Have you heard about the Corporate Transparency Act?

 

ERTC withdrawal process for small business

Help for businesses: Steps for withdrawing an Employee Retention Credit claim

IRS announces withdrawal process for Employee Retention Credit claims; special initiative aimed at helping businesses concerned about an ineligible claim amid aggressive marketing, scams

IR-2023-193, Oct. 19, 2023 — As part of a larger effort to protect small businesses and organizations from scams, the IRS today announced the details of a special withdrawal process to help those who filed an Employee Retention Credit (ERC) claim and are concerned about its accuracy.

FS-2023-24, Oct. 2023 — The IRS and tax professionals continue to see aggressive advertising, direct mail solicitations and online promotions involving the Employee Retention Credit (ERC). These promoters have misled employers and harmed honest employers by misrepresenting and exaggerating who is eligible for this pandemic-era credit.

#ERTC #SmallBusiness #SmallBusinessConsulting

Can ChatGPT Transform your Small Business?

 

Have you heard about ChatGPT yet? Suddenly it seems to be everywhere in the news, discussing how innovative it is, educators are concerned that students could use it to plagiarize papers, it will disrupt industries and lead to job loss. With all the information out there, I decided to research the topic and see if I could summarize how it worked, and understand why small business owners may want to incorporate its use.

Disclaimer: I am not a “technical” person, so the information below is a regurgitation of my research and provided in very simple language. For those of you who are“techies,” at the end of my article will be a list of sources with hyperlinks to the individual articles where you can take a deeper dive.

Basically, from what I have read, ChatGPT is an open source program that uses artificial intelligence (AI) to gather online information that is then ranked in order of prevalence of use to answer questions and, in some cases, write papers, articles, etc. An easy way to think about this is while I am writing this article, MS Word is making suggestions on what word I would like to come next. This “prefilling” of words is also seen in search page results and even when you text a friend. These types of programs are called large language models (LLM) and have been around for a while. The startling thing about ChatGPT is the way it can take an idea and turn it into a complete sentence, paragraph, or paper, by predicting what should come next based on the previous text and using the lower ranked words to make the writing more interesting and as if a human had written it. (1)

What is the big to do about? Educators are concerned that students will be using ChatGPT to write their papers, graphic artists are concerned that it will be used to produce logos, pictures and art, and employees are concerned that it could be used to eliminate jobs. (2) Besides the ethical considerations of ChatGPT, all of the above is possibly true. When innovation occurs inevitably market disruption occurs. Think about the iPhone eliminating the need to carry a separate camera or camcorder to take photos and video. A game changer.

We know market disruption will occur, and basically understand how this technology can harm us; yet, do we really comprehend how it could help us? What kind of a positive impact could this have on small business owners if they embrace the technology, instead of shunning it? A Forbes article on this topic interviewed teen entrepreneurs to get their thoughts on the new technology. These digital natives embraced the ChatGPT and are already implementing it in ways to be more efficient. One teen stated “ChatGPT puts all the information on the internet at your fingertips and, essentially, takes a project that would have many hours of work into an hour of your time.” Another said “[it is a] tool to develop more skills and knowledge so I can thrive in the sector I choose to go into.” (3) The teens immediately recognized that ChatGPT increases their productivity, knowledge and provides a leg up in a competitive environment.

The big question is how can you, as a small business owner, use this new technology to increase your productivity, knowledge, and gain leverage in your competitive environment? The most impactful benefit that I found for small business owners is increased productivity by using ChatGPT to automate tasks. For example, using it to write blog posts, product descriptions and website content. Improve communication with your customers via newsletters, emails, or website chat-bots. ChatGPT can also help you brainstorm ideas for new products, ad campaigns and branding strategies. It can even be used to personalize emails and content for your specific customer target. (4) The potential is limitless on how it can increase efficiency, reduce labor costs, and help with profitability.

Of course, there are drawbacks of implementing its use in your business.  ChatGPT can only draw upon the information that is available on the internet and is currently restricted to pre-2021. It cannot discern if information is “fake or real” making it susceptible to misinformation. (4)  Presently there is a free version of ChatGPT, however a paid version is in the works. Finally, do not incorporate the ChatGPT name or logo in your product promotions as this could lead to legal risks and trademark infringement. (2) Reach out to me if you have questions or would like to schedule a consultation on how to best incorporate ChatGPT in your small business.

Laura D. Katz, MBA, CDMP, is the Area Director of the University of Georgia Small Business Development Center, in Athens Ga. Ms. Katz expertise is in marketing and business development, she is a certified digital marketing professional (CDMP), a certified in program facilitator, and a certified GrowthWheel ™ business advisor.  Katz is a nationally recognized speaker on marketing, business development and agri-business. Her program, FarmSMART, has been presented at the Universities of Georgia, Alabama, Mississippi and Missouri and earned an “Innovation of the Year” award in 2017.

Sources:

(1)       https://writings.stephenwolfram.com/2023/02/what-is-chatgpt-doing-and-why-does-it-work/

(2)       https://www.forbes.com/sites/qai/2023/02/01/what-is-chatgpt-how-ai-is-transforming-multiple-industries/?sh=4e935fde728e

(3)       Forbes.com/sites/sarahhernholm/2023/01/31/teen-entrepreneurshow-chatgpt-is-changing-their-education-and-how-they-do-business/?sh=57cce7ef4f9c

(4)       https://blog.hubspot.com/marketing/chatgpt-bard-bing

(5)       https://openai.com/blog/chatgpt/

 

 

Now is the Time to Embrace the QR Code

Small business owners are often reluctant to adapt to modern technology. If they have been in business for many years (or decades) they are comfortable with the processes and procedures, they already have in place. It is not unusual for me to meet with a client who is still using Quick Books desktop circa the early 2000’s. The problem with not adapting to newer technologies is that they will often find themselves being left behind by their competition. That brings us to the issue of the QR code. If you recall from many, many years ago the QR code was introduced by a Japanese company in 1994, for use in the automobile manufacturing (1). As of 2011, the primary users of QR codes were men (18-34) (2). At the time it was a little too early for much of the population to see its benefit or to adopt its use. This could have been due to a lack of understanding of what it did or not having the proper apps (such as a scanner) on mobile devices. 

The pandemic changed all that. I first started noticing a rebirth in the use of the QR code in 2020 when I was in NYC. Restaurants had started putting QR codes on table placards so patrons could scan and read the menu. This involved less handling and less need to print or purchase menus. According to Wikipedia “In September 2020, a survey found that 18.8 percent of consumers in the United States...strongly agreed that they had noticed an increase of QR code use since the then-active COVID-19 related restrictions had begun several months prior.” (2)

The second place I started seeing wide use of QR codes was at conferences, where codes could be found on pop-up banners. The codes were used for agendas, maps, and activities. Now I see them everywhere! One of the more innovative ways I saw them being used recently was at an upscale restaurant where you could scan the menu, order food, and pay the tab. This allowed the restaurant to operate, during a remarkably busy time, with limited staff. Think of the labor savings if you do not need to bring a menu, take an order, or leave a bill. With the labor shortage small businesses are facing, looking into implementing QR code technology into your business could save time and money! Here are some ideas on how small business can implement the QR code:

1. Distribute agendas, directions, and events

2. Direct customers to your website

3. Marketing and ad campaigns, on print material, TV, or billboards

4. Restaurant menu

5. Customer payment

6. Gather feedback about a product or service

7. Loyalty reward program

8. Compile customer data for email and direct mail campaigns

9. Member check-in

10. Provide product information

I am sure there are many more applications that small businesses can use to generate customer traffic, build loyalty, save labor, boost sales, and reduce waste. Please let me know if you implement QR code technology into your small business. 

(1)   1.   QR Code history

(2)  2.    Wikipedia

 

IRS updates the Work Opportunity Tax Credit to help business with staffing shortages!

 September 19, 2022

WASHINGTON — The IRS today updated information on the Work Opportunity Tax Credit (WOTC), available to employers that hire designated categories of workers who face significant barriers to employment. For employers facing a tight job market, the WOTC may be able to help.

Today's updates include information on the pre-screening and certification process. To satisfy the requirement to pre-screen a job applicant, on or before the day a job offer is made, a pre-screening notice (Form 8850, Pre-Screening Notice and Certification Request for the Work Opportunity Credit) must be completed by the job applicant and the employer.

The Targeted Jobs Tax Credit (TJTC), which preceded WOTC, did not contain a pre-screening requirement. In enacting WOTC to replace the TJTC in 1996, Congress included the requirement that employers pre-screen job applicants before or on the same day the job offer is made. In doing so, Congress emphasized that the WOTC is designed to incentivize the hiring and employment of certain categories of workers.

After pre-screening a job applicant, the employer must then request certification by submitting Form 8850 to the appropriate state workforce agency no later than 28 days after the employee begins work. Other requirements and further details can be found in the instructions

✎ EditSign

WOTC has 10 designated categories of workers. The 10 categories are:

• Qualified IV-A Temporary Assistance for Needy Families (TANF) recipients
• Certain veterans, including unemployed or disabled veterans
• The formerly incarcerated or those previously convicted of a felony
• Designated community residents living in Empowerment Zones or Rural Renewal Counties
• Vocational rehabilitation referrals
• Summer youth employees living in Empowerment Zones
• Food stamp (SNAP) recipients
• Supplemental Security Income (SSI) recipients
• Long-term family assistance recipients
• Qualified long-term unemployment recipients.

Although the credit generally is not available to tax-exempt organizations, a special provision allows them to claim the WOTC against the employer's share of Social Security tax for hiring qualified veterans. These organizations claim the credit on Form 5884-C, Work Opportunity Credit for Qualified Tax-Exempt Organizations Hiring Qualified Veterans. Visit the WOTC page for more information.

Laura D. Katz, MBA, CDMP, is the Area Director of the UGA SBDC - Athens Center. Ms. Katz is a national speaker on the topic of Marketing & Business Development. You can follow her on LinkedIn and Twitter.

DAWG’s win the National College Football Championship!

Photo from: UGA Today January 11, 2022

 

After watching last night's game, I began to think about what led to the Bulldog’s historic win against the Crimson Tide? In the 4th quarter the score was 19-18 and I had a sinking feeling that the Crimson Tide would steamroll us again. However, that all changed when Bennett "dumped it off to Brock Bowers for the score from 15 yards out as the Bulldogs retake the lead... then Kelee Ringo intercepts and returns it 79 yards for the score and give Georgia its first national title since 1980. Final score Georgia 33, Alabama 18 ." (source: @sportingnews)

When Stetson Bennett was asked what he was thinking at that point in the game, he said “I was either going to be a zero or a hero.” The team had planned and practiced for this very situation and they all knew what needed to be done.

I believe there are #3 key factors that made the Bulldog’s National Champions when it came down to the wire:

1. Leadership - Kirby Smart’s leadership and determination kept Stetson Bennett in as starting quarterback, even after the SEC defeat against Alabama. Stetson Bennett’s leadership and trust in Brock Bowers ability to catch the ball led to that game changing touchdown.
2. Strategy - After their SEC loss, Smart pushed the team to build the strength and endurance needed in the second half to push through and win. Smart knew his team had the talent and the heart, however they just needed more endurance than their opponent.
3. Practice - Everyone has heard, “practice makes perfect” and you can see why that is true. By "working the plan" which led to the late "pick-six" interception and 79 yard touchdown by Kelee Ringo!

Why am I writing about sports when I have been told to never, ever “talk sports” in public? Because, I have seen first hand that when a business owner utilizes leadership, strategy and practice they become champions! As a business owner you can survive for a while on talent and luck, but not long term. You need to lead your team by developing a strategic plan and win by working the plan. How can you do this? By taking UGA SBDC’s GrowSMART, a premier leadership and business development program held annually. The program is starting on March 8th and will be held on five consecutive Tuesdays through April 5th.

Do you want to be a Zero or a Hero? Take the opportunity now by applying to attend GrowSMART. Become the Hero in your business! You will not regret it.

Go DAWG’s!

Laura D. Katz, MBA, CDMP, is the Area Director of the UGA SBDC - Athens Center. Ms. Katz is a national speaker on the topic of Marketing & Business Development. You can follow her on LinkedIn and Twitter.

Prepare for the Holiday Shopping Season Now!

 

Shoppers are hoping to get back to  “normal” this holiday season but will continue to be cautious of COVID-19 and Delta outbreaks. According to a recent Deloitte report,  the 2021 holiday shopping season will result in an increase of 7% - 9%  in retail sales and 11%-15% in online sales. Below are four reasons why your digital marketing and online sales will be more important than ever this holiday season: 

1. Pent up demand  indicates that your customers will be more open to increased spending this holiday season.

2. Holiday travel is expected to increase due to loosening pandemic restrictions and increased vaccination rates. Consumers will want to shop for family and friends that they have not seen for the past year plus.

3. Delayed shipments and reduced stock will equate to an even earlier holiday shopping season,  due to customers not wanting to miss out on the gift giving.

4. Surging omni-channel competition and shoppers demand for a seamless experience, both in branding and service, whether  shopping  online, mobile or brick and mortar. 

What does all this mean for your small business? You need to be prepared to be noticed, drive traffic to your site and convert customers into sales! Luckily, the UGA SBDC + Big Ecommerce are presenting 3, one-hour webinar series, with strategies to  guide you on how to enhance your website for Black Friday/Cyber Monday,  develop SEO tips & tactics to increase your digital reach, and conduct email marketing campaigns that will target customers.

The webinars will be THIS Tuesday, Wednesday and Thursday, October 5, 6 & 7 from 11:00-12:00. Don’t delay, registration closes today at 5:00!

Laura D. Katz, MBA,CDMP, is the Area Director of the UGA SBDC - Athens Center. Ms. Katz is a national speaker on the topic of Marketing & Business Development. You can follow her on LinkedIn and Twitter.