McKonomics

Your Employee Handbook: Include 12 Critical Issues - Important Points to Spell Out

An employee handbook serves as a guide for managers and employees alike. It can help avoid conflict when specific situations arise and head off potential problems before they happen. A good handbook can also create an incentive for employees to make a long-term commitment to your company. 

The following list includes 12 major topics your employee handbook should include: 

Scope of duties and hours. Distinguish between clerical and other positions. For non-professional staff, state normal office hours (such as 9 a.m. to 5 p.m.) and note lunch and break times. 

Company property. Describe your policy for misuse of company property, such as computers, fax machines, copiers, telephones and online services. For example, what is your policy on personal e-mail and what are the consequences for violating it? 

Overtime. Under federal and local laws, payment for overtime is mandatory for some employees. In certain limited situations, "comp" time may be provided in lieu of cash overtime payments. Describe these situations. 

Business Valuation Building Blocks

I have had the opportunity and pleasure to review many valuation reports with my clients and answer general valuation inquiries from a multitude of other interested individuals. The majority of the questions and my comments during the reviews center on three of the building blocks of valuation: the Standard of Value, the Premise of Value, and the Ownership Interest being valued.

I have found that the end users of valuation services do not fully appreciate the impact that these different building blocks can have on a valuation engagement. Developing a better understanding of these critical valuation building blocks is one of the most important services that I perform for my clients. In this series of articles, we will look at these building blocks in more depth.

Let me take you back in time. If you are like me, you probably have a memory similar to this...It's Saturday and you and your family are going to visit your grandparents for the evening. When you got to their house, you ran up to them, knocked them over with hugs and kisses and then head to the toy room! I always went straight for a gigantic wagon full of wooden building blocks. I toppled it over and began building my tower/castle of doom. What my grand construction was going to turn into was irrelevant because it would be forcibly knocked over scant minutes after I was finished.

Practical IT Security - 10 Tips for Success

 The world of information technology has a great many facets. There are a variety of considerations relative to security, software, applications, operating systems, and other areas. However, regardless of the technology you're using, there are foundational areas that must be considered for any computing environment. These are the basics of security; these are the 10 tips for success.

1. Passwords

Passwords are vital to securing any access. A password is like a key or combination lock, the more complex the combination, the better a lock will be. Each password should be unique to the device, website, or asset you want to protect. What could happen if someone knew your password?  What-if scenarios will help you to decide how strong you want to make your password.

2. Antivirus and Malware

You do not want to have to have these on your computer. Period. What could go wrong if your computer was infected? How much time would you lose? When it comes to malware, prevention is far better than dealing with the problem after the fact. Install trusted antivirus software, run periodic scans, and train employees on web surfing and e-mail habits so you can help to prevent this problem from happening.

Update on the Journey to International Financial Standards (IFRS)

 International Financial Reporting Standards (IFRS) are back on the radar screen. Although many business leaders, regulators and financial professionals believe that globalization requires a single set of international accounting standards, they have hit road blocks trying to decide how, and how quickly to require them.

IFRS, a universal, global accounting language -- which is widely used outside the U.S. -- is geared toward providing investors with more easily comparable financial information and enhanced transparency. 

A recent survey indicated that U.S. companies need four to five years to prepare for a switch. Meanwhile, the SEC just issued a progress report on the potential transition for U.S. public companies.

Here's a rundown of these recent developments. 

Buff Up Your Business Before Putting it on the Market - Positioning Your Business For a Future Sale

 
As the economy rebounds, the Merger & Acquisition markets will continue to heat up. Although some buyers remain cautious, others are scooping up businesses -- in some cases, at a premium. If the thought of selling your company has crossed your mind, now is the time to begin positioning your business for a future sale.

 

In a best-case scenario, preparations should begin months, even years, in advance. Even if you must sell quickly, it's important to avoid the appearance of a distress sale. You should begin as soon as possible to get your business in shape so you can maximize the price.

 

Here are a dozen questions to consider:

Think You Know What Your Business is Worth?

Many business owners believe they know what their business is worth. Some may have a solid foundation for that belief. However, this belief is often derived from third party information on what they "heard another business sold for." They apply some multiple of revenue or earnings before interest, taxes, depreciation, and amortization (commonly referred to as EBITDA) or other benchmark derived from a transaction to their business and...VIOLA...they know what their business is worth!  In most instances this could not be further from the truth.

 

Without specific knowledge of the facts and circumstances and timing of the transaction, as well as the motivation of BOTH the buyer and seller, you will have a cloudy picture of value at best. We firmly believe that the value of any business cannot even begin to be determined until you can answer a few simple questions we all learned in our elementary school English classes: Who, What, Where, When, and Why.

Let's look at these questions briefly and see how they can potentially impact the value of a business.