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Mitigate Capital Gains Tax With EIS Investments

Paying CGT has a negative impact on your cash flow and may even change your decision as to whether or not you wish to sell the property at all.Let’s say you’re thinking about selling a property investment that is now valued at £100,000 more than the price you originally paid for it. This is how your CGT will be worked out:£100,000 capital gain (profit on selling a property)
-£11,000 CGT allowance
£89,000 capital gain subject to CGT
£24,920 28% CGT liability (assuming an individual is a higher rate taxpayer).
Basic rate taxpayers will pay 18% up to the higher rate tax band.Enterprise Investment Schemes (EIS) and tax reliefOne way to avoid giving almost 25% of the money you’ve made to HMRC is by investing in Enterprise Investment Scheme (EIS) investments, which will provide you with tax relief. The Enterprise Investment Scheme (EIS) is aimed at helping smaller trading companies raise finance by offering a range of tax reliefs to investors purchasing new shares in those companies.Of course there is some risk involved in EIS investing, but if you are using it to mitigate CGT rather than gain a return on investment it would make sense to choose something low risk, with a typical yield of about 1-2%, rather than opt for something higher risk in the hope of a higher return on investment.The real gain you’ll make is on the tax relief you can obtain, which is 30% of the investment that you make into the EIS. If you invested the entire £100,000 from the above example, then you can get tax relief of 30%.As a bonus, the payment of tax on a capital gain can be deferred where the gain is invested in shares of an EIS-qualifying company. The gain can arise from the disposal of any kind of asset, but the investment must be made within the period one year before or three years after the gain arose. You could then sell your EIS investment in stages to make use of your yearly capital gains tax allowance – sell just £10,000 in each year and you’ll stay under the £11,000 allowance.You can also claim income tax relief from the previous year if you have invested in EIS.To qualify for the EIS tax relief you must ensure that:The company is able to accept your investment
Shares must be full-risk ordinary shares, and may not be redeemable or carry preferential rights to the company’s assets in the event of a winding up
The shares may not be acquired using a loan made available on terms which would not have applied other than in connection with the acquisition of the shares in question
The shares must not be issued under any ‘reciprocal’ arrangements, where company owners agree to invest in each other’s companies in order to obtain tax relief
Income tax relief can only be claimed by individuals who are not ‘connected’ with the company (non directors/shareholders)
Companies must have fewer than 250 full-time employees (or their equivalents) at the time the shares are issued
Companies are not allowed to raise more than £5 million in total in any 12-month period from the venture capital schemes
The company to be invested in must carry out a trade, not an investment (shares, land, property development, hotels, guest houses, nursing or care homes)
You should speak to and clarify the above points with an IFA and make sure you are comfortable with the risks involved in any EIS you are considering.Practical steps you should now take to invest in EIS and get your tax reliefIt is one thing to understand the theory, but it is another to put it into practice. Follow these basic steps to implement this strategy:Identify an IFA to work with
Work with the IFA to identify the investment
Invest the capital gain into the EIS
Complete the relevant forms with the IFA to get the tax relief
Ensure that you complete the relevant sections on your self assessment EIS relief to claim the relief

Healthy Lifestyle Change

Making the choice to have a healthier life is more than just eating good and working out. Yes, it is a good start, but there is a more to it. Becoming healthier is more of a lifestyle change. That means you will have to change things in your life, like eating good, working out, sleeping, drinking water and staying positive. That is what a healthy lifestyle consists of and with all those put together you will live much healthier and happier.The thing is only you can make the choice to change your lifestyle. You will have to ask yourself what it is you want to change in your life. When you make the decision to change those areas this will allow yourself to create a much better you. This is for more than just your health; it goes for every part of your life. Everyone of you thinks, feels, and wants look better; by making the lifestyle changes, you will be more positive and happy about everything you do in.Now back to the health part of it, if you truly want amazing results you will have to make it a lifestyle. To get that body you always wanted you have to do more than just workout. During the week you might workout 2-8 hours, well there are many more hours in the week. What are you doing the rest of those hours? Just because you had a killer workout should not give you the feeling that you can go eat at the near fast food place and still get amazing results. Your results just got killed by the fast food! You have to do the little things to make the big things happen. For instance get your sleep, drink water, and eat the things most people don’t like (aka veggies). So stop lying to yourself, make the changes now, and as a result you’ll live a much happier life!!!When it comes to making fitness or living a healthy lifestyle part of your life, its one thing that can’t be part time. Its called a lifestyle for a reason. It has to be a staple in your life. Making it part time will only slow down your results and won’t allow you to have the health benefits. Now is that what you want is slow results?I’m guessing the answer is no, so don’t do it part time! Truly make it a lifestyle or full time. When it comes to making money, most of you will make your best effort to make the most money possible. Which is very good, and yes I do it too, but if your unhealthy and are always sick, how will you spend the money you make. Now I’m not saying don’t make money, but to find a good balance in your life for work and fitness.

Car Finance

Owning a new car is almost everybody’s dream. But only a few people can afford to buy a new car on a cash basis. Fortunately, car financing is readily available these days. As a result, more and more individuals have the privilege of owning a new car.However, it is not easy to select a car, make a purchase, and then obtain car financing. Before you head to the local car dealer to buy the car of your dreams, you have to consider a lot of things with regards to car financing. You have to look into your credit score, compare car financing rates, and get pre-approval for your car financing application.Your credit score has a lot to do with getting approved car financing because it reflects your credit worthiness. The lender will also look into this when determining your interest rates and down payment requirements. A credit score ranges from 300 to 600. If your credit score is above 600, you have a very good chance of getting car financing. However, if it is lower than 600, you need to spend several months paying your bills and increasing your credit score so you can qualify for financing.After determining your credit score, you need to compare rates such as interest fees, fee structures, and down payment rates. Different lending institutions offer different rates. You should take your time evaluating each financing option so you can get the best deal.After you have compared rates and picked your financing option, you can get a pre-approval for car financing. It is better that you have a pre-approved application before you go to the dealership so you can negotiate if you have cash in hand. This way, you may be qualified to receive rebates and discounts.All these steps can help you to get the best car financing–and eventually, the best car–available.

Should You Open a Photography Studio?

Some photographers think all they need is a decent digital camera, a pro photo sharing or micro stock online gallery and some business cards to pass out. Yet others seem to think you need a degree in photography, $25,000 worth of photography equipment, a fancy photography studio, and a comfortable savings in the bank to make it work. My best advice is to work with what you have, and just do your personal best with it. Your talent, hard work and relentless determination, combined with people skills, and customer service are important keys to success. But you can’t always do everything yourself, and if artists have a weak spot generally it’s the business side of the studio. Therefore one of the most important talents you’ll need is the ability to surround yourself with a good team of professionals.

Here, we are looking at a typical home based business photo operation, with an emphasis on portrait and wedding photography, because that’s the type of photography studio that most photographers are likely to start. Of course you may pick up other work along the way like product shots, publicity photos and team shots, however the bulk of your business will be high school seniors, children and family portraiture.

Do you have what it takes to become a professional photographer? Before you start a business, here are a few things to consider:

Do you have the photography skills and talent necessary? Have you ever looked at a compelling image in a magazine or advertisement and thought to yourself? I could do that! The truth is, you could get lucky and pull off a great shot now and then, but you probably can’t do it consistently time-after-time, day-in-day-out, day-after-day, year-upon-year, well not yet anyway. The bottom line is that most amateur photographers, and photographers fresh out of photography school are not ready to hop in and start a photography business. There are exceptions, and although you may be one of them, they are few and far between. It’s just that, like most home based businesses you don’t really know what’s going on till you have been in the photography business for a while. Shooting friends, family or models in a classroom is very different than photographing a real paying customer. That being said, the good news is that it’s something you can learn and get better at. How? Consider an apprenticeship with a pro-photographer with work you admire. Learn the ropes from the inside of a working photography studio for like a year before you go out on your own. If that’s simply not an option, don’t fret and don’t give up – read, read, read! Oh yeah, and shoot, shoot, shoot like crazy! Go out and start producing like a pro photographer. By that I mean knock out 500-1000 images per day, and if possible find a pro photographer with discriminating taste (and time) to act as a mentor, critiquing your work, and listen-up, nobody is perfect but we all can improve, it’s for your own good. Also, talking to other pros is a good way to get a handle on what it’s like out there. Use this experience to find the right niche for you and the local market in your area, whether it’s children, team shots, weddings, commercial etc. Develop your particular artistic style, know what you want out of each and every shot and get to where your shooting a consistently high percentage of quality images.
Do you have the necessary funds to pull this off? It’s going to take some cash to do it properly from the start. Not only for photographic equipment, but to set up your home/mobile photography studio too. How Much? To get a good idea of what it’s going to take you’ll want to assemble your team of professionals and use their expertise to help determine the best course of action. First, seek an SBA qualified banker that actively caters to small business needs. Second, search for a good small business accountant, they are expensive, but they can save your rear. Third and lastly if it’s a partnership or your planning on incorporating, secure a lawyer that specializes in small business to help you get your legal and financial ducks in a row, so to speak. Then, use your team evaluate your wants and needs to prepare a financially sound business plan and systematically carry it out. Take your time and use care to thoroughly interview perspective professionals for just the right ones for your particular needs.
Do you have the business savy necessary to create, promote, market, price, and sell? This is perhaps the most important part of owning a small business. Now-a-days it’s essential to build a nice photography website for showcasing your unique photographic style. Feature examples of your artwork, a bio about yourself and define your photographic specialty. Include session, print, enlargement pricing and contact information. Then, promote your photography website online in photographer directories, and with reciprocal linking. Promote your site in offline advertising too. This builds name recognition in your area. Keep in contact with clients and promote your services with the email list you build. You should also advertise in local magazines and newspapers that your perspective clients are likely to read. Be outgoing and don’t be afraid to sell yourself.

This is an exciting time to venture out into the wonderful world of selling images for a profit and thanks to ongoing technological advancements in digital imaging technology, the field of digital photography is quickly evolving to the point where you can start a photography business relatively easily. If your going to compete with other local photography studios, your going to need these skills and more to succeed with your home based business. If your certain you have what it takes, your mind is made up, and your going to do this one way or another, then good luck navigating the obstacle course! Sure, there is always that chance you’ll make some wrong turns along the winding road to success, but hopefully you’ll learn from them, and bounce right back onto the right track again. If your extremely self-motivated, you may find a way to make it work. If you carefully plan and execute a professional photography business your time spent should be totally worth it. If it works, you’ll be rewarded with a great deal of personal satisfaction, because you’ll be living the creative artist lifestyle you have envisioned for so long!

Learn with the help of informative how to photographer books [http://www.dpblvd.com] that are specifically written about starting and building your own digital photography business. You can actually find out what you need to know about both the business and technical aspects of running a successful photography business in books written by professional photographer/authors that are willing to share their best advice, and top photography tips with readers. If your sharp, you can learn the rest as you go along.