With so many well-funded dotcoms running out of cash, you gotta wonder: Where’s all that money going? In many cases, expensive ad campaigns are the culprit.
APBnews, a crime-reporting news site that went under this month, spent nearly $10 million of its $25 million funding on advertising. Beyond.com, an e-tailer with net losses of $125 million last year, reportedly increased its sales and marketing budget from $1.7 million in 1997 to $81 million in 1999.
Fun to Look at, But Who is Looking?
Already ads are being designed specifically for locations on the Web that are exclusive to those with high bandwidth (connection speeds of 300-500K per second or more). But for now, that number of people is limited (only 3 million or so, depending whose numbers are used). So who is seeing these ads and what exactly do they do?
There’s plenty of talk about companies that develop and deliver
Tech incubators are so popular these days that they’re practically passe. With more than 800 of them, they’re just “too common” — to steal the words of one uppity boutique owner who once sneered at me when I asked for Calvin Klein sunglasses. But there’s a new class of company emerging that’s part incubator, mixed with a pinch of holding company, and a dash of venture capital. True, these companies bare many of the same marks
Online broker Ameritrade has a reputation for entertaining television ads. So, too, has rival E-Trade. But their stocks have turned in less-than-amusing performance.
Just look at how these brokerages performed after reporting results that exceeded even the most optimistic expectations. In the first quarter, Ameritrade netted 306,000 new accounts — nearly equal to the 332,000 new accounts it tallied in all of 1999. Still, the stock price dropped — along with the rest of the Nasdaq
For the vast majority of businesses, loan
financing comes from private banks. As what
a lender is able to offer varies signifi-
cantly from bank to bank in terms of cost
and size of loan, as well as repayment
schedule, it is advisable to shop around
at several lending institutions (both large
and small) for capital. Also keep in mind
that while small independent banks have
long been committed to financing community-
based firms, several major
Every year small businesses and their employees spend billions of dollars
for a promise — a promise that if certain things go wrong, their insurance
company will step in and provide financial relief. It’s a significant
expense for something they can’t really see, but which protects their very
Because insurance is invisible, complex and can differ widely from one
business to another, it’s hard to know if you have the right coverage in