Edmund Rucels, Director of Business Development, Gao RFID Inc. Will Discuss Advanced RFID Technology at the 2008 Financial Services Technology Forum

October 06, 2008 – Toronto, Canada – Edmund Rucels, Director of Business Development at GAO RFID Inc. will cover intelligent RFID technology widely used by a variety of financial enterprises at the 2008 Financial Services Technology Forum scheduled on October 28 & 29, 2008 at the Design Exchange in Toronto, Canada.

Ed is a senior technology executive. He has a combined 40 years of IT operations and RF sales and marketing experience. He was an executive with Canada’s leading telecommunications manufacturer where he directed data processing and global network strategy. Later, he was consultant to a number of technology startup companies. Prior to heading sales and marketing at GAORFID he was responsible for global market at Canada’s leading RF manufacturer where he directed international supply chain initiatives for the cold chain and seaports.

 

2008 Financial Services Technology Forum

The 2008 Financial Services Technology Forum focuses on new, cutting-edge enterprise applications and solutions that are sustainable, flexible, and increase profitability. This year’s event features over 30 interactive expositions and 20 engaging conference sessions presented to all corporate users, from service providers to small, medium and large businesses alike.

About WowGao Inc.

  

WowGao Inc. is an Event Management Company that organizes and manages internationally renowned conferences and expositions focusing on latest innovations and developments in Information Technology Industry since 2003. We have been honored with an award for our excellence. Our featured events are:

- 2008 Financial Services Technology Forum, October 28 & 29, 2008
- 2009 Government & Health Technologies Conference and Expo, April 28 & 29, 2009
- 2009 Wireless & Mobile Expo and Conference, June, 2009

- 2009 RFID Forum, June, 2009

For any media queries:

  October 06, 2008 – Toronto, Canada – Edmund Rucels, Director of Business Development at GAO RFID Inc. will cover intelligent RFID technology widely used by a variety of financial enterprises at the 2008 Financial Services Technology Forum scheduled on October 28 & 29, 2008 at the Design Exchange in Toronto, Canada.

Register now for your complimentary All-Access Pass.

Visit http://e-financial.wowgao.com/registration/multiple

Ed is a senior technology executive. He has a combined 40 years of IT operations and RF sales and marketing experience. He was an executive with Canada’s leading telecommunications manufacturer where he directed data processing and global network strategy. Later, he was consultant to a number of technology startup companies. Prior to heading sales and marketing at GAORFID he was responsible for global market at Canada’s leading RF manufacturer where he directed international supply chain initiatives for the cold chain and seaports.

 

2008 Financial Services Technology Forum

The 2008 Financial Services Technology Forum focuses on new, cutting-edge enterprise applications and solutions that are sustainable, flexible, and increase profitability. This year’s event features over 30 interactive expositions and 20 engaging conference sessions presented to all corporate users, from service providers to small, medium and large businesses alike.

  

About WowGao Inc.

  

WowGao Inc. is an Event Management Company that organizes and manages internationally renowned conferences and expositions focusing on latest innovations and developments in Information Technology Industry since 2003. We have been honored with an award for our excellence. Our featured events are:

- 2008 Financial Services Technology Forum, October 28 & 29, 2008
- 2009 Government & Health Technologies Conference and Expo, April 28 & 29, 2009
- 2009 Wireless & Mobile Expo and Conference, June, 2009

- 2009 RFID Forum, June, 2009

For any media queries:

  

Director of Marketing,

416-292-0038 ext 812

attendee@wowgao.com

 

Operating your own information technology business

Starting your own business is at the moment the favored choice for loads of people in the current fiscal climate as worthwhile jobs become harder to attain, however before you take your entire life savings and invest it in your own information technology business. What do you need to be aware of?

Having your own business means you are no longer the individual who takes the instructions (or shouldn’t be); by all means be a good boss pay attention to to your workers (if you have any), take note of their opinions and reflect upon the information they give to you. Now it’s your job as the boss to organize this understanding and put policy into action…”failing to plan is planning to fail.”

The fact about opening your own information technology business is not that you will be chasing the mighty dollar but that you might grasp the life you have continuously sought after. Of course, the cash is crucial; but to develop the business that creates the life you really yearn for is a momentous reward. Personal self-sufficiency runs hard cash near to being the main driver to becoming their own boss. Most lucrative information technology businesses are operated by those that don’t lose sleep in relation to how victorious they are as long as they do not have to labor for others.

However having lots of money in the bank is a relief.

For your own personal respect; picture the feeling you have compared to being in a mundane job or no job at all. It is a lot unproblematic to get out of bed at sunup knowing you are constructing a business for yourself and your family; your not doing it for your boss – who you might not even be fond of.

We live on a big planet; their are hundreds of information technology businesses – but they are not all identical; as a new entrepreneur it is your task to run your business the best way you see fit via your experiences you’ve derived in life so far.

Not many people begin their own business – most people do not have the gumption. The point is do you have it? Are you motivated to turn out well in business as well as in life?

Start-up your information technology business immediately!

Stop, Collaborate and Engage: Small Business Communication Tools for Entrepreneurs to Navigate the Social Media Seas

From smoke signals and carrier pigeons to smartphones and their ubiquitous apps, the way people interact across distances has drastically evolved. With each passing year, innovation appoints a new form of communication as revolutionary while decrying another form as passé.

During the past six months, you’ve probably learned what a “tweet” is and what it means to “friend” someone. Though both are interesting new forms of interaction, their applications to small business communication are less clear.

Twitter and Facebook are, at their most basic levels, additional channels aiding in small business communication. Like print or broadcast advertising, these social media initiatives allow a company to directly communicate with consumers. Though unlike advertising, these services allow for two-way communication where your audience – which includes customers, prospects, advocates, government entities and the general public – can respond. It is this engagement where many companies fall flat.

Kicking Off Your Social Media Initiatives

Simply setting up a Twitter handle and Facebook page does not plug you into the social media ether. Managing these accounts and consistently updating them is vital, so much so that many large companies are hiring full-time employees to man their social media initiatives. For entrepreneurs with limited time, there are many applications that can help you manage content for both services in one place, like Digsby (which has instant messaging integration as well), Brizzly or TweetDeck.

For entrepreneurs new to Twitter or other social media initiatives, the best approach is to do a few searches on words that are relevant to your business and try to find a handful of experts in your field to follow. Then, spend your first few days just “listening” to the conversation from these experts, resisting the urge to start singing the praises of your product or broadcasting your message. Once you get a feel for the kinds of things people talk about and how they do it on Twitter, start with the 2, 2, 2 rule. Post 2 original things, re-tweet two posts you find interesting or useful, and reply to two people about something they tweeted. This is a good way to be a valuable participant and to increase your “followers” number as people find the things you have to say to be useful.

For most entrepreneurs, a significant investment of time and resources strictly for social media initiatives is not feasible. Depending on a company’s level of commitment to increasing its small business communication efforts, social media may not be the right channel, right now. But, for those companies that can invest resources to examine the social media landscape, determine if it is right for their business and actively engage in dialogue, Twitter and Facebook can be powerful tools to grow their small business communication strategy.

Though Twitter and Facebook are good starting points, if these social media darlings are where your social media knowledge ends, you need to know about the many other small business communication technologies that allow entrepreneurs to interact with customers and engage prospects.

Oldies but goodies…

The social media landscape has significantly changed the face of small business communication, but it does not mean previous technologies have been rendered useless. “Old” technologies, such as e-mail newsletters, instant messaging and message boards are still active and can still increase productivity (and sales!). Many entrepreneurs already have a strong understanding of these technologies and have probably used them in the past. Consider dusting off that old e-mail newsletter you belong to – you know, the one you haven’t read in 2 years – or do a quick search of what message boards are out there. You may be reminded of and surprised at how useful these seemingly out-of-date services can be.

Some you’ve probably heard of, but may not know the full power of…

LinkedIn

LinkedIn has become the platform for business-focused social networking. By setting up a LinkedIn profile, users are able to post their work history and professional profiles for others to see. This tool presents opportunities for generating new business, reconnecting with old colleagues, and finding a job.

While many business users may have a LinkedIn profile, they may overlook the other small business communication tools LinkedIn provides. For example, LinkedIn Groups are a simple way to create an online forum where customers, prospects and industry insiders can exchange ideas. Similar to an e-mail newsletter, the Group allows invited LinkedIn users to interact with one another and for a company to communicate key messages. With some simple work on the front-end to get the group moving, an entrepreneur can then take a back-seat to let the patients run the asylum – while still maintaining his or her position as the group leader.

Wiki

A wiki (rhymes with tricky) is a website that allows users to edit the content that is posted on the page; the trick to wikis is ensuring the edits are accurate. Wikipedia, for example, is an editable online encyclopedia in which users can edit the content. The reason the information remains accurate is Wikipedia has designated individuals to monitor updates.

From a business perspective, a wiki is a great small business communication tool for companies with geographically distributed offices or teams. Users can post a document or other materials on an internal wiki and allow a group to review and edit the material in one place. Beyond the team collaboration, the wiki also helps with “version control,” a problem that occurs when some users do not have the most up-to-date version of a document. Microsoft’s SharePoint offers companies the ability to make internal wikis, as well as discussion boards.

Some small business communication tools you may not have heard of…

Yammer

Yammer is an enterprise microblogging service – think of it as Twitter for internal business communication. The service allows businesses to create their own internal communication channel and limit use to those who have a valid company e-mail address.

Yammer allows users to post questions, share news, ideas and documents, and post status updates to the entire group. This service allows short messages to be sent and for users to filter the messages they receive so they aren’t bombarded with information that is not relevant to them. Much like a wiki, Yammer allows distributed companies to communicate in a private community, only in shorter bursts.

Ning

Ning lets users create social networks around topics about which they are passionate. Do you love cheese? If so, you can create a cheese lovers community. Do you fear bunnies? Then you can connect with others who share your phobia. With Ning, you create the network that matches your life.

Why should an entrepreneur care about all these different social media initiatives? If your company produces gourmet cheese, that cheese lovers group is a new business goldmine. Are you a psychiatrist just out of med school looking to build a client base? The bunny-phobic network is a breeding ground for potential patients. Whether setting up a targeted social network or joining one already in existence, Ning can connect your business with others that share your unique passions.

What’s more, Ning has one of the more quantifiable ROI models of all social media. Ning’s premium service allows the administrator to run ads on its network (this service does require a fee, though). Not only could you run your own ads, you could potentially run ads from other members of your community, creating a quantifiable revenue stream from your network.

When it comes to social media initiatives, there is no magic bullet to grow your business. But there is a unique combination that is right for every entrepreneur. By balancing time and resources, and examining the social media habits of its customers and prospects, a business can develop a small business communication strategy that will accelerate growth.

History of Business Communications, from the Pigeon to Internet Faxing

Progress is an interesting thing, which is why various aspects of it are studied from such different perspectives as the arts, the sciences, politics and culture. Since business is a basic human activity, even when undertaken for dictators and despots in less-than-free settings, it reflects all the progress made in such areas as manufacturing, transportation and, perhaps most importantly, communications. One wag even suggested that a working definition of “capitalism” would be something like “what people do when they’re left alone,” so in countries with relative amounts of freedom compared to their neighbors will, in fact, become richer than those neighbors through the accumulation of new technologies and discoveries.

In the ancient world, the only source of capital sufficient enough to allow road building, geographic expansion, war and global trade was a country or region’s rulers. Regimes would change by following the lineage – the prince replaces the king when he dies, etc. – or through conquest. Those in charge would favor certain families, creating the various world aristocracies, and would also occasionally patronize artists, philosophers and scientists to fund literature, music, art and (occasionally) technological progress. It was, at best, a haphazard system. In the Middle Ages and into the centuries that saw the Enlightenment and the Age of Discovery, however, certain fundamental social changes occurred, particularly in the Western world, to bring about our modern life.

Businesspeople as leaders

Until the Protestant Reformation, the only source of power besides monarchs – meaning money, influence, the wherewithal to travel and extend influence — was the Catholic Church. In the first millennium AD, regional churchmen, Rome-based bureaucrats and the Pope all supported favored thinkers, artists and scientists. Of course, as the stories of Galileo and Copernicus ably demonstrate, one’s research results were likely to find skeptical reactions in an environment subject to thorough “thought control.” As the Reformation neared, however, a continent undergoing great political and intellectual ferment was ripe for an explosion in creativity. The freedoms that issued from the Reformation made this progress possible.

We find the first private businesspeople and the first attempts at creating legal entities that would outlive their founders in the years between 1500-1600. Guilds, partnerships and cooperative ventures began to form in the various Italian city-states, England, France Spain and, particularly, the Netherlands. Sometimes in league with governments, sometimes with the Church and, in a growing number of instances, among different combinations of private groups and individuals, true innovators and builders began to undertake an almost unlimited number of global explorations in search of opportunity. With travel came the need for improved communications, and it is from this point in history, the Age of Empire, that progress in this area came to be the province of business, rather than countries, monarchs and governments.

Faster, cheaper, better

In 1600, it took three months for a message to get from the Imperial Russian Court to whatever French palace the Gallic monarch was inhabiting. Written messages were physically transported, often by a single contingent of official persons, using horses, drawn carts and ocean-going vessels when needed. For several hundred years, during the world’s first flush of (comparative) economic freedom, these methods did not change a great deal, although the process was better managed all the time and shaved weeks off some routes. By the time of the famous, and short-lived, Pony Express in the United States, the same technology, the horse, was still in use. The American penchant for organization and management, however, increased the efficiency of the method, but it wouldn’t last long. A new age, of invention and technological progress, was at hand.

With the confluence of transportation and communications technologies in the 1830s to 1850s, the world shrank by huge amounts almost yearly. The railroads that first knit together the Eastern seaboard of the U.S. were soon connecting East to West across the huge North American expanse, while the application of electricity to language and communication resulted in the telegraph. Interestingly, it was private railroads and private communications firms that led the way, as the need to do business (and the promise of profits) continued to drive inventions, adaptations and continued progress in communications.

Into the present (and future)

The 20th century dawned with a huge dose of progress in a variety of areas. Automobiles were being perfected, powered flight was showing promise, the telephone was becoming a commodity item around the world and radio technology would draw people closer and closer yet. In every instance, businesspeople were at the forefront of the developments, as the profit motive has always supplied, and will continue to supply, a powerful incentive for invention and progress. The moral basis of capitalism, which is not widely publicized in the age of growing government entitlements, is that people who voluntarily do business together enjoy greater incentives for excellence and inventiveness that those who do so in bureaucratic positions and government sinecures.

The latter half of the 20th century saw the development of television, fax machines, computers and large-format displays and unprecedented progress in space travel, miniaturization, manufacturing and telecommunications. By filling customer needs, creating new products of value and risking their own capital on research and development, businesspeople took over from monarchs and governments the job of creating the future, of business communications and everything else. From clay tablets and passenger pigeons to the fax machine and cellphone, the history of business communications has paralleled human progress itself. Indeed, it moved from a nearby and parallel track onto the one, combined track of progress we all have our eyes on today. The difference is that, instead of pushing progress from behind, businesspeople are now out in front, coming up with all the Next Big Things and pulling the rest of the world, public and private, along behind.

Effect of Launching Symbol of Rupees on Computer Hardware Business

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The latest and a unique Indian Rupee Symbol denotes the sturdiness of the Indian Economy worldwide and its growth potential. It will enable the world to distinguish the Indian currency from others. It will be soon incorporated in various softwares and hardware items for commercial and mass use across the world.

About a couple of years may be needed for bringing the new Indian Rupee symbol into a wide commercial use in various keyboards and typewriters. The Deputy Chairman at the Planning Commission, Montek Singh Ahluwalia also mentioned the need of the Rupee symbol to be incorporated into computer keyboards as well as softwares and operating systems. This will enable its better day-to-day use even for international references and transactions with maximum ease.

The symbol is nice, keeps other currency symbols in mind and is easy to make even with hand. The only problem with this new symbol is bringing it into current usage on computers, laptops and typewriters. The hardware business, including the laptop dealers, seems dicey.

Whenever a user wants to use the symbol while working on a computer, it must be available without any difficulty. For clearing this obstacle out, the Rupee symbol will soon be at par with other currencies’ symbols such as Euro, US Dollar, British Pound and Japanese Yen. The Indian currency will soon be having a distinct identity worldwide.

This transformation in hardware and softwares is not as easy as it seems to be. Many common people will have to face the brunt of it. It is quite logical to notice that after the incorporation of the new symbol on keyboards, typewriters and other hardware items, people will have to replace their hardware items with the new ones that have a newer key for the symbol.

The near future for the various computer dealers laptop companies as well as dealers seems awry but if we consider the long run advantages, the dealers are at a favorable position. As an investment, the dealers may have to get rid of the old stock of the laptops and hardware items that do not contain the Rupee symbol. The financial loss can be immense for them undoubtedly.

If we see the attached opportunities with this, a fresh ray or rather beam of hope surrounds them. As the use and need of the Rupee symbol shows greater demand, the demands for appropriate and new symbol equipped hardware will be high too. There will a be a huge number of people who would want to replace their old hardware with the new ones that contain a new key.

With some manipulation of the current stocks without the INR symbol, the used computer dealers as well as laptop computer dealers can also make the best out of this forthcoming opportunity.

Technology Centric Approach to Business Processes Management

Fortune 500 companies invest heavily in IT and technology today. A good percentage of the IT investment is geared towards automating some repetitive or laborious business process. The idea is to improve efficiency by accelerating a particular business process through use of technology and perhaps use some enterprise software product for the same.

However before using technology to examine how things can be automated and accelerated it is first important to examine whether the advances in information technology and communication make the need for an existing business process unnecessary, irrelevant, redundant, or obsolete. This way a company’s resources can accordingly be better reorganized and used more effectively towards achieving the organization business objectives rather that spending that time and energy in automating unnecessary processes.

Thus we define Technological Process Engineering as using advancements in Information technology, communication and online networking to the fundamentally rethink and radically redesign business processes and their supporting IT products to achieve dramatic improvements in performance, such as cost, quality, service, and speed and most importantly achieve business objectives and customer satisfaction.

The challenge then is to identify how to re engineer business process and work things better by leveraging the advents in technology. The central idea is to be technology centric and business objectives centric versus being legacy centric and process centric. The developments in technology may obviate certain business processes but the habit and inertia of doing things a particular way limits managers to think within the box. Instead managers end up using technology to accelerated existing processes through IT, before evaluating whether technology can be used to replace a business process or have better value-added steps through technological process reengineering.

The first step is to examine what are the business objectives of the division and/or organization. Examine the organization mission statement and the value asset that the organization delivers. The key is to understand what are the business needs, rather than how it is currently being done

A Use Case Analysis supplemented by workflow diagrams and storyboard analysis is a great way to capture the existing business case. However the use cases at this point must be kept focused on what is needed and not how to accomplish that need.

Secondly examine what the customers want and what is their business need. The customers could be the end customers or for instance all the stakeholders within the value chain are in turn customers to each other.

Once everyone understands what the business needs are it is time to brainstorm existing technology tools and focus on the “how”.  This will allow one to think out of the box and apply technology solutions while understanding the core underlying business need. Think of what technological innovation will allow the business need to be met directly without the need of additional steps in between.

Also examine how some technology is currently being used by people outside the business world. This is a leading indicator that that technology can and will soon becomes part of the business world. For example email communication started off as being part of personal use however soon extended to business use. Similarly twitter and other social networking sites started of as platforms of personal use but have now become a way for businesses to connect with their clients and audience.

Thus this technology-centric process improvement focuses on ways and means to leverage the ever changing world of business technology and communication. It thinks about innovations in business process as a result of technology and technology is the “Pull” Driver instead of existing processes and habits limiting one’s imagination and forcing existing Business processes to drive the same. Tools and advanced in technology and communication can be applied towards meeting the customer objectives by examining if certain processes can be replaced with technology rather than adapting technology to automate existing process.

- article by Prashant Ram

Boost your Business With Information Technology Outsourcing!

Outsourcing is the process of getting a work done with the help of a third party resource. Outsourcing basically means allocation of various operations of a large company or organization to other companies situated in different parts of the world. It is mainly done for activities that are less important, monotonous, tedious or extremely expensive when performed onsite. Usually, activities like payroll processing, accounting, sales, distribution and computer programming are outsourced to other companies. The most important benefit of outsourcing is that it saves time and money.

Information Technology Outsourcing has become the order of the day. Many big IT companies outsource their hard-core activities to others in order to save time, effort and money. They believe that time spent on such laborious tasks can be utilized for creative pursuits which can boost business prospects.

Information Technology Outsourcing comes to mean outsourcing of IT-related services to other companies or service providers. It is widely prevalent in many companies in the developed countries. Information Technology Outsourcing can be used effectively in the instances where a company estimates that doing a particular job onsite may be more expensive than doing it offsite. Any company that considers outsourcing should conduct a comprehensive analysis of the existing business activities and outsource only when it is strategically viable to do so.

As a result of outsourcing, there are enormous opportunities for companies and working professionals. Especially, Information Technology Outsourcing has boosted the economy of many developing countries. Large companies in the IT field like Microsoft are outsourcing their business processes to offshore partners situated in countries like India, China etc. IT outsourcing is aimed at getting jobs done in the most cost-effective manner within quick turnaround times. Outsourcing promises peace and freedom to software companies as it paves way for more constructive and growth-oriented activities. It also helps companies to plan their work power in accordance with the tasks at hand.

Software companies benefit greatly from the outsourcing trend. Many companies outsource projects on software and web development to other companies. This helps them cut down on their production costs and enables them to get their work done within timeframes.

With the increasing number of online businesses, information technology outsourcing has become an essential thing for even small companies. Many projects can be placed on auction at certain websites. Professionals or companies bid on such projects and win them and work on them.

Information Technology Outsourcing offers several advantages. Big companies need not hire employees and waste money on headhunting resources. They also need not spend money on resource-welfare programmes or infrastructure expansions. Employee strength can be kept at the minimum level as there is no need to employ an expert every time there is a short-time project.

Outsourcing allows every new internet marketer to put up their business up to interesting levels. Information Technology Outsourcing also allows companies to manage and streamline their business prospects. When managed properly, IT outsourcing can be highly beneficial in terms of efficiency and cost-effectiveness. It can also turn disastrous if there is quality-lapse in the end-result of an outsourced project or work.

Healthcare Information Technology – Business Valuation

One of the most challenging aspects of selling a healthcare information technology company is coming up with a business valuation. Sometimes the valuations provided by the market (translation – a completed transaction) defy all logic. In other industry segments there are some pretty handy rules of thumb for valuation metrics. In one industry it may be 1 X Revenue, in another it could be 7.5 X EBITDA.

Since it is critical to our business to help our healthcare information technology clients maximize their business selling price, I have given this considerable thought. Why are some of these software company valuations so high? It is because of the profitability leverage of technology. A simple example is what is Microsoft’s incremental cost to produce the next copy of Office Professional? It is probably .20 for three CD’s and 80 cents for packaging. Let’s say the license cost is 0. The gross margin is north of 99%. That does not happen in manufacturing or services or retail or most other industries.

One problem in selling a small healthcare technology company is that they do not have any of the brand name, distribution, or standards leverage that the big companies possess. So, on their own, they cannot create this profitability leverage. The acquiring company, however, does not want to compensate the small seller for the post acquisition results that are directly attributable to the buyer’s market presence. This is what we refer to as the valuation gap.

What we attempt to do is to help the buyer justify paying a much higher price than a pre-acquisition financial valuation of the target company. In other words, we want to get strategic value for our seller. Below are the factors that we use in our analysis:

1. Cost for the buyer to write the code internally – Many years ago, Barry Boehm, in his book, Software Engineering Economics, developed a constructive cost model for projecting the programming costs for writing computer code. He called it the COCOMO model. It was quite detailed and complex, but I have boiled it down and simplified it for our purposes. We have the advantage of estimating the “projects” retrospectively because we already know the number of lines of code comprising our client’s products. In general terms he projected that it takes 3.6 person months to write one thousand SLOC (source lines of code). So if you looked at a senior software engineer at a ,000 fully loaded compensation package writing a program with 15,000 SLOC, your calculation is as follows – 15 X 3.6 = 54 person months X ,800 per month = 3,200 divided by 15,000 = .88/SLOC.

Before you guys with 1,000,000 million lines of code get too excited about your .88 million business value, there are several caveats. Unfortunately the market does not care and will not pay for what it cost you to develop your product. Secondly, this information is designed to help us understand what it might cost the buyer to develop it internally so that he starts his own build versus buy analysis. Thirdly, we have to apply discounts to this analysis if the software is three generations old legacy code, for example. In that case, it is discounted by 90%. You are no longer a technology sale with high profitability leverage. They are essentially acquiring your customer base and the valuation will not be that exciting.

If, however, your application is a brand new application that has legs, start sizing your yacht. Examples of this might be a click fraud application, Pay Pal, or Internet Telephony. The second high value platform would be where your software technology “leap frogs” a popular legacy application. An example of this is when we sold a company that had completely rewritten their legacy management platform in Microsoft .Net. They leap frogged the dominant player in that space that was supporting multiple second generation solutions. Our client became a compelling strategic acquisition. Fast forward one year and I hear the acquirer is selling one of these 0,000 systems per week. Now that’s leverage!

2. Most acquirers could write the code themselves, but we suggest they analyze the cost of their time to market delay. Believe me, with first mover advantage from a competitor or, worse, customer defections, there is a very real cost of not having your product today. We were able to convince one buyer that they would be able to justify our seller’s entire purchase price based on the number of client defections their acquisition would prevent. As it turned out, the buyer had a huge install base and through multiple prior acquisitions was maintaining six disparate software platforms to deliver essentially the same functionality.

This was very expensive to maintain and they passed those costs on to their disgruntled install base. The buyer had been promising upgrades for a few years, but nothing was delivered. Customers were beginning to sign on with their major competitor. Our pitch to the buyer was to make this acquisition, demonstrate to your client base that you are really providing an upgrade path and give notice of support withdrawal for 4 or 5 of the other platforms. The acquisition was completed and, even though their customers that were contemplating leaving did not immediately upgrade, they did not defect either. Apparently the devil that you know is better than the devil you don’t in the world of healthcare information technology.

3. Another arrow in our valuation driving quiver for our sellers is we restate historical financials using the pricing power of the brand name acquirer. We had one client that was a small healthcare IT company that had developed a fine piece of software that compared favorably with a large, publicly traded company’s solution. Our product had the same functionality, ease of use, and open systems platform, but there was one very important difference. The end-user customer’s perception of risk was far greater with the little IT company that could be “out of business tomorrow.” We were literally able to double the financial performance of our client on paper and present a compelling argument to the big company buyer that those economics would be immediately available to him post acquisition. It certainly was not GAP Accounting, but it was effective as a tool to drive transaction value.

4. Financials are important so we have to acknowledge this aspect of buyer valuation as well. We generally like to build in a baseline value (before we start adding the strategic value components) of 2 X contractually recurring revenue during the current year. So, for example, if the company has monthly maintenance contracts of 0,000 times 12 months = .2 million X 2 = .4 million as a baseline company value component. Another component we add is for any contracts that extend beyond one year. We take an estimate of the gross margin produced in the firm contract years beyond year one and assign a 5 X multiple to that and discount it to present value.

Let’s use an example where they had 4 years remaining on a services contract and the last 3 years were 0,000 per year in revenue with approximately 50% gross margin. We would take the final tree years of 0,000 annual gross margin and present value it at a 5% discount rate resulting in 5,616. This would be added to the earlier 2 X recurring year 1 revenue from above. Again, this financial analysis is to establish a baseline, before we pile on the strategic value components.

5. We try to assign values for miscellaneous assets that the seller is providing to the buyer. Don’t overlook the strategic value of Blue Chip Accounts. Those accounts become a platform for the buyer’s entire product suite being sold post acquisition into an “installed account.” It is far easier to sell add-on applications and products into an existing account than it is to open up that new account. These strategic accounts can have huge value to a buyer.

6. Finally, we use a customer acquisition cost model to drive value in the eyes of a potential buyer. Let’s say that your sales person at 100% of Quota earns total salary and commissions of 5,000 and sells 5 net new accounts. That would mean that your base customer acquisition cost per account was ,000. Add a
20% company overhead for the 85 accounts, for example, and the company value, using this methodology would be ,550,000.

7. Our final valuation component is what we call the defensive factor. This is very real in the healthcare information technology arena. What is the value to a large firm of preventing his competitor from acquiring your technology and improving their competitive position in the marketplace. One of our clients had an outcomes database and nurse staffing software algorithm. The owner was the recognized expert in this area and had industry credibility. This was a small add on application to two large industry players’ integrated hospital applications suite. This module was viewed as providing a slight features advantage to the company that could integrate it with their main systems. The selling price for one of these major software systems to a hospital chain was often more than million. The value paid for our client was determined, not by the financial performance of our client, but by the competitive edge they could provide post acquisition. Our client did very well on her company sale.

After reading this you may be saying to yourself, come on, this is a little far fetched. These components do have real value, but that value is open to a broad interpretation by the marketplace. We are attempting to assign metrics to a very subjective set of components. The buyers are smart, and experienced in the M&A process and quite frankly, they try to deflect these artistic approaches to driving up their financial outlay. The best leverage point we have is that those buyers know that we are presenting the same analysis to their competitors and they don’t know which component or components of value that we have presented will resonate with their competition. In the final analysis, we are just trying to provide the buyers some reasonable explanation for their board of directors to justify paying 8 X revenues for an acquisition.

Business Information Technology Consulting

Information technology ponders on giving an opinion on the businesses regarding the matter of using the information technology to the best in the direction to meet the goals of a business. Besides endowing them with the advice, IT consultancies time and again set-out, apply and manage an IT system in the interest of a business.

Business firms are in the rut of depression for placing the suitable member of staffs to deal with the diminish deadlines, irregular truck-load of work, to decipher to ensure that unique skills are going with the new product and service opportunities, and to hit upon the solutions for managing the intricacy of a workforce. Hence, for this reason, there are various business information technology consulting firms for these solutions. These are –

Professional services firms – This term was by and large used to give an account of those firms which are running within the officially regulated professions but it is more often used to cover the firms, such as of — advertising agencies, management consultancies and the investment banks.

These firms maintain a large professional staffs and have an authority on a lofty bill rates as well. These firms are furnishing their employees from the cut-rate nations. And by pertaining to a professional technical knowledge, these firm sort-out the clients’ problems in an amicable manner.

Staffing firms – It places the technologists in a business for a short-span of time. IT staffing firm looks to balance the requirements of both, of the IT Consultant and of the Hiring Manager while maintaining the margin of reasonable gross profit. And IT staffing firm which are booming and flourishing well, will identify the enduring and long-lasting relationship rather than paying a heed to gain on a fleeting basis.

Independent consultants – An Independent consultant are rarely employed on the way to solve a clearly-delineated problem and not for executing a major fraction of a plan. An independent consultant are not engaged by the University, these consultants provides professional or technical advice to the University. The University does not consider either the manner of performance or either the consequence of their services.

Internet Make Marketing Money Strategy – Write and Market Short Reports to Build Your Online Business Quickly

Internet Make Marketing Money Strategy

I have now written about 10 short reports, and I will tell that they have generated lots of income for me since I first got started with this in 2006. My most popular ones are my short reports on membership sites, affiliate marketing, and how to get started with an online business. You can learn how to write your own profit generating reports in less time than you might think.

You can decide whether to give away or sell the reports you write. I prefer to give mine away for a few different reasons. The main reason is that many more people will be able to read my reports if I make them available at no cost. These readers are also more likely to give them away to others who they know. The result is that my short report ends up in the hands of people who would otherwise never have connected with me. That is the beginning of viral marketing, especially if what you write in your report is considered good enough to share.

Keep in mind that you will want to focus on a narrow topic in your report. Instead of writing about an overall general topic, keep it niched down so that it is more specific. This will establish your credibility as a specialist in this area, and make both you and your information more sought after in the marketplace. Internet Make Marketing Money Strategy

Include some affiliate links in your report, and make sure they are appropriate to what you are writing about. This is one way that you will earn income from your writing for years to come. No more than one affiliate link per page is a good rule of thumb with this.

Also be sure that your contact information is on each page. Imagine someone printing out your report and giving it to a friend. Then, imagine that person dropping it on the floor and picking up a few pages later on, maybe even months from now. If they do not have your name, website, and other information, they will never be able to connect with you. This is simple enough to include in your footer and header.

Do the research you need in order to include as much valuable information as possible in your short report. Most of mine tend to be about ten pages long, but yours should only be as long as is necessary to provide the information your prospect would need to understand your topic. I encourage you to make a schedule for yourself so that you can create one new report each month. Decide how you will market it and see how quickly your business will grow. Internet Make Marketing Money Strategy