Professional And Legal Advisers

Professional And Legal Advisers

Because of the nature and size of your business there will be times when you require both legal and financial consultation. A tanning salon is rarely large enough to employ such services on a full time or retainer basis. Primarily, there are three types of consulting services that you will, at some point in time, need:

• Management Consultation 
• Accounting Consultation 
• Legal Consultation 

These services are sometimes difficult to find, since the better consultants are not found in the Yellow Pages, Internet or other types of advertising. The best way to locate them is usually through referrals from friends or fellow business associates who operate a business similar in size and scope to yours.

There are many factors for a businessperson to consider when seeking a management consultant. A tanning salon owner/manager is usually the entrepreneurial type who may have expertise in his particular industry or service. Yet, he may lack familiarity with established techniques in the day-to-day management of a salon. The other option also may exist—an owner/ manager who has a general knowledge of business management, yet lacks experience in tanning.

Daily operations of a salon can become very hectic and time consuming. The owner/manager may know his existing shortfalls and not have time in his over-scheduled day to resolve the ongoing problems or to make use of existing potentials.

An analysis of needs and implementation of appropriate programs and controls by a management consultant can smooth the operation and allow the owner time to consider the future of his business and develop its strategy. When becoming immersed in a business on a regular daily basis, it is often easy to overlook the obvious and hence fail to see the danger signs or opportunities of a business. There is a definition for this phenomenon and it is called “functional fixedness” or “behavioral set,” which means the solutions to new problems are derived solely from the bias of past experience. A management consultant can offer an unbiased and new approach and offer insight to a person’s existing business.

There are many small businesses that incorporate outside accounting services in their daily program. These outside services usually provide a general check on their accounting procedures and offer help with the taxes of the business. However, it is important that every person involved in business have a general understanding of basic accounting so that when selecting a proper accountant for the business, the right questions can be asked.

Certified Public Accountants are licensed and tested to ensure their basic abilities. It is wise for you to talk with an accountant, in person, before making a commitment. If an accountant is vague, or speaks only in the jargon of IRS code sections, search for another one who can understand and answer your questions.

It is also wise to make sure that the accountant is familiar with your size and type of business. The fact that his clients may include large corporations is of no benefit to you.

Consider the following questions before hiring your personal business accountant:

• Are there any overlooked tax advantages?
• What type of funding will be needed over the next year?
• Is a pension plan appropriate? And if so, which one and what kind?
• Are all necessary records kept, and all required federal and local reports made?
• Do the present systems meet the projected growth needs?

For more detailed information you should refer to the accounting chapter that will answer in more depth most questions that you will have with regard to accounting.

In most cases, a small business only will use the services of an attorney once in a great while. However, during those occasions when services are required, you will want to make sure that you have the best possible advice and representation possible.

Selecting an attorney can be very difficult and frustrating. Before you select the legal services that are actually required, keep in mind the following points:

There is no way to evaluate an attorney from a listing in the Yellow Pages or the Internet. It is best that he or she be referred by someone who is in a business similar to your own, and is familiar with his work. Only then can you be confident that you are selecting someone that you can trust with your legal affairs.

If you, on your own, cannot find someone that you trust, you may wish to contact the local Bar Association. You can present the association with the information regarding the nature and size of your business and that will help them make the right kind of recommendation to you.

In order to make an intelligent choice, interview or speak with at least three prospects before actually hiring someone to represent you. It is important for you to feel comfortable with your selection and have confidence that the person who potentially will represent you and your business, understand the scope and ramifications of the situation.

We also recommend that you listen carefully to what each potential legal consultant has to say and then evaluate this person as follows:

• Is this person vague and evasive?
• Can I relate to this person or does he speak in legal jargon that is confusing to me and hard to understand?
• Do I feel that I can relate to this person and trust him with my problem or need?
• Is this person familiar with my problem or similar problems that have arisen in this type of business?
• Has this person dealt with similar situations and what has the outcome been?

Remember, when considering working with consultants it is very important that they have experience in dealing with your type of business.

Dealing with your personal business is very important to you and the survival of your business. You should be very careful and selective in the hiring of outside services. The outcome of their work for you could determine the success of your future investments.