The Heart of Our Communities ❤️

Every big idea starts small—and this week, we proudly shine a spotlight on the entrepreneurs, dreamers, and doers who make our communities thrive. National Small Business Week is a time to recognize the vital contributions small businesses make to our local economies, job creation, and the character of our towns and cities.

Why Small Businesses Matter
Small businesses aren’t just storefronts or service providers—they're the heart and soul of our neighborhoods. They bring innovation, personalized customer service, and deep-rooted community involvement. According to the U.S. Small Business Administration, small businesses make up 99.9% of all U.S. businesses and employ nearly half of the nation's private workforce. That's not just impressive—it's essential.

More Than a Business: A Mission
Behind every small business is a story—of passion, persistence, and purpose. Whether it’s the family-run bakery on Main Street, the tech startup launched from a kitchen table, or the local accountant helping other businesses stay afloat, these entrepreneurs take risks, solve problems, and drive progress.

How You Can Celebrate
Here are a few ways to show your support this week:

• Shop local 🛍️ – Choose a small business over a big box store.
• Leave a positive review – A few kind words online can make a big difference.
• Refer a friend – Word of mouth is gold.
• Give them a shoutout – Post on social media about a small business you love.

​A Message to Small Business Owners
To all the small business owners: thank you. Your courage, creativity, and commitment make our communities stronger and more resilient. This week—and every week—we celebrate you.
Keep dreaming big, working hard, and building better. The impact you make is greater than you know.

How to Leverage Debt Wisely

For many business owners, borrowing is not a matter of if, but when and how. Access to capital can be a powerful tool to grow your business, invest in new opportunities, or simply manage cash flow. But debt must be handled strategically — otherwise, it can quickly become a burden rather than a boost.
Here’s a smart approach to borrowing for business owners:

1. Borrow with a Purpose
Before taking on debt, clearly define what the funds will achieve. Are you expanding operations? Buying essential equipment? Smoothing seasonal cash flow? Good debt fuels growth or stability. Borrowing without a clear plan, however, can put unnecessary strain on your business.

2. Match the Loan to the Need
The type of borrowing should match the nature of the expense:

• Short-term needs (like inventory or a temporary cash flow gap) fit best with lines of credit.
• Long-term investments (like real estate or major equipment) warrant longer-term loans. Aligning the loan term with the asset's lifespan helps ensure you aren't stuck paying for something long after it’s lost value.

3. Understand the True Cost
Interest rates are important, but they aren't the whole story. Review all fees, early repayment penalties, and terms. Calculate the annual percentage rate (APR), not just the advertised rate. And ask: Will the return on investment (ROI) from borrowing outweigh the total cost?

4. Protect Your Cash Flow
Even affordable debt can stress your business if payments are not aligned with your cash flow cycles. Build loan repayment into your financial projections, and always keep a cushion for unexpected expenses.

5. Maintain a Strong Credit Profile
Good credit gives you access to better terms and more flexible options. Regularly monitor your business credit report, pay obligations on time, and keep debt levels manageable relative to your revenue.

6. Consider Alternative Funding
Traditional bank loans aren't the only option. You might explore:

• SBA loans
• Equipment financing
• Invoice factoring
• Venture capital or investor funding The right option depends on your business stage, needs, and risk tolerance.

Smart borrowing is about strategy, not just survival.
When used wisely, debt can be a powerful lever to drive your business forward — but it requires discipline, planning, and clear financial vision.
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Need help creating a borrowing strategy that fits your business goals? Reach out to a trusted advisor who can guide you through the options and risks.

Introduction
In 2025, the United States has implemented significant changes to its tariff policies under the Trump administration. These adjustments aim to address trade imbalances, protect national security, and encourage domestic manufacturing. However, they also present challenges for businesses and consumers alike.​

Key Tariff Developments
1. Escalation of Tariffs on Chinese Imports
The U.S. has increased tariffs on Chinese goods to a cumulative 145%, combining a 10% baseline tariff, a 125% reciprocal tariff, and an existing 10% fentanyl-related tariff. This move targets a wide range of products, including electronics, with the goal of reducing dependence on Chinese manufacturing.
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2. Expansion of Steel and Aluminum Tariffs
As of March 12, 2025, a 25% tariff applies to all steel and aluminum imports, including derivative products like canned goods. This policy aims to bolster domestic production and close loopholes from previous exemptions. ​

3. Implementation of Reciprocal Tariffs
The administration has introduced a 10% baseline tariff on imports from all countries, with higher rates for nations with significant trade surpluses with the U.S. This strategy seeks to promote fair trade practices and address longstanding trade deficits. ​

Impacts on Businesses and Consumers
Small Businesses Face Manufacturing Challenges
Many small U.S. businesses struggle to shift manufacturing domestically due to higher costs, limited expertise, and regulatory hurdles. China's efficient and specialized production systems continue to be vital for these companies, making relocation efforts economically unfeasible. ​

Consumer Electronics Affected
Electronics, including smartphones and computers, are now subject to increased tariffs. While there was initial confusion about exemptions, the administration clarified that these products would face tariffs under national security provisions, impacting prices and supply chains. ​

Global Reactions and Trade Dynamics
China's Retaliatory Measures
In response to U.S. tariffs, China has raised its tariffs on American goods to 125%. Additionally, China has implemented export restrictions on critical minerals essential for electronics and aerospace industries, escalating trade tensions between the two nations. ​

Market Volatility
The implementation of new tariffs has led to significant market fluctuations. Stock indices have experienced declines, reflecting investor concerns over the potential economic impact of escalating trade disputes. ​

Learn More at the Schaumburg Business Association
For those seeking to understand the complexities of the current tariff landscape and its implications on global trade, the Schaumburg Business Association is hosting an event titled "2025 Global Trade Update: The Latest on Tariffs, Free Trade Agreements & the Impact on Global Purchasing, Sales & Manufacturing." This event will provide valuable insights and discussions on navigating the evolving trade environment.
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Event Details:

• Date: April 25, 2025
• Location: Schaumburg Business Association
• More Information & Registration:
  
  • https://members.schaumburgbusiness.com/events/details/2025-global-trade-update-the-latest-on-tariffs-free-trade-agreements-the-impact-on-global-purchasing-sales-manufacturing-7701?calendarMonth=2025-04-01​

Conclusion
The evolving U.S. tariff landscape in 2025 presents a complex scenario for businesses, consumers, and international trade relations. While the policies aim to strengthen domestic industries and address trade imbalances, they also introduce challenges that require careful navigation and strategic planning.​

For more detailed information on specific tariff rates and affected products, businesses should consult the latest updates from official government sources and trade compliance experts.

Why Strategic Alliances Might Be Your Best Growth Move Yet

In today’s fast-paced world, you don’t have to build your business alone. In fact, some of the most successful businesses grow faster and more efficiently by forming the right partnerships. Strategic alliances can open the door to new customers, untapped markets, fresh ideas, and additional revenue.
Here’s how to make partnerships work for your business:

1. Find Complementary Businesses
Look for businesses that serve the same target audience but aren’t your direct competitors.
For example, a realtor may benefit from partnering with a mortgage broker, or a business consultant might team up with a marketing agency.

2. Start with Shared Value
The foundation of any great partnership is mutual benefit. Ask yourself: What value can we offer each other? What can we create together that benefits both parties?

3. Build Co-Branded Experiences
Joint workshops, events, webinars, or collaborative content projects allow both businesses to expand their reach, build credibility, and offer something unique to their audiences.

4. Create a Referral Pipeline
Forming a structured or informal referral system with your partners can become a reliable source of new business. Be clear about expectations, track referrals, and celebrate mutual wins.

5. Stay Aligned and Communicative
Partnerships only thrive when there’s consistent communication and a shared vision. Regular check-ins help you stay on the same page and ensure the relationship continues to grow.
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Final Thought:
The right partnerships do more than grow your business—they help you build something stronger, more dynamic, and more connected. If you're ready to scale, look beyond solo strategies. Partnership might just be your smartest next step.

 and Maximize Your Retirement Savings
When it comes to planning for retirement, Individual Retirement Accounts (IRAs) are a popular and powerful tool. But even seasoned investors can make mistakes that limit the benefits of their IRAs. Whether you’re just starting out or approaching retirement, here are ten common IRA missteps—and how to steer clear of them.
1. Waiting Until the Last Minute to ContributeProcrastination can cost you. Many investors wait until just before the tax deadline (typically April 15) to contribute. While it still counts, those late contributions have less time to grow. Try to contribute earlier to give your money more time to compound.
2. Assuming Roth IRA Contributions Are Always BetterRoth IRAs are appealing, but they aren’t the best choice for everyone. If you're in a high tax bracket now and expect to be in a lower one in retirement, a traditional IRA might be more beneficial because of the immediate tax deduction.
3. Thinking It’s Either Roth or Traditional—Not BothYou don’t have to choose just one type of IRA. If you qualify, you can contribute to both a Roth and a traditional IRA in the same year—just stay within the annual contribution limits.
4. Not Understanding Income Limits for Roth IRAsHigh earners may not be eligible to contribute directly to a Roth IRA. But that doesn’t mean you’re out of options—backdoor Roth conversions may still be on the table, depending on your tax situation.
5. Assuming a Backdoor Roth IRA Is Always Off-LimitsHave a lot in traditional IRAs that haven’t been taxed? You may still be able to do a backdoor Roth, but watch out for the pro-rata rule. Consulting a tax advisor can help avoid unintended tax hits.
6. Not Contributing Later in LifeThink it’s too late to invest in an IRA? Think again. Roth IRAs don’t have required minimum distributions (RMDs), making them a valuable estate planning tool. Even if you’re retired, you might still benefit from making contributions.
7. Delaying Contributions Due to Short-Term Market ConditionsMarket volatility might make you hesitate, but don’t let short-term swings stop you from saving for the long term. Roth contributions can be withdrawn without taxes or penalties, so flexibility is built-in.
8. Misunderstanding the Five-Year RuleRoth IRAs have a five-year rule that determines whether earnings can be withdrawn tax-free. Each conversion or contribution has its own five-year clock, so be sure you understand how it applies to you.
9. Doubling Up on Tax Shelters in One YearBe careful if you’re maxing out multiple tax-sheltered accounts like an IRA and an HSA or 529 plan. The IRS has rules around how much can be contributed across various plans, and penalties can be steep for over-contributing.
10. Missing Required Minimum Distributions (RMDs)If you have a traditional IRA and are age 73 or older, RMDs are mandatory. Miss them and you’ll face a hefty penalty—up to 25% of the amount you should have withdrawn. Stay on top of deadlines and amounts.

Final Thoughts
IRAs are a fantastic way to build wealth for retirement, but avoiding these common mistakes can make a big difference in how much you save—and how much you keep. Consider speaking with a financial advisor or tax professional to ensure you’re making the most of your IRA strategy.
Need help navigating your retirement planning? We’re here to help!

Tax season can be stressful—especially if you realize you owe more than you can afford to pay. The good news? You have options. And the worst thing you can do is ignore the situation. The IRS actually wants to work with you—but only if you take the first step.
Here’s a breakdown of what to do if you can’t pay your taxes on time:

1. Always File Your Return (or an Extension)
Even if you can’t pay, filing your return is essential. Not filing can lead to much more serious consequences, including penalties and interest that build quickly—and even actions like wage garnishment or passport restrictions.
Filing lets the IRS know you’re being proactive. If you need more time, file for an extension by April 15 to avoid failure-to-file penalties.

2. Look Into Free Help
You’re not alone. The IRS partners with organizations that offer free help to those who qualify. Volunteer Income Tax Assistance (VITA) programs are available nationwide and can help you file your return or set up a payment plan.
To find one near you, visit the IRS Free File page at irs.gov.

3. Explore IRS Payment Options
Can’t pay your full bill right away? That’s okay. The IRS offers several tools to help you manage your balance:

• Installment agreements: Set up monthly payments over time.
• Offer in Compromise: If you truly can’t afford to pay your full balance, you may qualify to settle for less.
• Currently Not Collectible: In extreme hardship cases, the IRS may pause collections entirely.

A tax professional can help determine the best option based on your financial situation.

4. Don’t Ignore IRS Notices
Once you file, stay engaged. If you receive a notice from the IRS, respond promptly. They’re often willing to work with taxpayers—but communication is key.

5. Hardship Happens—You’re Not Alone
Life throws curveballs. Job loss, illness, and other financial setbacks happen to many people. “We see taxpayers who are rarely in debt but suddenly face a year where everything goes wrong,” says Tom O’Saben of the National Association of Tax Professionals.
Being honest with the IRS about your situation can go a long way.

Final Thought:It might feel overwhelming now, but not taking action will only make things worse. File your return, seek help, and know that solutions are available. You don’t have to go it alone—and the IRS is often more flexible than you’d expect.

Need help navigating your tax situation? Consider working with a tax professional who can help you explore your options and advocate on your behalf.

Read the AP Article in the Daily Herald: ​www.dailyherald.com/20250329/finance/what-to-do-if-you-cant-pay-the-taxes-you-owe/

As we move into spring, business owners have a golden opportunity to clean up their books, fine-tune their financial strategies, and set the stage for success in the months ahead. Whether you’ve just wrapped up tax season or are gearing up for the next quarter, now is the perfect time to refresh your business finances.

1. Review Your Financial Statements
Start with a deep dive into your profit and loss statement, balance sheet, and cash flow statement. Understanding where your business stands financially will help you make informed decisions for the rest of the year. Look for trends, identify areas for improvement, and ensure your numbers align with your business goals.

2. Clean Up Outstanding Invoices & Payables
Unpaid invoices and late payments can disrupt your cash flow. Now is the time to follow up with clients on outstanding payments and reconcile your accounts payable. If late payments are a recurring issue, consider setting up automated reminders or offering small discounts for early payments.

3. Evaluate Your Budget & Adjust for the Year Ahead
Your business goals may have evolved since the start of the year, and your budget should reflect that. Take a fresh look at your expenses, revenue projections, and upcoming investments. Adjust your budget to optimize spending and ensure you’re on track to meet your financial objectives.

4. Maximize Tax Deductions & Plan for Next Year
While tax season may be behind you, now is the best time to plan for next year’s tax filing. Review your expenses to ensure you’re maximizing deductions and consider strategies like increasing retirement contributions, investing in business improvements, or adjusting your estimated tax payments.

5. Assess Your Business Growth Strategy
Are you planning to expand your team, invest in new technology, or explore new markets this year? Take a financial pulse check to see if your business can support these growth initiatives. If funding is needed, now is a great time to explore financing options like SBA loans, business lines of credit, or grants.

6. Refresh Your Payroll & Employee Benefits
Spring is also a great time to evaluate your payroll processes and employee benefits. Are you offering competitive salaries? Do you need to adjust for upcoming wage changes? Take this opportunity to ensure compliance and employee satisfaction.

7. Streamline Your Accounting Systems
If you’re still managing your books manually, consider switching to cloud-based accounting software that integrates with your business banking and payroll systems. Automating repetitive accounting tasks can save time and reduce errors.

8. Get Professional Guidance
​Business finances can be complex, and a second set of eyes can make all the difference. Consider working with an accountant or financial advisor to fine-tune your strategies and ensure you’re making the best financial decisions for your business.

Spring is all about renewal, and your business finances should be no exception. Take the time to clean up, plan ahead, and set yourself up for a strong and profitable year!