Moving Forward: A Roadmap to Growth in 2010

We are pleased to announce the first of four

CEO Seminars  |  Tues March 23, 2010

7:30am -9:00am, 75 Federal Street, Boston

(offices of Furman Gregory Deptula)

RSVP: Rudi Scheiber-Kurtz at 781-929-9125 or scheiberkurtz@nextstagesolutions.com

The “new” economy brings its own set of challenges to companies who want to grow or plan an exit.

In the first of 4 seminars for CEO’s in 2010, we will begin by focusing the discussion on various ways of balancing the risks in our businesses.

  • How can I build out infrastructure and create a model that is both flexible and adaptable, one that can constrict and expand with minimum costs?
  • What value can I bring to my business by outsourcing any non-core competency to keep agile and nimble?
  • What are the next-step tools and solutions in how I can achieve desired growth in a recharged economy and preserve cash with a conservative budget?
  • How do I finance growth in today’s economy?
  • What innovative strategies can I adopt to increase value in my business that may not involve raising capital?

Join us for a 90-minute interactive dialogue and take back valuable insights from other fast growth CEO’s.  Learn tools, tips and trends to help you navigate in this new economy.

Attendance will be limited to allow more in-depth and interactive discussion. Future seminars will focus on specific topics such as financing, sales and marketing, legal, partnering, and exits.

Why you should attend:

  • Network with other CEO’s and gain visibility to best practices in the marketplace today
  • Develop new partnering strategies for growing your business
  • Learn how to avoid pitfalls of outsourcing key aspects of your business
  • Gain critical insights into key legal, financial, and human capital issues in 2010 that will impact your business

Location: 75 Federal Street, 9th Floor, Boston, MA at the offices of Furman Gregory Deptula

Time: 7:30am Continental Breakfast

Program: 7:45am – 9:00am

RSVP: Rudi Scheiber-Kurtz at 781-929-9125 or scheiberkurtz@nextstagesolutions.com

Sponsored by:

nss-logo

furman

insight

Financing Seminar for small to medium sized businesses on Wed Feb 24th 9am-11am

Next Stage Solutions recommends this seminar around financing in these economic difficult times.  It is led by Itamar Chalif, principal of Atlantic Capital Solutions in Middleboro, MA.

His announcement:

Due to the great success and overwhelming requests since my seminar earlier this month, I have decided to present my seminar again on Wednesday February 24, 2010.

It will be kept free one more time in order to allow anyone who wishes to learn about strategic planning and controlling their business’s financing to be able to attend, regardless of their circumstances.

This is an information session in a 2 hour seminar from 9:00 – 11:00 a.m.

9:00 – 9:20 doors open with coffee & networking

9:20 – 10:30 seminar

10:30 – 10:45 Questions & Answers

10:45 – 11:00 Networking

My seminar is called “What Every Small-Business Owner Should Know About Small-Business Financing,”  will take place at the Middleboro Holiday Inn Express, conveniently located immediately off of Route 495 at exit 6. The address is 43 Harding St Middleboro, MA 02346.

The seminar is geared toward the small-business owner and the professional who serves as a trusted adviser to businesses. Attendees will benefit from learning more about the different type of financing options that exist, their advantages and disadvantages, and how to evaluate a business’s financing strategy.  Topics will include:

·        Business Financing “Landmines” to avoid

·        Differences between consumer and business financing

·        Three vital elements to consider in a business transaction (from a financing point of view)

·        A comparison of financing options and how each may affect the survival/growth potential of a business

“Anyone who is considering financing or has had any questions about the best ways to finance business expansion or equipment should take advantage of this opportunity,” said Chalif, who has spoken before national organizations on this topic.

Atlantic Capital Solutions (ACS) provides specialized, one-to-one servicing in helping business owners and entrepreneurs attain financing. The company works with business owners, controllers, CFOs and other decision-makers, entrepreneurs, and equipment vendors.

ACS’s offerings include the following programs:

·        New and used equipment leasing/financingSmall Business Administration

·        (SBA) options

·        Non SBA solutions for start-up businesses

·        Commercial mortgages

·        Terminal Rental Adjustment Clause

·        (TRAC) leases

·        Lines of credit

·        Working capital loans

·        Business acquisitions

·        Factoring (accounts receivable funding)

Space is limited and interested parties must register by February 19th.  To register, please do so by e-mail,  itamar@acsus.biz or for additional information call 1-877-ACSUS-14.

I look forward to seeing you there.

Itamar Chalif

Atlantic Capital Solutions

New England technology leaders recognized as MHT Women to Watch

Mass High Tech announced the names of 11 women from the New England tech community who will be recognized in March as the 2010 MHT Women to Watch. This year’s honorees will be profiled in the March 17 issue of Mass High Tech and will be recognized at a special event on March 19 (read more)

NSS congratulates the 11 outstanding women!

The 2010 honorees, their titles, industries and locations are:

Marcie Black, Chief technology officer, Bandgap Engineering Inc., Photovoltaic systems, Woburn

A.G. Breitenstein, Vice president and general manager for provider markets, Humedica Inc., Healthcare IT, Boston

Catherine Crawford, Senior technical staff member, IBM Corp., Supercomputers, Bedford, N.H.

Lauren Crews, Technology coordinator, Raytheon Co., Defense, Andover

Elizabet de los Pinos, Chief executive officer, Aura Biosciences Inc., Biotechnology, Cambridge

Michelle Dipp, Vice president and head of the U.S. Centre for External Drug Discovery, GlaxoSmithKline plc, Biotechnology, Cambridge

Jill Drury, Associate department head, The Mitre Corp., Robotics, Bedford

Candace Fleming, Chief executive officer, Crimson Hexagon Inc., Social networking, Cambridge

Katie Hall, Chief technology officer, Witricity Corp., Electronics, Cambridge

Dava Newman, Professor of aeronautics, astronomics and engineering systems, Massachusetts Institute of Technology, Aerospace, Cambridge

Livia Racz, Division leader for advanced hardware development, Charles Stark Draper Laboratory Inc., Electronics, Cambridge

Rent a CFO? Yes, but what kind?

Last month the Wall Street Journal published an article For Rent: Chief Financial Officer by Raymond Flandez, commenting in how more and more firms are outsourcing this high level function of management. For businesses small and large, especially companies that want to grow, the finances do get more complex. He points out that many of these ‘Rent a CFOs’ are also Certified Public Accountants.

I agree wholeheartedly with Flandez’  assessment  that an outsourced interim or part-time CFO is a capital efficient way to access this expertise and an outsourced CFO can be more objective and give a reality check. I also agree that many of the CFOs are indeed CPAs and this is partially due to the Sarbanes-Oxley Act of 2002 (SOX)  that has driven businesses and their CEOs more to the compliance and technical side of finance enforcing the common belief that if you have a controller and an accountant your financial needs are covered.  That may apply to life style companies who do not intend to grow but simply run a sustainable business.

From this juncture, however, is where I begin to differ.  A company with expansion and growth in their forecast, the paradigm has to shift drastically from technical to strategic. In fact, not recognizing the importance of strategic finance and solely relying on your controller’s risk aversion, you may be holding your company back from that growth.  Here is why I think so.

For a fast growing company, the financial spectrum has to be broader and therefore more complex as pointed out by the author of the WSJ article.  You want to consider a broad based and strategic CFO, one that picks up where the CPA or controller leaves off.  The CFO is your business partner and brings a strategic organizational mind set to the discussion and understands the importance of mapping out the corporate strategy into multiple roadmaps.  Given uncertain economic times, this is more important than ever.  Finance for emerging businesses brings a complexity that is more than accounting and number crunching.

The CEO needs to fully understand the financial ramification and bottom line each decision triggers. SOX compliancy has driven us too far towards the tactical aspect of finance forgetting the importance of looking forward, checking your Financial Headlights.  The CFO plays an important role acting as conduit to growth and walking the fine line between the risk-averse controller and the visionary CEO.  Your future CFO needs to have average appetite for risk, not too little and not too much, understand how to translate the corporate strategy and be a true value creator and not a gatekeeper of growth.

Rudi Scheiber-Kurtz, CEO
Next Stage Solutions, Inc.

Boston Globe writes about SwissNex

pascal-marmier

Swiss consul general Pascal Marmier has helped transform the Cambridge consulate into a leading-edge diplomatic outpost.    (Pat Greenhouse/ Globe Staff)

SwissNex is an innovative idea of bridging technology and science between two countries – the USA and Switzerland.  As a Swiss Native, I have been very involved in the various activities, particularly with the Venture Leaders.  These are 20 start-ups that each year get chosen by CTI in Switzerland to visit Boston.  Pascal and the SwissNex team host this group and bring Boston area coaches and experts in to provide feedback around fund raising, scaling and entering the US market.

The Boston Globe had a write up last month titledDiplomacy opens a portal to profit- Boston’s consulates focus on business“  talking about the dynamic consul general Pascal Marmier and how other consulates are now creating similar venues. Pascal is a new breed of consuls, with energy and  innovative thinking abound. He is also the networking king par-excellence.  We are very lucky to have him as our consul general.

To brag just a little more, Switzerland ranked #1 in Global Competitiveness by the World Economic Forum.  Checkout the report:   The Global Competitiveness Report 2009-2010

Rudi Scheiber-Kurtz, CEO
Next Stage Solutions, Inc.

Postponement of Mass. Privacy Regulations to March 1, 2010

Commonwealth’s Privacy Regulations Revised and Simplified

Citing concessions to the burdens placed on small businesses, on August 17, 2009, the Commonwealth’s Office of Consumer Affairs and Business Regulation (“OCABR”) again revised the so-called identity theft or privacy regulations, further extending the date for compliance until March 1, 2010.

The major conceptual change in the revised regulations is their new emphasis on a “risk-based approach” to implementation.  In plain terms, a company now has the flexibility to scale its efforts  in implementing the regulations based on “the size, nature of its business, the kinds of records it maintains, and the risk of identity theft posed by its operations,” as summarized by the OCABR.  Where the prior version of the regulations indicated that compliance would be judged (assumedly at the time of enforcement) in light of the relative business size along with the amount and accessibility of personal information, that scalability has now shifted to the demands required of a business in initially implementing the regulations.  According to OCABR, the “[n]ew language in the regulations recognizes that the size of a business and amount of personal information it handles plays a role in the data security plan the business creates.”

The revised regulations postpone, again, the date for compliance an additional two months (formerly the deadline was January 1, 2010).  The plain language of the remaining changes to the regulations tighten, focus and simplify language, but do not appear to materially change the process for businesses.  Each company must still evaluate its use and storage of personal information, create a comprehensive written security plan or plans, implement feasible safeguards (including employee training and reasonable protection of electronically stored and transmitted information), and monitor and report breaches and unauthorized disclosures – although each phase may be moderated to the scale and nature of business operations and volume of protected information.  A public hearing on the revisions will be held by OCABR on September 22, 2009, which may result in further updates.  Look for additional alerts throughout the fall.

For more information on these topics, please contact:

Karen A. Whitley, Esq. 617-226-3402 : kaw@hanify.com

Kathleen E. Cross, Esq. 617-226-3433 : kec@hanify.com

This alert may be considered advertising under the rules of the Supreme Judicial Court of Massachusetts.  The information in this alert is provided for background purposes and should not be considered legal advice.  Hanify & King, Profession Corporation © 2009

NSS joined AIM

NSS has joined AIM as a corporate member this week.  In an earlier blog I wrote about the BuyMass.org website, the Massachusetts online business-to-business network.  AIM created this website along with the Commonwealth of Massachusetts.  It is all about creating jobs and bringing economic opportunity to Massachusetts.

We believe that NSS offers a unique value to emerging businesses of the Commonwealth with our CFO on Demand model.  Our CFO team is highly experienced not only in the arena of finance, but also in operations and management.  Today’s CFO needs to provide more than the governance piece of finance by bringing the organizational mind set to the table. We understand how to grow companies and hope to be of value to the other AIM members.

Rudi Scheiber-Kurtz, CEO
Next Stage Solutions, Inc.

The Emperor has Know Clothes

Leadership skills and tools are more important than ever in troubling economic times.  Indeed we do not “want to waste a good crisis” as John Chambers, CEO of Cisco Systems claims!  Ruth Gerath, President of Gerath & Co. and an NSS Ambassador, provided us with a thought provoking piece on leadership and how we might lead in uncertain times.

Enjoy…

The Emperor has Know Clothes

Sometimes we look for something new when the old is what would work best.  I was thinking about that, and about writing this article on leadership, when I heard a piece on the radio about a fellow in England, a consultant, who promises his clients that at the end of his team-building program their employees will be so comfortable with, and trusting of each other that they will happily work together in the nude.   The host was interviewing a business owner who had hired this man.  Okay, I’ll bite, I thought as I shoved my skepticism aside.

The owner said that he had been looking for a way to get his team to work more collaboratively in order to generate new ideas for weathering the current financial storm.  I imagined his entire staff in a conference room for two days, knowing what the end game was, and wondering how fast they could contract swine flu.

The host asked the obvious, burning questions:  “So, did you actually come to work nude at the end of the program?”  To which the man responded that indeed he had.  “Did you drive to work nude, or change at the office?”  Turns out the brave fellow left his home, got into his car, and drove to work in the buff.  “Were you concerned about others seeing you in the car?” inquired the host.  He was not because he left the home very early, missing the morning commute traffic. Somehow that felt like cheating to me but I decided I should give the guy a pass – perhaps I was being a bit too picky.

By this time I’d forgotten all about my annoyance at the lack of business impact questions and was going straight down the path with the host.  What did this guy look like?  Was he in shape?  Would it be more daring a deed if he weren’t?  What did his employees look like?  How many men versus women were in the group?  Did they look at each, or just pass in the halls, eyes downcast, slinking to their desks when they arrived sans clothing?  Did they bring towels to sit on? 

Unfortunately for my voyeuristic curiosity, the host didn’t go there and I was left to create a scene in my mind – which I did.  In fact I created several.

Personally, I would have found a good reason, like surgery, to avoid that particular team-building experience.   But the larger point is that finding effective ways to deal with challenges is a hallmark of great leadership, and one need not take extreme measures to make an impact.

A current example of strong leadership in this economy is Cisco Systems’, CEO John Chambers.  In a July 28th, 2009 interview with Michael Malone of The Wall Street Journal Mr. Chambers said, “You never want to waste a good crisis.”  He should know; he’s been through many, starting with overcoming dyslexia to achieve both a law degree and MBA, to bringing his company back from the tech bubble implosion.  Today he’s transforming his company, which includes an ever-expanding stable of acquisitions, from a command and control leadership style to one of collaboration and teamwork, because that is what he sees as the future.  He openly admits that he’s more comfortable with a command and control leadership style, but says that it won’t continue to work as the internet drives behavior, both business and personal, to a collaborative, team based experience.  His senior staff has to make that same mental leap now that the company is moving to a shared responsibility model of leadership.

Leaders like John Chambers are looking beyond the current economy and asking themselves important time-honored questions like:  What do I need to do today to best position my company for the future? What can I do to inspire my team with my vision? Does the company’s culture foster collaborative teamwork? Do I enable my team to speak openly about new ideas and business solutions?  Questions like these lubricate the mind and keep old thoughts from constantly running on the same mental tracks, leading to the same destinations.

Leaders inspire.  They light the path for others. Gandhi said, “Your beliefs become your thoughts, your thoughts become your words, your words become your actions, your actions become your habits, your habits become your destiny.”

Effective leaders challenge and fine-tune their thoughts, words, actions and habits regularly.  They ask probing questions of themselves and of their people.  These skills are as old as leadership itself.  They’ve stood the test of time – because they work. 

Gerath & Company
978-263-3060 / office
978-808-4231 / cell
978-263-1796 / fax
ruth@gerath.com
www.gerath.com

Growth – How Should You Plan?

What are your indicator factors as a sign of returning confidence in the economy? I posed this question to a few business colleagues in early summer.  Oscar Jazdowski of Silicon Valley Bank (Growth Companies Services) is looking for 2-3 consecutive months of flat unemployment.  Currently, unemployment is still going up, making it the highest in 25 years, but the Index of Leading Economic Indicators has shown growth each of the last 4 months.  So running a business, what should you be aware of and plan in the near future?

Laura Kevghas of Mirus Capital is beginning to see an uptick in the strategic buyers who have money in the bank and are beginning to consider acquisitions once again.  She states that strategics have seemingly had their wallets closed, but are now starting to consider making some acquisitions that fill a strategic hole or which will help grow their market share when business starts to turn around. Ms. Kevghas also points out to be on the alert if one strategic is interested in your business, there may be others as well; so it may be worthwhile to engage an investment banker to run a complete process.

Conservation of cash and strong management of your working capital is still a top priority.  Oscar Jazdowski recommends being ready for an upturn by having a pool of contract labor and more permanent hires that you can quickly engage.  Now is the time to work out several road maps or scenarios that will give you a competitive edge when the overall economy improves.

With this focus on cash management, you want to make sure you plan multiple scenarios over the next 6-12 months so that you can navigate optimally and be proactive.   You want to have these strategies mapped out financially to fully understand the ramifications of your future decisions. I call them your NSS Financial Headlights™.

Strengthen marketing and sales during this economic growth, albeit slow, and keep your business out in the market – visible and ready to respond, suggests Laura Kevghas.

In my opinion, it is also an opportune time to evaluate your exit strategy. Where do you want your company to be in 3-5 years?  Consider succession planning and optimize market value and consider this long term plan in your annual budgeting process.

Send us an email or call us at 617-449-7728 to discuss how we may help you build your business and give you  a competitive edge with our expertise in strategic finance.

Rudi Scheiber-Kurtz, CEO of Next Stage Solutions, Inc.

Discrimination and Harrasment Claims on the Rise

We are happy to have another guest blogger, Lauren Brenner, President of the HCR Group telling us what CEO’s need to know about Discrimination and Harassment claims.

DISCRIMINATION AND HARASSMENT CLAIMS ON THE RISE

When was the last time you distributed your Anti-Harassment Policy, trained your Managers/Supervisors on their compliance obligations and conducted Anti-Harassment Training with your employees?

Reality Check:

The most recent statistics are from 2007 and states that 75,768 EEOC (Equal Employment Opportunity Commission) claims were filed, resulting in $229,900,000 in monetary awards (Note: this does not include lost company time or legal fee expenses).

In Massachusetts during this same period, 3,413 MCAD (Massachusetts Commission Against Discrimination) cases were filed, of which 83% of claims were employment related, the other 17 % were filed for housing, public accommodations-related situations.

Of the MCAD filings the top 6 complaint categories were:

Disability – 20.5%
Sex – 17.4%
Race – 19.3%
Retaliation – 13%
Age – 9.4%
National Origin – 8.8%

What Can You Do?

Whether you have 1 employee to several hundred, you need to protect your organization.  This includes:

  • Training managers and supervisors as to their legal obligations so that they can help to enforce a zero tolerance policy;
  • Adding the term “zero tolerance” in all written anti-discrimination and harassment policies and procedures;
  • Conducting annual anti-discrimination and harassment training for all employees and maintain the proper postings in common areas in the workplace; and
  • Instructing supervisors and managers to report, and your designated Human Resources Representative to investigate any and all complaints made by employees, no matter how trivial or inconsequential.

Please contact Lauren Brenner, President/HR Division, HCR Group if you would like more information.