Archives 2021

Network Marketers often ask “Whats Deductible and whats notin a Multi-Level marketing business?”

Having a Multi Level Marketing business is what I call the “#1 tax shelter for the little guy”. Whether you work the business part-time, or are a full-time networker, once you start your own business, you can take advantage of many deductions available only to business owners. You can deduct a portion of your cell phone, vehicle, household and other expenses that you would not otherwise be able to write-off your tax bill if you were not in network marketing.

The federal and state tax codes are full of deductions for businesses, and you are entitled to take them whether you work your business from home or from a fancy outside office. In effect, you are sharing expenses with Uncle Samand your state governor as well.

Before we begin, it pays for you to know, in general, how businesses are taxed. Big picture-wise, the government taxes a businesss profit or net incomeso the less you end up with after expenses, the less taxes you pay. What that means to you is this: youre not taxed on gross receipts or your top-line income. Your tax liability is based on your bottom line, or whats left after deducting expenses. So the more you can deduct from you top line income, the better!

The tricky part is this: some expenses are deductible this year, but other expenses must be spread out over several years. For example, you might be able to write off 100% of the cost of new computers and furniture this year (per IRS Code Section 179). But if you dont have a lot of income, a wise strategy might be to defer some of that deductible expense to future years (depreciation expense). Start up costs can also be tricky: you can a portion this year if its the first year of your MLM business, but youll have to spread the rest (“amortize”) over the next several years.

That being said, here is a partial list of deductible expenses. Many of these are overlooked by Network Marketing business owners:

Accounting and Legal FeesAdvertising / Website
Auto and Truck Bank Charges
Computer ExpenseDues and Subscriptions
Education and TrainingEquipment and Furniture
GiftsHome Office Expense
InsuranceInventory
Licenses and PermitsMeals and Entertainment
Postage and DeliveryPrinting
Rent (“room dues”)Repairs
Retirement SavingsStart Up Costs
Supplies and MaterialsTaxes
TelephoneTravel
Uniform Expense

IRS Publication 463 “Travel, Entertainment, Gift and Car Expenses” is a must-read if you are doing your own tax preparation. It definitely pays to know the (IRS) code rather than assuming something is deductible when it comes to these areas.

Consider hiring a tax professional to prepare your tax return. Youll usually save far more in taxes than youll spend in his or her fees. Tax accountants know the rules, prepare hundreds of returns each year, can lower your tax bill, and help you avoid mistakes that might otherwise lead to an IRS audit.

Dedicated to multiplying your after-tax income,
Jim Flauaus

For some time, factoring has been a prominent part of the business world. It is a way for companies who are strapped for cash to sell their invoices, also known as their accounts receivable, to another company called a factor. The factor then pays an average eighty percent of what the total invoices are worth, minus a factoring fee for assessing the credit risk involved with the owner of the invoice. Now, there are risks and advantages for both parties. For the seller, they stand to gain quick cash they may need to drive their business or make head way into a new realm. They may also risk giving up nearly thirty percent in total profits their company would be due if they held out for their money. For the buyer, they get to pick up a high amount of invoices for a substantially discounted rate. However, if those paying the invoices have a poor credit history and will not be able to pay, they then take the risk of losing their money and barely making money with a lot of work, merely breaking even, or just losing money all together. That being said, small business factoring can be a tumultuous realm.

That said, one needs to look into emboldening what they have.

If one is able to see the strengths of small business, chances are they will be able to operate more successfully than focusing on the chance of changing their flaws.

For example, big business has price discounts. Small business cannot afford it. Thus, small business tries to focus on consumer relationship. There is a foreseeable relationship behind that.

It mirrors the same relationship of buyer and seller in small business factoring. Where one person has a weakness another no doubt has a strength, it’s how you employ those sides against your competitors.

One must do their best to see the relationship at hand, and work alongside them, not go against the grain.

In fact, the only time a business should go against the grain is if they are willing to lose what they’ve begun. If that is a risk they can put on the table, then rub anyone you want the wrong way. If you have people relying on you and cannot make those risks, it is important to find a way to move differently in the same direction as competitors.

Last thing one should remember if they decide they are going to be entering into a small business idea, whether it is a reliable and established idea such as small business factoring or not, that it’s a rough climate right now. The economy is off to a slow uphill climb, but that climb is going to take years. One must be ready and willing to put their model against an age of Internet technologies, social media, and so on. There is a lot to adapt to, and one knows that small businesses are getting continually crunched these days. That being said, innovation is the key word of the game and that should not be forgotten.

Are you thinking of starting your own business, but concerned about the cost? A smart move that can save entrepreneurs money using the latest technology is working virtually-from the comfort of your home. When you think of starting your own home based business, the first thing that come to your mind will be saving time and money while spending lots of free time with your family and the flexibility of making your own schedule.

The rising cost of gas and environmental affect of commuting encouraged most people to start their own business. Along with it, modern amenities such as Internet, email, fax and phone also allows you to work from anywhere you want. With these improved technologies, working from home and telecommuting is becoming a reality in many peoples lives.

Though commuting is often a necessity, it takes many hours that could be used effectively. Therefore, many workers are attracted towards telecommuting as it saves both time and money. Telecommuting is becoming increasingly popular as workers try to reduce commuting time. With telecommuting, you can save car and fuel expenses as well as have a few extra hours per week that would have been spent driving on the road.

With gas price being so expensive, it is no surprise that you will save big bucks in this area starting your own business. It is a great way to stay green while improving efficiency and productivity in your work field.

According to a data released by U.S. Census Bureau, “Americans spend more than 100 hours commuting to work each year.” Working from home will not only save your time and money, but also help in increasing productivity. As a business owner, you will have more flexibility staying with your family; you have more hours in a day to get the work done.

Telecommuting saves time, money and fuel. It is an arrangement in which you can work from home or from anywhere or wherever you can use your mobile telecommunication technology. All you need to start your own business is a computer, a phone and some network connection. You can also give your business a wider perspective by creating a web presence.

Working from home means no need to purchase office space, no need to maintain the office building, no utilities cost, no commuting expenses. This means saving money, which you can spend in increasing productivity in your business.

With ever increasing household expenses and everyday bills, many families are struggling to make their dream into reality. If you are not commuting to your work everyday, you could save several hundred dollars each month just by having a home business.

Again, a home based business allows one or both parents to be at home to care their children while still earning income. This not only saves you financially, but also gives you a peace of mind to be with your children.

Starting your business from home in this era of cost cutting can save you a great amount of money with minimizing commuting expenses.

If you look around all over the internet, there has been really a lot of hype around the Max International business in the last year or so. However, is all the buzz and hype with it and MaxGXL really worth it and is this a legitimate opportunity or just a scam?

OK, so starting at the beginning, what is the Max International Business all about and

All of which sounds excellent, but lets take a closer look at the Max International product line and what they specifically sell. The main product is MaxGXL and that contains glutathione, which aides and improves energy levels, detoxifies your body, and boosts your natural immune system.

Now, take a look at the Max International compensation plan. Overall, it has nine key tiers of payout, to include: retail profits, preferred customer commissions, FastTrack commissions, team commissions, 7 level matching bonus, bonuses for ranks advancement, a global bonus pool, and a bonus car program. Overall, at the core though, it really looks like a pretty normal network marketing opportunity pay plan.

Is Max International really just a scam? No, not at all. It seems to be an up and coming company with a very distinct product line and a good payout plan for its distributors.

But, as is the case with any MLM opportunity, the real deal for the Max International business will be the marketing that its distributors do. That really is the way things become successful, even if they have the latest and greatest products and the best compensation plan.

If you are a Max International business builder, I highly suggest you learn how to effectively market either the business or product in order to be really successful. Learn something like pay per click marketing, electronic magazine ads, or video marketing. This is what creates prospects, leads and downlines.

If you would like to learn more about building your Max International business, read below and click on the link for more information.