The tragedy that has struck the Gulf of Mexico because of the massive oil spill by the petroleum giant BP can have severe repercussions for the US economy and may even lead to a spiraling recession, economical experts said on Monday. The analysis that has been done by a financial firm indicates that the money required to control, and then roll back the damage done by this tragic accident could be to the tune of billions of dollars, and this unexpected expenditure has the potential to wreck the already fragile economy. This body blow to the US economy can have serious consequences that may well carry over to the next generation.

“The oil spill has only three scenarios left for the future, bad, worse, and the ugliest,” said David Kotok, investment officer, Cumberland. If we look at the worst possible case, it may take months to fill the crack in the well that is spewing around 21,000 gallons of oil into the Gulf of Mexico coastline. He is of the view that the entire process of roll back can take up a decade or so to complete.

“The Gulf becomes a damaged sea for a generation. The oil slick beyond the Florida coast, enters the Gulf stream and reaches the eastern coast of the United States and beyond,” added Kotok. Monetary cost is now measured in the many hundreds of billions of dollars.”

Kotok is of the view that even if the damage control exercise starts at a war footing, it may take months to first control, and then to completely stop the oil spill that threatens to hit the economy very hard. Irrespective of the time taken to plug the oil spill, the expenses involved will drain the treasury to the tune of tens, or may be hundreds of billions of dollars that will jolt the economy, still reeling under the heavy strains of recession. What is worrying is that on the one hand damage control will drain the Fed reserves, and on the other hand revenues that come from the gulf will stop altogether. “At the same time, federal and state revenues tied to the Gulf-region businesses will fall,” opines Kotok.

Kotok feels that the central government is not going to take the remedial action soon as far as raising the interest rates is concerned and they may not be raised at all this year. This may lead to a situation next year when the US economy will be reeling under the pressure of this massive oil slick.

April is the most important month financially as it is time for the people to file their income tax returns and to pay their taxes. According to the sources in the Mayor’s office, Income tax revenues of the NYC have increased a little from the last years figures which is indicative of the fact that hiring of employees may be on the rise. However, the there is still a shortfall of cash as far as the budget of the NYC is concerned which has typically been a deficit budget to the tune of billions of dollars for the last few years.

Though still early to say in concrete terms, the City Mayor’s coffers could see an extra $50-$60 million, which he can spend wisely when he presents the budget on Thursday. Refusing to elaborate, Mayoral spokesperson wrote through email that the updated tax collection figures will be revealed when the Mayor Michael Bloomberg presents the budget.

The income tax collected so far is about $700 million, which includes both the TDS and the taxes paid by the people. Rich individuals pay income tax to avoid penalties later on their capital gains. This figure is about $20 million more than the last year’s collection in the same period. This figure has been arrived at after having returned the refunds to the people. Refunds have also shown a decrease; from $544 million last year, they have come down to $504 million. This is an encouraging sign, say the economists, as it implies that people are hiring rather than firing employees.

The figures of the NYC compare favorably with that of the New York state, which has seen a similar trend this year. Its figures show that there has been a 20.5% increase in income tax payments this year. These are official figures, as they have been released by the department of Taxation and Finance on Monday.

New York State also witnesses a sharp rise in the income tax paid by rich individuals, which stands at $2.9 billion, up 9.9% from last years figures. Other two states, Pennsylvania and Virginia have also seen an increase in income tax revenues accrued by withholding.

However, the data from the New York State cannot be assumed to be a national phenomenon, as the data is affected by the presence of the Wall Street. So the pattern emerging from New York State cannot be taken as a national pattern. This could be due to the issuance of bonus checks by Wall Street in the month of February.

There are so many reasons why a person would want to sale his business. It might be that he is moving from the city or may be he have had enough and now wants to relax. Or the reason may be because the company is on a loss and it seems better to sale it before it loses all it’s value. But before even thinking about selling your business you need to take a few things in consideration.
To start with, consider the true value of your business.

1. The TRUE Value
Most small businesses keep profits to a minimum in order to reduce taxes. This means your financial statements are not likely to reflect the true earning capability of your business and, in turn, its real value. It’s a wise move, at the very beginning of the sales process, to seek an independent valuation of your business from a professional business appraiser, or suitably qualified business broker, to avoid the costly and frustrating mistake of selling at below market value.
2. Vital Information
Prospective buyers rely heavily on the information you give them and see the quality of such information as a key indicator of how well the business has been managed. At a minimum they’ll need to see properly prepared and reliable financial statements and records. Most will also like to see projected budgets for the next 3-5 years, backed-up and verified by reliable sources of research and considered analysis.
3. The Best Advice
Businesses rarely sell for a lump sum, up-front payment of cash. Instead, terms such as ’seller finance’ are common and can have complex tax and legal implications. It’s a good idea to get timely, professional advice before starting the sales process and to tap into this regularly during the course of the sale – particularly prior to key decision stages as you progress.
4. Timing is Key
Don’t wait until it’s too late to start the selling process. Selecting a time to begin which is right for you and your future plans – whilst also being appropriate and sensible in the prevailing market conditions – will give you the necessary time to attract the right buyer. Bear in mind, it can take up to a year to sell your business!
5. Phantom Formula
There is no single calculation such as one multiple, or one ratio, or one formula that suits every type or size of business. Be wary of so-called ‘rules of thumb’. These can shoot you up a creek with no canoe, let alone the paddles! Be mindful that your business is truly unique and as such requires a tailored review and in-depth, bespoke analysis to determine its true market value. You will also need to understand the viewpoint and motives of prospective buyers and the price they are willing to pay.
6. Competing Bids
Whilst negotiating the sale with only one potential purchaser may simplify the process, generating interest and offers from the several prospects knocking at your door, will undoubtedly drive up the final selling price and present you with a range of alternative deal structures to consider. Potential buyers in your market will often be identifiable from the outset. Take time to ensure these pre-selected prospects are contacted early on. In strict confidence of course.
7. Understanding Buyers
Each potential buyer will tend to be focused more on differing functions in your business such as, future cash flow streams, growth potential, return on investment and synergy. Knowing these key factors now, will allow you to provide information tailored to each individual buyer’s needs and their particular area of interest. So at your first meeting quickly identify what is important to them specifically.
8. The Support Team
Selling the business you founded and grown over many years can be an emotional and complex exercise, fraught with disappointments and littered with legal potholes. It will be in your best interests to engage a suitably qualified professional team of experts to represent you in all areas and at all stages of the sales process. Peace of mind allows you to sleep better at night.
9. Considering Offers
As the seller, you will be considering purchase offers from every angle, ranging from personal views such as a requirement for your continued involvement in the business, to financial options such as payment structures and ongoing financial involvement. In the final analysis, the sale must be well suited to you and your personal plans for the future.
10. Crossing the T’s and…
Every seller of a business understandably wants the sales process to be completed, signed, sealed and delivered as soon as possible. However, selling a business is one of the largest financial transactions anyone can ever undertake in their lifetime – so make absolutely sure the whole process from start to finish is professionally conducted, meticulously monitored and thoroughly documented, even if this means the sale takes a little longer to complete. Your patience will be well rewarded.

Internet marketing is at the peak of it’s popularity. All sort of business companies now have a policy of online marketing. There are so many policies that a company can have to promote their company using the World Wide Web. An overlooked but very effective way of online marketing is a good press release. If you are doing an online business, and spending thousand bucks on email marketing, PPC and CPA, you got to go ahead and try out a press release and see the result for yourself. The main reason why people avoid using this method is because many of us do not know how to write a press release.

There is a basic difference between a press release and a article and this is where we mess it up. There are few ways that you can adopt to write the best possible press release.

To start with, let the public know what you have to offer and what makes your company and your services better than others. Be very customer oriented. Explain the benefits and advantages of your service rather than discussing and boring the readers with the features of your product. Unlike articles where you only discuss the features of your products, in the press release you can add a touch of sales approach by explaining them how your product can resolve their problems. Make sure you provide them with the latest updates about your service and products.

Headlines are very important when it comes to press releases. You have to have a great headline with catchy words and it should be in bold letters, highlighted and should be a portrait of your enthusiasm for your business. Make it attractive so that people cannot help it but look at the headline followed by the complete press release. It should be inspiring as it would make the readers read your release and know whatever you want them to know.

Put a time limit to your press release. You want to create a sense of urgency in the customer’s mind and make sure that they act instantly. If needed pay them incentives to act instantly. Say f you have a site where you are selling web hosting, you can offer a 5% discount on a purchase within a specified time limit.

Hope this tips will help you to write a great press release and assist you to explore the potential of it.