Numerous agencies of the US government support departments that have mandates to assist you increase your export sales and decrease risks with regard to the sales of merchandise and services to Africa. These departments exist within US agencies such as the Export-Import Bank of the United States, the Department of Commerce, and the Overseas Private Investment Corporation. All are supported by a reasonably recent law referred to as: The African Growth and Chance Act. The African Growth and Opportunity Act (AGOA) was signed into law by President Bush on May 18, 2000 as Title 1 of The Trade and Development Act of 2000. The Act gives tangible incentives for African countries to continue their efforts to open their economies and construct totally free markets.

The African Growth and Chance Act (AGOA) has been modified 3 times to increase exports to Africa.

In the first modification, AGOA was changed in to substantially expand preferential access for imports from beneficiary Sub-Sarahan African countries in numerous methods: 1) The term “fabric” was previously interpreted by U.S. Customs as excluding components that are “knit-to-shape” (i.e. components that take their shape in the knitting procedure, rather than being cut from a bolt of cloth) now knit-to-shape apparel will qualify for AGOA advantages. two) The definition of hybrid cutting was broadened to contain cutting of fabric in the U.S. and/or AGOA countries. 3) The volume cap on duty-cost-free therapy for apparel created from fabric produced in AGOA regions or, for lesser developed beneficiary countries from fabric created anyplace was doubled. four) Botswana and Nambia were specially designated as much less developed countries.

In the second modification, AGOA’s periods for preferential treatment for African imports to the US had been expanded.

In the third modification, known as AGOA “1V” was expanded and liberalized once again. In essence, US laws had been produced to increase US exports to Africa and imports from Africa to the US.

Pursuant to AGOA the US organized a U.S.-Sub-Saharan Africa Trade and Economic Forum hosted by the Secretaries of State, Commerce, Treasury, and the U.S. Trade Representative. The Forum serves as the vehicle for normal dialogue in between the United States and African countries on problems of economics, trade, and investment. This fosters a unique cooperation in between US agencies, African countries, and US businesses that desire to improve export sales to Africa with minimal risk.

How does this function? It entails the Export Help Centers of the US Department of Commerce to help you with your marketing and sales efforts to Africa and monetary support from the Export-Import Bank of the United States to Banks that participate in and finance the export of goods and services to Africa in a variety of programs.

The Export Help Centers are part of the U.S. Commercial Services which is the trade promotion of the International Trade Administration (a component of the US Department of Commerce). Their mission is to supply 1) marketplace analysis in the form of country specific commercial guides 2) business sector analysis and three) internal industry insight reports. They supply trade counsel and advocacy by way of each and every step of the export process. They sponsor trade events that promote your product or services to qualified African buyers. They provide introductions to qualified buyers and distributors. They will help settle disputes and negotiate tariff problems. Once described as “glorified matchmakers” they will go as far as achievable to aid you export safely to Africa- even to the US Ambassador to facilitate these objectives, if appropriate.

And they aid with the nuts and bolts of exporting to Africa such as setting up meetings for you with up to five prospective buyers per day, choosing drivers, translators and hotels. When you go to Africa to sell your goods or services you will not be generating a cold call you will be meeting with pre-qualified individuals when you participate in this program- all at a nominal price to cover the agency’s costs.

It is required for you to in fact travel to Africa and meet face to face to successfully export to Africa. This is a cultural necessity. African businesses do not operate like American companies exactly where we trust negotiations conducted over the telephone and net, and usually transact with out ever meeting the buyer or seller.

What exports are necessary in Africa? You can read the study reports to locate out specifically what is in demand. At the leading of the list you will see goods that purify water. Africa has a huge water infrastructure require. There is also a fantastic interest in security related devices such as high tech devices to prevent theft of vehicles and boost recovery of stolen vehicles. Textile manufacturing equipment and telecommunications equipment also head the lists. Specific medical devices are also in demand.

What are some of the challenges relating to creating or increasing your export sales to Africa? It is hard to qualify buyers there are limited credit reporting facilities in Africa African companies’ auditing and accounting systems are not “world class”. And it is hard to ascertain who will actually pay as promised in you negotiations. To decrease these risks it is prudent to work with the Export-Import Bank and their correspondent banks and insurance brokers for international trade transactions to Africa.

There are particular Export-Import Bank standards for brief-term and medium term credit these may be located on their site at exim.gov. Financing guarantees and insurance are offered for short term financing in 44 Sub-Sarahan African countries. They facilitate much more competitive terms for African buyers. Soon after the US correspondent bank has reviewed and approved you for financing, you can use these guarantees and insurance to reduce your accounts receivable financing risk when extending credit to African buyers. This applies to transactions wherein you have successfully delivered your goods or services to African purchasers.

Regrettably, there presently is no way to insure against contract frustration, also known as transactional risk. In other words, you take the risk of default if a prospective African buyer cancels the transaction ahead of it is completed. You are at risk regarding disputes such as delivery or product specifications until they are resolved. And you can’t steer clear of devaluation of currency as a political risk either.

On the other hand, commercial risks such as insolvency, bankruptcy and protracted default are covered risks utilizing these programs also covered are political risks such as war, revolution and insurrection.

The bottom line: you can use accounts receivable financing to export to Africa to enhance your sales, decrease risks, and enhance your operating capital when you function with the appropriate US agencies, their correspondent banks and insurance brokers.

Copyright © 2007 Gregg Economic Services

Franchise Disclosure Documents (FDD) below the FTC’s new Franchise Rule continue to be a very good idea in theory. However, reality plays a much more essential role and reveals an entirely diverse picture.

Here are some of my observations, based on twenty-eight plus years of encounter in the franchise business as a franchise attorney, franchise expert and former franchise owner. For the duration of this time, I’ve drafted, reviewed and negotiated over 500 Franchise Disclosure Documents.

Franchise Disclosure Documents or FDD (formerly recognized as Uniform Franchise Providing Circulars) are a document containing twenty-three chapters of info. These disclosures are intended to give prospective franchise buyers sufficient pre-sale data so an intelligent franchise investment decision can be produced just before lengthy-term contracts are signed, money adjustments hands and sizeable economic commitments are made. In most circumstances, a franchise investment has long-term financial consequences. It means putting almost everything on the line – savings, retirement accounts, residence equity, and so on. With all this at stake, it is easy to see why the disclosures in the FDD are so critical.

Attached as exhibits to the FDD are the franchise company’s audited monetary statements, franchise agreement, and a list of operating (and departed) franchise owners. If the organization elects to make a franchise “Earnings Claim,” that data will be set forth either in Item 19 or attached as another exhibit. The entire document is very lengthy and can exceed many hundred pages. In specific states (known as franchise registration states like California, New York, Illinois, and so on.) the FDD makes reference to being registered with the state. All these formalities creates an aura of credibility. Numerous franchise buyers assume a regulatory agency has reviewed and approved the franchise providing. Unscrupulous franchise companies engage in blatant misrepresentation, referring to their franchise registration with a state as that state’s “stamp of approval.” Nothing could be further from the truth.

Initial of all, registration of a company’s Franchise Disclosure Document only indicates they’ve paid a registration fee to a governmental agency and submitted their document. There are no standards a franchise company need to meet prior to it can sell franchises, such as business expertise, monetary stability, operating a successful prototype for a particular period of time just before franchising, and so on.

You and I could have no encounter in a enterprise idea, and never operated a prototype. All we have is an concept to franchise, letting other individuals (franchise buyers) risk their savings, properties, etc. to see if our idea pans out in the marketplace. All we require to do to franchise is put together a Franchise Disclosure Document, and capitalize our new franchise corporation or LLC. Let’s say we do not want to risk something ourselves, so we determine to capitalize our new franchise corporation with only $ 1. Following producing an audited monetary statement (showing $ 1 money and stock issued for $ 1), and which includes this financial in our Franchise Disclosure Document, we’d be able to sell franchises with impunity and collect our $ 50,000 franchise fee every single time we sell a franchise.

Of course, in the U.S. there are about 14 franchise registration states exactly where we’d have to pay a registration fee and file the document with the suitable state agency. But that’s just a rubber stamp and no registration state will refuse to register our franchise offering. Because we’re “thinly capitalized” these states could demand an escrow condition exactly where we don’t get the franchise fee until the franchisee opens for business. Or these registration states may possibly just say we can’t accept payment of the franchise fee until the franchisee opens, and call for a easy amendment to our franchise agreement to reflect this condition. That’s the trend here in California and the bottom line is we’d get “registered.”

Even franchise examiners (who are usually attorneys) in registration states problem registration renewal orders to franchise businesses who have been operating a couple years and whose audited monetary statements say (in an brief footnote): “Given that its inception, the franchise firm has incurred a net loss of $ X million. These and other variables indicate substantial doubt the Organization will be able to continue as a going concern.” the auditors are saying the company’s prepared to go broke. Not to worry, the franchise examiners issue renewal orders permitting them to sell franchises to unsuspecting buyers. It’s not correct, in truth it’s outrageous, but it happens.

In the balance of the non-registration states (36) we’d be able to sell franchises with impunity and no regulatory oversight. Of course, there’s the Federal Trade Commission’s FTC Franchise Rule that applies in all states. But this only calls for producing a franchise disclosure document – FDD. There’s no registration method with the FTC and they rarely get involved in franchise complaints. A 1993 government report located the FTC acted on much less than 6% of all franchise complaints. The U.S. General Accounting Office reports that franchise complaints to the FTC from franchise owners elevated ten-fold from 1997-1999. This dramatic rise is profound considering complaint information was only obtainable by means of June 30, 1999. Because 1998, according to the FTC’s web site, only 1 franchise enforcement action was taken against a franchise firm. There’s just not enough cash or resources obtainable to the FTC, a circumstance that will only grow worse in the present economy.

My point here is registration of a Franchise Disclosure Document with a governmental agency only indicates the franchise business paid a filing fee and forwarded its document. There is no due diligence undertaken by examiners in a registration state. So the genuine guardian of the franchise investment must be you – the franchise investor. Due to the fact of the complexities of franchise agreement provisions and offering circular disclosures the need for competent, skilled suggestions is vital. Many of the essential disclosures are necessary only in a table, where the relevant contract sections of “boilerplate that bites” are listed, without having going into any “details.” If you are not a franchise attorney searching for red flags, it easy to get duped.

Returning to the Franchise Disclosure Document, essential business data is NOT disclosed in the document, principally due to lobbying by the franchise market. For example, the time it takes to reach the break even point – exactly where revenues cover costs – is not required disclosure in any franchise disclosure document. A bank would never ever loan dollars with out this essential monetary milestone, but franchise organizations let franchise buyers invest hundreds of thousands of dollars, often mortgaging their houses and tapping into savings and retirement accounts. What sort of monetary milestone ought to franchise firms disclose just before franchise buyers risk what is often everything they have? The relevant disclosure, Item 7, only demands an estimate of what is known as “Additional Funds,” a 90-day estimate of working capital wants. Due to the fact a lot of new franchises can take a year, two years or a lot more to reach the break even point, realizing only what it’s going to take to get you via the first 90 days is not valuable – in reality it may possibly set you up for economic suicide. If you don’t have enough working capital to reach the break even point, which can be a year or a lot more down the road, your whole franchise investment will go down the drain.

Yet another major shortcoming of disclosures in the Franchise Disclosure Document is not telling you how considerably funds the franchises in the network are making. Rather of answering what is the most essential question in a franchise investment decision, the franchise disclosure laws make this “optional” for the franchise firm – they can tell you if they want to. If they make a decision to answer this essential question, it will be identified in Item 19. But don’t hold your breath – more than 90% of franchise organizations opt not to answer this question. It’s yet another bizarre reality in the world of franchising. Simply because they demand complete monthly (and in numerous cases, weekly) economic profit and loss statements from their franchise owners, the franchise organizations know specifically how a lot their franchises are generating (or losing). But more than 90% determine not to say anything before you acquire 1 of their franchises.

Of course, existing franchise owners are a possible source of information and a list of these are discovered in an exhibit to the Franchise Disclosure Document. My expertise is most franchise owners exaggerate their financial efficiency or decline to share their finances with a stranger. Several of them I’ve spoken with more than 28-plus years claimed they had been producing excellent money, when a studied examination of their monetary statements revealed they were either losing funds or operating at or below minimum wage efficiency. One couple invested $ 200,000 in a pizza franchise and were desperate to sell it eighteen months later. Their monetary statements showed they had been creating about $ .50 (fifty cents) per hour. Fortunately, my client promptly lost interest in buying the franchise right after listening to my analysis. The extraordinary thing is I discovered the franchise was subsequently sold to an additional person who operated the organization for a year then filed for bankruptcy. There are many more examples of these franchise nightmares. Franchise “resales” where unprofitable franchises are sold more than and over are one more bizarre reality in the world of franchising.

Copyright 2007-2009 Kevin B. Murphy, B.S., M.B.A., J.D. – all rights reserved

For much more informatiion, visit the Franchise Foundations internet site.

For anyone thinking of moving country, there is usually lots that need to be considered and particular items that must be ‘given up’ when creating the move. Frequently we move away from household, friends and the familiarity of locations we have identified for a long time, to discover somewhere new that will afford us a much better top quality of life. It stands to reason that if we are to move away from significantly that we hold dear, then we would only do that if our new homeland provided up something really unique.

Canada is the Shangri-La of the contemporary world. A new multi cultural country that covers a enormous space, stretching from the Atlantic Ocean in the east to the Pacific Ocean in the west producing it the world’s second largest country. It is a land that was inhabited for thousands of years by Aboriginal people until the early 15th century when the British and the French explored and settled bringing Europeans in their masses and a tug of war in between the two super powers ensued for supremacy over the land.

Possibly due to the huge land-mass total dominance was challenging to win and the country was split between English and French speaking colonies. Properly publicized arguments more than the governing structure and the continuous call for autonomy from specific French quarters have run to this day, but thankfully this is no longer an concern that clouds more than the country itself. Canada is no longer observed as America’s dorky cousin that can’t unify itself. It has stepped out of the USA’s shadow to turn into a globe leader in quality of living. Defining itself as the most progressive country on earth for sustainability and a genuine enjoy and care for its natural habitat.

It’s tough to imagine the epic scale of the untainted natural beauty of this country until you go to. Voted the ideal country to live in time and time again, based on affordability, prosperity, health care, crime rates and way of life, when you visit Canada you will know why it is held in such high opinion. The country is split into ten provinces Ontario, Quebec, Nova Scotia, New Brunswick, Manitoba, British Columbia, Prince Edward Island, Saskatchewan, Alberta, Newfoundland and Labrador. Each and every of the provinces varies greatly in terms of weather, cultural dynamics and geography. Traveling by way of Canada you will discover many of the good items the world has to supply inside its borders. From the mammoth Rocky Mountains, to excellent lakes, wilderness that is untouched for hundreds of miles, beaches, wine country, golf, skiing and cities that are rated as the ideal in the world, all function together to make Canada a initial choice when thinking of a wonderful location to relocate.

One factor that is felt when traveling in Canada is the unusual praise the people have for their own country. The ingrained cynicism of the citizens of the older globe is far way. Canada is loved by its folks, but not in a mindless flag waving frenzy, but from a genuine happiness with their lives that several attribute to the fantastic place that they live.

So, to live in the very best and most progressive country in the globe, the most beautiful and cleanest country in the globe, with the most wholesome and happiest folks in the globe, its surely going to expense the earth proper? Not so, there are mega bargains to be had all over Canada that would allow even a buyer on a modest spending budget to buy a slice of heaven.

There are varying price scales to be found throughout the country. The most popular province with the English is undoubtedly British Columbia, known as BC or ‘Bring Cash’ (which speaks for itself), as the great climate that enables enjoying the beautiful lakeside beaches in the summer to world class skiing in the winter, up the prices around the location. Parts of BC could be mistaken for Florence in Italy in the summer and there is a significant booming wine location around Kelowna and Penticton. The major city in BC is Vancouver, and again, looking for property here could empty your wallet, but then what would you anticipate from a city that has been voted very best in the world for the last 10 years.

Still if you do not mind moving just outside of the city, far more reasonably priced properties can be found in Victoria Island, exactly where a three bed detached home can be purchased for as low as €200,000. There are bargains to be found in BC but it is critical to appear outside of the most exclusive locations, for usually just going ten or twenty miles outside costs drop considerably. However, if it is a bargain that is sought soon after, then in other provinces such as Alberta, Newfoundland and Nova Scotia, it is easy to uncover extremely desirable, detached lakeside properties going for as small as €100,000 and inland properties for as little as €50,000. Exactly where else could you discover comparable costs alongside such good quality of life? In reality there is so considerably to decide on from in Canada, it genuinely is a buyers marketplace.

If looking for reasonably priced city property, then the city’s of Calgary, Halifax and the French speaking Quebec, would certainly be worth seeking at, as these are all cities with their own distinct personalities and lower property prices. Certainly just before picking a preferred place to purchase, it is required to find out the weather conditions throughout the year, as there are some parts of Canada that can feel unusually cold and even go as far as to shut down a lot of typical life all through the winter months. Having stated that, Canada knows how to function in extreme cold weather greater than anyplace else in the globe.

When thinking about getting in Canada, the very good news is that it is relatively straightforward. Most provinces such as New Brunswick, Newfoundland, Nova Scotia, Quebec, Ontario and British Columbia have no restrictions on foreign ownership of real estate. However, some do limit the quantity of property or land that a non resident can purchase, so it is advisable to check the rules if buying much more than 1 property.

• If you are not attached to one specific location, so a lot the much better as there are extraordinary bargains to be had inside the country that are outside the primary tourist destinations. However, as has been previously mentioned, it is essential to study chosen area’s well for climate and neighborhood infrastructure as they differ greatly.

• When decided on a place, the very first thing to do is find a excellent neighborhood realtor. This is a must as a skilled realtor will guide you through all the stages, from finding by way of to purchasing a dream house.

• Non residents can acquire a Canadian mortgage. A mortgage that can be obtained by neighborhood banks, will generally offer a ratio of approximately 65% mortgage and 35% down payment. The qualifying procedure for financing is considerably the same as any other country, assets and liabilities should be proven as well as employment and income details. Generally an answer can be given inside 48 hours.

• As soon as a mortgage is secured, then an offer you is to be produced at which point a deposit is to be paid. The deposit will be placed in trust and will go towards the purchase price once building inspections have been agreed and the supply has been accepted by both parties.

• When buying a property in Canada, it is crucial to note that all delivers ought to be created in writing. This is so all aspects of the transaction are properly recorded, protecting both parties.

Canada truly is a first rate country to relocate to and the immigration procedure favors families and skilled workers. Moving country is always a challenge, but picking Canada makes that challenge worthwhile, as once there, those that have created the move will benefit from that wonderful Canadian high quality of life that has been award winning for many years.

For tax purpose, can I amortize the expense of the financing or leasing auto for my company?
I strategy to finance or lease a auto for my organization.
My friend told me that :
For tax purpose, I can’t amortize the cost for a leasing auto. But I can amortize the price for a financing vehicle. Is that right?

Answer by neoplop
There is no such factor as amortizing in Canada, exactly where you asked this question.

Leasing or financing interest can each be deducted as expenses.

You also can claim Capital Cost Allowance on the cost of the automobile.

http://www.cra-arc.gc.ca/tx/bsnss/tpcs/slprtnr/bsnssxpnss/mtr/ddctbl/menu-eng.html

A cataclysmic economic storm is threatening to bring down the United States economy
as inflated oil prices meet the largest mortgage crisis in American history. For American
citizens high oil costs alone have eroded disposable income via record gasoline, diesel and heating oil prices, elevated food prices, skyrocketing other utilities as properly
as housing deflation that has helped generate record property foreclosures.
 

According to Bill Wilson, KIN Senior Analyst stated “This phenomenon is a growing threat to the national security and sovereignty of the US. The hundreds of billions of dollars caught up as windfall profit for Arab Islamic oil barons is soon to be employed to get distressed and foreclosed property from the quite Americans that the run up in oil has exploited.”

  Sovereign wealth funds have produced headlines more than the last couple of years as the sinking American green back dollar and surging crude prices have enabled foreigners to snatch up symbolic American assets at depressed U.S. costs.

The Kuwaitis just lately saved financial giant Citigroup. Abu Dhabi purchased the American landmark Chrysler creating. The Washington Post has revealed that an unidentified sovereign wealth fund is shopping for thousands of foreclosed properties.

So just who are these sovereign wealth funds? How wealthy are they? The Coumcil on Foreign Relations offers the following identified list. But here’s the bottom line: In aggregate, the top ten funds have $ two.6 trillion to invest.

*The two Singapore funds are combined with the Alaska fund.

Already as Islamic colonization of the US continue to escalate as money rich Arab sovereign wealth funds begin buying up American actual estate. For example, the Monetary Times reported on August 6 that the CEO of the $ 875 billion Abu Dhabi sovereign wealth fund sees the situation in America as a “defining moment” for investment in US genuine estate. The New York Post reports that yet another Arab sovereign wealth fund, armed
with some $ 29 billion, has hired consultants and brokers to search out single and multi-family homes and homes that are already below foreclosure. The  Abu Dhabi sovereign wealth fund, which until this writing remained anonymous has already launched its technique to purchase up America.

Not only is the buy of American genuine estate by Islamists a threat to national security, but also the feasible imposition of Islamic Sharia law on those Americans who would rent, lease, or use the services of Islamic owned actual estate or credit. In March, the U.S. Treasury Department scrambled to secure agreements with Islamic nations more than their bid to take enormous ownership positions in America’s largest monetary
institutions. The agreements sought to allay concerns over Islamic nations employing their economic muscle to impose Sharia law more than U.S.-owned companies and properties.

According to: http://www.watch.org, Islam is taking root in America, and we are about to willingly sell our inheritance, to overseas investors, our low cost actual estate, cheap dollars, low-cost organizations and low cost merchandise are fantastic bargains for the selecting, and these investors are not wasting any time gobbling up these assets. Their families are now shopping on the Rodeo Drive’s of our country while we all shop at K-Mart and Target when we can afford it.

Whilst it is accurate that we want foreign investors to keep the U.S. economy going and aid to keep it healthy. But when American iconic businesses, including our biggest economic institutions along with our U.S. citizen’s beneficial real estate start altering hands outside of our own borders its time for us to rally and take a deep breath and insist our government step in and stop this monetary hemorrhaging of America. But according to a lot of of our politicians we do not have considerably option here — as (Democrat of New York) has expressed about main Wall Street banks that have been providing up their shares for sale: “Given the situation that these institutions discover themselves in and the truth that there’s a fairly robust credit squeeze, there are only two alternatives: Have foreign companies invest in these firms or have massive layoffs.”

Welcome to the

preparedness and illicit drugs and terrorism. For much more of his writings go to www.lagunajournal.com