Business Corporate Branding and Development

Business corporate branding and development enables organizations to create a corporate identity which acts as a representation of what the business position is all about. This concept is necessary to help create a brand identity for a corporate and communicates the organization’s values.

Business entities that need to convey effective marketing messages to its customers must incorporate a business corporate branding and development strategy. How is this achieved? To start off, you must ignore the perception that branding solely entails marketing. One must understand that marketing has to be integrated with media, government, competitors as well as investor relations.

Business corporate branding and development calls for the establishment of a long term vision coupled by the crafting of organizational operations geared towards realizing that vision. The business may be compelled to carry out brand research and tracking so as to maintain the brand strength that has been developed.

Companies must strive to create a strong corporate brand since this will add value and depth to their product and service offerings. What is more, the brand also acts as a public statement of the business’s culture and values. Corporate branding and development is also important to enhance budgetary efficiency.

A strong business brand can help companies cut costs that could otherwise be spent on product marketing campaigns, which are often costly. Apart from that, it also represents the organization’s financial value. In case you haven’t created a corporate identity for your business, it is advisable to start thinking about business corporate branding and development. There are companies that can help your business with brand development through enhancement and application of branding across all communication channels.

Small Business Corporation Benefits

Deciding on the best company structure for a new endeavor can be a daunting process due to the confusion that it poses and the multiple options out there.

People often wonder whether a particular structure will offer enough benefits and is worth any of the potentially additional administration. The small business corporation is a popular option.

There are a number of benefits associated with this structure. To start with, all owners will receive personal liability protection afforded by the corporate entity. This protection has been established and enforced by the court system for over a century now. For the greater part of the business world, incorporation was the only choice for obtaining this essential need.

Big corporations like Walmart and Ford were all once small businesses.They have been able to grow in part because of the protection they have had all this time by running their businesses through asset protecting vehicles like the corporation.

While this protection is essential in today’s business environment, it is not an absolute protection. You should still get insurance and owners may end up being asked to personally guarantee business debt at the initial start up of your company.

This legal entity also provides an excellent structure for taking on investment so if you plan on raising money for expansion, the corporation is ideal for facilitating an equity transaction. Because it is a separate being under the law, it is able to establish its own credit as well. Over time, banks will lend money to the company itself without requiring any owner involvement.

It also comes with a standard built in governance structure. The small business corporation will be managed by a central body called a Board of Directors. The Directors can appoint officers who will be tasked with running the day to day business.

While a corporation by default is subject to the double tax structure of a C corporation, it can qualify for a single layer of taxation by making what is known as an S election to the Internal Revenue Service. Not all small business corporations will qualify. Check with your accountant.

Another benefit is that you can more easily sell a business. Because the entire business is within this separate legal entity, it is easier to sell the company because you can just issue the ownership of the corporation to the new owner. Ownership is generally represented by shares.

Many entrepreneurs ponder over whether to use a limited liability company instead. The LLC is more popular for the standard small business which is owned by one or just a few owners. It is a more simple and more flexible option.

However, if you plan on growing an expanding business, operating in several jurisdictions, taking on third party investors, or going public someday, the small business corporation is the better option.

Proxy Voting – Small Business Corporate Regulations

A proxy is an agent who has been legally authorized to act on behalf of someone else. When shareholders are unable to attend corporate meetings they can still cast their votes by using a proxy, who votes on their behalf. The proxy needs to produce a power of attorney document.

Generally shareholders get a mail from the particular company, in which they hold shares, prior to any meeting containing several documents providing information about the company’s growth, performance, its management, information about changes in the share structure, notices about any mergers or acquisitions etc. The mail would contain all the matters that shareholders would require to vote during the meeting. Along with these documents, there would be a form to allow shareholders to vote by a proxy if they cannot attend the meetings in person.

Importance of Proxy Voting

Shareholders have to carefully study all the documents provided to them and cast their votes. It is the primary means by which a shareholder can influence a company’s operations, its corporate governance and other important issues. Therefore voting and making their choices clear is very essential for a shareholder. Hence, voting in person is not possible; proxy voting becomes essential for a shareholder. Usually a shareholder has the right to cast one vote per share he owns, so it is important that the shareholder casts his vote at least by a proxy. Proxy voting enables a shareholder to own shares of companies registered all over the world and influence the company’s decisions.

The Role of Institutional Investors

Thanks to the Internet, several large institutional investors post their decisions online explaining their stance and making small time investors aware of why they have made their choice. They put up proxy voting guidelines, helping proxy voters to know their views about the matters to be decided on at the meeting. These institutional investors can urge the company to alter or at times even withdraw some of the proposals making the institutional investor’s proxy voting guidelines fairly important.

Proxy Voting – Service Providers

The Internet has made it very easy for shareholders to cast their proxy votes online. Proxy service providers, such as EquiServe, Automatic Data Processing and other such companies deliver the documents in an automated electronic format and the shareholders just have to fill out the form and cast their votes. They have to log in using a personal number or a code number assigned to them and cast a vote for or against the corporate resolution that has been proposed.

Companies allow shareholders to nominate members to the board of directors. While it may be a refreshing change to get to nominate directors, the shareholders should have the prudence and the ability to elect an appropriate person who will guide the company to better, above-average growth and to ensure good corporate governance in the company. The wrong choice may make them elect someone with no experience causing a lot of harm to the company. Shareholders get to vote on such matters as election of directors, auditors, acquisitions and mergers.

The Role of Internet

Owing to the excellent choice of software available to enable the process of proxy voting to be simple and easy for a shareholder, within a matter of a few minutes a shareholder can cast his vote by a proxy through the Internet or by a simple phone call. The Internet has made it possible for an investor to own shares of companies across the globe and cast his vote after making an informed decision influencing the company’s decisions regarding corporate governance and other important issues.