As anyone watching the Cavs recent playoff run can tell you, a team needs production from more than just its star player to be successful. If LeBron’s supporting cast is not hitting their shots, the team has very little chance of winning the game.

In terms of running a small business, this is also true. While the owner may be the “star,” they can’t do it all. They need a reliable team of specialists such accountants, attorneys, bankers, insurance agents and financial advisers. With all of these team members working together, a business has a great chance of success.

Read our latest SBN Insights article, “No ‘I’ in Team” by Roger Gingerich, for more on why a business owner should never go it alone.

The Real Estate and Construction Group at Skoda Minotti along with our partners at Aurum Wealth Management Group are pleased to announce that we will be hosting a "State of the Industry" report by Ivy Zelman, CEO of Zelman & Associates. Ivy is the leading industry source for homebuilding related equity research.  

Ivy's credentials include having been a member of Institutional Investor's All-America Research Team for 12 consecutive years, including eight number one rankings. She was featured by Forbes magazine three consecutive years as the number one earnings estimator among over 3,300 security analysts. In 2005 and 2006, she was ranked 14th in Builder Magazine's Power Broker list of the 50 most influential people in homebuilding, which included such luminaries as President George W. Bush and Alan Greenspan.

We'd like to invite you to join us the morning of May 15 at the Double Tree Inn on Rockside Road when Ivy will be discussing both the private and commercial real estate markets as well as the current lending market and her thoughts on where the real estate industry is headed in the future.  

Registration to the event is free, we only ask that you take a few minutes to complete our real estate or construction industry survey. After you complete the survey, you will be registered for the event and receive a confirmation email within 24 hours.

If you are in the real estate industry, click here to take our survey and register for the event.

If you are in the construction industry, click here to take our survey and register for the event. 

* Special thanks to the professionals at Frantz Ward, LLP, Parkview Federal, Associated Builders and Contractors and Smart Business Cleveland for their assistance developing these surveys.

We look forward to seeing you at this great event. Please feel free to contact Bob Goricki at 440-449-6800 with any questions.

While the highlight of the Economic Stimulus Act is often seen as the upcoming rebate checks, the act also provides many valuable advantages to businesses. In case you missed our earlier e-blast on the topic, here's a quick rundown of what you need to know about the Economic Stimulus Act.

Rebate Checks to Individuals 

Here’s a breakdown of rebate checks to be received by individuals with at least $1 of tax liability in 2007 or $3,000 in qualifying income.  

·  Single taxpayers will receive a tax rebate up to $600

• The amount of this rebate will be reduced by 5 percent of the amount that the individual’s 2007 adjusted gross income (AGI) exceeds $75,000
• The minimum rebate $300 

·  Joint filers will receive a tax rebate up to $1,200

• The amount of this rebate will be reduced by 5 percent of the amount that the couples’ 2007 AGI exceeds $150,000
• The minimum rebate is $600 

·  In addition to these amounts taxpayers will receive $300
   per child under the age of 17

• These rebates will also be phased out at 5% of AGI in excess of $75,000 ($150,000 joint). 

Tax Benefits to Business

For assets put into service by business owners in 2008, business owners can elect to expense up to $250,000 (increased from $128,000) of qualifying property instead of taking depreciation.

The $250,000 maximum amount that can be expensed is reduced dollar-for-dollar if qualifying property in excess of $800,000 (increased from $510,000) is placed in service in a taxable year beginning in 2008. For taxable years beginning in 2009 and thereafter, the prior limitation amounts continue to apply.

Bonus Depreciation

An additional benefit of the act is that now businesses are allowed a 50% bonus depreciation on assets placed into service in 2008. This includes tangible property with a recovery period not exceeding 20 years, purchased computer software, water utility property and qualified leasehold improvement property. 

Example

Here’s an example of how these new tax benefits can be calculated:

·  A $500,000 asset is placed into service in 2008   

·  $250,000 may be expensed under Section 179

·  $250,000 remains to be depreciated  

·  A further $125,000 may be expensed as Bonus    
   Depreciation (50% of $250,000)  

·  Asset now has a $125,000 base from which to take
   standard 1^st year depreciation   

·  For this example we’ll assume 5-year property = $25,000
   1^st year depreciation  

·  Total deduction in 2008 is $400,000 on the asset  

·  Remaining $100,000 cost of the asset is recovered under
   the otherwise applicable rules for computing depreciation

Please contact us at 440-449-6800 with any questions you may have regarding these new regulations.

Starting in the April issue of Smart Business Cleveland, you’ll want to be sure to keep an eye out for Skoda Minotti Insights articles. Each month, one of our advisors examines an issue key to the business growth cycle – from startup to succession.

In the April issue, we’ll be covering writing a business plan. To see what topics we’ll be covering in upcoming months, you can click here.

You can always view our past Insights articles in the resources section of this site.

Looking for a way to help your employees improve their productivity and in turn, help you grow your business? Improved employee training programs are a great way to achieve both goals.

The Ohio Department of Development wants to help your business implement these programs and is offering a new grant that provides reimbursement of up to $1,000 per employee (capped at $200,000 per company) through the Ohio Incumbent Worker Training Program.

Eligible training activities include any training to upgrade the skills and knowledge of eligible employees with the exception of basic skills training.  The program reimburses companies for training of employees that have been employed by the company for 180 days. 

The new application process stipulates that prior to the submission of an application, a Department of Development regional workforce training coordinator will work with your company to assess eligibility. If your company qualifies, the representative will work with you to create a training plan and timeline and identify training provider(s). 

We’d like to welcome you to the first entry of our new blog. As the headline suggests, this blog will be aimed at giving you the information you need to run your business more efficiently and effectively.

In the coming weeks and months, you’ll see posts on a variety of topics including accounting issues, tax law changes, information technology updates, financial staffing trends and more.

We’d love to hear your feedback on this blog. Let us know which business issues you’d like to see covered here and we’d be glad to address it in an upcoming post.