Marketing Your Business The dra


Summer 2007 Marketing Your Business The drastic slowdown in new home, condo and apartment construction has impacted homebuilders and remodelers nationwide. Other contractor specialties have felt the chill also. What can you do to make sure that your business comes through this trying period in decent shape? A good first step would be to consider aggressively marketing your contracting firm. Read more... Putting a Buy-Sell Agreement in Place You’re probably involved in most aspects of your business. You may even put in as many hours now as you did when you first started out. If you have partners, they probably also play an active role in the company’s day-to-day operations. That’s both good and bad. It’s good that the business continues to benefit from your expertise, contacts and hard work. However, if you or a partner were to become disabled or die prematurely, the ensuing disruption to the business could prove extremely difficult to overcome. And the financial loss to your families would be significant if they are not fairly compensated for your business interest. Read more... Handling Employee Business Expenses You may have a number of employees who incur various travel-related expenses in the course of their work. Like many contractors, you may be wondering how best to handle these business expenses from a tax perspective. The short answer is that there are two acceptable methods for reimbursing employee business expenses. Read more... Reducing Potential Payment Problems Getting paid on time and for all labor and materials is critical to good cash flow. After all, receivables aren’t much use until they are collected and turned into cash. However, as all contractors know, sometimes that’s much easier said than done. In addition to standard payment delays, contractors face other payment problems that are unique to the construction industry, payments related to change orders, for example. Contractors can use a variety of strategies to reduce late or disputed payments and ensure that sufficient cash is available to keep the business operating without interruption. Read more... Increase in the Limitation on Consultant's Total Annual Compensation and Hourly Direct Labor Cap Effective July 1, 2007, the Indiana Department of Transportation (INDOT) made adjustments to its limitation on annual compensation and hourly rate for reimbursement of incurred direct labor for architectural and engineering consulting service contracts. Read more... Developments in Tax and Business A Caution for Road Warriors Contractors and their employees who travel on business should be very careful where and when they use their laptops or cell phones. Hackers are using sophisticated programs to access passwords, bank account information and credit card data from travelers who log on to wireless networks at airports, hotels and other public places. Read more... Somerset Construction & A/E Team News We are pleased to announce that Chris Mayfield has been promoted to Senior Manager, and Ericka Scott has been promoted to a Senior associate. Ken Hedlund and Larry Dykes will be presenting “The Ultimate Key Employee Incentive Plan” to members of the Indiana Subcontractors Association on September 12, 2007. For more information, please visit ISA's web site. - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Work-In-Process is provided by Somerset CPAs for our clients and other interested persons upon request. For additional information on the issues discussed, please contact Ken Hedlund or another member of our Construction & A/E Team. Since technical information is presented in generalized fashion, no final conclusion on these topics should be made without further review. This document is not intended or written to be used, and cannot be used, for the purpose of avoiding tax penalties that may be imposed on the taxpayer. Somerset CPAs, P.C. 3925 River Crossing Parkway Third Floor Indianapolis, Indiana 46240 317.472.2200 • 800.469.7206 FAX 317.208.1200 www.somersetcpas.com
	There is still time to participate in the 2007 Construction Industry Financial Performance and Salary & Benefits Survey Click here to learn more and participate.
	2007 A/E Industry Financial and Salary & Benefits Survey How do your firm’s salaries, benefits, revenues, expenses, profitability and utilization compare to other Indiana‑area A/E firms? To find out, Somerset CPAs, P.C., and the American Council of Engineering Companies of Indiana, Inc. (ACEC) invite you to participate. You may do so online now--click here to participate. ••••••••••••••••••••• Third Annual Environmental Business Conference Thursday, September 20, 2007 "Emerging Market" Click here for more information. ••••••••••••••••••••• Networking Skills For Engineers Tuesday, October 30, 2007 Click here for more information.
	Somerset is proud to be #7 on the list of “Best Places to Work in Indiana” of small to medium-sized companies as announced by the Indiana Chamber of Commerce.