Archive for September 2011
Customer Service, Social Media and Small Business
Does the term “customer service” seem like an oxymoron? The term implies cheerful, helpful people who want to resolve your issue. But is that what we get? Instead we’re shuffled around, leaving us more frustrated and no closer to finding the needed information or solution.
Do you provide top-notch customer service? Have you examined your processes lately? Is your staff properly trained? Is your phone number clearly listed on your site or is it buried? Do you want to hear from your customers? If any of these leave you questioning your own service then it’s time for an examination.
Lately it seems as if customer service has become a lost art. Requests that should take fewer than 15 minutes turn into 50 minute conversations.
A couple of recent customer service issues have left me scratching head.
For instance, I signed up for a 30-day trial for an accounting system. Though it was kick-butt it was much more than I needed, so after a week I called to cancel. It took a bit to get to the appropriate person. After explaining my situation I was instructed to send an email to “cancel” the subscription. So I fired off the email immediately. End of story, right? No, sir.
Twenty-three days I was charged for the trial software I had canceled. Admittedly I was mildly peeved, mostly because I was not interested in calling customer service. But I did. Fifty very long minutes and three transfers later repeating the same story, I was connected with someone (knowledgeable) who said to expect a refund in 7 to 10 business days. It was 14 days, but who’s counting.
Another recent head scratcher.
A client’s project stalled out and I offered to help move things along and contact Ms. J, who had three numbers listed. Three is better than none, right? Unsure of the best contact number and time to reach, I tried one of the numbers:
Me: “This is Angie from Company K, is Ms. J available?”
Her: “I’m not sure. Could you hold?” Then, “Could I take a message?”
Me: “I see she has three numbers. Does she have an assistant who handles her schedule? I’d like to know best time and number to reach her.”
Her: “Could you hold?” Comes back and says, “I’m trying to leave her a voice mail.”
Me: “Thanks. It probably makes more sense if I connect with her directly.”
This goes back and forth for another few minutes. I’m dumbfounded over the difficulty in trying to reach an admin. Does she have one? My mistake for presuming this would be a simple task with a simple answer. So I try again. This time I’m transferred to the general counsel. Great, an attorney.
Me: “Hi, I believe I was transferred to the wrong person. This is Angie from Company K, and I’m trying to reach Ms. J’s assistant, if she has one.”
Him: “Who are you?”
Me: Explain again…
The attorney, being an attorney, grills me, asking the purpose of call. The kicker is he accuses me of being mysterious. Is this request that unreasonable? Instead I thank him for his time and end the call.
I was no further in helping out my client.
I immediately wanted to rant about this goofy exchange on Twitter and Facebook but held back, deciding it would make a better post online.
So there it is. Social media is great in so many ways and if you are already doing something great, social media amplifies that. And if you’re not, it’ll shine a spotlight on those areas for improvement. Know your weaknesses and fix them. Test your customer service processes. Train people who answer the phones. Make sure your contact information is prominent on your site. And most importantly let your customers know you want to hear from them. They want to know that customer service is a top priority.
If you run a smooth ship, have a reputable business, the customers will be ready to board.
Inter-State Business Tax Bill Goes Through House Committee
The United States House Judiciary Committee approved legislation which aims to simplify the collection of business taxes across state lines.
The Business Activity Tax Simplification Act was designed to resolve the issue of states seeking to collect business activity taxes from businesses located in other states. The act sets specific guidelines for when an out-of-state business can be charged a tax for business done within another state.
Many states have recently sought to collect business activity taxes from businesses in other states. The problem has been that different states use different standards for determining what justifies taxation.
The bill’s sponsor, Rep. Bob Goodlatte (R-VA), explains that the differences between states has resulted in businesses being deterred from expansion into other states for fear of taxation. The issue is of specific concern for internet-based companies.
“This legislation sets specific guidelines for when an out-of-state business may be charged a tax for doing business in a state,” Goodlatte said. “This legislation focuses on allowing the Internet and the commerce that it facilitates to expand, by eliminating excessive taxes that harm on-line growth.”
The bill creates a “bright line” test to determine whether or not an out-of-state business is obligated to pay taxes to another jurisdiction. There would also be a physical presence test established. For example, a state may only tax an out-of-state business if the out-of-state business has a physical presence in the taxing state.
This physical presence could be defined as leasing or owning real or tangible property in the state or the assignment of one or more employees in the state for over 21 days.
The bill should be voted upon by the House by the end of summer.
Delaware Incorporation – A Very Business Friendly State!
It could be said that Delaware incorporation is a kind ubiquitous process of forming incorporation, for both; people living in US or abroad. For instance, Delaware incorporation is advantageous to companies who intend to offer their shares to the public. Delaware incorporation is definitely much easier and beneficial for businesses when compared to the other states, because of all these contributing factors. Another benefit of Delaware incorporation is Delaware’s extensive and often easily interpretable law. Delaware incorporation is also advantageous because shareholders and directors can make decisions by unanimous written consent in place of formal meetings.
Delaware Incorporation is also a great resource for companies seeking venture funds or an acquirer. Delaware incorporation is favored by sophisticated investors and may broaden corporate opportunities. Another reason for favoring Delaware incorporation is the efficiency of the Delaware Secretary of State and the quality of Delaware judges in handling corporate lawsuits. Delaware Incorporation can really be advantageous as compared to many other states.
Businesses choose Delaware not for one single reason, but because they provide a complete package of incorporation services. The Delaware General Corporation Law is the most advanced and flexible business formation statute in the nation. The Delaware Court of Chancery is a unique 210 year old business court that has written most of the modern U.S. corporation case law. Delaware’s State Government is business-friendly and accessible, and the Division of Corporation is a model state-of-the-art. These factors have all contributed to making Delaware a premier legal home to companies around the world.
You don’t have to be a Delaware resident, but Delaware law requires every corporation to have and maintain a Registered Agent in the State who may be either an individual resident, a domestic corporation, or a foreign corporation authorized to transact business in Delaware whose business office is identical with the corporation’s registered office. You can pay a fee of approximately $99.00 for resident agent services offered by most incorporators.
You don’t need an attorney to perform a Delaware incorporation, but you should contact an attorney concerning legal matters.
Delaware corporate laws allow more flexibility in conducting businesses. Some additional benefits of a Delaware incorporation are:
o Delaware has a separate and highly-respected business court known as the Delaware Court of Chancery. The court protects corporations in Delaware so that they can focus more on their business operations and reasonable litigations/disputes.
o The costs of incorporation filing and franchise tax fees in Delaware are low.
o Delaware has no minimum requirement to open a business bank account. Most states require at least $1000.00 in an account to operate a business.
o Delaware incorporation allows privacy and anonymity of company’s Director, Shareholder, or Officer.
o In a Delaware incorporation, the business owner can be all of the officers (director, shareholder, or officer) of a Delaware corporation him/herself.
o Business entities or business corporations that incorporate in Delaware but do not operate in the State of Delaware do not have to pay state income tax.
o Business entities that incorporate as Delaware corporations and LLCs are entitled to the advantages of asset protection. This means company’s assets or company debts are separated from your personal assets.
o Delaware has no sales or personal property tax.
More than 695,000 businesses have their legal home in Delaware, including more than half of all U.S. publicly traded companies, and 60% of the Fortune 500. This may be why Delaware is called the “Incorporating Capital of the World.”
In summary, many businesses choose Delaware incorporation because:
o The Delaware General Corporation Law is the most advanced and flexible business formation statute in the nation. The Delaware business Court of Chancery has written most of the modern U.S. corporation case law.
o Delaware’s State Government is business friendly and accessible.
o Delaware’s legal system has been ranked No. 1 in the nation for the fifth consecutive year. That alone warrants considering a Delaware incorporation.
o Shareholder, member or beneficial ownership information is not public according to current Delaware business entity statutes. Delaware corporations are required to file a complete annual franchise tax report with names and addresses of all directors and the name and address of the officer signing the report. Effective January 1, 2007 all Delaware business entities will be required to provide to the registered agent the name of a natural person, a business address and a business telephone who will be the communications contact for the entity.
o Delaware companies that do not operate their business within the state do not file Delaware state corporate income tax returns. There are no taxes on Delaware capital shares or stock transfers or state inheritance tax on stock held by non residents of Delaware.