Over the last several months, businesses have been impacted by COVID-19 in many ways. Some industries have been impacted more severely than others. Across the board, businesses have had to act and adjust like never before. Joe Paulsen with Pinnacle Business Traction would like to help you with ensuring that your company has the Traction it needs to overcome current and future challenges.The following is part three of a guest blog series where Joe will share tips on how you can gain traction in difficult times.
As Jim Collins and his research team found and explained in Good to Great, successful companies have “Right People” on their bus and they are all in the “Right Seats”. I think all of us can agree with this concept, but when the labor market is tight, it is tempting to tolerate employees that truly don’t share our Core Values or can’t adequately perform the requirements of the job. Fear of losing an employee and the prospect of having to recruit and train his/her replacement often stops leaders from having the important conversations to lay out their expectations and explain how that employee is not meeting those expectations.
I estimate that when you clearly articulate your expectations and show your difficult employees where they are falling short, 80% of the time those employees will modify their behaviors and actions to meet your expectations. However 20% will not and that means they need to leave the company. So there is a risk in confronting problem employees, but the odds are clearly in your favor when you take action! Also consider the message you are sending to your good employees. If they sense that you won’t ever take action on employees that are bringing them down, they will likely be the ones that will leave your company and that is a cost you can’t afford!
Joe Paulsen (Meet Joe) and Pinnacle Business Traction’s passion is to Enrich the Lives of Entrepreneurs and Business Leaders in the Mankato area. He has been implementing EOS since 2016 and has helped over 35 entrepreneurial organizations get everything they want from their organizations. Please reach out to him if you are wanting more information or assistance. firstname.lastname@example.org
GMG is offering the best-selling book Traction – Get a Grip on Your Business to members wanting to learn more about the Entrepreneurial Operating System. Please email email@example.com to schedule a time to pick-up your free copy at the GMG office.
The following blog post was contributed by Abdo, Eick & Meyers, LLP to assist businesses in understanding how recent federal legislation has changed criteria related to the Paycheck Protection Program (PPP) and the Employee Retention Credit (ERC).
The COVID Tax Relief Act (COVIDTRA) that was passed late December made drastic changes to the Paycheck Protection Program (PPP) and the Employee Retention Credit (ERC) for both 2020 and 2021. The most critical changes for eligible employers include:
- Qualifying expenses paid with PPP funds are now deductible for federal income tax purposes, however, we are still waiting on guidance from most state legislatures regarding state deductibility. This change officially means that PPP loans and their forgiveness will not be subject to federal income tax.
- Employers may now be eligible for the Employee Retention Credit (ERC). Previously, organizations which received a PPP loan were ineligible to claim the ERC. That requirement has been removed and the credit has been extended through the first six months of 2021. To employers that are eligible, the ERC may provide up to a $7,000 per employee tax credit per quarter.
- The SBA announced they will begin accepting applications for new PPP loans from limited borrowers beginning January 15, 2021. Minority and women-owned businesses will be able to borrow first-time PPP loans initially, followed by minority and women-owned businesses requesting a second-time loan.
The COVIDTRA legislation is good news for many employers. There are several critical planning considerations to discuss with your tax advisor to maximize your credit eligibility and avoid missing out on significant funding. Key decisions that should be discussed include:
- Applying for a first-time or second-time PPP loan.
- Applying for 1st round PPP loan forgiveness if your organization experienced a partial or complete operational shutdown or a significant reduction in 2020 gross receipts.
- Electing to take the Employee Retention Credit for 2020 or 2021.
There are still many unanswered questions about the PPP and ERC that we expect to receive further guidance on from the IRS in the coming weeks. Additionally, are a few strategies to consider when determining if PPP, ERC or both are right for your specific situation. Be sure to contact your tax advisor to discuss your organization’s relief options and ensure that you don’t miss significant tax credits and funding opportunities.
About Abdo, Eick & Meyers, LLP
Abdo, Eick & Meyers is a progressive CPA firm that leverages its “People + Process” by partnering with businesses to increase value, helping government audit clients operate more efficiently, and providing the very best in tax planning and preparation services. Established in 1963 in Mankato, Minnesota, the firm has evolved into a mid-sized leader in the regional accounting industry through a combination of steady organic growth and key mergers and acquisitions. Since its earliest days, the firm has carefully listened to its clients and then developed new areas of expertise and service lines to meet their needs. Learn more at www.aemcpas.com.
This is a guest blog post by Greater Mankato Growth member, Christian Family Solutions.
Christmas lights are shining in the streets, holiday music is on the radio, and there are joyous celebration ads on television. It appears that everyone is happy this time of the year.
Perhaps you are feeling happiness and hope; maybe you are feeling sadness and disappointment. Perhaps you are feeling both. It is critical to take time to slow down, pause, and identify and acknowledge whatever you are feeling without pressuring yourself or feeling guilty if you are not feeling a certain way. Every feeling, whether pleasant or not, has a cause and purpose. Suppressing or ignoring them does not allow them to guide your behavior or influence your decisions.Read More
This is a guest blog post written by Ashley Hanley of Greater Mankato Growth member business, Radio Mankato.
Radio Mankato is proud to help our local restaurants during these challenging times.
That is why we have launched the Restaurant Rally. The Rally takes place every Tuesday in December from 9-10 a.m. with Lisa Kaye and Crew on Minnesota, which can be found on your radio dial at 93.1 FM.
All commercials and music will be paused during this time. Restaurant and business owners are encouraged to call the station during that time, free of charge, to let our listeners know of services, deals and ordering information.
This is the first time in Radio Mankato’s history that we have paused live music and commercials. However, we as a station felt this is one small way we could help give back to our local businesses and help rally together.
The phone number to call is: 507-625-9393.
Any local business is encouraged to participate.
Thank you to sponsors Prime Source Funding, Drummer’s Garden Center and Floral, and United Prairie Bank.
This is a guest blog submission from Wendy June of member business, Mankato Pet Cremation. We love to hear about WHY our members love what they do in our community.
Who could have guessed that starting a second career in pet cremation would bring about so many stories and unexpected blessings?
In March of 2018, with much support from family, friends, and the Small Business Development Center in Mankato, we opened Mankato Pet Cremation serving Mankato and south central Minnesota. Initially, I went into this work with the goal of providing a crucial service for area pets. But I soon realized after death it’s no longer about the pet anymore, it’s about the people. To my amazement, it turns out people experiencing pet-loss are at their most genuine, honest, and tender selves. The good in people naturally spills out at this difficult time. Every customer renews my faith and gives me hope for the human race, especially during this difficult time. I am thankful everyday for this very rare and wonderful view of this complicated world.Read More
This is a guest blog by Greater Mankato Growth member, Mankato Clinic.
As the Greater Mankato region experiences an increase in COVID-19 cases, business owners and managers have many questions and concerns on how to stay open and keep customers, staff and our community safe.Read More
This is a guest blog post by Joe Paulsen from Greater Mankato Growth member business, Pinnacle Business Traction.
At the virtual Entrepreneurial Operating System (EOS) conference in May, my biggest take away came from the creator of EOS, Gino Wickman. He gave a keynote address titled: “Managing Human Energy Coming Out of a Crisis.” Gino provided 10 Disciplines for Leaders who want to perform at the top of his/her game in good times or challenging times. Following are the 10 Disciplines with a brief explanation:Read More
This is a guest blog post by Greater Mankato Growth member business, Eide Bailly LLP.
As economies reopen across the country, many organizations have turned a critical eye to how they should reopen in the wake of the next normal. In a time of great operational uncertainty, how organizations can reopen and reposition themselves in the marketplace effectively will be critical to their long-term success.Read More
This is a guest blog post by Greater Mankato Growth member business, Jones Metal, to accompany their Business Focus video:
At Jones Metal, we have great pride in our history, our team, our position in the community, our design capabilities, our quality, our advanced technology as well as our relationships and customer portfolio. The Jones team is driven to stay at the forefront of new technology and customer needs; we like to be 2 years ahead of our competition.Read More
Due to this pandemic, N95 masks have become a piece of required PPE in industries where they have not been needed before. We wanted to remind companies that N95 masks are considered respirators and as a result, fall within OSHA’s respirator guidelines. It is important that companies train their employees on how to properly use N95 masks, ensure that the employees are medically able to wear a respirator, and perform a fit test. While OSHA has temporarily issued guidance lifting annual fit test requirements, initial fit tests are still required. We asked Brad Kramer of Provenio Consulting to provide some additional information about what those fit tests entail as well as additional details about respirator policy requirements. Brad shared the following regarding respirators:Read More
This is a guest blog post by Greater Mankato Growth member, Eide Bailly LLP.
Several relief programs are in play in an effort to combat the impact of COVID-19 on businesses and organizations. One of the key programs is the Paycheck Protection Program (PPP).
Here are five things you should know about the PPP loans.Read More
The Small Business Development Center at Minnesota State University, Mankato is hosting a live webinar about opportunities for small businesses in the CARES Act. Register to attend here: https://www.eventbrite.com/e/the-cares-act-what-does-it-mean-for-small-businesses-tickets-102186472490