980s, the field of neuroscience has been shedding more light on the workings of the brain and our understanding of the decision-making process is growing. Lists of typical cognitive biases have even been compiled, which should be of great interest to almost anyone in a professional field.

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