Tax Help Available For Small Businesses By Jennifer Park

Many small businesses tend to procrastinate when it comes to filing for taxes. They behave in this manner for many different reasons. Some are uncomfortable in this unfamiliar territory, so they keep putting it off. Others, caught up in the daily operational issues of running a business, simply can't find the time to sit down to tackle the tax issue.

But filing for taxes is no small matter. It is required by law, and there is a dateline for filing taxes. Therefore, small business owners should take the matter seriously. They may even consider shutting down the business for a day or two just to give themselves time to settle the tax issues. However, for those who are unfamiliar with taxes, a day or two just isn't going to be enough time.

The right thing to do here, is to hire a bookkeeper. A full time bookkeeper will help maintain the books in a well organized and professional manner. When the time comes for filing taxes, everything is a breeze. Still, as the business continues to grow, it may have outgrown the services that a bookkeeper can provide. The needs of the business becomes more complex. In comes a qualified accountant. An accountant is better trained, and will be able to provide valuable advice on a wide variety of financial and tax matters.

If time is running out, it is possible to file for time extension. But bear in mind that this is a quick fix measure. It only gives the small business owner more time to handle the tax matters appropriately. Datelines can be immensely pressurizing. To prevent shortage of time, always plan in advance.

Mostly, an accountant will be able to serve the needs of a small and privately held company. But some companies have the ambition of going public from day one. So they focus more on growth. It's just a matter of time that the business will grow to such a stage where the accountant finds it hard to cope.

The first sign that financial help is required is when the management staff has to deal with financial decisions on a daily basis. For businesses arriving at this stage, the business owners may want to consider hiring a chief financial office (CFO). Usually, the CFO will have several accountants and assistants working with him or her.

The primary role of the CFO is to provide professional financial services to a business that is raising large amounts of capital, or the business has intentions to go public. During the stage of transition, a part time CFO may be hired to oversee financial aspects of the business. Over time, as the business stabilizes, a full time CFO can be engaged.

The key here is to remember that the finances of a business should be managed on a regular basis, and not be left to the last minute. Otherwise, the task ahead will appear overwhelming and insurmountable due to lack of time. Hire the expertise that is needed as early as possible, and keep the books and records clear and organized. This will benefit small businesses greatly.

Resource: http://www.isnare.com/?aid=343915&ca=Finances

Britons Are Keeping Cash in Their Homes By Michael Challiner

Keeping cash in our homes rather than in savings accounts is what five percent of us would rather do, according to MGM advantage, faith in high street banks and building societies has fallen according to the company’s recent Retirement Nation Study. The downfall of Northern Rock hit the north eastern area of Britain particularly hard. This said, confidence in these companies was at its lowest in Plymouth, it was revealed. Regardless of your wealth the trend to store your cash in your home was equally true, suggested the company.

Some eighteen percent of people struggling with personal loans and other debts also revealed they would rather keep their money beneath their mattress than trust it to a financial institute. Keeping hold of their money is what twenty five percent of respondents, with assets over one million pounds, said they would do.

Regardless of these facts, for the majority of us, we prefer to use savings accounts than any other way of investing. Fifty five percent of people asked favoured this method of saving as a means of protecting their future finances. Seventeen percent of people chose pension funds, with just over one in ten of us relying on the property market. In todays economic climate it was no surprise that just six percent of respondents would go for stock market investments.

The difference between men and women, in terms of the type of savings made, was apparent in the report. Some sixty percent of women have a savings account against just under half of males having the same. Also favouring this type of investment were the over sixty fives with again over sixty percent owning an account. Coming out on top though was the younger age group of sixteen to twenty four. This group trust financial companies most with two thirds of them owning a savings account.

Some investors are unaware of the most efficient ways of saving money, according to MGM advantage. Nearly a fifth of participants do not understand key financial terms like individual savings accounts, defined-benefit/final salary schemes, stakeholder pensions, pension credits, equity release mortgages, annuities and indeed independent financial advisory (IFA) services.

Investing in a mutual is something only ten percent of us would do. Instead of a question of trust this is probably due to a lack of knowledge. However, going to a mutual is something that double the number of those who use an IFA would do, rather than those who don't. That said, with less than a third of respondents understanding the term “mutual” it remains at the bottom end of the list of financial terms that are understood by the population. Included in these are “pension credit”, “stakeholder pension”, “defined -benefit final salary scheme”, “annuity” and “FSA”.

Talking about their financial situation is something people are not willing to do even with friends and family, according to Saga. Discussing their pension provision is something thirty eight percent of people will do whilst only fourteen percent will discuss personal loan or credit card debt.

Resource: http://www.isnare.com/?aid=344095&ca=Finances

Britons Are Keeping Cash in Their Homes By Michael Challiner

Keeping cash in our homes rather than in savings accounts is what five percent of us would rather do, according to MGM advantage, faith in high street banks and building societies has fallen according to the company’s recent Retirement Nation Study. The downfall of Northern Rock hit the north eastern area of Britain particularly hard. This said, confidence in these companies was at its lowest in Plymouth, it was revealed. Regardless of your wealth the trend to store your cash in your home was equally true, suggested the company.

Some eighteen percent of people struggling with personal loans and other debts also revealed they would rather keep their money beneath their mattress than trust it to a financial institute. Keeping hold of their money is what twenty five percent of respondents, with assets over one million pounds, said they would do.

Regardless of these facts, for the majority of us, we prefer to use savings accounts than any other way of investing. Fifty five percent of people asked favoured this method of saving as a means of protecting their future finances. Seventeen percent of people chose pension funds, with just over one in ten of us relying on the property market. In todays economic climate it was no surprise that just six percent of respondents would go for stock market investments.

The difference between men and women, in terms of the type of savings made, was apparent in the report. Some sixty percent of women have a savings account against just under half of males having the same. Also favouring this type of investment were the over sixty fives with again over sixty percent owning an account. Coming out on top though was the younger age group of sixteen to twenty four. This group trust financial companies most with two thirds of them owning a savings account.

Some investors are unaware of the most efficient ways of saving money, according to MGM advantage. Nearly a fifth of participants do not understand key financial terms like individual savings accounts, defined-benefit/final salary schemes, stakeholder pensions, pension credits, equity release mortgages, annuities and indeed independent financial advisory (IFA) services.

Investing in a mutual is something only ten percent of us would do. Instead of a question of trust this is probably due to a lack of knowledge. However, going to a mutual is something that double the number of those who use an IFA would do, rather than those who don't. That said, with less than a third of respondents understanding the term “mutual” it remains at the bottom end of the list of financial terms that are understood by the population. Included in these are “pension credit”, “stakeholder pension”, “defined -benefit final salary scheme”, “annuity” and “FSA”.

Talking about their financial situation is something people are not willing to do even with friends and family, according to Saga. Discussing their pension provision is something thirty eight percent of people will do whilst only fourteen percent will discuss personal loan or credit card debt.

Resource: http://www.isnare.com/?aid=344095&ca=Finances

Are Secured Loans the Answer? By Michael Challiner

Homeowners needing some spare cash are being attracted to secured loans as interest rates fall, despite the risks.

As personal loans and credit cards become harder to find with lenders being more selective, consumers are putting their properties up as security.

“There is no doubt that unsecured loan companies are tightening up their lending criteria, secured loans are becoming a very viable option as a result” says Tim Moss, head of loans and debt at comparison website Moneysupermarket.com

As with mortgages, failing to keep up with payments puts your property at risk of repossession.

Historically, secured loans were only available through brokers and were less popular as they were seen as a last resort for people with poor credit ratings. They also had higher rates.

However, secured loans with rates as low as 6.9 percent are now being offered direct to consumers by some companies.

“Loan brokers generally receive commission of between 2,500 pounds and 3,000 pounds per loan sold, so marketing secured loans directly to customers has allowed companies such as Fair & Square and Picture Loans to offer lower rates,” Moss says.

The terms have become easier to understand too. Neil Radley of secured loan provider Fair & Square says: “We recognise that people are often wary of secured lending, which is why we have been careful to make our loans as simple and ¬transparent as possible and to keep penalties to a minimum.”

Homeowners who face severe penalties to leave their low rate deals to remortgage are opting for secured loans, Moss says: “Home improvements are one of the most common reasons for people to take out a loan.

Radley says “Secured loans offer a means of getting some of the money out of your property without incurring penalty charges,”

If people also want to consolidate unsecured debts, a secured loan would be a good option, he claims.

“Our research shows a lot of people have unsecured loans and credit card debts they would like to consolidate at a lower rate to give them greater control,” he says. “Why pay 18 per cent or 20 per cent on a credit card when you could be paying just 6.9 per cent on a secured loan?”

Also saying “I believe secured loans will become more and more popular during the next year or so, that said, you must remember that loans of this kind
are secured against your home, so it is very important not to miss the repayments.”

Planning on taking out a secured loan for home improvements is Andy Symons, 33.

“We are having lots of work done and, as usual, the cost has spiralled above the initial quote,” says Symons.

“I also have some credit card debts I would like to consolidate at a lower rate, so I plan to take out a secured loan of about 30,000 pounds from Fair & Square to cover both.

“I am waiting to hear exactly how much more the work is going to cost before applying.”

This will be the first time Symons opted for a secured loan although he has had student loans and an overdraft in the past.

Resource: http://www.isnare.com/?aid=344092&ca=Finances

Saving the Borrower's Dignity With an Arizona Short Sale By Reed Lattin

Arizona short sale is basically a process where the lender and the borrower enter into an agreement that intends to make the best out of an unfavorable situation. And the situation being described here is none other than an economic recession or slump. When the economy is down, people who mortgaged their homes will be less able to pay for their debts. With Arizona short sale, borrowers like you can have a better chance to turn around and avoid foreclosure. For instance, if you qualify for a short sale Phoenix, your bank or lender agrees to take payment that is much lower than the amount you owe them. In short, an Arizona short sale is a better way to deal with your mortgage compared to getting your property foreclosed.

Nevertheless, many people are still not aware that AZ short sale does exist. Worse, not many realtors are knowledgeable about how an Arizona short sale is processed. Therefore, many people are not taking advantage of the many benefits that an Arizona short sale can offer lenders, borrowers and, believe it or not, even buyers of properties. For people who are into buying and selling real estate, AZ short sale is a good way to drum up business even during a financial crisis.

It is important to note though that Arizona short sale is not a favor from banks or lenders. It is not something that they do out of charity for defaulting borrowers. A statewide Arizona short sale or a more focused short sale Phoenix is actually part of the standard business procedures that banks often do. It is a way for lenders to cut their losses. Instead of retaining non-cash assets in their books, banks and other mortgage lenders would rather have cash. So, in a short sale Phoenix, borrowers like you do not have to feel indebted to the lender, whether in cash or goodwill.

Arizona short sale can help you make things right at a time when financial failures and disappointments are rampant. Arizona short sale, also called AZ short sale, comes in many forms. And not all of them end up in total cancellation of debt. There are cases when the borrower still has to pay the remaining balance between the amount owed and the proceeds from the short sale Phoenix. So, make sure to clear things up with your bank's loan officer.

It feels really bad when people are losing their homes due to foreclosure. Losing ownership to your home can ruin your very sense of dignity. Fortunately, Arizona short sale can protect you from embarrassment. It is true that an AZ short sale will also result in losing your home. Nevertheless, it is so much better than having to face foreclosure. An Arizona short sale sets you free from your mortgage debts at a lower cost. When you pass for a short sale Phoenix or a statewide Arizona short sale, you definitely avoid bad credit rating. Overall, AZ short sale means you can have a better control of your finances even when the economy is on a downward trend and your resources are tight.

Resource: http://www.isnare.com/?aid=343464&ca=Finances

Higher Rates on Personal Loans for the Less Well Off By Sheila Challiner

Anyone who may fall into the lower income bracket and those with a poor credit record are going to have to pay higher interest rates, up to 19.9%, to enable them to borrow money for a personal loan.

It seems very unfair but it has recently emerged that the Nationwide Building Society, the largest in the UK, are basing their interest rates on the assessed risk of the individual client. Up until now, the system that has been used across the board within the industry has been very straight forward and rates have been based on the amount of the loan, not on the credit history of the borrower.

At Nationwide, as with many other lenders, the street cleaner or the lawyer, will not pay the same basic rate for a loan as before, but, the person with the smallest income will pay the highest rates and the higher earner who is likely to be financially secure will get their loan at a lower rate.

This trend has been implemented throughout many of the finance companies long before now, say Nationwide, and they are merely ‘jumping on the band wagon’.

At the end of the day, the final outcome is that those on lower incomes in our society will find borrowing much more expensive and harder to achieve – for some this could make it impossible to make a major purchase and for many, even harder to make ends meet.

In such troubled economic times the Nationwide say that they have to be cautious and cannot risk their finances against people who simply do not, or are not trusted to pay their debts. It is a time of major instability in the housing market with an increase in people losing their homes and also many becoming bankrupt.

Using the system of risk-assessed lending a well-off or low-risk person wanting to borrow 1,000 to 3,000 pounds would be charged at a rate of 15.9%, whereas the less well-off, high-risk customer would have to pay interest at a rate of 19.9% - quite a difference and in the cold light of day, compared to the Bank of England’s 2% base rate, 15.9% is plenty high enough.

As the amount borrowed increases, say to 5,000 to 7,500 pounds, the interest rate for the low-risk customer with a good credit history drops dramatically to 8.9%, but, for the high-risk borrower it only drops by 3% to 16.9%

Jeremy Wood, Nationwide's director of Consumer Finance, justified their move by saying: 'As a prudent lender in the current credit environment it is important that, in pricing personal loans, we are placing a greater emphasis on risk and lending appropriately.'

From the Moneynet website, Andrew Hagger, a personal finance expert said: 'The net effect is that the people who can least afford it end up paying more.'

The decision by Nationwide to follow suit behind other big financial companies has proved to be extremely controversial and very much on a tangent from the requests of other banks, Members of Parliament and the Government to be fair in their treatment of customers.

Plans have been revealed by Ministers to bring in a strict code of regulations for banks which will be regulated by the Financial Services Authority and legally enforced.

Resource: http://www.isnare.com/?aid=344199&ca=Finances

HGV Insurance Information By Stanley Headley

The Department of Transport manages road traffic legislation in the UK. Their purpose is to ensure that anyone using the public highways complies with this legislation.

Both the police and Vehicle and Operator Services Agency (VOSA) take the lead in enforcement by maintaining a roadside presence, as well as stopping and checking vehicles and driver’s are compliant. This includes checking that all necessary documents and licenses appropriate to heavy goods vehicles are current, authentic and valid, including HGV insurance.

Carrying hazardous or dangerous goods have increased risks of being involved in accidents or incidents which can have potentially disastrous consequences, such as tanker fuel explosions.

Hazardous goods are classed at different levels; there are regulations which deal specifically with the carriage of dangerous goods. These regulations place duties on all involved with the carriage of these types of goods to ensure they know what they have to do to reduce the risks. It is the haulage company’s duty to inform HGV insurance companies the nature of the goods they are carrying in order for accurate assessment and insurance policies which will typically include Employer’s liability insurance and Public Liability insurance.

There will always be risks associated with driving. Carrying out regular risk assessments on all vehicles, employees, loading and unloading areas is seen to be a very proactive way to reduce the risk of accidents and injuries which HGV insurance companies look favourably on.

Employers have responsibilities to their employees under the Health and Safety at Work Act to maintain their safety and reduce as many risks as possible. This includes driving time, as well as riding in a vehicle while at work whether it is in a company, hired or personal vehicle.

Driver tiredness is thought to be a major cause of road traffic accidents involving HGVs. The number of fatalities due to sleep related accidents is three times higher than other accidents as drivers fail to swerve or apply their brakes.

Hard hitting advertising campaigns have been launched by OSA to bring people’s attention to the risks of sleep disorders. One particular visual image is that of a young girl wearing a t-shirt with the slogan ‘Daddy used to drive a big lorry, then he fell asleep’ in bold lettering across the front. For the haulage industry HGV insurance premiums continue to pay huge amounts of money for road accident claims, screening drivers for sleep related conditions is encouraged to try and reduce the number of accidents involving HGVs on the UK’s roads.

Up-dating driver training is a pro-active safety measure which may help reduce the risks associated with driving a heavy goods vehicle. Insurance companies will be happy to help you find the most suitable and applicable training and re-training for your truck drivers. Some HGV insurance companies will reward such positive steps and offer generous discounts for those who care and look after their drivers.

Driver training can also be a cost effective way to help reduce fuel and vehicle maintenance costs. Training drivers to reduce excessive breaking and be less heavy with their right foot on the accelerator can not only help reduce the risks of accidents and HGV Insurance claims, but save your company money!

Resource: http://www.isnare.com/?aid=343204&ca=Finances

Payment Premium Insurance (PPI) to be Axed by the Big Banks By Mark Aucamp

The Financial services Authority (FSA) has fined banks and lenders for the mis-selling of Payment Premium Insurance (PPI) and for failing to treat their customers fairly. Payment Premium Insurance cover (PPI) is sold to borrowers to cover them against the risk that they may not be able to pay their monthly payment on a credit card balance, mortgage or personal loan; due top ill health, accident or redundancy. PPI has in the past been a major source of income for banks, finance companies and retailers .The commissions paid received would have been from 25% to 75% of the total payment for the protection policy taken out. This is outrageous!

Todate the following banks, finance companies and retailers have been fined:

• Capital One was fined £175,000
• HFC Bank, (trading as Beneficial Finance & Household Bank) was fined £1,085,000
• Alliance& Leicester was fined £7,000,000 (million)
• Liverpool Victoria was fined £840,000
• Egg Bank was fined £721,000 recently
• GE Capital Bank was fined £610,000
• Loans.co.uk was fined £455,000
• and other retailers.

A whole reclaim industry has grown on the back of Payment Premium Insurance being mis-sold and anyone with a personal loan, car finance or a mortgage should check if they have a single premium policy as they could claim their money back.. Some companies have been ruthless in their sales techniques whilst others have just mislead customers into believing that they would not get their loan or finance agreed if they did not take out PPI protection.

Finance companies and Banks have been guilty of selling big chunky sized Payment Premium Insurance policies; usually around £3,000 to £4500 which they have then added to the mortgage, finance or personal loan agreement. The payment for the PPI cover would then be added to the initial loan amount. This would increase the amount borrowed by a few thousand pounds and finally Interest would then be charged on the entire life of the loan. Outrageous!

The Competition Commission would like banks, finance companies and retailers to stop selling PPI policies for 14 days after the finance was arranged. In early October last year the Financial services Authority (FSA) said it would be stepping up its action over the mis-selling of Payment Premium Insurance (PPI) in the future. It is little wonder that Royal Bank of Scotland, Nat West Bank, Barclay, Lloyd Banking Group, Alliance & Leicester, and the Co-Operative Bank have announced that they intend to stop selling single block Payment Premium Insurance (PPI) with personal loans by the end of January. The FSA now hopes that other firms will follow the lead of the Big Banks and cease selling Payment Premium Insurance (PPI).

In view of this announcement by the banks to withdraw PPI you should consider Mortgage Payment Protection Insurance (MPPI). Protecting our home is a basic need during a recession especially one with so many uncertainties. If we are made redundant we still need money to pay our mortgage and bills for 13 weeks or three months under the new initiatives recently announced by the government before we qualify for their help and assistance.

Almost all of us harbour fears of being made redundant; we are concerned about how we would pay these bills and commitments and we fear repossession of our homes. Mortgage Payment Protection Insurance can help to protect our mortgage payments, personal life insurance and your building and contents insurance for up to 24 months if you cannot work due to unemployment or suffer a disability. We can have these policies set so that they pay out after thirty days back to day one. The Council of Mortgage Lenders is now encouraging all mortgage borrowers to consider the advantages of taking out independent mortgage payment protection insurance (MPPI). Your thoughts, experiences and comments are welcome.

Resource: http://www.isnare.com/?aid=344088&ca=Finances

Behind the Scenes By Sheila Challiner

There are three well-know credit reference agencies that everyone seems to know about. Any check up on you financial situation is likely to be carried out through Experian, Equifax of CallCredit. If you want to find out just what any lender will find out about you should you ask for credit, you can contact any one of these agencies and find out without any delay. As little as 2 pounds is all it’ll cost and your file will be revealed.

Not many people will have heard of “National Hunter” though. It may sound like the “dead cert” for the Grand National, but in fact it’s a fourth credit agency. Their input is similar to the others, and their approval is necessary if you’re going to succeed with that application, but it’s going to cost you five times as much to find out just what data they hold on you. Under the Data Protection Act, this is the maximum amount they’re allowed to charge, the full 10 pounds.

This little-known firm was established in 1993 by a group of banks and is currently co-owned by a mixture of around sixty building societies, banks and lenders. Officially based in Stoke-on-Trent in Staffordshire, in actual fact National Hunter is operated by Experian, for the owners, and is based in Nottingham.

The purpose of this agency is to prevent fraud and is a major weapon in the war against financial crime. They will investigate each loan request and warn the lender if there is anything suspicious about the application. If this results in an application being marked as suspicious, then the lender’s computer is likely to turn down an application for credit, without actually informing the applicant of the actual reason.

Whilst many of the rejections are undoubtedly in order, what is worrying is that it’s not known what the extent of the numbers of files that National Hunter holds on individuals is, or how many rejections are as a result of an error. What if there’s been an honest error with the application or some confusing facts given, that can’t be checked? Can these be automatically discounted? There’s computer error to worry about too.

Circumstances which could cause applications to appear as risky could include such things as changes of employer in a short time, the same mobile number being used by more than one applicant, mistakes or miss-spellings in names, or possibly mistakes in identification documents. A change in stated salary can look suspicious but be easily explained and income which is difficult to check on would flag up a warning

Any one of these eventualities could be quite innocently made and could be easily corrected.

National Hunter would inform the lender of a risky application – marking it as “suspect”. If the lender’s computer then refuses the application without giving a reason or saying which data base was used for checking, then many individuals wouldn’t even have heard of National Hunter, let alone followed up their credit details with them.

If you’re unexpectedly refused credit, do follow it up with the lender. Mistakes can happen and you have every right to know the reason for the refusal and to be given the chance to put it right.

A follow up to this article is called “Checking Out Your Credit”.

Resource: http://www.isnare.com/?aid=344198&ca=Finances

The Pitfalls of Insuring Against Subsidence By Michael Challiner

You may have heard this advice before, but it is so important…..read the small print and check that subsidence is not excluded. You may find, for example, that outbuildings like garages are not covered .

You will not be surprised to learn that premiums will increase following a claim. The chief structural claims manager, Neil Curling, from Halifax Home Insurance, warns that you must disclose material facts, such as signs that walls are cracking or bulging or a history of previous subsidence. Failure to make a full and honest declaration of the condition of a property may result in the policy being declared void.

Subsidence is a expensive condition to remedy, often running into tens of thousands of pounds, so insurers are very reluctant to pay out. Solicitors often have to be called in to stop insurers from reneging on their obligations.

There is no substitute to a full structural survey on a property. Although it may appear to be an expensive luxury, it could pay for itself many times over in the long run. Subsidence may not be recorded on a search as the solicitor acting for the seller may be economical with the truth.

It will be very difficult to obtain buildings cover if a survey reveals that subsidence has taken place.

Nationwide Home Insurance confirmed that they will continue to cover an existing customer if subsidence occurs. They will also provide cover if they receive a satisfactory application from the new owners of the property, which has been purchased from their customer. However they will not provide cover for properties that have suffered from subsidence in the past, which is standard practise throughout the industry.

The following case study illustrates the problems you may encounter when claiming on your buildings insurance.

Jackie Summerfield and partner Paddy Boyle live in the town of Hastings where they own a Victorian house. 10 years ago, when they were tenants, the landlord discovered that the property was suffering from subsidence. Paddy recalls that they actually attended talks when the loss adjuster, who represented the interests of the insurer, and a structural engineer were present. Evidently the loss adjuster felt that only a bay window should be underpinned whereas the structural engineer advised that the property needed far more extensive underpinning.

After the underpinning had been carried out and paid for by the insurer acting for the landlord, Jackie and Paddy bought the property.

The property showed no further signs of distress until two years ago when a horizontal crack appeared in the lounge. Paddy says that he contacted their insurer, Zurich, and the original structural engineer. Although the couple had to pay 1000 pounds excess, Zurich underpinned the house for a further 60,000 pounds. The work took 5 months to complete and they were very happy with the result.

The problems had been caused by their house being founded on a clay soil which had slowly dried out. The shrinkage of the clay had caused the property to settle. Paddy has been delighted with the service provided by Zurich, who were happy to renew his policy. However when he approached other insurers for an alternative quotation they refused to cover the property as it had been underpinned.

Resource: http://www.isnare.com/?aid=343320&ca=Finances

Business Insurance For Your Home Business

Every home business should look at getting an insurance policy that will provide them with adequate cover. Your home insurance policy will often cover you for some of the contents of your home business, including PCs, laptops and other small office equipment. However, it will not cover very expensive specialist equipment nor provide any public liability cover for visitors to your home business if any accidents should happen.

If you work from home, you should contact an insurance expert and discuss buying a home business insurance policy to cover the gaps in your existing home buildings and content policy. It is possible to get one policy that will cover your home, contents and business but in practice this is rare and often, the one size fits all, just does not work properly for all circumstances.

The kind of cover that is advisable for a home business owner will protect them if they are ill, unable to work, injured in an accident or the home office and stock room is damaged due to fire or other form of damage. The cover will also protect them if a business visitor to their home has an accident within the home boundaries.

As a quick summary, you should discuss with your insurance advisor:

1)Public Liability Insurance

2)Professional Indemnity insurance

3)Cover for your home business building

4)Cover for your home business contents

5)Cover for your business equipment when travelling

6)Cover for business interruption

7)Cover for your employees

8)Cover for assault and injury

Ask the following questions when buying a home business insurance policy:

1)How much cover do I get for theft?

2)How much cover do I get for vandalism?

3)How much excess do I have pay?

4)How many business clients and visitors am I allowed to have?

5)Will I benefit from a no claims discount in years to come?

6)How do I make a claim?

7)What are the key exclusions?

As a rule of thumb, it is advisable to get three quotes before committing to any one business insurance policy. However, it is no longer necessary to phone around as there are plenty of comparison websites on the internet that will give you comparable quotes from different business insurance providers within minutes. The comparison websites are forever scouring the marketplace looking for best deals so that you do not have to look at getting multiple quotes from multiple websites!

Home business insurance is essential if you run a home business. You will need home and contents insurance and another policy to insure business cover. Remember to read the small print very carefully. You need to know exactly what you are covered and what is excluded.

You also need to be aware of all limitations. Make sure you buy the home business insurance that is right for your particular circumstances even though it might not be the cheapest! Make sure you are covered for all the types of risks you encounter on a regular basis. After all, when something does go wrong, it is important that you are covered and you can bet your bottom dollar something will eventually go wrong.