Grow For It!

Episode 19: I'm proud to welcome Dr. Frank Raymond to today's podcast. He's Bellarmine University's Interim Dean of the Rubel School of Business, the MBA Director and my former professor. In this episode, we'll discuss how business owners are making sense of the 2020 economy. There's a surprise announcement toward the end of the episode, so I hope you'll listen in for that exciting news.

The economy is dealing with a number of important issues, including the impact of the COVID-19 pandemic, including a virtual lockdown of the economy. At the same time the country is dealing with extreme social unrest and an upcoming presidential election.

The June and July economic performance reports are encouraging. While business owners are looking for certainty, we're not out of the woods; far from it.

The Stock Market Isn't a Complete Indicator of the Economy

There are a lot of speculators in the modern market. This increases the sensitivity to the news cycle. Information moves more rapidly. The reporting is more homogenous than in previous decades. This results in a market that's a bit detached from the actual performance of the broader market.

Fear of a second wave of COVID, employees not being able to return due to the closing of a business, supply chain interruptions and other factors are instilling fear in the consumer, resulting in further uncertainty for business owners who are able to weather this crisis.

This Crisis Is Different

Unlike previous crises, this is a healthcare crisis. It's risky to ignore the necessary mitigation steps to prevent the spread of COVID-19. Even if your business reopens, consumer fears may prevent them from walking through your door.

The oil shocks of the 1970s, the dot com bust in 2001 and 2002, as well as the 2008-2009 banking failures were economic crises. These each had slow, but strong recoveries.

This COVID-19 crisis is different. We may snap back quickly if a cure is discovered. People are now adapting to new ways of conducting business. The adoption of tech-based solutions has accelerated a structural change, unlike the previous downturns.

The China Impact

There's a lot of negative opinion surrounding China, right now. Bringing jobs back from China may not be as easy as it sounds. There's still an increase in labor costs that must be absorbed and that negatively impacts profitability and innovation. Meaningful change must be practical and feasible. This may be more of a challenge that the headlines would lead us to believe. Unless capital is cheap, it may not offset the increase in labor costs.

CARES Act Stimulus

This necessary program has added a tremendous amount of debt to the country's balance sheet. We can't continue to pump in this massive cash influx. Dr. Raymond questions where the concern was in previous years? The impact of current stimulus is short-lived. We need continued tax relief for small businesses, but more importantly, we need a long-term strategy.

The Payroll Protection Program and the increase in unemployment benefits were still short-term solutions.

US Tax Policy

The US tax rates are relatively low compared to other countries. Still, many of the tax cuts are short-term in duration. Unless they are made permanent, it still doesn't lead to certainty for medium to long-range budgeting and planning.

Repatriation of overseas held funds is risky. Who makes the policies and how businesses are incentivized are important. Still, how they are implemented is critically vital. Individual businesses will be left to make their own decisions. Some innovators will lead the way for a larger shift in a desired direction.

Transitional support systems need to be improved to help people understand which sectors will provide specific opportunities. We should increase efforts in effective training and planning to enable them to get there.

Disruption is Actually Normal

The economic environment is still shifting. Patience is an advantage, if you can afford it. Supply chains may need to be diversified. Your focus on expense control is paramount.

Tax policy should be simplified to get rid of loopholes. Level the playing field so companies can plan.

In closing, as a business owner, get back to your company's core competencies. Remember, during any economic downturn, many of your competitors are going to pull back, especially in marketing. You may find opportunities to increase visibility, reach and impact by increasing your market-exposure before your competitors return. There's still market share to be gained in advance of an economic recovery.

Important Disclaimer:

This discussion is intended to be an informal exchange of ideas. These ideas do not necessarily reflect the views of Bellarmine University. Listeners should be reminded that information provided by the participants is not a substitute for getting formal professional legal, financial or other advice. Listeners should seek advice from their lawyers, accountants, tax consultants, financial experts, or other professional advisors before making decisions that may impact their jobs or businesses.

Episode 18: There's a lot of negative news with COVID-19, protests, riots and other factors. Jim and Dr. Tony Sheppard will discuss some useful perspectives and tips for filtering out that negativity so you can maintain positive mental health as you manage your business and protect your family.

Dr. Sheppard is the owner of Groupworks Psychological Services in Louisville, KY. He's a certified group psychotherapist. The practice provides various types of psychological services for children, adults and families. During the COVID-19 crisis, his practice has successfully transitioned to a tele-health format.

Many of Dr. Sheppard's 2020 business goals have been delayed or sidetracked. This is a common theme for many business owners, entrepreneurs and managers. In fact, Tony actually contracted the coronavirus at a conference in New York, earlier this year. Luckily, he's made a full recovery.

Business owners are struggling with financial pressures, increased stress and anxiety, feelings of helplessness and maybe even failure. I've also dealt with so many distractions and a general inability to focus.

The temptation to constantly check the news for information is adding to the issue. We don't deal well with uncertainty. Humans are wired to look for what's coming next and to scan the environment for threats. It's amped up and primed our anxiety levels. This anxiety spreads to and elevates our concern for our businesses, our families and our extended family.

Tips to Maintaining Your Mental Health at Work

• Give yourself permission to reframe and adjust to the current business climate. This year is simply going to be different than what we anticipated. It's okay to understand you're not in control of everything.
• Keep things in perspective. It's important to stay in the present and deal with what's actually in front of you, rather than the false narrative your fear may be whispering in your year. Live today and don't spend too much time thinking too far ahead.
• The human mind is programmed to focus on negative information. One way to limit the impact of all of this uncertainty, is to limit your exposure to the constant stream of media stories and/or social media.
• Focus on the things you do know. Concentrate on tasks and hobbies. This can add a sense of control and normality to your day.
• Try making lists to counteract your anxiety. Routines are also helpful, especially in the midst of chaos. This is especially important for your kiddos who are struggling with the disruption.

Tips to Help Your Children's Mental Health

• Find ways to implement structure back into your child's day. Routines are familiar and can help them to feel less anxious.
• Maintain positive communication. Be conscious of the need to reassure them. We will get through this current situation. That positive message is a safety zone.
• Focus on the aspects of life that can be controlled. There's a lot outside of our control right now. Don't waste time worrying about things we can't control.
• Find ways to maintain social connectivity. This promotes quality time with people whom you love and care about. Try taking a hike or some other outdoor activity. You may also need to ease the rules to allow your children to spend time with their friends.

Dr. Tony Sheppard's practice, Groupworks Psychological Services is taking new clients. If you're asking if you need to seek help, maybe that's a good sign you should. The stigma around seeking mental health services has diminished. You don't have to make a commitment for years of therapy. Some people find a few sessions with a qualified therapist to be extremely helpful.

Visit www.GroupworksKY.com. Feel free to explore the COVID-19 page and the Services page for additional links to additional resources.

For more information about Jim Ray Consulting Services, additional episodes of the Grow For It! small business podcast or to contact Jim Ray, visit www.JimRayConsultingServices.com.

Thanks for taking the time to listen to this episode!

Episode 17: In this episode I interview Jason Hawkins, First United Bank's CEO and President. We discuss a regional view of the economic crisis related to the COVID-19 lock down and its impact on small businesses throughout Kentucky.

Jason's Background

Jason and I are very good friends. We went to college together at Murray State University and are brothers in the Sigma Chi fraternity. Jason has an undergraduate degree in Finance and an MBA. While in college, he worked at a community bank. He took a job in the trust department for Old National Bank, in Evansville, Indiana, after graduation. He worked in corporate trust doing bond issues and escrow arrangements. In 2005, he moved to First United Bank and Trust, based in Madisonville, Kentucky. He eventually became the CFO. In 2017, he assumed his current role as President/CEO.

Community Banks vs. Large National Banks

First United Bank focuses on what is best for the communities they serve. They currently have loans in more than 40 Kentucky counties. They are servicing about 1/3 of the state on a county by county basis.

Community banks don't have to work through a lot of red tape. They want to bring local decision making to their markets. When clients come in, they are able to have a personal touch because they are not dealing with 800-numbers. Local, community banks don't have to send their decisions off to a remote location. They don't have to call committee meetings with people across the country to make a decision. They decide how to operate and then put that into action. First United Bank establishes strong connections and relationships with their clients. Jason and his team provide a high level of client communication to ensure they are servicing local needs.

Macro Climate

The Covid-19 crisis came out of nowhere. The government's decision to lock down businesses across Kentucky has been economically devastating. This is not meant to be a political statement. Rather, an observation that the environment changed overnight.

When the government funding came through, it became a challenge for the banking industry and remains a challenge. The Treasury's guidance was delayed and confusing to both small business owners as well as lenders. The SBA's infrastructure was overwhelmed. It's been a huge learning curve for everyone. Typically, when the government institutes a program it takes 6-12 months to implement, and in this case, they had 2 weeks. Congressman Andy Barr said, "In the first 14 days of this program, there were more SBA loans made than in the last 14 years."

In one of my previous podcasts, I interviewed Tommie Causey of the SBA, and Dave Oetken of the Louisville Small Business Development Center. Both of them were really proud of the work they did to assist small business owners. I also interviewed my CPA, Steve King on the Make the Numbers Work podcast. We talked about it from an accounting standpoint.

One of the biggest concerns was the US Treasury did not initially tell the banks how to treat this money and the specific requirements. The guidance has been slow to come out. It has been frustrating for small business owners. However, the US Treasury has created a list of FAQs to clarify many of the issues. Here's a link to that information resource. Please make sure you're reading the most recent version.

A Community Bank's Response

As Jason explained, the banks took a first come first served basis. Speed of action wasn't related to the size of the loan. They tried to deal with customers as they received applications.

In Episode 16, I explained that deal with a larger bank, but they had trouble because of the onslaught of PPP applications. I went across the street to a local community bank and within a matter of hours I had the loan approval numbers and with a matter of days directly thereafter, I had money sitting in my account. I was surprised how quickly a community bank moved this through the system. Whereas a large bank tends to get bogged down for a lot of different reasons.

One of the proactive steps Jason has implemented is to provide deferments on existing loan payments. This refers to loans outside of the Payroll Protection Program. This local decision typically allowed up to 90 days of payment deferral to help his banking clients. He required them to be current in order to get that, meaning they had to pay through their March payment in most cases to be able to qualify for deferral for the months of April, May, and June. This is another advantage of the local decision-making provided by community banks.

PPP Loans

First United Bank is roughly a $330 million-dollar institution. He has processed about $25 million in PPP loans, comprised of more than 300 loans. While there have been some large loans, the majority have come from smaller loans.

Jason commented that if you talk to other community bankers, they'll say that they had people work on weekends and nights trying to make sure that they could and get these applications in and get them approved.

Jason and Jim discussed the impact of the PPP loan activity. It has had a significant impact on capital requirement ratios.

PPP Loan Forgiveness

Based upon what Jason is seeing right now, he thinks forgiveness is probably going to run anywhere between the 70 and 90%. Solid documentation including payroll and 941s will be critical. The banks are cautious and trying to measure risk related to this process.

Your community banks want you to be successful. They want to make sure that you succeed, because that's good for the community. Communication is key. If you are having a problem with your business, banks are much more favorable if you communicate and tell us here's the issue that I'm having, here's the struggle, here are the frustrations, and here's what my cash flow looks like. They are much more willing to work with you than if you try to just say everything is fine. Ultimately, the banks want you to succeed because that helps them succeed.

If you would like to speak to Jason Hawkins regarding your situation, here's his contact information:

Office: (270) 824-1633

Website: www.efirstunitedbank.com

Address: 162 N. Main St., PO box 1190, Madisonville, KY 42431

Want more information?

To listing to additional episodes of the Grow For It podcast, please visit my small business consulting website, search for it on Apple Podcasts (iTunes), Google Podcasts, iHeart Media Podcasts and other podcast directories. Be sure to subscribe, at no cost, to keep up with the most recent episodes.

Thanks for taking the time to listen!

Episode 16: Louisville Attorney Parker Wornall and I discuss small business guidelines and considerations for getting started, now that small businesses are reopening during the COVID-19 crisis.

Crisis Funding

The government and the SBA are providing funds to help small businesses. There were initial questions about whether companies qualified for the funds. Now, the focus in on how the funds need to be used. New details are coming out and this is adding confusion and frustration. An initial step is to deposit the funds in a separate account to isolate them and provide an easier way to track how the specific funds were used.

Protecting Employees and Customers

As small businesses reopen, it's important to be mindful of the CDC guidelines. Start with the basics. Consider hiring a cleaning service to ensure you're actively taking measures to keep the environment and surfaces clean. You may need to consider appointment scheduling to ensure adequate spacing is provided.

Convert your plans into a policy and make sure you publish the policy for the benefit of both your employees and customers. Consider using printed formats, videos, internal podcast episodes, etc. Make sure you're providing adequate access to masks, hand sanitizers and other PPE-related items.

Note that some of the guidelines are easy to understand, while others are more subjective. As a small business owner, considerable "the reasonable man status." Even though it can be debated, you need to take reasonable steps. Was there a plan in place? How was the plan communicated? Did you take steps to protect employees and patrons?

The Department of Labor and other agencies have requirements for making specific business notifications visible. You may consider posting your policies and procedures near these other notifications. If a claim is being investigated or litigated, the attorneys will ask for your policies and procedures. Having these organized, published and updated will help your case.

Engage Your Attorney

Be sure to involve your business attorney in important communications and decisions. This is especially important with compliance issues. It also can add the protection of attorney-client privilege.

It's a good idea to have an attorney act as your general counsel. Parker does this for many clients. The advantage is that documents, contracts and policies can be reviewed and updates made. Going forward, your general counsel can efficiently and proactively help you to avoid potential exposure to adverse claims and lawsuits.

Who is Monitoring Non-Compliance?

There aren't any CDC police roaming the streets. However, small business owners may need to consider how other government agencies and regulators can use the CDC guidelines.

State licensing boards have enabling statues and regulations to give them the ability to govern your professional license. Communicable diseases have a history of enabling an entity to comply to federal guidelines.

OSHA inspectors may be able to incorporate CDC guidelines to levying notices and fines.

Tort Liability is another area to be concerned with, as a small business owner. If a patron makes a claim that you failed to take steps to comply with CDC guidelines, and that failure resulting in the patron becoming ill with COVID-19, you may be exposed to a negligence claim. In Kentucky, the governor has set up a hotline for citizens to report concerns.

Engage Your Employees

It's critical that you actively communicate and reinforce your policies and procedures. Consider team meetings to ensure your staff understands the steps you're taking. It will enable them to ask questions, so they can begin to feel more comfortable. It also provides a way for you to demonstrate that you've taken necessary steps to educate your employees on the company guidelines.

Seek Out Original Sources Rather Than Interpretations

It's important that small business owners stay informed and up to date on the information regarding COVID-19 and required measures. Don't rely on commentary. It's a good idea to seek out the information, directly from the source.

• Governor Beshear's Executive Orders for Kentucky
• Governor Beshear's 10 Rules to Reopening
• Team Kentucky Official COVID-19 Information
• Kentucky Cabinet for Health and Family Services

Managing Your Managers and Supervisors

Legally speaking, you need to be aware of who can bind your company. Communications to employees by managers and supervisors could expose you to adverse legal actions. You need to be sure you've effectively communicated the policies and procedures to your managers and supervisors, so they properly communicate it to your staff.

Force Majeure Clauses - Are You Still Covered by Your Insurance Policy?

Sometimes, a policy or contract contains language related to "acts of God." This is commonly referred to as "force majeure." Pandemics may be considered a nullification of coverage by means of a force majeure clause. Insurance companies may attempt to use this clause to avoid paying a claim. You may need to review your policies and other contract to see how a force majeure clause may impact your small business. However, this also applies to terms of various contracts you may have with third parties, such as vendors, suppliers or other business relationships.

Bringing Employees Back

Businesses need to be very careful in how they are bringing back their employees and independent contractors. Misclassification issues are taken seriously by the Department of Labor and the IRS. You may have to alter the individual's scope of work. Some small business owners may attempt to reclassify the person as a 1099 individual contractor, thus reducing tax liability. This can be a dangerous decision. There are gray areas, but there are also very important red lines related to the amount of control you exert on the activities of the individual.

As you reopen your business, you should consult your attorney to review any changes you are considering. If you misclassify an individual, there could be significant legal consequences, fines and other penalties.

FMLA vs. the Families First Corona Virus Response Act

There will be a lot of compliance issues with this. If you have fewer than 50 employees, you may not have to provide the paid leave, due to financial constraints. However, it's a very subjective standard regarding whether the company can afford to pay this leave.

There will be complications when an employee who is considered a high-risk by the CDC (e.g. 60 years or older). What happens if you ask an employee to return, but they don't want to due to the Corona virus? Related to this is a cut-off for an employee who is 40 or older regarding potential age-discrimination claims. You need to approach these situations very carefully. Engaging your attorney is a very prudent step in helping you to avoid or minimize legal exposure.

Consistency is Important

Even when you have well designed policies and procedures, it's critically important to be consistent in the application and enforcement of them. Deviations could open the argument that the actual policy in question, wasn't actually a "real" policy. That's when you may open yourself to unanticipated claims, lawsuits and expenses.

For more information about Parker Wornall and his firm:

Commonwealth Counsel Group, PLLC

Website: www.ccgattorneys.com

Office: (502) 805-2303

To listen to more episodes of the Grow For It podcast, please visit my small business consulting website, search for it on Apple Podcast (iTunes), Google Podcasts and other podcast directories. Be sure to subscribe, at no cost, to keep up with the most recent episodes.

Thanks for taking the time to listen!

Episode 15: There's no doubt the COVID-19 crisis has negatively impacted small businesses. Now the initial $349 Billion in relief has been depleted. In today's episode, my guests will discuss what business owners should do now, and how they may be able to help.

I'm joined in the studio by two, local contacts. First, Tommie L. Causey, Lead Economic Development Specialist, Kentucky District Office, U.S. Small Business Administration. With over 20 years of experience in federal contracting, lending, and economic development, Tommie is responsible for accessing, researching and identifying market national and local trends to develop or adjust value propositions tailored to fit customer needs. He collaborates with community leaders to help start and/or grow existing small businesses.

Second, I'm joined by Dave Oetken, the Director of the Louisville Small Business Development Center which provides free consulting, market research and debt capital sourcing to businesses in the Greater Louisville region. He has extensive experience owning and managing businesses both large and small across numerous industries including manufacturing, food services, hotels, recreational facilities, professional sports teams and commercial real estate & development. He holds an MBA from Bellarmine University, is a Certified Economic Finance Professional (EDFP), Certified Commercial Property Manager (CPM), Certified Exit Planner (CEPA) and a Certified Mergers & Acquisition Advisor (CM&AA).

A quick clarification: I mentioned in the introduction that Tommie and I were recently involved in a Bellarmine Rubel School of Business Roundtable. I commented that Tommie was a host and I was a "guest." To clarify, I was not invited as a presenter. I participated in the event.

Payroll Protection Program (PPP) and Economic Injury Disaster Loan (EIDL)

The SBA is helping to administer these programs. The PPP funds are exhausted, but there may be another $250 Billion coming soon. The EIDL provides $10,000. The PPP is provided via banks and the EIDL comes directly from the SBA. It's important for business owners to go ahead and apply for these programs, regardless of the current lack of availability of funds. You want to be in line for future funding, related to this COVID-19 business crisis.

Some of these funds will be forgiven, provided you use the fund for the intended purposes. There was a level of confusion as to how to access the loan applications.

The Louisville Small Business Development Center (SBDC) is available to work with small business owners to access their individual situations and begin to develop a survival plan. The services provided by the SBDC and the SBA are free.

Where Do I Begin?

If you have a relationship with a lender/bank, start there. Some of the programs will be applied for via your local lender. The EIDL is applied for directly via the SBA. The SBA is a one-stop shop for small businesses. They are there to support you. They are standing with you to help you find sources of funding, business expertise and guidance.

Can Non-Profit 501(c)(3) or Faith-Based Organizations Apply?

Yes. The rules were amended to help these organization.

Can Self-Employed People Qualify for these Programs?

Yes. Some of the programs are now available to self-employed, 1099 and other types of individuals.

Contact Tommie Causey at (502) 276-6873. His email is: [email protected]. For more information visit: www.SBA.gov/KY

Contact Dave OetKen at (502) 594-3871. His email is: [email protected]. For more information visit: www.LouisvilleSmallBusiness.com

Additional Information for Small Business Owners

Finally, the specific number of available programs, their intended purposes and how you can take advantage of them may seem overwhelming. I get it. There's a ton on your plate right now. I recently helped CPA Steve King produce a series of short videos that may help you to better understand some of those programs. You can watch these videos on LinkedIn at Meyerowitz & King, PLLC, or if you prefer to use Facebook, search for MKCPAsLouisville.

I hope you have found all of this information helpful. Believe it or not, it's all temporary, even though it may seem like the end of your world. Hang in there. Make smart decisions and ask for help when you need it. There are many people ready, willing and able to help. If there's anything I can do, then Let's Grow For It!

Episode 14: As we discuss topics related to new business start-up, marketing and other important topics, this episode features a conversation with husband and wife team who launched the Dogwood Veterinary Clinic in Norton Commons. They offer some innovative procedures and services, combined with a strong focus on building relationships with their clients. We're going discuss their vision, their journey (so far) and a few comments on facts you need to know about your pet and the corona virus (Covid-19).

Dr. Katie Franklin and Dr. Chris Franklin met while attending the Auburn University College of Veterinary Medicine. Katie earner her undergraduate degree at the University of Kentucky. Chris earn his undergraduate degree at Murray State University, where he was also a quarterback for 5 years.

After an extensive search, they decided to build their new practice in Louisville's Norton Commons, rather than buying an existing, veterinary practice. The risk is that they started off without a client base, but were confident that their vision for the business would lead to success.

Creating a Vision:

While both initially thought they'd focus on equine medicine, Katie and Chris explain how and why they decided to transition to a small animal veterinary practice. Some of the advantages include a better work-life balance, more opportunities to build relationships and the chance to create a unique environment for pet and the pet-owners. For them, it's about creating a terrific experience.

Developing Unique Selling Propositions to Standout in Your Market:

Concierge Service – An optional service to provide cell phone access 24/7 for emergencies. You can see if your pet is having a true emergency, or if it's something that the pet-owner may be able to handle the following day. It can be a significant cost savings vs. a trip to an emergency veterinary hospital. If it is an emergency, Dr. Katie and/or Dr. Chris can communicate directly with the other vets about your pet's history.

Loyalty Program – A way to reward loyal clients. You earn rewards based on the money you spend to be used toward the cost of future services at Dogwood Veterinary Clinic. They want a way to give back to their clients for deciding to support a local business.

Regenerative Medicine – A new procedure involving using your pet's own stem cells and platelet-rich plasma to help it recover more quickly. The entire process is handled at Dogwood. The benefits include:

• Cheaper than a full surgery
• Less pain and anesthesia for your pet
• Your pet can usually go home the next day
• It's used on both cats and dogs

House Calls – You can schedule a home visit with your vet and a technician for your pet. This is an excellent option if you have limited mobility, multiple pets, large pets or even if you're worried about avoiding the corona virus.

The Dogwood Veterinary Clinic offers a variety of standard surgical procedures including broken bones, abdominal surgeries, bladder stone removal, spay and neutering services. Dr. Chris discusses how they specifically target the market opportunity to provide these services much more cost-effectively than going to a board-certified surgeon.

They also offer dental cleanings, extractions and other veterinary dental procedures.

The clinic's website features an online store. This enables you to order medication for your pet and other items to be shipped to your home. You can use the clinic code to order pet food from Purina Vet Direct. During this time of dealing with the Covid-19 virus, Dogwood is offering home delivery.

Can My Pet Get the Corona Virus (Covid-19)?

Dr. Katie and Dr. Chris explain that while one dog, in Hong Kong, did test weakly positive, it's not clear that your pet can pass Covid-19 to you. The AVMA's current position is there's no evidence a pet can contract, transmit or get sick from the Covid-19 corona virus. Animals do and can carry a corona virus. Note however, that this doesn't mean it's the Covid-19 virus. The risk to any virus is its ability to potentially mutate.

Spring & Summer Tips for Your Pet:

• With Easter approaching there's a risk that certain house plants (e.g. lilies) can be dangerous if your pet chews on them. the plastic grass in your Easter baskets can be very dangerous for cats.
• Chicken bones, beef bones and fatty foods are dangerous and could lead to pancreatitis.
• Dogs can be susceptible to sun burn on their noses, ears and bellies. You should be prepared to carefully apply sunscreen. Be sure to avoid using aerosol-based products around your pet.
• Warm weather means fleas and tick are back. Heart worms and intestinal parasites are also a risk to humans. Remember, there are simple ways to prevent all of them.

Important Thoughts from this Conversation:

• Understand the impact of starting a new business on your work-life balance.
• Before you start you own business, develop your unique selling proposition(s), so people notice you and take notice of you.
• Once you've developed your business plan, have the courage to actually start.

I hope you enjoy this season's new podcast format. I've worked with small businesses for many years. If you're thinking about launching your business, or would like to discuss ways to improve and accelerate your growth, contact me. You can find information about my small business consulting, my business Facebook page and my contact information via my website at JimRayConsultingServices.com.

Finally, if you've ever considered launching your own podcast for your business, check out my podcast production service.

Episode 13: Today, Louisville estate planning attorney Kelli Brown joins me to discuss important topics, including the March 20, 2020 launch of her 2nd book, Estate Planning When You Have Pets. Kelli has over 20 years of experience in helping individuals and families.

Kelli graduated from the University of Dayton. She earned her law degree from the Northern Kentucky Chase College of Law and her Masters of Laws in Estate Planning from the University of Miami. She's licensed to practice in Kentucky, Ohio and Tennessee.

Estate Planning Basics

The primary objective is to decide and document who should be in charge in the event of your incapacity or death. Your estate plan should include directions for medical care, finances and how your assets should be distributed.

If you don't plan, the government plans for you.

While we don't want to think about it, it could come into play more quickly that we think. You could be injured or killed in a traffic accident or while traveling. Once your child turns 18, he/she should have some of these documents in place. They need to specify someone to make medical decisions, now that they are considered an adult in the eyes of the law.

Important Estate Planning Documents

1. Power of Attorney Document – specifies who can handle your finances, your business and other issues, on your behalf, even while you're alive but cannot act for yourself. Remember to also name an alternate Power of Attorney (POA). These can be very specific or more general in nature.
2. Living Will Directive (Healthcare Directive) – specified who can make medical and related healthcare decisions, if you are incapacitated.
3. Last Will and Testament – specifies what happens to your assets, after you pass away.

Common Mistakes People Make

1. Fast Food Estate Planning – be careful of free dinner seminar presentations that turn into expensive sales pitches. The documents are often oversold based on fear and scare tactics.
2. Failing to keep a digital inventory of your assets, accounts and passwords. Your heirs, trustee and or executor may not know how and/or where to find this important information. You need to update the lists of your information and providers.
3. Not having a financial planner. You need a quarterback who can help you and your heirs to fully understand your finances. You may want to have a number of trusted advisors and an alternate(s).
4. Not updating your documents and beneficiary designations after life changes (e.g. divorce, remarriage, sales of assets, birth of a child).

What if You Have an Addicted Child?

There's a tremendous risk of your child blowing through substantial funds, and possibly engaging in self-harm, should they suddenly have access to a large amount of money. A trust can help to ensure the assets and money are better managed, on behalf of your addicted child. There are many ways to structure the trust of protect your child. Kelli's book (see link, below) provided options you may want to consider.

How Can You Provide for Your Pets in a Trust?

Kelli's new book will launch on March 20, 2020. If you have a pet, you may want to consider providing for the future care of your pet. A trust is one option to help you make it easier on the person who is going to help re-home your pet, upon your death. It's important to think about the expenses related to veterinary expenses, food, grooming and other necessary events. It can also specify who will assume the care of your pet(s).

Important Final Thoughts

Make sure you discuss the cost of the estate planning services and documents. Know how much it costs, before you hire an attorney. You should feel comfortable the attorney and the fees should be reasonable.

Additionally, it's important to remember your lawyer should not be appointed as your executor, trustee, attorney-in-fact. Your lawyer should be your "drafter" but not in a leadership role.

Can I Get Kelli Brown to Speak to My Organization?

Kelli speaks regularly on the estate planning topics. She's available to make presentations to your group or organization. You can contact her via her personal profile (see link, below).

Helpful Links:

Kelli's Professional Profile and Contact Information

Kelli's Book Website

Kelli's Book on Estate Planning When You Have an Addicted Child

Kelli's Book on Estate Planning for Your Pets

Welcome to Episode 12 of the Grow For It small business podcast. As we wrap up 2019, I'd like to take a few minutes to share a few thoughts and perspectives for 2020.

There are so many opportunities at your finger tips. We've never had so many advantages, compared to previous generations. One of the advantages is the experience we gained during this past year. We're another year smarter. Both mistakes and successes can lead to learning opportunities.

Take time to think about your dreams. What's holding you back? What are you willing to do in pursuit of them?

With 2020 knocking at our doors here are a few key thoughts:

Dream Big. There's so much out there to learn, to accomplish and to achieve. That process begins with allowing yourself to dream.

Set Audacious Goals. Don't worry if they seem impossible. The best long-term goals are supposed to feel that way. The important point is to commit to your success by taking steps toward them.

Become Your Biggest Cheerleader. Your progress, and happiness, is ultimately up to you. Remember the importance of also cheering for others. Their success doesn't take away from yours.

Expect the Storms. Life is full of them. Regardless of the situation, it's only temporary. You can and will get through them.

Remember to Breathe. Stress and pressure will try to shut you down and derail your pursuit of those dreams. Remember to breathe and believe in yourself.

Be Thankful for What You Have. As I often remind myself and my friends, "I compete against me." Life is full of temptations and reasons to feel less than successful. Others have worked hard to try to provide you with opportunities and to make your path a little smoother. Be thankful.

Finally, Believe that there are a million opportunities out there. Most importantly for 2020, have the courage to chance one of them.

Welcome to Episode 11 of Grow For It! This is a podcast for small business owners, managers and professionals. I'm Jim, and my goal is to work in the space between your ears - you know on your mindset – to help you move closer towards your Vision.

Today's topic deals with Income Tax for Business Owners. My guest CPA Steve King offers advice on some of the impacts and changes to tax laws. We wrap up the episode with 5 End of Year Tax Moves.

Steve is a partner at Meyerowitz & King, CPAs in Louisville, Kentucky. His phone number is (502) 587-9833. You can visit his website at www.TheLouisvilleOffice.com

Today's discussion covers Qualified Business Income Deductions, Qualified Opportunity Zones, New Equipment Depreciation, Changes to the Deductibility of Alimony, the Loss of Entertainment Deductions, the Loss of Moving Expense Deductions and a brief point about the new Secure Act which was recently passed, but has not been signed into law as of this recording.

5 End of Year Tax Moves

1. Max out your HSA contributions to take advantage of the tax deduction.
2. Max out your Retirement Plan contributions.
3. Think about everything included in your Home Office deduction.
4. Harvest your Tax Losses (remember the Wash Sale Rule).
5. Take your Required Minimum Distribution if you are required to do so to avoid a significant penalty.

I interviewed Steve King on my small business radio show, Let's Get It Started, in May of 2018. Here's a link to that interview: http://jimrayconsultingservices.com/radio/tax-issues-for-small-businesses/.

Previous episodes of this podcast, as well as podcasts of my small business radio show are available on my website JimRayConsultingServices.com. You can also find them on iTunes. Just type my company name in the podcast search bar. While I tried to limit previous episodes of the Grow For It podcast to less than 10 minutes in duration, my radio show features interviews lasting about an hour. As we move forward in 2020, my Grow For It podcast will feature more in-depth content and interviews.

As we close, remember, there's no time like the present to begin planning for your 2020 tax strategies, if you need a talented CPA and advisor, call Steve King. When you're ready, Let's Grow For It!

Welcome to Episode 10 of Grow For It! This is a podcast for small business owners, managers and professionals. I'm Jim, and my goal is to work in the space between your ears - you know on your mindset – to help you move closer towards your Vision.

Today's topic is Leading with Gratitude. It's the art of inspiring loyalty and performance through a simple, but important, action.

Before we get started, let's review where we've been. In Episode 9, we discussed Avoiding Negative Influences. I shared a personal story about how I had to rebound from a negative influence in my own life. I recommended several tips anyone can use to prevent negative influences from derailing your career and having a lasting impact on your life.

In the next few minutes, we're going to discuss how you can have an impact as a leader, if you'll add a simple activity to your week. So, if you're ready, Let's Grow For It!

Have you ever met or worked with someone who just seem to make you feel better about yourself? There was probably a reason you wanted to perform at your best level for this person. Often, it's because we know how much our personal efforts mean to that person. There's a connection; a willingness to go the extra mile. Think about how that makes you feel. What does that do for your self-worth? Your commitment? Your overall satisfaction?

Now, think about the last time a boss or coworker seemed to take you for granted. Regardless of how hard you tried, the hours you devoted or the results you delivered, it was never enough. That person considered you just another wrung on the ladder to THEIR success. Remember how that made you feel? Remember what it was like day in and day out?

Close your eyes for a minute. Imagine the vast difference in what it would be like to work for that inspirational leader for whom you wanted to perform versus what I'll call that "perspiration leader" who only seems to take your blood, sweat and tears for granted.

Now, keep your eyes closed for this next question: Which leader are you?

I'm going to let that question hang there for a minute. Some of you listening might be tempted to avoid answering the question because you're not leading an organization. But remember, you can still have a similar impact by the way you choose to treat your colleagues, your customer service reps, even your clients or customers.

Years ago, I ready book titled Lions Don't Need to Roar. It was written by D. A. Benton and is still available on Amazon. Its subtitle is "Using the Leadership Power of Professional Presence to Stand Out, Fit In and Move Ahead." I'll put a link to it in the notes for this podcast, on my website at JimRayConsultingServices.com/podcasts.

The takeaway is you still have the capability to differentiate yourself by the way you present yourself on a daily basis. Regardless of whether or not you have an official title, you can still inspire and raise the bar for everyone around you.

Those personal connections you establish by how you interact with people will go a long way in contributing to your personal success. In a few minutes, we'll talk about a simple activity you can do to inspire and motivate.

In late 2004, I went to work for a national marketing firm called FindLaw. We sold Internet marketing solutions to law firms. I had very little experience Internet marketing, other than I previously had P&L responsibility for our online sales in a management capacity for a regional distributor. This new company had a fantastic training program. More importantly, though, I was fortunate to go to work for an extremely talented manager, Jonathan Whitacre. JW was the inspirational leader I needed as I started a new phase of my career.

Jonathan has a way of sensing when something is working and when it isn't. He knows exactly how to pinpoint problems, while helping you to both acknowledge and work toward consistent improvement. He's the type of manager who adds value in every interaction. JW and I both left FindLaw after several successful years. I always look back fondly to playing a role on "Team Pinnacle" as he called us.

Jonathan's gone on to become a Vice President at Ethisphere. It's a corporate ethics company, where he continues to have a successful impact on the people around him. We still keep in touch through phone calls and LinkedIn.

Even this many years later, I look back on that experience has one of the highlights of my career. That my friends, is the impact an inspirational leader can have on an individual, a team and on the organization at large. Have you worked for this type of leader? I hope you have. More importantly, I hope we each become one.

Earlier in this episode, I challenged you to answer whether you were an inspirational leader, or a "perspirational" leader. I agree, there are times when a leader needs to be firm on direct reports and others. When appropriate, an aggressive leader may get more out of someone than maybe that individual thought possible.

However, that heavy-handed approach also has the ability to crush the spirit or grind someone down so far, they simply give up. I believe in doing everything possible to hit the numbers, but not at the cost of becoming a cancer to the organization.

One of the primary questions I once asked a hiring manager was simply, "What do you celebrate in this organization?" I wanted to get a sense of whether this manager celebrated his own success because his team was performing, or whether he was inclined to share the spotlight with the team actually delivering the numbers for the organization. Words mean things and you can tell a lot about a person by the way he or she answers certain questions.

Let's take a few minutes to discuss how we can begin having a larger impact by Leading with Gratitude. Remember, as the book says, "Lions Don't Have to Roar." As usual, it's time to take out a sheet of paper.

Using your pen, divide the sheet into 4 equal sections. This is similar to what we did in Episode 3 when we discussed using a SWOT analysis. In the top left quadrant, title it "Direct Reports" and draw a box around it. In the top right quadrant, title it "Secondary Reports." Again, draw a box around it. Secondary reports would be members just outside of your direct reports. These are some of the people who report to your team. Don't worry if your organization isn't that large. You'll begin to see the concept.

Title bottom left quadrant "Supporting Cast" and draw a box around it. This quadrant will be for customer service reps, field reps or others who have an impact on the organization, but might not be in your area of responsibility.

Finally, title the bottom right quadrant "Clients" or "Customers." Draw a box around this as well.

I want you to begin filling in names, based on the classification of each box. Hopefully, this will take a few minutes. If you're actively engaged in your organization, you'll have plenty of names to add.

Now, this is the activity I recommend you implement on a weekly basis. Pick four names, one from each quadrant and write a personal note to each person. A simple Thank You card or sheet of company letterhead will work. Resist the temptation to email or text your comments. There's something much more personal to a hand-written note. Believe it or not, I've seen some of them framed and hanging on the walls of offices.

The objective is to consistently write 4 notes. People thirst for recognition. You might be surprised by the impact of this simple action. Even if you're currently not in a leadership role, a personal note thanking someone in a different department will still have an impact.

As you begin to go through the list of names in each quadrant, take time to add people. Obviously, you might exhaust the names of your direct reports. If that's so, start looking for more names for the Secondary and Supporting Cast quadrants.

We're all working hard to achieve company objectives and meet quotas. The pressure can lull us into a sense of tunnel vision where we forget that an organization runs on its people. A simple gesture of gratitude can act as a pressure relief valve. It can also re-energize an individual whose performance might be overlooked.

Remember how it felt when you were remembering that inspirational leader? Maybe that personal is still having an impact on your performance today. Gratitude is a successful component of a Leader's mindset. Don't be afraid to show it, often. When people think back on their own experiences, which type of leader to you want to be considered?

Friends, that's it for this episode. As always, allow me to take a second to thank you for taking the time to listen. I hope you found it insightful and worth your time.

Previous episodes of this podcast, as well as podcasts of my small business radio show are available on my website JimRayConsultingServices.com. You can also find them on iTunes. Just type my company name in the podcast search bar. While I try to limit each of the Grow For It podcast to less than 10 minutes in duration, my radio show features interviews lasting about an hour.

As we close, remember, there's no time like the present to begin Leading with Gratitude, especially if you want to be remembered as an inspirational leader. When you're ready, Let's Grow For It!