Professional Services Media Placements
Professional Services Table of Contents
Date
Publication
1/11/2016
The Sacramento Bee
5/8/2014
Entrepreneur
4/27/2014
Reno Gazette Journal - Online
2/12/2014
Yahoo!
1/3/2014
Yahoo!
11/22/2013
Reno Gazette Journal
8/23/2013
Reno Gazette Journal
7/26/2013
Reno Gazette Journal
6/27/2013
The Street
4/26/2013
Reno Gazette Journal
4/3/2013
The Street
3/22/2013
Reno Gazette Journal
1/15/2013
KRNV News
11/26/2012
Northern Nevada Business Weekly
5/4/2012
Fast Company
3/8/2012
Northern Nevada Business Weekly
Title Orthorexia: When Healthy Eating Goes Extreme 3 Alternative Tech Startup Cities With Less Traffic, More Housing John Solari: Boomer Generation Will Redefine Retirement Tax Prep 101 Go Beyond Writing Checks This Year When Donating to Community Causes End-Of-Year Opportunities For Giving Are Abundant 5 Things Startups Should Know Before Starting Investors Impart Northern Nevada Housing Market A Home-Grown Solution to Nevada's Private Equity Problem Employee Ownership Offers Options To Owners, Workers Tax Breaks Enrich Companies, Burden Communities Use Care In Classifying Contractors vs. Employees Expert Says Post-Fiscal Cliff Taxes Aren't As Bad As They Could've Been Plan For The Tax Season By Celebrating A Season Of Giving Why You Should Swap Your Corporate Boardroom For A Company Kitchen John Solari of Solari and Sturmer
3/8/2012
Northern Nevada Business Weekly
Solari and Sturmer Announces New Firm
3/8/2012
Northern Nevada Business Weekly
10/1/2011
Entrepreneur's Startups
11/18/2010
The Wall Street Journal
Bill Saylor o Solari and Sturmer Passes Nevada CPA Exam Circle Of Trust GM IPO Soaring, But GM As An Investment? Blech.
Orthorexia: When healthy eating goes extreme January 11, 2016
Two years ago, Sacramento native Jordan Younger was running the popular lifestyle blog “The Blonde Vegan” and becoming the Web’s go-to guru on plant-based eating. Based in New York, Younger had built a personal brand by writing about the dangers of processed foods and pesticides and the benefits of organic juice cleanses. Despite her success, Younger was also building a paralyzing fear of what she considered unhealthful food, a disorder known as orthorexia nervosa that’s being diagnosed in a growing number of healthconscious Americans.
Sometimes called the “Whole Foods syndrome,” referring to the upscale, health-focused supermarket chain, orthorexia can cause malnourishment and other problems for those who take clean eating too far. “I was just piling these fears up, and believing everything was totally true and in order to be my perfect, fit self and never get sick, that this was what I had to do,” Younger said. “Unless it was a vegetable, or a fruit, or an unsalted almond, I wouldn’t eat it.” Orthorexia usually begins with a simple resolution to eat well and avoid the kinds of fatty, processed foods that have caused obesity, high blood pressure and other common health ailments among Americans. For some, however, those good intentions spiral into an obsession with food so intense that it weighs on a person’s work and social life and leads to severe weight loss. Though orthorexia is not classified as an eating disorder by the American Psychiatric Association, many nutritionists believe it will continue to show up as ultra-restrictive diets such as paleo and raw food grow more popular. Now 25, Younger said committing to a vegan and more-healthful diet meant eliminating more foods from her plate – meat, dairy, gluten, oil, refined sugar, flour and the rest. Feeling hungry and imbalanced, and terrified that unwholesome foods would toxify her system, she continued cutting ingredients from her approved list. Along the way, she stopped going out with friends and family because she couldn’t eat from most menus. “I thought, ‘I’m not doing this right – I’m not eating healthy enough or clean enough,’ ” she said. “I had such a strict limit on food even within the vegan umbrella. I was just so, so, so obsessed with what I was going to eat every day and what I wasn’t going to eat. And I was always starving.” The condition is most likely to affect people with underlying emotional issues that would cause them to restrict food intake too intensely, said Thom Dunn, an associate professor of psychological sciences at the University of Northern Colorado and one of few researchers in the nation looking at the phenomenon. Dunn estimates orthorexia affects less than half of 1 percent of the U.S. population, although there haven’t been enough clinical studies to reliably calculate its prevalence. Anorexia nervosa and bulimia nervosa, formally diagnosable conditions with much longer histories, affect about 2 percent of Americans. Still, orthorexia has received a whirlwind of social media attention. Anecdotally, it’s been seen most commonly in affluent white females, said Dunn, but it could hit anyone. “There are a lot of people out there who maybe don’t have the full-blown condition, but are really having problems because they have this idea that they have to be as healthy as possible, as opposed to as skinny as possible,” said Dunn, noting the distinction between orthorexia and anorexia. “People are talking about it, because everybody kind of knows somebody who might get carried away.” Unlike anorexia nervosa sufferers, who obsess over how much food is consumed, orthorexic patients are preoccupied with what goes into their bodies, said Deborah Cohen, a licensed marriage and family therapist who treats eating disorders at Soul Wisdom Therapy in Sacramento and Davis. Orthorexia’s
symptoms include spending more than three hours a day thinking about healthful food, continually limiting the number of foods acceptable to eat, suffering social isolation because of a limited diet and feeling guilt or self-loathing when a strict regimen isn’t followed. When orthorexia becomes severe, people limit their diets to so few foods that they become malnourished and lose weight. Some develop anemia, brittle bone syndrome and immune system suppression. Some fall into the disorder under pressure from celebrities and other public figures who advertise extreme diets online, and magazines that regularly advise the public to drop carbohydrates, cut fat or make other dramatic changes, said Lisa Petersen, clinical director of the Eating Recovery Center of California in Sacramento. “It’s a phenomenon in our culture,” she said. “It’s troubling, but not surprising, that we see this subset growing rapidly. We see these permutations of healthy lifestyle, and what you hear will affect what you glom onto.” The tendency to “tweet-what-you-eat,” particularly among young people, may also be propelling obsessive thoughts, Dunn said. “Now all of a sudden you can get online and you can see how strict you are compared to other people,” he said. “There’s a sense of superiority. You’ve removed dairy from your diet and eggs? Well, I can do better than that.” Cohen, who’s recognized orthorexic traits in people for several years, said it’s common for the condition to occur alongside anorexia or bulimia. “One can become another, and they can be happening at the same time,” she said. “They share many characteristics – anxiety, the need for control, isolation, low self-worth. The more eating disorders that are involved, the more serious the client’s mental health status can be.” Hannah Haakenson of Sacramento said her orthorexic tendencies began in college, where she was mostly eating vegetables and other healthier foods while exercising excessively, and coming into conflict with friends who didn’t agree with her beliefs around food. “It really rocked the boat in my world,” she said. “I isolated myself, had a lot of anxiety. It was almost like a light switch – it would turn on fast. Whenever someone invited me over or girlfriends were going out to eat, or the students were going out to the dining hall, my anxiety would peak.” After seeking treatment at the Eating Recovery Center, Haakenson said she learned to relax about food. “My relationship with food now, I would use the words freedom and balance,” Haakenson said. “Sometimes, something is so yummy that I want to have three servings, and sometimes it’s not my favorite and I don’t finish it. It’s not because I’m restricting myself, it’s because I’m not feeling it. It’s a lot more free and enjoyable.” Younger also received professional help, prompted by loved ones concerned about her anxiety, thinning hair and weight loss. After months of treatment, she released a book in November about her recovery
from the condition, and changed the name of her blog to “The Balanced Blonde.” She now eats eggs, fish and meat in addition to fruits and vegetables. “It’s time to advocate a lifestyle that doesn’t involve restriction, labeling or putting ourselves into a box,” she wrote on her blog. “To accept moderation, to accept balance, to allow for happiness and growth and change and fluctuation. Life is an ebb and flow, and our bodies and our mindsets evolve! It is okay to embrace that, and it’s detrimental to our health and our well-being not to.”
3 Alternative Tech Startup Cities With Less Traffic, More Housing (Infographic) BY JOHN SOLARI | May 8, 2014| 7 Comments
Silicon Valley’s powerful entrepreneurial economy has resulted in some major downsides: gridlocked traffic, high housing prices and a growing and aggressive tech backlash. Today, three cities previously known more as vacation destinations are now legitimate alternatives to Silicon Valley life at a much more affordable price. For the adventurous startup or mature tech company, there's life beyond red taillights, long commutes and protestors blockading buses. Las Vegas, Denver and Reno, Nev., mix together a vibrant startup culture with world-class recreation or entertainment. And they all do it in places with plenty of affordable housing, a few million fewer highway-clogging cars and minus the debate over gentrification. Related: What Elon Musk Really Thinks of 'Silicon Valley' 1. Las Vegas. Tony Hsieh gets credit for jump-starting Las Vegas’ startup scene with his $350 million Downtown Project, but the city has grown into much more than his personal project. Switch Communication’s founder, Rob Roy, is pumping money and energy into the InNEVation Center, a collaboration space that delivers some of the fastest Internet speeds in the world (courtesy of his company's SuperNAP data center) and serves as a meeting place for startup and economic development events. Las Vegas’ Downtown Container Park, where an enormous metal praying mantis sculpture shoots flames out of its antennae, hosts live music events along with unique retail and dining spots. It's helping draw new hospitality sector investment like Seth Schorr’s new ultramodern Downtown Grand hotel, a gaming, dining and entertainment venue.
While the VegasTech Fund, founded by Hsieh, is a big influencer in town, early-stage and maturing Las Vegas companies can seek financing from the Las Vegas Valley Angels, Brennan Capital and state sources like the Battle Born Venture Fund and the Silver State Opportunities Fund. Competitive advantages: Las Vegas is an hour's flight away from California's two biggest population centers and the center of the convention and trade show universe. Representatives of the largest companies in the world touch down for business networking and product launches. Las Vegas has affordable housing and business costs, anchor businesses like Zappos and Switch Communications and a year-round industry-event schedule. Median home prices are $164,700, according to Zillow; about half a million dollars less than San Jose's. Related: Tech Firms Seeking Talent Spring for Spacious, Luxe Quarters 2. Denver. A healthy startup ecosystem includes companies of all maturity levels, whereby ones that have grown from shoestring outfits to market leaders might reinvest in the community. And Denver has businesses in fast-growing industries and companies large and small, young and mature. Denver-based businesses like HomeAdvisor, now a subsidiary of IAC with 1,200 employees, participate in community-building events like Denver Startup Week. At the center of Denver’s startup activity is Galvanize, a 30,000-square-foot entrepreneurial campus including a venture capital funding firm, as well as collaborative co-working space and a social hub for events and education. Companies with origins in the Denver area include Mapquest, Photobucket, Rally Software, Cloudzilla and Forkly. Firms like Grotech Ventures, with offices in Denver, are financing startups and are joined by large Boulder-based funds like the Foundry Group. Competitive advantage: Denver is located in a mountainous region that many consider more of a vacation destination than a business hub. Indeed Colorado ski resorts are just down the highway and the area's mountain biking and hiking trails are virtually endless. Denver offers all of this, while retaining an affordable cost of living. Home prices, at a median level of $254,800, are higher than in Reno, Nev., and Las Vegas, but still less than half the price of San Jose's. Related: The 10 Best Cities for Buying or Selling a Home 3. Reno’s allure lies with its geographic location, affordability and emerging and energetic startup scene. It’s a morning’s drive from Silicon Valley and just a half-hour car trip from the ski slopes and beaches of Lake Tahoe. That mix of business friendliness, quality of life and entrepreneurial energy is attracting small, scrappy startups and the satellite offices of some of the world's largest technology companies. The Biggest Little City has transitioned from a gambling mecca into an entrepreneurial hot spot. Tesla Motors is eyeing the city to house its new “gigafactory,” a multibillon-dollar battery-production headquarters; Apple has already built a data center there and Intuit, Microsoft Licensing and Drone America are headquartered in town. Homegrown startups are sprouting downtown. Reno’s Startup
Row along the Truckee River features cloud-computing companies and fitness-software outfits, a vibrant co-working collective and a hardware developer that builds microcontrollers. Reno's vibrant entrepreneurial culture includes 1 Million Cups events, hackathons and startup weekends all year long. Marmot Properties is remodeling and updating scores of Reno homes in central locations to house the influx of entrepreneurs. Capital needed to fuel startup activity is also available: The Silver State Opportunities Fund is investing $50 million in Nevada-based business. And the Battle Born Venture Fund is a state fund that provides critical funding for early-stage, high-growth companies in Nevada. The Reno Accelerator Fund invests in early-stage companies in the capital. Competitive advantage: Reno’s home prices are a world away from Silicon Valley's. The median Reno home price is $198,700, according to Zillow (less than a third of San Jose's) so nearby tech startups and maturing companies don’t have to worry about employees struggling to find homes or commuting long hours. Reno’s tax environment is considered business friendly. And city's startup scene is alongside a downtown whitewater kayak park with terrific skiing and a web of mountain bike trails nearby. Plus, Reno’s thriving bar, restaurant, coffee and entertainment scene includes Campo, named one of the nation’s best new restaurants by Esquire in 2012. Below see an infographic created by the Economic Development Agency for Western Nevada to market Reno's startup culture.
John Solari: Boomer generation will redefine retirement John Solari, Special to the RGJ9:07 p.m. PDT April 27, 2014
Baby boomers have made their mark as a hard-working and ambitious generation, and all signals are pointing toward the likelihood that millions of boomers will not quietly slipping into retirement. In fact, just like they revolutionized the American culture and economy over the last six decades, boomers may now redefine retirement in their golden years. The baby boomers’ unique take on retirement will come both out of necessity and out of the break-the-mold iconoclasm that has become synonymous with the postwar generation. Of the nearly 79 million baby boomers on the verge of retirement, nearly two-thirds are unprepared, according to a report by McKinsey Global Institute. Because of lengthening lifespans, increased medical expenses and a pace of saving that was slightly behind the curve, boomers were falling behind on amassing enough wealth for a long, comfortable retirement before the recession. But the recession’s combination of real estate and stock market depreciations made an already borderline retirement outlook tip into the “clearly unprepared” category for millions of boomers. The good news is that many baby boomers can recoup those lost retirement funds and be prepared for full retirement if they continue to work for an average of just two more years, according to the McKinsey report. That additional time in the workforce could cut in half the number of boomers who are unprepared for retirement from 62 percent to 31 percent. And it would simultaneously boost a U.S. economy projected to slow as baby boomers cut back their spending in retirement. The baby boomer generation’s delayed retirement should also help companies prepare for the “brain drain” of losing 79 million experienced executives, managers or technical workers who hold a lifetime of knowledge in their industries. The U.S. economy has relied on the experience, creativity and senior-level expertise of this generation for decades of economic growth. Having this population bubble of executives, CEOs, entrepreneurs and managers leave the workforce in a steady stream rather than a flood will help the U.S. economy train and promote a new generation of leaders. But then there are the boomers who are likely to not retire simply out of choice. According to a recent Gallup poll, 10 percent of baby boomers say they will never retire. Many of
these are the hyperactive, hard-working baby boomers who simply want to be much more engaged and active in retirement than generations past. Some wealthy boomers who could have retired decades ago will continue to work because that is what they love to do. Others will launch second careers, work part-time in nonprofits, or stay a couple years longer in their executive roles. This new mindset of contributing long into retirement years — whether in the workplace, charity, or other civic duties — may be the baby boomers’ final gift to the country they have helped redefine over the last six decades. John Solari is the managing partner of J.A. Solari & Partners. He has 25 years of accounting experience and is also a member of the American Institute of Certified Public Accountants and the Nevada Society of Certified Public Accountants.
Tax Prep 101 By John Solari | Business 2 Community – Wed, Feb 12, 2014 10:51 PM EST
Get Your Business Tax Records in Order. With the tax deadline quickly approaching, we’ve decided to provide you with some helpful tips on how to better prepare your business records for tax season. Ensuring your records are organized and complete ahead of time ensures that your taxes will be done more accurately and efficiently, resulting in your tax return being filed in a timely manner. The IRS requires businesses to keep adequate records for tax deductions. The best advice we can provide you with is to follow the KISS principle for record keeping; that is, Keep It Simple and Safe. Here are a few ways to help you keep your records in order! Stay Organized. Use a large container and inexpensive file folders to help stay organized throughout the year so you know where everything is. Limiting Your Categories. Start with the five major categories for a business — Assets, Liabilities, Income, Expenses and Owner’s Equity/Retained Earnings. Creating individual folders for income, expenses, bank statements and credit card receipts, travel, asset purchases, and outside services (independent contractors) allows you to keep track of your records in a more organized and accurate manner. Income and Receipts. Keep all deposit slips and be sure to note what customer the checks were from. Keep register tapes and credit card charge slips from customers. Keep invoices you have sent out. Purchases and Recurring Expenses. Keep all bank and credit card statements, canceled checks, and credit card slips or receipts from inperson purchases. Keep all invoices and other receipts and don’t forget to use petty cash slips so you can capture small cash expenditures. Also, for payments to vendors providing services, be sure to get a completed W-9 before you pay them. The IRS is becoming more strict on MISC-1099 filings and this ensures you’re not on the hook for potential penalties. Make Notes on Statements.
We highly suggest that you make notes on your bank statements and credit card receipts. If there is no detail available on deposits or receipts make a note of who the income came from and who the check was written to. Asset Paperwork. Any paperwork that shows proof of assets purchased during the year should be kept on file. All information about business assets, starting with the purchase price and including setup, delivery, and training should be recorded. Keep track of maintenance and other expenses for use of the asset and don’t forget to record accumulated depreciation. Travel Expenses. Whenever going on a business trip, make sure to capture all your travel paperwork for each trip. Keep a log of all travel by car; log every trip – when and where you went, who you saw and why. Keep receipts for all expenditures for air travel, lodging and meals. Emails. Any emails that are received relating to your finances, receipts, etc. should be kept in a separate folder for your records. Employment Taxes. Keep all employment tax records for at least four years. Hopefully these tips will point you in the right direction toward getting more organized and relieving stress when tax time rolls around both for you and your accountant. Â
Go Beyond Writing Checks This Year When Donating to Community Causes By John SolariJanuary 3, 2014 3:15 PM
The holidays are a time when many people whip out their checkbooks and give some of their hard-earned money to community causes. This giving spirit is alive and well in Reno, and the thousands of donations that support nonprofits, community organizations and charity are a big part of why Reno is such a great place to live. But I want to use this column space to advocate for a type of charitable giving that goes beyond a once-per-year check mail-out each December. The longer I have lived in the Reno community, the more I have appreciated the true hands-on community support of some of Northern Nevada’s great givers who have made Reno a better place because they not only donated money, but they donated their time as well. Think of the things you value in Reno, the things that make Northern Nevada a great place to live and raise a family: a clean Truckee River, the Nevada Discovery Museum, mountain bike trails, and homeless shelters and food banks that care for the community’s less fortunate. Behind every one of these vital community assets is a group of people who have taken time from their lives and invested that time into an effort that benefits us all. Whether it is volunteering for Keep Truckee Meadows Beautiful or business organizations like Nevada’s Center for Entrepreneurship and Technology, each hands-on volunteer hour has a ripple effect that multiplies the impact of a volunteer’s time. Think of the economic impact of a clean and attractive natural environment around Reno. Or think about how a small effort to make Reno more supportive of business ripples through the regional economy by increasing employment; boosting business for services like restaurants and office supplies; and increasing a tax base that bolsters the city’s ability to provide vital services.
Reno needs to continue to recruit a wide range of volunteers who bring their personal passion, new ideas and unique energy to the community. With this diversity of charitable visions, Reno will continue to build a well-balanced array of efforts that address what is important to the greater region. We have seen remarkable community spirit in Reno in the past year. The Biggest Little City movement’s energy and enthusiasm is changing how both residents and outsiders view Reno. That very visible effort is just the tip of the iceberg, shining a spotlight on the stories of volunteers and involved community members who work behind the scenes to build community. We can all find our own way to have positive impact on our community by keeping our momentum going. Let’s make 2014 a year of personal involvement in the causes we believe in. Let’s take the time to be a part of the caring, giving, vibrant community of people who call Northern Nevada home. Those volunteer hours will be paid back in friendships, quality of life, inspiration and a sense of pride in playing a part in shaping the future of our community.
By John Solari RENO, Nev. (J. A. Solari and Partners) -- There are hotbeds of venture capital and private equity funding, locations like Silicon Valley where funding washes around town in waves. And then there are markets like Nevada. The state has all the ingredients for a booming entrepreneurial economy -- close to the West Coast's largest population centers and international distribution channels, filled with affordable real estate, and featuring on of the most business-friendly tax structures in the nation. But often the thing holding Nevada companies back was the lack of deep-pocketed private capital funding sources. But instead of simply accepting its fate as a state that is a second- or third-tier choice for private equity and venture capital firms, Nevada got to work building home-grown private capital funding from scratch. The idea began as a common-sense way to solve two problems at once. The state's investment strategy for a $310 million fund that financed kindergarten through high school education had became mired in government bond-buying strategy that meant it was growing at a rate of one percent, and losing money to inflation. Nevada Treasurer Kate Marshall saw an opportunity to grow school fund revenue by putting $50 million of that money into private equity deals, and to support Nevada companies by mandating much of the money would go to companies located within the state. The move is part of a nation trend in public investment. State governments across the nation are finding value in in-state investment programs that both increase investment yields and keep investment close to home where it will grow the companies that pay taxes and employ workers within the state. While large states like New York and California have sizable in-state investing programs, it is places like Nevada, under-served private capital markets with strong potential for business growth, that are seeing the biggest benefits from the investment strategy. For Nevada, in the midst of retrofitting its economy from a gambling and mining past to a green energy and technology future, the investment strategy is paramount. The state commitment to invest within Nevada is attracting other capital partners who will co-invest in private equity deals that will finance the state's transformation.
But along the way, Nevada has been sure not to simply copy the models of other markets. The architects of Nevada's in-state investing program have realized that Nevada is unique, and have tailored the program so it specifically suites the state's needs. Because of Nevada's relatively small economy, the fund is industry agnostic, simply focusing on highgrowth companies that represent little risk. And the fund has focused on co-investing strategies that leverage its private equity investment as a minority portion of a larger funding commitment. The private equity momentum has already attracted world-class funding partners like Hamilton Lane and Providence Equity Partners, which is giving Nevada businesses more exposure to funding than they have had in the past. As well as the out-of-state funds being attracted to the state, Nevada-based private equity firms like DCA Capital Partners are continuing to seek out under-served industries and companies and partnering with them to fuel growth. "It is a catalyst. We shine a light on Nevada and we get the mid-tier companies to pay attention to what is here. These investments are in the sweet spot where it's an underserved area. We see it creating additional energy," said Mark Mathers, chief deputy treasurer for Nevada. As Nevada Treasurer Kate Marshall said in a recent conversation, "Capital follows capital." Meanwhile, the private equity investment is expected to have a compounding effect on the local economy. As the program injects funding into Nevada companies, business growth will increase employment and associated employment tax revenue as well as an impact on everything from the job market to commercial real estate and property tax revenue. Northern Nevada may never be Silicon Valley, awash in venture capital funding. But the state's leadership in investing some of its money into local companies is helping Nevada develop a robust source of funding for local economic growth. Nevada, in many ways, is a young economy coming of age. There are many growth opportunities as Nevada navigates its way toward a growing, vibrant economy. Now the state has a home-grown funding mechanism for economic development. And as Nevada business grows, the education fund will expand, and the state will lay the groundwork for a sustained economic recovery and a new, self-funded economic future. It's a public-private partnership that benefits private industry and public budgets. And it may be the catalyst for the creation of a new capital investment engine that will propel Nevada's economy for decades to come. This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.
RENO, Nev. (J. A. Solari and Partners) -- The headline was an economic coup. A massive Apple (AAPL) data center and $1 billion of investment from one of the world's most successful companies was coming to Reno. The city, a Northern Nevada community at the base of the Sierra Nevada mountains and minutes from Lake Tahoe, was working to reinvent itself in the face of a deep recession, a decline in gambling and large state budget deficits. The deal, inked last summer, was generally heralded as an infusion of new economic lifeblood into the Reno community, and a move that would put the growing Reno technology sector into hyperdrive. It promised jobs, construction activity, and an economic ripple effect that would benefit businesses throughout the community. But slowly the details of the deal became apparent. And those details were not as rosy. They underlined the precarious position that state and local governments are in when negotiating with the smartest, most successful and most powerful businesses on the planet, and how hard it is to calculate if what you are giving up is worth what you are getting. In all, Reno and Northern Nevada is estimated to have handed out $89 million in tax breaks to Apple for the data center. Apple's sales tax rates (one of Nevada's most important ways to generate income because the state has no income tax and no corporate tax) will stand at less than 1%. The school district waved its taxes on the data center. And Washoe County tax abatements wiped out approximately 85% of Apple's property taxes. In return for that $89 million, it is hard to put a finger on what Reno actually got. Data centers create little employment -- the 350-acre center is expected to employ only 35 full-time workers, but may provide work for up to 200 contract workers. The construction activity will certainly benefit the area, albeit in a relatively short window. And there will be a modest economic ripple effect. But many of Reno's citizens are left wondering: Is that worth $89 million? The Reno data center debate is an example of a new economic landscape where city and state governments compete ruthlessly to land the biggest companies in the nation, at the highest price to themselves. The competition is dramatically lowering the bar for tax revenue and public benefits that come with becoming the new home of Amazon (AMZN), Apple or Facebook's (FB) latest investment. Increasingly, local and state governments are paying for the privilege of having the world's top corporations set up shop in their city or state. Reno, for example, was competing directly with Prineville, Ore., a location with no sales tax, and within a local "enterprise zone" that exempts the data centers from property taxes. This undoubtedly increased the tax break price tag that the city and county agreed to give Apple.
This intra-city competition has generated a great disparity between the playing field that large, multinational companies enjoy, and rules that are applied to medium and small businesses already located in a community, or contemplating a move. Take Reno, for example. The area has many promising small- and medium-sized technology companies that employ more than 35 employees. None of them have the leverage to bargain for the deal that Apple received. Part of the debate over governmental decisions like the Apple data center deal is a simple question: What could we get if we spent that $89 million elsewhere? It's not a perfect comparison -- maybe if Apple had chosen Prineville instead of Reno, that 350 acres planned for a data center would have sat vacant. But even a fraction of that $89 million could go a long way in a Northern Nevada region where government officials are working hard to close deep local and state budget deficits. Conventional wisdom has dictated that local and state government should do whatever it takes to land the big names in business. But maybe it is time to rethink that strategy. Maybe, by not bending to the demands of the world's largest companies but instead investing in the growing regional businesses that are committed to contributing to the local schools, infrastructure and roads, local and state governments can take a stand for the businesses that offer more diversified employment and more community investment in local causes. As it stands, the current bidding war that offers up tens of millions of dollars of tax breaks -- especially in states like Nevada that already offer a very generous tax structure -- is a race to the bottom. There will always be a more desperate competing government out there that will be willing to outbid the low bidder, offering up millions in funding for local schools, local infrastructure or local roads in exchange for the dubious distinction of being home to a new project with few jobs and a modest economic ripple effect -- and one big headline. John Solari is managing partner at J.A. Solari & Partners in Reno, Nev. At the time of publication, the author held no positions in any of the stocks mentioned, although positions may change at any time. This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.
RENO, Nev. (KRNV & MyNews4.com) -- The biggest effects of the fiscal cliff legislation are the ones we won't see because they didn't happen. Taxpayers with incomes above $400,000 will see some significant changes, but most of us dodged a financial bullet. "Everything would've been the same through 2012, but then, guess what, we fall off the cliff," said John Solari, certified public accountant and managing partner of J.A. Solari and Partners. Solari says the American Taxpayer Relief Act of 2012 prevented that fall in most cases. "The middle-class tax payers that we hear so much about, their tax rates are effectively the same," Solari said. "The one thing they will see: their social security tax went up by 2 percent." While that can add up, it's not as bad as the 3 to 5 percent increase we could have seen. But households with more than $450,000 in income will see a jump. "Those rates went up to 39.6 percent," Solari said. "They were 35 percent." But overall Solari says it's a much better deal. "It's keeping more money in the economy and hopefully consumers will spend some of that money, they'll keep businesses going," Solari said. "There's a stimulus out there for companies to go buy equipment." From vehicles to machinery to technology, businesses can deduct equipment purchases up to a certain
amount. "It was $500,000. Now it's $600,000," Solari said. "It could have been zero." So businesses avoided a big hit, and so did people with estates between one and five million dollars who could've had to pay taxes on 55 percent of the value. "There's a lot of people out there who, if those laws would've changed, they would've had taxable estates and they wouldn't even know it," Solari said. Estate taxes did increase from 35 to 40 percent, but instead of dropping to one million the line stays at five. When you can file your income taxes is changing too. Now most people can file on or after January 30, but if you file certain forms like residential energy or business credits you'll have to wait until late February or March. For a full list of income tax forms that will be delayed, click here.
The holidays are both the season for giving and a time of year when your tax liabilities come into sharp focus. As you calculate your earnings and estimated taxes, December is a perfect time to consider philanthropy that can both benefit the community causes you support during the Christmas season, and also work in your favor when the April 15 tax day rolls around in 2013. With looming uncertainty in the tax code in future years, especially regarding tax deductions and capital gains tax rates, giving in 2012 when tax deductions are intact and tax rates are known, also can have its advantages. There are many ways to contribute to charities and non-profits. Each method has its own specific advantages and drawbacks. Your level of giving, your tax situation, and your desired time commitment will determine what form of charitable giving you choose this holiday season. Here is a quick look at six ways you can give this holiday season and what it might mean for your tax bill in 2013: • Cash contributions to qualified charities This is the simplest form of charitable giving. Simply write a check to the qualified charity of your choice and take the tax deduction for the charitable gift that comes along with your philanthropy. This makes sense for individuals who are giving modest gifts and do not want to deal with the hassle of lengthy paperwork or the complexity of setting up trusts or foundations. The tax benefits can still be significant. • Donation of appreciated property While donating property is more complex than giving cash, there are circumstances when property donation can be much more beneficial to both the charity and the donor than a straight cash donation. Property that has significantly appreciated will count for a tax deduction at the property’s appreciated value with a proper third-party appraisal. This provides a significant tax deduction for the donor, without requiring the payment of capital gains tax on the property’s appreciation. The charity benefits from a full, pre-capital-gains-tax donation and the donor gets a significant tax deduction that can offset other tax liabilities. Property can be a number of things: real estate, a vehicle or art work. Many charities also accept securities under similar circumstances. Check with your desired charity to see what property they accept as a donation and be prepared to work through a third-party appraisal to value any property donations. • Create and contribute to a private foundation Setting up and running a private foundation costs money and takes time, but it gives large donors a level of control and over donations that is unique. Large charitable donations to a private foundation can be counted in the current tax year, but can be controlled by the foundation for years to come. With the uncertainty over future tax rates and deductions, large donors should consider the tax benefits of making large private foundation contributions this year, even if the foundation’s donations will be metered out to qualified charitable organizations over several years. Private foundations are not a fit for all philanthropists. But large
John Solari of Solari & Sturmer Mar 8, 2012
Northern Nevada Business Weekly: Tell us a little about your company — its specialties, its history, the size of its staff. John Solari: We are a full-service accounting firm based in Reno. The thing that makes me most proud is our proactive role helping clients navigate through vital choices. Our specialties include real estate development, manufacturing, healthcare, aviation-related tax issues, and family wealth and estate planning. We also provide tax planning for businesses and individuals, financial statement audit and review services. Our staff of under 20 employees have developed sophisticated systems of accounting and financial planning and work to help our clients achieve success in their current and future financial programs. NNBW: What role do you play in the company? Solari: As the managing partner, I manage the resources within the office while meeting clients’ needs and developing new business opportunities for the firm. I also try and make sure we stay connected to our team members, clients and the community. NNBW: How did you get into this profession? Solari: My transformation into this profession began when I switched from an engineering major to an accounting major. Both are technical fields but I found I gravitated toward accounting because here I have the opportunity to build relationships with clients and enable them to solve important issues. There is nothing I enjoy more than finding a way to navigate a complex situation. NNBW: What is something no one knows about your job? Solari: Although, generically speaking, accountants may not have the reputation of being communicators, our business is as much a communication business as it is about the numbers and strategies. We get to deal with the best and the brightest of businesses — the owners and the visionaries. NNBW: If you could have had any other profession what would it have been? Why wasn’t it your first choice?
Solari: Professional cowboy. No need to explain. I made the right choice. NNBW: What do you like to do when you’re not working? Solari: Team roping, training for triathlons and downhill skiing with my two boys. NNBW: Have any advice for someone who wants to enter your profession? Solari: First, walk in the client’s shoes and see the world and company through their eyes. Always stay positive. Innovate and think proactively. NNBW: If you could have one superpower, what would it be and why would you want it? Solari: Maybe not a superpower but real close: coaching and mentoring skills of Lou Holtz, business acumen of Warren Buffet, athletic determination and endurance of Mark Allen, wit and philosophy of George Burns. NNBW: What’s the best advice anyone ever gave you? Solari: Don’t be afraid to make a decision and never take yourself too seriously. NNBW: What do you like most about your job? What do you like least? Solari: The things I like most about my job are getting to deal with people and solving issues. What I like least is making difficult decisions in unfavorable financial situations. We deal with highly personal information at times and do everything we can to get the best possible outcome from any situation for our clients. NNBW: What five words would most people use to describe you? Solari: Positive, energetic, social, hard working and active. The basics: Name: John Solari, CPA and managing partner with Solari and Sturmer How long have you been in this job? 20 years How long in the profession? 25 years Education: B. S. Accounting, University of Nevada, Reno Best book you’ve read? “The Inner Game of Tennis” What’s on your iPod? Country and rock The best movie ever? “Secretariat” Spouse, kids or pets? Two boys, Colby 19 and Casey 17, and four horses
Solari and Sturmer Announces New Firm Mar 8, 2012 (Reno, NV) – The northern Nevada based Certified Public Accounting Firm Solari and Sturmer announced today that the firm has changed its name to J.A. Solari & Partners. “We are excited to have a new name reflecting the growth of our company,” said John Solari, Chief Executive Officer and managing partner of J.A. Solari & Partners. “This is a great time for this change to occur. We are confident our new name will serve us well.” J.A. Solari & Partners is a full-service accountancy firm with principals practicing in northern Nevada for 25 years. They specialize in real estate development and construction, manufacturing, healthcare, family wealth and estate planning and other professional services.
Bill Saylor of Solari and Sturmer Passes Nevada CPA Exam Mar 8, 2012 (Reno, NV) - The Certified Public Accounting Firm of Solari and Sturmer announced today that Bill Saylor, a staff accountant, has passed the CPA exam in the State of Nevada. This is a significant step in Saylor’s progress toward becoming a licensed CPA. Saylor has more than 16 years of experience as a controller in the technology and construction industry. He has been with Solari and Sturmer since 2010. In his position, Saylor assists in the completion of client work including accounting and audit services. He also works to provide clients with consulting services and documenting internal control services to improve their company structure. Saylor earned a Bachelor of Science in accounting from the University of Nevada, Reno.
GM IPO Soaring, But GM as an Investment? Blech. - Deal Journal - WSJ
http://blogs.wsj.com/deals/2010/11/18/gm-ipo-soaring-but-gm-as-an-inve...
NOVEMBER 18, 2010, 12:26 PM ET
General Motors clearly isn’t having a tough time finding buyers — when it comes to its stock. Shares are up about 7% on its first trading day as a refurbished public company, and that’s after the offering was increased and the price raised. But not everyone is enthusiastic. Earlier, I wrote skeptically about the initial public offering in this Writing on the Wall column, and reached out to potential investors. Almost all contacted were less-than floored with the prospect of owning G.M.
Associated Press
Evan Kirkpatrick, a financial adviser in Seattle, said he’s not surprised with the early gains GM has made in the market today, but “with the government remaining a significant shareholder after the IPO, the uncertainty risk exceeds the potential gain for our clients,” he said. “I wouldn’t be surprised to see the hype surrounding the offering lead to high volume and potentially rapid gains, but we prefer more predictable”
investments. Perhaps not surprisingly, advisers in Michigan were less skeptical. David Aquilina, an adviser in Troy, Mich., said GM is really a “new company” and that there will be “tremendous drive to get it right” but cautions all bets are off if we get a double-dip recession. “The GM IPO is a long term hold, and that they will be an owner along with the U.S. government,” Aquilina said. “UAW and CAW, each with a vested interest in seeing the company do well.” Robert Barone, who heads Ancora West Advisors in Reno, Nevada, said much of GM’s problems have to do with a customer base “loaded” with debt. “GM is facing a saturated car market in an industry with loads of capacity,” Barone said. “There is a reasonable probability that they will still have trouble competing due to the high fixed costs involved in U.S. production. “Unless GM can reinvent itself, and become a low-cost manufacturer of quality vehicles at competitive prices, the IPO will more than likely turn out to be a poor investment over the next decade.” Bill Smead, manager of the Smead Value Fund, sees GM at the mercy of a bigger macroeconomic picture, one that doesn’t favor the remade car company. “Along with emerging markets and commodities, these cyclical companies show you it’s late in the party,” Smead said “In my time in the investment business, I have never seen such a ridiculous premium put on this kind of additional risk.”
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GM IPO Soaring, But GM as an Investment? Blech. - Deal Journal - WSJ
http://blogs.wsj.com/deals/2010/11/18/gm-ipo-soaring-but-gm-as-an-inve...
And even retail investors were cool to the offering. Becky Sturm, who owns a beauty shop in St. Paul, Minn., said she doesn’t want any part of “bailed out” companies and this extends to the products they buy as well. “I have purchased GM cars and trucks my entire life, but being a small business owner and witnessing the behavior during and the mismanagement of the companies that were bailed out by our government, I will never purchase or recommend another GM car in my lifetime.” Like Sturm, Elizabeth Cohee, an attorney in Oakland, Calif., isn’t recommending the products or the stock. “GM has shown that they believe themselves to be immune from adherence to the standard practices that provide even a modicum of protection to the average investor,” Cohee said. “A certain amount of trust is required when a company asks investors to finance their operations; GM has demonstrated that they are not worthy of that trust.”
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