Wait, The Business Needs More Insurance?!

by Rocha Wendy | Jun 26, 2024 | Business Tips

By Anwuli Chukwurah

Five most common types of insurance for a business. Yes, there’s more to insurance than health insurance.

Woolichooks recently got three types of insurance, and I feel like I’ve entered my teenage years as a business owner.  Insurance is something you need to have as another layer of protection. Yes, it may feel like you’re throwing money away into the void. Still, you’ll be glad you have it when those costly, unexpected events happen in your business — an employee gets injured, a client thinks you made an error, or a customer sues you because of your product. Below are the most common types of insurance for a business:

1. General Liabilities
2. Workers’ Compensation Insurance
3. Directors & Officers
4. Property Insurance
5. Health Insurance

General Liabilities

General liability insurance covers claims of bodily injury, property damage, and personal injury (like copyright infringement and slander). All businesses should have this insurance as their first policy. If you only have enough money to get one type of insurance, get general liabilities. As you grow, you will continue to add to general liabilities the other types of insurance that make sense for your business.

Workers’ Compensation Insurance

The business will also need workers’ compensation insurance if you have employees. This helps benefit employees who suffer from work-related injuries or illnesses, covering medical expenses and lost wages.

Directors & Officers

Directors & Officers insurance covers the personal assets of company/nonprofit directors and officers if they’re sued for alleged wrongful acts during their board service. All my nonprofit clients have this insurance as a standard yearly cost.

Property Insurance

Property insurance protects your business’s physical assets, such as buildings, equipment, and inventory, from fire, theft, or natural disasters. So, this protects everything in your balance sheet’s current and fixed assets section.

Health Insurance

Health Insurance allows the business to provide the employees with medical, dental, and vision insurance as a benefit of working at the company. It’s always great to provide this benefit as the business grows. I’ll write a deeper post about health insurance in the future as this is an actual benefit that employees can enroll in instead of the other types of insurance listed in this post.

Insurance is a way to hedge against potential risks to the business. Some grants, such as government grants, will require specific insurance so the funders can be assured that the business can cover any potential claims. Application for each insurance type will require you to provide information on your financials, employees, and general business info. Insurance can be one of your bigger expense line items, but it’s the fixed cost of doing business.

About the author:

Anwuli Chukwurah is a versatile finance professional with a track record of starting new finance organizations and scaling them for growth in fast-paced entrepreneurial environments. She has over 6+ years of experience working with small business owners, startups, and nonprofit organizations to help connect finance with their business goals. She aims to ensure her clients become comfortable and adept at navigating their numbers. She works with clients at Woolichooks and writes a newsletter for non-finance folks.

Find the Spanish version here.

Navigating the Impact of New Overtime Rules on Small Businesses

by Rocha Wendy | Jun 26, 2024 | Business Tips

By Rutu Ruparel

The U.S. Department of Labor recently announced a significant update to the Fair Labor Standards Act (FLSA), introducing a new final rule that raises the minimum salary for most workers exempt from overtime pay. This change will impact how and when businesses must compensate employees for working overtime.

Key Changes to the Overtime Rule

Previously, salaried workers in certain executive, administrative, and professional roles earning less than $35,568 annually were generally exempt from overtime pay. However, starting July 1, 2024, businesses must deliver overtime pay to salaried workers who earn less than $43,888 a year. This threshold will further increase to $58,656 on January 1, 2025.

Impact on Small Businesses

Employers will now be required to pay salaried employees at least time-and-a-half for working beyond 40 hours in a single workweek. For highly compensated employees, the new salary threshold for exemption from overtime will increase from $107,432 to $132,964 starting July 1, 2024. That threshold will rise again to $151,164 on January 1, 2025. Additionally, salary thresholds will update every three years starting July 1, 2027.

Options for Small Employers

Small employers have several options to consider in response to the new overtime rule:

1. Reduce or Eliminate Overtime Hours: Limit the amount of overtime worked to control costs.
2. Increase Salaries: Increase employee wages to meet the new threshold to maintain their exempt status..
3. Use Annual Bonuses: Employers can use annual bonuses to satisfy up to 10% of the salary threshold for highly compensated employees.
4. Adjust Base Salaries: Decrease the portion of the employee’s base salary, ensuring they still earn at least the applicable hourly minimum wage, to cover the increased overtime pay.
5. Combination Approach: Implement a mix of the above strategies to manage costs effectively.

Exemptions from the New Overtime Threshold

Although the FLSA does not offer explicit exemptions for small businesses, the updated salary thresholds typically encompass employees working for enterprises with an annual gross volume of $500,000 or higher in sales. Additionally, it applies to employees covered under the law due to their involvement in interstate commerce or the production of goods for commerce. For businesses operating in states with more protective overtime standards than those outlined in the FLSA, the higher standard applies in that state.

Steps for Employers

To comply with the new rule, employers should:

1. Review Salaries: Ensure that exempt employees’ salaries meet or exceed the new thresholds.
2. Adjust Compensation: Consider increasing salaries, paying overtime, or limiting overtime hours.
3. Communicate Changes: Explain the new requirements to employees, emphasizing the mandatory nature of the changes and promoting them positively.
4. Regulate Timekeeping: Train newly non-exempt employees on accurate time tracking.

The new DOL overtime rule will significantly impact small businesses, requiring adjustments to salary structures and employee classifications. By proactively reviewing and modifying compensation strategies, small business owners can navigate these changes effectively while maintaining compliance with the FLSA.

Find the Spanish version here.

How to use Eventbrite Event Management: Step by Step guide

by EGBI Tech Team | Jun 24, 2024 | Business Tips

Eventbrite is an event management platform that allows people to create events, advertise said events, and conduct sales with tickets, all in one place. This allows users to make professional looking event pages, get their words out quickly to large numbers of people, and deal with finances in a quick and simple manner. 

Step 1: Create an Account

Visit the Eventbrite website and click on the “Sign Up” button to begin creating your account. Enter your personal details, such as your name and email address, and create a password. 

 Step 2: Log In 

Go to the Eventbrite homepage and click on the “LogIn” button located at the top right corner. Enter your registered email and password, then click “Log In” to access your dashboard. This is where you will manage all your events.

Step 3: Create a New Event

Click on the “Create Event” button on your dashboard to start setting up your event. Enter essential details like the event name, date, time, and location,and specify whether it’s an in-person or online event. 

 Step 4: Add Event Description

In the description section, provide a detailed and engaging overview of your event. Explain what attendees can expect, including any special features, speakers, or activities. This information helps attract potential attendees by clearly stating the event’s purpose

 Step 5: Design Your Event Page

Utilize Eventbrite’s design tools to customize your event page. Add images, videos, and custom branding elements to make the page visually appealing. A well-designed event page can enhance the overall attendee experience.

 Step 6: Set Up Ticketing

Go to the “Tickets” tab and choose the types of tickets you want to offer, such as free, paid, or donation-based tickets. Set the price, quantity, and sale dates for each ticket type. You can also create discount codes or special offers to encourage early registrations in this area.

Step 7: Configure Registration Form

Customize the registration form to collect the necessary information from attendees. You can add custom fields, set mandatory questions, and tailor the form to suit your event’s needs. To customize, go into the “Registration Form” section ion.

 Step 8: Preview Your Event

Before publishing, preview your event page so you can understand how your customers will see the event. You can preview your event by clicking the “view your event link”.

Step 9: Publish Your Event

Once everything is reviewed and accurate, click the “Publish” button to make your event live. Your event page will now be accessible to the public, allowing potential attendees to register. 

 Step 10: Share Your Event

Promote your event by sharing the event link on social media platforms, your website, and through email newsletters.

OR

Use Eventbrite’s built-in promotional tools to increase your event’s reach. Consider using paid advertising options offered by Eventbrite to boost visibility. To use tools, go into the marking tab and choose the option that suits you best. 

 Step 11: Monitor Ticket 

Regularly check the “Manage Attendees” section to monitor ticket sales and registrations to see how sales are doing and see the expected amount of attendees

 Step 12: Communicate with Attendees

Use Eventbrite’s email tools to send important updates, reminders, and information to your attendees by clicking “Emails to Attendees” in the “Manage Attendees tab”.

 Step 13: Check-In Attendees

On the day of the event, use the Eventbrite Organizer app to efficiently check in attendees. The app allows you to scan tickets quickly, maintaining an accurate count of participants. 

 Step 14: Review Event Performance

Analyze the performance of your event by reviewing data in the “Reports” section. Look at ticket sales, attendance, and engagement metrics to assess what worked well and what needs improvement. Use these insights to enhance future events.

Using an event management software can help make the already complicated event planning process a little easier. Events can change the way your business works, from meeting new people all the way to creating a reputation about your brand with this software, hopefully, you can reap those benefits.

Find the Spanish version here.

Securing Your Google Account

by Rocha Wendy | Jun 20, 2024 | Business Tips

By Rutu Ruparel

In an era where cyber threats are constantly evolving, securing your online presence has never been more important. Google accounts, which often hold sensitive personal and professional information, are frequent targets for hackers. One of the most effective ways to fortify your Google account is by enabling Two-Factor Authentication (2FA). This added layer of security ensures that even if your password is compromised, your account remains protected. In this step-by-step guide, we’ll show you how to set up 2FA using an authenticator app to keep your Google account safe.

Step 1: Sign in to Your Google Account

1. Open your web browser and go to Google Account.
2. Enter your email and password to sign in.

Step 2: Access Security Settings

1. Once signed in, click on your profile picture or initial in the top-right corner.
2. Select “Manage your Google Account.”
3. In the left-hand menu, click on “Security.”

Step 3: Set Up 2-Step Verification

1. Under the “Signing in to Google” section, find “2-Step Verification” and click on it.
2. Click on “Get Started” and enter your password again if prompted.

Step 4: Choose Your Verification Method

1. Google will first prompt you to add a phone number for text message or voice call verification. Enter your phone number and choose the method you prefer.
2. Click “Next” and enter the code sent to your phone to verify it.

Step 5: Set Up Authenticator App

1. After verifying your phone number, you’ll see an option to set up the authenticator app. Click on “Set Up” under “Authenticator app.”
2. Choose your device type (Android or iPhone) and click “Next.”

Step 6: Install Authenticator App

1. If you haven’t already, install an authenticator app on your mobile device. Popular options include Google Authenticator, Authy, and Microsoft Authenticator.
2. Open the authenticator app and select the option to add a new account. This is usually done by tapping a “+” icon or selecting “Scan barcode.”

Step 7: Scan QR Code

1. Back on your Google Account setup page, you’ll see a QR code.
2. Use your authenticator app to scan the QR code. This will automatically add your Google account to the app.

Step 8: Enter the Verification Code

1. After scanning the QR code, your authenticator app will generate a 6-digit code.
2. Enter this code on the Google Account setup page and click “Verify.”

Step 9: Backup Codes

1. Google will provide a set of backup codes. These codes can be used if you lose access to your authenticator app.
2. Click “Download” or “Print” to save these codes in a secure location.

Step 10: Finish Setup

1. Once verified, click “Done” to complete the setup.
2. Your Google account is now secured with Two-Factor Authentication using an authenticator app.

By following these steps, you will have added an extra layer of security to your Google account. Stay vigilant and enjoy a safer online experience!

Find the Spanish version here.