Category: Article

HIRE Act “Two new Tax Benefits Aid Employers Who Hire & retain Unemployed Workers”

The Hiring Incentives to Restore Employment (HIRE) Act, also known as the “jobs bill,” is a plan to create jobs by providing a temporary tax break to companies that hire the unemployed. The bill also extends federal highway programs through the end of the year.

Below is some additional information about the bill and what you need to know as an employer.  If you have any questions or need assistance, please contact Jacquelyn Campbell at 502-491-1980.

Click here to view the entire Act from the IRS’ website.

Fill out and print the Form W-11: HIRE Act Employee Affidavit.

eBridge Celebrates National Payroll Week

National Payroll Week celebrates the hard work by America’s 156 million wage earners and the payroll professionals who pay them. Together, through the payroll withholding system, they contribute, collect, report and deposit approximately $1.7 trillion, or 71.9%, of the annual revenue of the U.S. Treasury.

As a payroll provider, eBridge recognizes that payroll has evolved into a commodity based solutions and we have structured our payroll service to provide all the features and functionality to effectively pay your employees at a very competitive price point. Whether you pay one employee or 1,000 employees, we can help you maximize your payroll system capabilities with a personalized implementation plan.

Below is a link to the National Payroll Week website, where you can find excellent resources and extensive information about the payroll industry.

http://www.nationalpayrollweek.com/index.cfm

Fraud Trends 2010: Tips for Merchants

Nicholas Cucci of Network Merchants Inc, writes and excellent article about the latest trends in credit card fraud.  Even Google Inc has recently be a victim, so be sure to check out the entire article so you can protect your organization from fraud.

Financial fraud is a large business domestically and internationally. It accounts for more than $200 billion in losses each year in the United States alone, according to Symantec Corp., a provider of information security software and services.

The number of fraudsters has grown exponentially within the last five years, and they have become more sophisticated in how they steal and sell credit card information.

The buying and selling of credit card information has become so widespread that the British Broadcasting Corp. reported that U.K. credit card information is now for sale in India.

According to the BBC, a man named Saurabh Sachar told two undercover BBC reporters in Delhi that he could supply them with hundreds of credit and debit cards each week at $10 USD per card.

He claimed to have obtained the card data from call centers handling mobile phone sales and payments for phone bills and hotels. After receiving sample credit card numbers, the BBC reporters found they were valid.

Understanding fraud techniques

A powerful way for the payments industry to fight back is to understand how fraudsters work. One technique described by First Data Corp. is the use of fraud forums. These are highly popular web-based forums dedicated to individuals and groups that perpetrate fraud and provide a convenient way for them to exchange stolen information.

People looking for stolen data or interested in stealing and selling data themselves need only create a username and password on these websites to gain access to the goods. The sites provide how-to guides and even specialized venues for specific countries or regions. I was able to find within minutes people willing to sell malware to obtain information illegally for $35 to $500 USD.

No fraudulent act is complete until a “cash-out” on the stolen data occurs. This is when the “cashiers” and “money mules” come into play. They are available for hire to act as intermediaries in converting information into true currency. There’s even another business inside of this business; the fraudsters basically have their own fraud-support teams.

Intermediaries will transfer funds from stolen accounts into legitimate currency for a commission on the amount transferred and, for a nominal fee, will even help validate cardholder verification value code numbers against their corresponding credit card numbers and expiration dates. You can even request a cashier’s check for a specific location, nationality or gender to match the identity of the victim to minimize suspicion when withdrawing funds. The sophistication with which fraudsters conduct their business is unbelievable.

With technology advancing daily, it simply cannot be stressed enough that today’s criminals are more adept and organized than ever. We need to continuously evolve our methods to keep ahead of the fraudsters.

People from all walks of the payments industry need to understand that fraud is still a two-step process for the perpetrators. The first step is stealing the data; the second is converting the data into money through various means. Following are the current top five fraud trends, based on information I gathered from Symantec, the Internet Crime Complaint Center and First Data Corp.

Malware attacks

Malware is short for “malicious software” that is designed to gain access to, and potentially damage, the victim’s computer without the victim’s knowledge. In 2009 the number of attacks was 10 times greater than in 2008. Most malware attacks today are intended for financial gain.

Malware escapes detection while collecting and transmitting sensitive data such as users’ bank account information, passwords and card details.

Criminal hackers create new malware Trojans daily, exploiting new vulnerabilities before they can be detected and fixed. Keeping your anti-virus software up to date gives you the upper hand. Vulnerabilities are usually found in out-of-date virus detection systems.

Advanced phishing, SMSishing and whaling

Pretending to be a trustworthy entity such as a bank or credit card company, phishers send out emails and instant messages that prompt users to send sensitive information to confirm they are the actual owners of the accounts. Phishers even send out text messages now, too – a practice called SMSishing.

Whaling in the fraud world occurs when high-worth accounts are targeted. Usually this is through social networking sites such as LinkedIn and even Facebook. Whalers target profiles with certain descriptors, such as vice president, chief executive officer, chief financial officer and so forth.

Google was recently hacked via a PDF file sent to its executives that, when opened, caused a vulnerability on each user’s computer so hackers in China were able to grab information. Google believes the hack stemmed from, or was at least approved by, the Chinese government, but the company cannot prove with 100 percent certainty the Chinese government’s involvement.

Phishing can happen to anyone; according to Gizmodo.com, the key is to always stay on top of everything and delete, without opening, any file that you do not completely recognize.

ATM skimming

In this type of fraud, skimmer devices are placed directly over the slot where customers swipe their cards to get cash from an ATM. The skimmer reads and stores sensitive personal information kept on the bankcard’s magnetic stripe. The skimmers are so small that authorities have a hard time finding them. Skimming has been around since the early 90s.

SQL injections

SQL stands for structured query language, a language used for database programming. Hackers inject SQL into web forms containing login fields or browser addresses to access and manipulate the database being utilized by the site or system. These attacks allow criminals to access restricted data, such as credit card details and PIN data. This is becoming a more popular attack because of its versatility.

Counterfeiting in non-EMV countries

Many countries outside of the United States have adopted the Europay/MasterCard/Visa smart card standard. This allows for a more secure chip and PIN technology. This technology deployment has resulted in a higher level of security and caused the basis points on card transactions in the United Kingdom to drop from 18 in 2001 to 12 in 2008. I hope it is only a matter of time before this method is adopted in the United States.

eBridge Business Solutions, LLC Named to Inc. 500 List of Fastest Growing Companies

Leading business solution provider ranks #344 on 2010 Inc. 500

Louisville, KY- August 24, 2010– eBridge Business Solutions, LLC, a provider of fully managed business solutions, announced today that it has been named to the 2010 Inc. 500, a prestigious list that ranks the most entrepreneurial and fastest-growing private companies in America. Ranked No. 344, eBridge is making its first appearance on the list after experiencing 851 percent revenue growth from 2006 through 2009.

“eBridge continues to differentiate itself in the market place with our fully managed business solutions, delivering remarkable results to our customers,” said Jim Headlee, Chief Executive Officer, “Thank you to our eBridge employees and customers who have been a part of our growth. We look forward to continuing to deliver results with our purchasing expertise, merchant card management and web based payroll solutions.”

“Fast growth at any time is a big achievement; fast growth during the past few years is just short of miraculous,” said Inc. editor Jane Berentson. “The Inc. 500 consists of these just-short-of miraculous companies, the ones that through ingenuity and ambition have increased revenue, hired employees, and experienced fast growth in difficult economic times.”

The list represents a comprehensive look at the most important segment of the economy—America’s independent-minded entrepreneurs. Companies such as Microsoft, Zappos, GoDaddy, Zipcar, Clif Bar, American Apparel, Oracle, and many other well-known names gained early exposure as members of the Inc. 500.

The 2010 Inc. 500, unveiled in the September issue of Inc. magazine (available on newsstands August 24 to November 16 and on Inc.com), is a group of companies that are smaller but much faster-growing than last year’s crop. Aggregate revenue is $11.3 billion—down from last year’s $18.4 billion—but median three-year growth is 1,231 percent, substantially up from last year’s 880.5 percent. The companies on this year’s list employ more than 45,000 people.

To see eBridge’s ranking on the Inc. Magazine website and to learn more about the rankings visit: http://www.inc.com/inc5000/profile/ebridge-ky

Is Procurement Outsourcing a Fit for your Organization?

In the article below, the author takes a look at outsourcing, particularly related to procurement, outline: What is outsourced procurement? How does it work? Should your organization outsource its procurement?
Full text of the article is available in the link at the bottom of the article. So read for yourself and let us know what you think!

Procurement Outsourcing

 

By: Michael Lamoureux, PhD of Sourcing Innovation

It is a well known fact that businesses that outsource (well) grow faster, larger, and more profitably than those who do not. When done right, this is especially true for procurement as it can generate additional value through sourcing and compliance savings as compared to the savings opportunities from most outsourcing arrangements, which are generally limited to efficiency improvements and headcount reductions. In addition, it is a transformational type of outsourcing where a portion of the savings generated from an initial endeavor can be used to finance and expand the transformation.

One reason to outsource would be if the procurement of certain categories, such as indirect or non-critical materials, or the management of certain procurement processes, such as requisitioning and compliance tracking, were not core competencies since outsourcing provides an opportunity to increase efficiency, lower costs, and increase savings. Outsourcing in these situations is often much more economical than trying to build the competence internally.

Another reason to outsource is to keep organizational top performers happy. A first class sourcing professional wants to focus on strategic core purchases where she can have the greatest impact, not tactical indirect categories where savings opportunities are limited and impact minimal. By transferring manual and tactical tasks and low-impact indirect categories and class-C commodities, organizational top performers have more time to focus on what they do best and what benefits the organization the most. On the flipside, what once were low-volume non-strategic indirect categories are now high-volume strategic niche categories in the hands of a PSP who can aggregate volume and, more importantly, expertise across clients to the point where niche professionals focused on that category can be hired and kept happy by the sheer volume of opportunities.

A final reason to outsource would be if procurement is an area that, if managed properly, could drive significant value to the business but it is not an area that the organization plans on investing significantly in or increasing focus on internally. In this case, an organization could consider full spend management outsourcing, but it is not something the authors would normally recommend unless the organization was in an industry where all goods and services procured on a regular basis were non-strategic indirect or commodities. A hotel chain would be one example of a firm where full spend management outsourcing might make sense as the vast majority of goods and services procured on a regular basis are commodities.

Click the following link to view the full text of the article: http://www.esourcingwiki.com/index.php?title=Procurement_Outsourcing&printable=yes#Authors

How to Avoid Downgrades on your Credit Card Processing

By Margie Ragland- Corporate Sales Administration Manager

If you’re like most merchants these days, operate competitively and still turning a profit is a challenge.  Accepting credit card payment is an essential part of doing business and in order to remain competitive in today’s marketplace you must operate as efficiently and profitably as possible: including accepting credit card payment as cost effective as you possibly can.

Below I offer some simple practices to avoid downgrades when processing your credit card payments.  Be sure to take note: you’ll be glad you did!

First, what is a downgrade?

A downgrade is an increased interchange/discount rate charged by both the credit card associations (VISA, MasterCard, etc.) and your processing company.  These downgrades can occur when you accept certain types of credit cards or because of the way the card transaction was processed.

In order to run your business, you cannot deny a customer from using certain credit card types, thus you will have un-avoidable downgrades.

There are three tiers of downgrades:

  • Qualified transaction
  • Mid-qualified transaction
  • Non-qualified transaction

 

I will provide a brief explanation of each below:

Qualified Rate: As is the norm with most processing companies, the “Qualified Discount Rate” is the lowest rate you (the merchant) will be charged to process a credit card.

To receive the “Qualified Rate” the following are required:

  • The credit card is present and swiped through a card terminal (and correct cardholder data is captured through swipe)
  • The cardholder is present
  • The card being used is a standard consumer credit card
  • Cardholder signature is captured

Mid-Qualified Rate: “Mid Qualified Rate” is a slight downgrade from the “Qualified Rate” and is charged with any of following:

  • Credit card is manually keyed with AVS (address verification) information entered.
  • If a rewards card is used (Yes, you as the merchant have to pay for Sally’s Southwest Airlines rewards points!)
  • The Merchant not batching/settling transactions within 24 hours

Non-Qualified Rate: “Non-Qualified Rate” is the highest discount rate, which I have personally seen as high as 4.5%.  This rate will be charged when one of the following occurs:

  • Credit card is manually keyed without address verification information being entered
  • Authorization code is manually keyed in to your processing terminal
  • Merchants not batching/settling transactions within 48 hours

 

To avoid downgrades, make sure to do the following:

1. Take as many transaction as you can in person (card present/card swiped) and verify with AVS

2. If you take most of your orders over the internet (MO/TO) be sure to ask your processor if you are set up to receive the best rate possible given that  internet/telephone orders are your primary transaction type.

3. Inform your employees: make sure they understand it is better to swipe a card rather than type in the number and be sure to get AVS information.

To watch a live demonstration of the process and more great tips, visit our website at www.eBridgeGlobal.com/merchant-services

Let eBridge Save You

A city in Oklahoma left the end of their auction on Tuesday thrilled with eBridge’s results. Join the club we say! The items up for purchase were laptops and laptop docking stations. In the auction there were 88 total bids and 33 first place changes and eBridge saved the purchaser 2.71% off the city’s total budgeted price.

In the city’s last purchase of laptops, they paid $4200 per unit and on Tuesday they paid $3300 per unit. That is a 21.4% savings! Even more remarkable, they saved 43.7% from their last purchase of docking stations!

We strive to satisfy the buyers with the highest savings possible but not only are we saving our clients money we offer our top-notch expertise. If you’re interested in letting us sit on your side of the table you know where to find us!

BidBridge Rebrands as eBridge to Encompass New Fully Managed Business Solutions

Adds Merchant Card Services, Payroll and Corporate Purchasing Cards to Purchasing Solutions 

LOUISVILLE, KY (June 1, 2010) – BidBridge, a proven eAuction services provider for the public and private sectors, today announced it will rebrand as eBridge Business Solutions to more fully encompass the company’s service offerings, which now include merchant card, web-based payroll and corporate purchasing card services, in addition to reverse auction purchasing solutions. The new services will extend eBridge’s suite of fully managed business solutions, adding value for established and growing businesses.

“While we were successful in the purchasing space, we recognized a growing need in the marketplace to support daily functions outside of core business product or service offerings,” said eBridge CEO Jim Headlee. “We decided to apply our expertise in purchasing and budget management to expand our offerings for our clients, culminating in the development of the eBridge brand.”

As the newly formed eBridge, the company’s services create efficiencies and limit internal resource consumption, providing support for:

  • Purchasing Solutions – eBridge’s purchasing solutions deliver true market value in acquiring goods and services, leveraging a web-based eAuction software platform for full buyer visibility. Experience with strategic sourcing and existing vendor contacts give eBridge clients an advantage in procurement.
  • Merchant Card Services – Powered by NPC, taking a consultative approach to merchant card services, eBridge provides a fully managed solution delivering value through statement monitoring and analysis, giving customers a clear picture of the costs associated with accepting credit card payment.
  • Payroll – eBridge’s web based processing platform helps customers stay focused on their core business by streamlining payroll and human resource reporting.  eBridge recognizes that payroll has evolved in to a commodity based solution, and have structured their payroll service to provide all the features and functionality to effectively pay employees at a very competitive price point.  Whether a business pays one employee or 1000 employees, eBridge can help them maximize their payroll system capabilities with a personalized implementation plan.
  • Corporate Purchasing Cards – Corporate purchasing cards help reduce costs and create efficiencies in businesses.  Streamlining accounts payable functions, corporate purchasing cards assist clients in removing inefficiencies from the accounts payable process.

For more information, visit www.eBridgeGlobal.com.

About eBridge

Founded in 2002, Louisville-based eBridge provides fully managed business solutions creating efficiencies and streamlining business operations. Leveraging years of experience in purchasing, sourcing and budget management, eBridge Business Solutions’ full suite of services includes purchasing, merchant cards, web based payroll and corporate purchasing cards.

For more information, visit: www.ebridgeglobal.com.

Making a capital purchase? Consider reverse auctions

Since the late 1990’s, reverse auctions have revolutionized purchasing through the competitive bidding environment and transparency.

While the case for reverse auctions is obvious, many are challenged by determining the best items to purchase through the process, as not every item is a fit.

In order for an auction to be successful, ask the following questions:

1. Are the specifications neutral and open to competition?

2. Does more than one supplier or company provide this good or service?

Below is a story highlighting the success for a purchase that had open specifications and was able to bring more than one supplier to the able to compete for the business.

A mid-western company needed to purchase furniture to outfit a new facility. BidBridge operations staff worked with the purchasing organization to establish open and neutral specifications and bring additional suppliers to the table.

During the reverse auction event, the suppliers competed aggressively with one another, placing 55 bids through the event and first place changing hands 27 times. 

At the conclusion of the event, first and second place suppliers were separated by a mere 0.23%, indicating true market value had been achieved. Based on the company’s budget, the final pricing was 40% lower than expected. 

This case study is yet another example of how the competitive bid environment is achieving true market value for buyers and gives suppliers the opportunity to place additional bids in order to win new business.