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American Airlines and JetBlue Airways
American Airlines is adding six new routes from New York City this year.
An airline spokesperson told Insider that the expansion is part of its Northeast Alliance with JetBlue.
The partnership has received criticism from the US Department of Justice, which filed a lawsuit in September.
American Airlines is expanding its domestic route map as part of its powerful Northeast Alliance with JetBlue Airways.
The Fort Worth-based airline confirmed to Insider on Friday that it will begin six new routes this year from New York City, two that will begin in June and four that will begin in November. The announcement includes service from New York's LaGuardia and JFK airports.
A spokesperson explained that the expansion is part of the carrier's partnership with JetBlue, which was announced in July 2020.
The initiative has helped both airlines bolster their networks out of Boston and New York via hundreds of codeshares, with American passengers having more domestic options via JetBlue, and JetBlue customers being able to book international destinations on American.
In November, the alliance pledged to offer lie-flat seats on all transcontinental routes to lure business travelers, which includes JetBlue's Mint product and American's Flagship First. Moreover, the pair has strategically scheduled flights out of New York and Boston this year to give more options to travelers.
This includes making JetBlue the sole operator between Boston and LaGuardia, and re-timing high-frequency flights, like Boston to Washington, DC, according to American.
Despite the alliance's strong start, competitor airlines and the US government are concerned about the duo's strategy. In September 2021, the US Department of Justice filed an antitrust lawsuit, saying the controversial partnership could negatively impact customers.
American and JetBlue are pushing forward with their strategy. Take a look at the six new routes starting this year.
Between LaGuardia and Tulsa, Oklahoma
American will begin year-round service between New York and Tulsa on November 3.
Between LaGuardia and Little Rock, Arkansas
Little Rock, Arkansas.
American will begin year-round service between New York and Little Rock on November 3.
Between LaGuardia and Asheville, North Carolina
Asheville, North Carolina.
American will operate once-weekly summer seasonal service between New York and Asheville from June 4 to October 1. The carrier will add daily winter flights from November 3 to April 3.
Between LaGuardia and Key West, Florida
Dennis Kartenkaemper/Shutterstock
American will operate once-weekly summer seasonal service between New York and Key West from June 4 to October 1. The carrier will add daily winter flights from November 3 to April 3.
Between JFK and Bermuda
Bermuda.
Just dance/Shutterstock
American will begin year-round service between New York and Bermuda on November 3.
Between JFK and Monterrey, Mexico
Monterrey, Mexico.
Monica Garza 73/Shutterstock
American will begin year-round service between New York and Monterrey on November 3.
More: American Airlines American JetBlue JetBlue airways
Northeast Alliance
american jetblue | 2022-05-27T19:11:09Z | www.businessinsider.com | American Adding 6 New Routes As Part of Northeast Alliance With JetBlue | https://www.businessinsider.com/american-adding-6-new-routes-northeast-alliance-jetblue-2022-5 | https://www.businessinsider.com/american-adding-6-new-routes-northeast-alliance-jetblue-2022-5 |
Boris Johnson at a partygate press conference in Downing Street on May 25, 2022.
Boris Johnson is said to be mulling a Cabinet reshuffle in July as he looks to regain control.
The prime minister is facing a brewing leadership crisis, after more Tory MPs demand he resign.
Backbenchers were sceptical, with one saying it was "being held out as a carrot for the gullible."
Boris Johnson is considering a reshuffle in mid-July, as he looks to shore up his leadership following yet another torrid week for the prime minister.
Multiple sources said they were expecting a round of changes to the Cabinet in the "last week or two" before recess begins, which is currently expected in the third week of July.
Reshuffles are often carried out close to a recess to allow those who have been sacked to lick their wounds in private.
One Conservative MP said he had been personally sounded out about a job, although expressed scepticism about whether he would take it in the current climate.
Another backbencher – who is not expecting to be tapped up for a job – said the reshuffle was "being held out as a carrot for the gullible," while others expressed a similar tone.
Johnson is facing a looming crisis after four more Tory MPs submitted letters of no confidence in his premiership following the damning Sue Gray report into the so-called partygate scandal, which revealed the rowdy conduct at 10 Downing St. during England's COVID-19 lockdowns.
On Friday, Home Office PPS Paul Holmes resigned and a fifth MP – chair of the justice committee Bob Neill – submitted a letter of no confidence.
The veteran backbencher said in a statement: "Trust is the most important commodity in politics, but these events have undermined trust in not just the office of the Prime Minister, but in the political process itself. To rebuild that trust and move on, a change in leadership is required."
But while questions remain as to whether Johnson will face a vote in his leadership, Number 10 is planning to promote "loyalists," sources said.
Number 10 did not immediately respond to Insider's request for comment.
Names in the frame include former justice secretary Robert Buckland, who "is being tipped for a come-back," according to one of his colleagues.
Matt Warman, a former digital minister, is also in with a good chance of returning to government, sources said.
Possible leadership rival Jeremy Hunt may be offered something in the hope of diminishing his threat, although one MP noted he was "not exactly winning many friends at the minute" after he claimed he would not have imposed lockdowns, despite numerous previous comments to the contrary.
However, reshuffles risk making enemies as well as friends, which is one reason why Johnson's changes in February were something of a damp squib.
Ben Wallace, the defence secretary, has been tipped to leave government to succeed Jens Stoltenberg at NATO, which a backbencher said would "free up some space".
However, more heads would need to roll in order to fulfill the more comprehensive reshuffle that is widely expected, following the more limited spring "he-shuffle".
Another Tory said: "Ministers were definitely a bit twitchy at the end of last week… they were nervy about former ministers returning for various reasons."
More: News UK Boris Johnson Partygate Reshuffle | 2022-05-27T19:37:14Z | www.businessinsider.com | Boris Johnson Mulls Summer Reshuffle to Gain Control After Partygate | https://www.businessinsider.com/boris-johnson-mulls-summer-reshuffle-to-gain-control-after-partygate-2022-5 | https://www.businessinsider.com/boris-johnson-mulls-summer-reshuffle-to-gain-control-after-partygate-2022-5 |
Finnish military personnel at a training grounds in Sweden, October 27, 2018
Finnish Defence Force/VIlle Multanen
Russia's attack on Ukraine prompted Sweden and Finland to apply to join NATO after decades of non-alignment.
In recent days, US military leaders have expressed support for their membership, pointing to their contributions to European security.
The US military will only benefit if Sweden and Finland join NATO, top US military officials have said in recent days, echoing the enthusiasm of many in the US and Europe about those countries' admission to the alliance.
"I look forward to the accession of Finland and Sweden to the alliance from a military perspective. Each of those militaries brings quite a bit of capability and capacity to the alliance from Day One," Gen. Christopher Cavoli, the head of the US Army in Europe, told the Senate Armed Services Committee on Thursday.
Leaders from across the US military are complimentary of the Swedish and Finnish armed forces, a reflection of the close partnerships that they have developed with the US and its NATO allies.
"The Finns and the Swedes are extraordinary in their ability to distribute assets [and] protect themselves in a manner that is quite informative to us and at the same time generate combat power," Gen. Jeffrey Harrigian, commander of US Air Forces in Europe, said in February 2021.
Finland's government authorized the purchase of the F-35 to be its next multi-role fighter on December 10, 2021.
Finnish Air Force
Cavoli, speaking at a hearing on his nomination to lead US European Command and be Supreme Allied Commander in Europe, said Sweden's and Finland's military capabilities and resources would ease their integration into the alliance.
Finland has "a large army" that is well equipped, "very well trained," and can "very quickly" expand because most Finns have military training, Cavoli said.
"Sweden's the same thing — a smaller army but a very capable army and an army that's growing," Cavoli said.
Since Russia attacked Ukraine in 2014, Sweden has approved substantial spending increases to add troops and acquire hardware. That growth and Sweden's reputation for producing high-quality weaponry — including advanced non-stealth jets and conventionally powered submarines — would benefit NATO, Cavoli said.
"I think it will be quite easy for us to integrate them quickly. We've been integrating them in our large-scale exercises as well as our operations abroad for some years now," Cavoli said.
Cavoli emphasized that Sweden's and Finland's geography would benefit NATO. Finland would more than double NATO's boundary with Russia, but Finland has been "absolutely expert" in defending its border, Cavoli said, pointing to the 1939-1940 Winter War.
"Russia has not historically put too many ground forces on that border," concentrating them elsewhere "because they thought they had a relationship with Finland that allowed them to do that," Cavoli said. "That possibility will now go away."
Tanks from Sweden's Gotland's Regiment patrol in northern Gotland, January 16, 2022.
KARL MELANDER/TT News Agency/AFP via Getty Images
Sweden and Finland's admission would also almost totally surround the Baltic Sea with alliance territory, creating what has been called "a NATO lake."
That enclosure would present "a bunch of different dilemmas, almost geometric dilemmas, that Russia does not have right now as they sail forth from St. Petersburg and Kaliningrad, so it will be advantageous" for NATO, Cavoli said.
Both countries also have islands in strategically valuable locations in the Baltic. Sweden's Gotland Island — to which it has redeployed military forces — "is sometimes referred to as the 'unsinkable aircraft carrier,'" Cavoli added.
Sweden's navy "will bring an enormous amount of surface capability to us in the Baltic Sea. They also have underwater capabilities that will help us as well," Cavoli said.
The US Navy regularly trains with NATO navies in the Baltic, and that presence would increase were Sweden and Finland to join the alliance, Navy Secretary Carlos Del Toro said at a House Appropriations subcommittee hearing on May 18.
"I look forward to the prospect of Sweden and Finland joining NATO," del Toro said. "I foresee a day where we're actually increasing our maritime operations in the Baltic Sea."
'A new type of challenges'
NATO Secretary General Jens Stoltenberg, center, with Finland and Sweden's ambassadors to NATO, Klaus Korhonen and Axel Wernhoff, after receiving their member applications, May 18, 2022.
NATO/Twitter
Sweden and Finland remained outside of NATO for decades, even as both worked closely with the alliance.
Russia's renewed attack on Ukraine in late February stoked public support for membership in both countries, however, and Finnish and Swedish officials submitted their applications simultaneously on May 18.
NATO Secretary General Jens Stoltenberg said their bids were "warmly welcome," and more than 80 US senators have expressed support for expediting approval of them, but support has not been uniform.
In his questioning of Cavoli, Republican Sen. Josh Hawley expressed concern about whether their admission could eventually lead the US to station more forces in Europe, as the Biden administration signals it may maintain a larger force of 100,000 US troops in Europe as Russia's attack on Ukraine continues. Others have argued their inclusion would bring more risks than benefits for the US. Turkey has also objected to their membership over what it says are security concerns.
US Marine Corps and Finnish army platoon commanders during an exercise near Niinisalo, Finland, May 10, 2019.
US Marine Corps/Lance Cpl. Scott Jenkins
Officials from Sweden and Finland have both emphasized that they would augment the alliance as it faces new and emerging threats.
In an interview in early May, the Swedish ambassador to the US, Karin Olofsdotter, pointed to Sweden's long-running participation in NATO operations and intensifying military investment. "We are really bringing hardcore military security to the table," Olofsdotter said.
Finland has "a long border but a peaceful border" with Russia and has always tried to maintain it as such, Pekka Haavisto, Finland's foreign minister, said at an event Friday.
"At the same time, of course, we see that it's not only about Finland but the whole of NATO is facing a new type of challenges by Russia. It's not only traditional military challenges. It can be hybrid influence. It can be cyber influence," Haavisto said. "We think that we have a lot of capabilities of addressing those sort of risks, so it hopefully adds to the security of the whole alliance."
NOW WATCH: Russian Arctic troops train with reindeer | 2022-05-27T21:08:55Z | www.businessinsider.com | Sweden, Finland Give NATO Turf, Troops and Advantage, Officials Say | https://www.businessinsider.com/sweden-finland-give-nato-turf-troops-and-advantage-officials-say-2022-5 | https://www.businessinsider.com/sweden-finland-give-nato-turf-troops-and-advantage-officials-say-2022-5 |
An unexploded rocket from Russia sticks out of the road in Ukraine on April 22.
Photo by Mykhaylo Palinchak/Getty Images
The US reportedly assesses that less than half of Russian missiles used against Ukraine are successful.
Russia has fired more than 1,100 missiles at Ukraine since the invasion began.
US officials say the Russian employment of missile systems is the largest in Europe since World War II.
Russia has fired off more than 1,100 missiles in its ongoing war with Ukraine, according to a US defense official, and over 2,100, according to Ukraine, but many of Russia's missiles have apparently either failed on launch, malfunctioned in flight, or missed their targets, according to officials familiar with the intelligence.
A US official who spoke with Reuters on the condition of anonymity due to the sensitive nature of the information revealed that US intelligence shows Russia's day-to-day missile failure rate sometimes exceeded 50% for certain types of precision-guided munitions. Two other officials said the failure rate was sometimes as high as 60%.
And an anonymous US Defense Intelligence Agency official told Newsweek that the US assesses Russian missile success to be at just under 40% overall.
The official told Newsweek that two to three out of every ten missiles that the Russian military fires either fail to launch or fail to reach their targets. Two out of ten experience technical problems in flight, and two to three miss their targets. And some missiles are shot down.
"If you look at the launches overall," the senior DIA official said, "we are talking well under half of all Russian missiles hitting their aim points."
For air-launched cruise missiles in particular, US intelligence indicates the failure rate on any given day ranges from 20% to 60%. Experts told Reuters that anything over 20% is cause for concern.
A missile is seen in the middle of a road near Kyiv as Russian attacks continue in the city on May 16,2022
Dogukan Keskinkilic/Getty Images
Newer, more advanced Russian missile systems are also not performing effectively in Ukraine, US Northern Command chief Air Force Gen. Glen VanHerck recently told the Senate Armed Services strategic forces subcommittee, according to USNI News.
VanHerck told the panel that Russia has "had challenges with some of their hypersonic missiles as far as accuracy," adding that they have had specific issues with the operational effectiveness of their cruise missiles.
Missile strikes against Ukraine have become a key and devastating feature of Russia's brutal assault on its neighbor. Last week, Ukrainian President Volodymyr Zelensky said "the Russian bombing of Ukraine does not cease day or night."
Relentless missile strikes have hit residential areas in Ukrainian cities, including in Kharkiv, where missile strikes have escalated this week.
Kharkiv's regional governor, Oleh Synyehubov, told residents to take shelter and said that nine people were killed this week in missile strikes in the region.
"The enemy is once again insidiously terrorizing the civilian population," Synyehubov said in a post on Telegram. "It is too early to relax."
US officials testifying before the Senate Armed Services strategic forces subcommittee said that Russia's missile use in Ukraine is the largest employment of missile systems in Europe since World War II.
More: Russia Ukraine Ukraine War missiles | 2022-05-27T21:09:01Z | www.businessinsider.com | US Intel Suggests Most Russian Missiles Fired on Ukraine Fail: Reports | https://www.businessinsider.com/us-intel-suggests-many-of-russias-missiles-fail-reports-2022-5 | https://www.businessinsider.com/us-intel-suggests-many-of-russias-missiles-fail-reports-2022-5 |
Make sure the Mac App Store service is online
Check to see if the App Store is restricted
Quit and restart the App Store
Stop using a VPN
Sign out of your Apple ID
See if your Mac needs to be updated
If the App Store won't load or work properly on your Mac computer, there are a number of ways to troubleshoot the problem.
On rare occasion, you might find that the App Store app on your Mac is not working.
There may be any number of problems keeping the App Store app from working, including unreliable internet, Screen Time restrictions, and even a VPN connection.
Here are seven of the most common fixes for the App Store not loading or working on your Mac.
The App Store is an essential tool for installing new apps and games on your Mac, but you might, on rare occasion, run into glitches in which the app won't run, freezes, or crashes randomly. This can be frustrating — and result in the inability to get work done — but there are a number of ways to troubleshoot the problem and get up and running again quickly. Here are seven ways you can fix the App Store when it won't load on your Mac.
The first thing you should check if you're experiencing problems with the Mac App Store is to see if you have a solid and reliable internet connection. Make sure your Wi-Fi is on and connected to your local network and that you can stream video in a web browser (try YouTube, for example). If in doubt, run Google's Internet Speed Test — search for "speed test" and then, in the Google search results, click Run Speed Test. You won't be able to run the App Store reliably without a good internet connection.
The Internet Speed Test can confirm if your internet connection is reliable enough for the App Store to run.
While relatively uncommon, Apple's own core online services are known to occasionally experience service outages. You can open Apple's System Status page in a browser and see which are offline, if any. Check the Mac App Store entry — if it's not green, you may not be able to run the App Store app.
Open the System Status page and make sure the Mac App Store is green.
Apple gives you the option to restrict usage of the App Store in Screen Time settings. Especially handy as a parental control feature, it's possible to disable the ability to download apps and other content. Check to see if this is your problem:
1. Click the Apple logo at the top left of the desktop and then choose System Preferences.
Open System Preferences from the Apple menu.
2. Click Screen Time.
3. In the navigation pane on the left, click Content & Privacy.
4. Click the Stores tab.
5. For each option, make sure the setting allows you to download the desired content.
If any of the content in the App Store is restricted, the store may appear to not be working properly.
If the App Store app is misbehaving, it might be because of some temporary or intermittent software glitch. Forcing the App Store app to close and then restarting it is often all it takes to get things operational again. To do that, click the Apple logo at the top left of the desktop and choose Force Quit. In the Force Quit Applications window, click App Store and then click Force Quit.
Force quit the App Store, then start it again to see if that solves your problem.
Virtual Private Networks can interfere with the normal operation of the App Store. If you use a VPN and have trouble getting the App Store to work properly, temporarily disconnect or disable your VPN. This process will vary depending upon which VPN software you are using on your Mac.
Another remedy that sometimes corrects a problematic App Store: signing out of and then back into your Apple ID. Click the Apple logo at the top left of the desktop and then choose System Preferences. Click Apple ID and then, in the navigation pane on the left, click Overview. Click Sign Out, complete the signout process, and sign back in again.
Sign out of your Apple ID and then sign back in again.
Unfortunately, if you've gotten this far, you have exhausted most of the best options for getting the App Store up and running again. It's always possible, though, that a bug or software incompatibility is interfering with the App Store and keeping it from working properly. To see if this is the issue, check for and install any system updates that are waiting for you. Click the Apple logo at the top left of the desktop and then choose System Preferences. Click Software Update and then, if there's an update ready, click Update Now. And make sure that the checkbox beside Automatically keep my Mac up to date is selected.
A software incompatibility that's keeping App Store from working might be fixed with a system update.
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More: App Store Mac MacBook Computers & Tablets | 2022-05-27T22:35:47Z | www.businessinsider.com | 7 Ways to Troubleshoot If the App Store Will Not Load on a Mac | https://www.businessinsider.com/app-store-will-not-load-on-mac | https://www.businessinsider.com/app-store-will-not-load-on-mac |
Trump's media company is planning a streaming service featuring 'non-woke' content such as 'shows that embrace the Second Amendment'
TMTG, the company behind Truth Social, is planning a streaming service to appeal to conservatives.
Programming will include "shows that embrace the Second Amendment" and "Trump-specific shows."
It will be "similar" to Netflix but will not "push some particular political ideology," an SEC filing says.
Trump Media & Technology Group, the company behind former President Donald Trump's social media app Truth Social, recently laid out their plans for a new 'non-woke' streaming service called TMTG+.
The subscription-based streaming service is set to be a "non-woke alternative to the programs offered by streaming services" like Netflix and Disney+. However, it will not " insist that programming push some particular political ideology," according to an SEC filing from Digital World Acquisition Corp, a SPAC or "blank check" firm, set to merge with TMTG.
The streaming service will offer shows "that embrace the Second Amendment," "Trump-specific shows," and other topics that appeal to "conservative and/or libertarian views."
It will also offer podcasts.
"TMTG+ intends to offer programs including, but not limited to blue-collar comedy, cancelled shows, Trump-specific programming, faith-based shows, family entertainment, shows that embrace the Second Amendment, and news."
DWAC says TMTG+ will emphasize shows that "cancel 'cancel culture.'"
"Particularly, President Trump has stated that TMTG will stand up to 'cancel culture' and the 'self-righteous scolds.' Failure to realize this vision would adversely affect TMTG's brand and business prospects," the filing from DWAC said.
TMTG began posting job ads for producers on May 11 for its streaming service, Rolling Stone previously reported.
TMTG's previous venture, Truth Social, has been scrutinized for multiple issues, ranging from outages to technical problems, and reports of censorship.
It has also been noted by DWAC multiple times that TMTG "may never achieve profitability." DWAC warned investors in a previous regulatory filing that Trump's history of failed business ventures meant that "There can be no assurances that TMTG will not also become bankrupt."
Representatives for TMTG did not immediately respond to Insider's request for comment.
More: TRUTH Social Trump TMTG SEC | 2022-05-28T03:13:36Z | www.businessinsider.com | Trump Media Company Planning Streaming Service With Non-Woke Content | https://www.businessinsider.com/trump-media-company-planning-streaming-service-with-non-woke-content-2022-5 | https://www.businessinsider.com/trump-media-company-planning-streaming-service-with-non-woke-content-2022-5 |
Growth Kitchen operates two sites in London where each brand has its own facilities.
Ghost kitchens allow brands to boost their delivery capacity without the expense of a new outlet.
Growth Kitchen operates two sites in London where brands rent their own facilities.
Insider went behind the scenes at one of the ghost kitchens that is home to 10 brands.
Ever wonder where your restaurant chain takeout was actually cooked? There's a chance it wasn't actually made in one of their restaurants and was instead prepared in a "ghost kitchen".
A takeaway pizza.
I went behind inside Growth Kitchen, a London ghost kitchen company that provides space for restaurant brands to prepare dishes and increase their delivery capacity without the expense of a full-service restaurant.
The exterior of Growth Kitchen's site in Balham, south London.
The ghost kitchen is located on an industrial estate in a residential area of London – not where you'd expect takeout orders to be made. Because they don't serve customers directly, ghost kitchens can be located away from high streets in areas with lower rents and less floor space.
The industrial estate that houses Growth Kitchen's Balham site.
The exterior of the building is largely nondescript. I arrived at 2:30 p.m., just after the lunch rush, though there were a few bikes parked outside.
The exterior of Growth Kitchen's site in Balham, London.
Delivery drivers collecting orders enter through the front door, which has a list of all the restaurant brands with kitchens there.
Inside is space for drivers to sit while they wait for orders, as well as access to restrooms, phone chargers, and a water fountain. Growth Kitchen told Insider that drivers' welfare was important to the company.
Delivery drivers seated in Growth Kitchen's site in Balham, south London.
The building is based around two main corridors ...
The layout of Growth Kitchen's site in Balham, south London.
... with pickup windows for each brand. Looking inside, you can peek at their individual kitchen spaces.
A pickup window for delivery drivers to collect orders in Growth Kitchen's site in Balham, London.
The layouts of the kitchens vary. The company's founders told Insider that the kitchens are adapted to the needs of each brand.
A pickup window for delivery drivers to collect orders in Growth Kitchen's site in Balham, south London.
Whereas some other ghost facilities have brands share kitchens and even staff, Growth Kitchen has one for each outlet with staff hired directly by the chains. Shared kitchen space "is not the future," cofounder Máté Kun told Insider.
The layout of one of the kitchens in Growth Kitchen's site in Balham, south London.
Brands want to control their reputation and reduce risk by having their own kitchens and staff, said cofounder Tom Gatz. Because the kitchens are catered to each brand, having multiple staff working in one facility would ruin the flow, he said.
By operating ghost kitchens, staff can focus on order quality and speed without worrying about customer service, Gatz and Kun said. The company says that setting up a kitchen in one of their hubs is far cheaper and faster than a bricks-and-mortar restaurant.
In total, there are 10 brands at the Growth Kitchen hub I visited, which Gatz and Kun said collectively fulfill at least 800 orders a day.
Gatz and Kun said that there were criteria brands had to meet before getting a space in the kitchen, such as having a five-star food-hygiene rating and a commitment to sustainability, including packaging from recycled materials.
A sign showing a five-star food-hygiene rating in Growth Kitchen's site in Balham, south London.
The brands are all distinct, preparing cuisines ranging from Greek and Thai to Mexican and pizza. Growth Kitchen says this means they do not compete with each other directly.
Different brands being made at Growth Kitchen's site in Balham, London.
The brands can prepare orders for any delivery apps at the site, with the main three being Deliveroo, Uber Eats, and Just Eat, but Kun said that Growth Kitchen is encouraging restaurants to use proprietary delivery channels instead to capture customer data.
In exchange for kitchen space as well as access to Growth Kitchen's resources and data, Gatz and Kun said brands can pay a fixed fee and commission on sales, or just a commission, "depending on the needs of our restaurant brands and the nature of their business."
Growth Kitchen cofounders Tom Gatz and Máté Kun.
Courtesy of Ted Lowney
As well as the Balham site I visited, Growth Kitchen has another in Bermondsey, with 10 outlets in each. Growth Kitchen plans to open 40 new sites over the next two years, including some outside London, and in April announced £3 million ($3.75 million) in seed funding.
The layout of Growth Kitchen's site in Balham, London.
More: Features Ghost Kitchens Restaurants Retail | 2022-05-28T06:16:08Z | www.businessinsider.com | Inside the Ghost Kitchen Serving up Food for 10 Restaurants | https://www.businessinsider.com/ghost-kitchen-restaurants-photos-fast-food-behind-the-scenes-growth-2022-5 | https://www.businessinsider.com/ghost-kitchen-restaurants-photos-fast-food-behind-the-scenes-growth-2022-5 |
Elon Musk wants to renegotiate the deal if Twitter cannot prove that fewer than 5% of users are bots.
Elon Musk continues to delay his $44 billion Twitter deal over the number of bots on the platform.
The founder of social media app MeWe told Insider $23 billion is a fairer price to pay.
A Wedbush analyst said Musk has two options: renegotiate or use it as an excuse to pull the plug.
Elon Musk's $44 billion Twitter acquisition continues to hang in the balance after the Starlink and Tesla CEO put the deal on hold pending confirmation of the number of bots on the platform.
Last weekend, his rhetoric intensified, first calling Twitter's lack of clarity on how the company calculated the 5% bots figure "very suspicious". He then agreed with a comment suggesting that if 25% of users on Twitter were bots, the deal to buy the platform should cost 25% less, which would knock a potential $11 billion off the sale price.
As scrutiny of Musk mounts and his other companies lose value, the billionaire is under pressure to make a decision on the takeover before his net worth declines even more. Experts say he two options: renegotiate the deal, or walk away entirely.
Twitter's official estimate is that less than 5% of its 229 million monetizable daily active users are automated bots.
That differs from research by Dan Brahmy, CEO of the Israeli tech company Cyabra, who gave Reuters an estimate of 13.7%. Musk himself told the "All In" podcast he thinks the number is at least 20%.
But most experts have argued it is very difficult to quantify the number of bots on Twitter, with Kai-Cheng Yang and Filippo Menczer arguing in The Conversation that the definition of a bot is disputed, and that the argument misses the point because it ignores different users' experiences.
The number of genuine active users has implications for the final price of a deal.
Mark Weinstein, founder of MeWe, a "freemium" social networking app with 20 million users, told Insider that advertisers give Twitter money on the basis they are marketing to humans. If millions of users are actually bots, then Twitter would be worth less, he said.
"If it was proven that 25% of the [users] were actually bots, then advertisers would demand a lower rate, if Twitter was unable to filter them out," Weinstein said.
Will Musk get his 25% discount?
Weinstein argued a fair price for Twitter was closer to $23 billion. He is not alone in thinking the current deal is overvalued.
"There's clearly an argument that his offer is inflated," Weinstein said. "And it maybe should be adjusted to reflect the [user] revenue reality and the calculation for value based on that."
In a recent research note, Wedbush analyst Dan Ives said the $54.20 a share offer was "out the window" as scrutiny on the number of bots increased. But if a new price can't be negotiated, Musk will be forced to pay a $1 billion break fee.
"We believe it's currently a 60% chance that Musk tries to walk and use this spam account issue as the scapegoat to get out of the deal and a 40% chance Twitter's board and Musk come to a new deal price over the coming weeks," Ives said.
That new deal, Ives said, would be somewhere closer to the mid-$40 a share mark – a steep discount that would bring Musk close to his 25% discount demand.
However, Ives said Musk needed to hurry up before Tesla and Starlink stock fell again: "Musk is facing a fork in the road situation in which he has to decide his next step in this soap opera as Tesla investor patience is wearing very thin."
More: Weekend BI UK Twitter Musk Twitter takeover | 2022-05-28T06:16:14Z | www.businessinsider.com | Elon Musk Is Right to Pay Far Less for Twitter, Experts Say | https://www.businessinsider.com/musk-right-demand-lower-fee-based-bot-fight-experts-say-2022-5 | https://www.businessinsider.com/musk-right-demand-lower-fee-based-bot-fight-experts-say-2022-5 |
Costco has lower prices, but Sam's Club has a cheaper membership fee — here's how the two warehouse clubs stack up
I compared prices of 25 items at Costco and Sam's Club.
Costco has lower prices for produce and dairy, but Sam's Club comes out ahead with some pantry and plant-based items.
Both retailers have similar benefits for members at different price points.
Costco and Sam's Club are both warehouse-style stores where customers can purchase memberships to access bulk products at discounted prices.
Charles Krupa/AP Images
With inflation reaching a 40-year high, grocery shoppers are trying to find the best deals, so I compared the two stores in Western New York to find which has the best deals.
A shopper carries her groceries to her car in plastic bags after shopping at a grocery store in San Diego, September 2014.
Chicken breasts and thighs are both priced lower per pound at Sam's Club.
Not all meat is cheaper at Sam's Club. Ground beef was 19 cents more expensive per pound at the Walmart-owned chain.
However, both chains sell rotisserie chickens for $5.
Costco had a far lower price on eggs — $1.78 per dozen, versus $2.59 at Sam's Club, for a savings of nearly a dollar per dozen.
Almond milk is more affordable at Sam's Club by 30 cents per quart, which could be a significant difference for dedicated plant milk drinkers.
For dairy milk, the opposite is true. Shoppers will find 2% milk is about ten cents more expensive per quart at Sam's Club, for about a 40 cent difference per gallon.
Cheerios are just slightly less expensive at Costco by 15 cents per pound.
Mac and cheese was significantly less expensive at Costco ...
... but plain pasta is a better buy at Sam's Club.
Peanut butter is 22 cents per pound less expensive at Sam's Club.
Olive oil is nearly a dollar per quart cheaper at Sam's Club.
Other pantry staples are cheaper at Costco, like canned corn, which is 12 cents less expensive per pound at Costco.
The same was true of chickpeas, canned soups, and spices.
Potatoes and onions were both cheaper per pound at Costco, too.
Grapes were 50 cents per pound pricier at Sam's Club.
As for condiments, ketchup is about 10 cents cheaper per pound at Costco, and ranch dressing is nearly exactly the same at both stores.
Sam's Club offers memberships at two tiers: $45 a year for Club level, and $100 a year for Plus.
Sam's Club membership card.
Zhang Peng/LightRocket via Getty Images
Costco also has two levels, each more expensive than Sam's Club's. Costco's Gold Star membership is $60 a year, and the Executive Level is $120 per year.
They offer similar benefits, like discounted gas, access to pharmacy services, travel, and more.
Getty/Kevork Djansezian
Out of the 25 items compared by Insider, Costco had a lower price on slightly more of them.
It's not easy to declare a winner, because prices are so close on nearly every item, and Sam's Club has slightly lower membership costs.
Costco warehouse shopping aisle shown in California
To break it down by category, Costco generally has better prices for produce and dairy.
Sam's Club is a bit better prices on plant-based items, and meat and pantry items are split between the two.
Prices at both stores are generally lower than non-membership grocery stores, according to previous price checks by Insider.
More: Features Retail Business Visual Features Grocery | 2022-05-28T13:52:37Z | www.businessinsider.com | Costco Vs Sam's Club Review: Prices for Meat, Produce, and Pantry | https://www.businessinsider.com/costco-vs-sams-club-review-prices-meat-produce-pantry-2022-5 | https://www.businessinsider.com/costco-vs-sams-club-review-prices-meat-produce-pantry-2022-5 |
A 29-year-old who's feeling confident after the crypto crash explains the smartest choice she made with her investments — and 2 choices she regrets
Since late 2020, Ariel Fox has earned considerable money on interest from her crypto holdings.
She said investing her coins across different sites was the smartest thing she did.
However, she regrets being too quick to sell early on and not learning more about gas fees.
Cryptocurrency investor Ariel Fox, 29, doesn't have many regrets about getting into buying and selling coins. Unperturbed by the recent crash, Fox's portfolio is still worth more than the initial dollars she invested into it, and she finds buying and selling cryptocurrency to be preferable to being a retail investor in the stock market.
"There are a lot of people who have access to information about stocks in the market that the average retail investor may not have," said Fox. "But if you get in at certain crypto projects at the right time, you are able to profit from that. It is somewhat speculative, just like stocks — but it's also very interesting to me. It's exciting, it's growing."
Fox first heard about Bitcoin all the way back in 2009 when it was first released, but she didn't start investing in crypto until late 2020. She said that she's learned a lot along the way.
Transferring coins across websites was the smartest thing she did
Fox said that the smartest thing that she did with her coins was invest them across different websites in order to earn more interest on them.
She originally kept her Bitcoin holdings primarily on Coinbase, but then "scattered it across some different marketplaces in order to invest in other coins. Eventually I collected it all together and put it into BlockFi where I earn interest on those holdings."
Fox added that her returns on interest is why she keeps a big chunk of her portfolio in the Gemini stablecoin (GUSD)— which is backed up by US dollars and is pegged to the value of the US dollar. Currently, she steadily earns anywhere between 7% and 9% interest on her GUSD holdings.
However, she made some mistakes
One choice that Fox regrets making with her cryptocurrency portfolio is selling certain coins early because they spiked in price, not realizing how much higher they would later go. If she could do things differently, she would have "held some back for myself, just to watch and see how it fluctuated."
That said, Fox added that it's really hard to time the market in general, and that she doesn't recommend it. Sometimes the chips fell in her favor for selling early."There are other times where I sold, and the price dropped not too long after, and that was a smart sell for me," she said.
Another regret that Fox has was that she didn't learn about "gas fees" sooner. In cryptocurrency trading, a gas fee is a cost an investor incurs when they are trading or converting coins on the Ethereum blockchain. It requires a lot of computational energy to convert coins on this blockchain, and the gas fee at any given time can vary depending on many factors.
"When I was investing in a project, I had to convert Ethereum to this other coin and I had to pay a fee to convert it," said Fox. "You can time it so that your gas fee is lower. I didn't know."
Fox added that she "spent so much money on gas fees that I did not have to spend because I did way too many transactions, and I did it in a very busy time at the market."
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ether gas fee | 2022-05-28T13:52:43Z | www.businessinsider.com | One Smart Choice and 2 Regrets From a Young Cryptocurrency Investor | https://www.businessinsider.com/cryptocurrency-investor-smart-choice-regrets-2022-5 | https://www.businessinsider.com/cryptocurrency-investor-smart-choice-regrets-2022-5 |
Ekow Sanni-Thomas
Courtesy from Ekow Sanni-Thomas
Inside Voices is a platform to review employers and how they handle diversity and inclusion.
Founder Ekow Sanni-Thomas opted for organic growth on TikTok rather than seeking VC funding.
Sanni-Thomas spoke with Insider about what he learned as a Black employee in the corporate world.
By the time Ekow Sanni-Thomas left the corporate world after 11 years in real estate, he had seen firsthand how easy it is for companies to turn their backs on Black employees despite claiming to promote diversity and inclusion.
"This is a problem that I've dealt with throughout my career, not just lack of diversity but also companies having false reputations," Sanni-Thomas said.
His negative experience at his last job sparked the idea for his startup, Inside Voices, an online platform for diverse workers to submit anonymous reviews of their employers. It's similar to other review sites, like Glassdoor or Indeed, but it's designed to share the unique perspectives of underrepresented employees.
Sanni-Thomas says transparency is one way to equip workers of color with the knowledge they need to find the right company.
Since the global reckoning with racism and police violence two years ago, companies have pledged billions of dollars to anti-racist causes and set goals to recruit and retain Black talent. However, many consultants, professors, and employees contend that diversity efforts to date have failed across the corporate world.
"The only reason that companies are able to get away with this is because there's no transparency," Sanni-Thomas said. "There's no place for us to hold them accountable. That's where Inside Voices intends to come in."
Building a company from scratch
Inside Voices also aims to address some of the challenges that other review websites face.
Sanni-Thomas said he's focusing on designing the website to weed out spam and provide relevant information to Black and brown employees. Users submit anonymous reviews, answering questions that diversity experts have created, such as: "How do you feel about this statement: I would recommend my company to a person of color?"
Sanni-Thomas said Inside Voices currently has about 5,000 user reviews, from major companies like Salesforce, Google, and Deloitte, among others.
Since he left his job to build his company in March 2021, Sanni-Thomas has made intentional choices as a CEO to ensure that the foundation of Inside Voices remained aligned with his mission.
First, he says he took the extra time to find contractors of color to build his website. He also made the decision to stay away from venture-capital funding, funding the initial product out of his one savings account. In 2020, only 3% of venture-capital funding went to Black-owned companies, though Black entrepreneurs owned 10% of companies in the US, according to Reuters.
For a while, users rolled in slowly. But when Sanni-Thomas committed to using TikTok and LinkedIn, he finally found his footing. Inside Voices currently has over 31,000 followers on TikTok and Sanni-Thomas has become an influential voice about diversity on the #careertok hashtag, which influencers who give advice about career development frequent.
"There is nothing for organic growth like TikTok, particularly when you have a $0 marketing budget," Sanni-Thomas said. "I scrapped away for nine months, getting one review here, two here. Then I started using TikTok and LinkedIn and it all changed from there."
With two beta versions and thousands of users to show for his success, Sanni-Thomas is now going into his first round of VC funding.
Career advice for diverse talent
Charting a career as a Black employee in the corporate world is like a game of Snakes and Ladders, Sanni-Thomas said, referring to the board game where ladders send you up toward your goal and snakes take you back toward the starting line.
"There's a lot more snakes than there are ladders," he said.
When he started his career, Sanni-Thomas said he thought he had thick skin, but over time, he realized that dealing with racism in the workplace was taking a toll on his mental health. He felt like he wasn't doing enough.
"I wish I had just been a little bit kinder to myself," he said. "If you don't hit all the milestones that you expected to hit at the speed that you want, just be forgiving and know that a lot of it was not in your hands."
Sanni-Thomas also emphasized his own privilege — as a man with a British accent and savings in the bank — as a factor in getting Inside Voices off the ground. Black women, in particular, are "discriminated against with a regularity and ferocity that would simply stop most people from trying," he said.
As he builds his community and team at Inside Voices, he wants to ensure that combating misogynoir — discrimination against Black women — is at the center of his mission.
"I'm not just out to build a company, just to build a company," he said. "With that being my guiding principle, I don't think I really have any other option but to stay steadfast on the path."
More: inside voices Diversity and Inclusion Career development Black entrepreneurs | 2022-05-28T13:52:55Z | www.businessinsider.com | This Entrepreneur Built a Platform for Diverse Workers' Honest Reviews | https://www.businessinsider.com/inside-voices-employee-reviews-ekow-sanni-thomas-2022-5 | https://www.businessinsider.com/inside-voices-employee-reviews-ekow-sanni-thomas-2022-5 |
People say mortgage preapproval should be the first step in buying a home, but I had to do something more important first
Normally, I would have applied for preapproval with several lenders before shopping for homes.
Instead, I met with realtors first to find out where in the area I could afford to live.
My realtor gave me tips on choosing a lender, and I only ended up applying with one company.
In my two-plus years as a mortgage reporter and editor, I've learned the importance of a preapproval letter.
When a mortgage lender preapproves you, they're saying they would like to work with you under certain conditions. The letter states which type of mortgage you're approved for, and the amount the lender will lend to you. Showing a seller your preapproval letter can give you a leg up on other potential buyers, so it's usually crucial to have a letter before you start shopping for homes.
But applying for preapproval wasn't my first step in the homebuying process — despite thinking for two years that it should be. I wanted to take one other step first.
I wanted to talk to a realtor before doing anything else
When you apply for preapproval, the lender does a hard credit pull that dings your credit score . Before taking that step with one or more lenders, I wanted to meet with a realtor to find out if my husband and I were even in a good position to buy right now, based on the local market.
We met with a real estate team recommended by friends who had used these realtors to both buy and sell their house over the years. We talked about our budget and what we wanted in a home, and the realtors were honest about which neighborhoods we could afford to search in.
They also walked us through the entire homebuying and mortgage application process in that first meeting, including any extra costs we might not have already considered. By the end of the meeting, I felt confident that we were ready to start the homebuying process.
Then they asked if we already had a lender in mind.
The realtor steered us toward a good mortgage lender
Originally, my husband and I figured we would apply for preapproval with a local credit union. We thought a small, community-focused company might have good customer service. We had talked about working with the credit union we went through when we bought our car, since they had given us a fantastic interest rate on the auto loan.
Then the realtors told us that probably wasn't the best idea.
The seller's market today is hectic and fast, and many credit unions only work during traditional business hours. So if we looked at a house after dinner and needed to talk details before making an offer the next day, we might not be able to reach anyone.
The realtors told us that credit unions will also often only work with members, so our agents had trouble in the past when they tried to call a credit union about a mortgage, but the credit union wouldn't talk to them unless the member was present.
These were all factors we had never even considered, and I'm glad we didn't waste time getting preapproved by a company that wouldn't have been a good fit for us in this market.
Instead, the realtors said they had a handful of lenders they worked with regularly and had good experiences with. We chose to work with the lender and loan officer our realtor had used to buy their own home. We left the meeting and almost immediately contacted the loan officer to talk about preapproval. The following weekend, we toured houses for the first time, ready with our letter.
My approach ended up being the best thing for our homebuying journey
In a "normal" housing market, shopping around for lenders and getting several preapproval letters would have been one of my top priorities. But in this market, I knew we had to move fast. It wasn't uncommon for a house to be listed on Thursday and review offers on Monday — and that was assuming the seller didn't accept an early offer over the weekend.
Our loan officer was good at his job and knew that we were working with realtors who regularly gave him business. He was practically at our beck and call, answering phone calls and texts at nights and on weekends. We felt comfortable working with him because not only had our realtors used him when buying their own home, but our friends who had recommended our realtors to us had also gone through him and had a good experience.
He was also able to close on the house three weeks after our offer was accepted, which was one of the speediest turnaround times I've heard of. We knew that could be appealing to sellers who wanted to get out of the house quickly.
Looking back, I may have done one thing differently, though. I would have asked our realtors for the names of all the lenders they liked working with and applied for preapproval with each one so I could compare interest rates and terms.
Still, I have no regrets. Buying a house in today's market was draining and anxiety-inducing, and having a loan officer I could count on was just one less thing I had to worry about.
PERSONAL FINANCE 7 steps to calculating how much a mortgage payment would cost you every month
More: homebuying Mortgage Preapproval Realtors Real Estate Agent | 2022-05-28T13:53:07Z | www.businessinsider.com | Getting Preapproved Wasn't My First Step in Buying a House: Here's Why | https://www.businessinsider.com/personal-finance/preapproval-not-first-step-in-buying-house-2022-5 | https://www.businessinsider.com/personal-finance/preapproval-not-first-step-in-buying-house-2022-5 |
Sonia Subbotina, left, and Alexandra ‘Sasha’ Skochilenko, right, pose together in a picture.
Sonia Subbotina/Insider
Alexandra Skochilenko was accused and jailed for replacing store price tags with anti-war messages.
She is held in a St Petersburg pre-trial detention center and in poor health, her girlfriend told Insider.
According to letters written by Skochilenko, she is also being bullied by others prisoners.
Awaiting trial in a St Petersburg detention center, the Russian artist Alexandra Skochilenko is experiencing bullying and "unsanitary" conditions contributing to her ill health, according to her girlfriend.
Skochilenko, 31, was arrested on April 11 after switching supermarket price tags with anti-war slogans in a protest against her country's invasion of Ukraine.
Like many Russians called Alexander or Alexandra, she also goes by the nickname Sasha.
—Soviet Visuals (@sovietvisuals) April 15, 2022
She is charged under a new Russian "fake news" law, which penalizes those who publicly spread so-called false information about Russia's military. Skochilenko does not deny switching the stickers in the supermarket, but argues that the charges against her, and her detention, are excessive.
Skochilenko will be held in a pre-trial detention center until at least June and, if found guilty, faces a fine of three million rubles ($44,827) and up to ten years in prison.
An exterior view of a pre-trial detention center outside of St. Petersburg, Russia, on May 25, 2020.
Sergey Nikolaev/NurPhoto via Getty Images
Sonia Subbotina, who has been in a relationship with Skochilenko for five years, told Insider that she has been communicating with her girlfriend by sending and receiving short letters via a lawyer. Insider has seen sections of some of these letters.
"I feel joy whenever I get a letter from Sasha, and I keep them, and they always read them very often," Subbotina said. "But, really, she often writes very sad things, and it's difficult to read, and I miss her very much."
Sonia Subbotina, left, and Alexandra ‘Sasha’ Skochilenko, right, pose at an art gallery.
An open wound was left untreated, it's alleged
Subbotina said Skochilenko has struggled to get medical treatment for a catalog of illnesses.
Skochilenko has celiac disease, an autoimmune disorder where eating gluten causes damage to the small intestine.
The artist spent 12 days in a temporary detention center after her arrest, where she was not given gluten-free food. Consequently, Subbotina said, "Sasha was eating very, very little."
Desperately hungry, Skochilenko once ate food containing gluten, Subbotina said. "This made her very sick, and she was throwing up a lot and feeling a lot of pain," she added.
Alexandra Skochilenko poses outside for a photograph.
Skochilenko was transferred to her current cell in a pre-trial detention center — a more permanent holding place. Initially, Subbotina said, the Russian artist was also being denied appropriate food.
On April 25, the local division of Russia's Federal Prison Service (FSIN) told Interfax that their rules don't require the "provision of separate or individual meals for people who need gluten-free food," per the independent Russian news outlet Meduza.
This position was only reversed in the past couple of weeks after intense media pressure and an intervention by a human rights ombudsman, Subbotina said, ensuring that Skochilenko has since been able to secure strictly gluten-free meals.
But Skochilenko suffers from other health problems that jail officials overlook, Subbotina told Insider.
Alexandra Skochilenko lies on a painted canvas.
"For about a month and a half, Sasha has been experiencing severe pains in the lower part of her abdomen," she said.
Doctors initially dismissed this as a minor ailment, Subbotina said, but recently identified it as an ovarian cyst. "Sasha continues to experience severe pain, and a gynecologist confirmed that the cyst is growing," she told Insider.
Skochilenko also had an impacted wisdom tooth that was due to be operated on. But because of her arrest, the surgery was canceled. Her pain worsened in jail, Subbotina claimed, prompting jail officials to arrange emergency surgery reluctantly.
"They didn't have stitching material," she said. "So they left it as an open wound, quite a large open wound, and because of this, Sasha is in a lot of pain, and her gums are inflamed, infected, and she is now having to be treated with antibiotics ."
Russia's embassy in London did not respond to a request for comment on Skochilenko's case or her detention.
But it's not just poor health harming the Russian artist, Subbotina said.
The conditions are "unsanitary," she claimed. According to Public Verdict, a Russian human rights group, pre-trial detention centers are often overcrowded, lack adequate medical care and cleaning, and are poorly ventilated.
Skochilenko is also struggling with her mental health, her girlfriend said.
Worn down by bullying and harassment in jail
Alexandra Skochilenko is pictured standing outside in a hat and scarf.
Skochilenko has bipolar affective disorder, a mental health condition that causes extreme mood swings, making her particularly vulnerable to stressful or traumatic events.
According to the letters she has sent to her girlfriend, reviewed and translated by Insider, she is being worn down by bullying and harassment in jail.
A fellow detainee in the pre-trial detention center, Skochilenko wrote, "talks to me with an authoritarian tone and constantly gives me orders." She added: "She controls my every move and complains about every single one of my actions."
She claims others have harassed her, telling her that she stinks, that she talks too much, and that she "gets to everyone," according to the letters.
According to a 2020 report by the US State Department, there are reports of prison authorities recruiting inmates to abuse other detainees. Political detainees are often subject to particularly harsh and punitive conditions, the report said.
Skochilenko wrote in a letter that a television broadcasting Russian state TV "shouts all day," only being turned off at night and for cell checks. War propaganda has become the soundtrack to her detainment.
Alexandra Skochilenko wears "Love" sunglasses.
Skochilenko is one of more than 2,000 people charged with "discrediting" the Russian army since Putin's invasion of Ukraine began on February 24.
Her arrest is unsurprising, her girlfriend said, but the conditions of her detainment and the potential sentence of 10 years in prison have shocked her.
Authorities have rejected her legal team's request to transfer her to house arrest, which, under these circumstances, would be expected, according to Vice. Subbotina has been refused the right to visit her girlfriend. Authorities said they denied the request because she is due to be a character witness in her trial.
All of this shows just how oppressive the Russian regime has become since the start of the war, Subbotina said.
"This is definitely to do with the hardening of the authoritarian regime," she said. "There is no way that a person can speak out safely. Any attempt to show an opinion that differs from the government opinion is punished very, very harshly."
More: Russia ukraine-russia Russia protests Jails and prisons | 2022-05-28T13:53:19Z | www.businessinsider.com | Russia Artist Who Spread Anti-War Message Bullied and Sick in Jail | https://www.businessinsider.com/russia-skochilenko-anti-war-price-tags-jail-abuse-girlfriend-2022-5 | https://www.businessinsider.com/russia-skochilenko-anti-war-price-tags-jail-abuse-girlfriend-2022-5 |
Dancer at Lucky Devil Lounge in Portland
Shon Boulden
Dancers in Portland, Oregon, have continued organizing for better working conditions since 2020's Stripper Strike,
Sex workers were left without access to aid during the pandemic and created mutual aid groups to make ends meet.
Since then, labor groups for strippers have expanded beyond Portland to Los Angeles and beyond.
Two years since a general strike among strippers in Portland, Oregon, prompted nearly 30 clubs to adopt worker-protecting measures, sex workers in the region are still organizing to secure better living and working conditions, while their movement has gained steam nationwide and internationally.
Strippers and other sex workers told Insider they still face sexual harassment and assault at work, by both management and customers of clubs, and conditions have been more challenging since the pandemic made owners more desperate for business. Despite some progress, Black dancers reported hearing racist remarks and facing discrimination at work.
Portland is home to the most strip clubs per capita in the US, with a unique culture and economy that relies on club tourism. In summer 2020, more than 100 dancers protested for better working conditions and nearly 30 strip clubs – facing the financial pressure of the pandemic as well as missing dancers – ultimately agreed to undergo anti-racism training, listening sessions, and hire more dancers of color.
"We've shifted our focus from dealing with the clubs directly to dealing with people's personal everyday safety and security, to put them in a spot where they feel okay telling their boss to fuck off for a week," Cat Hollis, organizer of the 2020 Portland Stripper Strike, told Insider.
"And it's really hard to do that when you're a person of color who's scraping by and in a town that's meant to chew you up and spit you out."
A Stripper Strike Legacy
In 2020, Hollis, who is nonbinary, uses they/them pronouns and worked as a stripper at the time, felt called to organize a series of protests among other strippers in Portland as they and other Black dancers reported facing racist harassment and discrimination at work. They alleged multiple clubs illegally withheld wages and required illegal kickbacks in addition to the risk of sexual violence they and other dancers regularly face in the clubs.
A post shared by Haymarket Pole Collective (@pdxstripperstrike)
Hollis, as well as three other dancers, have a suit pending against six different strip clubs in Oregon, alleging federal wage violations similar to those faced by gig workers, including management stealing tips and demanding illegal kickbacks and house fees. While they're dedicated to seeing the suit through, Hollis said, they are focused more on taking concrete actions directed toward helping sex workers and enabling them to further organize on their own.
"When I started listening to what the community was saying during our listening sessions throughout 2020 and into 2021, was that people needed to take care of their basic needs — they needed things like diapers, they needed things like COVID testing," Hollis said. "They needed things that create the stability in their lives to be able to go up against their boss."
Since 2020, Hollis, now a full-time organizer with the Haymarket Pole Collective, has helped the nonprofit raise $1.6 million in donations and grant funding to provide material support for strippers and sex workers in Portland.
Outside Portland, the wave of momentum caused in part by Hollis' organizing hit Los Angeles, where dancers at the Star Garden in North Hollywood voted this month to become the nation's first unionized strip club since San Francisco's Lusty Lady closed its doors in 2013.
An Owner's Perspective
For club owners, the needs of dancers frequently take a backseat to the financial needs of the business — especially during the pandemic, when strip clubs – classified as "live entertainment" venues – were forced to close due to coronavirus concerns.
Some owners, faced with business closures and striking dancers, had contentious relationships with strippers who organized during the early days of the pandemic. One club, Union Jacks, was repeatedly named by dancers who said the club had issues with fair treatment and that management unfairly discriminated against Black dancers both before and during the pandemic.
Union Jacks club did not respond to Insider's requests for comment.
Other business owners, like Shon Boulden, who runs both Lucky Devil Lounge and Devils Point club in Portland, tried to embrace requests from organizing dancers in hopes of keeping morale up and doors open.
"This whole industry, as far as in Portland, the strip club industry, the restaurants, the nightclubs, the nightlife in the street, you know, it all feeds off of each other," Boulden told Insider. "So that even impacted you know, you know, bartenders, all the people who were staff, sound engineers, security people, bartenders."
During the early days of the pandemic, Boulden turned his club into a drive-through strip venue that served food to ensure he and his employees kept working. The dancers who volunteered to stay working despite club closures were mostly white, prompting Boulden to be called out by the Haymarket Pole Collective for racist hiring policies in his own clubs. He said he and his staff took the criticism to heart and underwent an implicit bias training hosted by HPC and tried to make his club more inclusive.
"Lucky Devil Lounge strives to create an inclusive, equal opportunity space and welcome all races and ethnicities! BIPOC performers to the front!" reads a disclaimer on the Lucky Devil Lounge website. "We are aware & take responsibility for the past narratives surrounding our clubs. We are here to provide a safe, positive, and profitable atmosphere for everyone."
Since being called out in 2020, Boulden has become a more vocal supporter of labor and mutual aid organizations for strippers, which he says are a benefit to the larger community.
"I think anybody that supports support dancers and provides like information for them as a resource is a good thing," Boulden told Insider, adding that providing mental health and housing resources to dancers helps his business in the long run. "You know, those are all things that help us continue to keep this industry."
Current Concerns
In a high-turnover industry like sex work, dancers with less experience are unlikely to have heard of mutual aid organizations or labor and union groups like Haymarket Pole Collective and the group behind the Los Angeles strike, Strippers United. More experienced dancers, who have been stripping longer than two years, see the benefit of the groups, but have urgent needs beyond hiring practices and tipping procedures that need to be addressed before they consider unionizing.
Dancers face sexual harassment and assault by both management and clients while stripping. One stripper told Insider she wore a butt plug with a fox tail during a dance on stage, which was suddenly pulled out by a customer. She reflexively punched the man who had just sexually assaulted her and, while he was not removed from the venue, she was fired by the club owners. Another dancer told Insider she helped a new girl home after she'd been drugged by a customer. Others still told Insider about stories of druggings, shootings, and other sexual violence while at work.
In addition to the risk of violence, dancers also face increased stigma when seeking traditional aid resources. Many were ineligible for unemployment benefits, even as clubs closed during the pandemic, given the under-the-table nature of their work.
"I think that groups like that should also partly focus on things that they can do to help dancers," a stripper by the name of Mercedes told Insider. "Like, help find housing that will not deny us, help find programs that we can actually get into that aren't like, 'well, we can't track your income. We can't help you.'"
Strippers currently employed in clubs told Insider there are three main things they're seeking when it comes to pursuing better working conditions: one, management that treats them equitably and does not discriminate based on gender identity or race. Second, clubs that offer protection from threatening clients and do not punish strippers for standing up for themselves. Last, strippers told Insider they hope to find club owners who do not charge unreasonable fees and skim funds from private dances.
If a dancer can find fair treatment in a safe club with high-end clientele, they've found a "good" club — though most experienced strippers will settle for two signs of a "good" club to begin dancing somewhere new, knowing how difficult it can be to find all three.
Ultimately, the dancers who spoke to Insider all expressed how much they love their jobs and the financial security stripping provides. However, each also indicated that the sex work industry itself faces magnified issues of prejudice and stigma, which in turn makes it a hard job to sustain without strong community help.
"It's still very mixed. I feel like it's really positive because, financially, I've been able to like gain a lot of freedom. But you know, you see a lot of things like drug addiction. Things like racism, like fatphobia," a dancer by the name of Sarah told Insider.
"You see a lot of negative things and it is like a really emotionally taxing job."
More: Stripper Strippers dancer dancers | 2022-05-28T15:24:00Z | www.businessinsider.com | 'No Justice, No Booty': Portland Strippers Organizing for Better Working Conditions | https://www.businessinsider.com/portland-oregon-strippers-sex-workers-organizing-union-better-working-conditions-2022-5 | https://www.businessinsider.com/portland-oregon-strippers-sex-workers-organizing-union-better-working-conditions-2022-5 |
Salesforce is about to report earnings and industry watchers expect it to be a sign of how hard the downturn is going to hit the whole cloud software industry
Salesforce's earnings on Tuesday will be a sign of how the downtown will hit the cloud industry.
Salesforce has grown during the last few years, but has frozen most hiring and cut costs.
Salesforce's earnings are seen as a sign of how much customers are willing to spend on cloud.
Wall Street's eyes are on Salesforce as it prepares to report earnings on Tuesday, with investors seeing it as a barometer for how hard the downtown will hit the entire cloud software industry.
While cloud software companies like Salesforce, Zoom , and Atlassian all soared to new heights as the pandemic sparked a remote work boom, they've all been hard-hit in recent weeks amid a broader market downturn. As of market close on Friday, Salesforce was trading at some $165 a share — down about 35% in the year, and well off its 52-week high of $311.75.
Analysts are expecting Salesforce to report quarterly earnings of $0.94 per share on revenues of $7.38 billion, according to Yahoo Finance. That would be a less-than-1% increase in revenue from the prior quarter, but still up 24% from the same period of 2021.
Beyond the stock price, investors were alarmed to see that Salesforce is slowing hiring and putting a hold on recruiting for some open roles to control expenses, as Insider recently reported.
Some industry-watchers fear the move reflects a weakening demand for business software across the board, at Salesforce and elsewhere. And as the single largest purely-cloud software provider, Salesforce is considered the most prominent company in the space, and therefore the best indicator of where the market is likely going.
"If the enterprise world is starting to soften spend, cut frontend sales jobs, and see less deal activity, one of the first companies to see cracks in the armor will be Benioff & Co.," said Wedbush analyst Dan Ives in a recent note to clients, referring to Salesforce co-CEO Marc Benioff.
Indeed, several of Salesforce's industry peers showed falling revenue in their own recent earnings report. Shares of Nutanix and Snowflake both fell significantly this week after issuing lower-than-expected guidance. Even Chinese tech giant Alibaba's cloud business saw a decline in growth, analysts at Mirabaud equity research said in a research note.
Salesforce has grown tremendously during over last few years, going from $17.1 billion in annual revenue in 2019 to $26.49 billion last year. In 2021, the company grew from 57,000 employees to over 73,000. It closed its massive $27.7 billion acquisition of Slack in July. Salesforce has also set high growth targets, with a goal of reaching $50 billion in revenue by the end of 2025. This year, the company expects to hit about $32 billion in revenue, having just raised guidance at its last earnings report in March.
Co-CEO Marc Benioff has repeatedly told analysts that Salesforce was built to weather market downturns, given the subscription model the cloud software industry is built on. He echoed those sentiments in February 2020, right as the pandemic first arrived in the United States.
"When we started Salesforce, Parker and I really built a business model that was designed to transcend these situations so that we would have durable growth over time regardless of the crises. I think that really played out in a surprising way with a level of strength in 2009, '10 and '11 financial crisis that if you look at our revenue curves, it looks like it never happened." Benioff said, referring to Salesforce's performance after the 2008 recession .
To that point, SMBC analyst Steve Koenig wrote in a note to clients that "so far deal flow and pipeline activity has held up well for the company, which should be a good barometer of current enterprise spending despite macro worries."
At the same time, even bulls like Koenig are tempering their excitement.
"We won't be surprised if the potential full-year guidance raise is relatively modest — given currency headwinds and macro-related risks," wrote Koenig. However, he wrote, he's still optimistic that Benioff and other execs will assuage concerns that the current hiring slowdown is a sign of decreased demand, and show that it's rather just a sign that the company is committed to optimizing its costs and profit margins.
Others agree with the idea. Salesforce is facing a "tough setup" this quarter, wrote RBC analyst Rishi Jaluria in a note to clients, and urges investors to "[temper] expectations coming off a strong last quarter."
Finally, there's one other small but important thing that Wall Street will be looking at in the company's financials: Salesforce has over the last several years become a prolific investor in public companies like Robinhood and Monday.com. As the downturn has dragged down the market, the value of Salesforce's portfolio is likely to have also dipped, placing a potential strain on the company's bottom line.
More: Salesforce Marc Benioff Cloud software | 2022-05-28T15:24:06Z | www.businessinsider.com | Salesforce Earnings Will Be a Sign of How Downturn Will Hit Cloud | https://www.businessinsider.com/salesforce-earnings-sign-of-how-downturn-will-hit-cloud-software-2022-5 | https://www.businessinsider.com/salesforce-earnings-sign-of-how-downturn-will-hit-cloud-software-2022-5 |
Trump is expected to blast his critic, Rep. Liz Cheney, at a rally in Wyoming on Saturday.
Trump has endorsed Harriet Hageman, an attorney running to unseat Cheney.
The rally comes days after Trump's high-profile endorsements in Georgia flopped.
CASPER, Wyoming — Droves of supporters of former President Donald Trump are eagerly waiting for him to take the stage on Saturday afternoon at a rally where he's expected to bash Republican Rep. Liz Cheney, Wyoming's lone member of Congress who has profusely attacked Trump.
The former president is headed to Wyoming to support Harriet Hageman, an attorney who's running in the upcoming Republican primary election to unseat Cheney, a Trump ally-turned critic following the January 6 Capitol riot. She was one of 10 House Republicans who voted to impeach Trump on a charge of "incitement of insurrection" last February.
Trump has since targeted the congresswoman and vowed to exact revenge on Republicans like Cheney who he says has betrayed him. Cheney, a staunch conservative, has stood her ground against Trump amid an onslaught of national- and state-level backlash from members of her own party.
Trump's arrival in Wyoming, his first-ever political appearance in the state, comes as the primary is just getting kicked off. Cheney officially filed for her reelection bid on Thursday. There has been no significant polling on the race yet, which takes place on August 16.
The election is widely considered as a test of Trump's influence over the Republican Party. Recently, Trump's high-profile endorsements in Georgia's primary elections failed. Trump had backed two primary challengers against incumbent Gov. Brian Kemp and Secretary of State Brad Raffensperger, both of whom had rejected Trump's pushes to overturn the 2020 election results in the battleground state. Kemp and Raffensberger each won their primary races on Wednesday by a landslide. Trump-backed candidates in Ohio and Pennsylvania did, however, did win their primary elections in recent weeks. | 2022-05-28T16:55:26Z | www.businessinsider.com | Trump Targets Liz Cheney at Wyoming Rally Days After High-Profile Endorsements Flopped | https://www.businessinsider.com/trump-targets-liz-cheney-at-wyoming-rally-days-after-high-profile-endorsements-flopped-2022-5 | https://www.businessinsider.com/trump-targets-liz-cheney-at-wyoming-rally-days-after-high-profile-endorsements-flopped-2022-5 |
Empty shelves at a supermarket on May 23, 2022 in New York City.
Parents around the country are struggling to feed their children amid the baby formula shortage.
The situation is being further complicated by the war in Ukraine, experts and execs say.
Ukraine is the world's top exporter of sunflower oil, a common ingredient in baby formula.
The global supply of infant formula is being further strained by the war in Ukraine, industry experts and executives say.
Ukraine is the world's top exporter of sunflower oil, a common ingredient in baby formula. But as the Russian invasion freezes harvests and blocks shipments from Ukraine's ports, companies are scrambling to find alternative sources and substitutes, industry experts told The Wall Street Journal.
The military conflict adds yet another complication to an already vulnerable industry hit with supply-chain snags, product recalls, and factory closures in recent months.
Patrick Sly — president of global nutrition at Reckitt, the company that produces the baby formula brand Enfamil — told CBS Evening News last week that the shortage has been exacerbated by the complexity of producing formula, which must meet specific standards to ensure proper nutrition and digestion.
"Our products are very complex products," Sly said. They're almost pharmaceutical-grade products. And there are dozens and dozens of ingredients that go into our products. One example would be one of the oils that goes into our products was impacted by what's going on in Ukraine."
Together, Ukraine and Russia export around 75% of the world's sunflower oil. Cooking oil shortages are already being felt in the UK, where grocery stores have limited shoppers on how many bottles they can buy.
At a UN security council meeting last week, US Secretary of state Antony Blinken accused Russia of instigating a global food crisis by holding supplies "hostage" at Ukrainian ports.
"The Russian government seems to think that using food as a weapon will help accomplish what its invasion has not – to break the spirit of the Ukrainian people," Blinken said.
In the US, the formula shortage has led to a rise in hospitalizations, including in Atlanta and South Carolina, where health centers recently reported admitting infants for nutritional deficiencies connected to the scarcity. The shortage worsened in April, when out-of-stock percentages reached 40% at US retailers.
On May 18, the Biden administration invoked the Defense Production Act, requiring suppliers of vital ingredients to prioritize formula manufacturers over other customers. The administration also launched Operation Fly Formula, a global effort to import formula into the US. Last week, 78,000 pounds of formula arrived in Indiana from Switzerland as part of the push.
More: Ukraine Russia Baby formula Shortage | 2022-05-28T16:55:32Z | www.businessinsider.com | Ukraine War Further Complicates US Baby Formula Shortage | https://www.businessinsider.com/ukraine-war-further-complicates-us-baby-formula-shortage-sunflower-oil-2022-5 | https://www.businessinsider.com/ukraine-war-further-complicates-us-baby-formula-shortage-sunflower-oil-2022-5 |
Kieran Corcoran and Joshua Zitser
Onlookers watch as a yacht is engulfed in flames in Torquay, England on May 28, 2022.
A yacht worth some $7.6 million was engulfed in flames on Saturday in Torquay, England.
Dramatic photos show the yacht, which appears to be a Princess Y85, on fire.
A witness told Insider that small explosions could be heard from the yacht as the fire raged on.
A yacht worth some $7.6 million was engulfed in flames on Saturday while moored in a UK port.
The ship prompted a large emergency response in the town of Torquay on England's southern coast.
Dramatic photos posted to social media showed the 85ft ship ablaze.
—Grace (@Grace31307003) May 28, 2022
The ship appears to be a Princess Y85, an eight-person ship with two engines and luxury fittings. This marketing video shows the details:
The British yacht broker TWW says a new Y85 ought to cost around $7.6 million.
A witness, Grace Kedzior-MacDonough, told Insider that the yacht caught fire around midday.
"We saw black smoke so everyone started to crowd around," she said.
By the time police and firefighters arrived to confront the blaze, the boat had burned through its moorings and was floating in the harbor, Kedzior-MacDonough said.
By then, she said, "the fire had got very out of hand."
Plumes of black smoke rise from a flaming yacht in Torquay on England's southern coast.
A press officer for Devon and Somerset Fire and Rescue said the force was first called at 11.57 a.m.
She could not say when the first responders arrived, but an online statement detailing a response of several crews was issued at 1.05 p.m.
Kedzior-MacDonough said that several small explosions could be heard from the yacht as the fire continued. Fire officials said the yacht contained some 8,000 liters of diesel when it caught fire.
Local police cordoned off the area, closed nearby roads, and asked people to close their windows to avoid inhaling the smoke, per an online incident report.
Smoke rises from a flaming yacht in Torquay, England on May 28, 2022.
Later images showed that the ship had stopped burning so intensely.
More: Yacht boat fire England UK Weekend | 2022-05-28T16:55:38Z | www.businessinsider.com | Yacht Fire: Photos, Video Show Boat Ablaze in Torquay, UK | https://www.businessinsider.com/yacht-fire-photos-video-show-boat-ablaze-in-torquay-uk-2022-5 | https://www.businessinsider.com/yacht-fire-photos-video-show-boat-ablaze-in-torquay-uk-2022-5 |
Sam Tabahriti, Kate Duffy, and Abby Wallace
An Oyster 595 yacht.
Oyster/Insider
The Oyster 595 features cool tech gadgets, a champagne fridge, and panoramic portholes.
The yacht is worth nearly $3 million, and was on display at the London Luxury Afloat event.
Customers can personalize the 60ft yacht, but they can expect to pay even more.
The $2.8 million Oyster 595 was showcased at a luxury boat event in central London. It was made by British company Oyster, which has been building yachts for almost 50 years.
An Oyster 595.
The particular model at the London Luxury Afloat show was called Karioca III. It will be sailing to various countries to attract buyers.
Oyster 595 is sailing around the world to attract buyers.
It comes with three bedrooms, including the master with ensuite, as well as lounge spaces, a kitchen, a crew quarter, and an entertaining space on the top deck.
The yacht is named Karioca III.
Dan Wurzbacher, US head of Oyster sales, told Insider that the base price of the Oyster 595 is $2.8 million but customers can personalize the yacht via an options list, which increases the price.
Floor plan of the main deck.
Customers can choose different layouts, colors, and materials for the exterior and interior design of the yacht, Wurzbacher said.
The main deck features two steering wheels facing the outdoor entertainment area with a folding table.
The yacht starts at $2.8 million.
In the front of the steering wheels, there is a control panel on each side...
The yacht has two steering wheels located on the main deck.
... but there is another one in the lower deck, where there are more navigation and communication systems.
The yacht's navigation and communication systems.
As you take the stairs from the main deck to the lower deck, you arrive in the lounge area where there are plenty of spaces to sit.
The lounge area feels spacious.
On one side, there is a dining table, and a bench on the other.
The sitting area has two sides, with a dining table on one.
Purchasing a yacht "tends to be one of these things where ... all your life events have to line up to be able to do something like this," Wurzbacher said.
The lounge area with a set dining table.
The galley has all the features you would expect in a modern kitchen, and the space is smartly configured with bins incorporated into the worktop.
A family can live on the yacht.
The main cabin has an ensuite and features two panoramic portholes. The room is quite spacious and has plenty of storage.
The yacht has 4 cabins, including one cabin for a crew member.
The bathroom, in the ensuite master bedroom, is roomy and has even a bench in the shower.
It is the only en-suite bedroom.
The yacht's saloon and owner's cabin feel light and airy thanks to the four sets of signature Seascape windows that connect the interior and the ocean.
The yacht has different viewpoints from inside to outside.
The champagne ice cooler is on the main deck and can fit... quite a number of bottles.
The yacht has many cool gadgets, including this champagne fridge.
The yacht also has a "boot" that is accessible from the back of the main deck and has plenty of room for luggage.
The yacht can also has a cabin for a crew member.
It also features a hydraulic bathing platforms to let passengers swim from the rear of the yacht, Wurzbacker said.
The hydraulic folding platform.
Entrepreneurs are the typical buyers of the yacht, Wurzbacher said.
More: Features Weekend BI UK Superyacht Yacht | 2022-05-29T06:37:10Z | www.businessinsider.com | Take a Look Inside This Futuristic Yacht With a Panoramic Porthole | https://www.businessinsider.com/take-look-inside-yacht-featuring-cool-tech-gadgets-oyster-2022-5 | https://www.businessinsider.com/take-look-inside-yacht-featuring-cool-tech-gadgets-oyster-2022-5 |
Jeremy Grantham's GMO is beating the market with a bubble-bursting strategy that has captured 13% this year. Now it's doubling down on 2 pockets of the stock market — and avoiding 1 landmine as an epic unwind gets underway
Legendary investor Jeremy Grantham, who co-founded GMO, made his name calling and profiting from market bubbles.
In 2021, GMO revived the strategy Grantham used to exploit the dot-com bubble and it's returned 13% this year.
Here's how GMO is now starting to position as the great unwind takes place in the market.
Legendary value investor Jeremy Grantham, who co-founded investment firm Grantham, Mayo & Otterloo, made his name calling and profiting from market bubbles, from the Japanese asset price bubble to the dot-com crash in 2000 and the housing crisis in 2008.
In the run-up to the dot-com crash, he implemented an aggressive long-short strategy. It returned 80.3%, net of fees, from October 1, 2000 through December 31, 2002 when most investors experienced tremendous losses.
Then in early 2021, Grantham once again called a bubble in the stock market as the Federal Reserve deployed easy monetary policy to stimulate the economy in light of the pandemic and risk assets surged as a result.
Not long after this call, his right-hand man and GMO's head of asset allocation Ben Inker announced the firm was reviving this dot-com era strategy, which is now known as GMO's equity dislocation strategy.
It aimed to capitalize on the extraordinary discrepancy between valuations on value and growth stocks.
As the Fed began to tighten policy at the start of this year, the market bubble started to bust. The S&P 500 is on the precipice of a bear market, having fallen 14% year-to-date.
Meanwhile, Inker's $5.3 billion equity dislocation strategy returned 13% to investors through to April 30.
Now with the great unwind in full swing, Inker shared an update on his recent positioning in a recent letter.
His thesis focuses on growth traps, a pocket of the stock market that Inker first flagged last year at the height of the bubble.
Growth traps are not as well known a as value traps, which are companies that appear very cheap on the surface, but repeatedly disappoint, with low growth and revenues that bring down future multiples.
Around 30% of stocks in the MSCI US Value Index are value traps and underperform the index by 9% on average, according to Inker's note.
Growth traps, on the other hand, are stocks with unrealistic growth expectations set by the market, which they can't live up to.
"When those prospects deteriorate, valuations almost invariably fall significantly, often precipitously," Inker wrote.
GMO found growth traps are more common, making up 37% of the MSCI US Growth index and underperforming by 13% on average, according to Inker's note.
Inker started his note highlighting that Netflix (NFLX), Coinbase (COIN), Peloton (PTON) and Palantir Technologies (PLTR) are all growth traps. Each of these stocks has lost more than 50% of their value since the 2021 highs.
"Since last spring, trap percentages have risen for both the value and growth universes and, judging from history, I wouldn't want to make the bet they are coming back down any time soon," Inker warns investors.
He explains that trap weights are high in recessions, particularly in the early stages of the recovery from recessions. With many economists and investors predicting a recession late this year or early next, investors may want to tread carefully when exploring the growth areas of the market.
"But what should be of note to all investors whatever their positioning is that conditions today suggest that it is likely there will be more growth traps in the next year than there were in the last one and there is good reason to believe their underperformance will remain worse than usual until a full unwinding of the growth bubble occurs," Inker said.
However, that doesn't mean all growth stocks are a bad bet. Inker's team have been buying up some recent shorts.
"Somewhat entertainingly for those of us managing a value versus growth long/short strategy – in GMO's case, our Equity Dislocation Strategy – we've actually found ourselves in recent months buying a handful of our former shorts as they 'trapped' all the way across the large gulf from overpriced growth stocks to underpriced value opportunities," Inker said.
Another area of the equities GMO's turned bullish on recently is resource stocks, which are companies that produce natural resources and commodities, such as Vale (VALE), Glencore (GLCNF) and Mosaic (MOS).
A separate note penned by GMO's Lucas White, a portfolio manager in the focused equities team, demonstrated the benefits of the "unloved" subset of stocks.
"Historically, resource equities have provided stellar performance during inflationary periods and this time has been no different," White said in the note. "Resource equities have been the best performing asset class over the last 2 years yet continue to trade at extremely attractive levels that don't reflect current commodity prices."
However, White warns that investing in the resources sector is not for the faint of hear.
"There is a wide dispersion in the attractiveness of companies within the sector, investors need to keep an eye on capital allocation programs, and the volatility within the sector produces entry/exit points that must be navigated nimbly," White said.
"Despite the challenges, investors willing to wade into these waters are likely to be richly rewarded," he added.
More: Investing Investing Strategy investing strategy 2022
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growth traps | 2022-05-29T08:08:25Z | www.businessinsider.com | How Jeremy Grantham's GMO Is Beating the Stock Market Crash | https://www.businessinsider.com/investing-bear-market-strategies-gmo-jeremy-grantham-stoc-market-crash-2022-5 | https://www.businessinsider.com/investing-bear-market-strategies-gmo-jeremy-grantham-stoc-market-crash-2022-5 |
This cash-back app aims to save shoppers hundreds of dollars a year on gas, groceries and eating out
A woman selects fruits and vegetables
Dalibor Despotovic/Getty Images
US inflation is at a 40-year high, making essentials like food and fuel increasingly expensive.
Upside, a cash-back app recently valued at $1.4 billion, aims to help consumers save money.
Users save an average of $35 a month, and its CEO, who worked at Google, said some save hundreds.
Inflation in the US is accelerating to 40-year highs driven by Russia's invasion of Ukraine, disrupted supply chains and pent-up post-pandemic demand. In an overheated economy flirting with stagflation, consumers are trying to save money on everyday essentials.
One way to do so is by making use of cash-back options. The startup Upside thinks it has found a way to beat competitors and save some consumers hundreds of dollars a month.
The app has just raised $165 million at a $1.4 billion valuation and operates in all 50 states.
Its partners with 30,000 gas stations, 19,000 restaurants and 500 grocery stores as well as Uber and Dunkin' Donuts and its CEO hopes to expand to major retailers like Walmart.
'It's not unheard of for people to save hundreds of dollars a month'
Alex Kinnier is the founder and CEO of Upside.
Alex Kinnier, who co-founded Upside and is also CEO, is a former Google engineer who worked under chief economist Hal Varian. He told Insider that the app puts "value" back into the community.
Kinnier is focused on achieving "economic efficiency" reminiscent of Economics 101 classes on supply and demand and instilled under Varian. He said the company does this by giving buyers money for goods or services they would have bought anyway, and bringing more custom to the merchants they buy from.
He estimates $550 million has been generated through this type of value creation, with 60% being "incremental profit" for merchants and the remainder being additional spending power for consumers.
Upside takes a slice of the profits generated by merchants using the app, which is free for consumers.
The app offers averages of 10c a gallon cash-back on fuel, 13% on groceries and up to 17% on restaurant bills.
Kinnier said the average user in major cities uses the app nine times a month. "It's not unheard of for people to save hundreds of dollars a month using our product," he said, but added that the average was $35 a month.
Upside differed from its rivals by being able to prove to businesses that it had brought in customers by quantifying the transaction amount attributable to the app, Kinnier said.
Companies "understand there's an opportunity for them to make more profit in a quick way with very little work", he said, calling each transaction "attributable, incremental and profitable."
"The system is constantly working to create a more efficient economic end-state," Kinnier said, quoting Varian.
With an expectation that retailers such as Walmart and Target will pass on some of their rising costs to consumers, Kinnier said other avenues needed to be explored to help shoppers.
Can cash-back help fight stagflation?
While some say cash-back saves money for consumers, some studies have argued it only encourages more spending than they could normally afford.
Kinnier said Upside falls into the former category because of the focus on essentials like gas and groceries. The app had 40% growth in users between February and March as people tried to reduce their outgoings, he said.
"The categories that we're in, you have to buy. These aren't wants, these are needs," he said. "And consumers are really desperate for control, because inflation is out of their control. We can give them some bit of that."
Kinnier said he had seen consumers cutting back on eating out and spending more on groceries and gas.
"There are so many merchants that could use our help and so many consumers that could use our help," he said. "We feel a responsibility to get the product to as many people as we can."
More: Weekend BI UK Retail Inflation Cash Back | 2022-05-29T09:39:41Z | www.businessinsider.com | Cash Back App Aims to Save Shoppers Hundreds a Year on Gas, Groceries | https://www.businessinsider.com/cash-back-app-plans-save-shoppers-hundreds-year-gas-groceries-2022-5 | https://www.businessinsider.com/cash-back-app-plans-save-shoppers-hundreds-year-gas-groceries-2022-5 |
Lawmakers who argued in favor of removing the age limit said it would help recruit specialist troops such as doctors and engineers.
Ukraine has long accepted older fighters into its military. As part of its general mobilization as the invasion began, the country banned all men aged 18 to 60 from leaving in case they were needed to fight.
More: News UK Russia Ukraine Putin | 2022-05-29T09:39:53Z | www.businessinsider.com | Putin Signs Law to Let Over-40s Join Russian Army and Fight in Ukraine | https://www.businessinsider.com/putin-signs-law-over-40s-join-russia-army-fight-ukraine-2022-5 | https://www.businessinsider.com/putin-signs-law-over-40s-join-russia-army-fight-ukraine-2022-5 |
Baby formula made from Australian goats and grass-fed cows flown to US to battle shortages
Empty shelves that usually stock baby formula at a store in San Antonio this month.
1.2 million cans of formula made from goat and cow milk will be shipped from Australia, FDA said.
The cans will be enough to make 27.5 million 8-ounce bottles.
The FDA has increased flexibility on its rules to allow more baby formula to be imported.
The US is flying in millions of cans of baby formula made from Australian goat and grass-fed cow milk as the battle to combat shortages continues.
Bubs Australia will provide at least 1.25 million cans of several varieties of its infant formula, including Bubs Organic Grass Fed and Bubs Easy-digest Goat Milk, the Food and Drug Administration said.
The imports will be enough to make 27.5 million 8-ounce bottles. Some of the cans are ready to be shipped, while the FDA said more will be produced and sent in the coming weeks.
It follows increased flexibility outlined by the FDA to allow more imports of baby formula from other countries. The US usually produces 98% of the baby formula consumed in America.
"We continue to work around the clock with our government partners and industry to ensure there's adequate infant formula available," said FDA Commissioner Robert Califf.
"Steps like the one the agency is taking today means more infant formula will be available to parents and caregivers in the weeks and months ahead. We will not rest until our shelves are replete with safe and nutritious infant formula."
The move for increased flexibility follows historic shortages, with 40% of leading products out of stock and some paying $33 for a can, as wider supply chain shortages limit ingredient availability, exacerbated by a recall by maker Abbott over fears of babies becoming severely ill.
Last week, the makers of the baby formula used by the Royal Family said it would fly 100 truckloads-worth of formula to the US.
In recent weeks, parents have been resorting to more desperate measures, with harmful DIY formula recipes going viral on social media.
More: Weekend BI UK Baby formula Biden FDA | 2022-05-29T09:40:05Z | www.businessinsider.com | Australian Goat's Milk Is Latest Weapon in Formula Shortage Battle | https://www.businessinsider.com/us-fly-in-goat-milk-australia-fight-baby-formula-shortage-2022-5 | https://www.businessinsider.com/us-fly-in-goat-milk-australia-fight-baby-formula-shortage-2022-5 |
Hiring freezes can cause employees to worry about their job security.
EmirMemedovski/Getty Images
Several tech companies have introduced hiring freezes to brace for a potential economic slowdown.
Hiring pauses can be concerning for those already employed by a business.
Insider spoke to specialist tech recruiters to find out what to do if your company enters a hiring freeze.
Hiring freezes are spreading across the tech sector.
"It's like almost every second day you're hearing about a new company or big tech company announcing hiring freezes," Nikita Gupta, founder of resume review company FAANGPath, told Insider.
Companies such as Uber and Meta have announced they are putting the brakes on recruiting as the threat of recession looms.
"The war for talent has been really hot," Chris Abbass, CEO of tech recruiting platform, Talentful said. "But now people are probably going to see a drop in demand."
Although these pauses are primarily a problem for job seekers, hiring freezes can also cause current employees to worry about their job security.
1. Don't assume the worst
Hiring freezes are not just another way of announcing layoffs.
In times of economic slowdowns, a hiring pause is not "necessarily a bad thing," according to Abbass. "It could be your company just being very sensible."
Favorable economic conditions in the last year have allowed a lot of companies to invest and expand.
"There's a lot of companies, especially in the last 12 to 18 months, that have been growing incredibly fast because the economy has been booming," he said. "Now that the market is going towards a downturn, that's putting a lot of pressure on those companies and they're having to adapt really quickly — which means hiring freezes."
"It's not always layoffs," FAANGPath's Gupta said. "If a company has said officially that they are doing a hiring freeze, this generally means that they are not going to hire more people but there can be multiple reasons behind it."
2. Check on your company's growth
Understanding how recession-proof your company is can put you in a better position during a hiring freeze.
Talentful's Abbass recommends looking closely at a company's growth and revenue. "Ask yourself, was that company growing before the pandemic? Have they had a steady pace of growth over the last three years?"
"If so, that probably tells you that they can withstand some hard times," he added.
Some industries are more affected by economic downturns than others.
"If there's a downturn, ask yourself if people still need it, or is it a luxury? For example, there's been a lot of layoffs in instant delivery," he said. "When people are short on cash they're not going to spend a premium to get something delivered in 10 minutes."
Some roles are also less likely to be affected by hiring freezes. "There are always more secure roles," Gupta said. "Obviously developers are always in need and engineers are always in need."
3. Find out what your company is prioritizing
Companies that implement hiring freezes will be looking at their business costs.
If you think your company might be heading towards a round of redundancies, you'll want to mark yourself out as important.
"When companies do make layoffs, they look at the areas that they don't need, but then they also tend to keep the high performers across the company," Abbass said.
"They need criteria on why they're making the redundancies and to have a logical process. Normally the first place that companies start is a performance ranking based on the employee's performance."
Abbass recommended having a frank conversation with your manager about what being a high performer means and which of your goals contribute to the company's key priorities.
More: Hiring Freeze Tech Jobs Career Lay-offs | 2022-05-29T11:10:58Z | www.businessinsider.com | What to Do When Your Company Announces a Hiring Freeze | https://www.businessinsider.com/hiring-freeze-things-to-think-about-your-company-2022-5 | https://www.businessinsider.com/hiring-freeze-things-to-think-about-your-company-2022-5 |
Victor Rashnikov's Ocean Victory pictured in Bodrum, Turkey in 2018.
Ali Balli/Getty Images
Yachts of six sanctioned oligarchs have disappeared from global tracking systems: The Observer.
A crew member told the newspaper they were told to turn off tracking and "unscrew" the system.
Under maritime law, yachts are required to transmit a long-range signal.
Superyachts linked to sanctioned Russian oligarchs are vanishing from global tracking systems in an attempt to avoid sanctions, according to an investigation by The Observer.
The British newspaper analyzed AIS (automatic identification system) data from tracking company Vessels Value, which indicated six yachts owned by sanctioned Russian oligarchs had disappeared from tracking systems.
The assets include the 238 ft Clio linked to industrialist Oleg Deripaska, which last transmitted in the Black Sea on April 18; the 229 ft Galactica Super Nova, linked to the former Lukoil CEO Vagit Alekperov and last seen off the Croatian coast on March 2; and the 459 ft Ocean Victory linked to Viktor Rashnikov, which last transmitted in the Maldives on March 1.
Other superyachts linked to fertilizer magnate Andrey Melnichenko, cigarette tycoon Igor Kesaev, and billionaire Andrey Guryev also disappeared off tracking systems in recent months while in the Maldives and the Caribbean.
Sam Tucker at VesselsValue told The Observer: "There are some vessels where we would be previously getting a signal every few minutes from transponders and we are now seeing gaps of months. It's very likely that some have flicked off the switch and gone into stealth mode."
One crew member of a superyacht linked to a sanctioned oligarch told the paper, the Guardian's Sunday titles: "We were told to turn off the AIS. We removed the screws on the power plug and pulled it out."
Maritime law requires yachts to transmit a long range signal "to enhance security of shipping and for the purposes of safety and marine environment protection", according to the International Maritime Organization.
The Observer investigation highlights the difficulty in implementing sanctions designed to sow discontent among Putin's inner circle and put pressure on the Russian president to end his invasion of Ukraine.
Oligarchs continue to scramble to protect their assets in the West. Many yachts have set sail to countries free from sanctions, including Melnichenko in the Maldives and Turkey, where five superyachts linked to oligarchs were sent.
No representatives of the oligarchs linked to the superyachts immediately responded to Insider's request for comment.
More: Weekend BI UK Yacht Superyacht Oligarchs | 2022-05-29T11:11:16Z | www.businessinsider.com | Oligarchs' Superyachts Use 'Stealth Mode' to Dodge Sanctions: Report | https://www.businessinsider.com/oligarchs-superyachts-go-into-stealth-mode-to-dodge-sanctions-2022-5 | https://www.businessinsider.com/oligarchs-superyachts-go-into-stealth-mode-to-dodge-sanctions-2022-5 |
'Avoid the Death Spiral': Multiple VCs have blasted out warnings to founders on economic doom. Here's what they are advising.
Emily Quiles, Emilia David, Lakshmi Varanasi, and Samantha Stokes
mikroman6
VCs are writing to their portfolio companies to warn them of the turbulent times ahead.
Investors are advising startups to cut costs and conserve their cash.
Some VCs say this is the best time to start a company and emerge stronger for the long-run.
The moment of reckoning VCs have been dreading might finally be here.
After investors poured record-breaking amounts of venture money into startups this past year, a spate of disappointing performances from tech companies has investors anticipating a slump, with startup valuations beginning to drop.
Data from CB Insights pointed to an expected 19% decline in global-venture funding for the second quarter. Sectors that typically excite VCs could also see less funding. CB Insights said fintech funding would see a 28% drop, digital health would see a 25% drop, and retail tech would see a whopping 50% drop.
Startups like Thrasio, Cameo, Noom, and MainStreet are turning to cost-cutting, layoffs, and even looking for buyers.
Like other downturns, including the one at the beginning of the pandemic, investors sought to assure their portfolio companies that things would work out while warning them to brace for turbulent times. In the financial crisis of 2008, investment titan Sequoia Capital famously cautioned founders to cut costs, and "spend every dollar as if it was your last," in its "RIP Good Times" report to its portfolio. The firm delivered a similar message to startups as the dot.com bubble burst in 2000. Sequoia just issued their own warning to their portfolio about the recent downturn, cautioning founders of this "crucible moment," in which they need to cut costs and conserve cash.
Many VCs are drawing inspiration from Sequoia's infamous 2008 pitch deck, cautioning founders in internal and external memos to prepare themselves for the downturn.
Many of these warnings came in memos, but some VCs preferred to speak directly to founders.
For example, Ammar Amdani, the cofounder of Adapt VC, says he's been scheduling meetings with all his companies to address their financial needs in the months ahead. Carter Reum, founder of M13 Ventures, also says he's been communicating individually with each of his companies.
Here is a round-up of what some VCs have told portfolio companies about how they should prepare for a continued downturn.
Andreessen Horowitz outlines tangible steps to get back on track
Ben Horowitz, founding partner of Andreessen Horowitz.
Andreessen Horowitz is among the most well-known VC firms in the game and shared the advice they give to their own companies in a post on their editorial site, Future.
The firm provides startups with a framework for analyzing three important metrics in a downturn: re-evaluating valuations, understanding burn multiples, and building scenario plans.
Since public-company valuations tend to reflect downturns more quickly than private ones, the firm advised startups to pick a public company in a relevant sector and recalibrate their valuation based on how much the former has dropped.
Next, the firms says to focus on "burn multiples," which is defined as cash spent by a startup divided by the annual projected revenue.
"We like burn multiples more than other efficiency metrics for recalibrating when market conditions change because they are all-encompassing of your business activities," the firm said in the memo.
They also noted that scenario planning is important during macro events like inflation and supply-chain shocks. Companies should create plans for the base case, best case, and worst case scenarios so they can quickly adjust their spending to their performance.
"Some of the strongest businesses are forged in the toughest times, and often, those that survive when the market turns are rewarded with increased market share and leaner, more efficient operations," the memo concluded.
Here is the full note.
Bling Capital says rein in spending
Benjamin Ling, founder of Bling Capital.
Bling Capital
Benjamin Ling, the founder of early-stage venture fund Bling Capital, believes that investor sentiment is the most negative it has been in over a decade. He's not sure whether the downturn will last a few months or a few years.
"Given the uncertainty in duration, startups would be wise to carefully evaluate and reign on their spending in a market where capital is very expensive," he said.
Brooklyn Bridge Ventures advises seed and pre-seed startups to act now
Fundraising may be more sluggish these days, but Charlie O'Donnell recommends forging ahead anyway — even if the environment is less than perfect.
"Ditch the need for a lead," he advised startups in his weekly newsletter focusing on the New York innovation community. "Sure, it's nice if you get one, but if you're raising a seed or pre-seed, just pick a reasonable number and a minimum close amount."
O'Donnell's firm, Brooklyn Bridge Ventures, focuses on seed and pre-seed startups and has made investments in credit-card fintech Petal; direct-to-consumer grocer Hungryroot; and paint startup Clare.
Ensuring you have enough cash to reach a milestone "everyone can get excited about" — whether it be product development, a launch, or making headway on revenue — can get investors excited in the future.
"Just get the ball moving," he said. "Are you in or are you out at X price, if we get Y amount of money in? Doesn't need to be more complicated than that."
Cantos Ventures takes a different approach
Investor Ian Rountree.
Cantos Ventures
Ian Rountree, a managing partner at Cantos Ventures, noticed his founders were already being flooded with cautionary blog posts and internal memos on how to prepare.
"They became repetitive and went from helpful to depressing," he said. He decided to take a different approach to addressing his portfolio companies. "I've more or less flipped and am cheering them on!"
In a tweet from May 17, he shared that Cantos was continuing investments despite the downturn. He told strong teams to "stay calm and build on."
Two more deep tech Series B term sheets in the @cantos portfolio this week, both decent up-rounds
Consider cash burn carefully but if you're an awesome team with killer tech, a strong mission, and a massive margin opportunity then stay calm and build on🧑🏭👷🧑🔬
— ian 🔮🪤 (@IanRountree) May 17, 2022
He also shared a piece of advice Sequoia relayed to one of his portfolio companies it also backs: "To raise extra cash if they can and focus more on near-term revenue."
Cowboy Ventures warns of a rocky two years
Amanda Robson, partner, Cowboy Ventures.
Early-stage investor Cowboy Ventures, a VC firm founded by Aileen Lee, said it told portfolio companies to expect a rocky two years of fundraising and to do scenario planning to be prepared "if things like churn are worse than expected."
In an email, Cowboy Ventures partner Amanda Robson said the company has asked founders to focus on efficiency metrics.
"We have the benefit of multiple Cowboy partners like Aileen [Lee] and Ted [Wong] having lived through few cycles," Robson said. "We have also been having one-on-one conversations within the portfolio-advising companies based on their specific markets, customer bases and sales and support motions on how to best plan for the next couple of years."
Craft Ventures recommends startups be open to accepting a lower valuation
Craft Ventures' partner Jeff Fluhr and David Sacks.
Craft Ventures
Craft Ventures, an early-stage venture firm based in San Francisco, took an unconventional approach to communicate with founders.
Instead of a note, phone call, or one-to-one meeting, the firm uploaded a 55-minute video to its YouTube channel. In the video, co-founders David Sacks and Jeff Fluhr address four main points about the downturn: what's happening in public and venture markets, how the current moment is similar to downturns in the past, and they offer suggestions on what founders can do right now — including raising more capital and being open to lower valuations.
"This is one area where VCs are better positioned than founders to see what's happening because we are in the market for capital every day, " Sacks says. "Obviously it's your companies, you run them. We're giving you this information so you can adapt as quickly as possible and survive this downturn."
Financial Ventures Studio believes now is a good time to start a fintech
Tyler Griffin, cofounder and managing partner, Financial Venture Studio.
Financial Venture Studio
Fintech investor Financial Venture Studio warned portfolio companies that while "the extreme valuations of the past couple years have largely evaporated," there are still opportunities.
The fund's managing partner Tyler Griffin told Insider they have muted optimism.
"Nobody knows how long this will last, but the economy is not fundamentally broken, and innovation in financial services is needed now more than ever," Griffin said. "Now is a great time to start a fintech: early, seed-stage funding is still available. IPOs for a new company are years off; times like this raise the salience of fintech and increase the positive impact great companies can have on their customers."
Griffin added his fund believes differentiation "has never been easier" regulators will make banks rely on fee income and drive consumers to more digital, low-fee offerings.
Financial Venture Studio noted that firms could receive available funding and it is still looking for companies to work with, but warned that prices would not be as high. In addition, late-stage rounds will also take longer, so portfolio companies should expect more extended rounds.
Griffin had one final warning for startups.
"Crypto is not immune."
Initialized warns startups against rushing to raise a Series B right now
Initialized partner Alda Leu Dennis.
initialized
The market has shifted from its founder-friendly peak around a year ago, presenting challenges for startups that earned a high valuation then and are now considering another round of fundraising.
Proceed with caution, Alda Leu Dennis, an Initialized partner, said in a recent blog post.
"Given current market conditions, the baseline metrics required to raise a Series B have shifted," she wrote. "With talk of a potential recession and economic tightening policies underway, VC firms have begun to scrutinize new deals from a more defensive position."
Dennis said that while many founders have continued to seek capital, there are fewer successful rounds these days. She's advising startups to weigh their need for cash to grow — and potentially taking a hit to valuation during a funding round — against waiting until the markets normalize.
"Personally, I think that any rush to raise right now would be viewed as negative signaling for nervous VCs," she said. "Don't let a panic fundraise poison the waters — be thoughtful and take some time to pull the data together, craft your story, and practice your pitch before heading out there."
Lightspeed Venture Partners offers advice on staying optimistic and emerging stronger
Barry Eggers, founding partner of Lightspeed Venture Partners.
Lightspeed Venture Partners, a global venture firm that focuses on multi-stage investments, posted a memo on Medium titled "The Upside of a Downturn" earlier this month.
The note offers advice on how struggling startups can make the most of the current situation and come out stronger.
It focuses on seven main points that included suggestions for morale like "stay optimistic" and "survive before you thrive." The firm reassures companies that since growth is slow at the moment, investors will not fault them for momentarily putting big ambitions on pause.
They also offer practical advice like "cut nonessential activities" and "revise assumptions based on talent." One of the silver linings of a downturn they say, is that companies can focus on recruiting talented people they didn't have access to before.
The firm reiterates that companies should strengthen their fundamental operations right now and keep in mind that the slowdown is temporary.
"Our hope is that your resolve remains strong in the coming year. We look forward to helping founders navigate the difficult choices ahead, and continue to build generational businesses," the firm writes.
Here is the full memo.
Mendoza Ventures: 'Don't look at social media'
Senofer Mendoza, founder and general partner at Mendoza Ventures.
Mendoza Ventures
Mendoza Ventures, a Boston-based fund investing in fintech, AI, and cybersecurity, made sure its founders steer clear of market noise.
"We tell them to turn off their computer for a minute, or at least social media, because the amount of noise in the space versus the change in money flows are not matching up yet," Senofer Mendoza, Mendoza Ventures founder and general partner, said.
Mendoza added that she's told portfolio companies to "focus on sailing your own boat and if something crashes next to you, don't worry about that, that's their boat."
Mendoza said one of the things her fund has impressed upon founders in the past few days is the importance of fintech in people's lives. She believes that if a company's products have the power to change people's financial lives, they will always be necessary, especially in a downturn.
Sequoia cautioned founders of a "crucible moment" and to avoid a "death spiral"
Sequoia partner Roelof Botha.
Brian Ach/Getty
Sequoia Capital, which famously advised founders after the 2008 financial crisis and dot-com bubble to proceed with caution, just warned founders of a "crucible moment," according to a presentation to founders that was first published by The Information.
The VC firm said that founders shouldn't expect a quick economic recovery and that startups should extend their runway and quell excess costs.
"Don't view [cuts] as a negative, but as a way to conserve cash and run faster," the memo said.
Sequoia also warned about the potential for startups to "avoid the death spiral" in the current environment as monetary and fiscal policy tools that helped immediate pandemic recovery has been "exhausted."
Wing VC: 'Building an enduring company is a marathon'
Jake Flomenberg, partner, Wing VC.
Wing VC
Wing VC told their portfolio companies that even though the market seems to be moving slower, there is still capital available at a different level than what they're used to.
"It's a bit of a falling knife scenario where folks aren't sure where the bottom is and desire to find social proof with whatever the new market pricing is," said Jake Flomenberg, a Wing VC partner, in an email. "That pricing will take a bit longer to emerge in the early stages of the venture market so in the short term fewer deals are getting done. Medium-term, capital will be available, just in the new pricing regime."
Flomenberg said the advice he gave to founders is to not panic. He told portfolio companies fundraising will be harder so they would need to remember that "building an enduring company is a marathon and bumps are expected along the way."
Wing said companies should do more with less and "recalculate the cost/benefit of additional expenditures given the rising cost of capital."
The VC plans to work with its portfolio companies to review their operating plan in light of current market conditions.
Y Combinator warns startups to stay away from fundraising market
Y Combinator founder Paul Graham addresses a group of startup founders at the accelerator.
Y Combinator sent a message to founders through its internal-alumni platform, the incubator confirmed to Insider, as many of them worried about possibly changing plans to hire, spend or raise capital.
Y Combinator told founders that while no one can predict how the economy will behave, "the safe move is to plan for the worst."
"If the current situation is as bad as the last two economic downturns, the best way to prepare is to cut costs and extend your runway within the next 30 days. Your goal should be to get to Default Alive," the memo said. "If you don't have the runway to reach default alive and your investors are willing to give you more money right now (even on the same terms as your last round) you should strongly consider taking it."
They added that when public-tech companies perform poorly, VC investing is also impacted as funds cannot raise as much capital.
The incubator warned companies still looking for product-market fit shouldn't expect another round "to happen at all until you have obviously hit product-market fit." Startups looking to raise cash in the next six to 12 months should also rethink their plans.
But Y Combinator still maintains that companies "can often pick up significant market share in an economic downturn by just staying alive."
"If for whatever reason you don't think this message applies to your company or you are going to need someone to tell you this in person to believe it… please reassess your beliefs on a monthly basis to make sure you don't drive your company off a cliff," the memo said.
More: Features Venture Capital Recession | 2022-05-29T12:38:25Z | www.businessinsider.com | Venture Capitalists' Best Advice for Tech Startups in an Economic Downturn | https://www.businessinsider.com/economic-downturn-venture-capitalists-advice-for-startups-sequoia-a16z-2022-5 | https://www.businessinsider.com/economic-downturn-venture-capitalists-advice-for-startups-sequoia-a16z-2022-5 |
I haven't contributed to my retirement accounts in years, but I have an even better plan for my future
Leslie Quander Wooldridge
The author, Leslie Quander Wooldridge.
I stopped contributing to a 401(k) when I went freelance and lost my employer match.
I think investing in a taxable brokerage account is smarter for me, since it's more flexible.
My money isn't locked up for decades, and I can use it to expand my business as needed.
Confession: I haven't really contributed to my retirement accounts since 2019. And yet, I completely believe in planning ahead for retirement. I've even worked to help other people understand why investing is important. So if my lack of recent retirement account contributions sounds unthinkable, I'll explain.
I started saving for retirement in my 20s via an employer's 401(k) plan. I was working as a writer and editor, and retirement was decades away, but I knew the magic of compounding could help set up my future. The company I'd been working for offered matching funds with a staggered vesting schedule. It was, admittedly, not the best. But I still contributed pre-tax, not knowing if I'd ever get the full matching payout. (Spoiler: I didn't.)
Fast forward to my next job, where I continued to contribute to a 401(k) with every paycheck. This employer had a more generous policy, with a company match of up to 5% of funds and immediate vesting. I was getting free money, ya'll, and it was a great motivator. I could see my retirement accounts growing.
I'll spare you my whole workplace journey, but I eventually ended up at an agency that matched up to 5% of my retirement contributions. There, I was vested fully after three years, and I even rolled in a previous 401(k) plan to consolidate my investments with lower fees.
At this job, I'd regularly contribute the minimum required for matching and, at times, would contribute more than 10% of my salary. My focus was on saving money, growing my retirement account, and reducing taxable income. But when I decided to leave that staff job to find freedom and work for myself, I also left the matching funds. And lost the ability to add more. So I stopped investing in workplace retirement accounts.
Going freelance changed my perspective on retirement planning
In this new stage, I could have started contributing to after-tax retirement accounts. But my perspective on retirement planning had changed.
You see, when I went freelance, I decided I needed to be more financially liquid. This would help while I ramped up my business and give me a cushion in case of emergency. Because there's no paid time off for consultants — unless you've mastered passive income, but that's another story — so it's helpful to have funds on hand.
And while traditional retirement accounts can be helpful for long-term planning, especially when you're an employee receiving a vested company match, circumstances do change. In my case, I absolutely did not want to be faced with a penalty if I wanted to withdraw funds before retirement age. (Another thing I considered? While pre-tax retirement accounts can help employees reduce taxable income, business owners, like me, can reduce taxable income by deducting qualified business expenses.)
That said, my answer to being more liquid — and more in control of my finances — was not to funnel all money into a bank savings account and hope for the best. Because inflation is real. And flat money stowed in a savings account loses value over time, especially considering that the national average interest rate for savings accounts is just 0.06%, according to a May 2022 survey from Bankrate. (Yeah, it's low.)
These days, as inflation rises, I now have more funds in investments like index funds, a few stocks, and cryptocurrencies. And you know what? While my retirement accounts from previous staff jobs continue to grow, and are not too shabby, my after-tax investments aren't too shabby either. And I'm thankful. Because while we continue to deal with economic uncertainty, I can move or withdraw my after-tax funds if I need to — without penalty.
I'm happy to adjust as needed
While I appreciate the old me for investing via employer plans, now I'm in charge of my own destiny. And I'm glad I control my investments in after-tax accounts versus relying on a 401(k)'s potentially limited options.
As the markets continue to shift, I'm open to adjusting my investing strategy. For instance, I may consider a bitcoin IRA at some point, since I appreciate the returns that cryptocurrency (which is volatile) can bring. But for now, I'm satisfied with my current plan.
Today I no longer have to work as much as I used to because of my investments. I have more time to see my family and to pursue the media and speaking projects I love. And I know I've positioned myself well for my present situation, and for my future.
Leslie Quander Wooldridge is a writer, editor, consultant, and coach whose articles have reached tens of millions of readers. Visit her at www.lesliequander.com or follow her on Instagram.
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More: Retirement Retirement Savings 401 (k) Personal Finance Insider | 2022-05-29T12:38:55Z | www.businessinsider.com | Why I Haven't Saved for Retirement in Years and What I'm Doing Instead | https://www.businessinsider.com/personal-finance/havent-saved-for-retirement-in-years-2022-5 | https://www.businessinsider.com/personal-finance/havent-saved-for-retirement-in-years-2022-5 |
Why big investors are pressing companies for data like where their warehouses and factories are
"I think it's been viewed as something that is, you know, quite tree-huggy and not really relevant for investors," Beauvilain said, referring to biodiversity matters. "But it's incredibly relevant."
Investors and lawmakers are increasingly scrutizing aspects of the ESG investing world.
Investors are starting to push companies to act more aggressively on another front: biodiversity.
Big money managers have been engaging with portfolio companies on the issue this year.
Investors and lawmakers are increasingly scrutinizing aspects of the complex, fast-growing multi-trillion-dollar ESG- and impact-investing universes.
The Securities and Exchange Commission has started cracking down on the ways investment firms label their funds as environmentally sound, and lawmakers and executives are sounding off about their concerns over investing using environmental, social, and governance criteria.
Companies' policies, a key part of the corporate sustainability web, are under a microscope this shareholder meeting season. Shareholders have placed a record 328 environmental- and social-related proposals on ballots so far, per RBC Capital Markets data. Racial equity audit- and plastic waste-related proposals in those categories have received notably high shareholder support, RBC analysts Sara Mahaffy and Lori Calvasina said last week.
Investors are starting to push companies to act more aggressively on another front-facing crisis: biodiversity.
"To measure biodiversity is a real challenge, and I think it's sort of one of those juicy things — how do we tackle that?" said Lisa Beauvilain, head of sustainability and ESG at Impax Asset Management, the London-based money manager that oversees some $46.5 billion in assets and focuses on sustainable investments.
Broadly defined, biodiversity encompasses the many species and ecosystems in the world around us — wildlife, people, animals, and bacteria. The rate of biodiversity loss is "unprecedented," a team at Jefferies led by global ESG head Aniket Shah wrote in a report to clients last month, noting more than 1 million species are at risk of extinction.
"Today more than half of annual global GDP, or $44 trillion in economic value, is tied to nature," Shah's team wrote in the April 18 report. "We are destroying biodiversity and if this damage continues, whole ecosystems will collapse."
'It's incredibly relevant'
Beauvilain told Insider in a recent interview that she uses criteria set by the Taskforce on Nature-related Financial Disclosures, the influential initiative that launched last year and is funded by the United Nations and other bodies seeking standards around how to assess companies' actions on nature-related risks.
"They understand that biodiversity is completely linked to climate," Beauvilain said of the TNFD. "It's completely linked to our health. We saw for example, COVID — but also other zoonotic viruses in the last 25 years — have been increasing because we get so close to wildlife with our infringing on the natural world more and more."
Investors are coming around to understanding the severity of companies contributing to biodiversity loss, she said.
When it comes to the chief topics in focus this year for big asset managers' interactions with portfolio companies, assessing biodiversity risks and deforestation was the third-most relevant topic after climate action and diversity, equity, and inclusion, according to RBC's report published last week. (Mahaffy and Calvasina said they viewed the big increase in environmental- and social-linked proposals as being driven in large part by updated guidance the SEC provided last year that can effectively give shareholders an easier time getting such proposals on companies' ballots.)
"A common theme was around engaging with companies to increase disclosures on these topics, including how these risks could impact their operations and policies and targets to mitigate these risks," the RBC analysts wrote.
Beauvilain said her team has been engaging companies on this issue and another aspect of measuring risk, geolocation data, that is intertwined with biodiversity.
Using data on companies' physical locations can be important in assessing their footprints. In 2020, Impax wrote to the Securities and Exchange Commission requesting an action to require such disclosures from companies.
"I think it's been viewed as something that is, you know, quite tree-huggy and not really relevant for investors," Beauvilain said, referring to monitoring how companies act on biodiversity. "But it's incredibly relevant."
More: Finance Sustainability ESG Asset Management
Samantha Lee | 2022-05-29T14:13:30Z | www.businessinsider.com | Why Big Investors Are Pressing Companies for Biodiversity Data | https://www.businessinsider.com/asset-management-esg-biodiversity-data-2022-5 | https://www.businessinsider.com/asset-management-esg-biodiversity-data-2022-5 |
Vickie Flores/In Pictures via Getty Images
A major factor driving higher consumer prices has been the unpredictability of the supply chain.
With fewer product choices, retailers could sell inventory without offering traditional promotions.
Now, some companies have overstocked inventories, which could lead to the return of discounts.
It's no secret that supply-chain snags and growing inflation have pushed consumer prices to new highs in the past year, but there's another less obvious factor contributing to higher costs: companies offered fewer discounts.
Inventory shortages allowed retailers to move away from traditional promotions designed to clear out overstock, selling more stuff at full price and leaving shoppers with fewer options at higher prices.
But a shift could be underway as companies once again find themselves with excess inventory.
In an attempt to escape the unpredictability of shipping last year, many retailers ordered even more aggressively to meet robust consumer demand. Then, as port bottlenecks began to ease, it started to catch up with them — leaving them with a glut of inventory in a phenomenon known as the "bullwhip effect."
In recent earnings calls, retailers including Walmart, Target, Kohl's, and Dick's reported that their inventories surged by roughly 40% compared to the year prior. Taken together, these excess inventories represent several billions of dollars worth of overstocked products taking up valuable space on shelves and in warehouses.
The question of what to do with all this stuff is one with answers that may bode well for consumers.
Target and Walmart, for example, both reported lower-than-expected profits last quarter, due in part to a return to using markdowns to keep fresh products on the shelves and to attract more shoppers.
"We'll work through most or all of the excess inventory over the next couple of quarters," Walmart CEO Doug McMillon told investors on the company's first-quarter earnings call.
"While these were difficult decisions, we believe they'll pay off in the long term, given that building long-term loyalty remains our top priority," Target's Chief Growth Officer Christina Hennington told investors last week, speaking of the choice to cut into the quarter's profit margin.
Meanwhile, discount retailers Burlington and Ross reportedly saw closeout inventories tick up significantly in early March, Credit Suisse equity analyst Michael Binetti told the Wall Street Journal.
Despite the movement in certain retail categories like apparel and home goods, the numbers don't suggest there will be a widespread comeback of the days of mega-deals and promotions just yet.
For one thing, the chaos of the past year has given companies a new appetite to keep more products in stock, rather than counting on just-in-time deliveries to work smoothly.
Plus, the latest consumer spending figures show that shoppers are still spending — they're just starting to do so on different things. Target reported less demand for TVs, and more sales of luggage. Airline bookings are soaring.
It might not be much, but it could give shoppers some measure of relief from rising prices in the coming months.
More: Consumer spending Inventories Discounts Retail | 2022-05-29T14:13:36Z | www.businessinsider.com | Discounts May Make a Comeback This Year, Thanks to Return of Overstock | https://www.businessinsider.com/discounts-may-make-comeback-thanks-to-return-of-overstock-2022-5 | https://www.businessinsider.com/discounts-may-make-comeback-thanks-to-return-of-overstock-2022-5 |
The best Memorial Day TV sales, including up to $300 off OLEDs from LG, Samsung, and Vizio
Memorial Day is a one of the best times of the year to upgrade or buy a TV.
Several great discounts are available from brands like Sony, LG, Vizio, and Samsung.
Memorial Day weekend has arrived, and several retailers are selling a bunch of TVs from different brands at considerable discounts.
Spring and summer are usually when TV manufacturers start launching their newest display models, so there are a few brand-new 2022 TVs already on sale. New stock also means big discounts on older inventory, so if you don't mind grabbing one of last year's models, you can find many great 2021 TVs on sale for low prices.
Below, we've compiled the best Memorial Day TV deals you can get right now. We'll update this page with new TV sales as they're revealed.
Sony 65-inch A80J OLED 4K TV
Sony's A80J is a premium TV champ when it comes to image accuracy. Though Sony has a more expensive 2022 model with better color performance, the A80J holds its own for a lot less. This is one of the best deal prices we've seen on this model. | 2022-05-29T14:13:47Z | www.businessinsider.com | Memorial Day TV Sales 2022: Best Deals to Shop Right Now | https://www.businessinsider.com/guides/deals/best-memorial-day-tv-sales-2022-5 | https://www.businessinsider.com/guides/deals/best-memorial-day-tv-sales-2022-5 |
'The Disgruntled Billionaires Club': Find out which lawyers the richest men in the world call when they've got problems
Tesla CEO Elon Musk exits federal court in New York City.
The legal industry has long been assuaging the concerns of billionaires.
So when Elon Musk said he wanted to build a "hardcore litigation department," it set the stage for the latest episode in a time-honored tradition of attorneys who flock to a well-funded litigant, ready to demonstrate their versatility in courtroom warfare.
Musk tweeted on May 20 that Tesla was building a department that would "directly initiate and execute lawsuits," adding that the lawyers would report directly to Musk.
The comment came after Insider published an article that found a SpaceX flight attendant was paid for her silence as she accused the tech mogul of exposing his erect penis, touching her leg, and offering to give her a horse in exchange for a sexual favor in late 2016.
Documents and interviews that Insider procured indicate she declined the offer.
Musk told Insider there was "a lot more to this story" and, after the article's publication, called the accusations "utterly untrue." He also described the story as a "politically motivated hit piece."
Through interviews with attorneys at litigation firms, Insider found several other instances when billionaires have leaned on legal help — sometimes from attorneys at prestigious law firms — to help them navigate thorny and often personal disputes.
One lawyer who previously worked at the litigation firm Boies Schiller Flexner said that the practice was so common that his colleagues had come up with a nickname for the category of cases: "The Disgruntled Billionaires Club."
The person said that these types of cases included divorces, as well as disputes with neighbors and business partners.
Law firms often pride themselves on taking on high-minded assignments. They typically don't publicize such personal disputes on their websites, but sometimes they slip out into the public eye.
Here is a list of six such examples.
Quinn Emanuel files a RICO case against a woman who accused Leon Black of sexual assault
Leon Black, former CEO of Apollo Global Management.
In a case that's playing out in federal court, the billionaire investor Leon Black hired litigation firm Quinn Emanuel to file a federal-racketeering case against a woman who has accused him of abusing her during an extramarital affair in the 2000s.
Black claims that the affair was consensual and that his former lover, Guzel Ganieva, extorted him out of millions of dollars before filing a civil lawsuit against him last year.
Ganieva claims that Black raped her in 2014, physically intimidated her, and introduced her to Jeffrey Epstein, a convicted sex offender who was found dead in his New York City jail cell in 2019. Black has denied the allegations.
The dispute took a turn when attorneys from Quinn Emanuel filed a RICO case against Ganieva and her law firm Wigdor, claiming she conspired with unnamed defendants in an effort to destroy Black.
The litigation is notable because RICO claims aren't just casually tossed around. RICO stands for Racketeer Influenced and Corrupt Organizations Act, a law Congress passed in 1970 and initially designed to prosecute members of the mafia.
Wigdor filed a motion for sanctions against Black and his lawyers, saying that their RICO case included factual contentions without evidence to support them, and that it was designed to retaliate against Ganieva and interfere with Wigdor's ability to represent her.
John Quinn and Michael Carlinsky — Quinn Emanuel partners — and Susan Estrich, a former QE attorney who now runs her own boutique, signed the RICO filing.
Two weeks after Wigdor's sanctions motion, on Jan. 24, Quinn Emanuel filed a motion to withdraw from the case, citing a "potential conflict of interest."
Today, the docket lists Estrich and Michael Kellogg, a newly added attorney. Estrich filed amended claims that revealed the identity of defendants in the case: Josh Harris, Black's former business partner, and Steve Rubenstein, a publicist.
Both men denied Black's claims.
Ronald Perelman sues in-laws over daughter's inheritance
Ronald Perelman, CEO of MacAndrews and Forbes.
Another billionaire investor with a reputation for throwing lawyers at thorny personal problems is Ronald Perelman, the CEO of MacAndrews and Forbes.
Perelman, who owns beauty-products company Revlon, infamously lost a years-long battle with his in-laws over how much money his daughter Samantha was entitled to from her grandfather's fortune.
Her grandfather, Robert Cohen, had owned a vast newspaper business, and Perelman and Samantha claimed she was entitled to half — even though Cohen had five other grandchildren, according to an exhaustive account of the court proceedings in Fortune Magazine.
Depositions over an alleged "oral promise" that Cohen was said to have made to Perelman's late wife, Claudia Cohen, were difficult for some of Cohen's lawyers to stomach, given that Robert Cohen was disabled and needed to communicate through an interpreter, the result of a condition similar to Parkinson's.
"I never felt more ashamed to be an attorney to see that undeserved spectacle," Benjamin Clarke, a lawyer for Cohen in the dispute, said in an interview with Insider.
Despite spending $20 million on the litigation, Perelman lost the fight. His attorneys at Paul Weiss and Lowenstein Sandler were sanctioned and fined $2 million for filing frivolous litigation, but an appeals court later threw out the sanction.
Bill Gross's legendary feud with his Laguna Beach neighbors
Bill Gross cofounded bond giant PIMCO.
Sometimes the disputes center on property lines, as was the case with Bill Gross's legendary feud with his neighbor.
The dispute culminated in a judge's ruling in October 2021 that found Gross and his wife in contempt of court, ordering each of them to perform two days of community service and pay a $1,000 fine, according to The Orange County Register.
The drama began when Gross's Laguna Beach neighbor, tech entrepreneur Mark Towfiq, alleged that Gross had constructed a $1 million sculpture that partially blocked he and his wife's ocean views.
After city officials investigated and found that the sculpture was in violation of city code and didn't have proper permits, Gross began retaliating against his neighbors by blasting loud music, Towfiq and Carol Nakahara, his wife, claimed in their lawsuit.
The music included the "Gilligan's Island" theme song on loop, they said.
To fight his neighbors, Gross tapped Patricia Glaser, one of California's most prominent trial attorneys who has represented MGM Grand, Keith Olbermann, Conan O'Brien, and Harvey Weinstein.
When the judge issued her ruling in October, Glaser called it "draconian."
Glaser made the case to an Orange County court judge that Gross was in the process of getting the lawn sculpture on his property approved by the city, according to The Orange County Register. She said that Towfiq's objections came as "the city was on the precipice of approving the statue," the publication reported.
The Bahamian war between Peter Nygård and Louis Bacon
Peter Nygård, the fashion executive.
Photo by Mintaha Neslihan Eroglu/Anadolu Agency/Getty Images
When it comes to bizarre legal feuds between exceptionally wealthy neighbors, few can rival the one between Canadian fashion executive Peter Nygård and American hedge-fund billionaire Louis Bacon — a dispute that ultimately took a disturbing turn.
The two men lived next to each other in the Bahamas and became embroiled in an escalating war against each other after Bacon, a conservationist, had accused Nygård of illegally mining sand to create new beachfront, according to The New York Times.
When a blaze erupted in 2009 and damaged Nygård's property, Nygård's employees said their boss blamed Bacon, according to The Times. When the government refused to let him rebuild, Nygård sued the government, saying it was colluding with Bacon to force him off the island.
Things got messier years later after Nygård was accused of sexual assault in a lawsuit, funded in part by Bacon, and brought by young women who had attended parties he frequently threw on his island estate. And Nygård funded a smear campaign against Bacon, according to The Times, with a video of Nygård's staff created that superimposed Bacon's face on the collapsing twin towers.
The Times reported that the dispute created a "cottage industry for opportunists" who dug up dirt on either Nygård or Bacon, depending on which one hired them.
The law firm Susman Godfrey represented Bacon in a defamation case against Nygård. Nygård's lawyer, Jay Prober, called the sexual-assault claims against him "nothing but false allegations."
Nygård is currently detained in Toronto after being charged by Toronto police with sexual assault and forcible containment, according to The Canadian Press. US authorities have asked for Nygård to be extradited to face sex-related charges in the United States, the publication reported.
Sheldon Solow's many litigations
Sheldon Solow, the late real-estate developer.
One of the most prolific members of the Disgruntled Billionaires Club is the late real-estate developer Sheldon Solow.
Solow's 2020 obituary in The New York Times noted that he embraced litigation "with the passion of a sports fan" and "was a mercurial fighter with unshakable confidence in his own views."
Solow relied on many lawyers to wage war on his enemies. One of them was Marc Dreier, the founder of Dreier LLP who was later sentenced to 20 years in federal prison for stealing from clients and operating a Ponzi scheme.
Solow's legal battles ranged from a lawsuit against Conseco, Inc. — now known as CNO — over the $1.4 billion sale of the General Motors Building — which Solow lost to Henry Macklowe and then claimed the process was rigged — to a case against banks including Citibank, JP Morgan, and Credit Suisse, alleging that their manipulation of Libor resulted in the wrongful seizure of Solow's bond portfolio.
In one case, he claimed that the seller of a 13-year lease for 380 Madison ripped him off, alleging that his $257 million rental fee was too high, propped up by an elaborate price-fixing scheme. A New York judge later tossed the case and sanctioned Solow and his attorney, Dreier.
A business partnership gone bad between two private-equity executives
David Boies, co-lead counsel of the legal team challenging California's same-sex marriage ban, arrives at the Supreme Court in Washington in 2013.
Lawyers often like to say that they help businesses grow and maintain a healthy workplace. But in the case of Saul Fox and Dexter Paine, their West Coast private-equity firm became the subject of protracted litigation involving claims of financial mismanagement. And then lawyers had to gather evidence to protect their clients' interests.
The two executives founded the firm Fox and Paine in 1997 and raised hundreds of millions of dollars from investors to finance acquisitions spanning an Alaskan phone company, a Cayman Islands reinsurer, and an Israeli oil-reserve-mapping company.
But by 2007, Fox and Paine's relationship had devolved so much that they were suing each other in the Delaware Court of Chancery. Fox initiated the lawsuit, accusing Paine of misallocating expenses, prompting the sale of companies without requisite authorization, and promoting marketing materials that glorified one fund to the detriment of another, according to court records.
Paine fired back, accusing Fox of improperly putting an airplane on the books and attempting to force Paine to relinquish his management authority over one of the firm's funds.
Their law firms, meanwhile, were there to advocate for their respective interests.
Lawyers from Boies Schiller Flexner, including David Boies, represented Saul Fox. Attorneys from Paul Weiss, including Eric Goldstein, represented Dexter Paine. The case, which was covered in a Wall Street Journal article titled "Bitter End of a Partnership," settled out of court. | 2022-05-29T14:14:16Z | www.businessinsider.com | These Billionaires Hire Expensive Lawyers for Family Feuds, Divorces | https://www.businessinsider.com/richest-men-lawyers-elon-musk-leon-black-bill-gross-billionaire-legal-teams-2022-5 | https://www.businessinsider.com/richest-men-lawyers-elon-musk-leon-black-bill-gross-billionaire-legal-teams-2022-5 |
Sen. John Cornyn (R-TX) speaks on the economy during a news conference at the US Capitol on May 04, 2022 in Washington, DC.
Texas GOP Sen. John Cornyn said pointing fingers at the police was "destructive."
Reports show that police were slow to engage with the gunman at Robb Elementary School.
The father of a Parkland shooting victim slammed Cornyn for his remarks.
The father of a student who died in the 2018 Parkland school shooting has slammed Texas GOP Sen. John Cornyn after the lawmaker said "finger pointing" at police in the wake of the Robb Elementary school shooting is "destructive."
"The second guessing and finger pointing among state and local law enforcement is destructive, distracting, and unfair. Complex scenarios require split second decisions. Easy to criticize with 20-20 hindsight," Cornyn said in a tweet on Saturday.
—Senator John Cornyn (@JohnCornyn) May 28, 2022
In response, Fred Guttenberg, whose daughter Jamie was killed when a gunman opened fire in Marjory Stoneman Douglas High School in Parkland, Florida on February 14, 2018, killing 17 people called Cornyn "tragically wrong."
"My daughter Jaime was 2nd to last to be murdered in Parkland. She was on the 3rd floor, shot with a single AR 15 bullet that severed her spinal cord. She needed 3 additional seconds to make it to safety. If not for the failed law enforcement response in Parkland she and others would be alive today," he wrote in a tweet.
—Fred Guttenberg (@fred_guttenberg) May 29, 2022
Authorities in Texas have given conflicting accounts on how long it took police to respond and engage the 18 -year-old gunman who fatally shot 21 people, including 19 children on Tuesday. All of the victims were in adjourned fourth-grade classrooms where the gunman barricaded himself.
A top Texas official said Uvalde Consolidated Independent School District Police Chief Pete Arredond, believed that the shooter was barricaded in an empty classroom and ordered police not to enter and engage.
Experts told The Los Angeles Times that the delay could have prevented life-saving care from reaching children.
Guttenberg told Cronyn that "facts will show" that fewer people would have been killed if police responded faster.
"It is also fair to say that without the failure to act by Senators like you, these shootings may never have happened," he said. "People died because you put the police in a position of being out gunned and they then failed to engage when needed."
More: Uvalde School Shooting Parkland Texas | 2022-05-29T17:16:08Z | www.businessinsider.com | Cornyn Slammed for Saying 'Finger Pointing' at Police Is 'Destructive' | https://www.businessinsider.com/cornyn-slammed-for-saying-finger-pointing-at-police-is-destructive-2022-5 | https://www.businessinsider.com/cornyn-slammed-for-saying-finger-pointing-at-police-is-destructive-2022-5 |
Rep. Mo Brooks of Alabama.
Rep. Brooks on Sunday had a heated exchange with Fox News host Sandra Smith over the 2020 election.
Brooks continues to claim there was rampant fraud in the election without providing any evidence.
Smith told Brooks that GOP election challenges in 2020 did not result in any evidence of mass fraud.
Rep. Mo Brooks on Sunday engaged in a heated argument with a "Fox News Sunday" host over the 2020 presidential election results, which the conservative lawmaker insists was tainted with irregularities.
During a segment with guest host Sandra Smith, Brooks — who last week earned enough votes to secure a place in the Alabama Republican Senate runoff election next month — insisted that voter fraud couldn't be ruled out for the 2020 election, despite offering no proof to back up his assertions.
When Brooks spoke of the importance of voter integrity in pushing for tougher election laws, Smith said legal efforts after the 2020 election were unable to prove any election malfeasance.
Brooks, however, did not take kindly to the anchor's statement and said his election concerns — along with the dozens of lawmakers who sought to challenge the results in several swing states — were being dismissed.
"The congressmen and senators disagree with you, with what you just said," the congressman told Smith. "Elections are going to be stolen if we don't fix these problems."
He added: "The courts are not the final arbiter of who wins federal election contests."
After mentioning additional debunked claims of voter fraud, Smith stepped in and said that they could not be proven.
"That has been looked at and fact-checked by multiple outlets, including Reuters, who have [reported] there isn't any proof that there was widespread voter fraud," she responded.
Brooks — who was endorsed by former President Donald Trump for the Senate race last year before Trump withdrew his support in March and accused his longtime ally of going "woke" — surged in polling shortly before last month's runoff by continuing to appeal to the state's conservative electorate.
He will face former Senate chief of staff and attorney Katie Britt in the runoff next month.
More: Mo Brooks Donald Trump Alabama election integrity | 2022-05-29T21:46:05Z | www.businessinsider.com | WATCH: Mo Brooks Has Heated Exchange With Fox News Host Over 2020 Election | https://www.businessinsider.com/mo-brooks-fox-news-2020-election-fraud-exchange-2022-5 | https://www.businessinsider.com/mo-brooks-fox-news-2020-election-fraud-exchange-2022-5 |
Checkstep uses AI to moderate online platforms. Here's the 7-slide pitch deck it used to raise $5 million in seed funding.
Guillaume Bouchard, CEO of Checkstep.
Checkstep
Checkstep raised $5 million in seed funding from Dawn Capital and Form Ventures.
The startup uses an AI-driven tool and its in-house staff to moderate online communities.
Check out the 7-slide deck Checkstep used to raise the fresh funds.
A startup that helps companies moderate their online platforms and stamp out things like hate speech and harassment has raised $5 million in seed funding.
London-based Checkstep bills itself as a one-stop shop for online content moderation and platform safety. The company has developed an AI-based tool that flags harmful, violent, or bigoted content, and has a team of moderators to double-check if these detections are accurate.
"We enable companies to de-risk themselves from unwanted user behavior," said CEO Guillaume Bouchard. "Companies don't want that negative user experience."
Checkstep gathers data on the likes of hate speech, miscommunication, and even hateful memes from public datasets. It then compares that against the content on a company's platform and flags any potential breaches in site's terms and conditions. Bouchard told Insider that Checkstep's moderators verify the data collected by its AI technology to ensure it's accurate, and can be case corrected for the future.
The startup aims to work with businesses in the retail, gaming, gambling, and marketplace sectors due to the widespread desire for companies to engage with their communities, Bouchard said. Currently, its client roster includes wellness companies and mental health organizations that regularly need to monitor their online platforms for sensitive content.
Checkstep offers a free trial, after which companies can buy a subscription to use its services. In order to minimize data breaches, the startup has a non-custodial policy when accessing company data, and only temporarily accesses the content it moderates.
Bouchard has witnessed a rising demand for content moderation services in the market, following the government's push to pass the Online Safety Bill in the UK, and the EU's proposed Digital Services Act. These policies aim to implement more stringent measures to supposedly safeguard the safety of online users — but companies are concerned that they'll be subjected to hefty fines if they're found to violate government guidelines on posting 'harmful' content.
"There's a lot of rules to comply with, and our customers wanted to be more proactive," he added.
The round was co-led by UK-based VC firm Dawn Capital, which focuses on B2B software and has previously backed logistics unicorn Gelato and AI and data analytics platform Dataiku, and Form Ventures, a newly created fund that works with founders tapping into regulated markets. Additional backing came from the founders of GoCardless, Indeed, and Redbus Media.
Norman Fiore, general partner at Dawn Capital, noted the "ability to ethically moderate users and content" was becoming "increasingly important", an issue that Checkstep offered a "market-leading all-in-one solution to."
Checkstep will use the fresh funds to develop its product, train moderators in policy and regulations so they are better equipped to make better decisions, and bolster its safety features such as the blurring and auditing of images.
More: Features Artifical Intelligence Startup | 2022-05-30T08:28:53Z | www.businessinsider.com | Checkstep: AI Startup Raises $5 Million With This Pitch Deck | https://www.businessinsider.com/checkstep-ai-startup-raises-5-million-seed-round-pitch-deck-2022-5 | https://www.businessinsider.com/checkstep-ai-startup-raises-5-million-seed-round-pitch-deck-2022-5 |
Texas Gov. Greg Abbott was booed when he visited the makeshift memorial at the Robb Elementary School in Uvalde.
Texas Gov. Greg Abbott was booed when he visited the Robb Elementary School in Uvalde.
Videos were posted on Twitter of a crowd jeering at Abbott and his entourage when he arrived.
"Please, Governor Abbott, help Uvalde county," a man was heard yelling. "We need change, governor!"
Crowds booed Texas Gov. Greg Abbott when he visited a Robb Elementary School shooting memorial on Sunday.
Abbott was visiting the area in Uvalde, which was made into a memorial for the 19 children and two adults killed in the Texas school massacre. President Joe Biden and First Lady Jill Biden also paid their respects at the makeshift memorial the same day.
In videos posted to Twitter, a sizeable crowd of people was seen jeering at Abbott when his entourage walked toward the memorial.
—Jose Arredondo (@sportsguyjose) May 29, 2022
"Please, Governor Abbott, help Uvalde county," a man yelled as Abbott went past. "We need change! We need change, governor!"
—Dan 🇺🇸 (@HStarshot) May 29, 2022
Memorial attendees also begged Biden to "do something" about gun violence when he visited on Sunday.
Abbott came under fire this week after commenting that the mass shooting "could've been worse." He also blamed mass shootings on mental health concerns, despite there being no concrete evidence that the Texas gunman had a mental illness.
Abbott has consistently pushed for relaxed gun restrictions in Texas. In 2021, he supported a series of laws to expand gun rights and access, including one that makes it legal to carry a handgun without a license.
He also tweeted in 2015 that he was "embarrassed" about Texas being the second-ranked state in the number of gun purchases, telling Texans to "pick up the pace."
During Abbott's tenure as governor, there have been six mass shootings in the state. But even after the mass shooting in Uvalde, Abbott declined to endorse new gun restrictions while indicating in a speech to the NRA that "laws have not stopped madmen from carrying out evil acts on innocent people in peaceful communities."
Other Texas politicians have also been involved in heated confrontations over the Texas school shooting. On Saturday, video captured Sen. Ted Cruz being excoriated by a former Texas House candidate at a restaurant. Benjamin Hernandez called Cruz out on his pro-gun stance, yelling: "Nineteen children died! That's on your hands! Ted Cruz, that's on your hands!"
More: Greg Abbott Uvalde uvalde school shooting Mass Shooting | 2022-05-30T08:29:05Z | www.businessinsider.com | Videos Show Greg Abbott Getting Booed at Uvalde Memorial | https://www.businessinsider.com/videos-show-greg-abbott-getting-booed-at-uvalde-memorial-2022-5 | https://www.businessinsider.com/videos-show-greg-abbott-getting-booed-at-uvalde-memorial-2022-5 |
Airbus A320 ITA Airways. Aircraft to Fiumicino Leonardo da Vinci Airport. Fiumicino (Italy), February 10th, 2022
An ITA Airways pilot was fired after apparently sleeping while flying a plane, Repubblica reported.
The co-pilot was also asleep but this was allowed, according to ITA Airway's probe, per Repubblica.
Authorities couldn't contact the plane for 10 minutes, leading to authorities warning of a potential terror attack.
A pilot was fired after he apparently fell asleep at the controls whilst flying a passenger plane, causing a communication blackout and a terror alert, Italian newspaper Repubblica reported on Saturday.
The flight with Italian airline ITA Airways departed on April 30 from New York to Rome, but there was no response from the plane for 10 minutes when it was flying over French airspace, according to Repubblica.
This sparked concern with the French authorities, who warned Italian authorities that the Airbus A330 could be hostage to terrorist hijackers, per Repubblica.
ITA speculated that the captain and the co-pilot had fallen asleep for a short time while at the controls in the cockpit, Repubblica reported.
The co-pilot was within their rights to take a "controlled rest" which is permitted under a certain protocol, according to Repubblica. But the captain should have been awake during this period, the report added
The pilot denied any wrongdoing and claimed there was a failure in the communications system which meant he couldn't reply to French authorities, Repubblica reported.
Repubblica reported that French authorities had alerted two of its fighter jets to prepare to fly next to the aircraft to see what was happening in the cockpit. After Italian authorities were warned about a potential terror attack on the plane, they contacted ITA, which tried to reach the pilots via their satellite cell phones, according to Repubblica.
Both pilots replied after a 10-minute silence and French authorities lifted the terror alert, per Repubblica. The plane arrived in Rome Fiumicino 20 minutes ahead of schedule, the report said.
ITA didn't immediately respond to Insider's request for comment.
The airline told Repubblica that the pilot was dismissed from his job after an investigation found his behavior was not in compliance with procedure during the flight and after landing. ITA told The Telegraph that passenger safety wasn't compromised during the incident.
More: transport Transportation Airline Italy | 2022-05-30T11:31:20Z | www.businessinsider.com | Pilot Fired After He 'Fell Asleep' and Triggered Terror Alert: Report | https://www.businessinsider.com/airline-pilot-fell-asleep-flying-plane-terror-alert-report-2022-5 | https://www.businessinsider.com/airline-pilot-fell-asleep-flying-plane-terror-alert-report-2022-5 |
A new book takes a harsh look at the first 'celebrity CEO,' GE's Jack Welch — but the author's argument lacks nuance
Jack Welch was the CEO of General Electric from 1981 to 2001.
Porter Gifford/Getty Images
In "The Man Who Broke Capitalism," author David Gelles critiques Jack Welch's tenure as CEO of General Electric.
Gelles writes that Welch was a threat to American capitalism —but his argument lacks nuance.
Jack Welch, "the first celebrity CEO"who led General Electric from 1981 to 2001, has long had a full-throated takedown coming.
During his tenure, the company became the most valuable in the world. At his well-attended 2020 funeral, JP Morgan's Jamie Dimon spoke for the crowd when he described Welch as a "legendary leader" who had "really set the standard as a CEO." The strength of this conventional wisdom was due in no small part to Welch's aggressive marketing of his brand in his post-retirement years, through books, business ventures, and relentless television appearances.
And yet, by Welch's own standards, his tenure was a failure. He once said his "success will be determined by how well my successor grows it in the next 20 years." Under the leadership of Welch's hand-picked successor, Jeffrey Immelt, GE was actually the worst-performing stock in the Dow Jones Industrial Average and within a year of Immelt's departure was removed from the index altogether.
But the cracks in the foundation of "the house that Jack built" — once the world's most admired company — were already deep when Immelt took over. And according to an angry new book by New York Times reporter and columnist David Gelles, those cracks extended well beyond GE itself and threatened the basic underpinnings of American capitalism.
Profits above all else
Though Welch presided over an unprecedented explosion of value at GE from $12 billion to $410 billion, Gelles sees few virtues in him, describing him as "hungry for power and thirsty for money, an ideological revolutionary who focused on maximizing profits at the expense of all else."
But in "The Man Who Broke Capitalism: How Jack Welch Gutted the Heartland and Crushed the Soul of Corporate America – and How to Undo His Legacy," Gelles is not focused primarily on Welch's personal flaws or even GE's stock performance. Instead, he attacks the ideology that he believes has broadly infected corporate America to our detriment: Welchism.
Gelles defines Welchism as "the conviction that companies must prioritize profits for shareholders above all else, that executives are entitled to enormous wealth and minimal accountability, and that everyday employees deserve nothing more than their last paycheck." Welch succeeded in disseminating this warped worldview, according to Gelles, through the relentless pursuit of three strategies that define Welchism in practice: downsizing, dealmaking, and financialization.
In Gelles' telling, Welch's apparent success was a testament almost exclusively to financial engineering: relentless cost-cutting and deal-making designed to hit short-term targets and obfuscate results. Shifting the mix of business from industrial to financial products ensured that money could be moved around in the last couple of weeks of the quarter to allow for apparent Madoff-like consistency of performance. (The corporate group responsible for long-term strategy was an early victim of Welchism at GE.)
One of the most revealing aspects of The Man Who Broke Capitalism is how unsuccessful a slew of Welch acolytes who followed this same playbook were at securing the same kind of glory. Again and again, the shares of any company announcing a new CEO who had trained at the feet of Welch would spike, only to come back to earth when the limitations of this shortsighted approach were revealed.
There was Bob Nardelli, known as "Little Jack," who went on to disastrous stints running Home Depot and then Chrysler into the ground. And Jim McNerney, the CEO at Boeing through 2015 when the company made critical decisions relating to the ill-fated 737 MAX aircraft that set "in motion a chain of events that would ultimately leave 346 people dead and the company on the ropes."
A challenge that lacks nuance
Of course, even a gripping polemic like The Man Who Broke Capitalism can benefit from a little nuance in its critique. Gelles argues that Welch's career "serves as a line of demarcation" and that it's not a coincidence that things started to go off the rails economically right around 1981 when Welch took the reins. Of course, Gelles neglects to mention that the stock market hadn't moved for almost 20 years at that point.
David Gelles Welch's "warped worldview" infected corporate America.
The implied equivalence among the evils of all elements of Welchism is not really credible, either. Accounting fraud to hit quarterly numbers (financialization) is never justifiable, but there are plenty of circumstances where outsourcing a non-core function (downsizing) or making a strategic acquisition (dealmaking) can enhance the long-term strength of a business. And there's something a little ironic that a book committed to countering the cult of shareholder value repeatedly uses poor share performance to demonstrate the failure of the strategies it's attacking.
Gelles ultimately does make a compelling case for a non-Welchian view of shareholder value that emphasizes long-term considerations and incorporates the interests of a broader group of stakeholders. Unfortunately, Gelles does not end there but uses the book to promote a long list of traditional liberal public policy objectives (e.g., raise taxes and the minimum wage, rewrite antitrust laws, give workers the right to elect 40% of public boards) that often seem largely disconnected from the Welch story.
You don't need to buy into Gelles' own ideology, however, to find his book a valuable challenge to that of Jack Welch and his many disciples. That said, given the seismic impact that Gelles demonstrates Welch has had, there might be even greater value in a more careful parsing of the complex legacy of Jack Welch.
Get the latest General Electric stock price here.
More: Book Excerpt david gelles Jack Welch welchism | 2022-05-30T11:31:26Z | www.businessinsider.com | Book Review: the Man Who Broke Capitalism | https://www.businessinsider.com/book-review-the-man-who-broke-capitalism-jack-welch-2022-5 | https://www.businessinsider.com/book-review-the-man-who-broke-capitalism-jack-welch-2022-5 |
JPMorgan released its 23rd annual summer-reading list.
This year's list is a reminder of how principles like courage and creativity can bond us, JPM said.
The list includes books on NFTs, climate change, Black identity, and leadership.
JPMorgan's annual reading list has arrived.
For the 23rd year in a row, the bank released its picks for the 10 must-read books of the summer, based on recommendations from JPMorgan client advisors around the world.
The 2022 selection includes books on topical themes like climate change and NFTs, as well as a tome on Greek mythology and a photography collection focused on Black identity. JPMorgan said this year's list is intended to serve as "a reminder of how core human principles like courage, creativity, curiosity and caregiving bond us, transcending borders and time."
'CEO Excellence: The Six Mindsets That Distinguish the Best Leaders from the Rest'
Written by McKinsey & Company senior partners Carolyn Dewar, Scott Keller, and Vikram Malhotra, "CEO Excellence" examines how some of the world's most well-known CEOs lead their companies. The book includes more than two decades of research, plus interviews with top execs at Netflix , GM, Sony, and more.
Available at Amazon, $19.19
'Race for Tomorrow: Survival, Innovation and Profit on the Front Lines of the Climate Crisis'
Financial Times reporter Simon Mundy traveled to 26 countries and six continents to report on the climate crisis. The book features stories from scientists, entrepreneurs, and others building a future altered by climate change.
'Being Present: Commanding Attention at Work (and at Home) by Managing Your Social Presence'
Georgetown University Press
In her book "Being Present," Georgetown professor Jeanine W. Turner offers strategies for navigating communication in a world where many of us feel increasingly tethered to our devices and disconnected from our peers.
'The Comprehensive Guide to NFTs, Digital Artwork, Blockchain Technology'
Skyhorse Publishing
If you're still confused by what, exactly, an NFT is, Marc Beckman is here to help. Beckman, the founder of NFT platform Truesy, created a guide to the technology that explains how NFTs came to be, how they could shape society, and how entrepreneurs can nab a piece of the pie.
'The Power of Regret: How Looking Backward Moves Us Forward'
Written by author Daniel H. Pink, "The Power of Regret" takes aim at the philosophy of living life without regret. What if, Pink argues, regret could be harnessed to help us lead better lives? By shifting our thinking, the book posits, regret could fuel better decision-making and higher achievement.
'Fixed.: How to Perfect the Fine Art of Problem Solving'
Amy E. Herman, a lawyer and art historian, developed an observation and communication seminar that has been used by organizations ranging from the FBI to Microsoft. In her latest book, "Fixed.," Herman urges using art to shift your perspective and become a better problem-solver.
'Hayao Miyazaki'
DelMonico Books
This illustrated book, published by the Academy Museum of Motion Pictures, celebrates the art of Japanese filmmaker Hayao Miyazaki and examines his creative process, storytelling, and characters. His animated work explores the themes of life, childhood, and the process of growing up.
Available at Artbook, $55
'As We Rise: Photography from the Black Atlantic'
"As We Rise" is a compilation of work by dozens of Black artists from across the globe. The selection of photos celebrates Black identity and explores the themes of beauty, self-representation, joy, and belonging. Author Teju Cole writes in the preface that "too often in the larger culture, we see images of Black people in attitudes of despair, pain, or brutal isolation. 'As We Rise' gently refuses that."
Available at Aperture, $42.50
'Between the Mountain and the Sky: A Mother's Story of Love, Loss, Healing, and Hope'
HarperCollins Focus
In her memoir "Between the Mountain and the Sky," author Maggie Doyne tells the story of traveling to Nepal during a gap year after high school and using her savings to open a children's home, which eventually expanded to become a nonprofit. Her coming-of-age story examines how one person can create lasting change in the lives of many.
'Greek Myths'
German writer Gustav Schwab's anthology of Greek myths re-examines the well-known stories for today's world. The volume features 47 classic myths and accompanying illustrations and highlights the themes and lessons that are still relevant, even in modern times.
More: Summer Reading List JPMorgan book list Books | 2022-05-30T11:31:38Z | www.businessinsider.com | JPMorgan Summer Reading List 2022: NFTs, Climate Change | https://www.businessinsider.com/jpmorgan-summer-reading-list-2022-2022-5 | https://www.businessinsider.com/jpmorgan-summer-reading-list-2022-2022-5 |
The ElliQ companion robot on display during a CES event.
New York state officials will offer companion robots to hundreds of senior citizens.
The robots' features include wellness activity suggestions and medication reminders.
Older adults face a higher risk of loneliness, which has worsened during the pandemic.
New York state officials have offered robot companions to more than 800 older adults.
The New York State Office for the Aging (NYSOFA) announced that it would work with its local partners to identify which adults would most benefit from the service, as the government department works to tackle social isolation.
The robots are known by the name ElliQ and made by Israeli firm Intuition Robotics. They use AI technology to support senior citizens, offering wellness activity suggestions and initiating conversation to build a sense of relationship with the device, according to the NYSOFA.
Older adults face a higher risk of loneliness than others and the pandemic has worsened that risk. More than one-third of Americans in a Harvard University survey reported "serious loneliness" in October 2020.
The robot industry has also faced a boom this year, with robot orders jumping 40% in the first quarter of 2022, as businesses seek solutions to the pandemic-induced labor crisis.
According to NYSOFA's director, Greg Olsen, seniors are very willing to accept new technologies to enhance their life, adding that the ElliQ was designed with input from older adults.
"Despite misconceptions and generalizations, older adults embrace new technology, especially when they see it is designed by older adults to meet their needs," said Olsen in a statement. "For those who experience some form of isolation and wish to age in place, ElliQ is a powerful complement to traditional forms of social interaction and support from professional or family caregivers."
ElliQ is split into a lit-up feature, which holds a microphone and speaker, and a second touchscreen tablet which offers video communication.
The device, first launched for commercial sale in March, suggests physical activities and relaxation exercises, provides medication reminders, offers assistance in connecting with family and friends, among other services.
"We're thrilled to be working with New York State as our first state government partner and believe ElliQ will be able to effectively engage and encourage older adults in New York to be more independent, healthy and happy," Intuition Robotics CEO and co-founder Dor Skuler said in a statement.
Both the NYSOFA and Intuition Robotics did not immediately respond to Insider's request for comment made outside its normal working hours.
NOW WATCH: Everything Samsung just announced — the Galaxy Note 9, Fortnite, and more
More: Robots Loneliness Technology | 2022-05-30T11:31:51Z | www.businessinsider.com | New York to Give Robots to More Than 800 Seniors to Combat Loneliness | https://www.businessinsider.com/new-york-state-companion-robots-800-seniors-combat-loneliness-2022-5 | https://www.businessinsider.com/new-york-state-companion-robots-800-seniors-combat-loneliness-2022-5 |
'Lots of companies are going to get vaporized': The tech titans of Silicon Valley are in serious trouble — and they're going to take the rest of the stock market down with them
From Facebook and Twitter to Tesla and Uber, tech founders dominated the business world and cultivated reputations as geniuses. But as stocks tank and layoffs take hold, it's clear that their only real talent was burning through cash.
We are about to witness a culling of heroes.
The brightest minds in America have gone West over the past 20 or so years to prospect for ideas in Silicon Valley. Not to gain riches, we were told, but to solve urgent problems and make things we could use. All we needed to do was get enough seed money to the right minds to develop the right technology, and we could solve everything from mobility to climate change to inequality. This idealistic gold rush minted new billionaires, tech titans who captivated investors and entranced the public with promises of a better tomorrow.
But now these vaunted tech geniuses are watching their empires crumble in the face of changing economic winds. Interest rates are rising from historic lows, and it's become clear that a wide array of tech companies — from the most lionized to the most ridiculous — cannot survive without easy money. Silicon Valley's inability to weather this inevitable shift is both a disappointment and a wonder. We've seen a tech bubble expand and pop before, bridging the end of the 1990s and the start of the 2000s, but what makes this time so different is the sheer scale of the destruction this will leave in its wake.
Jim Chanos, founder of Kynikos Associates, made a name for his short-selling firm by calling out the excesses of the last tech boom, earning him a forever spot in the Wall Street pantheon of "people who saw it coming." This time around, he told me, the companies that could crumble are even bigger — and they make up a bigger slice of the economy.
"Our typical short in early 2000 was a $2 billion to $3 billion company that was going away. This go-round it's a $20 billion to $30 billion company. That's why we call this the dot-com era on steroids," Chanos said. "I think lots of companies are going to get vaporized. A lot of them are going to go to zero."
For the past couple decades, Silicon Valley's luminaries told us that money was just fuel for their innovation. What the market is showing us now — as once seemingly stable businesses degenerate — is that money was also the engine, the captain, and the destination. In the next few years, many of the hottest tech innovations of this market cycle will simply disappear. Consider this an extinction-level event.
It was a good time
Take your mind back to 2012. It was an amazing time for tech. Facebook (now Meta) went public and reached 1 billion worldwide users. Facebook and Twitter had been crucial tools that helped citizens fight for democracy during the Arab Spring. Mark Zuckerberg's promise to connect the world didn't seem threatening. Elon Musk was collecting massive government subsidies to start an electric-car revolution — and that was a good thing. Uber and Lyft were starting a competition to see who could get us around for the cheapest prices. Crypto seemed like a fun toy for hobbyists. Celebrities were tweeting about what they had for lunch.
All of this enthusiasm was powered by an economy set up to aid Silicon Valley's fast-growing companies. The 2008 crash was behind us, and central bankers around the world were laser-focused on making sure there was enough cash to go around. They kept interest rates at zero to make it easy for companies to borrow debt. Money was pouring into the stock market and Silicon Valley's promises attracted not only investors looking for positive returns, but a society looking to climb out of an economic catastrophe.
Mark Zuckerberg's dream of connecting the world seemed like a utopian dream in 2012, now it sounds like a threat.
Ten years later and our world is so different it deserves its own verse in "We Didn't Start the Fire." We've started to wonder if we're a little too connected. Social media has been used to taint elections, poison relationships, and plan an insurrection. No one — customers, drivers, or even the companies — seems to have come out ahead in the ride-hailing wars. Crypto turned into a religion. Elon Musk keeps tweeting.
While the shine around Silicon Valley's promises to provide social good have been fading for a while, now its promise to provide financial returns has also begun to wither. Those low interest rates that made high-growth startups and tech companies look attractive are gone. Aches and pains are appearing for tech firms at every point of the life cycle. Startup accelerators started drafting "Black Swan" memos warning founders to plan for "the worst." The biggest venture-capital firms, such as the ever-avaricious SoftBank, plan to cut investments in half or more. Salaries at even the biggest companies — Roku, Pinterest, Uber — look completely unsustainable as the stock market nose-dives.
This is the moment where all the talk of social good evaporates, and investors accept the fact that SIlicon Valley's business models are not powered by technological genius but by hype. Chanos told me that it was the same situation when the last bubble burst. Certain words had become magic to investors — you could sell anything as long as there was a dot-com associated with it. In this cycle the magic words are "blockchain," "machine learning," "AI," "algorithm."
"That's the big parallel here, business plans got funded that made no sense. And people threw money at anything with technology in it," Chanos said.
Now that the crash has come, only cold, hard cash and a clean balance sheet will save your company — not cool software, not the blockchain, not your favorite black turtleneck. Unfortunately, those basic business fundamentals are not what Silicon Valley has been built on for the past 10 years — not by a long shot.
If the financials don't work, don't use them
A Silicon Valley startup founder with a connection to the vaunted Y Combinator startup accelerator told me that in their world it has always been a bad look to discuss a tech company's financial metrics. It is like asking a woman if she's pregnant, or asking a New Yorker where the Empire State Building is. It demonstrates that you are not from the Valley and that you do not understand how value is measured there.
"You look pedestrian if you can't see the BIG PICTURE and instead focus on a silly thing like revenue," they told me. According to this founder, the standard retort to questions about profitability for the last decade or so has been: "Amazon wasn't profitable for decades … yada yada."
This strategy works when financial markets are flush with cash, asset prices are going up, and new customers are still flocking in. But that's not happening anymore, so the CEOs of chronically unprofitable companies are finding the religion of sustainability. Uber's Dara Khosrowshahi told employees that it would be cutting costs and hiring in an effort to keep investors and "show them the money." Snapchat — which has only posted a quarterly profit once in its 10-year life — caused tech stocks to tank last week after it warned of a weak sales market and announced a hiring slowdown. Coinbase — the largest US cryptocurrency exchange — had to tell investors it was not at risk of bankruptcy … but that if it did go bankrupt, well, yeah, its customers may lose all their assets.
Even 20-year-old Tesla is getting smoked in this market. Musk's electric-car company finally started making money in 2020, but even its biggest fans on Wall Street are starting to shy away as problems pile up: new competition from major car manufacturers, issues in China, Musk's weird bid to take over Twitter. Chanos, who has been publicly short the stock for years, calls it "the America Online, the Cisco of this cycle" — companies whose stock went vertical when they were heralded as the future of technology during the last boom, but then just as swiftly led us to the bottom.
Legendary investor Jim Chanos says Elon Musk's Tesla, which he is short, is "the America Online, the Cisco of this cycle."
For the past two decades the market has rewarded growth over stability, and the tech gods have played that to their best advantage. They could not prove that their businesses were profitable using traditional financial metrics, so they came up with their own metrics instead. The most infamous of these was WeWork's "Community Adjusted EBITDA," a made-up hoodoo metric that was meant to wow investors by demonstrating the company's awesome growth. Uber has its own metrics, as do all social-media platforms that emphasize user growth. Francine McKenna, author of The Dig newsletter and an incoming accounting professor at the University of Pennsylvania's Wharton School of Business, told me that, of course, all of these metrics are internal and may or may not have any connection to financial performance.
"They're taken on as a holy grail among social-media people, yet they're completely unvalidatable," she said. "If you're buying the company based on a metric it makes up itself, like daily active users, well, then you're a complete idiot."
Not only did these tech titans mesmerize investors with jargon-filled promises of the future, they mesmerized their own employees. By paying employees in stock rather than cash, tech companies compensated workers with a promise that they were building something great, something profitable. There was more to it than goodwill, though. Stock-based compensation keeps labor costs from hitting a company's bottom line, turning losses into gains on paper. Silicon Valley has been especially aggressive with this nifty tool this market cycle. Companies like Tesla, Twitter and Square employed it to dramatic effect for years. And while the trick is outside of GAAP (generally accepted accounting principles), as long as the companies disclose they're doing it in a part of their financial filings labeled non-GAAP, it's all fine and perfectly legal. The problem for both the companies and the employees who relied on those stocks becoming valuable is that stocks can go down — hard.
"You lavishly pay everyone in equity and it's not an expense until your stock collapses," Chanos said. "Then either you have to issue a million shares or you have to pay people in cash." Cash is something many of these companies do not have, and issuing shares would only help push the stock down further. To Chanos, as far as tech stocks have fallen this year, they still have a great distance to travel before their prices accurately reflect their true financial metrics.
The gods must be lazy
The longer the market tumbles, the harder it is to accept the narrative that continuing to pile more money into Silicon Valley will eventually result in solutions. Take, for example, the newfangled buy-now, pay-later companies. Putting stuff on layaway isn't some new revolution, but companies like Klarna and Affirm promised that their algorithm's special sauce can predict who can reliably pay for what and when (the most important question in finance), helping consumers get the goods they need while keeping companies from chasing missed payments. It sounded so magical, it turned some of these companies into unicorns. But now some of these companies are laying off workers and seeing their valuations cut in thirds as the market figures out that magic does not a profit make.
"For a bunch of Silicon Valley guys to say, 'We figured this out when no one else has,' is the height of financial arrogance," Chanos said.
But at least the buy-now, pay-later folks were looking for a solution to a real problem. Crypto, and its biggest backers in the venture-capital world, are still looking for a problem to solve. Crypto is a stunning waste of capital and the clearest proof yet that a lot of money in tech has run out of useful ideas to chase. It has proved that it is not a safe store of value nor a viable payments network.There is constant crypto robbery with no consequences, and it is obvious that further integrating this fantasy funny money into our financial system would be a mistake. It is a Ponzi scheme, as FTX founder Sam Bankman-Fried basically admitted on an episode of Bloomberg's "Odd Lots" podcast — a box that is only valuable if more people keep putting value in the box.
Back in 2011 venture capitalist Marc Andreeseen (cofounder of Andreeseen Horowitz) wrote that software would eat the world. Fast-forward to 2022, and his firm just raised $4.5 billion for another crypto fund. This is not software eating the world, it's software for software's sake. In his essay, he says people should stop "constantly questioning their valuations" and extols the virtues of a "new generation of technology companies" like Groupon, FourSquare, and Twitter. It's a fun game of "where are they now."
Ultimately Andreeseen got what he wanted, and the questioning from Wall Street turned into cheerleading. But instead of using this period of easy money and credulity to solve real problems, the self-indulgent tech gods and their "new generation" of companies are slamming back down to earth with a very stupid-sounding thud.
Everyone talks about Elon Musk because he is the richest (on paper) and the whiniest (on Twitter) of these billionaire tech CEOs. But the one who perhaps most embodies this de-deification is Meta's Mark Zuckerberg. The company conceived in a Harvard dorm room is now considered a haven for racism, conspiracy theories, and negativity. The company has relied on acquisitions and copycatting instead of innovation. So Zuckerberg decided to bet his company on a half-baked sci-fi concept called the metaverse. There is little evidence the rest of the world will follow him on this massive cash-burning adventure, and it's unclear what problems the technology will actually solve.
We have flying-car startups, ultrafast grocery delivery, and rides to space for rich people — but it doesn't feel like that was the change we were promised. These are big ideas, no doubt, but they don't add up to a revolution, and a revolution is what we were sold.
There is a price to pay for all this excess that is worth more than money. Blowing bubbles in runaway bull markets — which are always wracked with corruption and lead to enormous instability — is starting to feel normal. "We've built up this enormous tolerance for really horrible losses and bad behavior, and there's so much of it," McKenna said. "We're getting numb to significant destruction."
And what do we have to show for it? We are more connected than ever, but more divided than ever. We are lonelier. Inequality is still growing, our housing crisis has worsened, the climate crisis rages on. We gave the tech gods 20 years of unfettered capital to solve these problems for us and they didn't even come close. There will be new gods — the market can't help but create them — and hopefully they are people who can provide real solutions to the problems in our lives rather than the old pantheon of trend-followers whose time is coming to an end.
Linette Lopez is a senior correspondent at Insider.
More: Stock Market Crash Silicon Valley Recession BI Graphics
Jim Chanos | 2022-05-30T11:32:21Z | www.businessinsider.com | Twilight of Tech Gods: Era Ends With Recession, Stock Market Crash, Layoffs | https://www.businessinsider.com/twilight-of-tech-gods-recession-stock-market-crash-silicon-valley-2022-5 | https://www.businessinsider.com/twilight-of-tech-gods-recession-stock-market-crash-silicon-valley-2022-5 |
Airlines including EasyJet are canceling more flights in and out of UK airports.
Airports are also reporting long lines of passengers as they grapple with ongoing staff shortages.
The cancelations come as passenger numbers increase ahead of the UK's bank holiday weekend.
Airlines are cancelling a several flights in and out of the UK amid ongoing staff shortages and a rebound in travel as people seek to take vacations over this week's national bank holiday.
European airline EasyJet trimmed its flight schedule by over 200 flights on Friday, including more than 24 flights per day from London's Gatwick Airport. The cutbacks will affect flights over a 10-day period from May 28 to June 6.
"We are very sorry for the late notice of some of these cancelations and inconvenience caused for customers booked on these flights however we believe this is necessary to provide reliable services over this busy period," EasyJet said in a statement.
"Customers have been informed in advance and provided with the option to rebook their flight or receive a refund and can apply for compensation in line with regulation," the statement continued.
Flight cancelations from the UK's main travel hubs come amid ongoing staff shortages and pent-up demand for travel as more people seek to book flights ahead of the Queen's Platinum Jubilee UK bank holiday weekend.
Gatwick Airport reported a surge in passengers on Friday with more than 800 scheduled flights and 120,000 passengers, the highest on record since the start of the pandemic, Bloomberg reported. Gatwick had 800 flights scheduled on Monday, with six cancellations, a spokesperson for the airport confirmed to Insider.
After cutting back on staff levels when travel plummeted in 2020, airlines have struggled to recruit the workers needed to accommodate the rebound in demand.
German travel company TUI also announced a number of flight cancellations from UK airports over the weekend, multiple outlets reported. Other UK airlines, including British Airways, previously slashed flight schedules due to staff shortages.
In a statement, BA said its partner airline Finnair would be operating a number of European flights this summer as the airline continues to "rebuild" its operation.
Staff shortfalls are also causing delays on the ground in the UK. Manchester Airport reported delays at check-in and baggage reclaim on Sunday.
Shortages are also hitting airports outside the UK. Dublin Airport grappled with long lines for security on Sunday, as around 1,000 passengers missed their flights amid a lack of staff and growing passenger numbers, The Irish Times reported, citing a spokesperson for the Dublin Airport Authority. The Dublin Airport Authority did not immediately respond to Insider's request for comment.
Airports in the US also reported delays as a result of staff shortages and a high volume of traffic. More than 1,000 flights were cancelled in the US ahead of Memorial Day weekend, affecting mainly passengers in LaGuardia in New York and Newark Liberty International airports.
Partner offer: Get a quote for insurance coverage on your next trip with World Nomad. Learn more about travel insurance here. Disclosure: World Nomad is a partner of Insider, Inc. We will receive a commission if you make a purchase using these links.
More: Planes Flights Travel Transportation | 2022-05-30T13:02:38Z | www.businessinsider.com | UK Airlines Report Cancellations Amid Travel Rebound for Bank Holiday | https://www.businessinsider.com/airlines-cancellations-travel-rebound-bank-holiday-weekend-2022-5 | https://www.businessinsider.com/airlines-cancellations-travel-rebound-bank-holiday-weekend-2022-5 |
Microsoft's 400,000 IT partners are fiercely divided over a new set of requirements for reaping the full benefits of its cloud push
Changes to the Microsoft partner program have frustrated some of its 400,000 partners, and the company's channel head is leaving amid the rollout.
Microsoft is overhauling its partner network with a new focus on the cloud.
But its 400,000 partners are at odds over the changes, with some worried it could hurt business.
The divide comes as Microsoft searches for a new leader for its partner ecosystem.
In mid-March, Microsoft announced a major revamp of its partner program, its long-standing network of over 400,000 independent resellers and consultants that help put the tech titan's products in customers' hands.
In October, when the changes go into effect, it will be redubbed the Microsoft Cloud Partner Program, reflecting the company's increased focus on the Microsoft Azure cloud platform and other cloud-based products. The changes represent Microsoft's most significant effort to date to deploy those partners in its cloud battles against Amazon Web Services and Google Cloud.
For partners, however, the most important element is a new scoring system. Microsoft will for the first time give them a "capability score" in specific product areas to rank them on how well they can help customers take advantage of its cloud services. The higher a partner's score, the more deals and financial incentives Microsoft would pledge to throw their way.
Given their potential impact, the changes have been divisive in the Microsoft partner community. Some supporters say the changes are a long-overdue way to help them differentiate themselves within Microsoft's growing partner ecosystem and could even weed out those that they think are exploiting program benefits.
The detractors haven't been shy about their concerns. An online petition started by a partner in Australia in March called on partners to reject the changes so that Microsoft would roll them back; it has over 800 signatures. Partners who've signed the petition have described the changes as "shameful" and "onerous" and said the new requirements could put them out of business.
But while any major change to an established program can be daunting, for Microsoft it's also a way to win favor with its top-performing partners. Those elite partners will prove key to Microsoft's competitive push as it trails AWS, the frontrunner, in cloud market share and faces growing sales pressure from Google Cloud.
"Microsoft is coming off nine straight quarters of outgrowing its major competitor in the cloud, AWS, and it's done that through a great relationship with the enterprise channel that it's had for decades," said Jay McBain, a chief analyst at the research firm Canalys.
However, the changes also risk squeezing out Microsoft partners below that top tier and could make it harder for other partners to compete.
This clash of values comes as Microsoft seeks a new head of channel sales to oversee its 400,000 partners, a position the company says will be filled by July. Rodney Clark, its former channel exec and a company veteran, is joining industrial conglomerate Johnson Controls as its chief commercial officer, leaving Microsoft with a leadership vacuum at the top of its partner organization.
"The next Microsoft channel chief will need to navigate at least one major hurdle," said Joe Panettieri, the editorial director of ChannelE2E, a media site that covers Microsoft and the IT-service-provider ecosystem. "Partners are upset about partner-program changes that potentially make deal terms better for Microsoft — and worse for partners."
Microsoft said in a statement that partners provided feedback while it was developing the changes and that it made the changes to "allow partners to further differentiate themselves in a dynamic buying environment and enable longer-term growth opportunities."
"We also understand some partners have questions, and others may not immediately meet the new qualifying levels," the statement continued. "The new program represents Microsoft's investment in the cloud as a strategic lever for innovation and growth, and is a reflection of our continued commitment to partners."
The end of a 'land grab'
Under the current system, partners need to show only "static" evidence, such as Microsoft certifications and competency assessments, to prove to customers that they have the right credentials, said Neil Lomax, the head of sales at SoftwareONE, a 9,000-person IT partner that works with Microsoft's, Google's, and Amazon's clouds.
Tony Guidi, a senior vice president at Core BTS, an IT partner in Indiana, told Insider that "the Microsoft partner network that is based on silver and gold competencies hasn't really changed in the last 20 years."
Those gold and silver designations are Microsoft's way of demonstrating partner expertise to customers, but McBain described them as a vestige of partner programs from the early days.
Critics like Guidi say that system opened the door for some partners to stage a kind of "land grab," tasking their employees with taking exams for as many of Microsoft's 18 areas of competency as they could. They say that resulted in partners with the right skills on paper but no depth in any category.
"If you can get people to take enough tests, you can qualify for more competencies and have the appearance that you have more breadth in your team," Guidi said.
The new system requires partners to show continued growth to earn a high score. Microsoft says partners will be graded on a scale of 1 to 100 in each area, earning points for the number of employees who've earned technical certifications, the number of new customers they've added in that line of business, and how much their existing customers have grown to use more Microsoft services. Only those who score a 70 earn the title of "partner" in that area.
That idea of ongoing assessment with points is being cheered by partners who felt like rivals may have misrepresented their credentials or otherwise taken advantage of the program.
"If other partners have been bending the system a little bit for financial gain, they're going to get found out," said Gordon McKenna, the chief technical officer of public cloud at Ensono, a Chicago IT partner with about 2,900 employees.
Fans of the changes say they finally put Microsoft and partners on the same page
For partners, working with Microsoft means getting access to its vast array of customers and resources including opportunities for joint marketing. But they say that getting attention from Microsoft, and distinguishing themselves to customers, is a tall order that has gotten even taller over time. Fans like McKenna say this new process will help the best partners stand out from the pack.
"A lot of partners put a lot of time and effort and skilling into being a Microsoft partner, and I don't think they've been fully recognized," he said. "I think this change is Microsoft recognizing those partners."
McBain says the changes are Microsoft's way of recognizing that some partners have put in that effort through marketing and technical expertise, for example, which isn't recognized in the traditional reselling model where firms buy products from Microsoft and sell them to customers at a profit.
Several partners also told Insider they're looking forward to a new, more straightforward chapter of working with the company where it's clearer that the products they're selling or providing services for are a priority for Microsoft.
McKenna said Microsoft's new "solution areas," which are focused on products like its cloud platform and business software, make it easier to match up Ensono's sales team with Microsoft's.
Critics say they're just another way for Microsoft to push partners into doing more
Other partners say they're frustrated by Microsoft's new requirements to show they're achieving the growth the tech titan is looking for. Lomax said the customer growth component of the assessment is bound to rub some the wrong way, seeing it as a subtle way for Microsoft to lean on its partners to do more for the company.
"The initial comments from a lot of partners is, 'Oh, you want me to sell more?" Lomax said.
The partner petition opposing the changes described the sales requirements as "yet another attempt by Microsoft to eliminate their loyal 400,000 partners across the globe."
"When you look at the upcoming requirements being placed on Microsoft Partners in October 2022 the emphasis has shifted into 'sell, sell, sell' at all costs," it reads.
Even for companies that can prove their growth to Microsoft, the new requirements can be onerous. Constantin Klein, who oversees the Canadian IT partner Syntax's Microsoft partnership, said Syntax would have to "put energy into the visibility of our customer growth and activity."
Plus, some partners say the requirement to add customers will be harder to meet for partners who aren't in the business of bringing on new clients often or who focus on one or two major ones. "You're going to take a ding by the fact that you're not going show customer growth, and now you're going to have to go out and find smaller customers just to keep a number," said Patrick Bingham, Syntax's manager of operations for Microsoft customers.
McBain said that smaller partners without deep pockets and those who've long been reseller partners might turn to specialized consultants to help them reach those 70 points. "There's no way an eight-person partner firm would have the wherewithal to spend enough time to figure out what the algorithm is," he said.
Some say making the cut as a partner will be especially difficult for new firms looking to join the program, as they'd need to show customer momentum from the outset. One person who signed the petition said that "this ruins the opportunity for smaller IT to start a business."
Partners have a choice
Over the past decade, the partnership model Microsoft helped pioneer has been imitated by its cloud rivals AWS and Google Cloud, which now have thriving partner programs of their own. Microsoft's partner network is still by far the largest, however, with four times the number of firms as AWS's program.
But those partners are increasingly working with all three major cloud providers, reflecting a trend of companies using cloud services from multiple providers.
McBain says Microsoft is the first tech vendor with a large legacy partner program to take the "unfortunate lead" in sorting through how to roll out significant changes. This latest change is part of a series of recent updates to Microsoft's partner program, including a controversial increase in the cost of monthly subscriptions for its software and cloud platform.
"The idea of doing it all at once was too much for the channel, and that's been the blowback," McBain said.
So while Microsoft's updates might keep a certain contingent of its partners happy, the ones who aren't could jump to working with a competitor. In a comment on the petition, one person said Google was "starting to look pretty promising." McBain added that Microsoft's competitors are eyeing its mistakes to make their own program updates smoother and more attractive to disgruntled partners.
For partners sticking with Microsoft, however, the latest changes are simply another challenge to overcome — one of many they're accustomed to expecting from Microsoft — that reflects how all the tech giants will structure their partner programs.
"As Microsoft sets up a kind of a flaming hoop, we've become very adept at jumping through those hoops and meeting the qualifications pretty quickly and staying at the top of our game," Guidi said.
Full statement from Microsoft:
Microsoft is continually looking to support our partners and align to customer buying patterns. The changes we are making with the new Microsoft Cloud Partner Program will allow partners to further differentiate themselves in a dynamic buying environment and enable longer-term growth opportunities. The new program represents Microsoft's investment in the cloud as a strategic lever for innovation and growth, and is a reflection of our continued commitment to partners. This evolution better reflects the ongoing transition of business operations to the cloud and aligns partners' go-to-market motions with the way customers buy today. Our partners have provided us with valuable feedback throughout the process of developing this new program. We also understand some partners have questions, and others may not immediately meet the new qualifying levels. Microsoft is committed to helping partners identify priority business areas to focus on should they choose to pursue a solutions partner designation before changes take effect in October 2022.
More: Microsoft Azure Microsoft Partnerships Partners | 2022-05-30T13:03:08Z | www.businessinsider.com | Microsoft Aims to Use Its IT Partners to Bring in New Cloud Customers | https://www.businessinsider.com/microsoft-cloud-partner-program-changes-scoring-system-sales-requirements-2022-5 | https://www.businessinsider.com/microsoft-cloud-partner-program-changes-scoring-system-sales-requirements-2022-5 |
People at an exhibition of destroyed Russian military equipment in Kyiv, Ukrane, on May 28, 2022
Russia is suffering 'devastating losses' of junior and mid-ranking officers, UK intel suggested.
Officials said Russian commanders get closer to the fighting than their Western counterparts.
The losses are harming Russia's ability to fight and costing it future leaders, the officials said.
Russia has suffered "devastating losses" among its mid- and junior-level officers in Ukraine, degrading its ability to fight, UK intelligence claimed Monday.
Britain's Ministry of Defence said the high death toll was likely caused by the expectation that junior officers expose themselves to the most dangerous parts of the fighting.
Western officials estimate that some 15,000 Russians have been killed in the invasion. Ukraine on Saturday claimed to have killed 30,000, while Russia has not given recent figures of its own.
"Brigade and battalion commanders likely deploy forwards into harm's way because they are held to an uncompromising level of responsibility for their units' performance," the MoD said.
It added: "The loss of large proportion of the younger generation of professional officers will likely exacerbate its ongoing problems in modernising its approach to command and control."
Earlier this month, the Ukrainian Defence Ministry's main intelligence directorate released a recording which appeared to show Russian troops openly mocking the "stupid" war.
Senior commanders have been fired for poor performance, and other have been killed.
The UK said in a previous update that Russia had such a lack of trained soldiers that Russia has been forced to rely on a ragtag group of men, including supporters of Chechen warlord Ramzan Kadyrov, to bolster numbers.
More: News UK Ukraine Russia Putin | 2022-05-30T13:03:27Z | www.businessinsider.com | Russia Suffers 'Devastating Losses' Among Junior Officers: UK | https://www.businessinsider.com/russia-suffers-devastating-losses-among-junior-officers-uk-2022-5 | https://www.businessinsider.com/russia-suffers-devastating-losses-among-junior-officers-uk-2022-5 |
Neither Coinbase nor Binance have an HQ right now.
Steven Ferdman/Getty Images; Antonio Masiello/Getty Images; Insider
Crypto fervor, paired with the remote-work boom, could lead to more startups ditching HQs.
Coinbase and Binance are two industry leaders that have already done so.
It's a deviation from Silicon Valley's Web2 era, when Apple and Meta erected glitzy home bases.
Binance is one of the largest players in the crypto world, an exchange estimated to be worth up to $300 billion, but you'll notice something unique about the company: it doesn't have a physical headquarters.
The company's lack of established headquarters has gotten the startup into hot water with regulators, who say it makes oversight more difficult. But the exchange isn't the only crypto company that has deemed an HQ unnecessary — Coinbase also recently got rid of its San Francisco home base in favor of going fully remote.
In recent months, crypto companies have started paving the way for a departure from the sprawling, perk-heavy, glitzy headquarters of Web2 companies like Apple, Google, and Meta, which have devoted billions to Silicon Valley command centers.
But their Web3 successors, imbued with the remote-first tenets of the decentralized movement — and bolstered by the rise of remote work during the pandemic — could spell the death of the HQ, which has always served as a physical beacon of the booming tech world.
Coinbase, Binance, and Kraken make the case for nixing HQs
A sign reading "Initial Chocolate Offering" is hung in Coinbase's San Francisco office in 2018.
Christie Hemm Klok for The Washington Post via Getty Images
Coinbase may have gone HQ-less, but it wasn't always that way. The exchange called a San Francisco high rise its home base starting in 2014, complete with Silicon Valley-esque perks like "a game room, nap room, free meals, and a fully stocked fridge," per a company blog post at the time.
But, a year or so into the pandemic, Coinbase announced it was permanently closing its San Francisco office to go "remote-first" and would no longer have a physical headquarters. The company further reiterated these plans in its S-1 before going public in April 2021.
"We've committed to having no HQ, and it's important to show our decentralized workforce that no one location is important [sic] than the another," Coinbase tweeted in May 2021. (The company is incorporated in Delaware.)
—Coinbase News (@CoinbaseNews) May 5, 2021
Fellow crypto exchange Kraken followed suit in doing away with its HQ in April, and while CEO Jesse Powell said the closure was specifically a response to incidents of crime impacting its employees on the way into the San Francisco office, he added Kraken has "no plans to establish a new, formal global HQ."
And then there's, of course, Binance, which has notoriously dodged questions since well before the pandemic around where exactly the company hangs its hat.
"Wherever I sit, is going to be the Binance office," he said at a conference in 2020.
Binance CEO Changpeng Zhao has run into snags with regulators in China as well as with officials in Malta, who said Binance didn't have the proper licensing to conduct its business there — and that's just part of its regulatory woes, which stem in part from the fact that the company isn't registered anywhere.
Currently, Binance's parent company, Binance Holdings, appears to be incorporated in the Cayman Islands, where authorities told the Wall Street Journal the exchange isn't registered to operate.
Zhao acknowledged in September 2021 that if Binance wanted to get along with global regulators, the company would probably need to establish some sort of physical home base and become a centralized entity.
"As the largest player in the industry, we need to prepare ourselves for the shift," Zhao told the South China Morning Post at the time. "We are making changes to make it easier to work with regulators."
He told Fortune in April that Binance will be announcing a location for a true HQ "very soon." He has yet to disclose where.
The 'spirit of crypto' is remote-friendly by default
This isn't to say major crypto players don't maintain physical HQs. Bahama-based exchange FTX just opened its new HQ in Chicago, NFT marketplace OpenSea has a New York home base for its 93 employees, and Ripple still has its HQ in San Francisco.
But the industry's decentralized ethos and the remote-work boom taking over the business world at large is a perfect storm for Web3 players wanting to nix a global hub if they choose.
For some companies like Coinbase, they've found that the concept of a headquarters "feels counter to our culture," according to the company's CEO Brian Armstrong.
"Forgoing a formal headquarters is also more in line with the spirit of crypto, built on the inherent benefits of decentralization," Armstrong said in early 2021.
More: analysis crypto Web3 Tech | 2022-05-30T14:33:56Z | www.businessinsider.com | How Remote-First Crypto Players Could End the Company HQ | https://www.businessinsider.com/crypto-startups-nix-headquarters-remote-work-coinbase-binanace-2022-5 | https://www.businessinsider.com/crypto-startups-nix-headquarters-remote-work-coinbase-binanace-2022-5 |
I took a 12-week money course over Zoom and my net worth's already up by almost 30%
The author, Erika Veurink.
I attended Factora's 12-week Wealth Circle course, a financial empowerment program for women.
I learned timeless money concepts, like pay yourself first, and to dream bigger for myself.
Thanks to the course, I've shifted my spending and saving and my net worth's up by 29%.
"I am here. I am capable. I am wealthy."
So goes the benediction at the start of every Factora Wealth Circle meeting, held over Zoom since the pandemic but headquartered in Austin. Factora, a women-led company that teaches personal finance in a tangible way, hosts Wealth Circle, a live, online course and community, for 12 weeks, twice a year. Sessions meet every other week on Wednesday nights, with homework in between.
I decided to attend earlier this year after a fellow writer from grad school tipped me off to the program. Now, a month out from my "graduation," my net worth has increased 29% from when I enrolled.
The course taught me timeless money-management strategies in an accessible way
I sit with my camera on, mic muted, amongst hundreds of other women. Our expressions range from fascination to exhaustion to epiphany. That's just how it goes when personal finance is the topic du jour.
Our host, Allegra Moet Brantly, Factora's founder and CEO, finishes the benediction with a bright smile and eager eyes. Looking around the Zoom room, it's fascinating to consider what brought us all here, to a sort of financial confidence bootcamp for women. As Moet Brantly begins, I pull out my notebook and text my partner to bring me a bar of chocolate as the words "compound interest" in deep burgundy flicker onto the screen. It's going to be a long night.
"It's dangerous to find ourselves on auto-pilot," cautioned Moet Brantly as slides in our third session demonstrated timeless financial principles, like paying yourself first and putting an end to trading time for money. The course also suggested repurposing mindless spending as investing, emphasizing increasing one's investment rate instead of stressing over the small stuff.
Over the course of the class, I increased my own savings rate from a very auto-pilot-esque 10% to something closer to 30%. The trick for me? Labeling buckets in my high-yield savings account with short-to-mid-term goals. It turns out, when I can see my money's redirection from Net-a-Porter to a house fund, it feels more satisfying.
I was motivated to change my habits when I heard other women's stories
Twice during each Wealth Circle, the group was split into random breakout rooms. Here, with little to no context beyond the rectangles on our screens, we shared real numbers, without shame. In one breakout session, we shared our net worths, numbers ranging from the negatives to upwards of a million. Then, we shared our net worth goals. I went first, apprehensive to speak a number higher than I'd ever imagined possible. I watched as the entire group smiled back, nodding, and then proceeded to each offer a number higher than my own. There was something coven-like and moving to feel a group of women encourage me to dream bigger.
But Factora's not built on dreaming. It's grounded in straightforward, if not simple, investing principles, like focusing on time in the market over timing the market. The conversation around assets highlighted just how personal things can get in the world of personal finance. As a 26-year-old in Brooklyn, owning property has always been a pipe dream, at best. A sound investment, to me, was a great pair of walking shoes and an unlimited subway card. Hearing women older than me, during breakout groups and as examples during lectures, inspired me to bring a level of creativity to accumulate assets. Sure, buying my apartment might not be my next step, but it was freeing to imagine what might be.
Making small tweaks to my saving and spending is paying off
"Money creates opportunity. When you have more money, you'll have more money and decision-making," said Moet Brantly during our fourth session on real estate investments. Instead of investing in a home, I took the time to set aside an emergency fund with six months of living expenses. Was it a "sexy" investing move with massive payoff or worthy of bragging about at brunch? No, but it was a way of empowering myself toward decision-making from a place of security and stability.
The changes I've made thanks to Wealth Circle haven't been drastic or dramatic. They've been small-scale shifts in the way I think about money, which is a tool toward greater freedom and more choice in the way I live my life.
By the last time we recited the benediction, I found myself believing the three sentences I spoke: "I am here. I am capable. I am wealthy." Even though it was 8 PM in New York City, I was there. Thanks to my recent hiring of a CPA to sort out my freelancing taxes, I was capable. And because of my newfound confidence in investing, I was wealthy.
Erika Veurink is a writer living in Brooklyn by way of Iowa. She received her MFA from Bennington College. Her work has appeared in Brooklyn Review, Kenyon Review, Midwest Review, and elsewhere. She is a frequent contributor at Byrdie, Brides, and The Zoe Report. She writes a weekly newsletter called Long Live. Learn more about how our team of experts tests and reviews products at Insider here.
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More: Wealth Building mindset Personal Finance Insider PFI Storytelling | 2022-05-30T14:34:14Z | www.businessinsider.com | A 12-Week Money Course Helped Me Raise My Net Worth | https://www.businessinsider.com/personal-finance/factora-wealth-circle-raise-net-worth-2022-5 | https://www.businessinsider.com/personal-finance/factora-wealth-circle-raise-net-worth-2022-5 |
SoftBank CFO's pay fell nearly 40% after the company's VC fund lost $26.2 billion, a report says
SoftBank recorded deep investment losses as tech stocks have plunged this year.
SoftBank's CFO, Yoshimitsu Goto, made 40% less in the year ending March 31, 2022, per Bloomberg.
Another top SoftBank exec, Ken Miyauchi, took a 15% pay cut.
The cuts came as SoftBank recorded a shattering $26.2 billion loss this year.
Yoshimitsu Goto, the chief financial officer of Japanese conglomerate SoftBank, took a nearly 40% pay cut for the fiscal year ending March 31, 2022 compared with the previous year, Bloomberg reported.
The pay cut meant that Goto received 293 million yen, or $2.3 million in compensation, according to the outlet.
The company's head of domestic telecoms operations, Ken Miyauchi, made 539 million yen, down 15% from the previous year, per Bloomberg. The company reported the changes in pay levels in its AGM report filing to the Tokyo Stock Exchange.
In 2021, Goto made 480 million yen, as the company recorded a record net income of nearly 5 trillion yen, according to The Japan Times. Since then, however, SoftBank has waded into challenging financial waters as the tech industry has taken a downwards turn.
Masayoshi Son, founder and CEO of SoftBank, took home roughly the same salary of 100 million yen as in the previous year, Bloomberg reported. Son has an estimated net worth of $22.5 billion, according to Forbes, and holds SoftBank shares equivalent to an approximate one-third stake, per the Financial Times.
Earlier this month, the company posted a loss of nearly $27 billion in its Vision Funds, venture capital funding focused on tech investments.
SoftBank has stakes in almost 450 startups in its Vision Funds and Latin America fund, and has relied on its reputation as a savvy investor in new technology innovations. But several of its heavyweight public holdings, like DoorDash and Uber, have taken a hit as the tech industry faces a stock selloff and economic downturn.
SoftBank has also suffered from the implosion of an anticipated $40 billion sale of UK chip designer Arm in February.
Analysts previously told Insider that SoftBank's extensive holdings in Chinese companies, which make up around 20% of the Vision Fund, may be at risk if China's tech regulatory crackdown continues.
Insider approached Goto and Miyauchi for comment but did not immediately receive a response.
SoftBank spokesperson Kotera Hiroe told Insider: "The compensation of the Board of directors over 100 million yen are disclosed in the notice. Individual reasons regarding the increase and decrease in compensation are not disclosed."
More: Softbank Tech Investment Japan | 2022-05-30T16:01:31Z | www.businessinsider.com | SoftBank CFO's Pay Falls Nearly 40% Amid $26.2B Fund Loss: Report | https://www.businessinsider.com/softbank-cfo-pay-fell-40-previous-year-amid-loss-2022-5 | https://www.businessinsider.com/softbank-cfo-pay-fell-40-previous-year-amid-loss-2022-5 |
Ukraine's Prosecutor General Iryna Venediktova visits a mass grave in Bucha, on the outskirts of Kyiv, on April 13, 2022, amid Russia's military invasion launched on Ukraine. -
A Russian soldier accused of rape is being tried in Ukraine, the first such case since Russia invaded.
Mikhail Romanov is accused of murdering a man and raping his wife in the Kyiv region.
Any conviction would likely be symbolic as Ukraine never captured Romanov.
A Russian soldier has been charged with murdering a Ukrainian man and raping his wife, Ukrainian prosecutors said, and is due to stand trial in a landmark case.
Prosecutor General Iryna Venediktova announced the upcoming case on social media on Monday, noting that it was the first attempt to secure a rape prosecution from Russia's invasion.
Venediktova named the accused as Mikhail Romanov, whom she said was part of a tank division that attacked the towns and villages around Kyiv.
—Iryna Venediktova (@VenediktovaIV) May 30, 2022
In a Facebook post, translated from Ukrainian by Insider, Venediktova said Romanov was never captured, and so would be tried in his absence.
This would leave Ukraine unable to punish Romanov without capturing hm first, even if he were convicted.
A destroyed tank on March 10, 2022, in Brovary, Ukraine, where prosecutors say a woman was raped by Russian soldiers.
Felipe Dana/AP Photo
She wrote that the men men "broke into a house in one of the villages and shot its owner. A drunk soldier, along with another occupier, immediately after the murder, raped his wife several times.
"They threatened the woman with weapons and violence even regarding her child, who was with her at the time.
"Even though the accused is not currently in our hands, he will not escape a fair trial and accountability before the law."
The account matches a previous incident described by prosecutors in March, which at the time was still under investigation. No suspect was named in the earlier account.
Venediktova told The Guardian earlier in May that the victim was able to identify Romanov from pictures on social media.
Venediktova told the publication that Ukrainian authorities did not know what happened to him, suggesting he may have been sent back to Russia, could still be fighting in Ukraine, or could have been killed.
The Guardian said it had contacted Romanov's apparent partner for comment but received no response. Insider was unable to locate any means of contacting Romanov.
The announcement came after a Russian soldier pleaded guilty in Kyiv to murdering a 62-year-old Ukrainian man.
That trial, the first of a Russian accused of any war crime in the invasion, ended in 21-year-old Vadim Shishimarin being sentenced to life in prison.
Ukrainian authorities say they have recorded 10,000 war crimes committed by Russian forces during the three-month invasion of Ukraine, including hundreds cases of rape and sexual violence.
In one of the most shocking cases, Ukrainian officials said that Russian soldiers raped a one-year-old boy, who later died of his injuries.
Investigators with the International Criminal Court are working with Ukrainian officials to gather evidence of possible war crimes. Russia has issued repeated blanket denials that its troops target civilians in any way.
More: war crimes Ukraine rape allegation Russia Ukraine | 2022-05-30T17:36:44Z | www.businessinsider.com | Ukraine Charges Russia Soldier With Rape, 1st Such Trial From Invasion | https://www.businessinsider.com/ukraine-charges-russia-soldier-rape-woman-kill-husband-2022-5 | https://www.businessinsider.com/ukraine-charges-russia-soldier-rape-woman-kill-husband-2022-5 |
Fox News weekend host Rachel Campos-Duffy.
A Fox News weekend host described the White House's energy policy as "green energy fetishes."
Rachel Campos-Duffy was filling in on "Fox & Friends" Monday morning.
She also accused the Biden administration of making inflation "intentional."
Persistent inflation has drawn scores of experts to examine its root causes, but Fox News weekend host Rachel Campos-Duffy offered an exceedingly simple explanation on Monday.
"We have to remember that all of this is intentional," she said, filling in for the regular "Fox & Friends" crew on Memorial Day. "The gas prices and the inflation is intentional, this is a policy Joe Biden admitted last week. This is about transitioning America over [to renewable energy]."
Back in November 2021, right-wing media seized on comments from White House Press Secretary Jen Psaki when she said "the rise in gas prices over the long term makes an even stronger case for doubling down our investment and our focus on clean energy options so we are not relying on the fluctuations and OPEC and their willingness to put more supply and meet the demand in the market."
President Biden has repeatedly said he is working to combat rising gas prices and his administration has tapped into the nation's petroleum reserves to increase domestic supply. While there is little US presidents can do to affect global energy prices, he has never said the US government is intentionally pushing prices higher to shift consumers to renewable energy.
"Again, intentional," Duffy continued in her 7 a.m. riff. "This government is willing to make you poor in order to accomplish their green energy fetishes, really."
Campos-Duffy did not further clarify what she meant by "fetishes" in the context of energy commodities.
Her only tweet on Memorial Day as of Monday afternoon was calling Pope Francis "pro-abortion" and tagging the official papal account.
More: Fox news Green Energy Gas Prices Inflation | 2022-05-30T19:07:51Z | www.businessinsider.com | Fox News Host Blames 'Green Energy Fetishes' for Inflation | https://www.businessinsider.com/fox-news-host-high-gas-prices-green-energy-fetishes-2022-5 | https://www.businessinsider.com/fox-news-host-high-gas-prices-green-energy-fetishes-2022-5 |
An index that tracks the prices of Rolex watches fell 5% in May after a booming year of increases.
Watch sellers were asking for overly "optimistic" prices in February, WatchCharts founder Charles Tian said.
Even with the decline, luxury watches have still performed better than stocks or crypto in 2022.
The resale market for luxury wristwatches was on fire earlier this year, but it appears to have had a dose of cold water in recent months.
A price index that tracks 30 models with high trade activity fell by 9.3% in May, after having peaked In April. Even the index tracking the Rolex brand, which tends to have very high value retention, slid by 5% in May.
WatchCharts
"In January and February this year, even as prices were continuing to increase, we saw a reduced amount of [sales] volume," WatchCharts founder Charles Tian told Insider.
"It definitely created this false perception that the market was higher than what it actually is," he added.
Compared with other asset classes, Rolexes had a pretty competitive run in the year leading up to March 2022, with certain models like the highly coveted Daytona outperforming the S&P 500.
Rolex produces roughly 800,000 new watches per year — far from enough to meet current demand — which has led to a robust secondary market. Then, the pandemic kicked off a frenzy for pre-owned luxury watches that McKinsey estimates will top $29 billion by 2025.
"There were definitely some people out there who were listing prices very optimistically and continually raising prices week after week trying to instill confidence in the market," Tian said.
The slump in watch value over the past month follows a brutal season for just about every type of asset, with the S&P 500 shedding roughly 20% of its value and bitcoin declining by over a third.
Like many other assets, Tian said, the secondhand watch market saw a mix of new people getting interested in collecting, investors seeking alternative asset classes, and a healthy dose of speculation pushing prices up.
"I think that rapid short-term increase that we saw from the end of last year to April of this year was just unsustainable, and I think it just had to come down to earth a bit," Tian said.
In the long term, Tian says he expects Rolexes and other high-end brands like Audemars Piguet and Patek Philippe to resume their decades-long trend of appreciating in value, even if at a slower rate than the past two years.
"What we're seeing over the last couple months is just bringing it back down to earth a little bit," Tian said.
More: Rolex Watch Collector luxury watches Prices | 2022-05-30T19:08:03Z | www.businessinsider.com | Rolex Watch Prices Ticked Down in May After Year of Wild Growth | https://www.businessinsider.com/rolex-watch-prices-down-in-may-2022-5 | https://www.businessinsider.com/rolex-watch-prices-down-in-may-2022-5 |
National Rifle Association executive vice president Wayne LaPierre speaks during the Leadership Forum at the NRA-ILA Meeting on Friday, May 27, 2022, in Houston.
Political pranksters trolled NRA executive vice president Wayne LaPierre at the NRA Convention.
'The Good Liars' sarcastically thanked LaPierre for his "thoughts and prayers" following mass shootings.
LaPierre was re-elected by the NRA Board as executive vice president on Monday in a 54-1 vote.
National Rifle Association leader Wayne LaPierre appeared to be unknowingly trolled by political pranksters at the NRA Convention in Houston on Saturday.
Jason Selvig and Davram Stiefler, known on social media as The Good Liars, often sarcastically interview conservatives on camera. On Saturday, Selvig managed to get into the NRA's annual convention and snag a spot at the microphone.
"I am sick and tired of the left-wing media and frankly, people in this room today, spreading misinformation about Wayne LaPierre," Selvig said. "Whenever there's a mass shooting, they all say that Wayne LaPierre isn't doing enough to stop these mass shootings and even implying that Wayne LaPierre has played a part in making it easier for these shooters to get guns, to get weapons."
He continued: "You heard it after Las Vegas. You heard it after Pulse nightclub in Orlando. You heard it after Columbine. You heard it after Parkland. You heard it after Virginia Tech. You heard it after Sandy Hook. You heard it after El Paso. You heard it after Buffalo."
—The Good Liars (@TheGoodLiars) May 29, 2022
A video of the prank shows LaPierre looking around as Selvig spoke.
"You kept hearing that Wayne LaPierre isn't doing enough and frankly that's not true. The NRA, under Wayne LaPierre's leadership, has provided thoughts and prayers to the victims and their families. And maybe these mass shootings would stop happening if we all thought a little bit more, and we prayed a little bit more," Selvig said.
"So I'm asking everyone in this room to think, to pray. Give your thoughts and your prayers, and your thoughts and your prayers, and your prayers and your thoughts, and if we give enough of these thoughts and these prayers, these mass shootings will stop," he said. "So I want to thank you, Wayne LaPierre, for all your thoughts and all your prayers. Thank you."
The scattered crowd applauded once Selvig concluded his monologue. A spokesperson for the NRA did not immediately respond to Insider's request for comment on Monday.
The NRA's annual meeting in Houston drew protests over the weekend, coming just days after an 18-year-old gunman opened fire at Robb Elementary School in Uvalde, Texas.
Executive vice president and CEO LaPierre received a confidence vote by NRA members on Saturday, despite being accused of misusing millions of dollars in funding on extravagant meals and private jets. He was re-elected by the NRA Board on Monday in a 54-1 vote.
NOW WATCH: Dramatic protests erupt in France after Macron wins reelection
More: NRA Guns Wayne LaPierre | 2022-05-30T20:35:20Z | www.businessinsider.com | Pranksters Trolled NRA's Wayne LaPierre for His 'Thoughts and Prayers' | https://www.businessinsider.com/pranksters-trolled-nras-wayne-lapierre-for-his-thoughts-and-prayers-2022-5 | https://www.businessinsider.com/pranksters-trolled-nras-wayne-lapierre-for-his-thoughts-and-prayers-2022-5 |
The Liberty Alliance, which brands itself as an organization "committed to fighting back against the Woke agenda that is permeating all across Missouri," now hosts a "heat map" with pinned destinations on its webpage.
Critical race theory is an academic framework that looks at how America's history of racism and discrimination continues to impact the country today. CRT has also been turned into a GOP talking point and a lucrative fundraising buzzword for the right.
For instance, former President Donald Trump's media company is branding its proposed streaming service as a "non-woke alternative" for conservatives. Earlier this month, billionaire Elon Musk said he was wading into politics to stop the "woke mind virus" from destroying civilization.
Liberty Alliance is currently registered as a social welfare organization and is not considered a political organization. In August 2020, the Missouri Ethics Commission dismissed a complaint by the state's Democratic Party, which claimed that Liberty Alliance was behaving like a political action committee.
More: Critical Race Theory Missouri Schools Woke | 2022-05-31T07:18:05Z | www.businessinsider.com | Far Right Organization Launches Map of Schools With 'Woke Activity' | https://www.businessinsider.com/far-right-organization-launches-map-of-hot-spots-woke-activity-2022-5 | https://www.businessinsider.com/far-right-organization-launches-map-of-hot-spots-woke-activity-2022-5 |
Fintech's historic era of hyper growth is over. Here's who stands to struggle as rates rise and investment slows.
Top investors highlight the fintech sectors most likely to feel pressure amidst a market downturn.
Eshma/Getty Images
Fintechs enjoyed a frothy investment market with a record $132 billion raised globally in 2021.
But macro factors, from rising interest rates to the war in Ukraine, are sending shockwaves.
Industry analysts and investors pinpoint fintech segments and companies that are poised for trouble.
As the Federal Reserve hikes interest rates in the face of mounting inflation, a pandemic-fueled run of easy money is coming to an end — and some fintechs are closer to the line of fire than others.
Ahead of this spring, investment in fintech startups of all stripes had soared to historic levels. In 2021, private market funding to these companies reached $132 billion globally, according to CB Insights — up nearly 170% compared to 2020.
But with borrowing becoming more expensive, public and private fintech companies alike stand to lose as investor appetite wanes. The tech-focused Nasdaq is down nearly 30% this year, and private valuations have started to tumble as well.
"Venture gets penalized when the markets crash, and the net result of that is VCs are all aware of this trend," Mark Peter Davis, a managing director at venture-capital firm Interplay, told Insider. "VCs will say, 'Hey, we're not going to be able to raise money very easily for a while.'"
Investors and industry experts see companies across direct-consumer lending, neobanking, trading apps, and software-as-a-service providers for fintechs as particularly exposed to the market downturn and slowing investment deal flow.
These sectors include some of the biggest names in fintech. And their potential decline could leave an opening for a range of scenarios, from consolidation and private-equity buyouts, to downsizing as was the case with Robinhood and Bolt, and even fully shuttering operations in the face of bankruptcy.
Direct consumer lenders and BNPL
By virtue of their business, fintechs tied to consumer lending are liable to feel the brunt of rising rates and falling loan originations this summer. From mortgage startups to student lenders, these companies are most exposed to swings in the credit market, burdened as they are with the capital requirements needed to issue loans.
"Fintech direct lenders are the most exposed because they have to spend money to acquire customers and costs have risen dramatically as of late, and they need capital, or access to capital, to lend," Dan Rosen, partner and founder of Commerce Ventures, a fintech-focused venture capital firm, told Insider.
Rosen pointed to the stock-market performance of public lenders like SoFi and Upstart as a signal of negative investor sentiment. SoFi's share price is down roughly 20% since April 1 while Upstart's stock is down about 55% during the same time period.
Many fintech lenders touted their use of artificial intelligence and other alternative data in underwriting as key differentiators from legacy lenders as they sought to grab market share and VC dollars throughout the pandemic.
But according to Alex Johnson, director of fintech research at Cornerstone Advisors, a financial-tech consultancy firm, those models haven't been tested in a deleveraging environment.
"They have lots of data scientists," said Johnson, who spent four years at FICO before joining Cornerstone. "They have very smart people who are building their approach to underwriting and their algorithms for pricing risk, but you don't really know how any of that is going to perform until you go through a credit down cycle."
Buy now, pay later darlings don't appear to be much more insulated from market turbulence, either. Through BNPL, shoppers can pay for items purchased online or in stores in installments over time, often without any associated interest.
The CEO of Klarna, one of the best known fintechs in the BNPL space, said on May 23 it was laying off 10% of its staff, or some 700 employees. Klarna's chief executive Simon Siemiatkowski pointed to the war in Ukraine, a shift in consumer sentiment, a volatile stock market, and inflation increases as driving factors in the decision.
And Klarna is not the only one. Zip's share price, which at its peak hovered around $9 during the pandemic, now sits closer to $1. Sezzle, another BNPL fintech, has seen even worse declines, falling from its peak of $11.50 per share to around 35 cents these days.
Commerce's Rosen pointed to Affirm, whose stock is down roughly 37% since April 1, as a fintech that could feel the burn of the market downturn.
And while it's easier for BNPL players to turn off the lending taps relative to consumer and alternative lenders, their revenues are tied to the number of customers who take out loans, Johnson said.
"They can't make money at stasis," he added.
Digital-only banks could also be in for a market adjustment, according to experts.
iStock; Savanna Durr/Insider
New, online-only challenger banks were another group that enjoyed hypergrowth during the pandemic. But a rapidly deteriorating macroeconomic environment and shifting unit economics could lead to drastic changes among neobank players.
Revolut, for one, ruled out going public in 2022 amid the shaky IPO market.
In 2020, meanwhile, Varo was the first among challenger banks to nab a federal banking charter. But as Better Tomorrow Ventures co-founder Sheel Mohnot pointed out in a recent Twitter thread, the current book value of Varo — as measured simply by its shareholder equity, or the difference between Varo's assets and liabilities — pales in comparison to its last private market valuation.
When the bank last raised funds in a blockbuster Series E round in September, it nabbed a valuation of $2.5 billion. But with shareholders' equity a fraction of that, according to first-quarter FDIC data, and a net loss per quarter of $84 million, Mohnot wrote, the bank has roughly 9 months of runway left before needing to raise fresh capital.
"With changing economic conditions, we are adjusting our earnings drivers appropriately to run a successful business to meet the needs of our growing customer base," a spokesperson for Varo told Insider. "We have heavily increased our marketing spend following our latest raise, which has had many positive impacts on our business."
"Varo is well capitalized and has sufficient capital to reach profitability. The bank's capital and liquidity ratios are in the top 1% of all banks nationally," the spokesperson added.
Like monoline consumer lenders, neobanks are built on similar capital-intensive business models that could face trouble as rates rise, Commerce Ventures' Ysbrant Marcelis told Insider. Particularly for consumer-facing neobanks , the cost it takes to acquire new customers has long been a key business consideration. Now, Marcelis said, that cost is going up.
Neobanks "will see increasing pressure as cost of customer acquisition increases and revenue per account decreases, and investor capital funding marketing campaigns dries up," he said.
Commerce Ventures' Rosen pointed to MoneyLion and Dave as two other neobank lender names that have been particularly unloved by the public markets. The fintechs' shares are down more than 30% and 60% since April 1, respectively.
Robinhood's layoffs likely won't be the only ones in the retail-trading fintech space, according to Cornerstone's Johnson.
"Meme stocks or stock trading generally is only fun when stocks are going up. When they're going down, it's not as fun," Johnson said.
The shift away from active trading could be a boost for longer-term oriented investing services, on the other hand.
"When stocks are going down, consumers tend to have a flight to safety to other types of investment areas," Johnson said. "The last few years has seen the market flow away from the Wealthfronts and Betterments of the world and it's possible that those ones will sort of pick up a bit as we head into this new economic environment," he added.
Even if the flow of consumer investment returns to robo-advisor and passive-investing fintechs, there will be less engagement overall from consumers around individual stock picking, retail trading options, and even crypto, he added.
Indeed, fresh data from Apptopia shows new installs of the top 15 retail investing apps were down 67% year over year in April.
Fintechs that sell into other fintechs
Just as imbalance in a natural ecosystem can cause ripple effects, certain segments of fintechs struggling can also create knock-on effects. Fintechs that sell software to other fintechs fall into this bucket, according to Vivek Krishnamurthy, principal of fintech at Commerce Ventures.
These fintechs provide a wide range of back-end software, from drop-in APIs for wealth products to payroll servicing products, and were one of the hottest segments of fintech among VCs polled by Insider last year.
While fintech infrastructure and business-to-business players will likely be better off than their direct-to-consumer counterparts (like neobanks and retail trading apps), "they'll face pain as well," Krishnamurthy told Insider.
Specifically, infrastructure players that generate at least half of their revenues from other fintechs — including banking, lending, insurance, payment, and other software-as-a-service companies — are going to see their own customers slow down with customer acquisition and new product launches, he said.
And the B2B fintechs that sell into pre-seed through Series B fintechs will likely bear the brunt of the impact, Vivek said, as fewer fintechs enter the market.
More: Fintech BI Graphics Savanna Durr | 2022-05-31T10:21:02Z | www.businessinsider.com | Fintechs Are Falling Back to Earth. These Startups Are Most at Risk. | https://www.businessinsider.com/fintech-industries-set-to-struggle-during-recession-2022-5 | https://www.businessinsider.com/fintech-industries-set-to-struggle-during-recession-2022-5 |
What's the benefit of refinancing?
5-year vs. 10-year loan
This week's student loan refinancing rates: May 31, 2022 | Rates on 5-year graduate loans drop dramatically
Average interest rates on refinanced student loans have largely gone up since two weeks ago, according to Credible. Five-year rates on undergraduate loans have increased, while graduate rates have fallen off a cliff. Ten-year rates on both undergraduate and graduate loans have inched up just slightly.
Rates on federal student loans are set to see the largest increase since the 2005-06 academic year. These new rates won't directly impact private student loan rates, but private rates may tick up as they don't have to remain as low to be competitive with federal loan rates.
Laurel Taylor, CEO and founder of student debt fintech company FutureFuel.io, says that over the last 20 years, it has been rare for rates to go up so substantially over such a short period of time. However, Taylor says borrowers shouldn't be overly worried about the increase in federal rates.
"The monthly payment impact is relatively minor, adding up to less than $5 per month and less than $400 over the standard 10-year repayment on a typical annual borrowing of $5,500 for an undergraduate," Taylor says.
Refinance rates on 5-year variable undergraduate student loans are at 3.62% on average this past week, up from 3.40% two weeks ago. Six months ago, this rate was around 2.59%.
The refinance rates on 5-year variable graduate loans have fallen compared to two weeks ago. Currently, the average rate is 3.08%, which is still a little higher than it was this time last year.
Refinance rates on 10-year undergraduate and graduate fixed student loans this past week are slightly up from than two weeks ago, with rates changing by just six basis points. Rates have gone up more substantially since six months ago.
To start refinancing, look at different companies and check your terms with each lender. Look over the details of each offer and figure out which rate and term length is best for you. When you check your rates, lenders will often perform a soft credit check, which doesn't hurt your credit score. | 2022-05-31T10:21:32Z | www.businessinsider.com | This Week's Student Loan Refinancing Rates: May 31, 2022 | Rates on 5-Year Graduate Loans Drop Dramatically | https://www.businessinsider.com/personal-finance/student-loan-refinancing-rates-today-tuesday-may-31-2022-5 | https://www.businessinsider.com/personal-finance/student-loan-refinancing-rates-today-tuesday-may-31-2022-5 |
Welcome back, readers. We hope you enjoyed the long weekend, a lot has happened since we last saw you! The EU agreed a deal on banning Russian oil, and the SEC has questions for Elon Musk.
President of the European Commission Ursula von der Leyen is talking to media at the end of the second day of an EU Africa Summit on February 17, 2022 in Brussels, Belgium.
1. The European Union will impose a partial oil embargo on Russia. European leaders agreed a compromise plan to block more than two-thirds of Russian oil imports, after Hungary opposed a total ban.
The embargo intends to cut off financing for Russia following the invasion of Ukraine. EU officials have been trying to agree on a plan to curtail the country's energy imports for months, but reliance on Russian gas and oil in many EU countries had previously limited any progress.
But the EU reached a last-minute compromise, exempting all pipeline imports, which leaders hope will cushion the economic impact for several member states, including Hungary, Slovakia, and the Czech Republic. European Commission President Ursula von der Leyen said that by the end of the year, the embargo will cover 90% of Russian oil imports.
Crude oil prices were trading around their highest levels in two months on Monday as the crunch talks took place. Once an agreement was announced, prices soared even higher.
It comes as Russia's energy giant Gazprom on Tuesday cut natural-gas supply to the Netherlands, after Dutch trader GasTerra refused to pay in rubles. "To do so would risk breaching sanctions imposed by the EU," GasTerra said. Gazprom has already cut off gas supply to Poland, Bulgaria and Finland, as they have all refused to pay in the Russian currency — and Denmark could be next.
2. US stock futures fell early on Tuesday. Meanwhile, oil prices soared on news of the EU's embargo on Russia. Here's the latest.
3. On deck today: Kirkland's, Salesforce, and HP Inc, all reporting. Plus, look out for President Joe Biden meeting with Fed Chair Jerome Powell to discuss the US economy later today.
4. A top-ranked manager said high-risk assets are "dead and buried". The president of a $225 billion wealth giant also said the housing market is set to slow. But he listed three reasons why it won't tip the US into a recession.
5. A Wall Street legend's 10 market rules are still relevant decades later. That's according to Bank of America — which said Bob Farrell's rules still apply as stocks buckle under soaring inflation and higher interest rates. These are the 10 rules to remember.
6. Gas prices have hit record highs — but don't expect Biden to lower them. The administration can only do so much, an oil analyst told Insider, because domestic maneuvers have little impact at the pump: "They've already used their biggest bullet."
7. Elon Musk is facing pressure from the SEC. The SEC has published a letter asking why a 13G filing announcing Musk's acquisition of 73 million shares — 9% of the company — "does not appear" to have been made within the required 10 days of the stake passing the 5% level.
8. Industry experts debated if these housing markets with attractive opportunities for real estate investing could also see the biggest corrections in an economic downturn. These five metro areas also present tech industry growth — but that may not be a good thing during a downward spiral.
9. These three VCs who just closed a $150-million Web3 fund shared how they are investing during the crypto-bear market. Ash Egan, Archetype's founder and general partner, told Insider the twofold thesis that guides how the firm invests. "We will be the highest-conviction investor on the cap table."
10. Dollar Tree just had its best quarter, even with $1.25 price tags. In other words, a change in the sticker price isn't scaring off shoppers. Instead, comparable sales in the quarter jumped by 11.2%, with consumers making fewer transactions but in higher totals. | 2022-05-31T11:51:56Z | www.businessinsider.com | 10 Things Before the Opening Bell: May 31 | https://www.businessinsider.com/10-things-before-the-opening-bell-may-31-2022-5 | https://www.businessinsider.com/10-things-before-the-opening-bell-may-31-2022-5 |
Danone is sending specialist baby formula to the US, The Wall Street Journal reported.
The food manufacturer is sending enough formula for 5 million bottles to help combat shortages.
The ongoing shortages have impacted the availability of formula made for babies with dairy allergies.
French food giant Danone, is flying specialist formula designed for infants with allergies to cow's milk to the US to help ease the burden of ongoing formula shortages, The Wall Street Journal reported.
Danone said enough formula for 5 million bottles would be sent to the US in the coming weeks to help ease the scarcity of specialist formula, the outlet reported.
Danone did not immediately respond to Insider's request for comment.
The recent shortages are mainly linked to product recalls from the manufacturer Abbott Nutrition and have seen parents struggling to secure tins of their preferred formula.
The manufacturer recalled several lots of formula and shuttered its plant in Sturgis, Michigan, in February after complaints of bacterial infections in four infants who consumed formula produced there emerged. Speaking at the House Subcommittee on Energy and Commerce last Wednesday, the US Food and Drug Administration Commissioner Robert Califf said the FDA could not link bacteria found at Abbott's plant on investigation directly to the infections, but said conditions at the plant were "egregiously unsanitary" and had allowed bacteria to spread.
In a statement sent to Insider earlier this month, Abbott said there was "no conclusive evidence" linking the formulas to the illnesses, but that it would strive to regain consumers' trust and focus on resuming production at the plant in early June, starting with lots of its specialist amino acid-based EleCare formula.
The recalls have affected the availability of formula designed for infants with dairy allergies and other health conditions since many products in Abbott's EleCare line were involved in the recalls and were produced at the closed factory.
Danone said its specialist formula produced by its Nutricia brand would arrive in the US from its factory in Liverpool, UK, by the end of June, the Journal reported, citing a spokesperson for the company.
The manufacturer's move to ramp up deliveries to the US comes as other manufacturers are also sending products their as part of Operation Fly Formula, a program launched by President Biden on May 18 to bring more formula meeting FDA standards into the country.
Under the plan, deliveries of hypoallergenic formulas designed for infants with dairy allergies are being prioritized because they "serve a critical medical purpose and are in short supply in the United States," according to a statement from The White House.
The first delivery of hypoallergenic formulas made by Nestlé arrived in the US on May 22.
More: Baby formula baby formula recall Shortages Abbott Laboratories | 2022-05-31T11:52:02Z | www.businessinsider.com | Danone to Send 5 Million Bottles of Specialist Formula to the US | https://www.businessinsider.com/baby-formula-shortage-abbott-nutrition-danone-sends-specialist-formula-US-2022-5 | https://www.businessinsider.com/baby-formula-shortage-abbott-nutrition-danone-sends-specialist-formula-US-2022-5 |
A man holds up an anti-Putin placard at a political rally in Hungary, March 2022.
Russian agencies have spent $8 million on VPN technology, analysis by digital rights group Top10VPN found.
VPNs are commonly used to bypass online censorship systems and content geo-blocks.
The research shows Russian state officials are having to bypass their own censorship.
Russian officials are shelling out the equivalent of millions of dollars to buy tools that let them circumvent their own censorship apparatus.
Russia's Federal Treasury has published 236 official contracts for VPN technology totalling almost $10 million, an analysis by digital rights and privacy group Top10VPN found.
This included contracts from Russian government agencies as well as private companies — although the vast majority of spending came from government agencies.
Top10VPN researcher Katherine Barnett told Insider that government agencies spent $8 million.
One contract, for the Russian Interior Ministry department for the Krasnoyarsk territory, is for "the provision of power services for the provision of data transfer channels and access points to the Internet" and worth $1.8 million.
VPNs (virtual private networks) allow users to mask their activity online as well as letting them circumvent censorship systems in whatever country they're in by disguising their IP address .
Demand for VPNs surged in Russia in March following the country's invasion of Ukraine, as it began to block mainstream Western platforms including Facebook, Twitter, and Western news outlets.
In research shared with Insider earlier this month, Top10VPN found the Russian state is blocking sites on even the most fringe parts of the internet as part of its efforts to censor messaging about Ukraine.
A Kremlin spokesperson admitted in April he uses a VPN, saying: "Why not, it's not banned."
"As the Kremlin continues to block hundreds of websites to try and control the narrative surrounding the invasion of Ukraine, officials are likely to become increasingly reliant on VPNs to retain access to vital information from abroad," Top10VPN digital rights researcher Samuel Woodhams, one of the report's authors, told Insider.
"Given how extensive the content restrictions now are, it's unsurprising that officials, like citizens, are trying to circumvent the restrictions. VPN technology also plays a crucial role in enabling secure remote working and generally improving operational security," Woodhams added.
Woodhams said although state officials are spending millions on VPNs, there are reports that Russia is seeking to disrupt VPN access.
"Attempts to disrupt VPNs would not only prevent citizens from accessing censored content, it would also disrupt legitimate businesses and official government departments from retaining access to key information sources," Woodhams said.
More: Russia Ukraine Censorship VPN | 2022-05-31T11:52:44Z | www.businessinsider.com | Russian State Spent $8 Million on Censorship-Dodging VPNs: Report | https://www.businessinsider.com/russia-officials-spent-8-million-on-vpns-censorship-dodging-2022-5 | https://www.businessinsider.com/russia-officials-spent-8-million-on-vpns-censorship-dodging-2022-5 |
Hilary Hattenbach
Hilary Hattenbach and her husband, Jared, put their duplex's second apartment on Airbnb after long-term tenants moved out.
Hilary Hattenbach and her husband, Jared, became Airbnb superhosts after guests gave good reviews.
They let out the spare apartment in their California duplex after long-term tenants moved out.
To make it a success, they priced it low, furnished it enthusiastically, and learned on the fly.
Editor's note: Insider has verified the income generated from the Airbnb with documentation
I own a 1920s-era duplex with my husband, Jared, in Silver Lake, California, a hipster enclave east of Hollywood. We live in one unit and rent out the next-door apartment.
In 2014, I quit my marketing job to pursue a writing career, much to my mother's horror.
I'd recently partnered with a chef and sold a cookbook to a publisher. That was the good news. Our modest payment, however, went directly to the food photographer and the stylist. You have to spend money to make money, right?
I figured if the book didn't reach best-seller status (spoiler alert: not even close), I'd do some consulting work and rental income would help cover the mortgage.
We pivoted from hosting long-time renters to vacationers
Alas, right after I quit my job, our renters gave their notice. Rather than race to find new tenants to share our thin walls, we decided to give Airbnb a try.
That way we'd be able to access the apartment for work meetings and let visiting family members use it in between paying guests.
We were novices when it came to side hustles, yet hosting travelers appealed to us. We're extroverts and enjoy meeting new people. And since we'd stayed at Airbnbs before, we'd already figured out some dos and don'ts.
First, we needed to spruce up and furnish the place. The small bathroom had years' worth of wear and tear, so we installed a new sink and vanity and new shower doors and also re-tiled the floor.
As an homage to the legendary architects who'd designed homes in Silver Lake, I chose mid-century-ish décor purchased on discount sites like Wayfair and AllModern. I hung artwork by Los Angeles artists. The process brought me joy and reminded me of time spent with my interior-decorator grandmother, who'd run hotels in Haiti.
To locate the perfect bed — a firm mattress with a soft pillow top — I climbed into beds at several stores and even risked my life to scale a 15-foot mattress tower at Costco to test the quality. Fortunately, my death-defying Goldilocks stunt was worth it. That bed was just right.
I scoured the internet for affordable towels, linens, and kitchen supplies. House plants and a shag rug completed the homey touches. A Nespresso machine added a wow factor.
After getting the place Airbnb-ready, we broke even in about a month
I wrote an enticing Airbnb listing, highlighting the upgrades and our walkable proximity to restaurants and shops. I raved about our "hill-top oasis" and emphasized that we lived on a quiet street with older neighbors to weed out rowdy types.
Airbnb sent a photographer to take pictures for the site, which showcased the apartment's best light and angles — a free service it offers in select cities.
We checked out similar Airbnb profiles in the area and set our nightly rate at $100, which was about $50 less than the competition, plus a cleaning fee of $50.
We required a two-night minimum stay. Almost immediately, we secured a two-week booking for $1,600 and celebrated with pizza. In that first month — March 2014 — our first booking was followed by two more — a five-night stay ($689) and a three-week stay ($2,386), earning nearly $5,000, breaking even on our initial investment.
Airbnb charges guests a 14% service fee and hosts a 4% fee. Keeping our nightly rate low also helped guests avoid sticker shock after the fees.
At first, Jared fancied himself the concierge. He'd ask guests what they'd like for breakfast in advance and stocked the fridge accordingly.
Thoughtful, yes, but not cost-effective. He later downgraded the offerings to milk or creamer of choice, a candy bar, and bottled water.
Our guests ranged from creative Hollywood types to grandparents visiting family.
Though most visitors were lovely, we learned lessons and made adjustments
When a guest broke a glass bed-side lamp, I swapped in fabric lamps. The white rug showed every speck of dirt and proved too difficult to clean.
I opted for a washable version. The blue towels faded after several washings, so I switched to dark-gray ones.
Managing bookings took practice. Check-in and check-out times had to be set in stone to give us time to tidy up, do laundry, and restock.
Originally, we'd low-balled the cleaning fee because we'd resolved to do the cleaning to save money. I won't lie: Pulling a stranger's hair from the drain gave me recurring nightmares.
Once we had steady bookings, we raised the cleaning fee to $150 to cover a professional cleaner's rate and freed ourselves from that drudgery.
By year two, we changed our minimum stay to three nights to attract more weekly bookings. Short stays required as much work as longer ones and brought in less money. That shift upped our earnings and reduced turnover of guests.
After that, we became superhosts, an honor bestowed by Airbnb when you rack up good reviews.
When the pandemic hit in early 2020, we took in former Airbnb guests for what was initially a six-month lease that was ultimately extended. They're still with us while they look for a permanent home. But when they go, we'll definitely put it back on Airbnb.
Overall, Airbnbing has been a profitable, heartwarming experience
From 2014 to 2019, we pulled in an average of $51,000 a year — $16,000 more than what our full-time tenants used to pay. It allowed both of us to pursue writing careers.
Not only that, but we also formed lifelong friendships. Former guests have invited us to stay with them all over Europe.
And best of all, it helped convince my mom I didn't ruin my life by quitting my job.
More: Airbnb advice AirBnB Silver Lake California
Superhosts | 2022-05-31T13:23:19Z | www.businessinsider.com | How We Made $51K a Year As California Airbnb Superhosts | https://www.businessinsider.com/how-to-become-a-superhost-on-airbnb-requirements-criteria | https://www.businessinsider.com/how-to-become-a-superhost-on-airbnb-requirements-criteria |
Kryptomon is a cross between Pokemon, Tamagotchi, and CryptoKitties. Check out the 24-slide pitch deck it used to raise a $10 million round backed by an ex-Citigroup CEO.
Kryptomon's gameplay screen.
Kryptomon
Kryptomon, a play-to-earn game, raised $10 million in a Series A round led by NFX.
It's a crypto game that is a cross between Pokemon, Tamagotchi and CryptoKitties.
Play-to-earn game Kryptomon has raised $10 million in a Series A funding round led by NFX, bringing the company's valuation to $50 million.
Founded in April 2021 by Umberto Canessa, Kryptomon is a NFT-powered game that combines the concepts of classic games like Pokemon and Tamagotchi with ownership properties of popular NFT projects like CryptoKitties.
The game is set in the Kryptomon metaverse where "trainers" will be responsible for looking after, feeding and training NFT monsters, known as Kryptomons, to help prepare them for battle.
Stage one of the game launched in February where players received daily loot boxes with "valuable consumables" for their Kryptomon NFTs, such as training cards for battle and food. Stage two is set to bring the release of the combat system.
"We are incredibly proud of this funding round which vastly exceeded our original funding goal of $8 million after the first stage of the game launch," said Canessa in a press release.
Prior to the fundraising round led by NFX, Kryptomon raised $1.2 million in a token pre-sale, according to the firm.
"Kryptomon has the potential to make an impressive mark on the Metaverse and the play-and-earn gaming ecosystem," said Gigi Levy Weiss, general partner at NFX, in a press release.
The round will be put towards further development of the game, including hiring new team members, supporting the 3D development of Kryptomon's game interface, and research and development activities.
Other investors in the round included casual game developer Playstudios, VC firm Finvest and the former CEO of Citigroup, Vikram Pandit.
PlayStation's former chief technology officer Shinichi Okamoto also recently joined Kryptomon's advisory board alongside Stefan Kovach, a former director at Pokerstars and Raz Friedman, the chief product officer of Playtika.
Kryptomon's Series A comes amid a slowdown in the crypto markets.
One of the most popular play-to-earn games last year, Axie Infinity, is seeing a slowdown in new users and in transactions. Leading cryptocurrencies like bitcoin (BTC) and ether (ETH) are down around 56% and 62% from their 2021 respective highs.
Data from Dune Analytics shows new users and transactions are down for play-to-earn game Axie Infinity.
Zhai/Dune Analytics
Canessa said the bear market environment doesn't phase him, however.
"We are very confident in our product, our approach, and have huge support and great responses from our community," he said in an email. "As all bear markets, this shall also pass and we are using this momentum to grow bigger and stronger from the downturn by hiring great manpower that is now available and by taking advantage of the vacuum that has been created by other failing projects that we are gathering their communities to ours."
play-to-earn gaming | 2022-05-31T13:23:34Z | www.businessinsider.com | Pitch Deck Slides: Crypto Game Kryptomon $10 Million Raise Within a Year of Launch | https://www.businessinsider.com/pitch-deck-slides-play-to-earn-game-kryptomon-crypto-vc-2022-5 | https://www.businessinsider.com/pitch-deck-slides-play-to-earn-game-kryptomon-crypto-vc-2022-5 |
The author of the FBI's active shooter protocol criticized the police response in Uvalde.
In an op-ed, she questioned police for waiting 78 minutes to kill the shooter.
Texas officials have admitted mistakes in Uvalde, and the DOJ is investigating.
The FBI agent who created the protocol for dealing with active shooter incidents criticized the police response to the mass shooting in the elementary school in Uvalde, Texas, last week.
In an op-ed in The New York Times, retired FBI special agent Katherine Schweit questioned why police waited more than an an hour before confronting and killing the gunman, who shot dead 19 children and 2 teachers.
"Why did the police leadership make that call?" Schweit wrote.
"Current protocol and best practices say officers must persistently pursue efforts to neutralize a shooter when a shooting is underway," Schweit said. "This is true even if only one officer is present. This is without question the right approach."
The FBI's protocol serves as the model for police departments throughout the US.
Schweit's comments came as Uvalde's police department was under intense scrutiny for its response to one of the worst mass shootings in US history.
The Justice Department launched a probe into the response, and in particular into why it took 78 minutes before law enforcement entered the classroom where the shooter had locked himself.
As police waited outside the school, they stopped desperate parents attempting to enter the building and rescue their children.
The director of the Texas Department of Public Safety said Friday the decision to wait 78 minutes until confronting the shooter "was the wrong decision. Period."
Schweit went on to ask whether active shooter training could be incorporated more closely into officers' routines to build preparedness. She suggested that schools should be calling on children to flee active shooters instead of hide.
"I still have nightmares about details from school shootings in which survivors told me they huddled under their desks, hoping against logic that the shooter would not see them. It's hard to shed the images of victims' bodies found huddled under plastic tables, behind cloth partitions or together in a group against a wall," wrote Schweit.
She said that the poor response in Uvalde had shaken her faith in the one part of the mass-shooting epidemic in the US which authorities were getting right.
"We aren't preventing the shootings," she wrote.
"Perhaps, I thought, we were doing better in responding to the attacks as they unfolded. But if the 78 minutes that the police in Uvalde waited before confronting the gunman at Robb Elementary are any indication, the answer is: We aren't."
More: uvalde school shooting FBI active shooter protocol News UK
Uvalde police response | 2022-05-31T13:23:40Z | www.businessinsider.com | Uvalde: FBI Shooter-Policy Author Questions Hesitant Police Response | https://www.businessinsider.com/uvalde-fbi-shooter-policy-author-questions-hesitant-police-response-2022-5 | https://www.businessinsider.com/uvalde-fbi-shooter-policy-author-questions-hesitant-police-response-2022-5 |
Previously Virgin Atlantic aircrew had to conceal tattoos on their arms and legs.
DANIEL SLIM / Contributor / Getty
Virgin Atlantic is lifting its ban on cabin crew members displaying tattoos, the company said.
The airline is recruiting 300 new flight attendants to meet demand for travel and to fly new routes.
Airlines have been loosening previously strict dress codes to make recruitment more inclusive.
Virgin Atlantic has lifted its requirement for cabin crew members to conceal tattoos on their arms and legs as it seeks to become a more inclusive employer.
The news comes as the company plans to hire 300 more flight attendants to meet surging demand for international travel.
Like many international airlines, Virgin previously required cabin crew to conceal any tattoos on their body. Starting immediately, flight attendants will no longer be required to cover body art displayed on their arms or legs.
A ban on neck, head, and facial tattoos remains but is under review, however. Tattoos containing swear words or references to nudity, violence, as well as other such symbols that are deemed culturally offensive, are also still banned, the company said.
The news that Virgin will lift its ban on visible body art was first reported by The Guardian and later confirmed to Insider by the company.
Airlines globally have been battling with shortages of pilots, cabin crew and ground staff at the same time that pent-up demand for travel intensifies post Covid-19. Air passenger numbers rose 76% in the year to March 2022, according to figures from the International Air Transport Association.
That, coupled with increasing fuel prices and having to fly longer routes in order to avoid the war in Ukraine, is putting pressure on balance sheets and causing travel chaos at airports.
Virgin's plan for 300 new cabin crew members seeks to cater to peak summer travel numbers and service new routes, a spokesperson told Insider. The company has not had difficulty recruiting — it received 5,000 applications for 400 open roles in January, the spokesperson said.
Estelle Hollingsworth, Virgin Atlantic's chief people officer, said that the change is part of its aims to improve inclusion.
"Many people use tattoos to express their unique identities and our customer-facing and uniformed colleagues should not be excluded from doing so if they choose," Hollingsworth said.
Virgin Atlantic, which is owned by Richard Branson, pays cabin crew up to £22,000 ($27,700) a year, which includes pay for trips and commission, according to the company's careers page.
Airlines have been working to make their rigid image policies more inclusive
Many airlines have faced repeated calls to loosen the strict dress code for female flight attendants in particular. Some had already taken action before today.
Insider's Maria Noyen previously reported on how Emirates' strict monitoring of flight attendants' weight and body mass index made it difficult for mothers returning from maternity leave.
In 2019, Virgin Atlantic was the first major, full international airline to drop its requirement for female aircrew to wear makeup. The airline also began providing trousers as part of its standard uniform, rather than upon request, The Guardian reported.
In March, the regional carrier Alaskan airlines unveiled a gender-neutral uniform for all aircrew and airport staff after the American Civil Liberties Union alleged that its rigid policy violated Washington State law.
More: Transportation Flights Careers Cabin Crew | 2022-05-31T13:23:54Z | www.businessinsider.com | Virgin Atlantic Will No Longer Ban Its Cabin Crew From Showing Tattoos | https://www.businessinsider.com/virgin-atlantic-airline-drops-rule-banning-cabin-crew-showing-tattoos-2022-5 | https://www.businessinsider.com/virgin-atlantic-airline-drops-rule-banning-cabin-crew-showing-tattoos-2022-5 |
The market is 'still in a state of delusion,' says a hedge fund chief who's returned 40% this year. Here's why he thinks stocks have the potential to fall another 78% — and 5 ways to position in the meltdown.
Last year, Crescat Capital's Kevin Smith predicted a significant correction in the stock market.
This year, Smith's global macro hedge fund returned 40% to investors through April 30.
He expects further pain for stock market investors due to a stagflationary environment.
Some of the biggest names in investing think further declines are on the horizon for the US stock market this year despite it already plummeting by double digits.
Morgan Stanley's equity chief Mike Wilson, who predicted the last three market crashes, warned that stocks could fall another 14% by the end of the second quarter.
The famed economist David Rosenberg said the S&P 500 could fall an additional 17% to 3,300 points.
One macro hedge fund chief is making a bolder call, however.
Kevin Smith, the founder and chief investment officer of Crescat Capital, said stock prices could potentially fall another 78% to settle at the low multiples of the last stagflationary era in a May 29 note.
"In all cases, the market seems to be in state of delusion today with the average participant still buying the dip in overvalued tech, crypto, and fixed income assets, hoping for a return to those manias, while underestimating the risk of continued high inflation in valuable, scarce, tangible resources," said Smith in the note.
Investors might think Smith is the one who's delusional with this call, but he's been right so far.
In September, he wrote about his expectation for a 42% correction in the S&P 500 to play out within a year as investors positioned for perfection in equities, while inflation started to pick up. By December he was warning of an imminent sell-off in the S&P 500.
Since the start of this year, the S&P 500 has declined by 13%, while the Nasdaq's dropped by 22%. Smith's funds on the other hand have surged: his macro hedge fund returned 40% through April 30 while his long/short hedge fund returned 19%.
How far can stocks fall?
Smith's thesis on a further bear market centers on the idea of an inflationary recession .
"The index is off 15% from its all-time highs but still trading at 187% of GDP," said Smith in the note. "During comparable stagflations of the early 1970s and 1980s, the associated equity bear markets did not end until the total stock market capitalization traded down to an average of 35% of GDP."
Previous stagflationary eras brought low stock multiples but the Nasdaq 100 index is still trading at lofty valuation multiples, Smith said.
"If we look at comparable bear market regimes, there is still substantial downside risk for this large cap tech index," Smith said.
"Conservatively, if we assume flat sales and earnings over the next one to two years during a probable recession, there is another 50% to 69% downside risk," he added. "Sure, the market may bottom at higher valuations, but this is the eyes-wide-open risk based on math and history."
The Federal Reserve is in the process of hiking interest rates to curb surging inflation, but Smith believes prices will still remain elevated due to structural commodity supply shortages.
"These industries have long lead times, so output cannot be ramped up without years of increased investment," Smith said. "As a result, the world now faces a commodity supply cliff and likely parabolic increase in energy and food prices … In our view, it will lead to crippling stagflation over the medium term, and it is only the beginning."
The rise in interest rates could even make the supply issue worse as it makes the cost of capital for investment in new commodity production higher, Smith said.
"There is a much bigger risk based on our work that inflation stays elevated, and the Fed ends up having to hike more and for longer than is currently priced in, as in all past tightening cycles," Smith said. "Alternatively, there is the risk that the stock market correction continues under the existing planned increases and the Fed panics and ends its hiking cycle for the first time with real rates still in negative territory."
Positioning for the fall
This might sound like a nightmare environment for investors, but Smith still sees "high appreciation" investment opportunities in the market with commodity exploration and production equities.
Investment firm GMO, which was co-founded by legendary investor Jeremy Grantham, recently made a similar call turning bullish on resource equities, which they highlight as trading at extremely attractive levels.
"Along with energy, base metals, agriculture, and forest products, precious metals miners are where some of the deepest value and appreciation potential lies in the market today," Smith said.
According to the note, Crescat Capital is currently short a variety of industries and individual equities, while positioned long in a variety of commodity-related explorers and producers.
macro hedge fund
hedge fund strategies
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stock market bearish | 2022-05-31T14:50:37Z | www.businessinsider.com | Stock Market Crash: Equities to Fall 78%, Says Investor Returning 40% | https://www.businessinsider.com/bear-market-investing-strategy-stock-market-crash-prediction-outlook-2022-5 | https://www.businessinsider.com/bear-market-investing-strategy-stock-market-crash-prediction-outlook-2022-5 |
A $1.5 trillion asset manager dissects why bitcoin is 'kryptonite' for institutional investors' portfolios — but identifies 4 areas they should invest in now for long-term growth
PGIM is bearish on bitcoin, but the innovations that have spawned around the crypto ecosystem present interesting investment opportunities.
Filip Radwanski/SOPA Images/LightRocket via Getty Images
PGIM recently released a bearish industry report on the cryptocurrency market.
They wrote that bitcoin is neither a sufficient store of value nor a macroeconomic hedge.
However, they believe crypto has 4 key "collateral innovation" investment opportunities.
PGIM, the $1.5 billion investment arm of life insurance company Prudential, just released a report on the state of the crypto industry, and they are far from fans.
In their wide-ranging study, PGIM outlined their view of why institutions have begun investing in cryptocurrencies and why they're skeptical of the popular investment theses revolving around them. While the firm concluded that cryptocurrencies are unlikely to replace fiat anytime soon, they do think that there are four segments of the space that could create alpha for investors in the future.
According to PGIM, there are five factors that have caused crypto to become too big for institutional investors to ignore.
In March 2020, bitcoin crashed to $4,904. One year later, bitcoin hit a peak of $60,031 in March of 2021. With that stratospheric rise came plenty of attention, and for a while it seemed as though everyone, ranging from members of r/wallstreetbets to Elon Musk, was talking about crypto. Analysts at PGIM wrote that this seemed to inspire a "fear of missing out" among investors who heard tales of "overnight bitcoin millionaires," which in turn only spurred the crypto market to new heights.
PGIM also noted a decline of faith in financial institutions among the general public as another cause for people to invest in crypto. In fact, a 2020 Axios/Ipsos poll showed that only 34% of Americans trust the Federal Reserve . Moreover, with inflation at a 40-year high, many have looked to cryptocurrencies like bitcoin — with its built-in scarcity — as a way to combat inflation.
Carry trades for cryptocurrencies with high staking rewards like AAVE or the now infamous Luna provide lucrative arbitrate opportunities for savvy investors. Another arbitrage opportunity exists with "market dislocations," where crypto's volatile pricing creates asymmetric prices for cryptocurrencies on different exchanges. For example, bitcoin could cost $29,900 on Binance and $30,000 on Coinbase, creating a $100 arbitrage opportunity for investors to exploit.
Finally, crypto has a presence in other emerging technology markets, like gaming and the metaverse. PGIM cited Fortnite's use of its digital currency V-Bucks as an analogue for cryptocurrencies, since it's a digital currency used in a multiplayer online game, the type of game that many believe is a precursor to the metaverse.
All of these reasons, combined with the market now being a sufficient size for investing, have contributed to institutions beginning to take positions in these digital assets.
However, despite its allure PGIM believes crypto fails to provide sufficient market use-cases for institutions to take it seriously.
Where crypto fails
PGIM gave four reasons for why cryptocurrencies will not replace fiat, and why it disagrees with several of the leading bullish macroeconomic theses for the asset class.
In the report, PGIM writes that no cryptocurrency fulfills the three essential functions of money: as a store of value, a medium of exchange, and a unit of account.
Crypto's volatility means that it fails as a store of value. Even with record high inflation, crypto is significantly more volatile than fiat currencies. In addition, crypto isn't a medium of exchange like fiat currencies are because so few stores actually accept crypto payments at this time, and crypto isn't a unit of account, since almost no products are priced in a specific cryptocurrency.
Moreover, PGIM notes that the costly transaction fees of flagship cryptocurrencies like bitcoin preclude widespread adoption from ever occurring.
PGIM also wrote that stablecoins, an ostensibly less-volatile form of cryptocurrency that are pegged to a fiat currency, would be effectively rendered useless upon the creation of a central bank digital currency, or CBDC.
PGIM rebutted macroeconomic ideas surrounding the most popular cryptocurrency, bitcoin, disputing the idea that it is an inflationary hedge akin to "digital gold." While they say bitcoin is deflationary, they add that it has only provided "limited inflation protection in the lone episode of elevated U.S. inflation since its inception."
Finally, they noted that bitcoin's skewed ownership — the top 0.25% of owners held about 20% of bitcoin — means that it isn't the decentralized dream many espouse. Moreover, they noted how bitcoin's environmental costs fall below ESG standards, which should be a major concern for institutions considering investing.
Incidental innovation
PGIM believes that while cryptocurrencies are not good investments, institutional investors will find value in four of the primary applications they foresee emerging from the "remarkable accidental by-products and breakthroughs" of the crypto ecosystem.
Private blockchains/smart contracts
PGIM writes that the use of centralized, private blockchains can provide efficiencies and a visible public record for the "origination, servicing and trading of assets" that have many different participants across the value chain.
A centralized blockchain, in tandem with self-executing smart contracts, creates a quicker and more transparent settlement of securities. PGIM cited Onyx, an ethereum-based blockchain built by JP Morgan that "uses smart contracts to swap digitized Treasury collateral and digitized cash instantaneously and clears, settles and records billions in daily repo trading" as an example of a traditional finance company that is already leveraging crypto innovations.
PGIM wrote that as blockchains start to produce use cases in real estate, law, and healthcare, the ability for blockchains to be "interoperable" – or for them to "talk" to one another – grows. In other words, data that is stored in one blockchain will need to be leveraged by the functionality that another provides.
They cited Polygon, Polkadot, and Cosmos as key "blockchain enablers" helping to build interoperable scaling solutions. These solutions could become especially important when trying to implement a central bank digital currency to work seamlessly with older blockchains at some point in the future.
PGIM also pointed to companies that are focusing on fraud prevention as potentially good investments. Companies like Fireblocks, Chainalysis, Coinfirm, and Elliptic that analyze the blockchain could be used by regulators to fight money laundering via cryptocurrencies.
PGIM believes that the tokenization of real assets could soon become a reality. As the world continues to grow more digitally oriented, assets like real estate will become increasingly tokenized. This means greater opportunities for retail investors to better diversify and have a voice in real world assets.
An example of a company that is tokenizing the "real world" is Royal, which sells music NFTs. Through Royal, a fan can purchase tokens from artists like Nas or the Chainsmokers and receive a percentage of the future royalty rights from the song.
Finally, PGIM stated that while investors still have to wait to see if the metaverse will be limited to a gaming experience, or if it will have more consequential societal impacts, its growth will bolster cryptocurrencies.
In metaverses, digital tokens act as currency, and smart investors will continue to monitor payment systems used in metaverses, keeping an eye out for those that gain popularity or work particularly well. Many metaverse games like Decentraland or The Sandbox utilize in-game cryptocurrencies whose values have skyrocketed due to metaverse real estate sales.
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NFT apartment | 2022-05-31T14:50:49Z | www.businessinsider.com | 4 Crypto Innovations That Are Here to Stay, Even If Bitcoin Tanks | https://www.businessinsider.com/crypto-bitcoin-ethereum-inflation-invest-tether-prudential-metaverse-stablecoin-innovation-2022-5 | https://www.businessinsider.com/crypto-bitcoin-ethereum-inflation-invest-tether-prudential-metaverse-stablecoin-innovation-2022-5 |
An Instagram micro influencer shares the 14-page 'proposal' document she uses to pitch brands
Florence Williams is a micro influencer known on Instagram as @theblendedbeauty.
Florence Williams.
Florence Williams is an influencer with 13,000 followers on her Instagram account @theblendedbeauty.
Williams has built a detailed document to send brands when pitching paid collaborations.
Here's the exact 14-page proposal document she uses.
Brands used to only hire creators with millions of followers to promote their products on social media — but those times are long gone.
Now, micro influencers like Florence Williams, who has 13,500 Instagram followers, can land sponsored content deals on social media.
Micro influencers — influencers who have fewer than 100,000 followers — account for nearly 90% of Instagram content creators, according to a 2022 report by influencer-marketing agency HypeAuditor.
These creators have become coveted partners for brands, because despite their smaller following, they usually have the support of engaged audiences.
"Follower count doesn't necessarily translate to influence," Tressie Lieberman, VP of Digital Marketing and Off Premise at Chipotle, told Insider. What matters, Lieberman added, is community, and micro influencers tend to have strong communities supporting them.
But standing out to brands when you have a smaller following can be difficult.
"When I set out to be full time, I wanted to be looked at as a professional," Williams told Insider.
Williams, known as @theblendedbeauty on Instagram, turned content creation into her full-time job in March 2020, when she was laid off from her marketing and PR job at a small beauty brand.
"I wanted to be top of mind for brands as somebody that they can come to every few months or every quarter to really get what they're looking for," she added.
To achieve that, she initially made a media kit with different kinds of data — an element that marketers are increasingly interested in.
She included statistics about her audience's age and location, examples of how her past branded campaigns performed, and positive reviews from brands she worked with to demonstrate her ability to drive her followers' attention to sponsored content.
But by early 2021, she realized that emails with attachments, including her media kit, often ended up in the recipient's spam folder.
So instead of the original media kit, she created a "proposal document," which she usually sends after her original pitch email or first discovery call with a brand.
"I typically get on that brand call to get to know them, know what their goals are," she said. "And then I deploy my proposal document to really establish social proof, so that they're going to remember who I am."
In her document, Williams includes all the information from her original media kit, plus extra sections with surveys she regularly runs with her audience, press coverage she's received, and the services she offers.
Williams tailors these surveys to the brands she's pitching and includes them on her Instagram Stories or in Google Forms that she links to on her profile or in her newsletter. The last time she ran an elaborate questionnaire through a Google Form, she had about 900 responses, she said.
To encourage her followers to participate, Williams will sometimes include small prizes for respondents, such as a 1 on 1 session with her or a Starbucks gift card.
Recently, when she pitched a national retail beauty chain for collaboration, she asked her audience about their favorite beauty stores and shopping habits for beauty products, for example, and then added the survey results to her proposal.
"I think it's really interesting to get some of those psychographics, that data that shows what the person's beliefs are or what they are into," Williams said. "That also goes into what a brand thinks, so if they're trying to target a specific audience and I can show them that I have that audience with psychographic data, it just makes sure that we're even more aligned."
Here's what the full 14-page document looks like:
The first page of the partnership proposal includes a simple photo and icons with links to the different social media platforms Williams uses.
Then, Williams has a page with sample posts from her Instagram feed and a bio.
The slide reads:
Known by her over 13k followers as @theblendedbeauty, her wildly engaged following has been growing organically since 2016. Florence is known for her genuine and honest opinions and exposès.
Florence only supports and endeavors brands and products that she truly loves or is really excited about. Thus, her audience trusts her opinion like they would their real friend. On her Instagram page, you will find product reviews, product photography, and fun videos where Florence educates her audience on the influencer marketing space.
Florence takes a multi-faceted approach to content creation to maximize potential opportunities for reposting and recycling of content.
Florence's focus on beauty, everyday life and education has earned her endorsement from her peers as a Subject Matter Expert (SME). Her deep understanding of self-care and creativity coupled with her down-to-earth persona and effervescent demeanor make her well-loved and very influential.
The third page is dedicated to media appearances, which include mentions in Everyday Health and Insider.
Williams told Insider that featuring her media appearances has been crucial to establish her reputation with new brands she reaches out to.
"I feel like media coverage is one of the big things that a lot of brands look at," she said. "It gives you another source of credibility that they might not see."
The next page includes audience statistics.
On this page, Williams includes both insights pulled from her Instagram's back end — such as her following's location, age range, and gender — and from surveys she periodically runs with her audience in which she asks about income, the type of car they use, and their mobile provider.
Then, Williams lists more results from surveys she's conducted.
The following page includes data about her audience's response and purchase frequency.
The next three pages include case studies of previous brand partnerships.
The three pages dedicated to case studies include a sample post with insights such as likes, comments, shares and saves, as well as reach and engagement. Williams then explains the goals and deliverables for each campaign.
To attract new customers and raise awareness for Proactiv's new skincare line Restorative Elements
Teased my audience slowly with behind the scenes footage to get them excited every couple of weeks until the project went live. Created (1) Instagram carousel speaking about my 4 month experience with the line and how it can help fade hyperpigmentation in a gentle and effective way without irritation. Used link in bio to drive traffic to their website.
To attract new customers and raise awareness for Hairstory Hair Oil
(1) Instagram Reel (was also repurposed in a story AD) showcasing the benefits of using their new hair oil. Was given a code to promote sales and link to drive traffic to their website
To attract new customers and raise awareness for Osea Malibu
(1) Instagram Reel speaking about the benefits of their Algae infused body oil. I told the brand story and explained to my community why this is unique. This video got repurposed in Story Ads on Instagram and Spark Ads on TikTok. I also went live with Osea to speak about the launch of the oil to promote.
Then, Williams includes three slides with reviews, or "testimonies," from brands she's previously worked with.
Williams goes on to list the services she provides, such as user generated content and live-shopping demonstrations.
The last page is a call-to-action for brands to get in touch with Williams.
More: Features Influencers media kit Instagram | 2022-05-31T14:50:55Z | www.businessinsider.com | Read the 14-Page Document a Micro Influencer Uses to Pitch Brands | https://www.businessinsider.com/example-proposal-document-instagram-micro-influencer-uses-to-pitch-brands-2022-5 | https://www.businessinsider.com/example-proposal-document-instagram-micro-influencer-uses-to-pitch-brands-2022-5 |
I landed a writing job at Microsoft straight out of college. Here are my 4 tips for breaking into tech as a creative.
Aleenah Ansari pitched a second creative internship at Microsoft after her UX writer internship and successfully transitioned into a full-time role.
Aleenah Ansari graduated in 2019 with degrees in history as well as design and engineering.
She started at Microsoft as a writer and producer that summer after two successful internships.
Ansari shares tips for people who want to get into big tech as a creative and write for a living.
My entry into writing in tech started during my junior year of college. I just switched from majoring in biochemistry and public health to studying human-centered design and engineering and history at the University of Washington.
I had considered pursuing tech roles after college but knew nothing about what was available outside software engineering and program management.
I loved writing and was an avid college journalist. Somewhere between early-morning interviews and late-night transcription sessions, I began to see myself as a writer who wanted to empower underrepresented communities in media.
While scrolling the Microsoft website for internships in my junior year, I came across an internship opening for a user-experience writer. One bullet point stood out to me: "Excellent writer who understands how to use everything from a perfectly placed fragment to in-depth storytelling."
Storytelling and strategy in tech? Sign me up! I submitted my résumé outlining my work as a writing tutor, journalist, and communications intern for a research center.
A month later, I interviewed and got the offer. That 2 ½ month internship was the beginning of a career as a writer in tech.
After graduating in July 2019 with bachelor's degrees both in comparative history and in human-centered design and engineering, I started working at Microsoft full time as a writer and video producer. In December, I transitioned to a role as a product-marketing manager.
Here are my tips for breaking into tech as a writer.
1. You have more transferable skills than you think; highlight them and how they are relevant to tech
Communicate the value of your work experience and how it has prepared you for your next role.
In my first interview at Microsoft, I shared my philosophy that great content is only as good as your readers' or users' trust in you. While working as a student journalist, I built strong partnerships with BIPOC organizations, educators, and researchers across my college campus by covering events, diversity and inclusion initiatives, and programs they were running.
I connected my commitment to serving my community with Microsoft's goal of empowering every person and organization on the planet and how both goals hinged on trust and staying engaged with the people engaging with your work.
I clearly showed how my nontechnical skill made me a good match for the company.
Also, when you're discussing transferable skills, try to quantify your impact in past roles. Focus on a tangible measurement of how your work has moved the needle.
Maybe your stories contributed to an increase in a website's views or you streamlined a process for managing your output.
It's worth talking to your manager or collaborators about what data you can draw on to quantify your impact.
2. Connect with other creatives in tech
When I first interned at Microsoft, I organized two or three meetings a week with other writers, content strategists, and storytellers to learn more about their paths.
These connections helped me find a colleague who advocated me internally when I pitched a second internship position on her team at Microsoft. This pitch led to an interview, an internship position, and eventually my full-time role.
I encourage you to use LinkedIn, Twitter, TikTok, or your preferred social-media platform to find storytellers in tech and reach out to them.
You may find people making a similar career transition, sharing an identity, or having a mutual contact. Use any information that connects you two to send a personalized email that mentions your common ground and two or three things you hope to discuss in a one-on-one.
You can even include a list of times when you're free so it's easy to send over a calendar invite once the person responds.
3. Identify which jobs you're interested in
Often, writing roles in tech don't have "writer" in them.
Use LinkedIn and job alerts to search for the roles for creatives at your companies of interest — some common ones to look out for are content strategist, content designer, UX writer, and copywriter.
Write out a master list of essential qualifications from the job descriptions of these roles. Qualifications can include things like collaborating across disciplines, influencing stakeholders, and using research and data to guide decisions.
Set up job alerts for these roles and create tailored résumés for when you're ready to apply.
It's worth noting that the same role can have a different title depending on the company, so keep your eye on those job sites to see whether job titles are being used interchangeably and keep adding relevant titles to your alerts.
4. Leverage LinkedIn to ensure that recruiters find you
Make sure you're updating LinkedIn regularly, posting and engaging with content, especially anything that relates to the job descriptions you've found. This will make it easier for recruiters and hiring managers to find you.
Once you do this, your comments will be seen by more people, most likely hiring managers or other people in your industry with similar interests.
For instance, when I'm posting more frequently about my published stories, speaking engagements, or marketing efforts, I receive significantly more LinkedIn-connection requests and messages from recruiters who are excited by my content and want me to work at their companies.
I recommend setting aside time every week to engage of write on LinkedIn.
Remember your nontraditional background is a strength
My nonlinear career path with a background in journalism, content strategy, and UX design has been a strength at Microsoft.
Storytelling as a skill is beneficial outside writing roles. It shows you understand how to sell your experience or idea and why it's commercially viable and worthy of investment. | 2022-05-31T14:51:07Z | www.businessinsider.com | How I Got a Writing Job at Microsoft Straight Out of College | https://www.businessinsider.com/how-to-get-writing-job-tech-microsoft-creative-writer-2022-5 | https://www.businessinsider.com/how-to-get-writing-job-tech-microsoft-creative-writer-2022-5 |
See the 14-slide pitch deck that helped the pro bono tech startup Paladin score an $8 million Series A
Kristen Sonday, Paladin's cofounder and CEO.
Courtesy of Sonday.
Paladin is a startup with a pro bono management platform.
It raised its $8 million Series A round in May.
This 14-slide pitch deck showed how it would serve the emerging niche of "justice tech."
Paladin, which pitches itself as an innovator in the emerging field of "justice tech," has a pro bono management platform that it hopes will revolutionize how law firms and corporate legal departments engage with legal-services groups.
Pro bono tasks and allocations are still frequently handled through spreadsheets, emails, phone calls, and sticky notes, said Kristen Sonday, the cofounder and chief executive of Paladin. For instance, legal-services organizations email long case lists to the firms and corporate law departments they work with, she said.
"They're sending through dozens of emails per year trying to get volunteers to sign up," Sonday said. "And the pro bono teams are having to intake and curate, copy and paste, and manage all those inbound emails that they're getting."
Paladin offers free versions of its tools to legal-services companies. The platform is meant to streamline communications between the pro bono departments of law firms or corporate legal departments and the outside groups looking for those services, Sonday said.
"I want folks to know that impact and justice are investable, they are VC-backable, and you can get solid returns while also having unprecedented impact," Sonday said.
Its Series A round was led by World Within, an impact fund based in Atlanta, with other investors including Mark Cuban and Hyde Park Ventures. Investors also include Vamos Ventures, C2 Ventures, and Sorenson Institute.
Paladin's pitch deck
Its clients include many top law firms
Paladin works with more than 30 clients including Am Law 200 firms, Fortune 500 companies, and bar associations in six states. It released the first law-firm version of its product in 2019 after about two years of working on it. Firms including Wilson Sonsini Goodrich & Rosati have partnered with Paladin.
The impetus
Paladin.
The growing practice of pro bono work has little tech infrastructure, Sonday said. Law firms and companies are continuing to invest in pro bono work for various business reasons, including the professional development of their younger attorneys and marketing to court socially conscious consumers.
The problem with pro bono infrastructure
Pro bono teams typically get their monthly reports in Excel from the accounting or finance departments, which they manually parse through and analyze. That can make it difficult to quantify their impact beyond the number of hours the firm is putting in or the number of professionals engaged, Sonday said.
To quantify the cost, Paladin also surveyed clients to compile data on billable hours lost because of communication inefficiencies such as email back-and-forth, she said.
"We went through a pretty extensive kind of cost-calculator worksheet to determine how much time the pro bono teams were spending on manually administering the program," she said. "And then also the time that the average attorney was spending in finding a case, tracking down the referring agency, and getting follow-up information."
Funding has also been part of the issue. The public nonprofit Legal Services Corporation helps fund legal-services corporations, which also receive funding through grants.
"They're having to constantly source funding for themselves, and there's so much need that the funding is currently not sufficient," Sonday said.
Paladin's approach
Paladin provides free versions of its tools to legal-services organizations, which allow them to input their pro bono matters and send it to their law firm, corporate, and bar partners on the platform. The law firms, corporations, and bar associations pay a monthly subscription fee.
"Attorneys and pro bono teams can see in real time all the opportunities coming through in one centralized dashboard," Sonday said. "So the idea for the legal-services organizations is to increase the visibility and the speed with which we can get their cases in front of the right attorneys."
For law firms, the platform's automatic intake and dashboard help save a significant amount of administrative time, Sonday said. The platform also helps with other areas including data analysis about firms' pro bono programs, she said.
A growing niche
"We're the first movers in the space for providing an end-to-end solution here and pioneering the growing category," Sonday said. "And I'm really proud of our renewal and retention records and gross margin records — I think it speaks to how sticky the software is and how useful the firms are finding it."
The growing pro bono practice
Interest in pro bono work increased in the summer of 2020 amid the national reckoning over police brutality after the murder of George Floyd. The field has only continued to grow since, and Paladin's platform helps to harness and facilitate those efforts, Sonday said.
"One of my favorite metrics is that once we launch Paladin at a new firm, we've typically seen an attorney sign up to take on their first case through the platform within an hour and a half," she said.
"You can see a bump during COVID there, but it's continuing to rise," Sonday said. "We wanted to provide a quick list of the types of organizations and people that we're helping across the platform. We don't focus on an area in particular — it's really wherever the civil or legal needs are in the community, and where attorneys can lend their skills."
Who Paladin is helping in the market
Straddling two growing markets
Paladin highlights its role in the growing markets of corporate social responsibility and legal tech. As ESG reporting becomes more regulated, the startup plans to develop more tools to support those types of disclosures.
Paladin's plans to scale its technology
Paladin outlines its plans for long-term growth.
"Legal is so nuanced because of the high stakes, and high risk associated with each case," Sonday said. "That's something that we really focus on mitigating through our tools."
Paladin's leadership team
Final Slide | 2022-05-31T14:51:19Z | www.businessinsider.com | Paladin's 14-Slide Pitch Deck Helped Score Its $8 Million Series a | https://www.businessinsider.com/paladin-14-slide-pitch-deck-score-8-million-series-a-2022-5 | https://www.businessinsider.com/paladin-14-slide-pitch-deck-score-8-million-series-a-2022-5 |
UK consumers shun physical wallets in favor of contactless and mobile payments
More than three-quarters of UK consumers in the country are ditching physical wallets for mobile payments.
To win new customers, payment providers should emphasize the ease and simplicity of mobile payments.
Breaking it down: More than three-quarters (77%) of consumers in the UK have swapped their physical wallets for mobile payments, according to Marqeta research.
96% of surveyed consumers used contactless payments in the last year.
61% of consumers feel confident enough with contactless payments to leave their wallet at home and just take their phone—that figure rises to 77% for Gen Zers.
64% prefer to use their mobile phones to pay because it has more built-in security features.
Consumers are also open to cryptocurrency use as a payment method: 26% of those surveyed own crypto, and 82% of them are keen to use it like a debit card at the point-of-sale.
Beyond the numbers: Payment preferences are evolving in the UK, and consumers are becoming increasingly reliant on mobile wallets.
Behaviors spurred by the pandemic seem to have stuck, winning over users with speed and ease. More consumers will opt for mobile wallets as cash use declines and digital payments become more popular. UK proximity mobile payment users are expected to reach 12.0 million in 2022, up 21.2% year over year (YoY), according to our forecast.
The opportunity: To win new customers, payment providers should emphasize the ease and simplicity of mobile payments. They also need to be innovative to tap customers who are open to embracing new technology like crypto payments.
Introducing features that make mobile wallets faster and even more convenient without compromising security can help cement customer loyalty in a notoriously competitive market. Other approaches to differentiation could include:
More support: Mobile wallet providers can grow their presence in the UK by expanding in-store acceptance, a major focus of mobile wallets in the US.
New payment products: Mobile wallets can diversify their offerings to include buy now, pay later (BNPL) or peer-to-peer payment services to help solidify customer loyalty.
The bigger picture: Despite quickly growing mobile wallet demand, cash preservation is still top of mind in the UK.
The UK government has taken many steps in the past year to ensure that the more than 5 million adults in the UK who rely on cash as their primary payment method retain accessibility. Most recently, the Financial Conduct Authority (FCA) was granted new powers to ensure UK citizens retain the ability to access cash. | 2022-05-31T14:51:55Z | www.businessinsider.com | 77% of UK Consumers Swapped Their Physical Wallets for Mobile Payments | https://www.businessinsider.com/uk-consumers-favor-of-contactless-mobile-payments-2022-5 | https://www.businessinsider.com/uk-consumers-favor-of-contactless-mobile-payments-2022-5 |
How the CEO of DTC logistics startup Outerspace raised $30 million — and why he's not worried about competing with Amazon and Shopify
Ricky Choi is the cofounder and CEO of Outerspace.
Outerspace is a logistics company that works with direct-to-consumer brands.
The company addresses pain points its founders experienced with their own DTC brands.
Read how CEO Ricky Choi raised a $30 million Series B and why he doesn't plan on taking on Amazon.
When Ricky Choi decided to build his own logistics center for his DTC loungewear and underwear brand, Nice Laundry, he had no idea the operation would become his next venture.
In addition to a warehouse for order fulfillment, the ops center housed Nice Laundry's customer-service teams, as well as photography and embroidery studios.
The additional staff located on-site at the ops center helped Nice Laundry drive down return rates by addressing customer-service issues like product and sizing changes before orders left the warehouse, as well as implementing better quality control to catch defects and mistakes before orders were sent out.
Soon, Choi was fielding calls from founders of other DTC brands asking what logistics provider the brand was working with. After initially dismissing the idea of selling his logistics service, Choi finally opened his ops center to a handful of other DTC brands, which all saw business gains similar to Nice Laundry's.
The ops center and its services eventually became Outerspace, a startup offering "high-touch" fulfillment services for DTC brands. In addition to warehousing and fulfillment, Outerspace aims to create "a better back office" through its combination of software, operations management, and inventory planning.
The company currently has two warehouses in New Jersey and a third warehouse in Pennsylvania. The company declined to share specific client numbers but said that each facility can house up to 25 clients. In addition to customer service, quality control, embroidery, and photography, the warehouses also offer services like UV printing and laser engraving.
"If we can deliver third-party scalability and economics with first-party feel and experience, that's always been the holy grail for me and for this audience of brands who have a proof of concept, they have resonance, they're growing very quickly," Choi said.
Earlier this month, Outerspace announced $30 million in Series B funding led by Prysm Capital. Choi said that the company saw interest from more tech-focused VC firms, but opted to work with Prysm because of its experience investing in "infrastructure-heavy" companies like pet-food retailer Chewy.com, electric-vehicle manufacturer Rivian, and Everly Health, which sells at-home diagnostic wellness tests.
Outerspace plans to triple its warehouse footprint to 1 million square feet before the first quarter next year with the new capital, Choi said. The company also plans to triple its current head count of 320 employees by that time.
Potential Outerspace clients need to have more than $10 million in annual revenue.
Fulfillment is the new e-commerce arms race
E-commerce companies have rushed to expand their own fulfillment services lately, as companies race to deliver on promises of fast shipping and smooth delivery while fighting supply-chain challenges. Amazon announced the rollout of its Buy with Prime feature in April to encourage more DTC brands to use its Fulfillment by Amazon services. Shopify's acquisition of logistics platform Deliverr, confirmed earlier this month, will boost the platform's plans to expand Shopify Fulfillment Services.
E-commerce giants don't represent direct competition for Outerspace, Choi said, because of the specific criteria his startup looks for in a client and the more personalized relationships Outerspace wants to have with brands.
"Amazon and Shopify solutions work very well for certain types of merchants," he said. "In general, they're focused on a volume game. They want to work with as many clients as possible across specific sales channels."
While many Outerspace clients primarily sell through their own e-commerce sites, the company wants to work with fast-growing DTC brands that have eyes on omnichannel growth. Potential Outerspace clients need to have more than $10 million in annual revenue, 30% or more year-over-year growth, and fulfill more than 20,000 monthly orders. Top categories for Outerspace clients include apparel, home goods, beauty, and jewelry and accessories brands.
Current Outerspace clients include apparel brands Hill House Home, Something Navy, and Criquet, as well as home brands Otherland and Homesick.
"We know what we can do, and we know what we can't do, and I think that hyperfocus has been very important," Choi said of the company's selective client list.
Choi said that he's only seen demand for Outerspace's services increase as DTC founders grow younger and focus more on product development and marketing.
"They want to be product and marketing companies . They don't want to be operations companies," Choi said of the current wave of DTC founders. "They don't want to manage warehouse leases and head count, seasonal labor, things like that. I think the premium that is placed on really good warehousing has only increased over time, just as a function of the capability set of the modern founder."
Amid heightened awareness about the logistics space from both investors and consumers, Choi says that ultimately his background as a brand founder and Outerspace's unique model will lend it an edge over competitors and help it stand out from similar providers.
"Fast-growing consumer brands that want to be omnichannel, they actually don't need a 3PL — that's the wrong model," Choi said, referring to third-party logistics providers. "Temp labor, different people working on the account every day, ticketing systems for customer-service requests, limited in-house technology, reluctance to perform what we call value-added services — it just creates a mess. It wasn't intended for the modern omnichannel brand, and what they really need is an ops center."
Another area where Outerspace isn't necessarily looking to compete with e-commerce heavyweights is same- and next-day delivery. "People try to blur the lines between this arms race to fast delivery and what we do — we're the connective-tissue middle layer between someone checking out and then fast delivery," Choi said.
While Choi didn't rule out some sort of Outerspace delivery offering in the future, he said that delivery is another area where knowing customer and brand needs intimately is crucial.
"I think it's perfectly fine for a customer to wait two and a half to three days to get a product, depending on the brand," Choi said. "If I'm buying light bulbs or toothpaste on Amazon, that's really a replacement for a trip to the grocery store, which I can presumably do right away. But if I'm going to transact directly with the brand, it's because I specifically want their product."
Ultimately, Outerspace is betting that providing "customer-experience obsessed" service will help DTC brands build loyalty and engagement.
"It's really the brands that have a unique product and have built an organic, invested audience that will be the ones that are successful, whether or not they achieve next-day delivery or two-day delivery," Choi said. "I think those brands will continue to win on qualitative factors as opposed to next-day delivery."
More: E-Commerce Fulfillment DTC | 2022-05-31T16:26:01Z | www.businessinsider.com | DTC Logistics Startup Outerspace's Approach Is the Opposite of Amazon's | https://www.businessinsider.com/dtc-logistics-startup-outerspace-opposite-approach-from-amazon-series-b-2022-5 | https://www.businessinsider.com/dtc-logistics-startup-outerspace-opposite-approach-from-amazon-series-b-2022-5 |
5 'green' choices I make every day that save me a ton of money
I've had Earth-friendly habits for years but only recently realized they're also saving me money.
I buy everything used — including cars, clothes, and furniture — and I switched to bar shampoo.
I also keep a pescatarian diet, recycle, and use canvas bags at the grocery store.
I recently realized that many of the things I do to protect the planet also save me money. I've been doing these things for years, starting in my first year of college.
Back then, I took an environmental science class. It was the first time I heard terms like "zero population growth" and "acid rain." My college boyfriend majored in environmental science, and since we lived together, I also learned more about the need to recycle, reuse, repurpose, compost, and cut down on overall waste. All of this happened in the mid to late '80s. Although my boyfriend and I didn't make it, my desire to find ways to decrease my footprint on the planet did, and with those changes, the money I saved increased.
I currently have five habits that help the planet and my wallet, with plans to do even more.
1. We buy used cars and take public transportation
One of the most significant savings I realize is buying used cars. Buying used anything means fewer products being manufactured and also less waste. I've saved thousands of dollars by buying vehicles that are five years old (you can save a lot of money buying a car that is just one year old). Also, my husband and I purchase cars that get good gas mileage.
Although we use public transportation when possible because it is more climate-friendly, we still drive our car approximately 5,000 miles per year (Metromile reports that the average American drives 13,500 miles per year). Our savings on gas over the years has been significant. With gas costing almost $6 per gallon in Southern California, where we live, our savings are over $100 per month or more (savings improve with good upkeep on a car – like regular oil changes, tire rotations, and other routine maintenance).
2. I buy almost everything secondhand
I also buy almost all items (except bedding, underclothes, and shoes) at thrift shops. My dining room table is secondhand, my couch is preowned, my recliners are hand-me-downs, and most of the clothes in my closet had a previous owner. Buying secondhand saves money and is also a way to keep valuable things out of landfills.
When a pair of jeans can easily cost $100 to $200, looking at fashions on social media and then going to thrift stores to duplicate those fashions can quickly add up to significant savings. Plus, you never know what other treasures you will find, and many people make a side hustle out of selling thrift store finds on Etsy and other marketplaces.
3. I recycle and use canvas bags
Some habits I have had for years, like recycling cans and glass and using canvas bags at the grocery store, and all of those actions can save money.
Before my city had a recycling program, we used to take our cans and bottles to the recycling center and trade them in for cash (you can still do this in some areas). Where I live, the grocery stores charge a fee for bags, so bringing your reusable bags saves money every time we shop.
4. I keep a pescatarian diet
The way we eat also impacts the environment and saves us money. I have practiced vegetarianism or pescetarianism (vegetarian + fish) for most of my adult life. I currently eat fish, but I only buy it about once a month from Costco. So, it is fair to say that my grocery bills are significantly impacted by not eating meat and only occasionally eating fish. Even if you give up eating meat a couple days a week, you can save significantly at the grocery store.
Some quick swaps for beef that will save you the most money are beans and other legumes. We eat a meatloaf substitute made out of lentils instead of meat that costs a couple of dollars to make and provides several days of leftovers. Cutting down on meat cuts down on the greenhouse gasses that are warming our planet. So, it is another double win for the Earth and pocketbook.
5. I swapped out my personal-care products
Recently I switched from bottled shampoos and conditioners to bars (they look exactly like a bar of soap). There is no plastic bottle that could potentially end up in the ocean or a landfill, and the bar lasts me longer. The bars are cheaper than my old haircare products.
Not everything environmentally friendly is less expensive, but how many things are is surprising. I'm currently looking into switching from bottled laundry detergent to paper-thin pads and from tubes of toothpaste to pellets. I'm always looking for ways to cut down on packaging, and I never lose sight of the financial benefits of what I consider my doubly-good choices.
PERSONAL FINANCE An emergency fund is your first line of defense against unexpected costs and provides peace of mind
More: Environmentally Friendly saving money Personal Finance Insider PFI Storytelling | 2022-05-31T16:26:25Z | www.businessinsider.com | 5 'Green' Choices I Make Every Day That Save Me a Ton of Money | https://www.businessinsider.com/personal-finance/green-choices-save-money-2022-5 | https://www.businessinsider.com/personal-finance/green-choices-save-money-2022-5 |
Vermont will start sending $1,000 monthly checks to parents, stepping up after Congress failed to renew their program
Fathers with their new child.
For six months, American parents got monthly child tax credit checks from the federal government.
Congress failed to renew the program after resistance from Republicans and Sen. Joe Manchin.
Now, Vermont will send out monthly checks to households earning $125,000 and below with kids under five.
For six months last year, parents across the country received monthly checks. The expanded child tax credit — under which parents got up to $300 a month per kid — lasted from July to December 2021.
The program helped keep millions of children fed and out of poverty, touching 35 million families. It lapsed in December after Republicans and Sen. Joe Manchin prevented Congress from making checks permanent, or simply just extending them for one year.
Some states are trying to step up where Congress failed. In Vermont, a Republican governor and Democratic-led state legislature signed off on a $1,000 child tax credit for every child age 5 and under to households earning $125,000 and below.
Phil Scott, the state's Republican governor, had initially proposed a wider suite of tax cuts, according to the VTDigger. In a statement, Scott said his proposals "would have helped a broader cross section of taxpayers," but that "this bill is a step in the right direction."
The program is expected to cost $32 million and benefit over 30,000 children in the state.
With the new bill, Vermont is picking up where the federal government left off. The expanded child tax credit lapsed in December 2021 due to resistance from Republicans and Manchin, a centrist Democrat from West Virginia.
Amidst negotiations over the Build Back Better plan, Manchin raised concerns over the program. He said that checks should come with a work requirement, which would cut the lowest-earning families out from relief.
Eventually, Manchin declared the social spending program "dead." That meant that even the one-year check extension Democrats proposed was never enacted. Even that extension was a compromise — most Democrats wanted to make the checks permanent.
The expanded child tax credit program cut child poverty by roughly a third, per research from the Center on Poverty and Social Policy at Columbia University. In just its first month, the program helped feed 2 million kids, and kept 3 million kids out of poverty.
But those gains were largely erased only a month after the initiative expired in December. Child poverty has ticked up since.
Are you a Vermont parent who will get a check and want to share your story? Reach out to these reporters at jkaplan@insider.com and jzeballos@insider.com.
More: Economy Child tax credit Child tax credits monthly checks
Monthly child tax credit | 2022-05-31T16:26:49Z | www.businessinsider.com | Vermont Will Send $1,000 Monthly Child Tax Credit Checks to Parents | https://www.businessinsider.com/vermont-send-monthly-child-tax-credit-2022-checks-parents-payments-2022-5 | https://www.businessinsider.com/vermont-send-monthly-child-tax-credit-2022-checks-parents-payments-2022-5 |
Your subject line contains a spam trigger
Your email body has spam triggers
Your 'From' information is incorrect
You've included attachments
You haven't set up email authentication
Make sure your domain isn't marked as unsafe
Recipients have marked your email as spam
Why are my emails going to spam? 7 ways to make sure messages reach your recipients' inboxes
There are many potential reasons why your emails could be sent to spam folders.
If your sent emails are going to a spam folder, there are practices you can follow to get messages in your recipients' inboxes.
Be sure to avoid spam trigger words, phrases, and punctuation in the subject line and message body.
Also make sure your emails are authenticated, your domain hasn't been marked unsafe, and that you follow HTML best practices.
Unfortunately, spam is inescapable. Every day, most of us are inundated with unwanted email, which our mail software tries to filter out to keep our inboxes mostly stocked with legitimate messages.
But no spam filter is perfect, and it's not unusual for important email to get flagged as spam. In fact, your own email might get sent to the spam filter when you send it to friends, family, or business recipients. Why are your emails going to spam? There are a lot of potential reasons as well as ways to prevent that from happening.
This is especially important if you are sending email messages or newsletters to business clients: Email services pay attention to subject lines, and certain words can flag your email as spam. Starting your subject line with "RE:" or "FW:" might seem like an attention-grabber, but never do that if the message isn't a genuine reply or forward. Also avoid sensational claims, subjects that are completely unrelated to the content of the email, and gratuitous punctuation and symbols. Multiple dollar signs and excessive exclamation points, for example, are particularly likely to get the attention of spam filters.
Even if your subject line is clean, you can still fall prey to spam filters in the email's body text. The same kind of cautions that apply to the subject line are appropriate here as well, but you should also avoid writing words in all caps, including incorrect or excessive punctuation, and emphasizing phrases like "free," "no cost," and "easy money."
A red flag for spam filters: If the "From" information in the message is wrong. Spammers often intentionally put misleading information in the From field to trick the recipient. That's probably not your intent, but it can happen, for example, if you use automated forms on your website that can generate email replies. Make sure these tools use your website's admin email address, and never simply use the recipient's "To" email as the "From" address.
Surprisingly, one of the more common reasons email ends up in a spam folder is if it contains attachments — and the more attachments, the greater the likelihood that it'll get flagged as spam. Fraudulent emails often come with attachments because it's easy to use them to send malware , so spam filters are especially wary of attachments from senders who aren't in the recipient's address book. Sending links to cloud storage services like Dropbox is a smarter strategy, but if you need to send an attachment to a new contact, it's a good idea to advise them it's coming in a separate message.
If you send a lot of email for a small business or publish an email newsletter, you should ensure that your emails are authenticated. This is typically something you can work with your domain provider to implement, though some domain hosting services will make instructions available on the website so you can do it yourself. Google recommends publishing an SPF record for your domain as well as publishing a DMARC record for your domain. Both of these protocols prevent spammers from spoofing you, sending messages that appear to come from your domain. You should also turn on something called DKIM signing, which lets your recipients verify that your domain actually sent the message.
If your domain has been designated as unsafe, your email is far more likely to get flagged as spam, which will make your job substantially more difficult. Thankfully, there's an easy way to regularly check your domain: Open the Google Safe Browsing Site Status website and search for your domain. You'll get an immediate report that advises whether any "unsafe" content has been found. If your domain has been marked as unsafe, you should clean it up and then request a review using Google's Webmasters Tools.
Of course, it's also possible that your emails are going to spam because the recipient has marked it that way. If this is a one-to-one correspondence, it might be a misunderstanding and you can reach out to the recipient another way to correct the problem. More troublesome is if this is a mass mailing, such as an email newsletter. If a significant number of recipients mark your message as spam, that can influence spam filters and send your email directly to spam for others. That's why it's important to follow email best practices to prevent manual spam filtering — provide an easy opt-out or unsubscribe option, don't write spammy or misleading subject lines, only send business emails with the permission of the recipient, and send either text-only messages or be sure to follow HTML best practices.
TECH How to block emails on any service or app and save your inbox from spam
TECH How to find your Gmail Spam folder and stop emails from going to Spam
TECH What is Spam Risk? Why the message appears on your phone, and how to block calls associated with it
More: Spam Email Troubleshooting Tech How To | 2022-05-31T16:26:55Z | www.businessinsider.com | Why Are My Emails Going to Spam? 7 Ways to Troubleshoot | https://www.businessinsider.com/why-are-my-emails-going-to-spam | https://www.businessinsider.com/why-are-my-emails-going-to-spam |
'The party is over': A chief economist who called the 2008 housing bubble warns that home sales will continue to drop as demand gets crushed by rising mortgage rates — and says home prices are vulnerable to a near-term decline as a result
Months supply of housing spiked in April as demand gets crushed by rising mortgage rates.
Ian Shepherdson is warning home sales will decline further.
He also warned that home prices could also see a short-term drop.
The music is beginning to stop in the housing market following one of the hottest homebuying periods in history.
As the Federal Reserve hikes interest rates to curb four-decade-high inflation, mortgage rates have soared by about 50%. That has crushed buying demand as monthly housing payments have become more expensive, sending months supply of homes soaring to the highest level in 12 years.
According to Ian Shepherdson, the chief economist at Pantheon Macroeconomics who called the mid-2000s housing bubble, the slowdown is only going to get worse.
In recent notes to clients, Shepherdson warned that the bottom for mortgage demand is "not yet in sight."
"It's not rocket science; when the monthly payment for a would-be home purchaser rises by 50% in eight months, demand drops," he said. "Expect more of the same, and it will feed into closed existing home sales in due course."
In addition to falling demand, Shepherdson warned that the growth of new homes being built would contribute to the the slowdown in activity.
"New home inventory now stands at 9.0 months — up from 6.9 months in March — much higher than existing home inventory, at just 2.1 months," Shepherdson wrote in the note to clients. "Homebuilders have sought to capitalise on the shortage of existing homes by adding inventory and raising prices, which are up about 20% over the past year. But this strategy is unsustainable as demand falls sharply and inventory of existing homes rises; listings rose by 14% between February and April, with far more to come."
He added: "In short, the party is over."
All of this means that home price growth is due to continue slowing down and, in the near-term, even fall, he said.
"A brief downturn is entirely possible as the market adjusts to the plunge in demand and inventory spikes higher," Shepherdson added.
"The rate of increase of prices will slow sharply; they are massively overshooting compared to the level of inventory, even before the April jump," he said in another note. "We can't rule out a brief run of absolute declines as the market finds a new equilibrium."
But Shepherdson said the current market is not like the mid-2000s and prices will not crash in the same sustained way because there are far fewer adjustable-rate mortgages, which forced many homeowners to sell their properties the last time around. Around 40% of mortgages were adjustable in the mid-2000s compared to 1% now.
He also said a housing market slowdown wouldn't crash the economy like it did around 2008. However, he warned that certain areas of the economy would "suffer." These include materials, appliances, furniture.
"Homebuilders and suppliers and retailers of housing-sensitive items are going to suffer," he said.
Fears of a housing market bubble have been brewing as mortgage rates spike. But most experts have said those fears are misguided, and home prices is unlikely to see a large decline. Many cited relatively low supply as their reason for seeing no bubble.
"The main reason we think there is no US residential housing bubble is that housing supply is very tight," said Daan Struyven, senior global economist at Goldman Sachs, while also acknowledging that rising mortgage rates and ambiguity around pricing present challenges. "In fact, the Q1 homeowner vacancy rate fell to an all-time low of 0.8%. Similarly, the month's supply of existing homes available for sale remained near the lowest level on record in March."
However, supply dynamics have been quickly evolving. Months supply of homes ticked sharply higher this week, the Census Bureau and the Department of Housing and Urban Development reported (see the first chart above.) That has been fueled in part by cooling demand and spiking new home inventory.
Others, like David Rosenberg, president and chief economist at Rosenberg Research, and Desmond Lachman, senior fellow at the American Enterprise Institute, say more substantial drop is coming.
"With mortgage rates rising sharply and affordability constraints becoming so much more acute, the bursting of this bubble and the commensurate negative wealth effects promise to be spectacular," Rosenberg said recently.
Lachman said he sees a 15-20% decline ahead.
Still, Shepherdson is not calling for a drawn-out decline in home prices, but a slowdown in appreciation and possible short-term dip as the market finds its footing amid shifting dynamics.
But shifting is the key word. As the picture evolves, and as the Fed continues on its hiking spree to slow consumer demand, market conditions could get worse for prospective sellers.
More: Investing Housing Market Real Estate
Ian Shepherdson | 2022-05-31T17:57:37Z | www.businessinsider.com | Economist Who Called 2008 Housing Bubble Warns of Home Price Declines | https://www.businessinsider.com/housing-market-crash-bubble-price-declines-home-sales-drop-shepherdson-2022-5 | https://www.businessinsider.com/housing-market-crash-bubble-price-declines-home-sales-drop-shepherdson-2022-5 |
A former UBS Wealth exec is setting out to help investors tap the lucrative wealth management industry by serving as an 'RIA accelerator'
A former UBS executive has a plan for helping breakaway investment advisors.
Private-equity firms have increased their stakes in wealth-management firms over the last few years.
The focus has been on RIAs, which collectively manage about $100 trillion of assets.
A former UBS exec wants to help match RIAs that need cash with investors like family offices.
Vestria Capital is looking to give more investors access to the booming market of breakaway investment advisors.
Registered investment advisors, more commonly known in the industry as RIAs, are a segment of the wealth industry managing $110 trillions of assets made up of wealth managers that have typically launched after leaving a big brand like Merrill Lynch or Morgan Stanley.
Over the last few years, the industry's largest RIAs have attracted investment from private-equity firms including KKR, Bain Capital, and Warburg Pincus. Meanwhile, smaller RIAs looking for cash tend to get acquired or opt for a minority investment from so-called service providers like Dynasty Financial Partners.
Vestria Capital's cofounder Paul Hatch
Vestria Capital
Vestria is setting out to fill a void its founder and CEO Paul Hatch says large services providers have left open in the wealth management industry.
"One of the things RIAs and people who are coming from the traditional space are all looking for is capital," Hatch told Insider. Service providers, which offer back and middle-office support such as technology and compliance help to new or growing RIAs, "don't really provide capital."
Dallas-based Vestria has dubbed itself an "RIA accelerator," a company that helps match select RIAs with growth capital providers like family offices, financial companies, and private-equity firms. It also gives the RIA an advisory board and access to wealth-management technology. Hatch, a former UBS Wealth Management director turned consultant to asset and wealth management firms, started Vestria with partner Paul Landaiche in 2021.
The case for investing in RIAs amid a gloomy market outlook
Many of the RIA industry's largest firms focus on growth through acquisition. In a record year of wealth management mergers and acquisitions, private equity was involved in approximately 69%, or 209, of the 307 deals last year. In both 2019 and 2020, there were 135 such transactions, according to Echelon Partners RIA M&A Deal Report.
But 2020 and 2021 were years of low interest rates and an economy trying to get back on its feet from the pandemic. This year, the market looks bearish, inflation is high, and the Fed has been eyeing another interest-rate hike. Valuations will lower, ruining the deal-making environment for sellers. But buyers, particularly those looking to deploy capital, will find this period to be prime.
"The multiples have been very high. We benefit personally by having multiples and levels of asset revenues go down a little bit," Hatch told Insider.
The fact that RIAs profits go up and down with the markets is not a major concern for companies investing in them, he also said. Growth investors usually focus on how reoccurring the returns are, the relatively minimal fixed expenses, and how predictable the business model is.
What growth investors like the most are RIAs looking to make strategic acquisitions and jack up their client numbers: "Good RIAs have a tendency to grab market share during this period of time," so when the markets go back up, so does their lead over other RIAs, said Hatch.
The company will scout for RIAs that have $1 billion to $5 billion in client assets and aims to have 20 firms and around $100 billion in the next five years.
Vestria is focused on growing the RIAs not only to help the advisory firms but to also ensure investors get a return. He told Insider that any majority-stake deals will include compensation incentives to grow the RIA's profits. Hatch mentioned stock in Vestria and compensation tied to profit levels as examples of how deals with RIAs may be structured.
RIA independence will still exist past a majority stake, he added, because the firm will still have their own brand and management team.
"We want the RIAs to manage themselves," Hatch told Insider.
More: Wealth management Wealth Advisor Wealth Adviser | 2022-05-31T17:58:13Z | www.businessinsider.com | Vestria Capital Sets Out to Close Capital Gap in Wealth Management | https://www.businessinsider.com/paul-hatch-vestria-capital-close-capital-gap-in-wealth-management-2022-5 | https://www.businessinsider.com/paul-hatch-vestria-capital-close-capital-gap-in-wealth-management-2022-5 |
5 advantages of using a buy now, pay later service instead of a credit card
Using BNPL to spread out purchases over time has a a few advantages over paying by credit card.
Buy now, pay later (BNPL) services allow you to spread out payments when you purchase an item.
You don't typically need a high credit score to qualify, and often there's no interest.
Be sure you have a plan to pay off your purchase before you're tempted to use BNPL.
Read Insider's guide to the best credit cards with 0% APR offers.
One of my biggest financial goals this year is to try to lower how much I'm spending every month on my credit card. In 2021, paying off my bill every month was overwhelming mostly because my purchasing habits turned toward online shopping more than ever during the pandemic.
To help my efforts, I removed all my credit card information from being auto-saved on my favorite e-commerce sites. In just the past three months, this helped me lower my credit card bills by 25%, since I had to think through each item in my cart before getting up and manually entering my credit card information.
However, most of my favorite websites are starting to offer the buy now, pay later (BNPL) feature that not only seems tempting but can sometimes be more beneficial to use.
Since I'm trying to use my credit cards less, I decided to look into some of the BNPL perks that credit cards don't have. Here's what I discovered.
BNPL doesn't usually require a good credit score
If you want to get approved for a credit card, you have to meet certain criteria outlined by the issuer. You'll need to show proof of income, established credit, and a credit score that meets the issuer's requirement.
While credit card issuers aren't always so transparent, each has its own credit score range that they require applicants to have. For example, to be approved for the Chase Sapphire Preferred® Card, you'll usually need a credit score in the good to excellent range (a FICO score of 670 or higher). Other cards, like the Capital One Platinum Credit Card, only require an average credit score, which Capital One defines as having defaulted on a loan in the past five years or not an extensive amount of credit history.
If you have a low credit score (which is defined as a score under 580) or you have a limited credit history, using a BNPL service benefits you since those services don't approve you based on your income, credit score, or credit history.
All BNPL services approve users based on different criteria which range from checking available funds in your bank account, the history you have using that BNPL service, or funds available on your debit or credit card.
BNPL services don't usually do a hard credit check which can affect your score
When you apply for a credit card, the issuer will often do a hard inquiry or "hard pull", which is when they will check your credit before making a lending decision. Usually, these hard inquiries could lower your credit score by a few points, especially if you're applying for multiple credit cards at once.
When it comes to BNPL services, some don't do a credit check and others just perform a "soft" inquiry, which doesn't affect your credit score. Soft pulls aren't connected to an issuer lending you new credit, so they don't come with the same penalty that hard pulls do.
Before you decide to make a purchase using BNPL, be sure you have a plan and the means to pay off your balance — and be wary of overspending.
BNPL doesn't charge automatic interest
Most credit cards charge interest on your remaining unpaid monthly balance, which, depending on your APR, can be higher than 20%. With most BNPL services, you typically don't have to pay any interest on your installments.
For example, if you're purchasing an item for $500 and using a BNPL service, you could have a four-payment installation plan to pay it off over four months (at $125 a month). However, If you slowly tried to pay that balance on a credit card over the course of four months, with a 20% APR, you'd not only have to pay off the item over four months, but the additional tacked on interest as well.
Your payment schedule is more flexible
When it comes to paying off purchases put on a credit card, you typically don't have an option to create payment plans to slowly pay off that item over time, unless you also pay the interest (or are using a 0% APR credit card introductory offer that can often lasts12-24 months before the interest kicks in).
Each BNPL service offers payment plans that vary in the number of installments you'll pay to pay off that item.
For example, one of the most flexible BNPL services, Splitit, allows users to choose the number of installments that suits them and their budget. They also claim to never charge interest or late fees for payments. Some other BNPL services require a 25% payment upfront and three additional payments every few weeks.
You don't have to deal with extra fees
While credit cards do come with rewards and perks that BNPL services do not offer (like travel benefits or cash back), many come with fees that a user needs to keep in consideration when opening and using their card to make payments. Fees from a credit card might include an annual fee (typically anywhere from $49 to over $500 a year for premium cards), balance transfer fees, cash advance fees, foreign transaction fees, and late fees.
Many BNPL services keep their relationship with you simple. Most don't charge interest and some even let you push back scheduled payments without any penalty.
If you're willing to give up travel perks and cash back benefits so you don't have to worry about paying extra fees, then using a BNPL service is something you should consider.
PERSONAL FINANCE The best credit cards for average or fair credit of May 2022
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More: Personal Finance Insider Credit Cards BNPL Chase
Credit card essay | 2022-05-31T17:58:19Z | www.businessinsider.com | Buy Now, Pay Later (BNPL) Advantages That Credit Cards Don't Offer | https://www.businessinsider.com/personal-finance/buy-now-pay-later-advantages-benefits-over-credit-cards-2022-5 | https://www.businessinsider.com/personal-finance/buy-now-pay-later-advantages-benefits-over-credit-cards-2022-5 |
Do you need flood insurance in Texas?
How to get flood insurance in Texas
What is the average cost of flood insurance in Texas?
Flood insurance isn't required in Texas but it's a good idea to get coverage
In Texas, the average flood policy is approximately $700 a year.
RoschetzkyIstockPhoto/Getty Images
Flood insurance is not legally required in Texas.
Your mortgage lender may require you to have flood insurance if you live in a high-risk area.
Purchase flood insurance well before a natural disaster as there is a 30-day waiting period before your policy kicks in.
Flood insurance is a type of homeowners insurance that's sold separately from your homeowners insurance policy. It's meant to cover your property whenever flooding happens. "A flood is an excess of water on land that is normally dry, affecting two or more acres of land or two or more properties," according to the Federal Emergency Management Agency (FEMA).
Flood insurance isn't typically required unless the homeowner lives in a high-risk flood area. Nonetheless, FEMA recommends having flood insurance as a standard homeowners insurance policy will not provide any coverage for flood-related damages.
You're not legally required to purchase flood insurance in Texas. However, if you have a mortgage, your lender will most likely require it if you live in a high-risk flood zone, according to Nick Schrader, insurance agent at Texas General Insurance.
Even if you don't have a mortgage and flood insurance isn't legally required, it's still important to have flood insurance, especially if you live in a high-risk flood area. You should also consider flood insurance if you live in a low- to moderate-risk area as well. "Nearly every major city in Texas is vulnerable to Gulf Coast hurricanes or sits in 'Flash Flood Alley,' one of the most flash flood-prone areas in the nation," according to FEMA. Hurricane Harvey flooded more than 200,000 homes in 2017, and many of them were not considered 'high-risk' areas.
A flood of just one inch of water can cost a homeowner $25,000 in losses. Having flood insurance can prepare you for flood-related expenses.
Coverage related to flood damage requires separate flood coverage from your homeowners insurance policy. That said, purchasing flood insurance is slightly different from purchasing a home insurance policy. There are two ways to purchase flood insurance in Texas.
1. Enroll through the National Flood Insurance Program
The National Flood Insurance Program (NFIP), managed by the FEMA, sells flood insurance to homeowners, business owners, and renters.
According to FEMA, coverage limits for a family of one-to-four are $250,000 for dwelling coverage and $100,000 in personal property coverage. Flood insurance through the NFIP will also only cover the actual cash value (ACV) of your dwelling and personal property. The ACV is the cost to replace your items minus depreciation. There are currently no options to upgrade your coverage through the NFIP.
Flood insurance will only cover losses directly from flooding. So if a sewer backup causes flooding, it won't be covered by flood insurance. Additionally, flood insurance won't cover temporary housing and additional living arrangements you need to make while your home is undergoing repairs.
You can purchase flood insurance by calling your home insurance company or insurance agent. You can also search for a participating provider by using FEMA's provider locator tool or calling the NFIP at 1-877-336-2627. Keep in mind that there is a 30-day waiting period before your flood policy goes into effect.
Quick tip: Anyone can purchase flood insurance given that their community participates in the National Flood Insurance Program. You can find out if you live in an area that participates in the NFIP by checking the community status book.
2. Go through a private insurer
Some insurance companies offer flood insurance as a standalone policy or endorsement.
By purchasing flood insurance through a private insurer, you get higher coverage limits and policy flexibility that you might not get with a government-sponsored flood insurance policy. For instance, if your home is more expensive to replace, you might benefit from a policy that offers limits higher than $250,000. Additionally, the waiting period for a policy to start is much shorter with a private insurer — 14 days instead of 30 days.
However, there are some drawbacks to purchasing a policy with a private insurer. This option may not be available in all states, and if your home is in a high-risk area, the insurance provider may deny your application for coverage.
In Texas, the average flood policy is approximately $700 a year, according to the Texas Department of Insurance. But prices vary based on your area's risk level, the value of your home, and the value of the contents in your home. Homeowners who live in high-risk flood areas pay more than those in low-risk areas, according to Schrader.
Flood insurance is relatively expensive, costing more than half of the average homeowners insurance policy. However, flood insurance is crucial, especially if your home is in a high-risk region.
FEMA recommends four ways to lower your flood insurance cost:
Lower your flood risk: The best way to decrease your flood insurance premiums is by taking flood mitigation efforts. Examples of flood mitigation options include elevating your property, installing flood openings, and filing in your basements. To learn more about lowering your risk of flooding, check out FEMA's homeowners guide to retrofitting.
Choose a higher deductible: Paying a higher deductible will lower premiums. Increasing your deductible could potentially reduce your flood insurance cost by 40%. Of course, this may not be suitable for every policyholder, as you will need to cover more out of pocket to rebuild your home with a higher deductible.
Provide an elevation certificate: An elevation certificate (EC) will determine your home's flood risk and give you an idea of options to lower your home's risk. Having an EC is not required, but it may help you lower your insurance bill.
Check for community discounts: You may receive a discount if your community is enrolled in the NFIP community rating system (CRS). The CRS calculates a community's effort to mitigate the probability of flooding in that area.
Flooding can happen anywhere, but Texas is especially prone to water-related damages from flooding. The best time to take action is before a flood occurs. "If you are thinking about getting flood insurance, you have to be proactive because most flood insurance policies have a 30-day waiting period which will not be valid for a month after signing a contract," says Schrader.
PERSONAL FINANCE Why you should consider flood insurance, even if you don't live in a high-risk area
PERSONAL FINANCE Homeowners insurance covers flooded basements, with some exceptions
More: Personal Finance Insider PFI Reference Home Insurance Flood Insurance | 2022-05-31T17:58:25Z | www.businessinsider.com | Cost of Flood Texas Flood Insurance & How to Lower Your Costs | https://www.businessinsider.com/personal-finance/flood-insurance-texas | https://www.businessinsider.com/personal-finance/flood-insurance-texas |
Where US bank tech spending is headed as economic uncertainty looms
In spite of economic uncertainty, US banks' tech spending are expected to increase 10.6% year over year in 2022—faster than any previous year.
Investors are concerned about profitability and transparency over spending plans. Banks will continue to face demands to justify their spending level.
The trend: We expect US banks' investment in technology to increase 10.6% year over year in 2022, faster than in any previous year—despite the looming threat of a recession and financial market turmoil, which will compound internal and external pressure on banks to curtail their budgets.
Our report on US Bank Technology spending looks at why US bank technology spending will hit nearly $86 billion in 2022 and grow to almost $112 billion by 2026.
The risk of recession : Banks currently face an inverted yield curve, rising interest rates, high inflation, and uncertainties surrounding Russia's invasion of Ukraine. 28% of economists surveyed by the Wall Street Journal expect the US to be in recession some time in the next 12 months, a marked jump from 18% in January, and 13% a year ago.
In the past, when the economy constricted, firms responded with cost-cutting measures. But this may not be the best strategy now, when much of the banking industry is still in the middle of extensive digital banking transformation efforts.
Where are banks spending? There's an arms race going on among neobanks and incumbents for the best digital customer experience. A majority of consumers, or 54%, are using digital banking tools more now due to the pandemic, according to the 2021 digital banking attitudes study by JPMorgan's consumer banking arm. Meanwhile, 99% of Gen Z and 98% of millennials use a mobile banking app, according to a 2021 Chase study.
Back-office operations also have benefited from digital transformation. To accommodate more data-intensive strategies, banks are modernizing their core banking systems technology. US bank executives said 40.0% of their bank's FY 2021 technology budget went to core systems technology, per Bank Director's "2021 Technology Survey."
Industry executives we've spoken with for our reports have said that upgrades to core banking are essential to making open banking and banking as a service (BaaS) partnerships work, so we expect banks to continue allocating resources to this area.
Tech spend growth varies across the industry: Our forecast shows overall growth settling to moderate levels after hitting a five-year high in 2022.
The share of total US bank technology spending at the four largest banks —Wells Fargo, Bank of America (BoA), JPMorgan Chase, and Citibank—will decrease to roughly 38% of market-wide technology spend by 2024, down from about 46% in 2017.
Midsized banks like PNC, U.S. Bank, Truist, KeyBank, and Regions will see their share of total US bank technology spending increase to 12.6% in 2022.
The "other" category of banks—which includes regional banks, community banks, credit unions , and neobanks—will make up 48.5% of total US bank tech spending in 2024. Neobanks will play an outsized role in driving up the "other" category's share of tech spending among US banks.
How a downturn could affect tech spending: Our US tech spend report highlights the issue of mounting shareholder pressure—which is unlikely to let up in the face of an extended downturn or recession. Investors are concerned about profitability and transparency over spending plans. Banks will continue to face demands to justify their spending level.
But banks could also benefit from the bursting tech bubble.
An influx of talent: Research firm CB Insights reports fintech funding fell by 18% between Q4 2021 and Q1 2022. That's the biggest percentage drop since 2018. Fintechs that aren't getting the required outside funding to sustain an inflated cost of labor have started layoffs. Banks may be able to pursue strategic hiring among these released staff and position themselves for future growth. The economic downturn could also slow the rising compensation trend as firms reduce staff or start offering lower salaries.
Lower tech costs: Other organizations that scale back their tech investments affect the balance sheets of solution providers. Banks that are still spending may be able to lock-in lower technology costs with improved terms for hardware and software purchases.
Mergers and acquisitions: With fintech funding drying up, we've predicted in our The Era of Uncertainty report that unsustainable fintechs won't last. The companies left standing will be stronger, more sustainable, and priced at more attractive multiples. We expect banks to, as Warren Buffett once said, "be greedy when others are fearful," and seize the opportunity to buy high-profile fintechs.
What's next? Consumer banking is a cyclical industry affected by falling consumer confidence during economic downturns. Many fintechs haven't yet proven they can last through those ups and downs. But incumbent banks have. If a recession occurs, they'll benefit from the stricter capital requirements and annual stress testing they've undergone since the 2008 financial crisis. Banks that resist slashing their tech budgets and stay focused on enhancing their customer experience will be better able to minimize attrition—and could even attract disenchanted customers from their struggling competitors. | 2022-05-31T17:58:55Z | www.businessinsider.com | US Banks' Investment in Tech to Increase Faster Than Ever | https://www.businessinsider.com/us-bank-investment-in-tech-to-increase-faster-than-ever-2022-5 | https://www.businessinsider.com/us-bank-investment-in-tech-to-increase-faster-than-ever-2022-5 |
NBCUniversal news streamer NBC News Now built steady growth, execs say, with a non-partisan POV and ad-supported model. Here's how it outlasted the shuttered CNN+.
Kristen Welker and Chuck Todd
NBC News Now, NBC's news streaming service, has hired almost 200 journalists and is still hiring.
The 3-year-old streamer says it's steadily grown by offering a non-partisan take on the news.
The ad-supported platform emphasizes breaking news without the opinion of sibling MSNBC.
When the $300 million news app CNN+ shuttered a month after launch, it confirmed many industry onlookers' belief that a subscription model that charges viewers for streaming news is a non-starter.
While there were many reasons for the demise of CNN+, NBCUniversal's 24/7 service NBC News Now has been a bright spot among news streamers, offering a potential alternative model in its ad-supported, slow-build approach.
Enterting its fourth year, NBC News Now is profitable and adding viewers with growth month-on-month and year-on-year, said NBC News President Noah Oppenheim and SVP of Editorial Janelle Rodriguez.
News Now streams on NBCUniversal's Peacock and is widely available on platforms and devices including the Roku Channel and Tubi. NBC News declined to share audience numbers with Insider but said that in terms of hours streamed, its preferred metric, the first quarter of this year was its best on record with nearly 100 million hours streamed; March was its third strongest month on record, the company said, with more than 40 million hours watched.
And NBC News is backing the service with marketing dollars — including a flight of Times Square billboards and a Super Bowl spot this year to promote the unit. The streamer also hosts some 10 hours a day of live coverage, another sign of NBC News' investment.
NBC's free-to-watch news streamer launched in May 2019 to reach consumers who had given up cable. It started with few resources and an abundance of emerging talent like Alison Morris and Savannah Sellers, host of Snap's "Stay Tuned." It now employs almost 200 staffers and features some of NBC News' biggest names, including Chuck Todd and Tom Llamas.
While CNN+ relied on documentaries and lifestyle programming like "Anthony Bourdain: Parts Unknown" and Fox News has leaned into lifestyle on its Fox Nation streamer with shows like "What Made America Great," News Now has focused on traditional news, weather, and sports. And unlike MSNBC, which hired Biden Administration spokeswomen Jen Psaki and Symone Sanders, News Now brands itself as straight down the middle.
In a sign of that commitment, Todd's "Meet the Press Daily" will move from MSNBC to New Now June 6, joining the likes of Hallie Jackson, who appears on both MSNBC and News Now. Other evening anchors include Llamas and Joshua Johnson. When news breaks, watching News Now can feel like online version of cable news channel MSNBC; covering the Texas school shooting, network reporters including Llamas and Morgan Chesky provided news to both outlets.
"What is gratifying is the extent to which there is a significant and growing audience for traditional non-partisan objective, middle-of-the-road journalism," Oppenheim, who also oversees NBC's broadcast news shows, but not MSNBC, told Insider. "You don't have to cater to the polarized extremes and you don't have to inject opinion into your programming — you can just go out there and do great journalism."
CNN meanwhile is also shunning the partisan approach under new boss Chris Licht, who is developing the new streaming strategy for the news operation. CNN's new parent, Warner Bros. Discovery, shut down CNN+ after determining it wouldn't likely be a good return on investment and didn't match the company's broader streaming strategy, which is focused on one platform combining content from all the companies properties.
Asked what can be learned from the decision to close CNN+, Rodriguez, a former senior CNN executive, expressed sympathy for the people who were impacted but said, "The end result speaks for itself and I go back to not losing focus. What makes us unique is the news, not travel and not food."
Oppenheim and Rodriguez said their straight news approach has attracted younger viewers and advertisers.
With subscriber fatigue setting in for streaming services, media companies are increasingly looking to the ad-supported model for streaming. But there, too, lies uncertainty. It's unclear if advertising will be enough to support big streaming news operations. The ad market is heading for a softening, which could dampen advertisers' willingness to spend.
As NBC News bets on streaming's future with News Now, it also faces the question of whether grabbing viewers on streaming will cannibalize the mothership's bread-and-butter business of cable distribution fees.
David Clinch, a former CNN executive who is head of Global Partnerships at Mather Economics, which advises news companies on subscription management, wonders what the long-term future of streaming news is without the direct-to-consumer subscription relationship CNN tried to pioneer. He also questions whether news streamers are just swapping cable operator distributor relationships for ones with big tech companies, which take a cut of their revenue. (NBCUniversal is owned by cable operator Comcast.)
"News networks are doubling down on their ad-supported approach," Clinch said. "They still face the challenge that the product may not be distinct enough, differentiated enough to ensure that the audience will stay. And they still face the question of whether or not anybody will pay directly for those kinds of services if ad-supported models are challenged."
More: News apps NBC News CNN MSNBC | 2022-05-31T20:20:52Z | www.businessinsider.com | Streamer NBC News Now Outlasted CNN+ With Non-Partisan POV, Ad Support | https://www.businessinsider.com/nbc-news-now-non-partisan-ad-supported-outlasted-cnn-plus-2022-5 | https://www.businessinsider.com/nbc-news-now-non-partisan-ad-supported-outlasted-cnn-plus-2022-5 |
Home-purchase proptech Tomo cuts almost a third of its workforce as mortgage and venture-capital markets dim
Gino Ionta and fiancee Filomena Vite, looking over mortgage papers at Gino's parents home, with mortgage broker Bruce Davidson.
Jim Ross/Toronto Star via Getty Images
The purchase-mortgage firm Tomo is cutting almost a third of its staff and halting expansion plans.
The news comes amid a wave of layoffs in the mortgage industry as interest rates have soared.
Venture-capital markets have also cooled, with some VCs advising startups to lower costs.
Tomo, a startup focused on providing mortgages to people buying homes, announced on Tuesday that it is laying off 44 people, or almost a third of its roughly 150 employees.
The news comes amid a wave of layoffs at traditional lenders like Wells Fargo and more tech-enabled venture-backed startups like Better as interest rates have risen and volumes have slowed. Last week the drumbeat of job cuts continued at the lending arm of the brokerage Keller Williams, a company that also counts mostly on its purchase-mortgage business.
Tomo burst onto the scene last year with a pitch that it would work only with the more stable but more work-intensive purchase-mortgage market instead of the cyclical refinance market, following a $70 million seed infusion that was likely the largest-ever fundraise for a proptech. The company announced a $40 million Series A this year, with investors buying into the view that home purchases would remain strong, CEO Greg Schwartz, a former chief revenue and chief business officer at Zillow, told Insider.
Market conditions have since deteriorated — largely because of a 2-percentage-point increase in the average 30-year mortgage rate this year — making it clear that even companies tying their success to a firm housing market will face challenges.
Tomo on Tuesday said it was making significant staff cuts and rethinking plans to expand into additional real-estate markets.
"The recent shift in the mortgage and venture capital markets due to the rapid increase in interest rates has impacted Tomo's business plans, and led us to make changes to our near-term strategy," Schwartz wrote in a statement provided to Insider. "As part of these measures, we have reduced the size of Tomo's workforce by almost a third. This was a last resort, but ultimately something we felt was necessary to maintain a strong foundation."
The Mortgage Bankers Association predicted this month that purchase-mortgage originations would increase in 2022 from last year. But those projections have been pared back from the start of this year, suggesting that the shift has surprised even the most seasoned mortgage professionals. Refinancing originations are projected to plunge to well less than half of their 2021 volume.
Meanwhile, one of the most voracious buyers of homes has cooled its activity. Redfin's iBuying unit has turned cautious on the US residential market because of growing "macro uncertainty," its chief financial officer, Chris Nielsen, said during the Jefferies Virtual Internet Summit on Tuesday, according to Seeking Alpha.
While there is room for purchase mortgages to grow, the softening housing market is being met by a historic pullback in the venture-capital market after a jubilant boom during the pandemic. There are increasing signs that the venture-capital industry is slowing down, leading some investors advising startups to cut back on their commitments.
More: Mortgage Layoffs Venture Capital Zillow | 2022-05-31T20:21:04Z | www.businessinsider.com | Purchase-Mortgage Company Tomo Lays Off Staff As Housing Market Cools | https://www.businessinsider.com/purchase-mortgage-company-tomo-lays-off-staff-housing-market-slows-2022-5 | https://www.businessinsider.com/purchase-mortgage-company-tomo-lays-off-staff-housing-market-slows-2022-5 |
Jessica Rinaldi/Reuters
Movie theaters are still making up for losses after the pandemic paused movie-going for two years.
This summer's blockbusters, like "Jurassic World: Dominion," are expected to bring back crowds.
There's just one potential problem: The popcorn supply, or lack thereof.
When millions of Americans flock to movie theaters to see "Jurassic World: Dominion" or one of several other blockbuster films expected to draw big crowds this summer, they may find disappointment at the concession stand.
Those pillowy golden puffs of classic movie-theater popcorn, covered in fake butter and all-too-real salt, could be in short supply.
"Popcorn supply will be tight," Preferred Popcorn chief executive Norm Krug told the Wall Street Journal.
And it's not just popcorn that might prove hard to find: Those grease-proof paper bags are already in short supply.
Some chains are turning to metal or plastic containers that are sold at higher prices to consumers as memorabilia, but which cost more upfront, Goldenlink North America sales director Neely Schiefelbein told the Wall Street Journal.
There's a good reason for that switch beyond supply shortages: "Higher end, collectible vessels drive more volume," Schiefelbein told Insider an email on Tuesday.
Goldenlink specializes in "film-related concessions and promotions" and is a major supplier of concession-stand goods like popcorn bags.
"Some [theaters] have used collectible vessels for a long time and see good sales upside," she said. "Some are being forced to ... as they are what is more readily available at this time. Others are choosing to pay more for the higher end vessels because they see an opportunity to try a new marketing vessel."
As for the popcorn itself, the bigger problem, Krug told the Journal, is convincing farmers to create enough corn rather than switching to or sticking with a different, potentially more lucrative crop like soybeans.
Those supply issues are compounded by an ongoing national trucker shortage, which continues to cause shipment delays across US consumer-goods supply chains.
Notably, this potential popcorn problem is coming at a time when more Americans than ever are finally feeling confident enough to return to the theater after over two years of restraint. A Morning Consult survey of 2,200 US adults showed that more than half are comfortable with going to the movies.
The recent success of the long-awaited "Top Gun" sequel serves as yet another indicator that more Americans are ready to head back to the cinema. Whether there will be enough popcorn for everyone remains to be seen.
More: Movies Popcorn movie theaters theaters | 2022-05-31T20:55:59Z | www.businessinsider.com | Popcorn Supply 'Will Be Tight' at Theaters This Summer, Producers Warn | https://www.businessinsider.com/movie-theater-popcorn-shortage-prediction-2022-5 | https://www.businessinsider.com/movie-theater-popcorn-shortage-prediction-2022-5 |
In leaked survey, Nike tech workers sound the alarm on burnout, 'inept' leadership, and a 'never-ending reorg' as Nike struggles to hold on to tech talent
The Nike logo at a San Francisco store
SOPA Images / Contributor
Nearly 300 employees in Nike's global-technology division responded to a recent employee survey.
Workers scored their satisfaction lower than other colleagues in 48 of 51 categories surveyed.
Company leaders have previously said they're working to address employee complaints.
An annual survey of Nike's technology employees shows widespread dissatisfaction, according to a copy of the survey results viewed by Insider.
The results come as Nike tries to establish itself as a major tech leader, with ambitious plans for everything from direct-to-consumer sales to the metaverse, and as the company tries to hire and hold onto tech talent.
Insiders fear that attrition, which is already high among Nike's tech talent, could accelerate this week. The company's annual bonus plan is tied to remaining employed through May 31.
The technology employees who responded to the survey rated their job satisfaction below employees in other parts of the company in 48 of 51 categories surveyed. In more than half of the categories, technology employees rated their job satisfaction more than 10 percentage points below workers in other parts of the company.
Nearly 300 employees in Nike's global-technology arm responded to the survey. Nike has more than 73,300 total employees, according to its last annual report, and approximately 2,400 technology employees. The survey compares the responses of Nike's global-technology employees to the entire company and to Nike's corporate workforce.
Insider also viewed 36 pages of comments written by technology employees who responded to the employee survey.
"I feel like the only reason I'm successful in the things I am is because I work extremely long hours at the cost of family and my health. The main reason I stay is I love what I do, I'm really good at my job, and I respect my manager," wrote one survey respondent. "But it doesn't seem like any of our senior leaders are aware they are burning out their best resources and forcing them to look elsewhere. The ones that haven't left yet is because we haven't had time to return calls from recruiters or really evaluate options."
The worst marks came in response to questions about "inspiration" and "change enablers." Thirty-three percent of global-technology respondents answered negatively to a question about whether they have confidence in senior leadership. Only 39% responded positively to the question, putting global technology 31% below the response rate for the entire company and 21% below global technology a year ago.
Nike did not respond to multiple requests for comment for this story, but in late April, in an email viewed by Insider, CEO John Donahoe acknowledged ongoing "challenges with fatigue and productivity," but noted company-wide employee survey results show "clear signs of progress" made on the company's two most important pillars: executing the Consumer Direct Acceleration plan and employee well-being.
In the email, Donahoe noted that 52% of employees said there's effective communication between teams, up 7 percentage points from a year ago. He also noted 70% of employees indicated they felt valued as employees, up 4 percentage points.
Nike's new building is named after LeBron James.
Rendering courtesy of Nike
'The never-ending reorg'
Nike is undergoing the biggest technological transformation in its history as part of its Consumer Direct Acceleration business plan, which prioritizes direct and digital sales. It's building new technology hubs in Atlanta and San Francisco and staffing up technology offices in Poland and India while navigating tricky terrain like new digital-privacy requirements in China and trying to establish a leadership position in the metaverse.
Current and former technology workers told Insider the reorg was intended to help build a digital foundation, but it left some workers without job descriptions or clear duties.
Some expressed positive feedback: "I am feeling proud to work at Nike and it's my dream," one respondent wrote.
But others offered detailed criticism, with several zeroing in on the ongoing impact from a 2020 reorganization, or "the never-ending reorg" as one respondent put it, as a root problem.
"I have been through 2 reorgs, both of which were tumultuous and lasted for many months, only to arrive in a situation that was not more productive than before," a respondent wrote. "In those 3 years, I have had every single leader in my chain of command change, from manager all the way to CEO, and some positions have had multiple turnovers ... I couldn't tell you how my work aligns with Nike's missions, other than 'keeping the lights on.' My leaders couldn't tell you either, because none of them know what my team does."
Another respondent wrote: "I love working at Nike and I love the people I work with. That being said senior leadership above me has changed so frequently in the last year that it does not inspire confidence in me about the direction of the organization. I've had three VPs and three Senior Directors I've reported to at various times in the last year which has been frustrating."
The company's stubborn return-to-office policy also drew complaints. Nike requires most corporate workers to be in Nike headquarters in Beaverton, Oregon, three days a week, which is generally less flexibility than technology workers enjoy at comparable companies.
"I believe Nike needs to fully embrace the Work From Home culture," one respondent wrote. Not doing so "puts us at a competitive disadvantage," the respondent added. "Having to be in the office will mean having to find a place to have Zoom calls a large part of the day as others are remote."
One survey respondent tied losing talent directly to Nike's return-to-office policies.
"Attrition is a big problem right now and senior leadership seems to be ignoring what people are saying as reasons for why they're leaving or thinking of leaving," one respondent wrote. "A lot of Tech workers DO NOT want to go back to the office or don't want to move to Beaverton."
The respondent continued: "If they don't change course soon there's not going to be anyone left to run the critical services this company relies on to do business. If Nike wants to maintain and attract top tech talent, they need to listen to what people want and actually give it to them, otherwise this whole company is going to fail."
Nike CEO John Donahoe.
Brian Ach/Getty Images for TechCrunc
'It's clear that our strategy is working'
John Donahoe, who became CEO in January 2020, has led a sweeping reorganization designed to make the company more nimble and digital-first.
"It's clear that our strategy is working, with business results that reflect our deep connection to consumers around the world," he said on the company's most recent quarterly-earnings call.
The plan's been embraced by Wall Street, if not by Nike's tech workers.
"Working at Nike for the last 12 years has been a lot of fun," one respondent wrote. "Working in Nike technology for the last 3 years has been terrible."
Another respondent wrote: "The last 2 years has shown me the senior leaders at Nike are inept. The immediate team is great / my direct managers up to senior director. Beyond that, I have no confidence."
In March, Insider reported on leaked audio from an all-hands technology meeting at which Ratnakar Lavu, the company's global chief digital information officer, acknowledged employee criticisms and talent attrition, but asked for patience given the scale of Nike's ongoing digital reorganization.
"It is hard to make this big of a transformation," Lavu said. "But you have my commitment. My personal commitment is we are going to slowly remove all the roadblocks so that we can be really successful. And I mean it, because I think it's a collective success."
More: Retail Sportswear Nike | 2022-05-31T20:56:05Z | www.businessinsider.com | Nike Survey Shows Burnout, Dissatisfaction in Company's Tech Workers | https://www.businessinsider.com/nike-employee-survey-shows-dissatisfaction-global-technology-2022-5 | https://www.businessinsider.com/nike-employee-survey-shows-dissatisfaction-global-technology-2022-5 |
Rep. Pat Fallon, a Republican from Texas, is one of 63 members of Congress found to have violated the disclosure provisions of the Stop Trading on Congressional Knowledge Act of 2012.
Reps. Pat Fallon and John Rutherford were late filing federally mandated stock-trade disclosures.
Rep. Chris Jacobs, a Republican from New York, is also facing scrutiny.
At least 63 members of Congress have violated the STOCK Act.
The US House's independent, nonpartisan Office of Congressional Ethics has determined that there is "substantial reason to believe" Republican Reps. Pat Fallon of Texas and John Rutherford of Florida violated federal law and House rules by improperly disclosing their personal stock trades.
All five members of the Office of Congressional Ethics' board voted to recommend that the US House Committee on Ethics investigate Fallon and Rutherford for failing to comply with the Stop Trading on Congressional Knowledge Act, or STOCK Act, by blowing through federal deadlines to report their stock trades.
While Office of Congressional Ethics investigators lack the authority to enforce federal ethics laws, they referred both cases to the lawmaker-led House Committee on Ethics for further review and potential penalties that range from fines and reprimands to formal censures and, in extreme cases, expulsion.
As Insider previously reported, Rutherford failed to properly disclose five individual stock transactions worth as much as $75,000 that he made in late 2020. These triggered the Office of Congressional Ethics investigation, which found that from early 2017 until December 2021, Rutherford had improperly reported 157 financial transactions valued between $652,000 and $3.5 million.
Fallon was months late disclosing dozens of stock trades during early- and mid-2021. Together, they were worth as much as $17.53 million. The Office of Congressional Ethics began reviewing his case in October 2021 and Fallon was late again disclosing stock trades in December 2021.
Members of Congress generally have 30 days to report their stock trades, but up to 45 days if they learned about a trade a few days later — such as cases where brokers are making trades for lawmakers without checking with them beforehand. As part of its reports on Fallon and Rutherford, the Office of Congressional Ethics posted a slideshow of the ethics training it presents to new members about the deadlines for publicly disclosing stock trades.
The STOCK Act's reporting requirements are intended to help the public assess whether lawmakers could personally profit from policies or spending bills they vote on and write. It becomes harder to evaluate such ties when lawmakers file their paperwork late.
Rep. John Rutherford, a Republican from Florida.
'Refused to cooperate'
The Office of Congressional Ethics, which Congress itself created in 2008, wrote it its report that Fallon "refused to cooperate" with the review by producing a "limited set of documents" and by declining to be interviewed.
"This non-cooperation undermined the OCE's ability to verify Rep. Fallon's overall STOCK Act compliance and to fully assess the reasons for his late filings," investigators wrote.
It went on to say that it couldn't assess whether he received adequate training on the financial documents but said he "should have known" about the obligations no later than February 2021 yet continued to blow past deadlines after his broker made other trades.
Fallon denies that he was uncooperative. In a in a letter to the committee chairs, Reps. Ted Deutsch, a Democrat of Florida, and Jackie Walorski, a Republican of Indiana, he also asks them to dismiss his case. Fallon, who is a freshman member of Congress and made his fortune in the apparel business, said in the letter that he "did not realize" he had to disclose stock trades by his broker, of which he said he wasn't aware.
"This is a common misconception, which, coupled with the overwhelming amount of information new members and their staff receive at the beginning of their terms, often results in inadvertent" late disclosures, he wrote through his attorney, Kate Belinski. Fallon said he thought he had to disclose the information annually just as he had to do when he was serving in the Texas legislature.
The letter goes on to say that Fallon paid a late penalty and hired a team to make sure he filed his reports correctly moving forward. Pictures of the checks included in the Office of Congressional Ethics' report showed he paid $600 in total in fines.
In the letter, Fallon called the Office of Congressional Ethics investigation an "unnecessary investigation at taxpayer expense and administrative burden."
"Right now, the congressman won't be commenting any further than his response that was issued with the report," Fallon's spokesman, Austin Higginbotham, told Insider.
In his letter to the Ethics Committee, Rutherford — who likewise wrote to the committee through Belinski — also asked lawmakers to drop the matter.
Belinski said Rutherford's late filing "comes down to a simple misunderstanding of the requirements and inadvertent human error."
Office of Congressional Ethics investigators said in their report that Rutherford and his chief of staff, Jenifer Bradley, "refused to cooperate" with the review and that Rutherford didn't agree to an interview. The Office of Congressional Ethics published a copy of a receipt showing he paid $800 in late penalties.
Investigators also reported a third case, for GOP Rep. Chris Jacobs of New York, to the House Committee on Ethics, but didn't agree in that case whether the congressman had likely violated the STOCK Act. Jacobs was months late filing various transactions made throughout early- to mid-2021, Forbes first reported, and the board tied 3-3 over whether to recommend that a violation occurred.
Jacobs, in his letter to the House Committee on Ethics, said that one of the trades was actually a corporate spinoff, which is supposed to be reported, but didn't explain the other late filings.
Numerous STOCK Act violations
The GOP lawmakers aren't alone in blowing past STOCK Act deadlines.
Reporting by Insider and other news outlets has found that in the last two years at least 63 members of Congress — including prominent Democrats such as Sens. Dianne Feinstein of California and Rep. Katherine Clark of Massachusetts — have violated the STOCK Act. Last year, the Office of Congressional Ethics found reason to believe Rep. Tom Malinowski of New Jersey violated the STOCK Act and referred him to the House Committee on Ethics.
The Office of Congressional Ethics cited Insider's on Fallon in its investigation of Fallon, calling lawmakers' STOCK Act violations "pervasive." Some STOCK Act violations are because of members of Congress' negligence, while others show a need for better training, the report said.
Lawmakers from both parties have introduced several bills to limit or ban lawmakers' trading of individual stocks or otherwise increase financial transaction transparency and strengthen fines for violating existing law.
But after a congressional hearing in April on the matter, progress has slowed as lawmakers attempt to craft a single bill that could pass on the floors of both the House and Senate.
Some members have suggested that improving ethics training would be adequate in addressing the late disclosure issues.
But others want to go further.
Last week, a coalition of 16 reform advocates, government watchdog groups, and political organizations urged President Joe Biden in a letter to "publicly and actively" push Congress to ban its members from trading individual stocks.
More: Conflicted Congress Pat Fallon Stock Act Chris Jacobs
Office of Congressional Ethics | 2022-05-31T22:27:10Z | www.businessinsider.com | Investigators: 'Substantial Reason to Believe' Two Congressmen Violated Federal Stock Law | https://www.businessinsider.com/congress-stocks-pat-fallon-john-rutherford-chris-jacobs-2022-5 | https://www.businessinsider.com/congress-stocks-pat-fallon-john-rutherford-chris-jacobs-2022-5 |
PhotoDirector
Color Splash
Visage Lab
The 7 best free photo editing apps for your phone
There are a variety of free photo editing apps you can install on your iPhone or Android.
Apps like Color Splash and Visage Lab are good for single effects, while Photoshop Express and Pixlr are general purpose apps.
Here are the seven best free photo editing apps for iPhone and Android.
We take more pictures today than ever thanks to the camera app built into every iPhone and Android phone. There's no longer a need to lug around a separate camera, so we document our lives on our phones. And that means there's a huge need to clean up many of those photos. You can use the rudimentary photo editing tools that come with your phone, but you can do much better with a third-party photo editor.
Whether you are posting a photo to Instagram, uploading a picture to a digital photo frame or just Airdropping images to a friend, you can do wonders with the right photo editor. Here are seven of the best free photo editing apps for iPhone and Android that can help you up your photo game.
Pixlr offers a solid assortment of photo editing tools for free, including crop, rotate, color and brightness adjustments, along with special effects like selective blur and spot color. There are also a variety of page templates and collages where you can drop and arrange photos. All the features are available for free, but you can pay to remove the in-app ads. It's available for both iPhone and Android.
Pixlr’s main toolbox includes all the major options you’d expect to find in a photo editor.
PhotoDirector is a full-featured photo editor for iPhone and Android, packed with tools like crop and rotate, perspective adjustment, and exposure control — along with special effects like object removal, sky replacement, light rays, and more. The interface is a little crowded and can be overwhelming for new users, though, and the app tries hard to upsell you to the premium version. Some of the more advanced features, for example, can only be applied once per day while using the free version.
Some photo editing apps are one-trick ponies, but they do that one thing so well they're worth keeping. Color Splash, available for both iPhone and Android, converts your photo to black and white and then lets you add spot color back by using your finger. It's easy to do and the effect looks great. Unfortunately, each photo gets a relatively small watermark unless you upgrade to the paid version.
Color Splash does just one thing: It converts your image to black and white and lets you selectively restore spot color wherever you like.
If the main reason you want to edit photos is to retouch faces, why not get an app that focuses exclusively on that? Visage Lab is narrowly focused on letting you do touch-up work, with tools to tweak lighting, remove wrinkles, blur or swap out backgrounds, and even do full makeovers with hair color changes. The app is free for both iPhone and Android, but there are in-app ads and many effects are restricted to the premium paid version.
Photoshop Express is the more consumer-friendly iteration of the world's most popular photo editing software, and Express for iPhone and Android has nearly every feature imaginable — this might be the only app you need. It has a dozen filters for basic photo effects, one-touch exposure and brightness controls, a healing brush to remove blemishes, crop and rotate, text overlays, and more. You can also create collages from multiple photos.
Like the desktop version, Photoshop Express on your phone offers a simplified way to enhance your photos.
This is the choice for casual photographers who are looking for a photo editor that keeps things uncomplicated. The interface is perhaps the easiest among all photo editing apps — just select the tool and then choose the intensity or otherwise customize your selection from a few choices. There are no sliders, dials or other widgets to slow you down. And there's no shortage of features; tools range from white balance to perspective control to HDR enhancement to lens blur. Best of all, because this is a Google product, you're not harassed with in-app ads or upgrade notices. Snapseed is available for iPhone and Android.
Snapseed has an incredibly simple interface with a generous set of free editing tools.
One criticism you can level at Adobe is that there are simply too many photo editing apps to choose from, and it's not always clear why you should choose one Adobe app over another. That said, Adobe Lightroom is a smart choice if you are a dedicated photographer and interested in wringing as much editing potential as possible from your iPhone or Android device. Even on your phone, Lightroom has a deep bench of features, including the ability to mask your photo and apply effects selectively to just part of the image. You have the usual array of exposure controls, texture and clarity settings, a healing brush, lens adjustments, and more. If you can do it in Lightroom on the desktop, you can probably find the feature here on your phone.
TECH The 7 best apps you can use to get a free second phone number
More: Photo editing apps Roundup Software & Apps Tech How To | 2022-05-31T22:27:16Z | www.businessinsider.com | The 7 Best Free Photo Editing Apps for Your Phone | https://www.businessinsider.com/free-photo-editing-app | https://www.businessinsider.com/free-photo-editing-app |
Former White House counselor Kellyanne Conway is out with a new book, "Here's the Deal."
Kellyanne Conway declined to comment on if her marriage 'survived' the Trump administration.
In her new memoir, Conway described the strain of working for Trump and living with a Trump critic.
In an interview, she said that she and her husband are not wearing their wedding rings.
Kellyanne Conway said that she and her husband George Conway, a vocal Trump critic, are not wearing their wedding rings.
The senior advisor to former President Donald Trump shared the status of her marriage in a CBS Mornings interview with Gayle King and Jeff Glor Tuesday, during which she discussed her new memoir "Here's the Deal."
During the interview, King read to Conway the passage "the man you thought had your back ended up stabbing you in the back.
"Isn't that unfortunate," Conway said. "I think women can relate to that, but this was next level. And I'll say this. George Conway's vows are not to Donald Trump. He doesn't owe loyalty or fealty to a political party or a certain president. That was to me and to honor and cherish."
In her book, the former Trump advisor acknowledged the strain her husband's brazen disapproval of her boss placed on her marriage.
Her husband, an attorney, made a habit of using his social media platforms to criticize Trump, who he introduced to Kellyanne Conway prior to his presidency. She'd even gone on to write that George was "cheating by tweeting."
"George changed his mind about President Trump," she said in the interview. "He's welcome to do that, but it was very unlike George to be so publicly bombastic."
King then asked: "Did your marriage survive?" Kellyanne Conway stumbled around the question, mentioning that she spent the Memorial Day holiday with her kids and George Conway.
"Divorced people ― battling parents still hang out with each other," King said.
Glor added to the discourse by mentioning that Kellyanne Conway wasn't currently wearing her wedding ring.
"He doesn't either," she said.
More: Kellyanne Conway George Conway Marriage Trump | 2022-05-31T22:27:40Z | www.businessinsider.com | Kellyanne Conway Says She and Her Husband Don't Wear Wedding Rings | https://www.businessinsider.com/kellyanne-conway-george-trump-marriage-no-longer-wear-wedding-rings-2022-5 | https://www.businessinsider.com/kellyanne-conway-george-trump-marriage-no-longer-wear-wedding-rings-2022-5 |
How financial planner fees work
Average cost of an in-person financial planner
Average cost of a robo-advisor
Average cost of online financial planning
Financial planners can charge 0.59% to 1.18% of the value of your assets or work on a fee-for-service basis
The average cost of a financial planner depends on their fee structure.
According to AdvisoryHQ, the average cost of a financial planner is 0.59% to 1.18% of your assets.
Not every planner charges by assets under management, though — they might charge fees or commission.
A robo-advisor or online planning tool will cost less than a traditional, in-person planner.
A financial planner is an expert, usually a CERTIFIED FINANCIAL PLANNER® (CFP), who helps you create a financial plan to reach various goals.
"They'll really try to get to know the client they're working with, try to get to know their goals, both short- and long-term, as well as understanding their risk tolerance," says Maggie Gomez, CFP® professional and owner of Money with Maggie. "Then they will help to get their money invested in a way that gets them to their goals in the most efficient way."
While you may think of a financial planner as someone who helps with your investments, their responsibilities go beyond looking at the stock market.
"Think about, do I need help creating a budget? Do I need a plan for my student loan debt? Am I trying to buy my first house?" says Lauryn Williams, CFP® professional and founder of Worth Winning Financial Planning. A financial planner can help you create a strategy to reach those goals.
The cost of a financial planner will depend on their services — for example, maybe you want a one-time meeting or ongoing financial planning sessions — and their fee structure.
Financial planner vs. financial advisor
You may hear the terms "financial planner" and "financial advisor" used interchangeably, but there are key differences. Gomez explains that an advisor typically focuses just on managing your investments and building wealth. A planner looks at your overall financial plan, including making investments, debt payoff, and reaching goals like homeownership.
Not every financial planner has the same method for charging clients. Here are the types of fee structures you might encounter:
Assets under management (AUM): The planner charges a percentage of the assets they manage. For example, if they charge 0.25% annually and you have $100,000 in your IRAs, you'd pay $250 for the year. If the planner has a tiered AUM structure, they'll charge you a lower percentage the higher your asset value is.
Fee-only: A financial planner might charge a set fee by the hour, month, or project. For instance, you may pay $500 per hour for a planner to work with you once or twice. A planner could charge $1,500 for a project, regardless of how long it takes them. Another could charge $2,000 to $4,000 annually to work with you on an ongoing basis, depending on your needs.
Commissions: The planner earns a commission based on the investing products you buy, including mutual funds and annuities. They also might earn a commission if you buy insurance policies through them. They could charge a stock commission, which is a fee each time they trade a stock for you. (Other planners might show you how to trade stocks so you don't have to pay them each time.)
Fee-based: The planner mostly earns money through fees, but a small part is also earned through commissions.
How do you choose which fee structure is best for you? Gomez says that if you're busy and just want some guidance to get started, an hourly rate might be best. If you want an ongoing relationship with a planner, an annual fee or percentage of AUM could be a good fit.
It's also important to consider whether you're comfortable with a commission structure.
"Commissions in and of themselves are not a bad thing — realtors make money that way, and that's a common profession that people are okay with," says Williams. "You just need to be mindful that if you're working with someone who charges commissions, there could be an innate conflict of interest. So it may be that they don't pick what's in your best interest because they're feeling motivated to sell in general, as opposed to doing what's best for you as the client."
The cost of a financial planner doesn't just depend on their fee structure. It also depends on which type of planner you use.
A traditional, in-person financial planner usually manages your investments, but they also work on a financial plan with you that includes retirement planning, debt payoff, and insurance policies. You may meet with them face-to-face, but many will also work with you by phone or video conference.
According to 2021 data from AdvisoryHQ, the average cost of a financial planner who charges based on AUM is 0.59% to 1.18%. AdvisoryHQ collected data from CFPs, wealth advisors, and asset management firms. Here are the average percentages charged annually, based on assets under management:
Investment amounts Average advisor fees (%) Annual advisor averages
$50,000 1.18% $590
$100,000 1.12% $1,120
$1 million 1.02% $10,200
$1.5 million 0.94% $14,100
$10 million 0.69% $69,000
$20 million 0.65% $130,000
Source: AdvisoryHQ
A robo-advisor is an automated system that helps you create an investment portfolio. As the name suggests, it's more of an advisor than a planner, but it can be useful for certain people.
"A robo-advisor is a great way for someone just starting out, who doesn't have a huge budget, who wants to keep costs low, and really likes the set-it-and-forget-it method," says Gomez.
To find the average cost of a robo-advisor, we looked at 23 robo-advisors. Then we split the costs into two categories: those that charged a percentage of your assets, and those that charged a flat fee. For robo-advisors with more than one payment option, we included each fee option as a separate data point.
According to our research, the average cost for a robo-advisor that charges by AUM is 0.40% annually. (Keep in mind, we included 111 data points, and 85 were from just one company that had multiple fee options.)
Of robo-advisors that charged flat fees, the average cost was $4.09 monthly, or $49.08 annually.
Note: While a robo-advisor can be a good tool for assessing your risk tolerance and investing, you may want an in-person planner if you're looking to create a complete financial plan.
Online financial planning is similar to robo-advising, but a bit more robust. You have some access to live experts and may be able to talk through live chat or video chat.
The difference may seem confusing, so here's an example: Fidelity Go is an automated platform that charges up to 0.35% per year. Fidelity Personalized Planning & Advice is similar but has added personalized advice from an expert, and it charges 0.50% annually. (And you always have the option to go the traditional, in-person route with Fidelity Wealth Services.)
To look at the average cost of online financial planning, we looked at the same list of 23 robo-advisors. We narrowed the list down to 11 companies that offer online financial planning.
The average cost charged by companies that use AUM is 0.53% annually. The average cost for those that charge flat fees is $12.64 per month, or $151.66 per year. This data does not include Schwab Intelligent Portfolios Premium's one-time fee of $300 when you sign up.
Not everyone needs a financial planner
A general rule of thumb is that the more complicated your situation is and the more assets you have, the more likely you are to benefit from a financial planner.
For example, you might want one if you want to invest and conduct a debt payoff strategy. But if you are just opening your first savings account and working on building your credit, you might not need professional financial help yet.
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PERSONAL FINANCE 7 reasons why you should consider meeting with a financial planner
PERSONAL FINANCE Understanding what financial advisors do and how they help clients better manage their money
PERSONAL FINANCE A CFP is an advisor armed with extensive education and ethical standards to help you manage your money
PERSONAL FINANCE What to know about fee-only financial advising
More: Financial Planner Robo advisor Robo Advisor Fees Financial planner vs financial adviser | 2022-05-31T22:27:46Z | www.businessinsider.com | How Much Does a Financial Planner Cost? Fee Structures, Services | https://www.businessinsider.com/personal-finance/financial-planner-cost | https://www.businessinsider.com/personal-finance/financial-planner-cost |
What is the replacement cost of a home?
How to estimate the replacement cost of a home
How to ensure you have enough replacement cost coverage
How to estimate your home's replacement cost and make sure you aren't underinsured
Your home's total square footage and local construction costs are key factors in estimating its replacement cost.
Replacement cost is the amount your insurer will pay to replace your home if it's destroyed by a covered peril.
Avoid reducing the amount of coverage you have in exchange for lower premiums.
Purchasing an inflation guard endorsement will adjust for rising inflation and fill gaps in your coverage.
Replacement cost is the amount it would take to rebuild your home if it's destroyed by a fire or other event covered by your homeowners insurance policy. It is essential to know this to ensure you are 100% covered.
Several factors can affect your home's replacement cost, including inflation. Keeping on top of these costs and making sure you always have enough coverage to pay them can save you thousands of dollars in the event of a catastrophe.
Replacement cost coverage "pays for the cost of replacing the home (or personal property) without deduction for deprecation," according to the Insurance Information Institute (III). It is also the maximum amount your insurer will pay for structural damage to your home, says Ian Gutterman, CEO of Informed Insurance — an independent insurance agency.
On the other hand, actual cash value is the amount it would take to replace your dwelling or your home's content, minus depreciation. For instance, if your kitchen is ruined by a fire, with replacement cost coverage, your insurer would pay to replace the belongings in it and rebuild the destroyed portion of your home with materials of similar value.
The average annual homeowners insurance premium in the US was $1,272 in 2019, according to the most recent data from the III. However, the cost of homeowners insurance will vary widely based on various factors, including your home's value.
The table below illustrates the average homeowners insurance cost by home value in the United States, according to the most recent Homeowners Insurance Report by the National Association of Insurance Commissioners.
Estimated Home Value
Average annual premiums for an HO-3 Policy
$49,999 and under
$500,000 and above
Source: NAIC
Your homeowners insurance dwelling coverage will reimburse you for replacing or repairing home-related losses. Your policy's personal property coverage will replace or repair damage to the contents of your home, like furniture or electronics.
It is quite challenging to estimate the cost of your home's replacement cost value, as this estimate is not your home's market value, says Gutterman. Two significant factors that will affect your home's replacement cost are its total square footage and local construction costs.
Here is how to ensure you get the most accurate replacement cost estimate:
1. Determine what parts of your home need to be covered
Your dwelling replacement cost will include your primary home and other structures on your property, like garages or sheds. Older homes may have unique features such as ceiling moldings or carvings that can be fairly expensive to replace. If that's the case, consider purchasing a modified replacement policy to replace features of an old home with modern standard building materials.
2. Get an estimate
There are multiple ways you can get an estimate on your home's replacement cost. The most popular is to get an appraisal from your insurer. Your provider will use the information on your property obtained by third-party companies and the information you provided on your application to come up with an estimate. However, estimates can vary widely from one insurer to the next, according to Gutterman.
Many online independent insurance agencies also offer replacement cost estimates for free or at a low cost through their replacement cost calculators. Alternatively, you can hire a third-party contractor or an appraiser to offer an estimate of your home's value. This method tends to be the most expensive but the most accurate way to determine your replacement cost.
Finally, you can estimate your home's replacement cost yourself by multiplying your local rebuilding cost per square foot by the square footage of your home. Consider using this method as a point of comparison with your insurer's estimate.
Remember that the figures you get are only estimates and may not be entirely accurate. Your home's actual value can vary based on many factors, including inflation.
3. Take inventory of your personal belongings
Create an inventory that details all the contents of your home, from your furniture to your clothing. This will make filing a claim much easier and allow you to see how much coverage you'll need to replace those items if damaged.
Your personal property is typically insured with actual cash value coverage. However, you can purchase replacement cost coverage for your belongings at an extra charge.
High-valued items like expensive jewelry and electronics are targets of theft and are often susceptible to damage by other perils. Protect your investments by purchasing a special personal property floater for belongings that need significant coverage.
Multiple factors can affect your home's replacement cost, like its style, the type of exterior wall construction, and the number of rooms you have, according to the III. Inflation also significantly affects how much coverage you'll need for your home. As construction and labor costs increase, your home's value may not be the same as last year.
Here are three ways to ensure you have enough replacement cost coverage for your home:
Purchase an inflation guard: An inflation guard will adjust your coverage to account for inflation and may cover up to 125% of your home's replacement cost. It is usually offered as an endorsement, also known as a rider, for an extra cost.
Update your coverage annually: Even with an inflation guard, there may be gaps in your coverage. Every year, adjust your policy limits to ensure you're completely covered.
Make your agent aware of major renovations: Speak to your insurance agent right away about any significant changes or renovations you have made to your home as they might affect your home's replacement cost value.
Gutterman gives one crucial piece of advice to policyholders when looking at the replacement value of your home:
"When comparing policies, don't just look at the price, also look at the replacement cost the insurer is assuming," he says. "It may be the price is only lower because they assumed a lower replacement cost which means you are taking extra risk."
PERSONAL FINANCE Inflation could leave a big gap in your homeowners insurance coverage if you need to rebuild
More: replacement cost replacement cost estimator Home Insurance Homeowners Insurance | 2022-05-31T22:27:52Z | www.businessinsider.com | How to Estimate Your Home's Replacement Cost | https://www.businessinsider.com/personal-finance/replacement-cost-estimator | https://www.businessinsider.com/personal-finance/replacement-cost-estimator |
Taco Bell says high demand for Mexican pizza led to a shortage of ingredients.
The chain brought Mexican pizzas back less than two weeks ago.
The item will be a permanent addition to menus once they're back in stock.
Taco Bell customers may find it difficult to find a Mexican Pizza as the chain is already running out of ingredients for the popular dish.
Taco Bell brought back the Mexican Pizza on May 19, and on May 31 tweeted that it was facing shortages as the item was "7x" more popular than it expected.
"We'll need some time to replenish our supplies," the chain wrote, saying employees are "working as fast as we can" to make it available to customers again.
Mexican pizza has long been a favorite among Taco Bell regulars, but it was one of more than a dozen items cut from the menu in 2020, alongside other beloved items like the seven-layer burrito and cheesy fiesta potatoes. Mexican pizza consists of a flour tortilla shell filled with refried beans, seasoned ground beef, and Mexican sauce, topped with another tortilla, Mexican sauce, cheese, and chopped tomatoes.
Removing and re-adding Mexican pizza was likely a way to see how much customers really cared about the dish, Kalinowski Equity Research CEO Mark Kalinowski told Insider at the time. Maybe it wasn't selling quite as well as it had previously, so Taco Bell removed it to see if customers wanted it back, he told Insider.
Kalinowski said he expects it to sell better this time around thanks to the buzz and promotion. Taco Bell confirmed this was the case, tweeting that demand for Mexican pizzas was seven times higher than it had anticipated and leading to the shortages.
When dishes like Mexican pizza or potatoes return, they already have a built-in fanbase among Taco Bell customers. The chain doesn't have to convince customers to come in and try something new. Instead, they've already been anticipating the return for months or even years, in this case.
Taco Bell said that when supplies are back in stock, the Mexican pizza will return to menus permanently.
NOW WATCH: We ate everything on Taco Bell's Dollar Cravings Menu — here's what we thought
More: Retail Fast Food Taco Bell QSR | 2022-05-31T22:27:58Z | www.businessinsider.com | Taco Bell Confirms Its Running Out of Mexican Pizzas | https://www.businessinsider.com/taco-bell-confirms-its-running-out-of-mexican-pizzas-2022-5 | https://www.businessinsider.com/taco-bell-confirms-its-running-out-of-mexican-pizzas-2022-5 |
3 ways to fix your iPhone if it won't turn on
An unresponsive iPhone can be frustrating — here's how to help return it to working order.
If your iPhone won't turn on, make sure you're switching it on the right way first.
You can fix an iPhone that won't turn on by restarting it or checking for charging or hardware issues.
If all else fails, plug your iPhone into a computer to see if you can back it up before sending it for repairs.
It can be terrifying if your iPhone won't turn on — especially if you're not a tech guru. It might seem like there could be a million things wrong, and who knows where to start? Is it even fixable?
In general, you can narrow it down to one of three key issues: a software glitch, a charging malfunction, or a serious hardware problem.
Here's how to figure out why your iPhone won't turn on and how to fix it.
How to turn on an iPhone
You need to make sure you're turning on your iPhone the right way before trying any of the troubleshooting steps mentioned below. Not all iPhones are created equal, and it can sometimes get confusing to know just how to turn your model on.
By the offset chance this is the issue, here's how to turn on an iPhone if it:
Has a Home and Side button. Press and hold the Side button until you see the Apple logo on the screen.
Has a Home and Top button. Press and hold the Top button until the Apple logo shows up on the screen.
Doesn't have a Home button but has a Side button. Press and hold the Side button for a few seconds and release it when you see the Apple logo.
What to do if your iPhone won't turn on
Once you're sure that you can switch on your iPhone properly, you can try to get to the bottom of why it's not turning on.
1. Check to see if you can restart the phone
You probably know that your iPhone is turned on all the time, even when the screen is off, unless you deliberately shut it down via the Settings app. When the screen is dark, the phone is powered on — albeit "sleeping" — and a software glitch in an app could be preventing the phone from waking when you press the Power button, tap the screen, raise it to your face, or however you try to wake it up.
The simplest remedy is to force restart your iPhone and see if it will turn on.
The first thing you should try to do is restart your iPhone — most of the time, a software glitch is likely preventing the screen from turning on.
If your phone restarts successfully, your problem is probably solved. This problem can happen occasionally without suggesting a serious underlying issue. But if your phone won't turn on frequently enough that it's a nuisance, that suggests you have a misbehaving app or some corrupted data on your phone.
In that case, you might need to reset your phone to its factory settings and then manually reinstall apps from the App Store to see which one is bugged.
Quick tip: Since a factory reset will wipe all your data and settings, make sure you back up your iPhone with iCloud or your computer before resetting it. That way you can restore what you need later.
2. Try charging your phone
If it doesn't appear that you can restart your iPhone, then it's likely that your phone is already powered off, and the battery might be dead. Here's what you should do:
Attempt to charge your phone — connect your phone however you usually charge it and let it charge for an hour or two.
If the phone still won't come on, there might be something wrong with the way it's charging. Check the phone's Lightning port to make sure it isn't filled with lint or debris, and inspect your Lightning cable for kinks, breaks, or frays. If necessary, swap the cable for another.
A damaged Lightning cable might be keeping your phone from charging.
Charge the iPhone again. Be sure to plug the phone directly into an AC adapter rather than a computer's USB port, to make sure the USB port isn't an issue.
It's entirely possible that the Lightning port or your laptop's USB port has failed, and since it wasn't charging, you couldn't turn it on. If so, this should solve your problem.
Quick tip: if the problem still persists, there are more troubleshooting steps you can try to fix an iPhone that won't charge.
3. Troubleshoot a hardware problem
If your iPhone won't respond to a hard reset and doesn't appear to be charging, the number of potential issues has narrowed, probably signaling that it's a hardware issue. This isn't good news, because it suggests you might have a serious issue. Some of the most likely issues include:
Water damage. You might have gotten your phone wet and it has caused some components to fail.
Drop damage. If you've dropped the phone, it might have damaged the screen (most likely) or internal components (less likely), preventing it from working.
Component failure. As reliable as iPhones are, it's always possible that one can fail due to a manufacturing defect. It's rare, but it can happen.
To see if your phone has any life in it at all, try this:
1. Connect your ailing iPhone to a Lightning cable and plug it into a computer.
2. Start iTunes on the computer.
3. Check to see if iTunes recognizes the phone. You should see the icon for the phone appear in the top left of the iTunes window. If so, you're in luck — the phone is actually powered on, and you can probably back it up.
If you can see the iPhone icon in iTunes, the phone is still on but perhaps the screen is broken. Back it up before you try to get it serviced.
4. If you see the iPhone icon appear, click it and then click the Summary tab on the left of the screen. In the Backups section, click Back Up Now to try to ensure you have a good backup of your phone's apps and data. You can later use this backup to restore your phone after it's serviced or replaced.
5. Contact Apple to have your phone serviced or replaced.
TECH 7 ways to troubleshoot if your iPhone keeps restarting
TECH REFERENCE How to free up space on your iPhone so you have enough storage for all your apps and photos | 2022-05-31T22:28:10Z | www.businessinsider.com | 3 Ways to Fix an iPhone That Won't Turn on | https://www.businessinsider.com/why-wont-my-iphone-turn-on | https://www.businessinsider.com/why-wont-my-iphone-turn-on |
This startup founded by an ex-Morgan Stanley MD helps investors gauge crypto risk. Check out the 12-slide pitch deck Cloudwall Capital used to raise $6.3 million.
Cloudwall Capital's US and Singapore teams.
Cloudwall Capital
Cloudwall Capital, which enables institutional investors to gauge crypto risk, has raised $6.3 million.
The New York startup was founded by ex-Morgan Stanley managing director Kyle Downey.
Check out the 12-slide pitch deck Cloudwall used to raise the fresh funds below.
A startup that enables institutional investors to evaluate risk in cryptocurrencies has raised $6.3 million in fresh funds.
New York-based Cloudwall Capital, which was founded by ex-Morgan Stanley managing director Kyle Downey last year, aims to address the biggest concerns held by traditional investment funds about digital assets, such as exposure to volatility and a lack of knowledge about the new asset class.
The startup has developed a platform known as Serenity that offers risk management, market metrics and analytics, and the ability to monitor a portfolio's carbon output. Cloudwall's API enables funds to submit their portfolio to the platform to perform stress tests and run simulations.
The market for digital assets has been in turmoil in recent months with cryptocurrency prices tumbling alongside the collapse of stablecoins such as UST.
Volatility has become part of the process for many in the space, making the need for more sophisticated tools even greater, Cloudwall's CEO Downey told Insider.
"We think overall this environment is quite positive and an opportunity for us ourselves to take advantage of what has happened," he said. "In the last crash, the question was is it coming back, now it's when is it coming back."
Despite the downturn, financial institutions and investors have positioned themselves to become more comfortable with digital assets in recent years after interest in cryptocurrencies, NFTs, and DAOs skyrocketed.
"We haven't yet seen a slowdown in opening in new digital asset management firms," Downey added. "Risk management is crucial to the entry of institutional investors to this market."
Downey was previously global head of automated risk trading at Morgan Stanley while fellow cofounder and COO Jia Yng Wee has more than 20 years experience in global markets in private banking.
The funding journey was far from straightforward for the firm, which began talking potential investors in mid-December 2021 before closing this funding round last month, following disruptions from the wider macro-economic environment and the war in Ukraine.
"A week before we got term sheet, were thinking about how to cash out company and dissolve operations in case we ran out of money," Downey said.
The deal was led by London fund LocalGlobe and Illuminate Financial alongside other investors including IA Capital Partners, Eberg Capital and NEMO Ventures. Funding will go towards R&D ahead of the company's platform launching in early July, the company is hiring and onboarding between its bases in New York and Singapore and expects to have around 15 full time staff by August.
"It's becoming clearer to institutional investors that they should invest in digital assets if they aren't already but they don't have the tools to help them embrace this new market in a way they are used to," Wee told Insider. "We're building Serenity to provide this solution and supporting the careful growth of this industry."
Check out Cloudwall's pitch deck below:
More: Features Fintech Pitch Deck | 2022-06-01T07:38:56Z | www.businessinsider.com | Cloudwall Capital: Crypto Risk Platform Raises $6.3 Million | https://www.businessinsider.com/cloudwall-capital-crypto-risk-platform-raises-63-million-2022-5 | https://www.businessinsider.com/cloudwall-capital-crypto-risk-platform-raises-63-million-2022-5 |
Florence is bringing the gig economy to nurses and social care workers. Check out the 21-slide pitch deck it used to raise $35 million.
The Florence team.
UK-based startup Florence has created a temporary staffing marketplace for care workers.
The company has raised a $35 million Series B round that was led by Axa Ventures Partners.
A startup that has created a temporary staffing marketplace for care workers and nurses has raised a $35 million Series B from Axa Ventures Partners.
Florence's web platform enables health and social care organizations to post their staffing schedules and vacancies, in a bid to efficiently manage staffing shortages without the need for a 'middle man.'
Nurses and social workers can then book any suitable slots and fill out an online timesheet for the work they complete, through Florence's app. Care providers are charged a commission for every booking made through Florence's platform.
Cofounder Dr Charles Armitage worked at the NHS as a locum doctor, but found that he "had no control over the shifts he was working," which resulted in patients "lacking important continuity of care."
Florence aims to minimize this problem by filling the gap in understaffed organizations and giving nurses and care workers more flexibility with their schedules.
The app also provides workers with e-learning tools and counts over 100,000 e-learners and 2,000 social care organizations amongst its user base.
The Florence app.
The UK's healthcare workforce took a hit during the pandemic and the Great Resignation in 2021 — with 11% of the NHS' health and social care staff resigning partly due to burnout and increased pressure.
Now, startups in the social care sector are scrambling to fill that gap, while giving health workers more independence as contractors. With the likes of US-based healthcare staffing platforms CareRev, ConnectRN, and ShiftMed all raising rounds above $50 million in the past six months, investors are tapping into a new 'gig economy' model for healthcare workers, as reported in Axios.
The Series B round was led by Paris-based Axa Ventures Partners, which has previously invested in healthtech startups Valera Health and health insurance marketplace Gravie. Additional backing came from Roo Capital and existing investors SEEK Investments.
Imran Akram, general partner at Axa Ventures, cited the "global shortage of healthcare workers" and outdated methods of staff management as key issues that Florence was "tackling head-on."
Currently operating in the UK, Florence will use the cash injection to venture into newer geographies such as Europe, Australia, New Zealand, and North America, reach out to a wider pool of nurses and social care staff, and look into markets beyond elderly care.
More: Gig economy Pitch Deck Venture Capital | 2022-06-01T07:39:02Z | www.businessinsider.com | Florence: Online Marketplace for Healthcare Staff Raises a $35 Million | https://www.businessinsider.com/florence-marketplace-health-care-staff-raises-35-million-series-b-2022-5 | https://www.businessinsider.com/florence-marketplace-health-care-staff-raises-35-million-series-b-2022-5 |
German Chancellor Olaf Scholz in Berlin on June 1, 2022.
Germany said Tuesday it will send heavy weapons to Ukraine, after criticism for its slow supply.
Leaked documents found that Germany had sent hardly any supplies to Ukraine since March 30.
Vladimir Putin has pressured countries like Germany to limit their help for Ukraine.
Germany said Tuesday that it will send heavy weapons to Ukraine, following criticism that it was holding back arms in apparent deference to Vladimir Putin.
After Russia invaded Ukraine, Germany stepped up its commitment to NATO — pledging to meet the suggested threshold of 2% of spending on defense — but Chancellor Olaf Scholz has since been accused of inaction.
German opposition leader Friedrich Merz accused Scholz of "dithering and timidity" last month.
Speaking to Germany's parliament Wednesday, Scholz scrambled to defend his government's record, and said Germany would send Ukraine IRIS-T anti-aircraft systems.
Scholz also said Germany had sent plenty of equipment to Ukraine, listing 15 million rounds of ammunition, 100,000 hand grenades, and than 5,000 anti-tank mines.
However, leaked documents published Tuesday by the Welt am Sonntag newspaper on Tuesday showed that Germany has sent only two deliveries of weapons to Ukraine since March 30.
The documents also show that Ukraine asked Germany for Harpoon anti-ship missiles, but Germany did not grant the request, Welt am Sonntag reported. (Welt and Insider share a parent company, Axel Springer.)
The slowdown came as Russian was pressuring Ukraine's allies not to send it powerful military equipment.
In a call on Saturday, Putin warned Scholz and French President Emmanuel Macron against sending arms to Ukraine, saying it would risk "further destabilization of the situation."
In recent weeks, Ukraine has begged the West to supply it with stronger gear, such as long-range missile systems, so it can continue its efforts to drive Germany forces out of the country.
Experts recently told Insider that the current state of Russia's invasion is about to freeze, with the front lines staying more fixed and combat becoming more attritional, meaning long range weapons will become more important.
President Joe Biden said Monday that the US would not supply Ukraine with long range missile systems capable of reaching Russian territory.
However, in an op-ed for The New York Times published Tuesday, Biden wrote that the US will send Ukraine a number of M142 High Mobility Artillery Rocket Systems, which have a a range of 48 miles.
More: News UK Russia Ukraine Germany | 2022-06-01T12:12:44Z | www.businessinsider.com | Germany Says Sending Ukraine Heavy Arms, Which Putin Resisted | https://www.businessinsider.com/germany-says-will-send-heavy-weapons-ukraine-scramble-counter-criticism-2022-6 | https://www.businessinsider.com/germany-says-will-send-heavy-weapons-ukraine-scramble-counter-criticism-2022-6 |
Embattled BNPL player Klarna looks to rebound from recent layoffs with a physical card launch in the US
On Wednesday, Klarna announced the launch of a physical card in the US that will let shoppers use its buy now, pay later services almost anywhere they shop.
Klarna announced the US launch of a physical card that allows customers to use BNPL.
The Swedish fintech is looking to rebound from recent layoffs and reports of a potential down round.
Klarna CEO Sebastian Siemiatkowski has said that the company plans to focus more on existing users.
Swedish buy now, pay later fintech Klarna is expanding its offerings in the US even further with a new physical card that will allow customers to use the BNPL service almost anywhere they shop, Insider can exclusively report.
Shoppers will be able to use the card, which launched Wednesday, anywhere Visa cards are accepted. Customers can split their purchases into four interest-free installments, which are paid off via biweekly statements available in the Klarna app.
"By putting the Klarna experience that consumers know and love in their pockets, we increase the ubiquity of our offering in consumers' lives," David Fock, Klarna's chief product officer, told Insider via email.
Klarna said that over one million customers in the US had signed up for the card's waitlist since late February. The company also said that it expected the card's launch to be even stronger than the January launch of a similar card product in the UK, where over 300,000 cardholders joined in the first month after the launch.
The card is free to use for the first 12 months, costing $3.99 a month after the first year.
The card's launch may provide a boost for Klarna's business as macro factors such as rising interest rates and mounting inflation cast doubts across the market and have led to layoffs and hiring freezes at fintechs.
The Wall Street Journal first reported in mid-May that Klarna was attempting to raise new funds at a valuation that was almost a third less than the $45.6 billion figure it was valued at around a year ago. The BNPL giant was targeting a valuation over $50 billion earlier this year, according to the WSJ, but potential investors had backed off due to concerns about the state of the market.
On May 23, Klarna's CEO Sebastian Siemiatkowski announced to employees that the company would lay off around 10% of its staff, citing the war in Ukraine, rising inflation, volatility in the stock market, and an impending recession as key reasons for the cuts in a memo sent to employees.
"When we set our business plans for 2022 in the autumn of last year, it was a very different world than the one we are in today." Siemiatkowski wrote.
In a May 26 article in the Financial Times, Siemiatkowski said that he was "not convinced" by the reports that Klarna would need to raise funds at a lower valuation. Meanwhile, an investor told the FT they expected the company's valuation could be cut by as much as 50%.
Klarna isn't the only BNPL player to stumble recently — Affirm has seen its stock price fall nearly 70% this year, despite a stronger-than-expected earnings release earlier this month. After BNPL provider Zip announced plans in February to acquire competitor Sezzle for $356 million, shares of both companies, which are listed on the Australian stock exchange, have slumped.
Bringing buy now, pay later offline
Klarna's US card launch arrives at a time when many buy now, pay later providers are diversifying their offerings, attempting to increase customer loyalty and make their platforms a go-to place for shopping and discovery.
In the interview with the FT, Siemiatkowski also said the company would double down on growth in the United States, but would do so by focusing on existing customers rather than new users. The card could be a helpful tool for deepening engagement: the company said that cardholders in Sweden and Germany have a higher purchase frequency and are more loyal consumers than non-cardholders.
The launch of BNPL cards is part of a larger shift in providers' strategies. With the use of cards, providers no longer have to rely on cutting deals with individual retailers and can accelerate their push to bring BNPL offline.
Affirm's Debit+ card allows shoppers the option to split purchases over $100 into four interest-free payments, and UK-based fintech Zilch uses a virtual Mastercard to offer customers the choice between paying in full and using BNPL wherever they shop. Zilch launched in the United States earlier this month and counts more than 2.5 million users in its home country.
Klarna recently announced a deal with Brookfield Properties to bring its BNPL services to retailers like H&M, Sephora, and Abercrombie & Fitch in over 150 US malls, but it isn't the only player bringing its services offline.
Afterpay is now available as a payment option online for Square sellers, after the acquisition of Afterpay by Block, Square's parent company, closed in late January. Square sellers in the US and Australia are now able to offer Afterpay as an in-person payment option as well.
Klarna's card intensifies the super app race, as providers aim to become users' primary financial and shopping destinations
The card's launch also intensifies the race to build a financial super app in the US. Super apps bring multiple digital activities that would normally occur across several apps — like banking, budgeting, shopping, and stock and crypto trading together — in one place.
In tandem with the card launch, Klarna announced the release of its Financial Overview dashboard in its app. The feature will allow users to set a monthly spending allowance, view categorized spending breakdowns, and track spending history and patterns over time.
"Klarna is already far more than just a payment provider," Fock said. 'It's a financial companion for consumers with the promise to help them save time and money whenever and wherever they shop and take active control over their finances."
David Fock is the chief product officer at Klarna.
The dashboard feature adds more capability to the revamped app Klarna first revealed in November, allowing users to shop anywhere with Klarna through the app's browser and use new features, including budgeting tools, delivery tracking, and return management. The company has said it plans to develop other features for the app like loyalty programs, social features such as livestream shopping events, and product data including price history, reviews, and store availability. Klarna markets the app as "the only shopping app consumers need."
Other BNPL providers are hot on Klarna's heels, however. Block executives detailed their plans to use Afterpay to help transform Cash App into a super app by enhancing its shopping features at an investor presentation earlier this month.
BNPL players' push to diversify comes as their core offering gets commoditized by larger financial firms.
At a recent investor event, JPMorgan Chase announced plans to launch a "Pay in 4" installment lending tool that will allow consumer banking customers to split up their payments wherever their Chase debit cards are accepted.
"We may not be a first mover in buy now, pay later, but we have the full suite of payment lending and commerce capabilities," said Marianne Lake, JP Morgan's co-CEO of consumer and community banking, at an industry conference last year. "Over the longer term, I think that's the bigger picture."
Other banks like Barclays and fintech giants like PayPal have also recently launched BNPL offerings.
Legacy players from other parts of the payments industry want in on the BNPL game as well. Bread Financial, formerly known as Alliance Data Systems, helped pioneer the store credit card model when it was founded nearly 40 years ago. Following its acquisition of the fintech Bread in 2020, the company invested $1 billion in its digital capabilities, including the development of white-label BNPL and lending options retailers can offer customers.
Bread CEO Ralph Andretta told Insider earlier this year that he thinks Bread's history as a public company gives it an edge over newer players.
"They've never been through a downturn. They've never been through a bad economy," Andretta said of his fintech competitors. "We know how to manage through a recession. We know how to manage through good times. We know how to manage regulation. Those are things that the startups have to learn, and it's expensive and it takes your mind off the marketplace."
More: Fintech Klarna BNPL | 2022-06-01T12:12:49Z | www.businessinsider.com | Klarna Launches BNPL Card in US As It Aims to Rebound After Layoffs | https://www.businessinsider.com/klarna-launches-physical-bnpl-card-in-us-rebound-after-layoffs-2022-6 | https://www.businessinsider.com/klarna-launches-physical-bnpl-card-in-us-rebound-after-layoffs-2022-6 |
LetterOne froze out two of its cofounders, Mikhail Fridman and Petr Aven, in early March after they were sanctioned by the UK and EU over their close ties to the Kremlin in the midst of the Ukraine war. Three of the firm's board members also stepped down, despite not being sanctioned, LetterOne told Insider at the time.
Pamplona oversees nearly $3 billion of LetterOne's money, a LetterOne spokesman previously told Bloomberg.
More: Russia Ukraine Oligarchs russian oligarchs | 2022-06-01T12:12:56Z | www.businessinsider.com | Private Equity Firm Looks to Cut Russian Oligarch Ties: Report | https://www.businessinsider.com/pamplona-private-equity-firm-help-jeffries-bank-russian-oligarch-money-2022-6 | https://www.businessinsider.com/pamplona-private-equity-firm-help-jeffries-bank-russian-oligarch-money-2022-6 |
VMware customers are skeptical of its $61 billion acquisition, calling Broadcom a 'retirement home' and worrying it will stifle innovation, lay off employees, and risk customer relationships
The chipmaker Broadcom said it would buy the software giant VMware in a deal valued at $61 billion.
But VMware customers say Broadcom ownership may hurt innovation and cause an employee exodus.
Other customers told Insider they're cautiously optimistic that nothing would change after the deal.
Th chip giant Broadcom announced last week plans to acquire the software maker VMware in a deal valued at $61 billion. While ownership changes aren't new for the virtualization-software leader VMware, which has changed hands several times over the past two decades and was most recently spun off from Dell, not all of its customers are sold on the deal.
Some customers of the two tech giants told Insider they're cautiously optimistic, as Broadcom could introduce an influx of resources. But others said Broadcom and VMware may start competing in their respective product areas. Additionally, some said they're concerned the deal could lead to layoffs or an exodus of top tech talent from the company, as well as hinder VMware's innovation and customer relationships.
Broadcom "may take over, with not a whole lot of innovation and development going on," said Todd Rychecky, the vice president of sales at the networking company Opengear, which is a customer of both VMware and Broadcom.
It's an unusual move for a chip company to buy a software company, but analysts have said Broadcom is seeking paths outside its traditional chip, especially with the chip shortages. The acquisition could help Broadcom better compete with the tech heavyweights Amazon and Microsoft in cloud computing as customers turn to VMware's technology to use their physical data centers with cloud-computing services from Amazon Web Services, Microsoft, and Google.
Broadcom has shopped around for major acquisitions in recent years. It bought CA Technologies for $18.9 billion in 2018 and acquired the security company Symantec in 2019 for $10.7 billion. In an even larger bid, it saught to buy Qualcomm in a deal valued around $130 billion before then-President Donald Trump blocked it on national security grounds in 2018.
Should it pass regulatory scrutiny, the VMware deal would be one of the biggest tech deals ever and the second-largest in the industry this year, following Microsoft's planned purchase of the video-game publisher Activision Blizzard for $68.7 billion. While some companies will likely hold off on deals to reserve cash during the market downturn, Rychecky said Broadcom had a pattern of buying mature companies to generate revenue.
'A retirement home for companies'
While VMware is a pioneer in its market now, Rychecky worries the company's innovation will slow down under Broadcom's umbrella.
"Some people think it's a retirement home for companies, more or less," Rychecky said of Broadcom. "What we'll see is a switch from an innovative product company, which VMware was trying to compete with the latest and greatest, and start looking more like CA and Symantec: making money from the enterprise."
There are also reputational risks, as Rychecky said that Symantec's acquisition eventually hurt its reputation as a product leader.
"Does anyone hear of Symantec anymore?" he said. "The fear is they're going to buy it and milk it."
Given Broadcom's vast resources, VMware could double down on its software products and even work with Symantec — which could introduce a new cybersecurity contender. But that's "easier said than done," Naveen Chhabra, a senior Forrester analyst, said, citing Broadcom's acquisition history.
The cybersecurity-software maker Trend Micro, which is a VMware customer, competes with the Broadcom-owned Symantec, and the company says it's well aware of the competitive overlap.
"Broadcom is likely a good home for VMware's data-center business," Kevin Simzer, Trend Micro's chief operating officer, said, "but will also likely be the death of VMware's ambition to become a cybersecurity company."
Keeping tech talent and customers happy
Customers also told Insider they're concerned that Broadcom may conduct layoffs or that VMware employees may leave the company voluntarily — both often happen after large acquisitions.
But Jeff DeVerter, the chief technology evangelist at the cloud company Rackspace, is hopeful that Broadcom will work hard to retain VMware staff, especially engineering talent. He said his company was counting on it.
Other customers, particularly smaller ones, have said they're worried about getting the same quality of support they currently do from VMware, Forrester's Chhabra said. If Broadcom decides to cash out on VMware's customers, it would likely leave its smaller customers behind, Chhabra added.
That's what happened after the chip giant acquired Symantec, Forrester said: It "largely abandoned" Symantec's customer base of 100,000 to prioritize its top 2,000.
If VMware keeps its strong partnerships with customers, DeVerter said, that will be good news for everyone.
"We have an amazing partnership team. We hope there's no change to any of that," he said. "We hope innovation won't slow down and, hopefully, will speed up with additional resources behind them."
More: VMware Broadcom Mergers Cloud Computing | 2022-06-01T12:13:33Z | www.businessinsider.com | VMware Customers Worry Broadcom Will Hurt Innovation, Lay Off Employees | https://www.businessinsider.com/vmware-broadcom-deal-worries-customers-could-hurt-innovation-2022-6 | https://www.businessinsider.com/vmware-broadcom-deal-worries-customers-could-hurt-innovation-2022-6 |
Now, almost 80 years after Hoffman's unintentional trip, clinical trials of psychedelics – mind-altering compounds including LSD – are flourishing, as pharmaceutical firms race to make up for years of lost opportunity and explore their potential for tackling conditions such as post-traumatic stress disorder and depression .
More: Health Psychedelics Trials FDA | 2022-06-01T13:44:29Z | www.businessinsider.com | Psychedelics Clinical Trials Shaping the Industry's Future | https://www.businessinsider.com/psychedelic-clinical-trials-tracker-mdma-lsd-magic-mushroom | https://www.businessinsider.com/psychedelic-clinical-trials-tracker-mdma-lsd-magic-mushroom |
Shopify app creators are cashing out with million-dollar deals as well-funded companies start to flood the space looking for acquisitions
Acquirers are buying up businesses that have found success on the Shopify App Store.
Shopify App Store
Shopify-app makers are becoming attractive acquisition targets.
Deals valued at up to seven figures are being made despite difficult market conditions for tech.
Similar to Amazon aggregators, companies acquiring Shopify apps want to use economies of scale.
As questions mount on how sustainable the Amazon-aggregator business model is, acquisition activity is heating up in a different part of e-commerce: third-party apps on the Shopify App Store.
The Shopify App Store hosts more than 7,000 apps that merchants can install on their stores to help with store design, product sourcing, search-engine optimization, marketing, and shipping.
App aggregators like AppHub, Assembly, and Pantastic are raising funds with the goal of scooping up Shopify apps. Private equity is also getting involved, though specifics on those deals often don't get publicized.
The acquisition interest comes as Shopify has added many thousands of merchants during the pandemic, and app developers have rushed to launch new tech to cater to their needs. The average Shopify merchant uses six apps to run its business, the company previously told Insider.
Similar to what Thrasio and other Amazon aggregators have said about their own business models, Shopify app aggregators hope to use scale to optimize operations. And deals valued as high as seven figures are still happening in the space despite difficult market conditions across the tech sector.
AppHub is a newer player in the app-acquisition space, launching in April with $60 million in funding from Silversmith Capital Partners. Kris Eng, its co-CEO and cofounder, said the startup saw a "massive opportunity" in bringing app founders together under one umbrella.
AppHub has acquired 20 apps since August. Its most recent acquisitions include OrderBump, a one-click upselling app, and ViralSweep, which allows merchants to offer sweepstakes and other contests to their customers. AppHub plans to use its funding to continue to acquire apps and build more in-house.
From left, Kris Eng, Arjun Batra, and Wilson Lee, the cofounders of AppHub.
AppHub
Founded in 2019, WeCommerce is a holding company that acquires makers of Shopify apps and themes, as well as Shopify-focused agencies. It, too, has been especially active lately, announcing $140 million in potential transaction value in the past 12 months.
"We focus on e-commerce technology companies that help merchants start, grow, and thrive," CEO Alex Persson said. The ideal acquisition is "maniacal about product innovation and customer support," he added.
These acquisition targets "can range from software companies founded by solo entrepreneurs to bootstrapped companies with hundreds of employees and tens of millions of recurring revenue," he said.
WeCommerce most recently acquired KnoCommerce, a maker of post-purchase surveys for Shopify merchants, for $2.1 million in March. Persson said it's still eager to acquire more e-commerce software businesses.
'It became very clear that the apps were undervalued'
Some of these companies are making acquisitions with their eyes trained directly on merchants' needs.
Pantastic launched in May 2020 and has announced two Shopify-app acquisitions: Spently, a maker of email templates for Shopify merchants, and CartHook, an app that enables merchants to make one-click post-purchase offers to shoppers.
CEO Scott Rafer told Insider he'd been involved in the Shopify ecosystem in various ways since 2013.
"Over time, it became very clear that the apps were undervalued relative to other kinds of software," Rafer said.
The idea behind Pantastic, Rafer said, is to give independent brands what he calls "superpowers" to grow their businesses the way they want to. In March, Pantastic announced an $18 million funding round led by B Capital Group and said it planned to use the funding to make more strategic acquisitions of Shopify businesses.
"We are chasing a goal of economic diversity, trying to make sure our kids aren't only buying from the big guys in a few years," he said. "We think that the best thing to help with is retention and future sales to existing customers."
'It seems like the timing is right'
Some app owners might want to sell their business to get access to the marketing expertise of a larger company. Teams working on Shopify apps are often very focused on more technical work, not marketing, said Thomas Smale, the founder and CEO of FE International, an advisory firm that works with owners of apps and online stores to sell their businesses.
"What a lot of the firms consolidating will do is bring a level of infrastructure that a smaller business either can't afford or is not willing to invest in," Smale said.
FE typically works with businesses valued at between six and eight figures, with more than half its deals coming from Shopify-related businesses, like apps, store themes, and online stores. Smale said that the focus on Shopify had grown over time.
"As Shopify as a public company has grown, and that app ecosystem has grown," Smale said. "As bigger and bigger companies use Shopify to build out their e-commerce stores, then the demand for apps and enterprise level is only going to increase as well."
WeCommerce's Persson said the robust ecosystem was a big part of what set Shopify apart from competing e-commerce platforms — and why it saw a lot of opportunity there.
"WeCommerce has been part of the Shopify ecosystem since it was just getting started, and that partner ecosystem is a core differentiator compared to other e-commerce-infrastructure platforms," Persson said.
Dennis Hegstad is an e-commerce entrepreneur who sold OrderBump, an upsell app for Shopify Plus, to AppHub in February. Hegstad didn't found OrderBump but bought it in October after selling an app he cofounded, called LiveRecover, to a private-equity firm for an eight-figure sum earlier in 2021.
He wasn't looking to sell OrderBump, but the offer from AppHub was generous. With more companies with bigger checkbooks looking, there could be opportunities for founders looking to cash out, he said.
"As someone who is bootstrapped and has not raised money and doesn't plan to raise money, to me, it seems like the timing is right to potentially sell your business if that's something you're interested in," he said, "especially when they're paying fair market multiples for healthy companies."
Why rolling up apps is different from buying Amazon sellers
Rolling up Shopify apps mirrors the aggregation wave that took over Amazon sellers in 2020 and 2021 — and then hit a brick wall in 2022.
Companies like Thrasio raised hundreds of millions of dollars in the past couple of years with the goal of rolling up Amazon sellers and using economies of scale to boost their sales. But Thrasio has faced its own struggles recently, announcing significant layoffs and its second CEO change in eight months. Some e-commerce-industry observers have begun questioning whether the Amazon-rollup business model is sustainable.
Meanwhile, Shopify-seller rollups still seem appetizing to investors: OpenStore has also raised more than $100 million to quickly acquire Shopify stores using a proprietary pricing algorithm.
And as mergers and acquisitions pick up in the Shopify-app space, those involved say what they're doing is very different from the Amazon-aggregator world, or even what OpenStore is doing with Shopify stores. Rafer, the CEO of Pantastic, described his company as "software people buying software companies."
Smale said that acquiring Shopify apps and rolling up Amazon sellers required "different pressures and different incentives." Shopify-app owners also do not take on inventory risk as an Amazon aggregator would.
"With apps, you only really need to be able to do customer support, manage Shopify as a single channel, and build out your developer team," he said. "Whereas, on the Amazon platform, you also have to deal with supply risk."
NOW WATCH: Mars CEO says the global supply chain is 'broken.' Now, the $35 billion food industry giant is investing $1 billion to fix it. | 2022-06-01T13:44:47Z | www.businessinsider.com | Shopify App Aggregators Spendings Millions to Acquire Apps | https://www.businessinsider.com/shopify-app-aggregators-spendings-millions-to-acquire-apps-2022-6 | https://www.businessinsider.com/shopify-app-aggregators-spendings-millions-to-acquire-apps-2022-6 |
Lauren Templeton worked alongside investing legend Sir John Templeton for 10 years. She shares 4 top tips for navigating the bearish environment, how to know when we've reach 'maximum pessimism,' and her favorite area in the market right now.
Templeton & Phillips Capital Management
Stocks are down more than 13% since the start of the year.
We asked Lauren Templeton how to navigate the environment using her great-uncle's philosophy.
She also shared the area of the market she likes most right now.
The bearish market environment in 2022 is the kind that investing legend Sir John Templeton thrived in.
The former manager of the Templeton Growth Fund who passed away in 2008 made a career out of finding opportunities during periods of "maximum pessimism," averaging 15% returns per year over the 38-year span of his fund's existence from 1954-1992.
During the latter part of his career, his great-niece Lauren spent a decade working alongside him, learning his strategy. She is now the founder and CEO of Templeton and Phillips Capital Management, a value investing firm in Chattanooga, Tennessee.
Last week, she shared with Insider her tips that investors can take away from her great-uncle's philosophy as stocks continue to work through a challenging period (since the start of the year, the S&P 500 is down about 13.5%); how to know when we've reached a period of "maximum pessimism"; and where she sees opportunities at the moment.
How navigate the bearish environment
First, Templeton said to behave in a rational manner, and remember that declining stock prices mean increasing opportunities and less risk.
"Many investors believe that when stocks are declining in price, they have become risky, but the opposite is true," she said in an email. "We believe the real risk when making investments is overpaying for an asset, and so when prices are falling, your risk of overpaying is also declining. The probability of making a bad investment is much lower during market declines."
Second, she advised against trying to time the market in the short-term by doing things like selling a position in hopes of buying it back in the near-term at a lower price.
"If you are still in the market following a selloff, you have already proven yourself to be a bad market timer," she said. "Do not add to your bad record."
Rather, Templeton said to search for "bargains" by looking at valuations. She added that forward price-to-earnings ratios and forward cash flows for the following 5-10 years should look promising despite the near-term outlook.
Fourth, she said to be aware of humans' psychological and physiological "shortcomings" and to figure out how to beat them.
"Humans are not wired to be good investors," she said. "Selling at the bottom is a 'preconscious' decision, meaning that most people say they will never do it, but still cannot help selling."
She continued: "By the time your conscious mind processes the red on your screen, your amygdala has already increased your heart rate, created shortness of breath, and perhaps even some perspiration. Your conscious mind will survey these lightning-quick symptoms and conclude that something very real and very horrible is occurring."
Templeton said before a sell-off would begin, her great-uncle would already have a list of stocks he wanted to buy for a cheaper price. He would then place good-till-canceled orders to automatically buy them when they corrected by 20%. She said this allowed him to have a decision making process laid out that he developed while in a rational state of mind.
How to know when we've reached "maximum pessimism"
One could argue the market is in a state of maximum pessimism right now. Risks like inflation, a hawkish Federal Reserve , COVID-19 lockdowns in China, and Russia's invasion of Ukraine have all weighed on investors this year.
According to Bank of America, investor sentiment is the most bearish it's been in over a decade. Such an environment, again, is when Sir John Templeton advised buying.
To help investors know when we've reached maximum pessimism, Lauren said some clues include "exceptional bargains" with valuations around all-time-lows, and bearish opinions on why stocks are going to fall further.
She also pointed out that average bear markets last 13 months, and stressed patience.
Top opportunities
As for where Templeton sees the best opportunities in stocks today, she said she likes firms with growing dividends as it signals a company is healthy, especially as the period of free money ends.
"Solid dividend growth can be a sign of strong capital allocation, and moreover, dividend-yielding stocks have historically performed better during periods of high inflation," she said. "The good news is that in market environments like today, where the selling is widespread, we believe you can still find bargains meeting these criteria."
The iShares Core Dividend Growth ETF (DGRO) is one way to get diversified exposure to firms growing their dividends.
More: Investing bear market 2022 stock market investing | 2022-06-01T13:44:59Z | www.businessinsider.com | 4 Tips for Winning in the Bearish Environment in Stocks: Templeton | https://www.businessinsider.com/top-tips-investing-winning-bearish-environment-stock-market-john-templeton-2022-5 | https://www.businessinsider.com/top-tips-investing-winning-bearish-environment-stock-market-john-templeton-2022-5 |
On January 16, just a few hours after Janikka Perry ended her shift at an Arkansas Walmart, she was found in the bathroom, unresponsive.
According to a Medium post from her sister, Nicoshe James, Perry — a 38-year-old mother and grandmother — felt ill during her shift, but continued working. A supervisor excused her to go to the bathroom when Perry said she felt ill, according to James, and Perry then completed her shift. James wrote on Medium that her sister was likely "scared to call off and then scared to leave work in the middle of her shift."
Now James, a former Walmart associate, and current workers are calling on Walmart to enact a plan that would ensure sick employees receive time off and that associates have a voice in the company. It's the latest instance of workers asking for more— and one that associates say is imperative for the future of workers and the company. James will address the company's shareholder meeting on June 1 in pre-recorded testimony to talk about her sister and the proposal. Advocates will rally on June 2 in Bentonville, Arkansas to remember Perry.
"We express our deep condolences to Ms. Perry's family and friends. We can all agree that Ms. Perry was a valued teammate and well-liked by those in the Walmart family who knew her," Jimmy Carter, a Walmart spokesperson, said in a statement to Insider. "We disagree with how the circumstances have been characterized publicly. Out of respect for everyone involved, we are not going to publicly discuss details further."
To address this and other issues, Murray's been calling for years for Walmart associates to have a voice on the company's board of directors, which steers corporate decisions. One request was for the company to form a pandemic taskforce that would include associates and executives crafting the company's policies.
More: Economy Walmart Paid Leave Sick Leave | 2022-06-01T13:45:11Z | www.businessinsider.com | Janikka Perry Died at Her Walmart Job. Workers Are Calling for Paid Leave, a Voice. | https://www.businessinsider.com/walmart-worker-janikka-perry-died-annual-meeting-paid-leave-board-2022-5 | https://www.businessinsider.com/walmart-worker-janikka-perry-died-annual-meeting-paid-leave-board-2022-5 |
Britain's Prime Minister Boris Johnson hosts a virtual press conference on January 4, 2022.
JACK HILL/POOL/AFP via Getty Images
A Tory peer who covered the cost of Boris Johnson's flat refurbishment was pitching a £115m event.
Brownlow proposed a Great Exhibition 2.0, described as "TED meets Davos meets Expo", The Times reports.
Johnson requested Brownlow's help with financial matters while saying he was considering the proposal.
The Conservative peer who initially paid £112,000 towards the cost of the refurbishment of Boris Johnson's Downing Street flat simultaneously sought his support for a £115 million project.
The event, called the Great Exhibition 2.0, centered around the Royal Albert Hall, where Lord Brownlow is a trustee.
He was caught up in last year's so-called Wallpapergate saga, after it emerged he had given £52,000 to the Conservative Party to repay the Cabinet Office, which had originally covered the costs.
Brownlow paid a further £60,000 direct to suppliers such as the interior designer Lulu Lytle, the Electoral Commission revealed in a December 2021 report.
At the same time as Johnson was discussing the refurbishment with Brownlow, he gave the peer assurances he was looking into Brownlow's proposal for the Great Exhibition 2.0, according to messages published subsequently.
Brownlow had provided Johnson with a 21-page proposal for the project, which would range from air taxis to how in 150 years, "we perhaps become a different more superior species altogether", the Times reported.
It would be "Ted meets Davos meets Expo", Brownlow said in messages to Johnson.
In one message, Johnson asks Brownlow, who he had appointed to be the chair of the Downing Street trust, if he could ask Lytle to get in touch with Brownlow for approvals of work to the flat, as parts of it "are still a bit of a tip".
"Ps am on the great exhibition Will revert", Johnson added.
Brownlow agreed to the plan to contact Lytle and thanked Johnson "for thinking about GE2".
Messages between Brownlow and Johnson were referred to the Commission's report.
Although some were later published by ethics adviser Lord Geidt, further messages and details of the proposal were released to the Times in a freedom of information request.
Ministers insisted at the time of the publication of the original messages that there was "nothing untoward" about the correspondence between Brownlow and Dowden.
However Labour's deputy leader, Angela Rayner, accused Johnson of "corruption plain and simple".
—George Grylls (@georgegrylls) June 1, 2022
The Great Exhibition 2.0 was to be held in 2022, a sequel to the Victorian-era Great Exhibition of 1851. Brownlow's proposal would see the exhibition centered around the Royal Albert Hall and Hyde Park. Brownlow is a trustee at the music venue, dedicated in memory of Queen Victoria's husband, Prince Albert.
While the project did not ultimately receive approval, Brownlow met with then-Culture Secretary Oliver Dowden in January 2021 to discuss the plan two months after his messages with Johnson about the flat refurbishment.
The Department of Digital, Culture, Media and Sport is yet to respond to Insider's freedom of information request for records between Dowden and Brownlow.
More: UK Politics News UK Downing Street Boris Johnson | 2022-06-01T14:49:11Z | www.businessinsider.com | Downing Street Flat Refurb Donor Pitched £115 Million Event: Report | https://www.businessinsider.com/downing-street-flat-refurb-donor-pitched-115-million-event-report-2022-6 | https://www.businessinsider.com/downing-street-flat-refurb-donor-pitched-115-million-event-report-2022-6 |
Check out the 23-slide pitch deck Hourly, an insurance tech startup streamlining workers' comp, used to raise $27 million
Hourly cofounders, Tom Sagi (CEO) and Shay Litvak (CTO)
Worker compensation platform Hourly raised a $27 million Series A led by Gillot Capital Partners.
The startup's app enables small businesses to streamline workers' payrolls and insurance.
Check out the 23-slide deck used to secure the fresh funds.
A startup that tracks workers' compensation, payroll, and time-logging in one platform just raised $27 million in fresh funds.
California-based Hourly, which was founded in 2019, aims to save businesses thousands of dollars in insurance costs. Founder Tom Sagi came up with the idea for the company when he struggled to find an alternative to the time-consumer process of managing invoices and tracking timesheets on an hourly basis.
"The vision was simple," Sagi told Insider. "I wanted to be able to pay my whole team in minutes from my phone and see my real-time labor costs, including workers' comp insurance, down to the penny."
Hourly's app streamlines the payroll process by enabling companies to pay employees in under a minute and calculate their compensation in real-time. Employees can manage their withholdings, access their tax documents — which are automatically filed — and set up a direct deposit.
"We started off selling our payroll and time tracking platform, but quickly realized that in order to solve the exact problem that businesses have, we need to add the workers' comp insurance piece of the puzzle," Sagi said.
Business owners can subscribe to Hourly's platform, with a monthly starting rate of $6 per person.
The round was led by Israeli-VC firm Gillot Capital Partners, which has previously backed enterprise management startups Cider and insurance tech startup At-Bay, with existing seed investors S Capital, Vintage Investment Partners, and additional backers J-Ventures participating. This brings the startup's total funding to nearly $35 million.
Sagi noted some key tips for founders to consider as he transitioned away from fundraising for a seed round to a Series A.
"Building and maintaining a strong relationship with existing investors is another critical job for startup founders," he said.
While the seed stage "encompassed more storytelling", there's "already traction and KPIs you can look at during a Series A," he added.
Sagi highlighted the importance of amplifying achievements, positive trends, and sharing growth objectives so that investors had an idea of their vision. In a Series A, the "data analytics matter much more" and have to support the wider narrative that a deck is relaying.
With the fresh funds, Hourly will expand its operations out of California, and grow its service offerings to cover a third of the US population by the end of 2023.
More: Features Insurance Startup | 2022-06-01T14:49:13Z | www.businessinsider.com | Hourly: Insurance Tech Startup Raises $27 Million Series a | https://www.businessinsider.com/hourly-insurtech-startup-raises-27-million-series-a-pitch-deck-2022-5 | https://www.businessinsider.com/hourly-insurtech-startup-raises-27-million-series-a-pitch-deck-2022-5 |
Now Hiring signs are displayed in front of restaurants in Rehoboth Beach, Delaware, on March 19, 2022.
US job openings fell to 11.4 million in April, according to JOLTS data published Wednesday.
That matched the median forecast for 11.4 million openings and came in below the March record.
The data confirms the labor shortage pushed further into 2022 as firms continued to struggle with hiring.
Job openings remained extraordinarily elevated through April as businesses continued to struggle with rehiring and swaths of Americans remained on the labor market's sidelines.
The number of nationwide openings totaled 11.4 million at the end of April, according to Job Openings and Labor Turnover Survey, or JOLTS, data published Wednesday morning. Economists surveyed by Bloomberg expected openings to dip to 11.4 million through the month. The March sum was revised to 11.9 million from 11.5 million, leaving the April report to show a small dip from the previous month's reading.
Openings declined the most at health care and social assistance businesses, with the sector shedding 266,000 job listings through the month. Retailers followed with a decline of 162,000 openings, while hotels and restaurants lost 113,000 openings in April.
Transportation, warehousing, and utilities businesses saw the largest increase in openings, with such firms adding 97,000 listings. Nondurable goods manufacturers took on 67,000 openings, and durable goods manufacturers followed with a 53,000-opening uptick, signaling continued strength in the industry as demand continues to outstrip supply.
The monthly JOLTS release offers economists a detailed look at just how the labor shortage trended early in the second quarter. While the pandemic recovery has featured a superlative rebound in US payrolls, it's also boasted a historic gap between labor demand and worker availability. For reasons ranging from child care pressures to virus fears, millions of Americans are still not participating in the workforce, meaning they're not employed or actively looking for work. With participation much slower to recover than overall payrolls, businesses have struggled to hire and retain employees.
That's also why the unemployment rate is so low. Since those Americans aren't actively seeking jobs, they aren't counted as unemployed in the headline U-3 unemployment rate. As such, the 3.6% rate seen through April is somewhat misleading, as there are many Americans who were working before the pandemic and have yet to return to the labor market.
The latest data shows little change in the imbalance through April. The number of available workers for every job opening held at 0.5, matching the record low first seen in March. It usually takes several years for a post- recession economy to experience such a tight labor market. Even then, the US hasn't seen such a wide gap between workers and openings since at least 2000, when JOLTS data collection began.
The abundance of openings has also contributed to the months-long wave of quitting. Quits reached 4.4 million in April, according to the Wednesday report, falling slightly from March's total and marking the eleventh consecutive month of more than 4 million walkouts. Such widespread quitting tends to occur when workers are confident in their ability to leave their current job for better work elsewhere. With openings almost doubling the pre-crisis count, the quitting streak suggests Americans are still taking advantage of strong demand for workers.
More: Economy Economic Data Economic Indicators JOLTS
Jobs recovery | 2022-06-01T14:49:15Z | www.businessinsider.com | US Job Openings Drop to 11.4 Million in April JOLTS Report | https://www.businessinsider.com/job-openings-jolts-april-labor-shortage-hiring-recovery-economic-data-2022-5 | https://www.businessinsider.com/job-openings-jolts-april-labor-shortage-hiring-recovery-economic-data-2022-5 |
We're seeking nominations for Insider's list of the 30 leaders under 40 transforming healthcare. Here's how to apply.
From left: Dr. Isaac Kinde, head of research and innovation and a co-founder of Thrive, Dr. Asima Ahmad, Carrot Fertility cofounder and chief medical officer, Harpreet Singh Rai, Oura CEO, and Deena Shakir, Lux Capital partner. These leaders were featured on Insider's 2021 list of 30 leaders under 40 transforming healthcare.
Thrive; Carrot Fertility; Oura; Deena Shakir; Samantha Lee/Insider
Insider is seeking nominations for our annual 30 under 40 in healthcare list.
We're interested in featuring a diverse group of leaders from startups and established firms.
By June 24, submit your nominations through this form.
Insider is looking for nominations for the next edition of our annual list of the 30 people under 40 who are shaping the future of healthcare.
This will be our sixth edition of the list, and we're interested in featuring a diverse group of rising leaders. That may include entrepreneurs as well as researchers and clinicians, from startups and established firms. Nominees should be able to show how their work is transforming healthcare. Submit their names via this form.
If you've been named to a previous edition of our 30 under 40 in healthcare list, you are not eligible for this list. If you turn 40 any time in the year 2022, you are still eligible for our list.
Here's a look at the leaders who made it onto Insider's 2021 30 under 40 in healthcare list.
The deadline for submissions is June 24 . Have questions? Please email us at healthcare@insider.com.
Please tell us more about the person you'd like to nominate in this form or below.
More: 30 under 40 30 under 40 transforming healthcare Biotech Healthcare | 2022-06-01T14:49:37Z | www.businessinsider.com | Nomination Form for 30 Under 40 in Healthcare List | https://www.businessinsider.com/nomination-form-for-30-under-40-in-healthcare-list-2022-5 | https://www.businessinsider.com/nomination-form-for-30-under-40-in-healthcare-list-2022-5 |
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