by dorraadmin | Nov 29, 2022 | Blog
Many owners of small businesses believe that they are less vulnerable to attack than larger corporations. However, criminals often go after smaller companies because they are not as well protected. Here are some strategies that can help you prevent this by increasing your business security.
Case Your Building
Before you start work and after you finish, check your building. This will allow you not only to find possible business security hazards, but also detect maintenance and repair issues. Let your employees know that they should also be constantly on the alert for anything suspicious.
Reinforce Entry Points
To prevent break-ins, invest in commercial-grade locks and reinforced doors. Keep doors and windows locked whenever the affected areas are not in use.
Restrict Ingress
To protect equipment and data, regulate who has access to these valuable items. Give keys to sensitive areas only to those who absolutely need them, and have employees return the keys when they exit the building. If these keys are lost, change the locks.
Safely Dispose of Documents
To prevent the possibility of sensitive information leaving your company, always shred your documents before you recycle the paper. Otherwise, anyone could go through dumpsters and access your communications, invoices, and client information.
Prevent Cyber Attacks
Small business security should prioritize the prevention of cyber attacks. Precautions include antivirus software, firewall protection, intricate passwords, and strong data encryption. Limit the amount of personnel who can enter your network, and block access to former employees. Regularly back up important data, and lock company computer equipment in a secure area at night.
Prepare Protocols for Response
Have a response plan ready in case your business security is compromised. Your employees should know what to do in the event of a cyber breach or break-in.
For more advice on methods of business security, you can implement to protect your company, get in touch with Dorra Financial Group.
by dorraadmin | Nov 1, 2022 | Blog
The real estate industry is considered a solid investment for investors who want to secure their financial future. Not only does it provide a steady income stream via rental properties, but it also appreciates with time. Below is a list of top reasons why real estate investment is suitable.
Tax Benefits
Various tax benefits follow after buying real estate. You can subtract expenses related to owning a property, such as your property taxes, mortgage interest, ongoing maintenance costs, property insurance, and the money you pay to promote the property to prospective renters. If you sell the property, the amount obtained is not taxed as income but is considered capital gains, which come with lower tax rates.
You Can Leverage Funds
Buying real estate properties in full is sometimes demanding. Leveraging real estate funds helps you use other people’s funds to purchase properties. Investors often seek money from banks such as loans and mortgage lenders and pay the finances back over time. The approach allows you to add your real estate holdings without necessarily investing the total amount you would need to purchase them on your own.
Diversification
Buying a real estate property and adding it to your investments helps boost your diversification. The approach saves you in tough economic times compared to stocks which may be down due to an economic downturn. The real estate investments you make may still increase in value during such times, which protects you from losses experienced by your other investments.
Steady Cash Flow
Buying real estate properties is an excellent way to boost your monthly income. Real estate developers can rent out their space to tenants regardless of whether their investment is residential or commercial. The approach helps you receive a monthly income in the form of rent, which is helpful when you are facing a major financial crisis, such as losing your job.
Passive Income
There is no single investor who does not want to earn a passive income. Buying real estate properties helps bring a steady flow of passive income, which an investor does not have to work for daily. You can, for instance, rent your property to a single-family and as a multifamily property. The rent obtained each month is considered a passive income.
Long Term Security
An investment in real estate is considered long-term, meaning that investors can hold their properties for several years as they wait for them to appreciate. You can also rent your real estate property to earn a monthly income as you wait for your property value to increase.
Investing in real estate is an excellent way to diversify your portfolio. Investing in the right property allows you to enjoy the benefits listed above. Make sure you get expert advice by contacting Dorra Financial Group to ensure your investment is worth it.
by dorraadmin | Oct 25, 2022 | Blog
Most small businesses hire an expert to handle their accounting, as taxes are sometimes challenging to understand. Small business owners should educate themselves regarding the basics of the TCJA as its changes to the federal tax code have a profound impact on their businesses. Here is what you should know.
What Is the Tax Cuts and Jobs Act?
The code lowered the income tax rates of C corporations from 35% to 21%. Other changes introduced by the TCJA affect S corporations, sole proprietorships, and partnerships, and the changes reduced the maximum tax rate for certain taxpayers. Such numbers may suggest that the TCJA has various benefits for your business as lower tax rates theoretically allow you to keep more revenue, increasing your profitability. However, the changes brought by the TCJA does more harm than good for small businesses.
What the TCJA Means for Small Businesses
The TCJA affects small businesses in various ways. These changes may feel concerning and surprising, but you are not alone in this. The 2018 tax year was the first year to be affected by the TCJA.
Smaller Net Operating Loss Deductions
You could forward unused losses for 20 years or back for two years. The TCJA limits the deduction to 80% of the net operating loss, and you are not allowed to carry unused losses back. There is no limit on how long you may carry them forward, but the overall effect results in a smaller deduction, which results in higher tax rates.
Smaller Business Interest Deductions
Before the TCJA was implemented, investors could deduct the interest accrued or paid on certain business debts. The TCJA has capped the deduction at 30% of your company’s accrued or paid interest. The maximum deduction would be the sum of 30% of your adjusted taxable income and the business interest income.
Lower Tax Payments
The TCJA indicates that C corporations owe 14% less yearly taxes. If your business is an S corporation, sole proprietorship, or partnership, it could owe less in annual taxes. However, surveys done by investors indicate that the deductions the TCJA eliminates have always resulted in higher tax payments.
Due to the many changes brought by the TCJA, small business owners may feel uneasy, especially when tax time approaches. However, online tax software platforms are updated regularly to reflect the latest tax codes. Contact a small business accountant from Dorra Financial Group to calculate and file your taxes to minimize your future tax liabilities.
by dorraadmin | Oct 4, 2022 | Blog
If you run a business and have a cash-flow concern, the first thing that may come to mind is to apply for a loan? But, there are many kinds of loans. There are other options as well. Which one is best for you?
Loans in a Nutshell
A loan is fairly easy to understand. Once approved, you receive a lump sum of capital from a bank, credit union, or financial agency. In return, you must pay the principal amount back with interest over a set amount of time, usually in monthly installments. The interest rate may is fixed at the time the loan is created, or it may vary over time.
Types of Small Business Loans
After determining that your business needs a bit of additional capital, these are choices to be made. In actuality, there are several types of loans as well as other funding options to consider. Here are a few loan types that might be useful for your business:
- SBA Loan. Guaranteed by the federal government
- Working Capital Loan. Used to fund everyday business expenses like payroll, rent, and operational costs
- Franchise Startup Loan. Specifically designed for new franchise owners
Then, there are alternative forms of funding to consider. These include but by no means are limited to:
- Invoice Factoring. An elegant process by which you sell outstanding invoices to a financing agent
- Merchant Cash Advance. An infusion of capital taken against your future credit card sales
- Equipment Financing. Specially designed for purchase or rental, and often not needed collateral
Partner with Dorra Financial Group
Here at Dorra Financial, we provide useful solutions for business funding needs. We’d love to be your financial partner. Give us a call today to explore the options that would best fit your particular business situation, whether it is a loan or another form of alternative financing.
