Category Archives: General Business Advice

WESST Workshop Teaches Essentials of Marketing Success

Posted on by

Your brandBy Taura Costidis, Finance New Mexico

Employing tactics without a strategy is like hiking into the wilderness without a map, provisions or a plan. Yet many novice and veteran business owners take this cart-before-the-horse approach when marketing their product or services, often with underwhelming results.

As a marketing consultant for the nonprofit economic development organization WESST, Mark Gilboard helps entrepreneurs reach and attract customers by first identifying why their business exists in the first place. Continue reading →

Quick Ratios Help Businesses Take Their Financial Pulse

Posted on by

Liquidity ratioBy the commercial lending team (led by Alan Overton) at Century Bank

Operating a successful business requires attention to numbers — especially to basic financial ratios derived from the business’s financial statements.

The current and quick ratios calculate a company’s liquidity, while the debt ratio evaluates its long-term solvency. The gross profit margin shows if sales revenue covers the expenses incurred in making those sales. Continue reading →

Internet Purchases Challenge Local Budgets

Posted on by

By Finance New Mexico

As budget-conscious consumers increasingly opt for the convenience and economy of online shopping, states like New Mexico are ramping up pressure on internet-based retailers to collect and remit the taxes states need to provide essential services.

While Amazon.com recently agreed to charge New Mexico consumers the state portion of the gross receipts tax (GRT), more change is needed to erase what states see as an unfair advantage for online retailers over local merchants who are required to collect and remit the entire combination of state and local taxes. Continue reading →

Advisory Board Offers Objective View

Posted on by

By Finance New Mexico in collaboration with the New Mexico Small Business Development Center Network

New Mexico SBDCA business doesn’t have to be big to benefit from the advice and expertise of other professionals. A savvy entrepreneur will assemble a board of trusted advisers to provide feedback and suggestions for leading the organization.

Unlike a board of directors, an advisory board comprises people with no legal authority, fiduciary responsibilities or other obligations to the business. Continue reading →

Tax Law Doesn’t Alter Definitions of Independent Contractor

Posted on by

Employee vs contractorBy Finance New Mexico

The new tax law passed by Congress in December 2017 aims to lower taxes for everyone, but proponents cite its overwhelming benefits to businesses. Under the new law, companies — including sole proprietors and workers in the gig economy — can deduct 20 percent of their revenue from taxable income.

This provision alone could disrupt formal relationships between employers and workers, increasing the number of people who define themselves as independent contractors. Continue reading →

Familiarity Doesn’t Have To Breed Contempt in Intimate Business Partnerships

Posted on by

Intimate partnershipsBy Finance New Mexico

One advantage of running a small business with family or friends is that the principals know and are committed to one another and the success of their enterprise. But intimate partnerships also have potential relationship-based perils, some of which could cause work-force demoralization, legal problems and even failure.

The trick to making a small venture succeed is to acknowledge these risks from the start and institute processes to contain or minimize them. Continue reading →

WESST Wraps Banner Year; New Programs Expected in 2018

Posted on by

By Damon Scott for Finance New Mexico

Dineland

Dineland Protection Services Inc., photo courtesy Chris Hunter, WESST

WESST, the statewide nonprofit best known for consulting and training programs that support entrepreneurs and small businesses, hit a milestone in 2017: It made its largest loan ever. WESST loaned $150,000 to Dinéland Protection Services Inc. of Fruitland to help the company launch the security services it provides to the Navajo coal mine on the Navajo Nation.

While the bulk of WESST’s services focus on one-on-one consulting and deep-dive business workshops, WESST also wants to make sure its clients have the funds needed to grow their businesses. Kim Blueher, vice president of lending at WESST, said the loan program is about 10 percent of the overall services they offer, but it makes a significant impact. Continue reading →

Farmington Manufacturer Seeks Quality-Management Goal With Help From MEP

Posted on by
PESCO truck

Courtesy photo

By Sandy Nelson and Taura Costidis for Finance New Mexico

Brothers Kyle and Jim Rhodes have big ambitions for the family business they’ve owned since 1970. It’s not enough that their Farmington company Process Equipment & Service Company Inc. (PESCO) has a solid reputation as a manufacturer of natural gas and oil production equipment and that the company continues to grow even as gas prices rise and fall, employing more than 300 people and serving national and international customers. Continue reading →

Local Businesses Need Support Every Day of the Year

Posted on by

Shop LocalBy Finance New Mexico

Small Business Saturday came and went with the Thanksgiving holiday weekend, but persuading budget-conscious consumers to shop locally is not just a one-day effort. If they hope to compete with national chains and internet-based rivals, small businesses need a year-round strategy that highlights how their products or services are superior to what a national or multinational corporation can deliver. Continue reading →

Businesses Unsettled by DACA Uncertainty

Posted on by
DACA stamp

Photo credit: beebright / 123RF Stock Photo

By Finance New Mexico

Barring congressional intervention, the Deferred Action for Childhood Arrivals (DACA) program is ending, and DACA recipients — or “Dreamers” — are subject to deportation when their work permits expire if they didn’t get an extension before the Oct. 5 deadline.

The demise of the program has created uncertainty among employers who are required to fire DACA recipients the day after their permits expire but risk discrimination charges if they act too soon to terminate — or even identify — DACA recipients on their payrolls. Continue reading →