Hiring and Retaining Employees by Sacramento Area Business Lawyer, Terry L. Gilbeau

Every business requires equipment in order to operate. The type of equipment needed is particular to each business; one company may use computers to create software programs, find
and another company may use tractors to maintain a farm. When it is time to acquire equipment for business use, remedy
owners will have to decide whether to lease or purchase equipment. They should consider the following questions before making a decision:

How much cash does the business have to spend?

When businesses lease equipment, they spend less on upfront costs, freeing up cash flow. Lease payments allow businesses to make payments over time. Often, businesses will not have to make down payments in order to obtain equipment. Small business owners and start-ups can benefit from leasing equipment.

Businesses with more money have the option of purchasing equipment. Once a sales transaction is complete, businesses have full ownership of the equipment. They can also request loans to purchase equipment, but they must be prepared to make large down payments.  

Over time, leasing equipment may cost more than ownership. Businesses must calculate the entire cost of lease payments, loan payments, and other expenditures (such as maintenance costs) related to equipment before deciding whether to lease or purchase.

How long does the business need the equipment?

Some equipment, such as computers, printers and copiers, are essential to daily business operations. Businesses may require other equipment to complete short-term projects. If equipment becomes outdated, leasing gives businesses the opportunity to acquire new equipment once the lease term ends. Certain equipment lasts for long periods or does not require continuous updates. Ownership allows businesses to gain equity in equipment, transforming them into valuable assets. 

Research and planning are crucial when determining if equipment will become a short-term expense or a long-term investment. Many companies that lease equipment or offer equipment for sale have customer service representatives that provide product consultations so that business owners can make informed decisions.

What are the tax benefits? 

When businesses lease equipment, they can deduct lease payments as an expense. These deductions can offset some of the costs associated with monthly payments over an extended period of time. Outright ownership also has its benefits, and businesses can also deduct a percentage of the purchase as an expense for the year they acquired the equipment. Additionally, owners can deduct the depreciation, or loss of value, of equipment. 

Equipment acquisition can help businesses in many ways. New equipment can enable businesses to generate new sales or develop new products. Before deciding on expenditures that will influence how a business operates, owners need to answer questions that will enable them to make sound decisions about leasing or purchasing equipment.

The Law Offices of Terry L. Gilbeau provides personalized counsel to clients in a variety of business and personal matters, including creditors’ rights, debt collection, products liability and international transaction issues. His office is located in Rocklin, CA, just outside of Sacramento, CA, and can be reached at (916-626-5539) or email Terry at tgilbeau@gilbeaulaw.com. Click here for the firm website http://www.gilbeaulaw.com/
Sacramento business lawyer Terry GilbeauEvery business requires equipment in order to operate. The type of equipment needed is particular to each business; one company may use computers to create software programs,
and another company may use tractors to maintain a farm. When it is time to acquire equipment for business use, drugs
owners will have to decide whether to lease or purchase equipment. They should consider the following questions before making a decision:

How much cash does the business have to spend?

When businesses lease equipment, remedy
they spend less on upfront costs, freeing up cash flow. Lease payments allow businesses to make payments over time. Often, businesses will not have to make down payments in order to obtain equipment. Small business owners and start-ups can benefit from leasing equipment.

Businesses with more money have the option of purchasing equipment. Once a sales transaction is complete, businesses have full ownership of the equipment. They can also request loans to purchase equipment, but they must be prepared to make large down payments.  

Over time, leasing equipment may cost more than ownership. Businesses must calculate the entire cost of lease payments, loan payments, and other expenditures (such as maintenance costs) related to equipment before deciding whether to lease or purchase.

How long does the business need the equipment?

Some equipment, such as computers, printers and copiers, are essential to daily business operations. Businesses may require other equipment to complete short-term projects. If equipment becomes outdated, leasing gives businesses the opportunity to acquire new equipment once the lease term ends. Certain equipment lasts for long periods or does not require continuous updates. Ownership allows businesses to gain equity in equipment, transforming them into valuable assets. 

Research and planning are crucial when determining if equipment will become a short-term expense or a long-term investment. Many companies that lease equipment or offer equipment for sale have customer service representatives that provide product consultations so that business owners can make informed decisions.

What are the tax benefits? 

When businesses lease equipment, they can deduct lease payments as an expense. These deductions can offset some of the costs associated with monthly payments over an extended period of time. Outright ownership also has its benefits, and businesses can also deduct a percentage of the purchase as an expense for the year they acquired the equipment. Additionally, owners can deduct the depreciation, or loss of value, of equipment. 

Equipment acquisition can help businesses in many ways. New equipment can enable businesses to generate new sales or develop new products. Before deciding on expenditures that will influence how a business operates, owners need to answer questions that will enable them to make sound decisions about leasing or purchasing equipment.

The Law Offices of Terry L. Gilbeau provides personalized counsel to clients in a variety of business and personal matters, including creditors’ rights, debt collection, products liability and international transaction issues. His office is located in Rocklin, CA, just outside of Sacramento, CA, and can be reached at (916-626-5539) or email Terry at tgilbeau@gilbeaulaw.com. Click here for the firm website http://www.gilbeaulaw.com/
Sacramento business lawyer Terry GilbeauEvery business requires equipment in order to operate. The type of equipment needed is particular to each business; one company may use computers to create software programs, decease
and another company may use tractors to maintain a farm. When it is time to acquire equipment for business use, approved
owners will have to decide whether to lease or purchase equipment. They should consider the following questions before making a decision:

How much cash does the business have to spend?

When businesses lease equipment, they spend less on upfront costs, freeing up cash flow. Lease payments allow businesses to make payments over time. Often, businesses will not have to make down payments in order to obtain equipment. Small business owners and start-ups can benefit from leasing equipment.

Businesses with more money have the option of purchasing equipment. Once a sales transaction is complete, businesses have full ownership of the equipment. They can also request loans to purchase equipment, but they must be prepared to make large down payments.  

Over time, leasing equipment may cost more than ownership. Businesses must calculate the entire cost of lease payments, loan payments, and other expenditures (such as maintenance costs) related to equipment before deciding whether to lease or purchase.

How long does the business need the equipment?

Some equipment, such as computers, printers and copiers, are essential to daily business operations. Businesses may require other equipment to complete short-term projects. If equipment becomes outdated, leasing gives businesses the opportunity to acquire new equipment once the lease term ends. Certain equipment lasts for long periods or does not require continuous updates. Ownership allows businesses to gain equity in equipment, transforming them into valuable assets. 

Research and planning are crucial when determining if equipment will become a short-term expense or a long-term investment. Many companies that lease equipment or offer equipment for sale have customer service representatives that provide product consultations so that business owners can make informed decisions.

What are the tax benefits? 

When businesses lease equipment, they can deduct lease payments as an expense. These deductions can offset some of the costs associated with monthly payments over an extended period of time. Outright ownership also has its benefits, and businesses can also deduct a percentage of the purchase as an expense for the year they acquired the equipment. Additionally, owners can deduct the depreciation, or loss of value, of equipment. 

Equipment acquisition can help businesses in many ways. New equipment can enable businesses to generate new sales or develop new products. Before deciding on expenditures that will influence how a business operates, owners need to answer questions that will enable them to make sound decisions about leasing or purchasing equipment.

The Law Offices of Terry L. Gilbeau provides personalized counsel to clients in a variety of business and personal matters, including creditors’ rights, debt collection, products liability and international transaction issues. His office is located in Rocklin, CA, just outside of Sacramento, CA, and can be reached at (916-626-5539) or email Terry at tgilbeau@gilbeaulaw.com. Click here for the firm website http://www.gilbeaulaw.com/

Attorney Terry L. GilbeauIt’s been said that a business is only as great as the people who operate it. Whether it is a manager, more about
sales person, treat
or customer service representative, a business’s personnel are on the frontline, serving as the link between clients and customers and the products or services the business offers. To say a business needs excellent employees is an understatement. In fact, the quality of employees is integral to success. Unfortunately, business owners still struggle not only with finding employees, but also with retaining employees. Given the amount of money spent on background checks, training, insurance and other employee-related expenses, each employee represents an investment. No business can survive if it consistently makes bad investments. Although the tasks of hiring and retaining good employees may seem daunting, the following tips can help you simplify the processes:

 Hiring Employees

Write Proper Job Descriptions: The first step to attracting good employees is drafting well-written job descriptions that match a position’s duties and responsibilities. Research shows that many businesses omit crucial details or use vague language in their job postings that fail to adequately describe what a job entails. This can result in hiring the wrong employees that will negatively impact the business’s bottom line. Before posting an open position, review your job description. If your goal is to hire a long term employee, think about how the position’s responsibilities could change over time and include language in your description so potential employees understand the entire scope of the job. Since some states consider job descriptions as legal documents, consulting with an experienced business lawyer will help you address any possible legal implications involved your job description. 

Give Potential Employees a “Test Run”: Prospective employees may have great resumes with excellent credentials and articulately answer interview questions, but neither business owners nor job applicants will know how they will execute their responsibilities until they actually perform tasks based on the position. Many companies use software programs that simulate jobs or have potential employees give presentations. This allows business owners or hiring managers to observe how employees react to various circumstances that can occur on a daily basis. An employee “test run” can help you identify which applicants truly have potential and the ones that are better suited for a position in another company. 

 Retaining Employees

Implement an Employee Recognition Program: Employees need to feel valued. They need to know that their contributions to a company matters. One of the biggest mistakes some businesses make is failing to enact programs that recognize employees. From an employee’s first day on a job, an employer can show it cares with simple gestures such as greeting cards and employee incentives for meeting or exceeding goals. Employers should also develop plans for recognizing birthdays and other special events in their employees’ lives. Recognition programs help build relationships and company loyalty, which can go a long way in retaining employees. Invest in your employees by creating a program that shows how much you value their work.

Provide Opportunities for Professional Development: Every job evolves over time. In order to stay competitive, businesses need to stay abreast of the latest trends in their markets. Employees also need to continue learning about their positions so they can adapt to eventual changes. Seek out seminars and workshops that allow employees to increase their skills. Encourage them to obtain additional certifications in their fields. As their knowledge increases, reward them with more responsibilities and increased salaries. Creating a culture of learning can result in employees that want to remain in their positions for years, leading a stable working environment that leads to success.   

Investing in hiring and retaining employees is critical to your business’s success. Writing clear job descriptions, giving applicants the opportunity to test the position, and implementing recognition and professional development programs will lead to positive returns well into the future. 

The Law Offices of Terry L. Gilbeau provides personalized counsel to clients in a variety of business and personal matters, including creditors’ rights, debt collection, products liability and international transaction issues. His office is located in Rocklin, CA, just outside of Sacramento, CA, near Roseville, Lincoln, Auburn, in Placer County and can be reached at (916-626-5539) or email Terry at tgilbeau@gilbeaulaw.com. Click here for the firm website http://www.gilbeaulaw.com/

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