The Daily Herald had an article in Sunday’s Newspaper about the importance of an Accountant or CPA in advising your business. You can imagine that we at GLM agree with this this. Having an outside look at your business and finances is very important to the growth and stability of your business.

About the Author:
Denice Gierach is an attorney, CPA, Northwestern University business master's graduate, and has owned several businesses including in real estate and manufacturing. She is the lead attorney at Gierach Law Firm in the Chicago area. With more than 30 years of experience, she has been a respected and sought-after resource for businesses looking to grow, sell, solve problems, and succeed long term.
Her insights across business areas gives a fuller lens to business issues and solutions, and helps businesses grow and succeed with less time spent on legal issues and other time-consuming problems
 
Here is a link to the Article:
​ https://www.dailyherald.com/business/20221204/the-importance-of-involving-your-cpa-in-your-business
​

The Tuesday after Thanksgiving marks Giving Tuesday when many people choose to make charitable donations. People making charitable donations for Giving Tuesday, or at any time during the year, should review whether their gift is tax-deductible.

Donations to charities may be deductible
Most contributions of cash or property made to a charitable organization are deductible as an itemized deduction on Schedule A, Form 1040, Itemized Deductions. Cash contributions include those made by check, credit card or debit card, as well as unreimbursed out-of-pocket expenses in connection with volunteer services to a qualifying charitable organization. Donations of property other than cash are generally deductible at their fair market value.

There are some contributions that aren’t tax deductible, including donations:

• Made to a supporting organization
• Intended to help establish or maintain a donor advised fund
• Carried forward from prior years
• Made to most private foundations
• Made to charitable remainder trusts
• Of time spent volunteering

Some things to do when a taxpayer is considering making charitable gifts include:

• Use the Interactive Tax Assistant to help determine if a charitable contribution is deductible.
• Get a written acknowledgement for any charitable contributions of $250 or more.
• Research charities they are considering donating to carefully.

Tax Exempt Organization Search tool
As people are deciding where to make their donations, the IRS has a tool that may help. Tax Exempt Organization Search on IRS.gov is a tool that allows users to search for charities. TEOS provides information about an organization's federal tax status and filings.

Things to know about the TEOS tool:

• Donors can use it to confirm an organization is tax-exempt and eligible to receive tax-deductible charitable contributions.
• Users can find out if an organization had its tax-exempt status revoked.
• TEOS does not list certain organizations that may be eligible to receive tax-deductible donations, including churches, organizations in a group ruling and governmental entities.
• TEOS lists organizations under the legal name or a "doing business as" name on file with the IRS. No separate listing of common or popular names is searchable.

​Qualified charitable distributions
Taxpayers age 70 ½ or older can make a qualified charitable distribution directly from their IRA, other than a SEP or SIMPLE IRA, to a qualified charitable organization. The maximum annual amount a taxpayer may exclude from income for a QCD is $100,000. A QCD may also count toward the taxpayer’s required minimum distribution for the year. Taxpayers should review Publication 590-B, Distributions from Individual Retirement Arrangements, for more information.

We recently met with Wendy Schulz, Preferred Funding Group based in West Dundee. They help to secure the funding you need to start or grow your business with help from their trusted team of Experts! Whether you’re looking to start a new business or looking to grow your business, a personal or business loan from PFG can make your plans into a reality.

Qualify for up to $500,000 today

FUNDING PROGRAMS

• 5 or 7 year Term Loans
• Business Credit Card Program
• Personal Credit Card Program

​TERM LOAN PROGRAM

• Rates range from 5.49%-14.99%
• No minimum length of time in business
• Fixed monthly payment
• No upfront fees
• Full liquidity Immediately
• Funding in 7-15 business days
• (Dependent on strength of personal credit)

REQUIREMENTS

• 680+ Personal Credit scores in all 3 bureaus
• 2 years personal tax returns showing $50,000 or more of taxable income

​BUSINESS CREDIT CARD PROGRAM

• 0% Interest for 6-12 months
• No minimum length of time in business
• Stated income
• No upfront fees
• Reports only to the business

REQUIREMENTS

• 700+ Personal Credit Scores on all 3 bureaus
• Established Business Entity

Apply today: ​https://preferredfundinggroup.wufoo.com/forms/q1b99q130o9718l/ 

The end of the calendar year is an important time for businesses of all sizes. It's when businesses need to start organizing the year's financial information for tax season. Though the filing deadline may be months away, your company should be thinking about ways to make that period as easy as possible.
What should small business owners be doing right now to prepare for tax season.

Automate your tax prep
In today's world, there are countless programs, apps and services available to help make tax time less of a burden. Using QuickBooks in your business to track your sales, expenses and other financial information helps to make the tax preparation process more streamlined. The way taxes should be dealt with is to automate the process. The earlier you proceed towards automation, the less time needed to work in tax season, which means more time remaining to focus on your business.

​Review your business expenses
As every business owner knows, tax season means taking stock of the company's income, expenses and deductions. To get ahead of this task, business owners should do this throughout the year, thus ensuring a smooth ride when it comes time to file taxes.
The biggest part of preparing for taxes is what should already have been done which is keeping track of all business expenses throughout the year. If everything has been entered into your accounting system in a timely fashion, then the hardest part is done. If not, you need to set aside some time to gather and enter everything correctly."
Implementing a good filing system, is key to making sure you can easily locate and organize all your business expenses. Again, accounting software like QuickBooks Online is affordable option for small businesses looking to sync and track bank account activity, expenses and invoices.

Learn which tax law changes will affect you
Tax laws are constantly changing, and it's wise to stay alert and up-to-date on changes that could affect your business. Business owners need to recognize that new reporting requirements, I'll need to make sure you're meeting those requirements.
If you're unsure of what any tax law updates could mean for your business, be sure to consult your accountant.

Best practices for tax time
Understand your deductions and requirements. Consult with a tax preparer before the end of the year will help them clean things up, take better advantage of available deductions, and hopefully costs. For example, many owners may not be aware that the tax code only allows a 50 percent deduction for meals and entertainment. However, there is an allowed deduction of 100 percent for specific meals, like holiday parties, or when an employer provides a meal for employees at work, for the employer's convenience. Knowing how to track these items during the year will ensure the best possible deduction.

Think about how future plans will affect next year's numbers. Are you going to be selling your business next year? Speak with your accountant about the reporting method you use — cash basis or accrual basis. The method will impact your P&L [profits and losses]. When a buyer is looking at your business, less profit can influence whether they will buy.

Save up for tax-day liability costs. With no cash to cover the tax liability, the consequence is usually additional fines and penalties that would not have been accrued with proper planning and focus. Our recommendation is to create a separate bank account. As money comes in, set it aside into that account ... and when Tax Day comes, you have the cash on hand to cover your liability.

​Know when to outsource. Many small businesses are successful due to their do-it-yourself approach to solving problems. Taxes are sometimes best left to the professionals. By hiring a professional, you ensure that they're done correctly, and free yourself up to continuing managing your primary business needs.

All taxpayers should familiarize themselves with the Taxpayer Bill of Rights

By law, all taxpayers have fundamental rights when they’re interacting with the IRS. It’s important that all taxpayers know and understand their rights. The Taxpayer Bill of Rights presents these rights in 10 categories.

Here’s an overview of these rights. For full official details about each right, click the links below.

• The right to be informed Taxpayers have the right to know what they need to do to comply with the tax laws.
• The right to quality service Taxpayers have the right to receive prompt, courteous and professional assistance when working with the IRS and the freedom to speak to a supervisor about inadequate service.
• The right to pay no more than the correct amount of tax Taxpayers have the right to pay only the amount of tax legally due, including interest and penalties, and to have the IRS apply all tax payments properly.
• The right to challenge the IRS’s position and be heard Taxpayers have the right to object to formal IRS actions or proposed actions and provide justification with additional documentation.
• The right to appeal an IRS decision in an independent forum Taxpayers are entitled to a fair and impartial administrative appeal of most IRS decisions, including certain penalties.
• The right to finality Taxpayers have the right to know the maximum amount of time they have to challenge an IRS position and the maximum amount of time the IRS must audit a particular tax year or collect a tax debt.
• The right to privacy Taxpayers have the right to expect that any IRS inquiry, examination or enforcement action will comply with the law and be no more intrusive than necessary.
• The right to confidentiality Taxpayers have the right to expect that their tax information will remain confidential.
• The right to retain representation Taxpayers have the right to retain an authorized representative of their choice to represent them in their interactions with the IRS.
• The right to a fair and just tax system Taxpayers have the right to expect fairness from the tax system. This includes considering all facts and circumstances that might affect their liabilities, ability to pay or provide information timely.

Power Partnerships

• Usually evolve from Networking
• Meeting weekly builds:
• Trust
• Understanding
• Cooperation
• Commitment
• Synergy

Identify Power Partnerships

• People who share similar client universes
• They directly refer clients to you
• You directly refer clients to them
• Who are your competitors?
• Are they really your competitors?
• If you are an expert at one aspect of your field, and they are experts at another aspect you may be able to share clients
• Leads into Powerful Partnerships

The Best Power Partners

• Well Connected People
• Mutual Support of personal & business
• Diverse perspectives key to success
• Your B.R.A.N.D. should be similar
• Adopt each others core values

Key Questions To Ask

• What (Specifically) do you do?
• How do you do it?
• What is something someone might say that would lead me to think of you?
• What is a “Typical Situation” people are in when they realize they need your help?
• How can I introduce you?

Answer These Questions about Yourself (and Share)

Please come to the Schaumburg Business Association Coffee and Contacts. It is a great networking event AND include a presentation from GLM's own, Tom Gosche!

This Thursday October, 27th, 2022 at 7:30am
Coffee & Water Provided by Fairfield Inn & Suites
Breakfast provided by The Bear Family Restaurant, Schaumburg 

Location: Fairfield Inn & Suites, 700 National Parkway Schaumburg IL 60173

Fees/Admission: SBA Member $15, Non-Member $20

Click here for more information and registration:
https://members.schaumburgbusiness.com/events/details/coffee-contacts-build-your-sales-force-with-constant-connections-09-29-2022-3952?calendarMonth=2022-10-01

Topic:
From the bestselling book Masters of Sales, which Tom is a contributing author, he shares 5 secrets to creating dozens of sales volunteers for your company.

You will pick up 5 strategies that will help you grow your business from the inside out. There are ideas for creating and implementing effective business building strategies by developing your personal and business brand.

Speaker Tom Gosche is a Business Strategist dedicated to helping business owners be more profitable through customized business and financial strategy. His BRAND System™ is a process of creating and implementing effective brands, business building strategies, financial insight and business transition success.

Seeing Tom in action quickly impresses upon attendees his skills, knowledge and expertise in a lighthearted, even humorous, presentation.

Tom is a part of GLM, Inc. as a business consultant and business developer. He has formulated the idea of the BASiC Cycle of working with business owners. BASIC was formed with business owners in mind, by combining growth strategies, business planning and financial review on a regular basis.

When a business hires an independent contractor, the employer is generally not responsible for withholding income taxes, Social Security, or Medicare taxes from their compensation. However, by law, business taxpayers who pay nonemployee compensation of $600 or more must report these payments to the IRS. They do this using Form 1099-NEC, Nonemployee Compensation.

Generally, payers must file Form 1099-NEC by January 31. There is no automatic 30-day extension to file Form 1099-NEC. However, an extension to file may be available under certain hardship conditions.
Nonemployee compensation reportable on Form 1099-NEC is subject to backup withholding if a payee has not provided a Taxpayer Identification Number to the payer or the IRS notifies the payer that the payee provided a TIN that does not match their name in IRS records.

A TIN can be one of the following numbers:

• Social Security
• Employer identification
• Individual taxpayer identification
• Adoption taxpayer identification

​What is backup withholding?
Backup withholding can apply to most kinds of payments reported on Forms 1099 and W-2G. The person or business paying the taxpayer doesn't generally withhold taxes from certain payments; however, there are situations when the payer is required to withhold a certain percentage of tax to make sure the IRS receives the tax due on this income. The payer's requirement to withhold taxes from payments not otherwise subject to withholding is known as backup withholding. The current backup withholding tax rate is 24%.

Fast facts to helps taxpayers understand backup withholding

Under the tax law, payers responsible for knowing who they are paying. To accomplish this, payers are required to collect the legal name and taxpayer identification number, or TIN, from vendors they pay. Generally, backup withholding is required when a service vendor does not provide the payer their TIN timely or accurately. This type of withholding can apply to most payments reported on certain Forms 1099 and W-2G.

Here’s what taxpayers need to know about backup withholding.
Backup withholding is required on certain non-payroll amounts when certain conditions apply.
The payer making such payments to the payee doesn't generally withhold taxes, and the payees report and pay taxes on this income when they file their federal tax returns. There are, however, situations when the payer is required to withhold a certain percentage of tax to make sure the IRS receives the tax due on this income.

Backup withholding is set at a specific percentage.
The current rate is 24 percent.

Payments subject to backup withholding include:

• Interest payments
• Dividends
• Payment card and third-party network transactions
• Patronage dividends, but only if at least half the payment is in money
• Rents, profits, or other gains
• Commissions, fees, or other payments for work done as an independent contractor
• Payments by brokers
• Barter exchanges
• Payments by fishing boat operators, but only the part that is paid in actual money and that represents a share of the proceeds of the catch
• Royalty payments
• Gambling winnings, if not subject to gambling withholding
• Taxable grants
• Agriculture payments

Examples when the payer must deduct backup withholding:

• If a payee has not provided the payer a Taxpayer Identification Number.
  • A TIN specifically identifies the payee.
  • TINs include Social Security numbers, Employer Identification Numbers, Individual Taxpayer Identification Numbers and Adoption Taxpayer Identification Numbers.
• If the IRS notified the payer that the payee provided an incorrect TIN; that is the TIN does not match the name in IRS records. Payees should make sure that the payer has their correct name and TIN to avoid backup withholding

Direct from Andrea Biwer, Executive Director of the Des Plaines Chamber of Commerce:

I am writing to inform you that the Source Grow Grant, designed to help small businesses who have been affected by the COVID-19 pandemic, application is NOW OPEN.
 
The Cook County Small Business Source Grow Grant provides capital integrated with business advising to small businesses, prioritizing historically excluded businesses – those owned by Black, Latino(a), other people of color, Women, Veterans, and Persons with a Disability – to close racial wealth and other opportunity gaps. http://cookcountysmallbiz.org/growgrant/ 
 
Awarded businesses will receive $10,000 each. The application will only be open from 10/3 – 10/31.
 
To apply for this grant, businesses will need the following:

• Photo ID
• 2019 Tax Returns
• W-9 (signed and dated by owner in 2022)

 
Eligibility Requirements:

• Must have been opened as of 2019
• Must be in Cook County
• Must have made at least $10,000 revenue in 2019
• Must have less than 19 full time employees

 
Our partners at the Berwyn Development Corporation will be leading outreach across west suburban Cook County. They will be hosting informational sessions at their office in Berwyn/ zoom in the coming weeks to share eligibility requirements and for a step-by-step walkthrough of the application.
 
At these sessions, you will also be able to schedule a one-on-one session with someone from their team to help with your application submission. 
 
Register to attend the informational session:
 
Tuesday, October 18th from 4 – 5 PM
 
Can’t attend a session?
Contact Paola at paolag@berwyn.net or (708) 749-6582 to schedule a one-on-one consultation.
 
If you have any questions, please contact Andrea via email (abiwer@dpchamber.com) or at 847-824-4200. If you are ready to apply, see below for links etc. you have until October 29, 2022 to apply.

From Lisa Gilbert, President, Schaumburg Business Association:

The second is through the Comcast Rise program to help small businesses owned by women and/or people of color.  Cook County is one of five locations in the nation participating.  They will be distributing $10,000 grants as well.  You can learn more at www.ComcastRISE.com

One of the largest issues facing manufacturing companies today is not being able to find or retain a labor force.

Denice Gierach, Gierach Law wrote a great article in the Daily Herald on Sunday October 2, 2022.
https://www.dailyherald.com/business/20221002/attracting-and-keeping-a-strong-labor-force-in-manufacturing

​Locally, the Rotary Club of Schaumburg Hoffman Estates continues to help businesses and students in the area into the Applied Sciences. Rotary has provided Tool Kits for High School Graduates heading to  an Autos program at the next level. You can help by sponsoring the Club. See the Brochure below.

Also, The Northwest Educational Council for Student Success (NECSS) partners provide students in Chicago's northwestern suburb with opportunities to acquire the knowledge and skills to be successful in their careers. You can learn more about this at: ​www.necsspartnership.com/