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Trillions from MAYAnMAYA on Vimeo.

Cool thoughts on the future (and history) of computing.

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Image representing Bill.com as depicted in Cru...
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A contact of mine in New York City recently commented on my “sales presentation” regarding the three foundational accounting systems we deploy for our clients.  After clients realize that they can go paperless, can become highly efficient and start running their business more profitably, they are amazed at the leaps and bounds that accounting technology has taken.  My contact said “wow,” and called it the “holy trifecta of accounting goodness.”

All of the systems of the “holy trifecta” are cloud-based, and can allow our client’s accounting systems to be populated by simply taking a picture of a receipt.  Pretty freakin’ cool.  When we tell clients this stuff, they trip out.

The holy trifecta is:

1.  QuickBooks remote hosted in the clouds is the accounting foundation of the system (always on the latest version, always backed up).

2.  Bill.com is the second part of the system.  It takes our clients paperless, introduces workflow into their business processes, and makes manual data entry no longer necessary.

3.  PayCycle is the third part of our holy trifecta.  This handles the payroll piece for our clients.  It provides an online portal, allows the ability to electronically pay employees and contractors, and dumps all transactions right into QuickBooks (just like bill.com).

We set this stuff up for the client, train them and then have a design meeting with everyone to spell out the duties under the new system.  The first few months are somewhat bumpy as the new system is light years away from what they are used to.  But for the right client, it’s just what they needed, but didn’t know existed (’cause nobody told them).

This junk is changing lives, and I’m preaching it.  You down with that?

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In case of fire, follow stairs into fire
Image by Lisa Norwood via Flickr

Anytime I speak to new clients or a group of CPAs about cloud computing, one question inevitably always comes up: “is the cloud secure?”  Though I feel the cloud is safe, I have to agree this is a great question.  And you can’t bypass the question or the cloud will never be trusted.  People need to feel comfortable with this issue.

Here is how I approach this subject…

Walk the client through their history of balancing risk and security in their own lives.  I stair-step them through this concept.  We all balance risk and security in our lives.  That is, we all have assumed some amount of risk for the security we assume that each decision brings.  I tell clients that at one point in their lives, they assumed some amount of risk by handing their debit card over to the waitress at the local restaurant (basically a stranger), because they felt there was sufficient security (implemented by the restaurant) to make this decision.  This unconscious balancing act brought more convenience to their lives.  That was the first stair step.

The next stair step is when they assumed more financial risk when they began doing their personal banking online.  They assumed (whether accurately or inaccurately) that the bank had implemented enough security features to make their lives that much more convenient.  That was the move up yet another stair step in this balancing act.

And now the next stair step is simply moving their small firm or business processes into the cloud.  The client will have to make this decision for themselves – don’t try to push them into a decision they are not comfortable with (that is disastrous).  But explain this move is just another step on the stairs of weighing risk and security.  We often then move into specific discussions of the little risk of the cloud, and the security features most cloud-based software companies have implemented (which most mirror that of the client’s online personal online bank).

In doing this, remember a couple of other things:

1.  Practice what you preach – don’t try to sell the cloud if you are not implementing it yourself, and

2.  There is risk in moving to the clouds.  But there is also risk with self-managed or firm-hosted servers and software too.  We can never get away from the risk and security issues in every part of our lives.  Don’t let people/clients get away with claiming there is no risk by keeping their software on their own computers in their IT closet.  That is a failed argument and can be blown away by simply reading the local newspapers.

How do you sell the cloud?  Or do you even believe in the cloud?

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Beloit College
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Beloit College releases a mindset list every year, which “provides a look at the cultural touchstones that shape the lives of students entering college…”.  Some of it is shocking.  The students entering this fall (born in 1992) have these things in common (the full list, Copyright (c) 2010 Beloit College, can be found here):

1. Few in the class know how to write in cursive.

2. Email is just too slow, and they seldom if ever use snail mail.

10. A quarter of the class has at least one immigrant parent, and the immigration debate is not a big priority…unless it involves “real” aliens from another planet.

11. John McEnroe has never played professional tennis.

12. Clint Eastwood is better known as a sensitive director than as Dirty Harry.

16. Korean cars have always been a staple on American highways.

17. Trading Chocolate the Moose for Patti the Platypus helped build their Beanie Baby collection.

18. Fergie is a pop singer, not a princess.

19. They never twisted the coiled handset wire aimlessly around their wrists while chatting on the phone.

25. Leno and Letterman have always been trading insults on opposing networks.

27. Computers have never lacked a CD-ROM disk drive.

32. Czechoslovakia has never existed.

35. Once they got through security, going to the airport has always resembled going to the mall.

43. Russians and Americans have always been living together in space.

44. The dominance of television news by the three networks passed while they were still in their cribs.

46. Nirvana is on the classic oldies station.

50. Toothpaste tubes have always stood up on their caps.

57. A purple dinosaur has always supplanted Barney Google and Barney Fife.

58. Beethoven has always been a dog.

59. By the time their folks might have noticed Coca Cola’s new Tab Clear, it was gone.

60. Walmart has never sold handguns over the counter in the lower 48.

61. Presidential appointees have always been required to be more precise about paying their nannies’ withholding tax, or else.

62. Having hundreds of cable channels but nothing to watch has always been routine.

64. The U.S, Canada, and Mexico have always agreed to trade freely.

65. They first met Michelangelo when he was just a computer virus.

68. They have never worried about a Russian missile strike on the U.S.

69. The Post Office has always been going broke.

70. The artist formerly known as Snoop Doggy Dogg has always been rapping.

71. The nation has never approved of the job Congress is doing.

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1.  Their newest Small Business Blog – GoSee

2.  The Google Domestic Trends site tracks Google searches beside other finance indices to map their correlation.  Amazing results! – GoSee

3.  Consume media in a whole new way with Google’s News Timeline – GoSee

Thanks, Jason M. Blumer, CPA

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Unofficial seal of the United States Congress
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Congress is trying their best to get a small business “boost” bill passed before their August recess, but it doesn’t seem to be.

I have nothing against bills for small business, but I am against the costs of this bill: the CBO estimates it will cost some $3.3 Billion we just don’t have to spend.  We have dumped trillions of dollars on the deficit in the past year or so, and I just can’t see how it is sustainable (…for my children).

This bill will:

-create a Small Business Credit Initiative where Congress will allocate $2 Billion for states to somehow increase the amount of capital to small businesses (I believe they would use some type of quasi-governmental organization like Small Business Development Centers to doll out the money but not sure),

-create a Small Business Lending Fund where the Treasury would be authorized to purchase preferred stock in financial institutions.

This last point just makes me mad! I am SOOOOO freakin’ against this new trend of the federal government owning private companies like GM, banks, etc.  Where did this trend come from?  How did this start?  The federal government is turning into an investor – do you agree with this?  Leave it in the comments.

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“…think of your client list as a special club with you as the host.  Part of your job is to make sure club members get together to synergize their business opportunities.”

Firm of the Future, Ron Baker

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1.  First, here are the basics of HTML 5 – GoSee (if you’re a real nerd, you’ll watch this interesting 42 minute video on its introduction and use)

2.  Here is a page from Apple showing off what HTML 5 can do (note: no Adobe Flash Player) – GoSee

3.  WebM, a new type of video file (that doesn’t need the proprietary Adobe Flash Player) – GoSee

The world is changing on the web… hang on for the ride.

Jason M. Blumer

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A client sent me a great article on how to build referrals in your business.  It got me thinking about some other recent stuff I’ve read on building referrals.

Here are some of my take aways:

1.  Asking for referrals is one of the greatest ways to build business, but we never do it.  If you consistently serve your clients well, then they would probably be happy to send you referrals.  They’re just busy (like you) and don’t think about it.  Ask!

2.  Ask for referrals right after you’ve delivered a superior service or product.  Start it this way, “If I was able to add value to you, do you think there is anyone you know that I could help as well?”

3.  Setup a process to ask for referrals.  Our firm’s marketing person (my wife) has helped me do this in our firm.  We have made a list of the top clients that we do a lot of work for, and have strategically put them on my calendar throughout the year to call and ask for a referral.  If we didn’t have a process, I would have forgotten.  But its working.

4.  Tell your referral sources about what you do, and who would make a good client.  I often meet with potential contacts just to see what they need and what type of client they are looking for.  Likewise, they ask me what type of client I am looking for.  We often think of clients that could mutually benefit each other right in our meeting.  Very helpful.

5.  Meet a lot of new people.  This takes a lot of time, but anytime I travel, I’m always looking to meet new people in the city I’m traveling to.  Never waste that opportunity to simply make an acquaintance with other people.  You never know, maybe the barista’s brother-in-law just told him about a friend’s mother that needs your services.  Building your business ALWAYS means building relationships – you never know where it will lead.

Thanks, Jason M. Blumer

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