Marketing: Obvious false statements just doesn’t help!

Marketing ShysterMarketing

I just received this email… and it made me chuckle….

 

From: Eric Johnson <ejohnson@usbfund.com>

Subject: * SBA.NET.WEB approved at 3.75%

Good morning Wayne!

Just wanted to follow-up on our conversation that we had last November 11th, in regards to  SBA.NET.WEB’s new projects. We ran a D&B analysis and you scored 76 out of 80 which places you at the top tier in your industry. We still have  SBA.NET.WEB approved for a line of credit at 3.75% with access to funds for at least $324,646.00. These funds can be used for unsecured working capital lines of credit or new and used equipment purchases.

Call anytime to confirm exact numbers for your funds or simply click here to get a free quote.

My Best,

Eric Johnson
President of Financial Services

(949) 390-5411 Office
(949) 242-2697 Fax
ejohnson@usbfund.com

“This communication is confidential and may be legally privileged. If you are not the intended recipient, (i) please do not read or disclose to others, (ii) please notify the sender by reply mail, and (iii) please delete this communication from your system. Failure to follow this process may be unlawful. Thank you for your cooperation.”

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Our address is 1 MacArthur Pl #350, Santa Ana, CA 92707If you do not wish toreceive future email, click here.

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For a CFO, How Important Is Industry Knowledge?

Just quoted in CFO Magazine.

 

CFO Magazine

In our Proformative question of the week, Wayne Spivak, president and CFO at SBAConsulting.com, writes:

How important is industry knowledge to the CFO? My thesis is that all businesses are about 90% the same. They all have cash-flow issues, budgeting, products and/or services, ownership (of some type), taxes, and compliance issues.

Yes, depending on the industry, sector or sub-sector there are differences (about 5%-8%), but CFOs as smart, energetic individuals can solve those issues by either a) learning them or b) using subject matter experts (which they will need regardless, since one can’t be a CFO and a SME on all subjects).

The last 2%-5% is company culture.

So, how important is industry knowledge to the CFO?

Answering the question, one consultant says while many skills are transferable across industries, the 90% level Wayne refers to above is likely lower.

Engineer in nuclear power station“There are many new-age industries emerging — high tech, data-driven service companies, a move to subscription revenue models, etc., that have nuances that not everyone has encountered in their careers,” says the consultant. “So in some cases I can see that the 90% level of commonality could be as low as 50% to 60%.”

Indeed, other respondents seem to think that industry knowledge is an imperative.

One European finance executive writes: “You don’t have to have it to begin with and you can certainly make improvements to a company’s bottom-line from a purely financial perspective; however, if you want to provide strategic business support to the CEO you better show you understand the industry.”

Agreeing, another finance executive says, “You cannot make the best decisions on numbers alone.”

But is industry knowledge really the expertise that the CFO needs to be a strategic partner to the CEO? A CFO responding to the post questions the premise:

“There is a propensity to conflate industry and business model,” he writes. [In my opinion], what is important is to understand the business model. Industry knowledge is much more constraining for the company and business models are easier to change or refine.”

He then provides an example: “In the SaaS world … where subscription models/contracts vary widely, [a CFO’s] revenue recognition knowledge from a different company may be useless to the new company.”

To see the responses to the question in depth or to add your own perspective to the conversation, go to the discussion on the Proformative website (registration required).

To find the CFO Magazine Article:

 http://ww2.cfo.com/strategy/2017/07/cfo-important-industry-knowledge/

Cyber Insurance: take your time and investigate

Cyber InsuranceCyber Insurance

Last month we discussed the fact that YOU WILL be hacked at some time in future (even if you have already been victimized).  We shared some tips that can help mitigate the damage.  In this month’s newsletter, we want to talk about Cyber Insurance.

Like any insurance policy, it is extremely important to understand what you are buying, and what the insurance company is covering.  More importantly, you need to spot what “gotcha’s” or “trapdoors” the insurance company has placed in the contract.

Deloitte recently penned an article about Cyber Insurance.   “Many corporate buyers appear to be losing sleep over the lack of clarity and certainty in cyber insurance coverage…”  Never have words been so prophetic.

At issue are the uncertainty of cyber risks.  Offset by the fact that cyber insurance is the next big money maker for the insurance industry.  Add to that mix the fact that “Standard property and casualty coverages—including directors and officers, professional liability and business interruption—are often “silent” on cyber risks, not explicitly stating whether or not policyholders are insured for such emerging risks.” Continue reading »

Social Media Mistakes can be Costly

Social Media LiesPeople just don’t get it.

This is a story of a Social Media Lie.  And if you are reading this blog entry, there mistake has cost them.  I’m sure you will have a negative impression of those companies involved in this blunder.

I received an email on Thursday, 7/6 from a guy named Ryan at Heliumsocial.com.

The first four words of the email was a lie: “I tried calling you”. I mean really, you didn’t think I’d check my voice mails? And if you called and didn’t leave a message, you didn’t call.

The company that was being pitched was Boxxeo. Hmmm, two different companies. So who actually sent the email, HelimumSocial or the CEO of Boxxeo who signed the email?

I tried calling the number listed for the CEO and got some guy who wasn’t the CEO of Boxxeo. This gentleman didn’t quite get the point that you can’t get business or start a new relationship with a lie.

Social Media Consequence

Moral – don’t do business with Heliumsocial.com or Boxxeo.com.

You’re in the C-Suite; what would you do now that the event has happened? What advice would you give both companies and how do you save your reputation?

Maybe they should have used SBA * Consulting, as we can provide outsourced Marketing advice…

Planning tips to relieve the angst

Planning Angst

Planning is not easy

SBA * Consulting is currently working with a start-up company.  The CEO and COO are actually old hands in the industry. But nevertheless, this is a start-up and we are starting from scratch.  We are planning for everything since nothing has been created.

There is no Chart of Accounts, no logo, no policies on returns, and no warehouse yet.  We have a product line, but no branding.  We haven’t decided on the office layout and the buildout hasn’t even started.

Let’s not even talk about the website and the e-commerce solution or any other part of the information technology schema.  We are a start-up.

In out project management outline, we have approximately 150 different items to discuss.  Some are “now” items; others are next month and next quarter.  However, all are important and need to be addressed. Continue reading »