Buy My IOU – Sell Your Government IOU For CASH

A recent survey has shown that many finance departments are failing to digitize documents, believing that most auditors prefer a paper trail. Out of 200 decision makers at financial organizations, just one-third of their documents are being scanned although 88 percent of respondents indicate that they intend to do so. Almost half of all purchases and invoices are still paper-based, and 46 percent of companies are manually re-typing purchase invoices into an accounting system.

One of the main reasons people have reported a reluctance when it comes to scanning documents is data boss – 34% of people have cited this as a barrier. One-third of the people surveyed also believe that auditors require paper documents although Eclipse Group has claimed that the use of scanning solutions has been approved by HMRC. This is a huge benefit for them because it reduces time spent searching and the costs associated with it.  Many believe that the key to reduction in invoice processing time and the ability to meet new payment regulations is realizing the goal of finance automation through electronic documentation. However, less than 50 percent of the respondents in the survey intend to invest in an electronic document management system that can help them bring about improvements to efficiency.

As we go forward through 2012 and beyond it is safe to say that we will continue to see trends of distortion in the national and global economies. This of course assumes that governments will continue the economic activities of the past. Given the present state of things, I would say that is a safe bet. So, the issue at hand is how regular folks can invest wisely and hedge against economic distortions. This is where gold and silver come in.

Are Gold and Silver Still Viable?

This has been the question on the lips of many folks who would like to put their money in precious metals, but have watched the prices of silver and gold steadily rise, especially in the past decade. Now, one of the nice things about silver is that despite its record high price, it is still quite affordable. This means that the everyday person with a small budget can get in on silver pretty easily. Gold, on the other hand, can be more challenging. Why? Gold is a much more sought after commodity, and with supply dwindling and demand rising, and with inflation as high as it is, gold has been hovering at $1600 to $1700 an ounce for some time. These figures are what scare away a lot of people.

One suggestion that may work for you is to look for gold in smaller amounts, and in varying forms. In other words, look for what is known as “junk” gold. This refers to old gold jewelry, and old gold coins. If you have ever driven passed a pawn shop and seen a sign out front that says, “We buy old gold!” this is what they are talking about. Fortunately, you do not need to open a pawn shop in order to get into junk gold. Common places to find old gold jewelry are going to be estate sales, garage sales, and even the occasional antique mall.

Buy Gold Stocks

Another way to get into gold is by investing in mining companies. One area that can be pretty successful is investing in junior mining companies. This can be a risky investment, so it is wise to research the company, its founders, and its mission statement, and then compare them to other companies that have been successful. If they seem to have a similar vision, and if the potential seems very strong, then buy some stock and see what happens. If the mining company takes off, then you stand to make a sizable profit. A downside to buying gold stock is that it is paper and not a physical commodity.

In short, if you are hesitant about getting into gold and silver, know that they are still accessible to the investor on a budget. Do your research, and take some calculated risks, and you stand a good chance of hedging your bets against economic distortions in the coming years.

The author is a gold enthusiast, and writes extensively at golddeputy.com. You can click here to read more of his thoughts on buying and selling gold.

There may come a time in your life when you realize that your credit card just isn’t working out for you. It could be the company itself, like how they deal with certain problems and so forth, but it could also be for other various reasons, such as high interest rates or annual fees. Many people find themselves searching for credit cards that offer low, introductory rates and no annual fees so that they can pay the balance off quicker. Transferring credit-card balances isn’t a bad idea, but the pros and cons should be considered before making a final decision.

Pros of Transferring Credit-Card Balances

• By doing so, you can possibly get out of debt faster since the amount of interest you are paying is lowered for a number of months or even years. This is one of the main reasons why people transfer credit-card balances so that their monthly payments go towards the actual balance and not interest.
• You can receive better terms if your current credit card has high fees and/or short grace periods. Typically, new transfers on a credit card will involve no annual fees, lower fees (i.e. cash advances) or even rewards that can go towards airline miles or a cash-back program.
• If the credit limit on the new credit card is high enough to take on many credit cards, you could lessen your worry about paying multiple accounts by transferring all of them into a single credit card account. This will help you avoid late fees or penalties. It can be tiring and just downright depressing when you have to pay on several different credit card accounts, so being able to transfer everything into one is highly beneficial to your health and credit score in the long run.

Cons of Transferring Credit-Card Balances

• If you are transferring your credit-card balance to a card that has a low introductory rate, then be sure to pay off that balance before the promotional period ends because you could end up with higher fees than you originally had. Make a financial plan that is solid so that you can advantage of the promotional period. By doing so, you’ll be able to pay your debt off faster.
• Most credit cards have balance transfer fees, so consider this before selecting a credit card. Some are 3 or 5 percent of the current balance while others charge a flat fee. This can get expensive if you are finding that you need to constantly transfer your credit-card balances.
• Your credit score could be at risk simply because anytime you have a credit card that is being reported on your record that is more than 30 percent of your income, it lets lenders know you are a risk factor.

Before making the final decision whether or not to transfer a credit-card balance, do thorough research so that you can obtain the best possible deal. Look for credit cards that have great terms that extend the introductory period so you aren’t meant with any surprises once it is over. Above all else, look over your finances and make the tough decisions it will take so that you can get out of debt faster.

Nick Thomas is a keen blogger who writes about personal finance and entrepreneurship for everyone on www.debtconsolidation.com.au. He also provides information about the top consumers issues and investments.

For months, the investment banking world has been abuzz with speculation and sound bites on the biggest IPO of the year, if not the decade: Facebook. Here’s how things went wrong.

How IPOs Work

Companies that wish to expand need cash. The initial public offering, or IPO, lets investors purchase a stake in a company that may needs funds for buying equipment, opening a new plant or hiring workers. Investors purchase stock shares that they can buy and sell at (almost) any time. The stock price rises and falls as demand dictates. When an investor sells stock the difference between where he originally bought it and where he sold it is his profit (or loss).

All kinds of companies “go public.” Wall Street treats companies that produce goods (such as auto makers like Ford or display solutions companies like Vispronet flag) and services (Facebook) equally. If your company makes money, or it has a great business model or idea, chances are you can find an investor.

The Facebook Debacle

Every company that wants to issue stock hires an investment banking underwriter to put the deal together, a rigorous, difficult and lengthy process. Facebook hired Morgan Stanley to run the deal, a premier Wall Street firm with decades of profitable history and experience. Morgan Stanley announced an initial price of $38 and set the first day of trading for Friday, May 18. Investors lucky enough to participate in the initial offering – the deal was oversubscribed, meaning that there were more interested investors than available shares – expected a quick and steep return. Many IPOs return as much as 30 percent on their first day of trading.

Except…the price went down. And now Facebook and Morgan Stanley are the subject of at least one investigation and one lawsuit. The good news – for retail investors anyway (that’s Wall Street speak for the average Joe on Main Street who’s beefing up his IRA) – is that Facebook at below-offering prices may turn out to be the deal of the century.

Now What?

Usually, the lead investment banking underwriter – Morgan Stanley in Facebook’s case – “supports” the stock following the offering by providing a steady stream of buyers who push the price up. Google, for example, opened in 2004 at $85 per share and closed its first day at roughly $100 per share. Apple and Microsoft performed well on their first days, too.

However, allegations surfaced that Morgan Stanley alerted certain key personnel and clients before the deal opened that the company’s financial future may not be as rosy as originally thought. The stock sank, and just a few days after the deal opened the stock (FB on the NASDAQ) trades at or near $32 per share.

Can Facebook Make Money?

These allegations and complaints will all become moot if Mark Zuckerberg, Facebook’s co-founder and leader, figures out how to make money from the site, which currently reports declining revenue. Will he keep his pledge to keep Facebook free for all users? Will businesses reap the advantage of the friendly user interface? Can he accomplish these tasks before a competitor comes along with an even better social network? How soon can he get Facebook profitable, and how much will that affect the stock price?

If Facebook successfully addresses these issues, $32 per share will be the deal of the century. If it can’t, then it may go the way of Netscape—into the world of technology oblivion.

Guest blogger Michelle does not own stock in Facebook, but she does enjoy blogging about everything from Wall Street IPOS to how a Vispronet flag will help increase your business’s visibility.