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Could Your Employee Medical Records Be Needed in Malpractice Lawsuits?

Most small business owners and other entrepreneurs never fully contemplate all of the issues that they’ll face once they start running their own business. Some of the most unforeseen outcomes are those related to the legal world. These issues can include liability insurance, personal injury claims and even environmental damage lawsuits. One legal issue that many business owners are likely to come across, however, is subpoenas for medical documents related to their employees. These are sometimes needed in medical malpractice lawsuits, and unfortunately, they can sometimes leave employers in a little legal trouble of their own.

Why Medical Records May Be Subpoenaed

There are numerous reasons why, in a medical malpractice lawsuit, an employer may be asked to hand over certain information about their employees medical health. The main reason, however, is to prove whether or not an employee had any illnesses or injuries before their medical mishap. Interestingly enough, several employee documents can help in these situations, including:

Employee insurance plans
Documentation related to sick days taken
Previous workers’ comp claims
Documentation of other issues at work

As previously mentioned, these documents can go towards showing whether a person had prior injuries or illnesses, and this can be vital during a medical malpractice suit. This type of suit, whether you consult a Montana lawyer or a Maryland medical malpractice attorney, must show that a doctor provided a sub-par level of care when compared to others in his field. In addition, this sub-par level of care must be what contributed to the harm that a patient received.

All of this simply means that even if a doctor was negligent in his level of care, he won’t have to pay compensation if he can prove that a patient was already having issues in relation to the alleged damage caused by the neglectful care. Similarly, these documents can go towards proving that an employee had been perfectly healthy before undergoing treatment from their doctor. In a medical malpractice suit, these records could be detrimental for either party to the suit.

When Employers May Disclose Info

Unfortunately, whenever parties of a medical malpractice suit decide to drag an employer into the mix, it puts that employer in danger of being held legally liable for certain acts as well. This usually makes it pertinent for an employer to get advice from a medical malpractice lawyer on what their rights and responsibilities are in this specific situation. Since these specialized attorneys work in this world every day, they know what may or may not get a business owner in trouble.

One major issue employers can run into is the Privacy Act of 1974. This law prohibits certain information from being disclosed about an employee short of having that employee consent to its release. This isn’t a problem when it’s the employee requesting the information, but when a medical institution instigates the request, this can lead to trouble. There are twelve exemptions that would require employers to disclose this information anyway, such as having a court order (not necessarily a subpoena), so it’s important to have someone knowledgeable about this specific area of law on hand.

Medical malpractice is a complex issue, and usually only experienced lawyers in the field know all of the system’s nuances. This means that even though an employer may never be a party to a medical malpractice suit, they should at least speak with an attorney who specializes in it. This will ensure that they avoid any liabilities in the sometimes likely event that they’re approached for these employee records. It can literally mean the difference between simply handing over a few documents and ending up in court themselves.

A former TV news writer, Ann Bailey posts these pointers for business owners regarding their employee medical records. The Maryland medical malpractice attorney group at Price Benowitz, LLP conscientiously represents victims of medical malpractice and is also able to advise employers about medical recording for personal injury claims.

Photo Credit: http://www.flickr.com/photos/buba69/2383197884/

Capitalizing Your Business for Success

Every business needs capital to grow, no matter whether it’s a mom-and-pop storefront or a mature multinational corporation. Startups face particular challenges, however, given that they are generally untested and unproven.

For a new business in today’s economic climate, securing enough funding from a bank may prove a difficult proposition depending on how much it needs to borrow and how much collateral it can offer. For that reason, some entrepreneurs turn to courting investors or financing the business themselves. Both of these methods have own pros and cons.

venture capital — photo credit: Bikerock via photopin cc

Investor Cash Can Be Blessing and Curse

Money from outside investors can be very appealing for the simple reason that a business owner is not risking his or her own nest egg on the new venture. In addition, investor funding can help fuel massive growth in a relatively short term. However, that has the potential to be both a blessing and a curse. Uncontrolled growth can bring challenges – business owners may have little time to consider and refine their product and/or strategy as they become consumed by the demands of daily operations.

Large sums of outside capital can also bring publicity and media attention. On the plus side, that exposure can create word-of-mouth buzz, bringing customers without the expense of traditional advertising. On the flip side, however, a heavy amount of attention can overwhelm a startup, ratcheting up demand beyond supply capacity and threatening to undo any initial positive press with a wave of customer dissatisfaction.

In short, a new business must be ready for all eventualities when it hits the market.

Bootstrapping for Controlled Growth

Unless we’re dealing with the likes of Bill Gates or Warren Buffett, the option of self-financing a business – also known as bootstrapping – probably won’t yield the quick growth and flash of an investor-funded startup. What it can offer, instead, is an enhanced level of control and stability, which may prime a business for long-term success. When owners bootstrap, their business can only grow as fast as their revenues and their ability to pay employees. That makes it less likely that customer demand will outpace the quantity or quality of the goods, or the capabilities of the workforce.

Of course, there are tradeoffs. Bootstrapping means the owner assumes the financial risk if the business fails. It may also be tricky to cover expenses, especially in the early days when sales volume is low. This is where a business owner may need to get creative, at least in the short term, in generating revenue and trimming expenses, which could include reducing or foregoing a salary. Other possible options include working from home to avoid office rent and using social media and other technology for low-cost marketing.

Funding Help Available for Small Businesses

There’s no denying that having a pot of cash at the ready would probably make life easier for startup businesses. Still, there are ways to grow a business with little or no capital. Online affiliate programs, for example, can provide a revenue stream – a business earns a commission each time a visitor to its website clicks a link to another firm’s products. Joint ventures, meanwhile, allow business owners to pool resources and share expertise.

The Small Business Investment Company (SBIC) program, which is part of the U.S. Small Business Administration, seeks to help business owners secure private funding and long-term loans, with the overall goal of boosting private-sector job creation.

In FY 2012, the program provided financing totaling $3.1 billion to more than 1,000 small businesses, a 17% increase over the previous fiscal year. Almost one-third of the recipients were owned by minorities, veterans or women, and/or located in low- to moderate-income communities.

According to the Small Business Administration, about 65,000 jobs were sustained or created as a result of SBIC-related financing in 2012.

Whether entrepreneurs and small business owners tap into government programs such as the SBIC, finance themselves or seek backing from outside investors, they have options for securing startup capital.

About the Author: Dean Vella writes about business and leadership on behalf of University Alliance, a facilitator of online certificate programs in business administration, and leadership and management.

Scandalous Investment Schemes: Is Your Business at Risk?

Recent economic conditions have made investment fraud a very prominent problem among small businesses. These businesses, often looking to recoup losses they incurred in their investments or to their company retirement accounts are being swayed by con-artist financial advisers that are more interested in their own bottom-line than the security of the investments they are offering. Four of the most common fraudulent schemes out there consist of familiar sounding phrases.

1) Exchange Traded Funds Commonly known as ETF’s, these funds carry a very high risk to any investor. Most ETF’s consist of very volatile and exotic financial products that would not be the first choice of any low-risk investor. Additionally, these brokers or advisers often fail to tell the small business that an ETF is often not able to be liquidated at short notice in the event that the company needs to raise quick cash.c

2) ForEx ForEx is the slang term for Foreign Exchange trading. This type of trading deals with buying and selling foreign currency against each other for a profit. Most people do not understand how ForEx works, including most brokers. This type of investment is classed as very high-risk.

3) Precious Metals As many people know, gold and silver prices have skyrocketed since the beginning of the recession. This has spurred many financial advisers to recommend purchasing gold products. However, most investors are unaware that gold is sold in many different ways and at different values. Gold bullion, for instance, is priced differently than gold coins. Likewise, gold stock certificates in a mine are much different from investing in jewelry grade gold. Most advisers encourage gold investments because they are very high-commissioned sales, not because they are beneficial to the buyer. Additionally, many people believe they “own pure gold,” when in fact they only own gold coins.

4) Energy Schemes Whether it is oil and gas investments or green technologies, most of these schemes are considered very risky. Many of these schemes are for start-up capital or new ventures that have no proven track record.

5) Fraudulent Association Advisement of an investment fraud lawyer is recommended if these situations arise, as they are some of the most common ways fraudulent transactions are committed. Brokers “associate” themselves with a large company, even though there is no connection between the entities. The business owner assumes the investment proposal is valid because of the association.

6) Special Deals Think of a Ponzi scheme and you will understand this ploy. These sellers offer an investment deal that they are only willing to offer to specially selected investors.

7) Off the Books These deals are not only risky, they are illegal. The adviser offers you an investment opportunity that they are “aware of” even though it is not coming through their investment firm.

The best way to avoid fraudulent acts by financial advisers is to do diligent research about the investment, the company offering the deal, and the adviser themselves if necessary. If you find that you have been a victim of one of these schemes, or believe that you are a victim of another type of investment scheme, you are encouraged to seek the professional services of a fraudulent investment attorney.

Ann Bailey contributes business articles relating to investment processes. The preemptive advice of an investment fraud lawyer like Page Perry, an Atlanta based specialist in guiding investors, could help small business owners protect themselves from unscrupulous financiers preying upon sound investment hopes of business owners everywhere.

Photo Credit: http://www.flickr.com/photos/digitalcurrency/2438119267/

Three Tips for Running Your Business on a Budget

Loans can be a great way to help your business get off the ground, but how can you keep things afloat if your budget is already tight? For starters, don’t panic. You’ve probably heard the statistics saying that if you’re a new business, you are more likely to fail than succeed in today’s economy. However, the U.S. Small Business Administration’s Office of Advocacy states that although business survival rates do go down over time, you have a 70% chance of making it through the first two years.

savings and budget — Image by 401(K) 2012 / Flickr

Know What You’re Spending

One of the most important things to understand is how much you’re spending, versus the amount of income that you’re earning. This sounds simple enough, but it’s not only about making sure that you’re working within your means. When you’re aware of your spending habits, you’ll be better able to see if there might be a way to cut your bills, too. Even if you’re able to reduce your spending by a few dollars each month, that can make a difference over time. For help, consider consulting with an accountant who specializes in the needs of businesses. Beyond helping you manage your money, a financial expert may also be able to reduce your tax obligations. Many businesses tend to dread each spring because that means it’s time to file their tax forms, which can cause a whole new headache. Think of your time with an accountant as a good investment. Although it requires you to spend some funds, that decision could pay off handsomely in the long run.

Don’t Procrastinate

When you’re first getting started, things probably feel like a whirlwind. As you go throughout the day and scramble to finish tasks, things might become disorderly, as well. Keeping everything organized does take a lot of time and effort. However, if you make it a priority, you’ll be able to control things before they get out of hand. There’s nothing worse than trying to find a sales receipt or document when you’re facing a deadline. Keeping things running smoothly while you’re on a tight budget will always be challenging, but you can ease the burden by simply being committed to staying organized.

Make Your Office Mobile

Thanks to advancing technologies, some people are truly able to complete their work from anywhere, whether that means a neighborhood coffee shop, or their bedroom. Statistics released last year by the U.S. Bureau of Labor Statistics reported that over 20% of people in the workforce completed at least part of their duties outside of a traditional workplace. At first, you might run your business entirely from your home, but even when the situation changes, there’s no harm in keeping things mobile as possible. Not only will this reduce your spending when it comes to renting a physical office space, but it could also cut down on the amount of absenteeism related to bad weather or traffic conditions.

Running your business on a tight budget doesn’t mean that you’re doomed to a life of constant challenges. However, you’ll certainly need to operate in a diligent way that lets you spot problems before they turn into large obstacles. This type of proactive attitude is a huge part of helping your business thrive whether you have billions in the bank, or just a few thousand.

About the Author: Shelly White writes for education blogs. If you’re interested in building your own business, consider learning more about getting an executive mba.

Do you Need a Business Credit Card for your Small Business?

The short answer to this question is no, you don’t NEED a business card. But consider the fact that most companies don’t operate without one, and also consider the fact that there are various benefits of having a business credit card for your small business. Some banks even offer credit cards tailored specifically for small businesses! Here are a few reasons you may want to consider getting a business credit card:

1. You’re business will be perceived as more legitimate.

There’s much symbolic power that comes with having an official business credit card. This holds true both for the people you do business with, as well as with your own sense of identity as a business. When you use a business credit card instead of a personal credit card to charge business expenses, your business will have an added sense of legitimacy and professionalism.

2. Business credit cards offer rewards specifically tailored to small business.

Just like with personal credit cards, business credit cards offer certain rewards as you accumulate points. However, business credit cards have rewards that are tailored to specific business needs. For example, business credit cards offer airline miles, discounts for business services, as well as discounts for business equipment.

credit card
Image by Dennis Kim

3. Business credit cards can help you tremendously with business expenses.

As you probably know by now, running a small business entails having various different business expenses each month. If you pay for them as you go, you’ll soon find that your ability to purchase items and services necessary to run your business will be quite limited. With a business credit card, you can charge all your business expenses to the card, and pay off the balance at the end of the month, enabling you to improve your cash flow. Just be sure to stay balanced and ALWAYS pay at the end of the month to keep from incurring fees and paying added interest rates.

4. You can more easily keep business and personal expenditures separate.

For me, this is the best reason to get a business credit card, especially if your business is very small. For those of us who own small, one-person businesses, it can be tempting to put all your business and personal expenses together. However, if you use a business credit card for all business-related expenses, you’ll be able to file taxes for your business and make tax deductions much more easily.

Now that you may be considering a business credit card, you may be wondering which card is best for your business. Be sure to do as much research as possible.

Good luck!

About the Author: Stella Walker is a freelance writer and business owner. She enjoys giving advice about credit cards, personal finance, small business strategies, and debt reduction. Stella welcomes your comments below!