Skip to main content

Asset Management

Technology asset management (TAM) involves the systematic process of managing and optimizing the lifecycle of technology assets within an organization. Here are key steps and best practices to effectively manage technology assets:

  • Inventory Creation: Start by creating a detailed inventory of all technology assets, including hardware, software, and network assets. This includes recording details such as purchase date, cost, and vendor information.

  • Lifecycle Management: Apply processes across all lifecycle stages to understand the total cost of ownership and optimize asset usage. This includes planning, procurement, deployment, maintenance, and retirement of assets.

  • Cost Optimization: Use TAM to cut unnecessary asset purchases and make the best use of current resources. This helps in reducing software licensing and support costs, eliminating waste, and improving efficiency.

  • Compliance and Risk Management: Ensure compliance with cybersecurity policies and regulatory requirements. Effective TAM helps in managing risks by providing accurate information about assets, which is crucial for incident, problem, and change management.

  • Centralized Data Repository: Implement a centralized data repository that allows all stakeholders to access the same data and insights. This enhances collaboration and decision-making.

  • Automation and Software Tools: Utilize IT asset management (ITAM) software to automate and streamline the management process. These tools can detect, record, and make data available for all assets.

  • Regular Audits: Perform frequent audits of asset management by reviewing and updating existing assets based on a schedule. This ensures that all assets are accounted for and up-to-date.

  • Mobile Asset Management: Use mobile devices to scan and sync with the centralized asset database, enabling on-the-go management and reducing errors.

  • Depreciation Tracking: Track depreciation accurately to avoid overpaying for assets through insurance or taxes. Proper asset management systems will alert you when assets reach the end of their useful life or require maintenance.

  • Employee Training: Educate employees on the importance of asset management and how to use the system effectively. This reduces human error and ensures that all assets are managed properly.

By following these steps and best practices, organizations can maximize the value of their technology assets, improve decision-making capabilities, and reduce risks associated with asset mismanagement.

How to Separate Assets from Day One ⚖️​

The legal distinction between your personal and business assets is a fundamental part of the LLC structure that you establish from day one, regardless of your operating revenue. Here's why you can and should maintain that separation now, even if your business is small and your LLC address is your home. You don't need significant revenue or a separate office to maintain this distinction. Here are the simple, mandatory steps you should take now to protect yourself:

  • Open a Separate Bank Account: This is the most crucial step. All business income and expenses must go through a dedicated business bank account. You should never mix business and personal funds.
  • Get a Business Credit Card: Just like the bank account, all business purchases should be made with a business credit card to avoid commingling funds.
  • Obtain an EIN: An Employer Identification Number (EIN) is like a Social Security number for your business. It allows you to open a business bank account and keeps your personal SSN off most business documents, adding another layer of separation.
  • Keep Meticulous Records: Maintain clear records of all business income and expenses. This is essential for both taxes and for proving in court that you've been treating your LLC as a separate entity.
  • Establish a Paper Trail: Even if your address is your home, you can show a clear distinction. For example, all your client contracts, invoices, and letterheads should use your LLC name and address. If you pay yourself a salary, even a small one, transfer it from the business account to your personal account and record it.

These steps aren't just for tax purposes; they are the fundamental legal requirements for preserving the liability protection an LLC is meant to provide. Your operating revenue and the value of your assets have no bearing on your responsibility to follow these "corporate formalities."