Online Incorporation MaxBlog

Online marketing, specifically blogs and other forms of social media marketing, are becoming the primary vehicle for small business owners to advertise their products and services. As the recession keeps dragging on, consumers are more meticulous when it comes to their shopping…and they’re turning to online sources more and more to carefully research products and see what others are saying about particular products or services before making a purchasing decision.

Therefore, blogs and other social media sites like Facebook and Twitter have become powerful marketing engines and have helped many businesses maintain their position in this rough economy.

But the Internet has hardly any regulation – consumers have to judge for themselves whether the reviews they see are legitimate, which is usually gauged through the quality of the site.

In an anticipated move Monday, the U.S. Federal Trade Commission voted 4-0 to issue new rules to update the longstanding principle of disclosing “material connections” between advertisers and endorsers. Decisions will be reached on a case-by-case basis according to the new rules. But now, the FTC will consider the payment a blogger may receive from a company for writing about a product an endorsement.

So, bloggers will now have to disclose any “material connections” (i.e. payment or free product) they have with the seller or face up to an $11,000 fine by the FTC.

This new rule will certainly affect fledgling new businesses such as yours but it’s nothing too major. Complying shouldn’t be a big deal but to think the FTC is going to monitor 133 million plus blogs and growing is almost laughable. These new rules will go into effect December 1st.

Nevertheless being honest about your products and services is good business anyway no matter the regulation. Operating with integrity will build your long-term business much better.

If you’re running into roadblocks in trying to figure out how to market your small business online, we invite you to take a look at our sister company SEO Advantage. This premier search engine optimization firm helps businesses grow their revenues by reaching more customers through online searches.

And it’s easy to incorporate online with MaxFilings’ online incorporation system where you can easily incorporate a business online in all 50 states in 10 minutes or less.

Many folks in today’s economy who have been laid off or have unstable jobs consider starting a business as their next career move.

We can tell you here that entrepreneurship has many advantages – the ability to be your own boss, make your own hours more or less and the opportunity to do something truly innovative.

If you think forming a corporation and embarking on a small business career may be an option for you, consider the following 5 steps to help make your venture a success.

1.    Be sure you thoroughly enjoy what you do

It’s important to like what you do right? Well it’s much more important when owning a small business. You will be required to do many different things as a small business owner – things like a salesperson, boss, customer service rep and money manager. Some of these tasks will not be your cup of tea so passion for the business in general will need to be strong to get you through the things you don’t particularly enjoy.

2.    Choose the most appropriate legal structure for your business.

One of the first steps to incorporating online is choosing the legal structure of your business. Incorporation options include sole proprietorships, partnerships, corporations and limited liability companies (LLC). Check out our business incorporation knowledge center at MaxFilings for comparisons and pros/cons of each.

3.    Any good business person sets goals

Set measurable goals and track your progress regularly. Successful businesses have a marketing plan and general business plan to guide their growth and development.

4.    Develop a business plan based on your goals

From the goals you develop in step 3, develop your business, financial and marketing plan. Many lenders and investors will not want to deal with you without them.

5.    Continue to seek advice from other professionals after you’re established

You will rely on many different people to help run your business – attorneys, accountants, marketing professionals and others. But it’s also important to maintain a network of other small business owners and professionals in similar businesses. Don’t think for a minute that you’re alone – other business owners can empathize with your frustrations and offer helpful advice.

These 5 steps won’t guarantee your success but they are a good guide to get you off to a strong start. When you’re ready, you can easily incorporate online in 10 minutes or less at MaxFilings.com. And check out our knowledge center for all sorts of informative articles on incorporating and running your business.

Starting a business in the current economic climate may defy logic. Why would I be crazy enough to give up my secure job to take the entrepreneurial plunge right now?

Experts will tell you that a recession is one of the best times to start a business – several well-known successful companies today got their start during major economic turmoil in the U.S.  These companies succeeded because they found a niche market that wasn’t being filled by anyone else. Identifying a market need is vital for any business startup, regardless of the economic climate.

But risks of failure are greater in a recession so you need to keep expenses as low as possible. Businesses that start and survive a recession though are in a unique position to profit and benefit from the inevitable economic upturn. But if you wait to form a corporation until after the recession, you will be that much more behind.

Keep startup costs low by:

1.    Keeping you day job – If you’re fortunate enough to still be employed, start your business during your free time. You will still have steady income from your day job which allows you to focus on making your business profitable with less risk.

2.    Not buying, leasing or renting office space – Launch your business from a simple home office to save on this expense. Many ventures can be easily managed from the home, eliminating the need to spend money on office space.

3.    Not hiring employees – If you need help from others, consider hiring them as contractors rather than  employees.

4.    Advertising by word-of-mouth – There are many ways to advertise your products and services without spending money. If you can’t sell it yourself, no one can.

There are many recession proof industries you can launch a successful business in. These include:

•    Food
•    Healthcare (including psychology and substance abuse)
•    Computers and IT – people tend to fix broken machines rather than buying new ones during a recession
•    Security
•    Education services (many people go back to school in hard economic times)
•    International business – the economy in other countries may be better

One challenge to starting a business is finding your niche – something that distinguishes you from other related things currently available. One of the best ways to find your niche is to create a business that offers something you needed but couldn’t find.

Read this article from Entrepreneur.com for more insights. And when you’re ready to launch your business, turn to the online incorporation experts at MaxFIlings.com to form a corporation online easily in just minutes.

While perusing online the other day in my daily ritual to find out what’s happening in the world, I came across this article in Foreign Policy about a topic we recently wrote extensively about in the online incorporation knowledge center at MaxFilings.com regarding microloans.

President Barack Obama recently awarded the Presidential Medal of Freedom, the nation’s highest civilian honor, to the pioneer of microloans Muhammad Yunus. In the ceremony at the White House, the president commended Yunus for “[unleashing] new avenues of creativity and [inspiring] millions worldwide to imagine their own potential.”

Establishing a micro-bank in Bangladesh, Yunus demonstrated how very small loans to the poor can not only be repaid, but generate new entrepreneurial ventures and create jobs, etc.

But critically looking at Yunus indicates some shortcomings with his ideas…not that they are bad, but they do not deliver the results, as is often claimed, to lift the world’s poorest out of poverty.

First, implementing something this massive would be tremendous. Approximately 4 billion people in the world live in poverty – $17 billion was loaned through microfinance in 2004, which is peanuts when considering how to end poverty.

Another problem is that microfinance is generally heavily subsidized – private micro-banks and finance organizations generally charge very high rates of interest. A micro-bank in Mexico charges 100% for example, which makes it not feasible for the poor.

The article goes on to suggest other ways to alleviate poverty and provide the financing for someone with limited means to form a corporation. The author’s uses the best of both Yunus’ and economist Hernando deSoto, who proposed in his book “Mystery of Capital” that poor people across the world have close to $9 trillion in frozen assets.

Read a $9 Trillion Question at Foreign Policy for more.

Are you a new entrepreneur who anticipates forming a corporation?

Do you know what different terms mean when thinking about incorporating a business?

A Glossary of Business Terms found in the online incorporation knowledge center at MaxFilings.com can help you easily learn these terms – or simply a resource to reference when you hear a business term you’re not familiar with.

For example, what does “aggregate par value” mean?

Well, a quick look in the glossary tells us that it is “the number of authorized shares multiplied by their par value is a corporation’s aggregate par value.”

This raises another question – what does “par value” mean?

Again, another quick look in the business terms glossary tells us that it is “the assigned value of a share of a corporation’s stock.”

The glossary contains many different terms organized alphabetically. Know what you’re looking for already? Simply click on the first letter in the term.

Quickly reviewing the glossary means you will know the lingo of forming a corporation so when you do, you are aware of all of its parts.