 |  |  |
 |
Tuesday, September 11, 2007
18 Months To Sell Your Business
I originally saw this article in The Hudson Valley Business Journal, but after searching online, I've found it to be supposedly written by a handful of different people. However, Smith Barney is the supposed employer of each supposed author. You make the call.
The reason that I'm posting this is because I found a few sentances particularly important to me and what I do. You'll find them in bold print below, toward the end of the article.
The Capital Gains Tax Rate: Is Change on the Horizon?
If you are a business owner, you may not be inclined to keep yourself informed of every change in the tax law. However, the current battle over the capital gains tax rate would certainly be one to watch. A capital gains tax is a levy charged on the profit realized on the sale of an asset. While the most common capital gains are realized from the sale of stocks, bonds and precious metals, of far greater consequence is the impact of the capital gains tax when a valuable business is sold.
The 2003 Jobs and Growth Tax Relief Reconciliation Act (JGTRRA) reduced the maximum capital gains tax rate from 20% to 15% for long-term capital gains (investments owned for at least 12 months). This reduction could represent an exceptional tax-saving opportunity to investors and business owners looking to sell their holdings, given that the rate has not been below 20% in the past 60 years.
The five-percentage point reduction made possible by the JGTRRA was not a permanent change, however. Originally set to expire in December 2008, President George Bush signed the Tax Increase Prevention and Reconciliation Act of 2005 (TIPRA), thereby extending the lower rate until 2010.
Although the lower rate is not due to expire for another three years, the recent power shift in Congress has once again brought the capital gains tax rate into question. Not only does Congress have the ability to extend the favorable rate, it also has the power to raise the rate before its planned expiration in 2010. When the Democratic Party regained control of both the House and Senate in November 2006, the red flag on capital gains was raised once again.
It would not be unusual for a Democratic Congress to raise the capital gains tax rate. The bi-partisan political battle regarding tax cuts has been long-standing. Proponents of a lower rate, usually Republicans, argue that reducing these rates bolsters the economy by encouraging investment in promising enterprises and promoting the sale and transfer of property. Supporters also believe that by reducing “double taxation” (investments first taxed as regular income, that are taxed again at the time of sale as capital gains), those considering new investment strategies would have extra incentive to make additional investments. Armed with these arguments, supporters believe the favorable rates should be made permanent. However, opponents – typically Democrats – believe that the lower rates create tax shelters and benefits for the wealthy, resulting in revenue loss for the government. They are inclined to vote for a raise in the rate.
This dissension among political parties has caused rates to fluctuate widely in the past, rising as high as 35% and changing an average of every 4.5 years . Now that we are entering the fourth year of the lowest rate in recent history, and given that the Democrats are once again in control in Congress, not to mention that a presidential election (and possible a party-shift in the White House) is on the horizon, tax advisors are predicting that rate increases are more likely to occur; at a minimum, the 15% rate is expected to revert to 20% in 2010.
An increase in the capital gains tax rate has important implications to business owners when it’s time to sell the business. A higher capital gains rate can substantially reduce the net returns to business-owner sellers. With rates currently – and perhaps temporarily – at a historic low, financial services companies suggest that now may be an optimal time to consider selling a privately held business . We realize that the decision to sell a business is neither purely tax-driven, nor even a purely financial consideration. Business sales are usually motivated by personal factors. However, because we estimate that it can take anywhere from 6-18 months to sell a private business (on average, one year), we suggest that business owners thinking of selling in the near-future should prepare now, so they can take advantage of what we believe to be an excellent and probably impermanent opportunity.
The reason that I'm posting this is because I found a few sentances particularly important to me and what I do. You'll find them in bold print below, toward the end of the article.
The Capital Gains Tax Rate: Is Change on the Horizon?
If you are a business owner, you may not be inclined to keep yourself informed of every change in the tax law. However, the current battle over the capital gains tax rate would certainly be one to watch. A capital gains tax is a levy charged on the profit realized on the sale of an asset. While the most common capital gains are realized from the sale of stocks, bonds and precious metals, of far greater consequence is the impact of the capital gains tax when a valuable business is sold.
The 2003 Jobs and Growth Tax Relief Reconciliation Act (JGTRRA) reduced the maximum capital gains tax rate from 20% to 15% for long-term capital gains (investments owned for at least 12 months). This reduction could represent an exceptional tax-saving opportunity to investors and business owners looking to sell their holdings, given that the rate has not been below 20% in the past 60 years.
The five-percentage point reduction made possible by the JGTRRA was not a permanent change, however. Originally set to expire in December 2008, President George Bush signed the Tax Increase Prevention and Reconciliation Act of 2005 (TIPRA), thereby extending the lower rate until 2010.
Although the lower rate is not due to expire for another three years, the recent power shift in Congress has once again brought the capital gains tax rate into question. Not only does Congress have the ability to extend the favorable rate, it also has the power to raise the rate before its planned expiration in 2010. When the Democratic Party regained control of both the House and Senate in November 2006, the red flag on capital gains was raised once again.
It would not be unusual for a Democratic Congress to raise the capital gains tax rate. The bi-partisan political battle regarding tax cuts has been long-standing. Proponents of a lower rate, usually Republicans, argue that reducing these rates bolsters the economy by encouraging investment in promising enterprises and promoting the sale and transfer of property. Supporters also believe that by reducing “double taxation” (investments first taxed as regular income, that are taxed again at the time of sale as capital gains), those considering new investment strategies would have extra incentive to make additional investments. Armed with these arguments, supporters believe the favorable rates should be made permanent. However, opponents – typically Democrats – believe that the lower rates create tax shelters and benefits for the wealthy, resulting in revenue loss for the government. They are inclined to vote for a raise in the rate.
This dissension among political parties has caused rates to fluctuate widely in the past, rising as high as 35% and changing an average of every 4.5 years . Now that we are entering the fourth year of the lowest rate in recent history, and given that the Democrats are once again in control in Congress, not to mention that a presidential election (and possible a party-shift in the White House) is on the horizon, tax advisors are predicting that rate increases are more likely to occur; at a minimum, the 15% rate is expected to revert to 20% in 2010.
An increase in the capital gains tax rate has important implications to business owners when it’s time to sell the business. A higher capital gains rate can substantially reduce the net returns to business-owner sellers. With rates currently – and perhaps temporarily – at a historic low, financial services companies suggest that now may be an optimal time to consider selling a privately held business . We realize that the decision to sell a business is neither purely tax-driven, nor even a purely financial consideration. Business sales are usually motivated by personal factors. However, because we estimate that it can take anywhere from 6-18 months to sell a private business (on average, one year), we suggest that business owners thinking of selling in the near-future should prepare now, so they can take advantage of what we believe to be an excellent and probably impermanent opportunity.
Sunday, September 9, 2007
Rob Kahn's Seminar at HVJJ
Today was the Rob Kahn seminar. Rob is a black belt under Royce Gracie, and owns Tampa Gracie Jiu Jitsu in...Tampa.Anyway, he was up to corner Brian for his 32 second fight on Friday, and he stuck around until this afternoon to do the seminar, and give me a private lesson. I just wanted to say that Rob's personality and teaching are great. I felt very comfortable with him, he looked me in the eye when he spoke and I learned a lot. In fact, there was only 1 physical move that I hadn't seen before from Brian, but he introduced me to a new way of thinking about and gameplanning with regard to jiu jitsu that is going to help me out big time. I can't wait until I get these damed staples out of my head so I can hit the mat hard and start working again.
That was just the private lesson. While doing the general seminar, for which there was a great turnout, I did learn a bunch of new stuff that I'm looking forward to trying. I could go into each one in detail, but I really want to move on to the next subject.
As everyone suspected, or at least was hoping for, Brian was promoted to Brown Belt! This was a long awaited and very well deserved promotion. Although I haven't been training with Brian with the intensity that I am now, I know the kind of dedication he has to the sport. I am increadibly happy for him. Everyone was increadibly happy for him; there were many shaking hands and hugs going around the room in his honor. Brian was obviously happy beyond happy; he looked on the verge of tears. Congratulations man, I'm happy I was there.
There were several other promotions as well: Jamie, and Karl both got stripes, and Brian got his purple belt. Congrats big time to you guys too, and I'm positive I'm forgetting someone here, and I apologize. My head is rocking from my f$%^&*ing cut, and I'm having a hard time reading the more I do it...therefore, this post ends about now.
The only other thing I want to say is that I don't have pictures, but pictures were taken. I'll be putting them up as soon as I get my hands on them. Be safe out there...
Saturday, September 8, 2007
UFC: Champion vs. Champion
I'm watching this one by myself tonight. About half way through the card, I wanted to start blogging because I was pissed off that CroCop lost. Then, since I had my computer in my lap, I started doing play by play once my blog post caught up with what was going on. Although I'm appreciative that this card is free because it's in England, the commercials are annoying the shit out of me. Because of TiVo, I don't usually have to deal with commercials when I'm watching regular TV.
Alexander Houston is a gamer.
I like Marcus Davis, I'm glad he pulled out the win.
I am very disappointed in CroCop. He was completely dominated by Cheik Congo. Congo was able to use his reach and clinch game to grind out the decision over CroCop. The knees he threw did plenty of damage (especially the several groin shots, heh). CroCop easily won the first round, but definitively lost the second two.
Matt Hamill...I like Mike Bisping, so even if I didn't dislike Hamill so much, I still would have been rooting for Bisping. The first thing that pissed me off about Hamill is that he came out to Bruce Springsteen's "Born In the U.S.A." First of all, I understand that song to be one of frustration over the many problems soldiers who served in Vietnam had to deal with. Secondly, this was in England. Of course, the dude was greeted with boos for his entire walk to the octagon, and while Bruce Buffer was introducing him. Although this would have been equally as likely if Hamill didn't act like an idiot because Bisping is a Englishman himself, I think Hamill made his situation much worse.
I'm watching the fight as I type this, so here I'll switch into play by play mode as they throw...and throw they are. This doesn't look likes its going to be a long fight. Bisping looks uncomfortable with the pressure Hamill is putting on him. The pace has slowed after a Hamill take down and stand up...my cut is hurting...Bisping is getting bullied around. He isn't offering too much on offense. Looking at the way he entered the ring, it might have taken a second for him to get into the fight. Bisping got hit hard with a right and is cut. He looks hurt. Bisping starting to get aggressive as Hamill starts to look a little fatigued. Bisping landed a couple, but Hamill starts to return fire. End of round 1, I give it to Hamill.
Round 2: Bisping is looking more aggressive. Hamill lands a single. Bisping working rubber guard, gives it up. I hate that...I love the rubber guard, and I think it is very underutilized in MMA. Hamill passes, almost takes Bisping's back, but Bisping gets to his feet. Bisping looks good agile on his feet, but he's not getting through with anything. Power double by Hamill. Bisping gets up and out. Bisping really needs to get pissed off and start throwing bombs. Hamill looks tired. End of round 2...it's close, but I give it to Bisping because he was working more. Hamill did get a takedown though, so its anybody's guess.
Round 3: Bisping opens up with some good punches that land. Hamill tries to respond with a double, but can't get it. Hamill misses out on another take down opportunity. Bisping is looking more confident. Hamill defiantly looks tired. Another right by Bisping. Hamill goes for a single, Bisping shakes it off. Hamill goes for a lazy double and gets it. Moves into half guard. Bisping gives up his back, Hamill doesn't want it. Back into Hamill's guard. Bisping works his way back to his feet. Knee by Bisping, Hamill eats it and scores a double. Sean Janicik yells at the TV: "Use your damned rubber guard!" Hamill passes, Bisping gives up his back again...spins back into side control. Hamill goes for a double, Bisping sprawls out at the horn. Again, that round Bisping seemed much more active, but Hamill did score a couple take downs. That round could go either way, as could the second. Given the traditional ways the UFC scores rounds, I would think they're going to give it to Hamill because he clearly out wrestled Bisping...however, decisions tend to favor the hometown favorite so who knows....Split decision victory goes to Bisping. I don't know what to make of it, it could have gone either way and usually UFC judges like wrestlers better.
Ok, I went to Sherdog.com before the fights were on TV just to browse around. Unfortunately for me, they update the site as they happen. Given that the fights always happen before the broadcast, and this time they're in an earlier time zone, I know who won the Rampage vs. Hendo fight before I got to watch it. I don't think doing the play by play on this one will be as much fun. Randy makes his prediction, and he's right: Rampage takes the win. I'm gonna watch the fight now, and I'll get back to you with my comments after...
Man, I really don't like that howl thing Rampage does. I don't think John McCarthy, or any other ref for that matter, should be waring what looks like a pair of sweat pants in the octagon. Hendo should have had both of those armbars in the 4th round, but he looks pretty tired.
Good fight, Rampage definatly earned the decision. I hope Hendo drops down to 185, Bisping as well. Goldberg and Joe were talking about that at the end of the telecast, and honestly, I think there needs to be some more competition in that division. Right now there isn't much.
Alright, I've got to get to bed so I can be my best for Rob's seminar tomorrow. I'll be sure to fill in all of my 0 readers on how that goes.
Alexander Houston is a gamer.
I like Marcus Davis, I'm glad he pulled out the win.
I am very disappointed in CroCop. He was completely dominated by Cheik Congo. Congo was able to use his reach and clinch game to grind out the decision over CroCop. The knees he threw did plenty of damage (especially the several groin shots, heh). CroCop easily won the first round, but definitively lost the second two.
Matt Hamill...I like Mike Bisping, so even if I didn't dislike Hamill so much, I still would have been rooting for Bisping. The first thing that pissed me off about Hamill is that he came out to Bruce Springsteen's "Born In the U.S.A." First of all, I understand that song to be one of frustration over the many problems soldiers who served in Vietnam had to deal with. Secondly, this was in England. Of course, the dude was greeted with boos for his entire walk to the octagon, and while Bruce Buffer was introducing him. Although this would have been equally as likely if Hamill didn't act like an idiot because Bisping is a Englishman himself, I think Hamill made his situation much worse.
I'm watching the fight as I type this, so here I'll switch into play by play mode as they throw...and throw they are. This doesn't look likes its going to be a long fight. Bisping looks uncomfortable with the pressure Hamill is putting on him. The pace has slowed after a Hamill take down and stand up...my cut is hurting...Bisping is getting bullied around. He isn't offering too much on offense. Looking at the way he entered the ring, it might have taken a second for him to get into the fight. Bisping got hit hard with a right and is cut. He looks hurt. Bisping starting to get aggressive as Hamill starts to look a little fatigued. Bisping landed a couple, but Hamill starts to return fire. End of round 1, I give it to Hamill.
Round 2: Bisping is looking more aggressive. Hamill lands a single. Bisping working rubber guard, gives it up. I hate that...I love the rubber guard, and I think it is very underutilized in MMA. Hamill passes, almost takes Bisping's back, but Bisping gets to his feet. Bisping looks good agile on his feet, but he's not getting through with anything. Power double by Hamill. Bisping gets up and out. Bisping really needs to get pissed off and start throwing bombs. Hamill looks tired. End of round 2...it's close, but I give it to Bisping because he was working more. Hamill did get a takedown though, so its anybody's guess.
Round 3: Bisping opens up with some good punches that land. Hamill tries to respond with a double, but can't get it. Hamill misses out on another take down opportunity. Bisping is looking more confident. Hamill defiantly looks tired. Another right by Bisping. Hamill goes for a single, Bisping shakes it off. Hamill goes for a lazy double and gets it. Moves into half guard. Bisping gives up his back, Hamill doesn't want it. Back into Hamill's guard. Bisping works his way back to his feet. Knee by Bisping, Hamill eats it and scores a double. Sean Janicik yells at the TV: "Use your damned rubber guard!" Hamill passes, Bisping gives up his back again...spins back into side control. Hamill goes for a double, Bisping sprawls out at the horn. Again, that round Bisping seemed much more active, but Hamill did score a couple take downs. That round could go either way, as could the second. Given the traditional ways the UFC scores rounds, I would think they're going to give it to Hamill because he clearly out wrestled Bisping...however, decisions tend to favor the hometown favorite so who knows....Split decision victory goes to Bisping. I don't know what to make of it, it could have gone either way and usually UFC judges like wrestlers better.
Ok, I went to Sherdog.com before the fights were on TV just to browse around. Unfortunately for me, they update the site as they happen. Given that the fights always happen before the broadcast, and this time they're in an earlier time zone, I know who won the Rampage vs. Hendo fight before I got to watch it. I don't think doing the play by play on this one will be as much fun. Randy makes his prediction, and he's right: Rampage takes the win. I'm gonna watch the fight now, and I'll get back to you with my comments after...
Man, I really don't like that howl thing Rampage does. I don't think John McCarthy, or any other ref for that matter, should be waring what looks like a pair of sweat pants in the octagon. Hendo should have had both of those armbars in the 4th round, but he looks pretty tired.
Good fight, Rampage definatly earned the decision. I hope Hendo drops down to 185, Bisping as well. Goldberg and Joe were talking about that at the end of the telecast, and honestly, I think there needs to be some more competition in that division. Right now there isn't much.
Alright, I've got to get to bed so I can be my best for Rob's seminar tomorrow. I'll be sure to fill in all of my 0 readers on how that goes.
A Night In Atlantic City
Big congrats to Brian for kicking the crap out of his opponent last night to improve his recrod to 4-0! The match only lasted 32 seconds long. The play by play is as follows:
1. The two fighters slowly walked toward each other.
2. Brian shot a double, and scored the takedown.
3. Brian immediatly went to side control.
4. Brian got knee on stomach, and quickly went to full mount.
5. Brian got an armbar, and was forced to break it when the dude didn't tap.
It all happened very quickly. Rob Kahn is up and was in Brian's corner for the fight. Rob will also be doing a seminar on Sunday that I'll be attending, and I hope the hole in my head won't hinder me too much.
Anyway, after the fight we all (had to be 20-30 people) got some food and drinks. Then we all pretty much split up and Cliff and I roamed around the casino all night looking for drinks. And when I say all night, I mean it. We did not sleep. A casino is a really crazy place...you're definatly in another world. Seeing people just piss money away like they do is very, very eerie. Another thing that we were suprised about is the difficulty we had getting alcohol. Now that I think about it, we probly would have just sat around drinking and bored if we weren't so busy finding the next bar that hasn't closed yet, but is about to. We tried gambling a little bit, but very shortly into the matter we decided Blackjack is not a sound investment.
At about dawn we walked down to the beach.
We didn't see actual dawn, but what we did see was pretty. We hung out on the beach for awhile, and got ready to head home. I put almost 1,000 miles on my car in about a 12 hour period (we had terrible directions on the way down and went way out of our way). The ride home was difficult, as I was very tired, but we made it back safe and sound.
Once again, congrats to Brian, and I'm looking forward to training with Rob tomorrow. Salut!
Jarhead Red
Heh, look what I found.This picture is actually a couple weeks old, but I just came across it and wanted to post it. I think I have a funny look on my face too...
Anyway, that night we drank many different kinds of wine and I don't remember which ones were the best, nor do I remember the names of most, so the answer to the question of whether or not this wine is any good is I don't remember.
Try it yourself! Just beware, as it says on the label, it is "Made For Marines, By Marines."
Friday, September 7, 2007
I Have Staples In My Head
I have staples in my head.Yes, staples. I guess they're more popular nowadays than stitches; from what I hear, they're a lot less painfull too. I guess I can't really attest to that, because I don't remember the last time I've had stitches, but I'm getting off topic.
Brian is fighting tonight, and last night he weighed in. I haven't heard, but I'm guessing everything went fine because his weight has been closer this time than any other of his fights. Anyway, he wasn't there for class last night after Muay Thai with Brendan, so it was just two hours of open mat. I was rolling for about an hour and a half with no issues. For most of the time I rolled with Karl and although I feel that I'm getting better each time I hit the mat, he still pretty much kicked my ass the entire time. I did manage to get a triangle on him, but chokes are pretty much useless against him, as he's very thin; you have to have it on perfect. I had to loosen up a little bit to go for the omaplata and, knowing it was coming, Karl wiggled out.
After a while, I think we both wanted to roll with other people just because rolling with the same person the entire night would be boring, especially if there are 10 other people there. Anyway, I wanted to roll with Joe, because I'm closer in skill to him than Karl, and he's much bigger than me. The reason I like this so much is because he's very difficult for me to tap, but he's not turning me inside out all night either, like...well, Karl.
So after a few minutes of rolling with Joe, I got rocked. In a scramble, I rolled to my knees and tried to shoot for a single. Joe, I think, was trying to drop down and maintain top position on me. Unfortunatly, the first point of contact we made was his elbow to the back on my head. I didn't go out, but it hurt like hell for a second. Joe apologized, and seemed pretty upset. I wasn't upset, but he wanted to take a look at my head anyway...sure enough, I was bleeding pretty good.
The bleeding did stop relatively quickly, but Joe had said that I was going to need stitches...then Brendan said I'd need stitches...then Nightcrawler...then some others. So I went home to change, not worried about the time between cut and stitch because I knew I'd be waiting to be seen once at the hospital anway. The wait wasn't too bad, but wait I did. Anyway, the doctor was pretty cool. He numed me up, closed the hole in my head with 5 staples, and sent me on my way.
He told me I shouldn't train for a good week or two, best case not until the staples were taken out (2 weeks). Sadly, I couldn't ablige the man. I will take it easy for a while, but if I can get Brian's approval, I have to go to Rob Kahn's seminar on Sunday. I also scheduled myself a private lesson with him, which came with a bonus free private lesson with Brian somewhere down the road.
Anyway, that's pretty much the end of the story...except I should note that the headache from which I was spared last night hit me hard when I woke up this morning. At about 2:15 today, only my first cup of coffee helped a little bit.
Ah, the joys of combat sports. First my ankle (which is actually healing quite nicely), and now this. I've never had a cut this bad, fortunatly, and I've never had staples before. Anyway, have a good!
Thursday, September 6, 2007
Fred Throws In His Hat
Fred Thompson announced that he's finally officially in the race. I'm not saying that I'm going to end up making him my pick or not; I'm nowhere near making a decision yet. However, I did want to note it, and at the same time put up this hilarious picture. That is all, have a wonderful day!
iPod Touch
Well, this actually came out a lot sooner than I thought it would! I was hoping for a camera on it, but oh well. I do have a very nice camera that, even if the Touch did have one, would be by far superior. Otherwise, this looks exactly like what I was looking for.
The only problem that I have with it is the same #1 problem that I had with the iPhone. Although the Touch has a much greater capacity (16GB) than the iPhone (8GB) it is still not enough. I have a Nano right now, and it is only 4 GB. There is a lot more that I want to put on it, but I simply don't have the room. If you're big into audio books (I am), this presents a larger problem for you than most. Why, oh why, are these things not being made with the same capacity of the Classic iPods which are now being offered at a whopping 160GB?
If I'm going to spend several hundred dollars on a completely frivolous toy, then I want it to be exactly what I want. The iPod Touch is very close. When they start offering 60, 80, 160 GB Touches at the same price they're currently offering the 16GB, I'll buy one. Not yet.
BTW, I don't mind if you have to make the unit a little thicker to give a greater capacity.
Wednesday, September 5, 2007
Taking the Back and Saving Your Ankles
Last night I learned that not crossing your ankles while you've got back mount does not necessarily save your ankles from being broken.
Brian (not McLaughlin...sorry dude, I forgot your last name) put his right leg across the inside of my right foot while I had his back, and "figure four-ed" (such a strange term) his legs...sucked.
No, my ankle isn't broken, but I'm definatly hurting. I'll be back on the mat tonight. I think the only thing I won't be able to do is run for awhile, actually. In any case, I'll be thinking about this with every throbbing step I take around campus here at New Paltz.
On a better note, I hit a flying triangle last night...the first one I've ever gone for. I didn't really think about it, honestly. My thinking was that I was going to jump guard, but I had the right hand positioning to go right into the triangle...I was pretty happy about that.
Subscribe to:
Posts (Atom)
