Monday, February 27, 2012
Entrepreneurs Mistakes
There are always two choices. Two paths to take. One is easy. And its only reward is that it's easy." - Author unknown
By definition, as entrepreneurs, we try to achieve a lot of tasks with limited resources. And as a result, it is often imperative that we seek the easiest ways to achieve these tasks.
Is that so bad? As the quote implies, it would be. However, a critical distinction must be made between the words "easy" and "easier."
In general, "easy" is not good. If something is easy, than anyone can do it (including your competitors) and you gain no competitive advantage. Unless, that is, there is an advantage to doing something first. Or, if you don't need competitive advantage in that area (e.g., using a website that makes it easy to find a local cleaning company for your business would be an example of this).
On the other hand, accomplishing something in a way that is "easier" than your competitors does give you a real advantage.
And there are three core ways you can accomplish tasks easier:
1) Planning. When entrepreneurs rush to accomplish tasks, they often make mistakes, don't perform as well, and take longer to achieve the desired outcomes. Conversely, with a bit of planning before starting key tasks, you will complete them faster and with better results.
For example, if you were driving somewhere for the first time, spending 5 minutes planning the trip (printing out directions for example) would clearly save you multiples of that 5 minutes in driving time had you not done it. Or preparing a grocery list before going shopping always saves you time and ensures that you get all the items you need. The same is true for virtually ever business project you undertake.
2) Getting better information. By getting expert information, you leverage the wisdom of others who have already accomplished what you seek to do. For example, if your goal is to drive one million visitors to your website, clearly you could achieve this better and faster by following the blueprint of someone who has done this before.
This is why I have created so many information products. For example, if you're trying to raise venture capital for the first time with limited knowledge of how to raise venture capital, your chances of success are pretty much zero.
Now, if you follow my http://www.mbnpaymentsystems.com/sba.php are your chances of success 100%? Definitely not. But this product gives you all the lessons and steps gained from my expertise raising venture capital for numerous clients. So, not only do your chances of success skyrocket, but you save countless hours and avoid embarrassing mistakes.
By definition, as entrepreneurs, we try to achieve a lot of tasks with limited resources. And as a result, it is often imperative that we seek the easiest ways to achieve these tasks.
Is that so bad? As the quote implies, it would be. However, a critical distinction must be made between the words "easy" and "easier."
In general, "easy" is not good. If something is easy, than anyone can do it (including your competitors) and you gain no competitive advantage. Unless, that is, there is an advantage to doing something first. Or, if you don't need competitive advantage in that area (e.g., using a website that makes it easy to find a local cleaning company for your business would be an example of this).
On the other hand, accomplishing something in a way that is "easier" than your competitors does give you a real advantage.
And there are three core ways you can accomplish tasks easier:
1) Planning. When entrepreneurs rush to accomplish tasks, they often make mistakes, don't perform as well, and take longer to achieve the desired outcomes. Conversely, with a bit of planning before starting key tasks, you will complete them faster and with better results.
For example, if you were driving somewhere for the first time, spending 5 minutes planning the trip (printing out directions for example) would clearly save you multiples of that 5 minutes in driving time had you not done it. Or preparing a grocery list before going shopping always saves you time and ensures that you get all the items you need. The same is true for virtually ever business project you undertake.
2) Getting better information. By getting expert information, you leverage the wisdom of others who have already accomplished what you seek to do. For example, if your goal is to drive one million visitors to your website, clearly you could achieve this better and faster by following the blueprint of someone who has done this before.
This is why I have created so many information products. For example, if you're trying to raise venture capital for the first time with limited knowledge of how to raise venture capital, your chances of success are pretty much zero.
Now, if you follow my http://www.mbnpaymentsystems.com/sba.php are your chances of success 100%? Definitely not. But this product gives you all the lessons and steps gained from my expertise raising venture capital for numerous clients. So, not only do your chances of success skyrocket, but you save countless hours and avoid embarrassing mistakes.
So, always seek out the best expert information before embarking on a key project.
3) Using the right tools. I often get frustrated when doing home improvement projects without the proper tools. It always takes much longer and the results are never as good. The same is true in our businesses. The right tools allow you to boost your productivity and achieve more results in less time. For example, I use Basecamp to better communicate and share information with my team. And we use QuickBooks to streamline our accounting. And so on.
Particularly with tasks that need to be completed on an ongoing basis (e.g., invoicing clients), it's always a good investment to find and use the best tools.
It's your willingness and ability to accomplish the hard that makes you a successful entrepreneur. Never take the easy road. But when you're on the challenging entrepreneurial path, constantly seek to find the easier ways to accomplish tasks. For this will allow you to accomplish tasks faster and with less resources, and gain lasting competitive advantage.
And remember, success isn't easy, but it can be made easier, and it's worth it.
Saturday, February 25, 2012
Arizona Policy
Arizona is one of several states working to provide conscience protections in light of President Barack Obama's mandate forcing insurance companies to provide free contraception, regardless of the religious views of the person or institution they sell insurance to.
Deborah Sheasby is legal counsel for the Center for Arizona Policy.
"We had a mandate that put an obligation on religious employers to provide certain insurance coverage regardless of whether they had a religious objection to doing so," says Sheasby. "And this has been in the national press recently with what the Obama administration has been doing with its rules under the new ObamaCare program in requiring employers to provide certain coverage that violates their religious beliefs."
The Center for Arizona Policy worked with the Alliance Defense Fund in preparing legislation to remove that provision from current state law.
"We clarified that religious employers are protected from having to provide coverage and being compelled by the government to provide insurance coverage for services that they disagree with -- things like abortion, sterilization, contraception," comments the spokeswoman. "And regardless of how you feel about those particular services, there's no reason why a religious employer should be forced to pay for them or provide coverage for them."
Sheasby is hopeful there will be more progress in terms of getting rid of the requirement on a federal level.
Idaho and Missouri lawmakers are also considering proposals to make sure there are conscience protections
"We had a mandate that put an obligation on religious employers to provide certain insurance coverage regardless of whether they had a religious objection to doing so," says Sheasby. "And this has been in the national press recently with what the Obama administration has been doing with its rules under the new ObamaCare program in requiring employers to provide certain coverage that violates their religious beliefs."
The Center for Arizona Policy worked with the Alliance Defense Fund in preparing legislation to remove that provision from current state law.
"We clarified that religious employers are protected from having to provide coverage and being compelled by the government to provide insurance coverage for services that they disagree with -- things like abortion, sterilization, contraception," comments the spokeswoman. "And regardless of how you feel about those particular services, there's no reason why a religious employer should be forced to pay for them or provide coverage for them."Sheasby is hopeful there will be more progress in terms of getting rid of the requirement on a federal level.
Idaho and Missouri lawmakers are also considering proposals to make sure there are conscience protections
MBN Payment Systems: OUR DAILY INSIGETS
MBN Payment Systems: OUR DAILY INSIGETS: Our mind is in a constant dialogue with itself, sending out messages that will create our living experience according to our present pe...
OUR DAILY INSIGETS
Our mind is in a constant dialogue with itself, sending out messages that will create our living experience according to our present perceptions. This mental chatter is our consciousness deciding whether or not we should have this or that, whether to run to or from, whether to think this or that, and what we are going to do next.
Our brain is incessantly working, the complex organic electric signals generated by our inner self, even when we are dreaming. What we perceive now as true and good for us, is instantly converted into a powerful energy. This force will support all actions, people and experiences, for what we think, at this very moment in time, are our personal needs or desires. And le voilà, we sent out our message into the cosmos. These thoughts are a powerful energy that will seek out and connect us with a similar, complementary twin force. This is what we call The Law of Attraction.
Did you ever stop to think about all the people, incidents and experiences that have come into your life? People come into your life for "a reason, a season and a lifetime", says the old prayer. But, why? This doesn't happen by sheer coincidence. In this instance, you have to look beyond the Law of Attraction for the reason. Someone is in your life because you have expressed, either consciously or subconsciously to yourself, a need or a wish.
In our ever-evolving society, even the most timid, reserved or reclusive person has someone or something connecting with him or her every day. Whether it is by telephone, Internet, fax, or direct contact, people are coming into our lives, creating for us a new living experience every moment, every day. With these connections, we are constantly creating and recreating our own reality with every thought and action we take. This is how the Law of Attraction works.
Be very careful here and pay good attention to your thoughts-this power doesn't discriminate. It will bring to you exactly what you had in mind then, be it good or bad. The Law of Attraction will bring everything you wish for into your life. Just for you, a vast supply of the most incredible gifts are stored there, in the "warehouse" of the universe. Good and bad, heaven and hell, neatly stored for you to choose from and take home.
The perception you have of yourself, be it conscious or unconscious, is the guide and the road map with which this universal force will match up and populate your life. Just remember, this reality will change every time you change your perceptions, as will the world around you. For some people this principle is somehow frightening! They are usually people who are not even aware that their perceptions are of the negative kind. Life for them looks like a lovely movie going bad all of a sudden. All that they consciously wanted, needed, or desired was a good husband/wife, a great job or a good place to live. What did they get? A moronic, abusive, disgusting partner, or a boss who is a bully. and let's not mention the living conditions!
What went wrong? People living this kind of nightmarish reality seem to be still attached to perceptions from a past that is no longer healthy and fulfilling for them. Very often, they perceive themselves as the "bad boy" or "bad girl" that their parents often told them they were. They are often moody, distant and lacking in self-confidence. They haven't yet been able to detach from their early perceptions inflicted on them by parents, friends, companions, or the system. If you find yourself in this predicament, get out of there fast!
A simple test is to look at yourself in the mirror and say, "I love myself." What did you get back, a beautiful smile or resistance? Do you need help? Look for articles on affirmations and start studying them at once. You know that you are in a state of attachment when you feel that what comes out of your mouth doesn't bounce well with your heart; or that when you do your daily affirmations, there is a sense of panic and a need to control your thoughts.
Being detached is being non-resistant, transforming panic into peace of mind. In this state of mind you allow life to flow normally, positively and peacefully. It is only in this state that you can create the reality you truly desire. You maximize the power of your mind and align yourself directly with the energy source, thus quickly manifesting your desires-you went beyond of the Law of Attraction. This cosmic force and energy is not there to judge or suggest a different path for you. It accepts your thoughts and wishes as law.
When you know, understand, and live your life as one universal mind, detachment comes easily and you'll see and create your world quite differently. A good exercise is to start your day with positive affirmations. You will immediately find out if you are still attached to old perceptions or not. Work on it! When you feel good and positive about yourself, the path for your positive energy is open, and the planet and your community succeeds.
Now that you have learned how to build the emotional foundation for positive living, life becomes quite enjoyable. You can now move on and be the teacher, support and friend other positive people want so much to connect with. Have a great and happy journey.
Thursday, February 23, 2012
Wednesday, February 22, 2012
MBN Payment Systems: How Factoring WorksStep 1: Send Invoice to a Facto...
MBN Payment Systems: How Factoring WorksStep 1: Send Invoice to a Facto...: How Factoring Works Step 1: Send Invoice to a Factor – After you have completed your service or delivered your product to your customer...
How Factoring Works
Step 1: Send Invoice to a Factor – After you have completed your service or delivered your product to your customer, generate an invoice and send either the original or a copy to a factor.
Step 2: Verification & Approval – An account manager will review the invoice and any necessary documentation you submitted. An account manager will also contact your customer to determine if the details of the invoice was agreed upon and to ensure that the service was provided or product was delivered. Once your customer confirms these details, the invoice you submitted is approved and prepared for funding.
Step 3: Get Paid - Funding varies in how factors pay their clients. Generally, factors can fund you in three ways: check delivered by standard mail, same-day wire transfer, or next-day direct deposit (option most businesses use). Factor fees vary as well, but many companies can fund you as much as 95% of the value of the invoice you submitted. Other fees may apply also depending on how you choose to get funded.
Step 4: Factor Receives Payment – After your invoice has been approved and you have been funded, your customer is invoiced by the factor. Factoring companies are NOT collection agencies, therefore, your customers will not receive multiple notifications by email, phone, or letters asking for payment. A factor simply waits for payment to be sent by your customer. And if you have a non-recourse agreement, the risk of non-payment lies with the factor. This allows you to move on and focus on the next project or order.
Factoring helps you get paid faster regardless of when your customer actually pays you – past 30, 60 or even 90 days. This helps you focus on ways to build your business rather than having difficulties chasing checks and not knowing when your customer will pay.
http://www.mbnpaymentsystems.com/cash.php
http://www.mbnpaymentsystems.com/cash.php
MBN Payment Systems: MBN Payment Systems: Factoring can be a great fina...
MBN Payment Systems: MBN Payment Systems: Factoring can be a great fina...: MBN Payment Systems: Factoring can be a great financial tool for your b... : Factoring can be a great financial tool for your business. Sel...
MBN Payment Systems: Factoring can be a great financial tool for your b...
MBN Payment Systems: Factoring can be a great financial tool for your b...: Factoring can be a great financial tool for your business. Selling your accounts receivables (or invoices) to a factoring company (called...
Factoring can be a great financial tool for your business. Selling your accounts receivables (or invoices) to a factoring company (called a factor) can help your company get the money needed to maintain or grow your business. Factoring is not for everyone as every business is unique. The following are four scenarios where factoring may be a viable option .
Difficulties With Traditional Bank Lending - Some companies find it difficult to obtain a loan or a line of credit maybe because they lack sufficient collateral or do not have enough profitable history. If your business is not able to acquire funding from traditional bank lending accounts receivable factoring may be one of the few options that is available for you.
Factoring Benefit: Factoring can help you get cash that your business needs without the hassle of trying to qualify for a loan. You will not acquire new debt since you are selling your invoices - the factor collects from your credit worthy customer, not from you.
Challenges As A Start-Up or New Business - The early stages of a new business can be very challenging because start-ups or new businesses are generally cash poor. This means that acquiring sales and being able to collect on them in a timely manner is very important otherwise the new business may die.
Factoring Benefit: Selling your accounts receivable to a factor is a great solution to ensure that cash can be available for new businesses. A new business owner can focus mainly on acquiring new customers and sales while leaving the hassles of collecting to a factor.
Cash Flow Problems - Cash flow is the lifeblood of a business and without it you cannot meet payroll, pay supplies, or pay yourself. Businesses of all types experience cash flow problems some time in their existence. Unexpected events, increase in costs, or sudden growth can create financial stress for a business.
Factoring Benefit: With the right factor, a business can take advantage of factoring their invoices only when they need an immediate financial boost without taking on new debt.
Grow Your Business Quickly - Whether a small business plans to increase the scale of their business or is suddenly awarded a large long term contract, it must have the resources to satisfy the demands of growth.
Factoring Benefit: If a small business is bankable it can have more resources available to grow. However, if a small business is not bankable, factoring can help satisfy the demands of growth with the ability to access cash immediately to meet a growing payroll or pay for more supplies.
http://www.mbnpaymentsystems.com/cash.php
http://www.mbnpaymentsystems.com/cash.php
Tuesday, February 21, 2012
MBN Payment Systems: MBN Payment Systems: I'm not sure what it means to...
MBN Payment Systems: MBN Payment Systems: I'm not sure what it means to...: MBN Payment Systems: I'm not sure what it means to your business, but r... : I'm not sure what it means to your business, but read on and yo...
MBN Payment Systems: MBN Payment Systems: I'm not sure what it means to...
MBN Payment Systems: MBN Payment Systems: I'm not sure what it means to...: MBN Payment Systems: I'm not sure what it means to your business, but r... : I'm not sure what it means to your business, but read on and yo...
MBN Payment Systems: I'm not sure what it means to your business, but r...
MBN Payment Systems: I'm not sure what it means to your business, but r...: I'm not sure what it means to your business, but read on and you decide. I am not a big fan of Starbucks nor do I drink coffee. I am a...
I'm not sure what it means to your business, but read on and you decide.
I am not a big fan of Starbucks nor do I drink coffee. I am a fan of how Starbucks is able to grow their business and retain customer loyalty and a high percentage of repeat business.
According to The Wall Street Journal:
The average Starbucks U.S. store brings in $21,373 per week.
Purchases made on the Starbucks Card make up 27% of their U.S. revenue (see article cited below).
$2.2 billion was loaded onto Starbucks Cards in the year through September 2011.
According to the article, the majority of Starbucks customers use the balances on their cards within 90 days. In other words, Starbucks customers come in frequently, use their cards frequently, and refill them frequently.
Starbucks allows customers to buy or refill their cards with any whole dollar amount starting with $5.
I'm wondering how your retail business or restaurant can emulate Starbucks? Can you follow Starbucks and get your customers to purchase refillable gift or stored value cards?
Try this (for example). Raise your prices by 15%. Give all of your refillable stored value card users a 20% discount on all purchases.
MBN Payment Systems: This article is my opinion, and not legal advice, ...
MBN Payment Systems: This article is my opinion, and not legal advice, ...: This article is my opinion, and not legal advice, based on my experience in California. Laws vary in each state. If you ever need any legal ...
This article is my opinion, and not legal advice, based on my experience in California. Laws vary in each state. If you ever need any legal advice or a strategy to use, please contact a lawyer.
What if you have a judgment against a Native American Indian business or casino; or against an Indian Native American who lives or works on reservation land? In such situations, the odds for a judgment recovery is not good.
In many ways, American Indian land is another country. American Indians get "Sovereign Immunity" protection. Unfortunately, there is not a reliable, cheap, or easy way to domesticate a regular civil judgment into a tribal court. The odds are not great, however there is a chance you might recover a tribal-related judgment.
Many tribal reservations are closed to process servers, who are not allowed to enter tribal land to serve legal papers. The USPS does not deliver mail to many tribal addresses, so some "addresses" are not always "real" addresses, and are sometimes difficult to locate.
Everything depends on the differences in tribal laws, and the mutual relationship (known as "comity") between the Indian tribal reservation, which is legally a sovereign nation, and the outside world (i.e., a state).
Some tribes recognize state laws in certain instances, in exchange for reciprocal treatment under state laws. Tribes usually protect their members from judgment enforcements.
The first thing to try, is to contact someone in charge of the particular tribe involved by phone, and ask them what their policy is on judgment enforcement. Most may not want to cooperate, however some will. The most common policy is that outside judgment enforcement wage garnishments are ok when the employee being garnished is not a member of their particular tribe.
One way to enforce a judgment against a Native American person or entity, is to levy their property when it is not on tribal land. The way to do this is within state civil laws.
For example, if your Native American judgment debtor owns a Porsche, the civil Sheriff will never enter a tribal land to levy it. However, if you are well prepared, you might be able to pay a civil Sheriff to levy the judgment debtor's vehicle, if the judgment debtor drives it to (e.g.) a store, or to an auto mechanic, off of tribal lands.
If you can arrange a vehicle levy when it is not on tribal land, the judgment debtor will need to go to state court to defend against the levy, and will get no special treatment from being a member of a tribal reservation.
If you have a judgment against an American Indian business or casino, perhaps you could make progress with their off-reservation supply chains. With legal state civil procedures, you could levy or have third-party examinations concerning tribal property in the possession of a non-tribal business, under the jurisdiction of the state court.
You must respect every Indian entity you deal with, or you might find yourself banned from reservations by tribal councils. That would probably be game over, for any chance of recovering your judgment.
Many Indian tribe members work at gaming-related employers. Those who work on reservations can sometimes have their wages garnished. Whether you can, depends on which reservation, who you talk to, and what day of the week it is. If a non-Indian is working at an Indian business, their wages may be garnished by a state civil Sheriff.
In the past, Congress enacted legislation requiring state courts to honor tribal child custody orders as part of the Indian Child Welfare Act, see 25 USC §1911.
Congress then passed federal laws requiring state and tribal courts to honor and enforce each other's child support orders, see 28 USC §1738B, and domestic violence protection orders, see 18 USC §2265.
When a civil dispute involves an American Indian on a reservation, for example, a business owed money by an American Indian person or entity, the US Supreme Court has long since recognized that such a case can only be brought in a tribal court, and not a state court. See Williams v. Lee, 358 US 217 (1959).
Some off-reservation businesses require tribal councils to sign waivers of immunity before they will do business with them. Most tribes do not sign such waivers, however when they do, it is usually easier to recover judgments against them.
If the state-court judgment was obtained by a business with whom the tribe had executed such a waiver, you might be able to obtain assistance from the local tribal court system to enforce the judgment.
Enforcing judgments against Native American people or businesses is not easy. You must familiarize yourself with the laws in the tribes where you have judgments, or find someone who knows.
When a tribe member claims they are judgment proof because of their tribe sovereignty, showing the case below to the tribal management council might help:
UNITED STATES v. WEDDELL, 187 F.3d 645 (eighth Circuit 1999) where the Court affirms district court's ruling that Federal Debt Collection Procedures Act (FDCPA), which defines "person" who may be sued as a garnishee to include "an Indian Tribe" 28 USC Section 3002(10). Clearly and unequivocally expressed waiver of Indian Tribe's sovereign immunity, and thus subjected tribe, as garnishee, to garnishment suit against one of its members. Reasons given are that Congress has the plenary power to statutorily waive a tribe's sovereign immunity, and that Congress did so under the FDCPA.
What if you have a judgment against a Native American Indian business or casino; or against an Indian Native American who lives or works on reservation land? In such situations, the odds for a judgment recovery is not good.
In many ways, American Indian land is another country. American Indians get "Sovereign Immunity" protection. Unfortunately, there is not a reliable, cheap, or easy way to domesticate a regular civil judgment into a tribal court. The odds are not great, however there is a chance you might recover a tribal-related judgment.
Many tribal reservations are closed to process servers, who are not allowed to enter tribal land to serve legal papers. The USPS does not deliver mail to many tribal addresses, so some "addresses" are not always "real" addresses, and are sometimes difficult to locate.
Everything depends on the differences in tribal laws, and the mutual relationship (known as "comity") between the Indian tribal reservation, which is legally a sovereign nation, and the outside world (i.e., a state).
Some tribes recognize state laws in certain instances, in exchange for reciprocal treatment under state laws. Tribes usually protect their members from judgment enforcements.
The first thing to try, is to contact someone in charge of the particular tribe involved by phone, and ask them what their policy is on judgment enforcement. Most may not want to cooperate, however some will. The most common policy is that outside judgment enforcement wage garnishments are ok when the employee being garnished is not a member of their particular tribe.
One way to enforce a judgment against a Native American person or entity, is to levy their property when it is not on tribal land. The way to do this is within state civil laws.
For example, if your Native American judgment debtor owns a Porsche, the civil Sheriff will never enter a tribal land to levy it. However, if you are well prepared, you might be able to pay a civil Sheriff to levy the judgment debtor's vehicle, if the judgment debtor drives it to (e.g.) a store, or to an auto mechanic, off of tribal lands.
If you can arrange a vehicle levy when it is not on tribal land, the judgment debtor will need to go to state court to defend against the levy, and will get no special treatment from being a member of a tribal reservation.
If you have a judgment against an American Indian business or casino, perhaps you could make progress with their off-reservation supply chains. With legal state civil procedures, you could levy or have third-party examinations concerning tribal property in the possession of a non-tribal business, under the jurisdiction of the state court.
You must respect every Indian entity you deal with, or you might find yourself banned from reservations by tribal councils. That would probably be game over, for any chance of recovering your judgment.
Many Indian tribe members work at gaming-related employers. Those who work on reservations can sometimes have their wages garnished. Whether you can, depends on which reservation, who you talk to, and what day of the week it is. If a non-Indian is working at an Indian business, their wages may be garnished by a state civil Sheriff.
In the past, Congress enacted legislation requiring state courts to honor tribal child custody orders as part of the Indian Child Welfare Act, see 25 USC §1911.
Congress then passed federal laws requiring state and tribal courts to honor and enforce each other's child support orders, see 28 USC §1738B, and domestic violence protection orders, see 18 USC §2265.
When a civil dispute involves an American Indian on a reservation, for example, a business owed money by an American Indian person or entity, the US Supreme Court has long since recognized that such a case can only be brought in a tribal court, and not a state court. See Williams v. Lee, 358 US 217 (1959).
Some off-reservation businesses require tribal councils to sign waivers of immunity before they will do business with them. Most tribes do not sign such waivers, however when they do, it is usually easier to recover judgments against them.
If the state-court judgment was obtained by a business with whom the tribe had executed such a waiver, you might be able to obtain assistance from the local tribal court system to enforce the judgment.
Enforcing judgments against Native American people or businesses is not easy. You must familiarize yourself with the laws in the tribes where you have judgments, or find someone who knows.
When a tribe member claims they are judgment proof because of their tribe sovereignty, showing the case below to the tribal management council might help:
UNITED STATES v. WEDDELL, 187 F.3d 645 (eighth Circuit 1999) where the Court affirms district court's ruling that Federal Debt Collection Procedures Act (FDCPA), which defines "person" who may be sued as a garnishee to include "an Indian Tribe" 28 USC Section 3002(10). Clearly and unequivocally expressed waiver of Indian Tribe's sovereign immunity, and thus subjected tribe, as garnishee, to garnishment suit against one of its members. Reasons given are that Congress has the plenary power to statutorily waive a tribe's sovereign immunity, and that Congress did so under the FDCPA.
Saturday, February 18, 2012
Tuesday, February 14, 2012
MBN Payment Systems: The CPP exam - before, during and afterBy Steve No...
MBN Payment Systems: The CPP exam - before, during and afterBy Steve No...: The CPP exam - before, during and after By Steve Norell US Merchant Services Inc. s many of you are aware, the Electronic Transactio...
The CPP exam - before, during and after
s many of you are aware, the Electronic Transactions Association developed theCertified Payments Professional (CPP) program to advance the credibility and professionalism of merchant level salespeople (MLSs) and ISOs in today's ever changing market.
The CPP program essentially is a test-based certificate program. The test consists of 125 questions covering several areas of the payments industry, including technical subjects, ethics and basic knowledge. More weight is given to certain categories than others, but in general it is an all encompassing group of questions. If you pass, you receive a certificate, and your name is listed on the ETA website under the CPP Registry.
After having taken and passed the test (whew!), I can say it was harder than I thought it would be. Following are some further observations.
The prep stage
The first thing to capture my attention was the lack of study materials - no book, no notes, no nothing. I wasn't that nervous since I have been in this industry for over 15 years and, as many who know me are aware, I think I know everything. (My wife knows better; she thinks I don't even know how to use our dishwasher correctly.)
Since I am an ETA member, I registered for the test at the ETA website,www.electran.org, and paid $325 versus the $425 fee for nonmembers. In my opinion, it is a fair price. I was able to pick a testing site very close to where I live. I received notification that my requested site was accepted, and the date and time were set. (Not to be redundant, but no study guide was offered at this point either.)
The day of reckoning
So, the big date arrived. As I drove to my test site, two thoughts were running through my mind:
- How many of my competitors will be there?
If I don't pass, I will never be able to show my face at work again.
Once I arrived at the site, I was directed to a private room with a computer where a moderator provided instructions on taking the test. The moderator also verified my identity.
The first thing I noticed, and was a bit disappointed by, was that when I looked around to see how many others were taking the test, the only person there was me. So much for competition. Soon, the bell went off, and away I went, answering the questions, which were multiple choice; there was only one correct answer per question.
I finished the test in approximately 1 hour and 30 minutes, signed out and headed back to the office. Everyone wanted to know how I did and, to tell you the truth, I had no idea.
Almost two months later, I received my results and, hooray, I passed. So now I have a wallet card, a certificate and listing on the ETA website. As a bonus, and with no input from me, on the site's list of CPP certified MLSs and ISOs in Florida, I am listed right at the top. I must have done something right.
The pros and cons
So after taking this test and hoping it is the right move to add some type of certification and credibility to our industry, here is what I think is good and not so good about the CPP exam. The good things are:
- We are moving in the right direction by endeavoring to add certification and credibility to our industry.
- The test was genuinely hard, as it should be.
- The test will be given twice a year, and there are ample sites throughout the United States, so no one should use lack of access as an excuse for not taking the exam.
The not so good things are:
- The questions covered too broad a base of topics, which I felt was a mistake. Some of the questions covered topics that were outside the area of credit cards.
- Some questions clearly could have been answered with two answers, and they both would have been correct. But according to the test designers, only one option was correct.
- Some of the questions were very subjective, and a test taker could have easily been tripped up by the nature of the question.
- Some of the questions were of a technical nature, and I doubt anyone with one year of experience could have gotten them right.
The ETA stated in the requirements that you need a minimum of one year of industry experience to take the test. I wholeheartedly agree, but as I just stated and based on some of the questions, I doubt that without a study guide there is much chance a person with only 12 months' industry experience could pass this test.
Suggestion box
So here is my recommendation to the ETA when it comes to tweaking the test. It is a simple one: issue a notebook with 500 questions along with the correct answers. Let the test taker study this until it is time to take the test, knowing that only 125 comparable questions will be asked.
Having to study 500 questions will allow the individual to gain more knowledge than the test actually covers.
The only thing that will make this program a success is if it has real perceived value, which means, as a CPP, I have an advantage over competitors who are not CPP certified. And to do that, we need to have retail and industry associations endorse the program. Something along the lines of notifying members to only do business with CPP members.
Well, that is my take on the test. I do encourage others to take it the next time around. By then, hopefully, there will be a study guide.
Monday, February 13, 2012
MBN Payment Systems: February 13, 2012 • Issue 12:02:01Big changes a...
MBN Payment Systems: February 13, 2012 • Issue 12:02:01Big changes a...: February 13, 2012 • Issue 12:02:01 Big changes ahead By Brandes Elitch CrossCheck Inc. n the early 1980s, I worked in the cash ...
February 13, 2012 • Issue 12:02:01
Big changes ahead
n the early 1980s, I worked in the cash management group for a major insurance company that was owned by one of the largest financial services companies in the world. The day I started work, they hired the management consulting firm McKinsey & Co. to evaluate the whole operation, top to bottom, and implement something they called "activity value analysis."
The idea was that all employees would keep journals documenting what they did during the day, and it would be a relatively simple matter to calculate inefficiencies and redundancies and take appropriate action to reduce expenses.
Of course, while this was happening, everyone was busy justifying their existence and lost focus on their real purpose, which was to generate revenue, pay claims, and keep the independent agents and regulators happy.
During this time, we employees would exchange meaningful glances and say, "Big changes are coming!" And they were. Within a couple of years, every senior manager of the firm was terminated, from the chief executive officer and president on down. The firm was sold to a German company, and the parent company CEO was also terminated. Big changes, indeed.
Today, as I look at the payments landscape, I see big changes in store for the ISO industry. The underlying causal factors have been in plain view for some time, but now they are apparent even to casual observers.
Industry in evolution
Let's start with a look at how it all started. In the credit card industry, the focus has always been on the issuing side: how many cards can we issue? This is an industry of tremendous scale: you need to issue tens of millions of cards to garner any kind of meaningful market share, and only a dozen or so banks can do this.
Also, most banks were more comfortable underwriting consumer credit, say, a $5,000 unsecured credit card line, than processing the merchant side of transactions.
Over time, only larger banks could become "principal banks" of what were then card associations, meaning the banks were association members. The largest merchants typically used the largest acquiring banks. Some industries, such as grocery stores and convenience stores, negotiated directly with the associations for special interchange rates.
Smaller merchants typically had banking relationships with community banks that were not principal members, and those banks used upstream correspondent banks or had relationships with third-party ISOs that brought their own processors.
It was like a railway: POS to gateway to processor to network to issuer and back down. It was continuously available and secure, but it was inflexible.
The 1979 advent of electronic ticket capture created the ISO industry as we know it. Suddenly, somebody needed to inventory terminals, program and install them, train merchants, and handle ongoing customer service.
Banks weren't capable of doing this then, and most banks aren't capable of doing it today (just look at the banking industry's anemic efforts to deploy remote deposit capture to date, something that should have been a slam dunk).
While the largest banks focused on the issuing side, the ISOs made it all work, selling merchants on card acceptance and thereby enabling consumers to use their cards at merchants essentially everywhere.
This is the extraordinary contribution ISOs made to the industry. You could say it was the electronification of payments that created the ISO industry, and it is the further electronification of payments that is changing it now.
Upheaval in store
Some people believe this year is the beginning of the end for the traditional POS platform. Up to now, merchants have paid more for in-store POS devices than it would cost to purchase PCs. But with an Android OS tablet, priced at $100, the numbers have changed. For a small merchant, an Android tablet with a Square Inc. reader can handle all POS functions at a quarter of the price.
Look at what happened in the cash register industry. At first, every merchant had a cash register and a separate POS terminal. The cash register manufacturers figured out they could do both functions, with a big net savings to merchants.
The Apple Inc. iPad was another game changer: for $500, merchants could get touch screen technology, which used to be really expensive. Initially, these were mobile applications, driven by consumers shopping at the POS, and are now online too.
Historically, POS providers seem to have devoted the brunt of their efforts to maintaining their price points rather than dropping prices to be competitive with new devices.
To become competitive, POS manufacturers must move to the cloud, taking the processing out of the store and into data centers. They will have to be compatible with all devices, not build an application for each platform. This changes the POS game in a big way.
Recently, I attended a presentation by Aite Group LLC on this subject. The presenter, Aite Senior Analyst Rick Oglesby, pointed out that for the last 30 years, merchant acquiring has been run like a railway, where the processor specializes in a single type of transaction.
We will need to support multiple transaction types and services, for example, loyalty programs, transaction modifications by third parties like Google, electronic receipts for consumers and reconciliation for merchants, as well as credit apps, rewards, commissions, discounts, offers and coupons.
In the new environment, card swipes will be replaced by taps at the POS. Data will flow back from new payment players that need to be on the back-end of transactions, and this will increase complexity so the back-end software will need a complete facelift. The only way to manage this is to remove the complexity from POS devices.
The result: a gateway will manage the connections to the marketing providers, alternative payment vehicles, devices and the development community. As Oglesby said, "The gateway will be the cable company, and the device will be the cable box."
But the real implication for ISOs is that payment acquiring now becomes the low man on the totem pole. Some merchants will be able to connect directly to the card brands and skip the processors altogether. For ISOs, the goal should be to focus on services, not devices.
Now there are three components to the buying experience: the POS hosting providers, the payment providers and the marketing providers. Large merchants could be processors themselves and do POS hosting, but small merchants will need turnkey solutions, which ISOs can and should provide.
This is complicated by the fact that Visa Inc. will incentivize migration to Europay/MasterCard/Visa and near field communication (NFC) technology to attack counterfeit card fraud.
All three major equipment manufacturers have embraced NFC. For ISOs, this means 11 million terminals in use will need to be replaced. Even at a rate of 2.5 million annual replacements, it would take over four years to complete the conversion to new card readers.
Litigation at issue
I also want to touch on looming antitrust litigation against Visa, MasterCard and 13 of their largest banks. This is a sequel to the 1996 class-action lawsuit, popularly known as the Wal-Mart case, which cost said card brands and banks $3 billion in monetary damages and over $25 billion in income lost due to changes in business practices (according to Bryan Keane, an analyst for Deutsche Bank).
That case was narrowly defined, and the government did not bring a price-fixing case against the card brands at that time. The plaintiffs in the current case (the National Restaurant Association and the National Association of Convenience Stores, among others), which are not yet certified as a class, claim the card brands overcharged merchants, and that the 2 percent interchange rate typically charged should be in the range of 0.50 percent.
Imagine the impact on the defendants if credit card interchange rates were reduced by 75 percent, to say nothing of the effects on the ISO community.
And if the court finds for the plaintiffs, the damages would come primarily from the 13 large banks that are the Visa Class B shareholders. In 2009, industrywide interchange fees were in the range of $40 billion, and this case could cover eight years.
A finding for the plaintiffs would have a material effect on the capital base of these banks, and it would have a material effect on the income statements for any ISOs focused on interchange. It should be an exciting year.www.businesswordwidenetwork.com
MBN Payment Systems: February 13, 2012 • Issue 12:02:01Will PayPal h...
MBN Payment Systems: February 13, 2012 • Issue 12:02:01Will PayPal h...: February 13, 2012 • Issue 12:02:01 Will PayPal hit critical mass with recent deals? ayPal Inc., the payment arm of eBay Inc., isn...
February 13, 2012 • Issue 12:02:01
Will PayPal hit critical mass with recent deals?
ayPal Inc., the payment arm of eBay Inc., isn't waiting for the development of near field communication (NFC) orEuropay/MasterCard/Visa (EMV) infrastructures to revolutionize payment paradigms for U.S. retailers and consumers.
For instance, AJB Software Design Inc. said in January 2012 it will introduce PayPal payment options to its more than 140 customers (many of whom are tier-one retailers) and their more than 250,000 POS terminals.
PayPal's cloud-based, Internet protocol-enabled solution involves a POS application programming interface that allows AJB retailers to offer customers the ability to pay with a PayPal payment card or by using PayPal's Empty Hands solution, through which users enter mobile phone numbers and PINs at the POS, with no new infrastructure costs or technology upgrades required by merchants.
AJB is also building a PayPal interface into its payment solutions platform, Retail Transaction Switch. AJB hasn't disclosed which retailers will be offering the service, but it boasts a customer base that includes "25 of North America's top 100 companies by 2006 sales volume" and "nine of the world's fastest growing merchants."
The AJB-PayPal rollout will be operational by the end of the current fiscal quarter, an AJB spokeswoman confirmed.
Critical mass
Consumers having the opportunity to use the PayPal solution at some of the largest U.S. retailers that operate in a variety of retail environments, including clothing, department stores, electronics stores, oil and gas, restaurants, sporting goods and toy stores, means PayPal will have the opportunity to reach what payments consultant Paul Martaus calls critical mass.
"Critical mass in this context means when there is enough buzz, knowledge and awareness on the part of consumers that the technology has the opportunity to go from curiosity to adoption," said Martaus, President of Martaus & Associates.
"The test I've applied over 30 years of watching transaction technology in this business is the 'better, faster, cheaper test.' If you have two out of the three, if something provides the consumer with a better, faster and/or cheaper service, it is likely to be adopted."
The question is whether PayPal meets this test, according to Martaus. But the partnership looks promising to him. He said, "250,000 terminals may not be a lot of terminals when you consider there are 6 million terminals out there, but these are tier-one merchants and tier-one merchants provide 90-plus percent of all transactions submitted for closure."
Martaus pointed out that less than 4 percent of retailers have installed NFC readers at the POS. He believes the push to introduce NFC and EMV in the United States will not curb PayPal's inroads into the retail payments market because PayPal doesn't require that technology to offer retailers proximity payments. Additionally, PayPal's popularity continues to grow. In its recent quarterly report, eBay said PayPal is adding 1 million accounts per month.
In September 2011, before Scott Thompson resigned as president at PayPal to join Yahoo! Inc. as Chief Executive Officer, he said in a PayPal blog, "Let's be clear about something - we're not just shoving a credit card on a phone. PayPal is re-imagining money and making it work better for merchants and consumers - whatever device you're on, wherever you are in the world, and however you prefer to pay (whether that's cash, credit or installments)."
Thompson said PayPal's goal is to allow customers not to have to stand in line to make purchases. He added that PayPal technology also offers consumers the ability to decide how they want to pay, arrange for payment installments instantly if needed and use any smart device to make payments - and it gives customers the ability to change how they pay even after they've checked out.
POS penetration
Recently, PayPal entered a pilot with Home Depot U.S.A. Inc. to test PayPal's new POS service. Don Kingsborough, PayPal's Vice President of Retail and Prepaid Products, stated in a Jan. 26, 2012, company blog post that the trial is expanding to 51 stores - 44 in Northern California, six in Omaha, Neb., and one in Atlanta - and that PayPal has invited nearly 500,000 customers to participate in the pilot. PayPal reportedly intends to expand the service to 2,000 Home Depot locations by March 2012.
Russ Jones, a partner with consulting and research firm Glenbrook Partners LLC, tried the solution at a Home Depot store. He summed up his experience in a Glenbrook blog published Jan. 20. "I felt that paying without having to take anything out of my wallet was nice, and I liked it in a subtle but pleasing way," he wrote. "Now that I think about [it], I don't know why anybody would want a PayPal card if they can use PayPal Empty Hands. ... I'm pretty sure that I'll be using PayPal for every one of my purchases going forward at Home Depot."
Karen Webster, CEO of technology consulting firm Market Platform Dynamics, wrote in the January 2012 issue of The Lydian Payments Journal that the biggest hurdle PayPal faces is merchant penetration. However, she said PayPal drove $56 billion in retail payments in 2010.
Webster noted that PayPal's solution is a "versatile approach to solving POS acceptance for consumers and merchants, leveraging what consumers and merchants have available to use today, including 100 million (and growing) populated wallets.
"Their solutions are also handset and carrier agnostic, which is a big plus. There are already too many moving parts in the mobile payments space to orchestrate. Eliminating this one is pretty huge."
Regarding PayPal's retail integration, Ingenico S.A. and PayPal established a relationship to enable merchants with Ingenico POS devices to accept PayPal payment options. And Ingenico has already begun integrating PayPal's payment card solution into its legacy Unicapt32 platform POS devices and new generation of Ingenico Telium 2 series POS devices.
In a Jan. 17, 2012, statement about the partnership, Ingenico said, "Given the vast installed base of Ingenico's devices in the United States, the company will integrate and support PayPal on both of its platforms. The integration will allow merchants with Ingenico's i6xx series and iSc250/iSC350 devices to accept both PayPal's payment card and its alternative mobile phone number and PIN payment solutions."
February 13, 2012 • Issue 12:02:01
Zappos.com hit with breach, lawsuit
nline fashion retailer and Amazon.com subsidiary Zappos.com revealed in on Jan. 15, 2012, that over 24 million of its customer accounts were breached. Zappos.com said a fraudster was able to obtain names, email addresses, billing and shipping addresses, phone numbers, the last four digits of credit card numbers listed with accounts, and encryptedpasswords.
A class-action lawsuit on behalf of Zappos.com customers was subsequently filed Jan. 16, 2012, in the Western District of Kentucky in Louisville.
Tony Hsieh, Zappos.com Chief Executive Officer, emphasized that the database where credit card and other payment data is stored was not breached. "We were recently the victim of a cyber attack by a criminal who gained access to parts of our internal network and systems through one of our servers in Kentucky," he wrote to employees and customers following the breach. "We are cooperating with law enforcement to undergo exhaustive investigation." Zappos.com disconnected its customer service phone lines following the breach, electing to answer customer inquiries into the breach only by email. Hsieh explained, "We have made the hard decision to temporarily turn off our phones and direct customers to contact us by email because our phone systems simply aren't capable of handling so much volume. (If 5 percent of our customers call, that would be over 1 million phone calls, most of which would not even make it into our phone system in the first place.)"
Zappos.com urged customers to change passwords on its site and on any other sites where they use the same passwords. "We've spent over 12 years building our reputation, brand and trust with our customers," Hsieh said. "It's painful to see us take so many steps back due to a single incident. I suppose the one saving grace is that the database that stores our customers' critical credit card and other payment data was not affected or accessed."
Repercussions
The class-action lawsuit filed in Kentucky said the breach not only forced customers to take the time to reset passwords on Zappos.com and on other sites, but it also represented an invasion into customer privacy that may have future repercussions. "[P]laintiff and class members now face a greater risk of identity theft - including, but not limited to, identity theft from 'phishing' and 'pharming,'" according to the suit.
The complaint charges Zappos.com with willful and negligent violation of the Fair Credit Reporting Act, along with negligence and invasion of privacy by public disclosure of private facts. The class action seeks compensation for customers who, among other things, lost the use of passwords and must deal with credit monitoring and identity theft insurance issues, as well as damages for anxiety and emotional distress caused by the breach.
The complaint also asks for other damages to punish Zappos.com's alleged wrongful conduct and a requirement that Zappos.com submit to periodic compliance audits to ensure cardholder data security is maintained.
When reached for comment, Zappos.com Senior Public Relations Director Diane Coffey said, "We are aware of the lawsuit. Our company policy is not to comment on pending litigation. Every single department in our company is currently focused on assisting customers." At press time, plaintiff attorneys had not responded to requests for comment.
Wednesday, February 1, 2012
MBN Payment Systems: MBN Payment Systems: Updated: Monday,January 30, 2...
MBN Payment Systems: MBN Payment Systems: Updated: Monday,January 30, 2...: MBN Payment Systems: Updated: Monday,January 30, 2012A European perspec... : Updated: Monday, January 30, 2012 A European perspective on E...
C. Wonder Launches with Entirely Mobile POS Service Using VeriFone GlobalBay Mobile and PAYware Mobile Enterprise Solutions
New Retail Chain Eliminates POS Software and Fixed Registers with VeriFone’s App and Payment Acceptance Solution on Apple Devices
Innovative retailer C. Wonder has deployed 15-20 Apple iPod Touch devices per store, each equipped with VeriFone’s PAYware Mobile Enterprise for mobile checkout, using VeriFone GlobalBay Mobile POS, increasing the points of payment and volume of payment transactions.
NEW YORK (NRF Expo 2012 - Booth 1459 and 1635) -- Customers are no longer at the mercy of traditional cash register lines in the new C. Wonder brand of women’s retail stores introduced last fall. Instead, C. Wonder sales associates are able to assist shoppers with checkout anywhere in the store using an iPod Touch. This exceptional retail deployment of mobile-only checkout is the result of a customized mobile point of sale (mPOS) solution from VeriFone Systems, Inc. (NYSE: PAY) that decreases wait lines and eliminates cumbersome POS software and costly cash registers. C. Wonder’s storewide mPOS execution expedites payment transactions and advances shopping to a new level of personal service.
VeriFone announced today that its VeriFone GlobalBay Mobile POS and PAYware Mobile Enterprise solutions are being operated in C. Wonder’s stores as part of the retailer’s core focus: customer service at the most individual level.
Founded by investor and entrepreneur J. Christopher Burch, C. Wonder opened its flagship Manhattan store in October 2011, followed by three additional stores in New York and New Jersey with plans to expand in another 15 locations by the end of 2012. VeriFone’s GlobalBay solution is designed for seamless activation of mPOS at every new store.
“C. Wonder is applying technology solutions to redefine 21st Century retail, including the unexpected benefit of not waiting in a long line at a traditional cash register,” said Mattias Douhan, vice president of IT for C. Wonder. “Mobile point of sale frees up associates to assist shoppers at any place in the store where they are inspired to make a purchase.”
The mobile retail solution is also cost-effective because stores of this size typically rely on three to four fixed registers; but C. Wonder has deployed 15-20 Apple iPod Touch devices per store, each equipped with VeriFone’s PAYware Mobile Enterprise, increasing the points of payment and the volume of payment transactions. This represents a savings on hardware and expands selling space that would otherwise be occupied by registers.
An associate uses an Apple iPod Touch running the VeriFone GlobalBay app and equipped with VeriFone’s PCI-approved PAYware Mobile Enterprise, which accepts card swipes, instantly encrypts the data and also enables quick and efficient bar code scanning.
By hosting an entirely mobile POS sales floor, C. Wonder avoided the traditional POS software that retailers deploy and instead integrated directly to a custom ERP system modified from the Jeeves Universal flexible standard ERP solution. This approach provides real-time information for management through C. Wonder's centrally hosted ERP system as associates assist customers anywhere in the store.
“C. Wonder is on the cutting edge of retail transformation and VeriFone’s GlobalBay mobile retail applications, security software and hardware are helping to make shopping a more enjoyable, more fulfilling experience,” said Jennifer Miles, VeriFone executive vice president, North America.
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