THE LUMIERE BLOG
Strategic Planning Success: A 10-Step Guide to Building a Strong Roadmap for 2025 and Beyond
As Fall Sets In, It’s Time to Look Ahead
As the leaves begin to change color and the temperatures drop, many company leaders recognize that it’s time to start planning for the next year. This annual ritual is often one of the few times during the year when leadership can step back to evaluate the company's achievements, challenges, and potential growth opportunities. Here’s a 10-step process to make the most of this planning season and set your organization up for success in 2025.
1. Muster the Team
Strategic planning benefits from a diversity of perspectives, so it’s essential to bring together not just senior leaders and key stakeholders but also front-line employees who understand the day-to-day workings of the company. Including voices from all levels of the organization provides a fuller picture of current realities, encourages buy-in, and fosters a sense of ownership.
2. Reconfirm Vision, Mission, and Core Values
These foundational elements define why your company exists, what it aims to achieve long-term, and the values it upholds. Revisiting these principles helps ensure that your strategies remain true to the organization’s purpose and guides the development of meaningful goals. If these elements no longer resonate or align with the current direction, consider updating them to reflect where the company is headed.
3. Honestly Assess Where You Are Today – SWOT Analysis
A structured SWOT Analysis (Strengths, Weaknesses, Opportunities, and Threats) provides a clear picture of your company’s current position and helps set priorities. Use a four-quadrant grid to organize each component of the analysis for a thorough, balanced view:
• Strengths: Identify internal assets, skills, or advantages unique to your company. This might include specialized expertise, strong customer relationships, or technological capabilities that give you an edge.
• Weaknesses: Highlight internal challenges, such as skill gaps, limited resources, or inefficient processes, which may hinder growth. Recognizing these areas allows you to make improvements or allocate resources strategically.
• Opportunities: Examine external trends, customer needs, or emerging markets that could provide growth or expansion avenues. Look for ways to capitalize on these opportunities, such as launching new products or entering new markets.
• Threats: Assess external risks, such as competitor activity, regulatory changes, or economic uncertainties, that could negatively impact your company. Identifying these threats enables you to develop strategies to mitigate them.
To prioritize your findings, consider scoring each element by its potential impact and urgency. This structured format not only provides clarity but also enables your team to make informed decisions on which opportunities to pursue and which threats to address first.
4. Establish Clear and Measurable Targets
Setting clear, realistic goals over a 3-year time frame keeps everyone focused on achievable outcomes. By defining specific, measurable targets, you can more effectively track progress. Avoid overly ambitious goals that may feel unattainable; instead, aim for objectives that build momentum and lay a foundation for continued growth. Focus on a few high-priority objectives that will create meaningful impact.
5. Agree on Your Key Actionable Initiatives
To make progress toward your goals, develop concrete initiatives that respond to the findings from your SWOT analysis. Whether it’s expanding into new markets, launching new services, or improving efficiency, each initiative should be aligned with your objectives and prioritized based on its potential to drive success. Ensuring everyone agrees on this list of initiatives solidifies your roadmap for the coming years.
6. Create an Implementation Plan and Allocate Resources
Turning strategies into action requires a detailed implementation plan. Break down each initiative into specific tasks with clear timelines, milestones, and responsible individuals. Determine the resources each step will need, including budget, staffing, and tools. Make sure these resource allocations are backed by commitment from leadership and are sufficient to achieve each initiative’s goals.
7. Incorporate Flexibility into Your Plans
Since business conditions can shift rapidly, flexibility is key to staying resilient. By building adaptability into your plans, your team can better respond to new opportunities or challenges as they arise. Designate areas in your plan that can be adjusted as needed, and communicate with your team about the potential to reprioritize resources in response to changing conditions.
8. Communicate the Strategy and Initiatives
To create alignment across the organization, it’s vital to communicate the strategic direction and the role of each initiative. Introduce initiative leaders, explain the purpose of each effort, and clarify what’s expected from each team member. Regular communication ensures everyone understands how their role contributes to the broader objectives, which boosts motivation and commitment.
9. Develop a Culture of Accountability and Continuous Improvement
By fostering a culture that values accountability, team members become more invested in their work and committed to delivering results. Implementing key performance indicators (KPIs) for each initiative and linking them to performance evaluations encourages continuous improvement. Recognizing and rewarding incremental progress helps build momentum and ensures that improvement remains a priority.
10. Track Progress and Adjust
Regularly tracking progress allows for quick identification of successes and roadblocks. Set up monthly or quarterly check-ins to review initiative metrics, discuss challenges, and decide if any adjustments are necessary. This ongoing assessment cycle keeps the plan dynamic, ensuring that it remains relevant and effective throughout the 3-year timeline. Adjustments based on real-time feedback make the strategic plan a living document that can evolve as the company does.
By following these 10 steps, your organization can develop a strategic roadmap that promotes alignment, accountability, and adaptability, ensuring you’re well-prepared to meet the challenges and opportunities of the coming years. Strategic planning is a powerful investment in your company’s future, and Lumiere Strategies is here to help you make the most of it. With extensive experience guiding senior leaders and organizations through the strategic planning process, we bring the insights, tools, and expertise needed to build a robust and actionable plan tailored to your business. Contact us today at lumierestrategies.com to learn how we can support your organization’s journey to sustained growth and success.
Benefits of a PEO - hint it's the benefits!
Need an HR Department But Can’t Justify the Costs?
If you’re a small to medium-sized business (SMB), you likely recognize the importance of having professional HR management to handle administrative tasks while keeping your employees satisfied with competitive benefits. Offering big-business advantages like comprehensive health insurance, 401(k) plans, and other perks can enhance employee retention and attract top talent.
However, you might find yourself in a catch-22: your business is too small to afford a full-fledged HR department, yet you struggle to grow without these essential HR resources.
Fortunately, there’s a viable solution: hiring a Professional Employer Organization (PEO). A PEO allows you to offer your employees access to top-tier benefits that would otherwise be unattainable for your business. A number of Lumiere’s clients have discovered that partnering with a PEO is a cost-effective way to provide excellent employee benefits and HR support. PEOs can manage your payroll, benefits, HR administration, tax compliance, and regulatory obligations.
How Does a PEO Work?
When you engage a PEO, you and the PEO become co-employers. Responsibilities are clearly defined in a contract that outlines both parties' obligations. This partnership enables you to streamline HR processes, allowing your finance and management teams to focus on productivity and profitability.
Partnering with a PEO can lead to significant advantages for small and medium-sized businesses. According to recent studies, companies using PEOs experience 7% to 9% faster growth, 10% to 14% lower employee turnover, and are 50% less likely to go out of business. Access to improved benefits options can help you attract and retain top talent by providing employees with choices from well-known national insurance carriers.
PEOs typically charge either a flat fee per employee per month or a percentage of the total payroll. In ideal scenarios, savings from healthcare premiums and reduced payroll and HR costs can offset the PEO fees, making it a financially viable option.
What Are the Benefits of a PEO?
In addition to enabling you to offer competitive health insurance, here are some additional benefits provided by a PEO:
Comprehensive Payroll and HR Administration: Efficient management of payroll, benefits, and compliance tasks.
Employee Onboarding: Streamlined processes for new hires to ensure they integrate smoothly into your organization.
Benefits Enrollment: Assistance with employee benefits selection and enrollment.
Tax Remitting and Filing: Accurate management of tax obligations to avoid penalties.
Enhanced Competitive Benefits: Offering high-quality benefits that are often beyond the reach of smaller businesses.
Retirement Plans: Access to 401(k) plans and other retirement savings options.
Flexible Spending Accounts: Health savings options to increase employees' take-home pay.
COBRA Administration: Compliance management for COBRA benefits.
Government Compliance Support: Minimizing risks associated with regulatory compliance without adding to your workforce.
Workers’ Compensation and Employment Practices Liability Insurance (EPLI): Coverage to protect your business and employees.
Affordable Care Act (ACA) Support: Assistance with ACA compliance and reporting.
Professional HR Guidance: Expert advice to navigate complex HR challenges.
Is a PEO the Right Choice for You?
If you’re considering whether a PEO is the right fit, start by clarifying your needs regarding HR administration, risk management, and the benefits you want to offer. Here are some steps to take:
Evaluate PEO Offerings: Investigate what each PEO provides and how it aligns with your business needs.
Ask Questions: Inquire about how benefits are funded and managed.
Understand Pricing Models: Make sure you comprehend the costs based on your current size and projected growth.
Review Client Portfolios: Look for PEOs with expertise in your industry.
Request References: Speak to other businesses that have partnered with the PEO.
Let Us Help You
If you believe a PEO could benefit your business, you’re likely on the right track. As you begin your research into PEOs, consider keeping us in the loop. At Lumiere, we do not sell PEO services, allowing us to provide independent advice tailored to your needs.
We have experience working with many major PEOs, including:
ADP TotalSource: A leader in the PEO market, ADP offers a familiar platform with extensive resources. Their pricing is a flat fee per employee.
TriNet: A technology-driven payroll and HR solution that specializes in supporting specific industries. Their pricing is also a flat fee per employee.
Insperity: Provides a full-service HR solution managed by professionals, along with Human Capital Management software. Their pricing is based on a percentage of gross payroll.
Justworks: A newer, tech-focused solution offering intuitive mobile and web interfaces, with live chat support and competitive flat fees per employee.
For additional recommendations, check out resources from the National Association of Professional Employer Organizations (NAPEO).
Once you choose a PEO, you’ll find that most offer user-friendly technology that can be easily integrated into your existing systems. However, if you encounter challenges during the transition, Lumiere is here to assist you in optimizing your new PEO services. We’re committed to supporting your financial and HR needs.
5 Benefits of an ePayroll Solution
Is your business aiming to "go green" affordably? Do you want to reduce your carbon footprint and save money at the same time? With an ePayroll solution, your company can achieve both goals—and more! Here are the top five benefits of switching to an ePayroll system:
1. Saves Time and Money
As a small business owner, time is one of your most valuable assets. At Lumiere, we understand that your time is best spent growing your business, not handling payroll errors. With ePayroll solutions, you’re backed by an experienced payroll team and an efficient electronic system, making payroll processing seamless. If a rare system malfunction occurs, most ePayroll providers are insured, ensuring your business is not held liable.
While payroll itself doesn’t generate revenue, by reducing labor and administrative costs, an ePayroll system can contribute to your bottom line. Through simplified processes, automation, and minimized errors, you can reallocate resources toward areas that drive growth and profitability.
2. Secure and Reliable
Protecting sensitive employee information is essential, especially given the rise in identity and cyber theft. ePayroll systems offer high-level data encryption and secure servers, reducing the risk of data breaches. By going paperless, you also eliminate the possibility of physical pay stubs being lost or stolen. Top providers like Gusto, ADP, and QuickBooks Online Payroll offer advanced security features to protect your business and employees, making ePayroll a more reliable, secure solution.
3. Enhanced Employee Experience
A digital payroll system doesn’t just benefit employers; it makes life easier for employees too. No more lost pay stubs or requests for duplicate copies—ePayroll solutions allow employees to access their pay history and tax forms anytime, anywhere. Many platforms now include mobile apps for convenience, allowing employees to review their paychecks on the go.
With quick access to their payment history and tax documents, employees can better manage their finances, enhancing overall satisfaction and workplace efficiency.
4. Reduced Paper Waste & Storage Needs
According to the Paperless Project, “In the last 20 years, the usage of paper products has increased from 92 million tons to 208 million.” Much of that paper ends up in U.S. landfills, where paper waste is one of the largest components. On average, each American uses more than 700 pounds of paper annually, a significant portion of which comes from printed payroll documents.
According to the American Payroll Association’s Getting Paid In America survey by the American Payroll Association, over 3% of Americans still receive paper pay stubs, and 72% still receive both paper and electronic W-2s. Implementing an ePayroll solution will not eliminate all paper usage, but it can substantially reduce it. Switching to ePayroll is a simple, impactful step toward a greener, more sustainable business.
5. Real-Time Payroll Data and Reporting
An ePayroll solution provides immediate access to real-time payroll data and comprehensive reporting. This benefit is invaluable when making financial decisions, managing cash flow, or preparing for tax season. Many ePayroll platforms offer customizable reports on wage expenses, overtime, and other critical data points that can be accessed anytime and help guide informed business decisions.
Leading ePayroll Providers in 2024
Here’s a quick look at some of the top ePayroll providers this year:
Gusto: Known for its user-friendly interface, Gusto offers comprehensive payroll and HR tools, automated tax filing, and strong security measures. It’s an excellent choice for small and medium-sized businesses.
ADP: A trusted industry leader, ADP provides scalable payroll solutions that can grow with your business. It includes options for benefits administration, HR services, and tax filing, making it ideal for larger companies with complex needs.
QuickBooks Online Payroll: Perfect for businesses already using QuickBooks, this payroll system offers seamless integration with accounting and tax tools, along with automated payroll and tax filing.
Paychex: Known for flexibility, Paychex offers solutions for businesses of all sizes. It includes payroll processing, HR tools, compliance assistance, and employee benefits management.
Rippling: Rippling combines payroll with IT and HR services, offering unique features such as device and app management for employees. It’s a good choice for businesses seeking comprehensive employee management.
With Lumiere, we’re committed to helping clients save time, cut costs, and create more efficient workflows. An ePayroll solution does just that—and as a Lumiere client, you can relax while we handle the details of converting your payroll system.
Ready to go digital? Schedule a call to discuss how an ePayroll solution can benefit your business!
Achieving Financial Success in the Restaurant Industry: Optimizing COGS, Labor, and Expenditure Ratios
Running a successful restaurant involves more than just serving delicious food—it requires careful management of finances to ensure profitability and sustainability. One key aspect of financial management is maintaining optimal ratios for cost of goods sold (COGS), labor, and both controllable and non-controllable expenditures. In this blog post, we'll explore the best ratios for these categories and provide strategies for achieving financial success in the restaurant industry.
Cost of Goods Sold (COGS):
COGS represents the direct costs associated with producing the food and beverages sold in your restaurant. This includes ingredients, packaging, and any other materials directly used in food preparation.
Ideally, COGS should be kept between 25% to 35% of total revenue. However, this can vary depending on factors such as the type of cuisine and the pricing strategy of the restaurant.
To optimize COGS:
Source high-quality ingredients at competitive prices by negotiating with suppliers and exploring bulk purchasing options.
Implement portion control measures to minimize waste and maximize profitability.
Regularly review menu items to identify low-margin dishes and consider adjusting prices or recipes accordingly.
Labor Costs:
Labor costs encompass wages, benefits, and payroll taxes paid to employees. Proper management of labor costs is essential for maintaining profitability while ensuring adequate staffing levels to deliver quality service.
The ideal ratio for labor costs is typically between 25% to 35% of total revenue, although this can vary based on factors such as the restaurant's service model and peak hours.
Strategies to optimize labor costs include:
Implementing efficient scheduling practices to match staffing levels with demand, particularly during peak hours.
Investing in employee training to improve productivity and reduce turnover.
Monitoring and adjusting labor budgets based on sales forecasts and performance metrics.
Utilizing technology solutions such as scheduling software to streamline workforce management processes.
Non-Controllable Expenditures:
Non-controllable expenditures consist of fixed costs such as rent, utilities, insurance, and property taxes. While these expenses cannot be easily adjusted in the short term, managing them effectively is crucial for overall financial health.
Non-controllable expenditures should ideally be kept below 30% of total revenue to ensure sufficient funds for other operational expenses and profit margins.
Strategies for managing non-controllable expenditures include:
Negotiating favorable lease terms with landlords and exploring opportunities for rent abatement or reduction.
Implementing energy-efficient measures to reduce utility costs.
Reviewing insurance policies annually to ensure adequate coverage at competitive rates.
Controllable Expenditures:
Controllable expenditures encompass variable costs such as marketing, advertising, maintenance, and equipment expenses. While these costs can be adjusted more easily than fixed expenses, careful management is still necessary to optimize profitability.
Controllable expenditures should be allocated judiciously to initiatives that yield the highest return on investment (ROI) and contribute to revenue growth.
Strategies for managing controllable expenditures include:
Developing a comprehensive marketing plan that targets the restaurant's key demographics and utilizes cost-effective channels such as social media and email marketing.
Implementing preventive maintenance programs to extend the lifespan of equipment and minimize repair costs.
Negotiating favorable contracts with vendors and suppliers to obtain discounts and volume pricing.
Maintaining optimal ratios for COGS, labor, and expenditures is essential for achieving financial success in the restaurant industry. By implementing strategies to control costs, optimize efficiency, and maximize revenue, restaurant owners can enhance profitability while delivering exceptional dining experiences to their customers. Regular monitoring and adjustment of financial metrics are key to ensuring long-term sustainability and growth in this competitive market.
10 Proven Strategies to Boost Revenue and Increase Visits at Your Restaurant
Are you a restaurant owner looking to enhance customer loyalty and drive more revenue from your existing clientele? In today's competitive food industry landscape, it's essential to continually innovate and implement strategies that keep customers coming back for more. Whether you run a cozy cafe, a bustling bistro, or an upscale dining establishment, here are ten proven ways to increase existing customer revenue and visits at your restaurant:
Implement a Loyalty Program: Reward your loyal customers with a structured loyalty program. Offer incentives such as discounts, free meals, or exclusive access to special events. By providing tangible benefits for repeat visits, you can strengthen customer retention and encourage regular patronage.
Enhance Customer Experience: Focus on delivering exceptional customer service and creating memorable dining experiences. Train your staff to be attentive, friendly, and knowledgeable about the menu. Pay attention to details such as ambiance, cleanliness, and presentation to ensure that every visit exceeds customer expectations.
Offer Personalized Recommendations: Leverage customer data and technology to provide personalized recommendations based on past orders and preferences. Use customer feedback to tailor menu suggestions, promotions, and special offers, increasing the likelihood of upselling and cross-selling opportunities.
Host Special Events and Promotions: Spice up your restaurant's calendar with special events, promotions, and themed nights. Whether it's a wine tasting, live music performance, or holiday celebration, these events can attract new customers and entice existing ones to return for a unique experience.
Optimize Online Presence: Invest in a user-friendly website, social media presence, and online ordering platform. Make it easy for customers to find your restaurant, view the menu, make reservations, and place orders for pickup or delivery. Engage with your audience through regular updates, promotions, and mouth-watering food photography.
Introduce Limited-Time Offers: Create a sense of urgency and excitement by introducing limited-time menu items, seasonal specials, or chef's creations. Promote these offerings through various channels to generate buzz and drive traffic to your restaurant.
Partner with Local Businesses: Collaborate with neighboring businesses, hotels, or event venues to cross-promote each other's offerings. Consider offering exclusive discounts or package deals to customers who patronize both establishments, fostering a sense of community and mutual support.
Invest in Online Reviews and Reputation Management: Monitor online review platforms such as Yelp, Google My Business, and TripAdvisor to gauge customer feedback and address any concerns promptly. Encourage satisfied customers to leave positive reviews and testimonials, which can boost your restaurant's reputation and attract new patrons.
Offer Delivery and Takeout Options: Cater to the growing demand for convenience by offering delivery and takeout options. Partner with third-party delivery services or develop your own in-house delivery system to reach customers who prefer dining at home. Ensure that your packaging is attractive and branded to maintain consistency with the in-restaurant experience.
Continuously Innovate and Refresh Your Menu: Keep your menu fresh and exciting by introducing new dishes, seasonal ingredients, and culinary trends. Experiment with innovative flavors, dietary preferences, and cultural influences to cater to a diverse range of tastes and preferences. Regularly update your menu to give customers a reason to return and explore new offerings.
By implementing these ten strategies, you can effectively increase existing customer revenue and visits at your restaurant while fostering long-term loyalty and satisfaction. Remember to adapt and refine your approach based on customer feedback, market trends, and the unique characteristics of your establishment. With dedication, creativity, and a focus on customer satisfaction, you can achieve sustained growth and success in the competitive restaurant industry.
How To Grow Your Business Leveraging the Power of Outsourced Services
In an era where efficiency, agility, and strategic focus are paramount, businesses are increasingly turning to outsourced services to unlock their full potential. Outsourcing offers a dynamic solution for companies looking to optimize operations, reduce costs, and enhance their overall competitiveness. In this blog post, we'll delve into the myriad ways businesses can harness the power of outsourced services to propel their growth and success.
Focus on Core Competencies: Outsourcing non-core functions allows businesses to redirect their valuable time and resources towards core competencies. By entrusting routine tasks to specialized service providers, organizations can sharpen their focus on strategic activities that directly contribute to their unique value proposition and competitive advantage.
Cost Savings and Operational Efficiency: Outsourcing offers a cost-effective alternative to hiring and training in-house staff for specific functions. Businesses can benefit from the expertise of skilled professionals without the overhead costs associated with maintaining an extensive in-house team. This not only results in immediate cost savings but also enhances operational efficiency.
Access to Global Talent Pool: Outsourcing transcends geographical boundaries, providing businesses with access to a diverse and global talent pool. This allows companies to tap into specialized skills and knowledge that may not be readily available in their local labor market, fostering innovation and competitiveness on a global scale.
Scalability and Flexibility: Outsourced services offer scalability and flexibility to adapt to changing business needs. Whether facing seasonal fluctuations or sudden growth, businesses can easily adjust the scope of outsourced services without the complexities of hiring, training, or downsizing an in-house team.
Risk Mitigation: Sharing certain business functions with trusted outsourcing partners helps distribute risks. Outsourced service providers often assume responsibility for compliance, technology updates, and other operational risks, allowing businesses to navigate uncertainties more effectively.
Enhanced Technology and Innovation: Outsourced service providers often invest in state-of-the-art technologies and stay abreast of industry innovations. By leveraging their technological infrastructure, businesses can access cutting-edge tools and solutions without the need for significant upfront investments, enhancing their competitiveness in a rapidly evolving market.
Focus on Customer Satisfaction: Outsourcing allows businesses to channel their energies towards customer-centric activities. Whether it's improving product quality, refining customer service, or enhancing the overall customer experience, businesses can elevate customer satisfaction levels by concentrating on what truly matters to their clientele.
Agile Business Operations: In a dynamic business environment, agility is a key differentiator. Outsourcing provides businesses with the agility to respond quickly to market changes, regulatory requirements, and customer demands, positioning them for sustained growth and adaptability.
The power of leveraging outsourced services extends far beyond mere cost reduction. It empowers businesses to refocus on their core strengths, tap into global expertise, and navigate the complexities of today's business landscape with resilience and innovation. By strategically integrating outsourced services into their operations, businesses can unlock new levels of efficiency, flexibility, and growth, ultimately propelling them towards long-term success in a competitive marketplace.
Exploring 401(k) Options for Small Businesses: A Comprehensive Guide
Running a small business comes with a myriad of responsibilities, and one key aspect often overlooked is providing retirement benefits for employees. A 401(k) plan is an excellent way to help your team save for the future while attracting and retaining top talent. In this blog post, we'll explore the various options available for small businesses looking to implement 401(k) plans.
Traditional 401(k) Plans: Traditional 401(k) plans are the most common retirement savings vehicles. They allow employees to contribute a portion of their pre-tax income, reducing their taxable income for the year. Employers can also choose to match a percentage of employee contributions, providing an additional incentive for participation.
Safe Harbor 401(k) Plans: Safe Harbor plans are designed to automatically pass non-discrimination testing, making them an attractive option for businesses aiming to avoid compliance issues. With Safe Harbor, employers are required to make contributions to employees' accounts, either through matching contributions or non-elective contributions.
Simple 401(k) Plans: Simple 401(k) plans are specifically tailored for small businesses with fewer than 100 employees. They offer lower administrative costs and simplified procedures for both employers and employees. While employer contributions are optional, employees can make salary deferral contributions, and employers have the flexibility to either match contributions or make non-elective contributions.
Professional Employer Organizations (PEOs): Small businesses can explore the option of joining a PEO to gain access to retirement plans offered by the PEO. PEOs aggregate employees from multiple small businesses, potentially providing cost savings, administrative efficiency, and access to a broader range of retirement benefits.
Choosing the right 401(k) plan for your small business involves considering factors such as the number of employees, budget constraints, and the level of administrative involvement you desire. By carefully assessing your needs and exploring the options outlined above, you can provide a valuable employee benefit that not only supports your team's financial future but also contributes to the overall success and competitiveness of your business. Remember, a well-structured 401(k) plan not only benefits your employees but can also be a strategic tool for attracting and retaining top talent in the competitive business landscape.
Mastering Third-Party Delivery: How Restaurants Can Maximize Value
In recent years, the rise of third-party delivery services has transformed the restaurant industry, offering convenience and accessibility to customers while presenting new opportunities and challenges for restaurant owners. While partnering with third-party delivery platforms can expand your restaurant's reach and increase sales, it's essential to approach these partnerships strategically to maximize their value. In this blog post, we'll explore the best ways for restaurants to harness the power of third-party delivery services and drive success.
Choose the Right Partners: Not all third-party delivery platforms are created equal. Research and evaluate different providers based on factors such as their reach, commission rates, delivery fees, and customer service reputation. Choose partners that align with your restaurant's brand values and business objectives.
Optimize Your Menu: Tailor your menu offerings specifically for delivery to ensure that items travel well and maintain their quality during transit. Consider streamlining your menu to focus on popular and profitable dishes that are well-suited for delivery. Clearly communicate any modifications or special instructions to third-party delivery drivers to minimize errors and enhance the customer experience.
Set Competitive Pricing: Determine pricing strategies that strike a balance between profitability and competitiveness in the delivery market. While it's essential to cover costs associated with third-party commissions and delivery fees, avoid overpricing your menu items, as this may deter customers from ordering. Offer promotions, discounts, or exclusive deals to incentivize customers to choose your restaurant over competitors.
Invest in Packaging: Invest in high-quality packaging that preserves the freshness and presentation of your food during delivery. Use sturdy containers, seals, and insulation materials to prevent spills, leaks, or temperature fluctuations. Branded packaging can also reinforce your restaurant's identity and leave a lasting impression on customers.
Provide Accurate Delivery Estimates: Communicate realistic delivery estimates to customers to manage their expectations and prevent dissatisfaction. Use data analytics and tracking technology to monitor delivery times, optimize routes, and minimize delays. Transparency and reliability are crucial for building trust and loyalty with customers.
Optimize Operations for Efficiency: Streamline your kitchen operations and workflow to accommodate the increased volume of delivery orders. Train your staff to prioritize efficiency, accuracy, and timeliness when preparing and packaging delivery orders. Allocate dedicated resources, such as kitchen space, equipment, and personnel, to fulfill delivery orders without compromising the in-house dining experience.
Leverage Marketing and Promotion: Collaborate with third-party delivery platforms to leverage their marketing and promotional capabilities. Take advantage of sponsored placements, targeted advertising, and featured listings to increase your restaurant's visibility and attract new customers. Utilize social media, email marketing, and other digital channels to promote special offers, exclusive discounts, and loyalty programs for delivery customers.
Collect and Analyze Data: Harness data analytics tools provided by third-party delivery platforms to gain insights into customer behavior, preferences, and ordering patterns. Use this data to refine your menu offerings, pricing strategies, and promotional efforts. Identify trends, opportunities, and areas for improvement to optimize your delivery operations and drive long-term success.
By following these strategies, restaurants can effectively maximize the value of third-party delivery services and capitalize on the growing demand for convenience and flexibility among customers. By delivering exceptional experiences both in-house and through delivery channels, restaurants can expand their reach, increase revenue, and thrive in an increasingly competitive marketplace.
Strengthening Nonprofit Impact: The Benefits of Outsourced Accounting Services
Nonprofit organizations play a vital role in addressing societal challenges, and effective financial management is crucial for their sustained impact. In this blog post, we'll explore how outsourcing accounting services can be a game-changer for nonprofits, particularly in managing financials, donation reporting, and external audits. Let's delve into the transformative benefits that outsourcing can bring to the nonprofit sector.
Financial Management Expertise: Outsourcing accounting services enables nonprofits to access the expertise of professionals with a deep understanding of nonprofit financial management. These experts are well-versed in the unique accounting and reporting requirements specific to the nonprofit sector, ensuring accurate and compliant financial records.
Cost Efficiency and Budget Optimization: Nonprofits often operate on tight budgets, and outsourcing accounting functions can be a cost-effective solution. By eliminating the need for an in-house accounting team, nonprofits can allocate more resources directly toward their mission, ensuring that every dollar is utilized efficiently.
Timely and Accurate Financial Reporting: Outsourced accounting firms specialize in providing timely and accurate financial reports. This is crucial for nonprofits in demonstrating transparency to stakeholders, including donors, board members, and regulatory authorities. Outsourced professionals can streamline the reporting process, delivering comprehensive financial insights on a regular basis.
Donation Reporting and Tracking: Donations are the lifeblood of nonprofits, and accurate tracking and reporting of donations are essential for maintaining donor trust. Outsourced accounting services can implement robust systems for tracking donations, ensuring that each contribution is properly recorded and reported. This transparency strengthens donor relations and facilitates compliance with reporting standards.
Compliance with Regulatory Requirements: Nonprofits are subject to specific regulatory and reporting requirements that vary by jurisdiction. Outsourced accounting professionals are well-versed in navigating these complexities, ensuring that nonprofits remain compliant with tax regulations, reporting standards, and other legal requirements.
Enhanced Donor Confidence: Outsourced accounting services contribute to increased donor confidence by providing transparent and accurate financial information. When donors have assurance in the organization's financial management, they are more likely to continue supporting the nonprofit's mission and even increase their contributions over time.
Streamlined External Audits: External audits are a necessary process to verify financial accuracy and compliance. Outsourced accounting services can help nonprofits prepare for external audits by maintaining meticulous financial records, ensuring all documentation is in order, and acting as a liaison between the nonprofit and auditors. This streamlines the audit process and increases the likelihood of a successful outcome.
Strategic Financial Planning: Outsourced accounting professionals offer valuable insights into financial planning and budgeting. By analyzing financial data, they can assist nonprofits in developing strategic financial plans that align with their mission and goals, enabling better resource allocation and long-term sustainability.
Outsourced accounting services offer nonprofits a strategic advantage in navigating the financial complexities unique to their sector. From accurate financial reporting and donation tracking to ensuring compliance and facilitating external audits, outsourcing empowers nonprofits to focus on their mission with confidence and efficiency. By partnering with experienced accounting professionals, nonprofits can strengthen their financial foundation, enhance donor trust, and ultimately amplify their positive impact on the communities they serve.
Lumiere's Guide to Implementing Payroll
There are a number of things you should do before making your first hire – some are legal and regulatory, while others are just best practices. Here is a short checklist of things you need to do before you make your first hire.
Things to consider before you make your first hire.
Congratulations! Your business is growing and you’ve decided to hire your first employee. You have found the perfect person and agreed on compensation but where do you go from there?
You must now tackle onboarding, establishing benefits, becoming compliant, and configuring and running a payroll platform. This may sound overwhelming, but don’t worry, we’re here to help. In this guide, Lumiere will step you through our process for hiring your first employee so that, right from day one, they’ll be ready to contribute to your business’ success.
Here is our guide to getting started.
1. File for Your EIN (Employer Identification Number)
Your EIN is also known as your Employer Tax ID, and you’ll use this for filing your employment and other taxes with state and federal governments. Before applying for a federal employer identification number (EIN) you should have already formed an entity. Most business owners elect to establish a structure beyond a sole-proprietor to establish liability protection. The most common corporate entity types for small businesses are S Corporations and LLCs:
S Corp
An S Corporation (“S Corp”) is a popular choice for many businesses because profits, losses and other tax items pass through the corporation to the shareholders. Although they can be more complicated legally, they can provide significant tax savings. S Corp owners who perform more than minor services for the organization are required to be reasonably compensated as employees as well as owners.
LLC
A Limited Liability Corporation (“LLC”) is a lightweight alternative to incorporating your business and is similar to an S Corp as it provides the pass-through benefits of the S Corp entity. LLCs are generally less complicated legally with fewer state-imposed annual compliance requirements.
See also the U.S. Small Business Association Guide to Business Structures
After you determine your corporate identity, you’ll need to apply for an EIN directly through the IRS. (Note: sole proprietorships do not need a EIN, but partnerships do). The IRS also has an helpful guide to Establishing Your EIN.
Check which EIN state requirements are applicable to you. While you are at it, you should also Enroll in EFTPS to see what payments your payroll company is making on your behalf
2. Register With the Relevant State Departments
You will need to register your company with the compliance department for every state you employee people in. Some states can have up to three departments that handle compliance with state tax collection, unemployment, disability, etc..
In California, the Employment Development Department (EDD) handles both tax collection and labor and workforce laws like unemployment. To register as a new employer in California you will need to complete the following:
Enroll as a New User through e-Services for Business at the EDD site.
After you have enrolled, access your e-Services account to apply for an Employer Payroll Tax Account Number.
Complete the registration process. You will be asked for information about your business and its operations in California including your California Secretary of State number. You can search for it here.
The EDD may take up to 3 business days to complete processing.
3. Establish Insurance
Caring for your team by offering health, retirement and other benefits helps employees and their families stay healthy and financially secure. As a small business owner, there are a number of types of insurance you must have and a number you also should have.
Workers Comp - A state-regulated program that covers job-related injuries and illnesses including wage replacement if they’re unable to return to work. Premiums vary by industry and job classifications. Every state has its own set of workers’ compensation rules. See the National Federation of Independent Business (NFIB) summary of each state’s policy.
Disability Insurance - Provides short-term Disability Insurance (DI) and Paid Family Leave (PFL) wage replacement benefits to eligible workers who need time off work due to illness or injury, pregnancy, or childbirth or to care for a seriously ill family member or to bond with a new child. California provides this through the California State Disability (SDI) program.
Employment practices liability insurance (EPLI) - Provides coverage to employers against claims made by employees alleging discrimination, wrongful termination, harassment, or other employment-related issues.
4. Document Employees
To protect themselves from potential litigation and avoid confusion, companies should utilize Job Descriptions, Offer Letters, Employment Agreements and Employee Handbooks. These will help establish policies and details of the role, compensation, and other legal ramifications of the position when hiring an employee or contractor including:
Wage and hour including overtime
Leave including vacation, pregnancy, paid family leave, etc.
Harassment and discrimination
Fringe benefits (commuter, meals, etc.)
5. Collect and Maintain Employee Information
Maintaining accurate and up-to-date profiles for your employees is crucial. For each new hire, besides the basic name, date of birth and address, be sure you keep the following data available and secure:
Employment start date.
Compensation details in writing to prevent later disputes (including any changes to compensation or responsibilities).
An I-9 Form to verify employees’ eligibility for employment in the US, and the verification documents.
See Also Doing Business In California - A Guide for Employers
6. Classify Employees
You need to know if your employees are exempt or non-exempt from overtime pay, and if you will be withholding taxes or paying them as a independent contractor. The federal guidelines for exempt employees can be complicated, and mistakes can be expensive. Before you make this important staffing decision you need to fully understand both types of workers and the importance of classifying them correctly. Failing to do so could cost your business.
Here are some general guidelines:
If you are still unclear, complete IRS Form SS-8 and they’ll give you a final determination of the worker’s status. It could take 6 months for a decision, but it will give you peace of mind to continue running your business.
Check out Lumiere’s Guide - Employee vs Contractor, Exempt vs Non-exempt - Determining Worker Classification for more information.
7. Pick and Implement a Payroll Platform
Pick a platform that is scalable and meets your particular business needs. Payroll is no place to take shortcuts, the penalties and difficulties that come with errors and poor timing are too high.
Every platform handles general payroll management tasks (direct deposit, multiple wage rates, garnishment payments, PTO, etc.) Some other things to considering when selecting a payroll platform:
Employee self-enrollment: Will the solution allow your employees to provide their onboarding information, view pay stubs and pull tax forms on their own?
Integrations: Does the solution integrate directly with your accounting software, automatically coding to account and department?
Tax liability management: As an employer, you need to withhold, report and remit Federal Withholding, State Withholding, Local Withholding, Federal unemployment (FUTA), and State unemployment (SUTA). The IRS created a guide. One of the benefits of a payroll solution is they automatically file and remit your payroll tax liabilities for you.
You should also consider implementing a solution for the following
Tracking employee’s hours, PTO, and sick time
401K employee contributions or employer matching
Expense reimbursements, commissions, bonuses, etc.
There are dozens of options for payroll software, and selecting yours means finding the one with the features you need at a price that works. Lumiere has experience working with many of the top recommended platforms.
Finally - Address Backups and Disaster Recovery
Not only is it a best practice to have backups and copies of important records in the event of a disaster, the IRS requires you provide evidence to substantiate entries, deductions, and statements made on your tax returns. You must be able to prove certain elements of expenses to deduct them and for most businesses payroll is their largest expense. It is also important to have I-9 forms, W-2s, new hire forms, and copies of all your filed tax forms (Form 941, Form 940, and state tax forms) available.