CorpFinCafe

Prompting discussions on Financial topics….

Employee Compensation - the Sacred Cow….

Posted in March 27th, 2008

One of the most important lessons that I have learned over the years at the various companies I have been employeed with is to never, under any circumstances, incorporate error in any way into Employee related compensation. I have had the opportunity to learn from others mistakes and have seen the effect that these types of errors invoke. From decreased morale levels, to lost productivity, to a reluctance to act appropriately on behalf of the company.

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SEC updates

Statement by Chairman Schapiro on Court Order Adopting SEC's Proposed Distribution Plan in Reserve Primary Fund Case November 25, 2009
SEC Chairman Mary L. Schapiro today made the following statement: "We are pleased with the court's order adopting the SEC's distribution plan in the Reserve Primary Fund case. From the start, our goal was to return money to investors as quickly and fairly as possible and to avoid the extended quagmire of litigation that would have only served […]
SEC Surpasses $2 Billion in Fair Fund Distributions in 2009 November 25, 2009
The Securities and Exchange Commission today announced that, for the first time, more than $2 billion has been distributed in a calendar year to injured investors as a result of SEC enforcement actions and proceedings.
SEC Obtains Asset Freeze in Minnesota-Based Foreign Currency Trading Scheme November 24, 2009
The Securities and Exchange Commission has obtained an emergency court order freezing the assets of a self-proclaimed Minneapolis-based money manager, a nationally syndicated radio personality and four companies they controlled in a foreign currency trading scheme that raised at least $190 million from more than 1,000 investors.
SEC and CFTC Issue Joint Orders on Volatility Indexes and Security Futures November 20, 2009
The Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) issued two joint orders related to security-based futures contracts that clarify each Commission's respective jurisdiction and allow additional products to underlie security futures.
SEC Names Senior Officials to Investor Education and Advocacy Efforts November 19, 2009
The Securities and Exchange Commission today announced the appointments of three senior officials to its Office of Investor Education and Advocacy (OIEA) to help continue its increased focus on individual investors. OIEA serves the Commission as the "investors' office" and provides educational resources to help individual investors make inform […]

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Start-Up CFO / Mark Macleod

Top Finance Mistakes
Yesterday, James Smith from uber-startup friendly law firm Labarge Weinstein wrote a great post on tax planning basics for startups. It was not a post about tax mistakes, but clearly the flip side of not following these tips is that you make big tax mistakes.That got me thinking about what are the most common finance mistakes. So, without further ado and in […]
Usage-based billing models - part two
We had a great discussion going here over the weekend on Friday's post about usage-based billing. David from LM Framework bravely defended his position that usage-based billing is better than subscriptions.That discussion sparked some additional thoughts for me:Scarcity - bits vs. atomsThere were some examples brought up about tangible goods - DVDs, Cok […]
Usage-based billing models
I bought some credits for my long distance calling service Mobivox last week. I use this service at least once a week and yet this was the 1st time I had bought credits since April 2008 (when I was working there). I have to be one of the better users on this service, yet it has only extracted $ 20 from me in a year and a 1/2. That's not the path to rich […]
We're all friends - the end of Non-Competes
Techcrunch reported about Don Dodge joining Google today. That's great news for the startup World and a great hire for Google. What was not reported on here is that this hire must mark the end of the Non-Compete as we know it.I think we can all agree that Microsoft and Google consider each other competitors. So, for Don to pick up and immediately take o […]
When should you hire a CFO?
At last month's National Angel Summit there was a great discussion on when startups should hire CFOs. Bryan Watson from NAO sent me the video. Check in just before the 6 minute mark.Highlights:When: right before you raise your 1st capital?Don't hire a full time CFOHire someone with startup experienceRun things right from the startReally important f […]

CFO Wise - Ken Kaufman

Grow with People or Technology – an Entrepreneur’s Dilemma
Two different companies, each in a different industry, face the same dilemma. Growth and success have created significant pressure on their business, specifically their people and their technology. In order to solve the short-term constraints as well as build the most scalable solution in for the long-term, how much investment should be made into new […]
Revenue Recognition Updates – Clarity and Complexity
Anytime a presentation starts with “Implementing EITF 08-1 and EITF 09-3,” we know we may be in for a long meeting. Gregory P. Randall, Partner with KPMG, made a very technical topic interesting yesterday. The topic – the changes in revenue recognition guidelines for software companies and others with multiple deliverables packaged in […]
Staffing Accounting/Finance Department from Start-up to Medium-Sized Company
I have had a lot of conversations recently about staffing the accounting and finance function in the company. As companies grow and shrink, their needs in this area change. We certainly do not want to be over-staffed, and we also want the most cost-effective staff doing as much of the work as possible. For example, we [...]
Is There Such a Thing as a Lifestyle Software Business?
A respected professional @chrisknudsen said something to me a few months ago that I have reflected on several times since that occasion. We were discussing a company that has amazing, break-through technology with a wide-open market space. Their leadership just does not seem to be in a hurry to seize the opportunity. They’re growing at about [.. […]
I Cannot Predict the Future…Budgeting is Worthless!
I have heard this statement more often than I care to admit: “I cannot predict the future so a budget would be worthless for my business.” An article entitled How to Create a Budget in BusinessWeek prompted me to recollect some of my experiences with helping people who have the above attitude towards budgeting gain a [...]

Ben Paramore/Beyond Beans

Many CFOs Seek Top Job
The following quote was extracted from a good article at Business Times On-line : "finance has become a path for those who decide early on that they want to be the boss. But the allure of the top job can...
Five Essential Traits of a CFO
In a study conducted by Deloitte and discussed in an article entitled The Journey to CFO on their website (www.deloitte.com), five essential traits of CFOs were identified. I would agree that, although certainly not the only traits needed, these are...
Visioneering
Strategic planning is a process that every business should go through at least annually. Determining goals and actions needed to accomplish those goals are necessary to give your team direction. SWOT analyses are helpful in determining who you are and...

Bradford Van Siclen / Novo Companies

Wine news...

R&B Singer Anthony Hamilton (Wine Spectator) November 24, 2009
Alcohol May Prevent Thyroid Cancer (Wine Spectator) November 24, 2009
12 Whites for the Thanksgiving Table (Wine Spectator) November 20, 2009
2009 Beaujolais Nouveau (Wine Spectator) November 19, 2009
Prince Charles Falls for Niagara (Wine Spectator) November 19, 2009

Social Network

Translators

CFO magazine updates

And Now for the Good News... January 6, 2009
Here are ten bright spots to savor amid the economic gloom.
Madoff Case Triggers Wider Probe of SEC January 6, 2009
"Many of us have lost confidence in the SEC," a Congresswoman declares.
Insurance Outlook: Higher Prices by Year's End January 6, 2009
But if the global recession continues to spiral downward, many companies will try to slash their insurance bills by resorting to various forms of self-insurance, a new report predicts.
Deals: Nowhere to Go but Up January 6, 2009
In our M&A Roundup for the week ended Jan. 4, a mere 16 North American transactions are arranged, with only Chesapeake Corp.'s billion-dollar bankruptcy buyout topping $150 million.
All Eyes on Treasury January 6, 2009
The function that no one likes to think about is now getting plenty of attention, and even a little respect.
GE Capital Taps Debt Market for $10B January 6, 2009
The largest offering to be backed by the FDIC, it includes two-year notes, 3.5-year notes, and one-year and 18-month floating-rate notes.

WSJ - U.S.

'Black Friday' Tests U.S. Economy November 28, 2009
Retailers enticed shoppers into their stores on Friday, but many customers were sticking to deeply discounted items.
GM's Saab Draws Fresh Interest November 27, 2009
General Motors' Saab has received serious expressions of interest from potential buyers since Tuesday's collapse of a deal to sell the brand to another firm.
Insurers Nearing Regulatory Victory November 27, 2009
State insurance regulators are moving closer to adopting a proposal that would add at least $11 billion in capital for insurers.
DynCorp Fires Executive Counsel November 27, 2009
DynCorp fired a top lawyer in the wake of disclosing that some of its subcontractors may have broken U.S. law.
ING to Raise $11.2 Billion November 27, 2009
Dutch Financial Company ING has priced its $11.2 billion rights issue at a hefty discount in a move aimed at repaying half the state aid it received during the financial crisis.

WSJ - Europe

Dozens Die in Russian Train Crash November 28, 2009
A train crash in Russia that killed dozens of people and injured many more may have been sabotage, raising fears that the train was the target of a terrorist attack.
EU Names Antitrust Chief November 27, 2009
Barroso proposed Joaqu�n Almunia to be the EU's new antitrust chief and center-right Belgian Karel De Gucht to be trade commissioner.
German Minister Resigns Over Afghanistan November 27, 2009
German Labor Minister and former Defense Minister Franz Josef Jung resigned after revelations about his handling of information about an airstrike in Afghanistan in which civilians were killed.
GM's Saab Draws Fresh Interest November 27, 2009
General Motors' Saab has received serious expressions of interest from potential buyers since Tuesday's collapse of a deal to sell the brand to another firm.
Merkel Shuffles German Cabinet November 27, 2009
Germany's Chancellor announced a reshuffle of her cabinet, which has been in power just four weeks, naming Ursula von der Leyen as labor minister.

CNBC alerts

Abu Dhabi Will Aid Debt-Fraught Dubai 'Case by Case' November 28, 2009
Abu Dhabi, UAE capital and one of the world's top oil exporters, will pick and choose how to help Dubai.
Dubai's Debt Woes Signal New Era for Creditors November 27, 2009
Next Week: Cash In Now Or Wait For A Santa Rally? November 27, 2009
Fed Audit Would Hurt Economic Prospects: Bernanke November 27, 2009
Dubai Stock Selloff May Bring Buying Opportunity November 27, 2009

Harvard Business

Are You an In or an Out Leader?
I have just spent an intensive week coaching executives in a global organisation, asking my clients the simple question: are...
HBR Issue Highlights | December 2009
[this post includes video]
Why Big Media's Anti-Google Counter-Revolution Will Fail
The Empire always strikes back. Every revolution inspires a counter-revolution. Luke Skywalker and the Rebel Alliance didn't win independence overnight...
Oprah Winfrey and Your Leadership Brand
All leaders have a brand. Whether that term is used or not, leaders have an identifiable persona that is a...
Tap into Your Super-Consumers
In any product category, roughly 10% of the consumers account for more than 50% of the profits. These super-consumers, as...
How to Talk About What You Most Dread
"I have a question," a woman we'll call Tricia said to me during the break at a leadership training class...

Seeking Alpha

Spending, Durables: Basically, Stuck November 28, 2009
Andrew Horowitz submits: Over the past few months, personal spending, on a year-over-year basis, has been improving. Perhaps this is the stabilization that we have been hearing about. But, behind the headline numbers is the reality that we are looking at no change during the past year. Comparisons are getting easier and we need to see growth in orde […]
Three Companies File for IPOs, Three Set Terms This Holiday Week November 27, 2009
IPO activity levels remained high this week with three companies submitting their initial filings and another three setting terms. Telegent Systems (TLG), which offers single-chip solutions enabling worldwide live, free-to-air broadcast TV on portable devices, began the week by filing to raise up to $250 million in its public offering. The Sunnyvale […]
On Taubman Properties November 27, 2009
Reggie Middleton submits:The Taubman Center (TCO) reports are now available. Here is an excerpt from the Professional level report: The following table summarizes the valuation of each property through NOI-based and CFAT-based approaches. Individual property valuations will be discussed in detail separately, and released to professional subscribers. […]
Today in Commodities: Not the Expected Slow Day November 27, 2009
Matthew Bradbard submits: I was not expecting to be busy today, but with the Dubai news on a day like today, the volatility had markets all over the place. Crude oil finished lower by $2 but intra-day, traded almost $6 lower. Coincidence or not, the 61.8% Fibonacci line at $72.25 should contain further losses; today’s low in January was $72.39 […]
Equities Update: Retail Takes Back Seat to Dubai November 27, 2009
Brooks McFeely submits:1:58 PM, Nov 27, 2009 -- NYSE down 162 (2.2%) to 7,070.09.DJIA down 154.6 (1.5%) to 10,310.S&P 500 down 19.02 (1.7%) to 1,091.Nasdaq down 37 (1.7%) to 2,138.GLOBAL SENTIMENT Complete Story �