WANTED: Your Confidential & Sensitive Data

Guess what? Your credit card number is less valuable to attackers today. Too bad they still want it, along with you Facebook credentials. We know this how? Recently Symantec released another security report. The security report said that the price of stolen credit cards dropped dramatically from previous years. The drop off is due to numerous factors, but one thing that seems to stand out is the amount of credit cards there are in circulation. Since there are so many credit cards avaliable, these sellers have to lower their prices if they want customers.

However, while credit cards have dropped in value, peoples social network credentials are becoming more valuable. During the past year, botnets were seen sweeping Facebook and other social networking sites for login credentials. Why are peoples social network credentials in demand? If attackers gain social network credentials, they can then use those platforms to launch malware attacks and spam campaigns. These attacks are often more successful. Why? Since many people divulge a lot of personal information on sites like these, an attacker can comb through a user’s profile and imitate them well enough to fool people into clicking on links that have malware embedded in them.

Since many of these malicious link are shortened, it is a challenge for social networks to determine which of the shortened links are trustworthy.  Remember that article I wrote on hacking toolkits? Well many of these toolkits are used to initiate these malware attacks, because many of them use Java. Since Java can run on almost any platform and browser, this means that these attacks cannot really be avoided by switching platforms or browsers. All of the toolkits have a high infection rate, which means that the infections can spread very fast and to a wide number of users if the toolkits are used. Social networks are also targeted because they enable attackers to get access to business information which can then be used to get sensitive data from those businesses attacked.

One platform that has not quite been hit by attacks is the mobile platform. Currently, very many people do not not use their mobile devices for online banking and other sensitive data transactions. Thus there is no real incentive for attackers to seriously target mobile devices. (They still do target them and the number of attacks is increasing, but there have not really been any widespread attacks.) However, as mobile devices become more sophisticated and as more users start using them for online banking and other sensitive data transactions, attackers will quickly start targeting mobile devices in rapid numbers.

What do you think of this?

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Put the web to WORK

In a down economy, Small Businesses need to exploit every possible advantage available to them.

An often overlook and underutilized Small Business asset is the good ol’ company website. Websites are nothing new, and nearly everyone has one by now (there are by far more registered websites than human beings on the planet). Most Small Businesses easily have multiple ways to launch a website for free. How many of these websites are effective business assets?

To truly assist Your Small Business, a website must, at a minimum, do three things:

1. Burnish your brand
2. Generate leads
3. Increase revenue

Burnish your brand: in today’s economy, a website has to be more than a digital business card. Business cards are cheaper than dirt, and you hand them out like toothpicks. Not much ROI there. Your website is your first, best chance to:

1. Introduce yourself
2. Promote your business
3. Establish your qualifications
4. Create your online identity
5. Build a reputation

The old saying “you don’t get a second chance to make a first impression” is especially true of websites: the “Back” button is just a click away, and you have about five seconds to convince the site visitor not to… click away.

Generate leads: Does your website have a form for customers to contact Your Small Business? Don’t assume the site visitor will actually take the time to pick up the phone, or open their email tool and compose a message. Visiting a website is like an impulse purchase – if you site does capture their attention, you must make it as easy as possible for the potential customer or client to move to the next step, and contact you right NOW!

Increase revenue: Many of your existing clients may not have discovered you by an Internet search, but that doesn’t mean you can afford to ignore the power of the web to find new business with old customers. It’s a well know fact that it costs more in time and money to acquire a client than to retain one — what are we doing about it?

Does your website cross-promote goods or services, especially to those currently doing business with you? Do you offer special deals or discounts to favored customers? You could have special content for registered visitors to your website, and create login accounts for your existing clientele – again, don’t assume that they will take it upon themselves to sign up on their own. They are just as busy as you are, so you’ve got to make it almost effortless for them to do more business with you.

This is not the same as spamming them with unwanted messages – they already do business with you. Everyone likes to feel special, and be treated with special regard. Make sure your focus is the added value to their lives and businesses, not your desire for more of their money.

Review your records and invoices — what goods or services have they already purchased in the past? What else do they want, or need, and how can you let them know that you can provide these quickly, conveniently and affordably?

Remember that a “down” economy is always an opportunity to invent new possibilities – use Your Small Business website to create as many new opportunities as possible, and you’ll find undiscovered wealth right inside your web browser.

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Guest Post: Web Design Contracts – Protect Yourself & Your New Business

Well, how did you celebrate National Start a Business Month? Did you finally drag yourself off the couch and put those long mulled-over dreams of running your own business into motion?  Good for you! And like all businesses today, you are planning to stake a claim to your own piece of cyberspace with your business’s website, right? Of course you are. In fact, you’ve finally found the right web designer, who has offered you a great price on setting up your website, and you simply can’t wait to get started.

Hold the phone, Jack. To protect you, your brand new business venture and even your website designer, get your website design agreement in writing. Make sure it clearly states what the responsibilities are for both parties and what happens should problems arise. But you’ve never had a website before, so how are you supposed to know should be included? Here is a brief summary of ten points your agreement should cover:

1. Description of Work

This is the most important aspect of the entire project. – exactly what is the website developer going to do for you? Think about a 5-sentence summary of the scope of service, including such things as number of pages, programs, or scripts to be built, graphics to be created, content to be written. How will the website be updated? Who will host the website when the project is done?

2. How Much Will it Cost and When are Payments Due?

State the exact price payment and terms of the payment if split up into installments. Is the project quoted at a fixed rate, or is it an hourly rate, and how is this tracked? Will there be a down payment and a monthly billing cycle, or will it be a milestone-related payment system? And how will payment be made – electronically, by check – and what happens if payments are late?

3. Length of Contract and Ending the Contract

How long will this contract be enforceable and what happens if either party wants out? What are the penalties and notice that must be given before they can exit the contract? For an unfinished project, who gets to keep the work that has been done?

4. Who Owns the Website?

Who gets to keep the intellectual property to the project? Typically, in this work-for-hire situation, the client retains all intellectual property, such as the source code, all digital files, documentation, images, multimedia, programs, website design, and the like.

5. Keeping Secrets

You may want to treat all information that you provide to the developer as highly confidential that cannot be disclosed. If so, make sure the agreement is specific as to what information can and cannot be publicly disclosed. Many website developers use their portfolio of clients as sales tools for other clients – will you allow the developer to mention that they are working for the client during the course of the project to other prospects or potential clients? Specify how the developer will be credited on your site.

6. Providing a Warranty and Possible Disclaimers

Having a warranty on the developed website is standard in most website projects. Typically, website developers give a 30-90 day warranty on all work to be functional and bug free. However, if you have access to the site during development and screw something up, that may void the warranty.

7. Limit the Liability

This states that the website developer is not responsible for damages or money losses that occur outside of the consequences of his direct actions in developing the website.

8. Relation of Parties

Make sure that you and the developer understand what your relationship is. Is the relationship a development partnership? Is it strictly a work-for-hire type relationship? Is it a client and vendor relationship? If not a partnership, make sure that you specify that the developer is an independent contractor and no employment relationship is created.

9. Website Maintenance and Changes

Most developers want to post a site and be done with it, but most businesses want to have a continuing relationship with you. Include in the contract how long the developer will be available to assist with learning to maintain the new site and what types of things he will fix. Specify whether the developer will maintain the domain, set up e-mail, maintain the site, etc.

10. How to Handle Disputes

Make sure the contract defines how disputes will be handled, whether by litigation or arbitration. Arbitration avoids court costs and many legal fees and the parties can agree what law will apply, where the arbitration will take place and who will pay for it (generally the loser).

These ten points should lead to a successful web design and development contract and will give a peace of mind to both the client and website developer and will pave the way to a trusting business relationship. It’s a good idea to get your contract looked over by a lawyer to make sure you haven’t forgotten anything.

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Gregg Hand is the principal attorney at Hand Law Offices LLC, focusing on helping companies solve their business problems with suppliers, vendors, customers or competitors, offering counseling, advice, contract drafting and review, or litigation expertise. He also authors Briefs in a Bunch, a blog on legal advice for small companies.

Want to know more? Be sure to check out “The ‘Absolute Truth’ About Web Site Projects,” an informative seminar on May 14, 2011, led by Mayra Ruiz-McPherson, Principal & Founder of Ruiz McPherson Communications (@mayraruiz), and Gregg Hand, Esq., of Hand Law Offices LLC (@GreggHand). For information and registration, click here.

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Asked About Your Business? Better Get a Good “Story”

What’s your company’s story?  As we’ve been talking to partners, investors and media people, that seems to be a favorite question.  At first, the question comes across as a bit offensive.  I mean if I’m at a party and someone I’m introduced to starts off the conversation with “what’s your story”, I’d start thinking of how to get leave the room without making a scene.  What’s my story, bud, what the hell is your story?!

But my defensive/aggressive nature aside, “what’s your story” is an invitation for you to describe your company and management team in the best possible light.  I mean, yes, it’s a bit demeaning in the sense that you’d like to think your company’s story is unique and shouldn’t be bucketed into a group of other relatable concepts.  But it’s also empowering and a chance to frame the debate.  Let me give you an example:

Here’s the KikScore unvarnished history: 5 nights and weekends entrepreneurs – mostly from the Midwest — with a product that helps promote a business’ reputation and trustworthiness.

Here’s what I say when I’m asked what KikScore’s “Story”:  KikScore is FaceBook meets Twitter meets Foursquare.  It was founded by 5 former British Royals and a reclusive vampire with extensive .Net coding experience. 

See how much better the second version of our “story” is?  Sometimes, when I’m asked the question, I start telling the story of my favorite Friends episode.  If they don’t like the joke, at least I get to remember Friends. 

So, dear readers, what’s your business’ story?  Make it good.

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Your data IS Your Business: Dynamic data

In my previous post on data protection, we discussed the three types of Small Business data:

1. Dynamic data
2. Active data
3. Archive data

There are different methods required to best protect the different types of data your Small Business depends on. Note that I said “protect“, and not “backup” you data. Backing up your data is the most important part of protecting it. But steps must be taken before and after backup to make sure the process actually provides protection, and not just repeated activity.

Before backing up your data, you must determine two things: 1) which data will you backup? and 2) how frequently will you backup that data? The answers vary depending on which of type of data we’re considering.

After backup, the most important questions are: 1) how long will you keep that backup? and 2) how many different versions of this backup do you want, and why? These questions, no doubt, are answered differently, based upon the type of data being considered.

Dynamic data, being the most important, comes first – it’s what your Small Business is working on right now. Today’s email correspondence, the document that will become an email attachment as soon as it’s completed. Even your web browser bookmarks have a greater business impact than you might realize. It’s “Dynamic”, after all: you must have the current version of whatever document, diagram, link or bookmark you depend upon for your Small Business to compete and function effectively.

The fact that is often overlooked by Small Businesses is that dynamic data not only has to be backed up, but backed up dynamically. Last night’s version of a file you’ve been working on for hours is no help if your computer’s disk dies, or you corrupt or overwrite the file. Scheduled nightly backups are fine for protecting active data, but to protect your dynamic data, you need more frequent backups.

The problem with this suggestion is that you are simply not going to perform  six, eight, ten or more backups a day… you’re too busy running your business, and the backup process is too complex and involved to justify the distraction and disruption. Fortunately, this issue has been confronted by the huge mega-corporations’ IT departments, given a name – Continuous Data Protection – and more importantly, they’ve given us a solution.

What you need is a program that will backup your dynamic data either at regularly scheduled intervals throughout the day, or as the data actually changes. Or one that does both, like IBM Tivoli CDP for files. Now, while I do prefer to recommend Open Source software when it provides the best solutions for your Small Buiness, sometimes, the best solution is a commercial product.

With IBM Tivoli CDP for files, you can:

1. back up all your dynamic data, both on a schedule and whenever it changes.
2. backup to as many as three different locations, for extra protection.
3. start protecting your data instead of spending hours learning how to setup the program.

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Ramblings of a Self-Diagnosed Insomniac

As a freshman business major at the University of Maryland, I am proud to say that I now have over a semesters’ worth of college experience under my belt. Unfortunately, that also means that I have a semesters’ worth of late nights: long hours in the study lounge, more coffee than I’d like to admit, and of course, that inevitable moment when your school’s website goes down an hour before the assignment is due. Of course.

Oh, the joys of being a college student in the 21st century! My friends and I love to “reminisce” about the days when assignments were due in class instead of online, at midnight. As a college student, don’t I have the right to pull a couple all-nighters?

We often hear that our society is so rapidly changing because of the technology that enables us to research, communicate, and collaborate so efficiently. However, does the Internet really benefit my schoolwork? Most of the time I would say definitely, but sometimes I wonder…especially if you consider the way that sites like Facebook and StumbleUpon fuel my procrastination.

It is for this very reason that I’m excited to be on board with KikScore, which is a company that hopes to revolutionize the way that people interact with the net.  Is it possible to harness the power of technology “good” and not “evil?” Well, of course…I just can’t wait to learn how.

Hi, my name is Jacelyn.  I’m new here and it’s very nice to meet you.

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Ever Wonder Why Small Businesses Need Internet Merchant Accounts? – This Post is For You!

What is an internet merchant account? It’s an account that allows you to have customers enter their credit card information directly on your website.  This means that customers don’t have to call, mail or fax their orders in.  When customer’s credit cards are accepted through an internet merchant accounts, they are immediately processed. An internet merchant account is only used for online transactions. If you have a regular merchant account, you will need to get an internet merchant account if you want to do online transactions. An internet merchant account provider such as North American Bancard is a one option to look into when searching for a provider.

Why do you need an internet merchant account if you already have a merchant account? Internet merchant account rules and regulations differ from merchant accounts.  You cannot process internet orders through a merchant account; you need an internet merchant account for this.  Since the merchant almost never sees the customer’s card, there are more stringent rules and regulations to protect against fraud for internet merchant accounts. To get started with an internet merchant account, it’s best to get one from a merchant account provider such as North American Bancard.  Why should you get an internet merchant account from a merchant account provider? The providers know the rules and regulations and can help you navigate the system.

How much does it cost? An internet merchant account costs the same as a mail/telephone order account.

What if you are using electronic checks? If you want to accept electronic check orders, you will need a separate internet merchant account called an electronic check internet merchant account. You will still need a regular merchant account.

Why is it beneficial to get an internet merchant account? If you do most of your business online, it is beneficial because it is a safe and easy way of allowing your customers to pay online. Internet merchant accounts are especially beneficial for small business who do most of their transactions online. Do you sell jewelry online? Then you might want to think of getting an internet merchant account. Using an internet merchant account means that the process of paying for a product or service will be faster than phone/fax/mail orders, which means happy customers!  Also if you have an internet merchant account, your business seems more reputable because your customers will know that their transactions are safer.

If you are using or have used an internet merchant account, what is your experience with it?

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Your Data IS Your Business

Even if your firm or organization doesn’t “do computers” by trade, computers are probably more important than you realize to your Small Business.

A lot of key information that was once kept in metal filing cabinets and on cardboard Rolodex cards is now more easily and accurately stored on computers.  Large amounts of information – data, in geek-speak – are stored primarily – if not exclusively – on your Small Business computers. E-mails. Electronic documents of all kinds: contracts, proposals, invoices, resumes, receipts. Contact information for clients, vendors, and other business associates.

To avoid finding yourself and/or your Small Business exposed to the sudden loss of critical, irreplaceable data, you’ve got to determine what is important data, and make certain you protect it. A blog can’t identify all of your critical data for you, but it can help you discover what the three main categories of business data are, and get an idea of the best methods for protecting each.

1. Dynamic data
2. Active data
3. Archive data

In short, there’s the information you’re working on right now (Dynamic data), the information you consume and create in the course of working (Active data), and finally the information your store for reference and compliance purposes (Archive data).

Dynamic data is stuff like: your email Inbox; the draft of a proposal to a potential client; digital photographs newly transferred from your camera or cell phone for business purposes. This data may be so new, it isn’t in it’s finished state. Should you lose it, you’ll most likely be unable to reproduce or precisely recreate it.

Active data is more stable, but no less important. It’s information like your central contact list – with all the important names, addresses, emails and phone numbers (you do have one, yes?); templates for the often used documents that are particular to your Small Business or tradecraft; your QuickBooks company file(s), financial spreadsheets, bank account information; access information for the essential online accounts – URLs, login IDs and passwords. Digital scans of physical items and documents.

Archive data is the information you may no longer actively use or consult, but still need to have readily available. Tax and other financial information. Old emails, completed To-do list and calendar information. Old contract agreements. Former employee data.

None of this information (except the QuickBooks files, of course) are specific to any program. Or any particular computer platform – Windows, Mac or Linux – for that matter. ALL of this and more make up the vital, mission-critical data most Small Business don’t even realize they depend upon. Until it’s damaged, or it disappears.

In the next post, we’ll discuss how to protect your Small Business from exposure to such risks by learning how to identify the data in each category, and adopt simple methods to protect against loss or damage.

See you soon.

Cornell Green is Your Open Source CIO, premiering his guest blog for KikScore. Visit him at https://opensourcecio.blogspot.com

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5 Reasons that Startups & SmallBiz Must Engage Their Customers

For some reason, recently I have talked to a number of people that have said the same thing to me.  They basically say that their startup, small business and even enterprise company is too busy to actually engage their customers.  Or they say that engaging and talking to your customers just is not a priority.  My response boils down to this:  Are you for real? Really, your business does not have time to talk to our customers or you think talking to customers isn’t really scalable so lets just not do it? That is garbage.

So I say stop right there.  Stop spending all your time on powerpoints, writing long blog posts that no one reads, trying to figure out ways to increase prices on your customers,  writing requirements for products your customers don’t want or chasing yet other pointless task.  As entrepreneur Mark Cuban said earlier this week:  YOUR CUSTOMERS OWN YOU Without your customers your business is WORTHLESS.  Why do so many people fail to understand that basic concept?

So here are 5 reasons (and a bonus one!) why your startup or small business needs make it a priority to talk to your customers as often as possible:

1. Stop being nameless and faceless to your customers. Your customers have lots of options. They use lots of products in their daily life.  So many of these products are from companies that customers think of as people in a far away skyscraper in New York or office park in the suburbs next to Red Lobster and Taco Bell.  So be different.  Put a name to a face for your business to your customers.  When a customer uses your product they can identify with a real person instead of some random brand name.  Human nature dictates that we all crave connections and if you can make that personal connection with a customer that will immediately distinguishes your business from all the noise that is out there.

2. Start creating deeper customer relationships out of the value you provide to your customers – Your customers have decided to do business with you.  They have taken the step to pick YOU!  So what should you do?  Close the loop and show them how much it means that your customer picked your business from everyone out there.  Then build on that value you are creating for your customer in their daily life and add some deeper bonds to that relationship by seeing (or listening) first hand how customers use your product, what are their other pain points for their own business.  Actually showing that you care about your customers will go a long way because no one else really does take the steps to show that they care.  Be different by showing that you give a hoot! It is that simple.

3. Get real feedback from your customers you can act on – Building on #2, take the opportunity to use your engagement with your customers to get tangible feedback about your product, the market, your competitors and your overall customer makeup.  There is no better market research then actually talking to customers and hearing first hand what they are saying.  I know people say it takes time to do this – to get the feedback and then to act on it.  My suggestion, start small.  One interaction a day, maybe two.  The snowball effect of the feedback will help your business because you will get to see your business and product directly through the eyes of your customers!  That is just invaluable. Here is an earlier post of ours on tools to help your business get feedback.

4. Gain credibility, loyalty and capital with customers – So you are getting feedback, showing that you care and are not nameless and faceless anymore.  What does this do in the totality for your customers?  Your business starts to create brand capital by building up credibility with your customers. This begins to set yourself apart from the crowd.  That credibility with your customer then begins to be translated into a hugely valuable asset and that is customer loyalty.  The reason why – because the customer sees that you are different than the others – you actually are paying attention to them. Back to high school and what happens when the cute guy/girl is paying attention to you – you notice!  So your customers begin to notice and start to conclude your business is different than the others because you care about your customers.  Sad, but that is a rare trait these days.

5. Time devoted to these relationships will help you in tough times & customers will not be so easy to turn their back on you – This all leads up to a major punchline.  And it is this basic.  Inevitably a customer will have a negative experience with your business.  With no customer engagement, no credibility, no loyalty that has been built by your engagement efforts, you will lose that customer during that bad experience.  On the other hand, if you have taken the time to engage your customers, that customer who is having a negative experience is much more likely to give you another chance.  Also if they complain to the community, the crowd of customers that you have also engaged can step in and have your back.  None of this happens without making customer engagement a central priority and following through.

6. (Bonus) Arming your customers with reasons to talk about your businesses – This is a no brainer.  The more you engage your customers and follow up with “wow” moments – the more opportunities you give them to be your best salesperson.  More stories mean more opportunities for your customers to spread the word about your business.  What better way for you to get you more business through your brand evangelists that tell the stories of you wowing your customers.

So lets bring it back to the main argument you hear against doing all of this. Bottom line: Too few resources is a lame excuse for not engaging your customers!  Try it by starting small. Everyone on your team needs to begin every morning engaging 1-2 customers and then build from there. Send a customer a short email or catch them on Twitter.  Even a one person startup can even do this form of limited engagement.  Still dont think this is worth your time? Zappos was founded on this customer engagement philosophy and I think it worked out pretty well for them.  And oh by the way, Zappos started with this philosophy from the very earliest days when their founders responded to every customer’s email!

We would love to hear your stories of customer engagement.  Feel free to leave them in the comments section.

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Two Worlds Clashed and Delivered this Awesome Margarita Machine

In one of the classic Seinfeld episodes, George Costanza doesn’t want his girlfriend to become chummy with his friends…as his worlds would collide and all would be lost.  Well, recently during some shopping tasks the online and offline shopping worlds have collided and I couldn’t be more excited. 

I could bore you with a story about how we saved some money on a recent home renovation purchase, but let’s get down to the brass tacks – thanks to the colliding worlds, I scored a very nice Jimmy Buffet Margaretville Fiji Series margarita machine. 

This baby does it all, margaritas, daiquiris, pina coladas and smoothies (who the hell cares about smoothies, but it is a feature, so I thought I’d mention it).  I’ve been coveting this beverage maker for a while – but it’s been a bit price prohibitive.  Something like $350 for a fancy blender that shaves ices didn’t seem like a prudent use of savings.

Then the world collision occurred…thanks to the ole’ iPad.  My wife was at a retail store and saw the gleaming beauty on the shelf…but with the same outrageous price.  However, she found it the store’s online store for $199.  Suddenly, margaritas at the dojomike household were flowing.

Let’s go over a few rules with this device:

1.  Measure the amount of alcohol:  When you’re at home making margaritas, it’s easy to wing it.  Ok, that’s fine with the first pitcher.  But pitcher number two, your ability to wing it becomes clouded.
2. Adding fruit improves the taste, but the alcohol level remains the same.
3. The theory of the “ice will water down the alcohol” doesn’t work.

Now go out there let your worlds collide.  And while you’re out there, can you pick me up some lime juice?

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