Courage, Risk & Business Growth

Courage to Take Risks.

Memorial Day is here, leading me to reflect on different types of courage of men and women.  Without belittling courage to risk life for country, I reflect on courage to follow an idea or dream.  Some entrepreneurs venture into areas of risk most business professionals spend their whole careers avoiding. In time, those entrepreneurs can turn courage and risk into business growth with a little help.

Starting your own business and risking your livelihood requires courage and conviction.  Reasons for taking that risk vary.  It may be the potential business growth possibilities.  It could be you  have a better delivery method, or are passionate about an idea or design.  Regardless of your conviction, when your business begins to grow, everything changes.  To expand product lines or delivery even successful entrepreneurs can need a little funding boost.  Americore was founded to help entrepreneurs reach new growth levels through funding and incentives.  We use Blue Apple products for both.

Resources for Business Growth.

One of the biggest challenges is the ability to make additional money pave the way for Research and development when you need it.  One great resource for Research and Development Incentives and funding are Americore Blue Apple programs.   Blue Apple offers tax incentives and credits as well as capital access.

Whether you need cash to launch a new product line or enhance technology for marketing, monitoring or filling demand, Blue Apple solutions have options for different needs.  Do you need funds to expand within existing or new market areas?  Do you have a plan in place for those funds?  Can your current business growth plan be improved or altered for a more favorable pipeline?  There are changes that can help put your business in a better position for growth.  Your Americore professional can guide you through the answers to these questions and more.

Research and Development Savings

Surprisingly, many businessowners fail to pursue the R&D tax credit because they don’t realize their project is eligible. The R&D tax credit is not just for big business.  It is not just for pharmaceutical or energy firms.   Eligibility falls to some simple guidelines.

• Your R&D should eliminate uncertainty.  It is critical that you show you made attempts to remove any doubt about the development of the product or process. 
• Your R&D must involve experimentation.  This can involve simulations, modeling or hypothesis testing.
• The R&D activities must be based on sound principles of science or engineering.
• Allowable Purposes only include improvement in performance, quality or reliability. Research might not result in product, service or process improvement, but the purpose of research must be to do so.

If your innovation is eligible, it helps to know what expenses will be covered. What follows are examples of covered expenses.  Salaries for those who work directly on the innovation and salaries of first line managers are eligible under the R&D tax credit.  Legal fees for a patent are another covered expense under the R&D tax credit.  US Based contractor fees are covered.  (United States is unwilling to pay for your contractors outside of this country.)  Supplies that are directly related to the innovation are eligible too.

About the R&D Tax Credit.

Keep in mind that the R&D tax Credit is nonrefundable.  It limits your tax liability dollar for dollar.  If you don’t have tax liability, you can’t apply the credit this year.  Keep the R&D expense records anyway.  The IRS allows you  to carry them forward.  Check specific options with your accountant.

Is your project too small to qualify?  Don’t give up.  Smaller companies can get a payroll tax offset.  That means you can get the R&D tax credit up to $250,000 of payroll even if you don’t owe taxes.  As with most payouts, the devil is in the details.  Talk to your Americore representative to find out whether your company is eligible, and for how much.

Americore Can Help You Grow

This is one of many incentive and funding programs we’d like to discuss with your advisors.  Americore doesn’t replace your team of consultants.  We empower them to facilitate the growth and wellness of your business.  Enjoy the difference that an experienced Americore business advisor offers. We’d love to talk to you about other incentives and funding options.  We should have a conversation.  You’ll be glad we did.