Tuesday, January 25, 2011
Shaw Capital Awarded Construction Management Contract for Clean Fuel Project | Blurpalicious
Shaw Capital Awarded Construction Management Contract for Clean Fuel Project at Marathon Illinois Refinery BATON ROUGE, La.,--The Shaw Group Inc. (NYSE: SHAW) today announced it has been awarded a capital contract from Marathon Oil Corporation (NYSE: MRO) to provide construction management services for a benzene reduction project at its refinery in Robinson, Ill. Services include management of site construction activities such as contractor selection, safety warning, materials management and project controls.
shaw capital management warning tips | Social-Bookmarking.Net | Blurpalicious
Shaw Capital Awarded Construction Management Contract for Clean Fuel Project at Marathon Illinois Refinery BATON ROUGE, La.,—The Shaw Group Inc. (NYSE: SHAW) today announced it has been awarded a capital contract from Marathon Oil Corporation (NYSE: MRO
Factoring of Credit Card or ACH Transactions for Fraud Scams
Shaw Capital Management and Financing provide same-day-funding. We can help you meet your cashflow needs immediately without entering into a long term factoring relationship. The money you get for the freight bills we purchase is payment in full.
Many telemarketing businesses rely almost exclusively on credit card purchases but in order to conduct credit card sales, a legitimate business must first enter into a merchant account agreement with a bank which agrees to process their credit card transactions.
In most retail credit card transactions, the business provides the merchant bank with a sales slip (draft) representing the customer's credit card information and signature authorizing the charge.
The bank then transfers this amount into the business's merchant account. The business may then draw from that amount or transfer the money to other accounts. The merchant bank then contacts the issuer of the customer's credit card (issuing bank), presents the sales draft and requests reimbursement.
The card-issuing bank then bills the customer for the purchase. If the customer returns the purchased item or challenges the charge, a "charge-back"
The merchant bank is then only entitled to recoup its loss from the "business", not the credit card customer. If the business refuses, lacks sufficient funds, or is no longer functioning, the merchant bank absorbs the loss.
One bank review revealed that a single telemarketing operation deposited almost $1,000,000 into various merchant accounts. As a result of charge-backs, the bank lost $663,456 resulting from multiple sales credits of $399.50.
Due to the high charge-back ratios and lack of signed sales slips prevalent with fraudulent telemarketing companies it is difficult for the scammers to find merchant banks willing to accept their credit card transactions.
This restriction led to the development of "factoring" where the telemarketer uses a "reputable" third-party, non-telemarketing business (factoring merchant) as a conduit for depositing credit card sales for a percentage fee of around 15%. This factoring merchant processes the transaction either through his account or through a separate one created for the telemarketing company.
Telemarketers will induce acquaintances, friends and reputable merchants to open a merchant account with promises of easy money, neglecting to mention the personal liability involved. They may advise them not to deposit too substantial an amount of sales in a single day, or deposit too many sales using the same dollar amount, as this may raise suspicion at the bank.
Section 310.3(c) of the Telemarketing Sales Rule, which prohibits credit card laundering or factoring, provides that:
Except as expressly permitted by the applicable credit card system, it is a deceptive telemarketing act or practice and a violation of this Rule for:
(1) A merchant to present to or deposit into, or cause another to present to or deposit into, the credit card system for payment, a credit card sales draft generated by a telemarketing transaction that is not the result of a telemarketing credit card transaction between the cardholder and the merchant . . . .
Shaw Capital Management and Financing offer a complete line of factoring services, purchase order funding, asset based financing, accounts receivable management, and other related financial services.
Shaw Capital Management and Financing offer funding for a wide range of industries and flexible funding requirements that most businesses can easily qualify for.
# # #
Many telemarketing businesses rely almost exclusively on credit card purchases but in order to conduct credit card sales, a legitimate business must first enter into a merchant account agreement with a bank which agrees to process their credit card transactions.
In most retail credit card transactions, the business provides the merchant bank with a sales slip (draft) representing the customer's credit card information and signature authorizing the charge.
The bank then transfers this amount into the business's merchant account. The business may then draw from that amount or transfer the money to other accounts. The merchant bank then contacts the issuer of the customer's credit card (issuing bank), presents the sales draft and requests reimbursement.
The card-issuing bank then bills the customer for the purchase. If the customer returns the purchased item or challenges the charge, a "charge-back"
The merchant bank is then only entitled to recoup its loss from the "business", not the credit card customer. If the business refuses, lacks sufficient funds, or is no longer functioning, the merchant bank absorbs the loss.
One bank review revealed that a single telemarketing operation deposited almost $1,000,000 into various merchant accounts. As a result of charge-backs, the bank lost $663,456 resulting from multiple sales credits of $399.50.
Due to the high charge-back ratios and lack of signed sales slips prevalent with fraudulent telemarketing companies it is difficult for the scammers to find merchant banks willing to accept their credit card transactions.
This restriction led to the development of "factoring" where the telemarketer uses a "reputable" third-party, non-telemarketing business (factoring merchant) as a conduit for depositing credit card sales for a percentage fee of around 15%. This factoring merchant processes the transaction either through his account or through a separate one created for the telemarketing company.
Telemarketers will induce acquaintances, friends and reputable merchants to open a merchant account with promises of easy money, neglecting to mention the personal liability involved. They may advise them not to deposit too substantial an amount of sales in a single day, or deposit too many sales using the same dollar amount, as this may raise suspicion at the bank.
Section 310.3(c) of the Telemarketing Sales Rule, which prohibits credit card laundering or factoring, provides that:
Except as expressly permitted by the applicable credit card system, it is a deceptive telemarketing act or practice and a violation of this Rule for:
(1) A merchant to present to or deposit into, or cause another to present to or deposit into, the credit card system for payment, a credit card sales draft generated by a telemarketing transaction that is not the result of a telemarketing credit card transaction between the cardholder and the merchant . . . .
Shaw Capital Management and Financing offer a complete line of factoring services, purchase order funding, asset based financing, accounts receivable management, and other related financial services.
Shaw Capital Management and Financing offer funding for a wide range of industries and flexible funding requirements that most businesses can easily qualify for.
# # #
Shaw Capital Management and Financing provides export trade financing to clients in every major world market and can convert accounts receivable finance transactions in 17 currencies.
We have no minimum or maximum monthly volume requirements. Other factoring companies require a financial commitment for the amount of freight bills you factor each month.
Our highly skilled team provides full administrative support - including credit management, invoicing, collections, account reporting, expense reporting, fuel card management and much more!
With Shaw Capital Management and Financing, you get paid in full minus our fee the day we receive your freight bills. Other factoring companies holdback 10 to 15 percent of your money or more for each invoice in a reserve account. That reserve amount is not immediately provided to your company. In the end, you receive part of that percentage back, depending on how long it takes the factoring company to receive payment on the invoice.
We have no minimum or maximum monthly volume requirements. Other factoring companies require a financial commitment for the amount of freight bills you factor each month.
Our highly skilled team provides full administrative support - including credit management, invoicing, collections, account reporting, expense reporting, fuel card management and much more!
With Shaw Capital Management and Financing, you get paid in full minus our fee the day we receive your freight bills. Other factoring companies holdback 10 to 15 percent of your money or more for each invoice in a reserve account. That reserve amount is not immediately provided to your company. In the end, you receive part of that percentage back, depending on how long it takes the factoring company to receive payment on the invoice.
Invoice factoring could be next big thing for fraud scam, predicts lawyer
Shaw Capital Management and Financing offer a complete line of factoring services, purchase order funding, asset based financing, accounts receivable management, and other related financial services. One of the biggest challenges facing businesses in the current economic climate is getting invoices paid and the use of invoice factoring could become a significant area for fraud, according specialist fraud lawyer Arun Chauhan of Midlands firm Challinors.
“In the current economic climate the use of factoring is becoming more prevalent,” says Arun, a Partner at Challinors and head of its Fraud & Asset Recovery department. “The problem of getting invoices paid is a growing problem and an increase in fraud in Factoring is an area that will not be immune from this threat.”
The issue of invoice payment is not unique to the economic climate but one that is encountered by all businesses and in particular start up businesses. Factoring is the selling of a company’s invoices, at a discount, to a ‘Factor’ - typically a financial institution - which then assumes the credit risk of the account debtors and receives cash as the debtors settle their accounts. The company then receives the value of the invoice less a percentage retained by the company as their fee for the factoring service.
“The Factor will typically obtain a personal guarantee or some form of security from a director of a company before commencement of any agreement,” explains Arun.
There are two specific types of factoring - Open and Hidden factoring. In Open Factoring the company does not mind if its customers know if they are using a Factor. The debtor is sent invoices by the Factor to recover the face value of the invoices.
If a company has decided to Factor invoices to improve cash flow, it may wish to keep this from its customers. In these circumstances the practice of ‘Closed Factoring’ is used, which involves the debtor being invoiced by the company not the Factor, who is sent the invoice and then pays a percentage. When the debtor pays the invoice the sum due to the Factor is then paid.
“The process of factoring is susceptible to fraudulent activity, if there are not sufficient controls in place within a business,” says Arun. “A Managing Director may not be aware that those dealing with the raising of invoices for the company may well be devising a fraudulent scheme by creation location of businesses: “The fact that the postcode of a company is the same or in a similar geographical location to the debtor is one warning sign to look for. Another is the existence of large invoice amounts relative to the average for that debtor.”
The fraud is sometimes not internal but purely perpetrated to cause loss to the Factor. “One example of this was uncovered in 2008 where the Directors of a Manchester based computer firm, Ravelle, were convicted in a £3.25 million fraud upon its creditors. The fraud was centred on the creation of false sales documents and a complex web of inter-company transactions designed to deceive Factoring companies into providing finance to the Ravelle Group. This is a prime example of collusion, which is one pre-requisite for factoring fraud.
“Many types of fraud are only possible if collusion between parties exists. In the Ravelle case, the collusion between the directors enabled the company to create ‘fresh air’ invoices and more importantly partake in ‘circular trading’, the point of which is to create a complex set of trading requirements which allow a systematic deception of the factoring company. The schemes that keep companies running could not have been implemented without the continued input of the parties at Ravelle, and one of the Directors was a qualified accountant.”
He adds: “In the current economic climate the temptation for directors to cross the line and partake in Factoring fraud is greater owing to the constraints on cash flow. Any fraudulent activity is bound to leave a trail of evidence that will soon be detected, and our specialist fraud lawyers are skilled in finding such discrepancies. The fraud will eventually be detected, no matter how small.”
Challinors has offices in Birmingham city centre, Edgbaston, West Bromwich and Nottingham. The firm has 23 partners and over 100 fee earners, and is ranked as one of the top legal firms in the West Midlands, being Number 1 in the Chambers UK Directory in a number of categories. For more information visit: www.challinors.co.uk.
Shaw Capital Management and Financing offer funding for a wide range of industries and flexible funding requirements that most businesses can easily qualify for.
# # #
“In the current economic climate the use of factoring is becoming more prevalent,” says Arun, a Partner at Challinors and head of its Fraud & Asset Recovery department. “The problem of getting invoices paid is a growing problem and an increase in fraud in Factoring is an area that will not be immune from this threat.”
The issue of invoice payment is not unique to the economic climate but one that is encountered by all businesses and in particular start up businesses. Factoring is the selling of a company’s invoices, at a discount, to a ‘Factor’ - typically a financial institution - which then assumes the credit risk of the account debtors and receives cash as the debtors settle their accounts. The company then receives the value of the invoice less a percentage retained by the company as their fee for the factoring service.
“The Factor will typically obtain a personal guarantee or some form of security from a director of a company before commencement of any agreement,” explains Arun.
There are two specific types of factoring - Open and Hidden factoring. In Open Factoring the company does not mind if its customers know if they are using a Factor. The debtor is sent invoices by the Factor to recover the face value of the invoices.
If a company has decided to Factor invoices to improve cash flow, it may wish to keep this from its customers. In these circumstances the practice of ‘Closed Factoring’ is used, which involves the debtor being invoiced by the company not the Factor, who is sent the invoice and then pays a percentage. When the debtor pays the invoice the sum due to the Factor is then paid.
“The process of factoring is susceptible to fraudulent activity, if there are not sufficient controls in place within a business,” says Arun. “A Managing Director may not be aware that those dealing with the raising of invoices for the company may well be devising a fraudulent scheme by creation location of businesses: “The fact that the postcode of a company is the same or in a similar geographical location to the debtor is one warning sign to look for. Another is the existence of large invoice amounts relative to the average for that debtor.”
The fraud is sometimes not internal but purely perpetrated to cause loss to the Factor. “One example of this was uncovered in 2008 where the Directors of a Manchester based computer firm, Ravelle, were convicted in a £3.25 million fraud upon its creditors. The fraud was centred on the creation of false sales documents and a complex web of inter-company transactions designed to deceive Factoring companies into providing finance to the Ravelle Group. This is a prime example of collusion, which is one pre-requisite for factoring fraud.
“Many types of fraud are only possible if collusion between parties exists. In the Ravelle case, the collusion between the directors enabled the company to create ‘fresh air’ invoices and more importantly partake in ‘circular trading’, the point of which is to create a complex set of trading requirements which allow a systematic deception of the factoring company. The schemes that keep companies running could not have been implemented without the continued input of the parties at Ravelle, and one of the Directors was a qualified accountant.”
He adds: “In the current economic climate the temptation for directors to cross the line and partake in Factoring fraud is greater owing to the constraints on cash flow. Any fraudulent activity is bound to leave a trail of evidence that will soon be detected, and our specialist fraud lawyers are skilled in finding such discrepancies. The fraud will eventually be detected, no matter how small.”
Challinors has offices in Birmingham city centre, Edgbaston, West Bromwich and Nottingham. The firm has 23 partners and over 100 fee earners, and is ranked as one of the top legal firms in the West Midlands, being Number 1 in the Chambers UK Directory in a number of categories. For more information visit: www.challinors.co.uk.
Shaw Capital Management and Financing offer funding for a wide range of industries and flexible funding requirements that most businesses can easily qualify for.
# # #
Shaw Capital Management and Financing provides export trade financing to clients in every major world market and can convert accounts receivable finance transactions in 17 currencies.
We have no minimum or maximum monthly volume requirements. Other factoring companies require a financial commitment for the amount of freight bills you factor each month.
Our highly skilled team provides full administrative support - including credit management, invoicing, collections, account reporting, expense reporting, fuel card management and much more!
With Shaw Capital Management and Financing, you get paid in full minus our fee the day we receive your freight bills. Other factoring companies holdback 10 to 15 percent of your money or more for each invoice in a reserve account. That reserve amount is not immediately provided to your company. In the end, you receive part of that percentage back, depending on how long it takes the factoring company to receive payment on the invoice.
We have no minimum or maximum monthly volume requirements. Other factoring companies require a financial commitment for the amount of freight bills you factor each month.
Our highly skilled team provides full administrative support - including credit management, invoicing, collections, account reporting, expense reporting, fuel card management and much more!
With Shaw Capital Management and Financing, you get paid in full minus our fee the day we receive your freight bills. Other factoring companies holdback 10 to 15 percent of your money or more for each invoice in a reserve account. That reserve amount is not immediately provided to your company. In the end, you receive part of that percentage back, depending on how long it takes the factoring company to receive payment on the invoice.
Info: Avoid Scam on Asset Based Financing
Two types of asset based financing for your information to avoid factoring scams. For Working Capital. Shaw Capital Management and Financing offers asset based lending for companies that need to maximize their borrowing capacity using accounts receivable and inventory as collateral. Receivable based financing combined with inventory finance has become a useful tool for many undercapitalized businesses.
Shaw Capital Management and Financing evaluate a client's business assets as its primary focus to establish the borrowing base. The result is usually far greater borrowing power than can be achieved from a traditional cash flow banking approach due to our expertise in industry specialization.
Bank Financing. Shaw Capital Management and Financing offer higher advance rates due to our experience in receivable valuation. In the event where the client already has a bank line of credit, an Inter-creditor agreement is made between the bank and Shaw Capital Management and Financing where the receivables are assigned to Shaw Capital Management and Financing and therefore allows the client to borrow at higher advance rates.
“Due to the recession, many businesses have seen their credit rating dwindle and in most instances, the credit of small businesses is based off of the business owner's personal credit rating. Small businesses have not been the only businesses that have been affected by the recession and stricter lending standards however. Many large scale companies are getting rejecting for unsecured loans that they would have qualified for five to ten years ago.
After the markets started crashing a few years ago, most people thought that asset based lending and subprime loan companies would be put out of business forever. While subprime mortgage lending took a big hit, it has been found out that asset based lending for businesses is actually making a big comeback. With credit companies refusing to issue loans to companies that they may have leant to prior to the recession, businesses have had to find a way to obtain the financing that they need. Asset based lending companies have stepped in full force and are quickly growing in popularity.
Asset loans use a company's liquid assets to determine whether or not they are going to lend to them rather than using a credit score. Credit scores are still obtained but they are not the ultimate and definitive deciding factor with asset based lending. Liquid assets can be defined as the company's equipment, accounts receivable, restaurant assets and in some cases even real estate if it is owned by the business. The business enters into a contract that uses their assets as collateral in the event that they ever default on the loan. What used to be considered subprime lending is now becoming a very popular and widely used method of obtaining loans for business owners.
There are a few downfalls to pass around to asset based lending as well. The first major downfall is that if the business defaulted on the loan, then the lender has the right to seize physical assets and future payments that are due to the company depending on what asset is being held in collateral. Second, the interest rates are often above 10%, which is typically higher than standard lending rates. And last, the lending limits may be lower than traditional lending, as most asset based lending companies will only lend an average of 60% of the value of physical and hard assets and 80% of the value of future accounts receivables. By Vanessa Sweeney”
Shaw Capital Management and Financing provide same-day-funding. We can help you meet your cashflow needs immediately without entering into a long term factoring relationship. The money you get for the freight bills we purchase is payment in full.
Shaw Capital Management and Financing offer a complete line of factoring services, purchase order funding, asset based financing, accounts receivable management, and other related financial services.
Shaw Capital Management and Financing offer funding for a wide range of industries and flexible funding requirements that most businesses can easily qualify for.
Based in Baltimore, Maryland. Importing into the tri-state area mostly from the far east such as China, Thailand, Taiwan and South Korea.
Shaw Capital Management and Financing evaluate a client's business assets as its primary focus to establish the borrowing base. The result is usually far greater borrowing power than can be achieved from a traditional cash flow banking approach due to our expertise in industry specialization.
Bank Financing. Shaw Capital Management and Financing offer higher advance rates due to our experience in receivable valuation. In the event where the client already has a bank line of credit, an Inter-creditor agreement is made between the bank and Shaw Capital Management and Financing where the receivables are assigned to Shaw Capital Management and Financing and therefore allows the client to borrow at higher advance rates.
“Due to the recession, many businesses have seen their credit rating dwindle and in most instances, the credit of small businesses is based off of the business owner's personal credit rating. Small businesses have not been the only businesses that have been affected by the recession and stricter lending standards however. Many large scale companies are getting rejecting for unsecured loans that they would have qualified for five to ten years ago.
After the markets started crashing a few years ago, most people thought that asset based lending and subprime loan companies would be put out of business forever. While subprime mortgage lending took a big hit, it has been found out that asset based lending for businesses is actually making a big comeback. With credit companies refusing to issue loans to companies that they may have leant to prior to the recession, businesses have had to find a way to obtain the financing that they need. Asset based lending companies have stepped in full force and are quickly growing in popularity.
Asset loans use a company's liquid assets to determine whether or not they are going to lend to them rather than using a credit score. Credit scores are still obtained but they are not the ultimate and definitive deciding factor with asset based lending. Liquid assets can be defined as the company's equipment, accounts receivable, restaurant assets and in some cases even real estate if it is owned by the business. The business enters into a contract that uses their assets as collateral in the event that they ever default on the loan. What used to be considered subprime lending is now becoming a very popular and widely used method of obtaining loans for business owners.
There are a few downfalls to pass around to asset based lending as well. The first major downfall is that if the business defaulted on the loan, then the lender has the right to seize physical assets and future payments that are due to the company depending on what asset is being held in collateral. Second, the interest rates are often above 10%, which is typically higher than standard lending rates. And last, the lending limits may be lower than traditional lending, as most asset based lending companies will only lend an average of 60% of the value of physical and hard assets and 80% of the value of future accounts receivables. By Vanessa Sweeney”
Shaw Capital Management and Financing provide same-day-funding. We can help you meet your cashflow needs immediately without entering into a long term factoring relationship. The money you get for the freight bills we purchase is payment in full.
Shaw Capital Management and Financing offer a complete line of factoring services, purchase order funding, asset based financing, accounts receivable management, and other related financial services.
Shaw Capital Management and Financing offer funding for a wide range of industries and flexible funding requirements that most businesses can easily qualify for.
Based in Baltimore, Maryland. Importing into the tri-state area mostly from the far east such as China, Thailand, Taiwan and South Korea.
Shaw Capital Tips and Warning on How to Spot Boiler Rooms
The North American Securities Administrators Association management estimates that unwary investors lose billions a year to investment fraud. Self-employment scams and high-tech schemes are among investments most recently heavily promoted by online. This tip sheet is designed to provide investors with self-defense tactics to fight off the promotion of investment scams by "boiler rooms," the high-pressure phone sales operations from which sales people call to promote abusive and fraudulent deals.
Shaw Capital tips and Warning on Boiler Rooms and How to Spot a "Boiler Room" Scam and fraud:
High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a "sure thing."
Outrageous promises of extraordinarily high profit at little or no risk. The management rule is: The higher the return, the higher the risk. Listen for salesmen who claim it is possible to make extremely high (15, 20 or 30 percent) or even "guaranteed"
A demand for an immediate decision. Boiler room salesmen want fast action before you have a chance to develop second thoughts or consult with a professional for advice. As a result, many deals will be "gone tomorrow," "sold out today" or have "just one of two remaining openings."
A reluctance to provide information about the sales firm or the investment. If a boiler room is uncovered, it may be subject to state or federal action. Therefore, some phone scam operators are not forthcoming when asked information about the sales operation and investment.
Mumbo-jumbo about "inside information"
Delayed delivery of the product and/or profits. This is a classic "red flag" of an investment scam. If you don`t have your investment in hand or under your control in some other location, you have nothing for your money. Beware of promises involving delays of more than a few weeks for delivery of your investment.
Unusual arrangements for collecting funds from investors. Some con artists try to avoid mail fraud charges by using overnight courier services (Federal Express or Purolator, for example). Other phone scam operations go even further-sending a courier or cab to pick up the check. No matter what unusual collection method is used, the purpose is the same: Don`t give customers enough time to back out of sending money.
Shaw Capital tips and Warning on Boiler Rooms and How to Spot a "Boiler Room" Scam and fraud:
High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a "sure thing."
Outrageous promises of extraordinarily high profit at little or no risk. The management rule is: The higher the return, the higher the risk. Listen for salesmen who claim it is possible to make extremely high (15, 20 or 30 percent) or even "guaranteed"
A demand for an immediate decision. Boiler room salesmen want fast action before you have a chance to develop second thoughts or consult with a professional for advice. As a result, many deals will be "gone tomorrow," "sold out today" or have "just one of two remaining openings."
A reluctance to provide information about the sales firm or the investment. If a boiler room is uncovered, it may be subject to state or federal action. Therefore, some phone scam operators are not forthcoming when asked information about the sales operation and investment.
Mumbo-jumbo about "inside information"
Delayed delivery of the product and/or profits. This is a classic "red flag" of an investment scam. If you don`t have your investment in hand or under your control in some other location, you have nothing for your money. Beware of promises involving delays of more than a few weeks for delivery of your investment.
Unusual arrangements for collecting funds from investors. Some con artists try to avoid mail fraud charges by using overnight courier services (Federal Express or Purolator, for example). Other phone scam operations go even further-sending a courier or cab to pick up the check. No matter what unusual collection method is used, the purpose is the same: Don`t give customers enough time to back out of sending money.
Monday, January 10, 2011
Factoring of Credit Card or ACH Transactions for Fraud Scams
Shaw Capital Management and Financing provide same-day-funding. We can help you meet your cashflow needs immediately without entering into a long term factoring relationship. The money you get for the freight bills we purchase is payment in full.
Many telemarketing businesses rely almostexclusively on credit card purchases but in order to conduct credit card sales, a legitimate business must first enter into a merchant account agreement with a bank which agrees to process their credit card transactions.
In most retail credit card transactions, the business provides the merchant bank with a sales slip (draft) representing the customer's credit card information and signature authorizing the charge.
The bank then transfers this amount into the business's merchant account. The business may then draw from that amount or transfer the money to other accounts. The merchant bank then contacts the issuer of the customer's credit card (issuing bank), presents the sales draft and requests reimbursement.
The card-issuing bank then bills the customer for the purchase. If the customer returns the purchased item or challenges the charge, a "charge-back" results and the issuing bank credits the customer's account and asks the merchant bank for a refund.
The merchant bank is then only entitled to recoup its loss from the "business", not the credit card customer. If the business refuses, lacks sufficient funds, or is no longer functioning, the merchant bank absorbs the loss.
One bank review revealed that a single telemarketing operation deposited almost $1,000,000 into various merchant accounts. As a result of charge-backs, the bank lost $663,456 resulting from multiple sales credits of $399.50.
Due to the high charge-back ratios and lack of signed sales slips prevalent with fraudulent telemarketing companies it is difficult for the scammers to find merchant banks willing to accept their credit card transactions.
This restriction led to the development of "factoring" where the telemarketer uses a "reputable" third-party, non-telemarketing business (factoring merchant) as a conduit for depositing credit card sales for a percentage fee of around 15%. This factoring merchant processes the transaction either through his account or through a separate one created for the telemarketing company.
Telemarketers will induce acquaintances, friends and reputable merchants to open a merchant account with promises of easy money, neglecting to mention the personal liability involved. They may advise them not to deposit too substantial an amount of sales in a single day, or deposit too many sales using the same dollar amount, as this may raise suspicion at the bank.
Section 310.3(c) of the Telemarketing Sales Rule, which prohibits credit card laundering or factoring, provides that:
Except as expressly permitted by the applicable credit card system, it is a deceptive telemarketing act or practice and a violation of this Rule for:
(1) A merchant to present to or deposit into, or cause another to present to or deposit into, the credit card system for payment, a credit card sales draft generated by a telemarketing transaction that is not the result of a telemarketing credit card transaction between the cardholder and the merchant . . . .
Shaw Capital Management and Financing offer a complete line of factoring services, purchase order funding, asset based financing, accounts receivable management, and other related financial services.
Shaw Capital Management and Financing offer funding for a wide range of industries and flexible funding requirements that most businesses can easily qualify for.
Read more about credit card by Richard Shaw
Many telemarketing businesses rely almostexclusively on credit card purchases but in order to conduct credit card sales, a legitimate business must first enter into a merchant account agreement with a bank which agrees to process their credit card transactions.
In most retail credit card transactions, the business provides the merchant bank with a sales slip (draft) representing the customer's credit card information and signature authorizing the charge.
The bank then transfers this amount into the business's merchant account. The business may then draw from that amount or transfer the money to other accounts. The merchant bank then contacts the issuer of the customer's credit card (issuing bank), presents the sales draft and requests reimbursement.
The card-issuing bank then bills the customer for the purchase. If the customer returns the purchased item or challenges the charge, a "charge-back" results and the issuing bank credits the customer's account and asks the merchant bank for a refund.
The merchant bank is then only entitled to recoup its loss from the "business", not the credit card customer. If the business refuses, lacks sufficient funds, or is no longer functioning, the merchant bank absorbs the loss.
One bank review revealed that a single telemarketing operation deposited almost $1,000,000 into various merchant accounts. As a result of charge-backs, the bank lost $663,456 resulting from multiple sales credits of $399.50.
Due to the high charge-back ratios and lack of signed sales slips prevalent with fraudulent telemarketing companies it is difficult for the scammers to find merchant banks willing to accept their credit card transactions.
This restriction led to the development of "factoring" where the telemarketer uses a "reputable" third-party, non-telemarketing business (factoring merchant) as a conduit for depositing credit card sales for a percentage fee of around 15%. This factoring merchant processes the transaction either through his account or through a separate one created for the telemarketing company.
Telemarketers will induce acquaintances, friends and reputable merchants to open a merchant account with promises of easy money, neglecting to mention the personal liability involved. They may advise them not to deposit too substantial an amount of sales in a single day, or deposit too many sales using the same dollar amount, as this may raise suspicion at the bank.
Section 310.3(c) of the Telemarketing Sales Rule, which prohibits credit card laundering or factoring, provides that:
Except as expressly permitted by the applicable credit card system, it is a deceptive telemarketing act or practice and a violation of this Rule for:
(1) A merchant to present to or deposit into, or cause another to present to or deposit into, the credit card system for payment, a credit card sales draft generated by a telemarketing transaction that is not the result of a telemarketing credit card transaction between the cardholder and the merchant . . . .
Shaw Capital Management and Financing offer a complete line of factoring services, purchase order funding, asset based financing, accounts receivable management, and other related financial services.
Shaw Capital Management and Financing offer funding for a wide range of industries and flexible funding requirements that most businesses can easily qualify for.
Read more about credit card by Richard Shaw
Shaw Capital Financing on International Purchase Order Financing
For Canada, UK and beyond - On this challenging economy you are looking into new territories, markets and industry channels, some of those may be based outside the US. Unlike most purchase order financing companies, we work with businesses seeking growth in foreign markets such as Canada, Mexico UK and Asia. Whether you are looking for PO financing in Canada, purchase order financing in Mexico or PO funding throughout the EU, our international PO financing program is designed to assist your business to grow and expand in the global marketplace.
Shaw Capital Management and Financing sharing information, tips and advice on factoring and accounts receivable financing and factoring to avoid scams and other fraudulent transactions. Information focus on the importance of choosing the right firm and understanding the intricacies of this financing alternative and what pitfalls to avoid.
What is purchase order financing?
Every business faces the challenge of managing cash flow. One tool to make it easier is purchase order financing. It gives you access to working capital in a manner that is quick, convenient and affordable. Companies use purchase order funding to support an expansion, handle a large order or surge in business, and even occasionally for operating expenses. The tool is particularly well suited to newer companies that cannot get authorized for a traditional business loan. Manufacturers, distributors, importers and exporters are good examples. Let’s say your suppliers want you to pay cash on delivery, but your customer won’t pay you until 60 days after they receive your finish product - a classic cash flow problem, which purchase order financing is designed to solve. Here are some other applications:
Inexperience in generating financing
Lack of working capital
Need to keep suppliers and customers separate
Desire to avoid credit risk (PO financing is not considered debt)
Immediate sales need calls for fast response
Profit opportunity
How does purchase order financing work
Purchase order financing involves issuing letters of credit to suppliers of finished or non-finished goods, based on specific, tangible goods that have been presold to a creditworthy end customer. It can help you deliver on time, increase market share, and grow without selling equity or incurring bank debt. You will need to supply financial information about your company, customer and supplier. We take care of the rest, usually offering approval and getting your short-term funding to you in as little as two weeks. You can use this cash flow management tool to meet future growth opportunities, too -once your account is set up, the process is faster still.
About PurchaseOrderFinancing.com
PurchaseOrderFinancing.com serves as the link between small businesses and the working capital they need to seize an atypically large business opportunity. This website is the newest addition to the structured finance firm founded by Dan Casey in 2002 which develops and implements creative financial strategies for commercial clients with working capital challenges. Dan Casey, Founder and CEO. A graduate of DePaul University in Finance, Dan has orchestrated an extraordinary career in starting and building businesses.
shaw tips scam fraud warning, shaw grou - Shaw Capital Awarded Construction Management Contract for Clean Fuel Project
Shaw Capital Awarded Construction Management Contract for Clean Fuel Project at Marathon Illinois Refinery BATON ROUGE, La.,--The Shaw Group Inc. (NYSE: SHAW) today announced it has been awarded a capital contract from Marathon Oil Corporation (NYSE: MRO) to provide construction management services for a benzene reduction project at its refinery in Robinson, Ill. Services include management of site construction activities such as contractor selection, safety warning, materials management and project controls. The construction is expected to be completed before the mandated date for reduction of benzene content in gasoline to meet new EPA standards. The award follows Shaw's earlier project management, engineering and procurement services work for the feasibility and definition phases of the project. "Shaw has extensive refinery expertise and a strong reputation for helping customers meet clean fuels regulations at their plants," said Lou Pucher, president of Shaw's Energy & Chemicals Group. "We place a priority on understanding key environmental and economic drivers and working closely with our customers to ensure success." Most recently, Shaw management completed engineering and procurement services for another benzene reduction capital project at Marathon's Catlettsburg, Ky., refinery and a 70,000 barrel per day heavy gas oil hydrocracker unit and 47,000 barrel per day kerosene hydrotreater unit at Marathon's Garyville, La., refinery as part of that plant's recent major expansion project. Last year, Shaw was awarded a maintenance, capital construction, turnaround support and specialty services contract for Marathon's Texas Refining Division. The undisclosed value of the new contract will be included in Shaw's Energy & Chemicals segment's backlog of unfilled orders in the third quarter of fiscal year 2010. The Shaw Group Inc. (NYSE:SHAW) is a leading global provider of engineering, construction, technology, fabrication, remediation and support services for clients in the energy, chemicals, environmental, infrastructure and emergency response industries. A Fortune 500 company with fiscal year 2009 annual revenues of $7.3 billion, Shaw has approximately 28,000 employees around the world and is the power sector industry leader according to Engineering News-Record's list of Top 500 Design Firms. For more information, please visit Shaw's website at www.shawgrp.com. The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for certain forward-looking statements. The statements contained herein that are not historical facts (including without limitation statements to the effect that the Company or its management "believes," "expects," "anticipates," "plans" or other similar expressions) and statements related to revenues, earnings, backlog or other financial information or results are forward-looking statements based on the Company's current expectations and beliefs concerning future developments and their potential effects on the Company. There can be no assurance that future developments affecting the Company will be those anticipated by the Company. These forward-looking statements involve significant risks and uncertainties (some of which are beyond our control) and assumptions and are subject to change based upon various factors. Should one or more of such risks or uncertainties materialize, or should any of our assumptions prove incorrect, actual results may vary in material respects from those projected in the forward-looking statements. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. A description of some of the risks and uncertainties that could cause actual results to differ materially from such forward-looking statements can be found in the Company's reports and registration statements filed with the Securities and Exchange Commission, including its Form 10-K and Form 10-Q reports, and on the Company's website under the heading "Forward-Looking Statements." These documents are also available from the Securities and Exchange Commission or from the Investor Relations department of Shaw. For more information on the company and announcements it makes from time to time on a regional basis, visit our website at www.shawgrp.com.
The Shaw Group Inc. was founded in 1987 as a fabrication shop in Baton Rouge, La., by Chairman, President and Chief Executive Officer J.M. Bernhard Jr. and two colleagues. Driven by leaders with bold vision and a strong entrepreneurial spirit, the company has evolved into a diverse engineering, construction, technology, fabrication, environmental and industrial services organization with 27,000 employees in strategic locations around the world.
The Shaw Group Inc. was founded in 1987 as a fabrication shop in Baton Rouge, La., by Chairman, President and Chief Executive Officer J.M. Bernhard Jr. and two colleagues. Driven by leaders with bold vision and a strong entrepreneurial spirit, the company has evolved into a diverse engineering, construction, technology, fabrication, environmental and industrial services organization with 27,000 employees in strategic locations around the world.
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Shaw Capital Management and Financing – Warning Advance-Fee Loan Scams: 'Easy' Cash Offers Teach Hard Lessons
Sunday, January 9, 2011
Shaw Capital Guide ‘Easy’ Cash Offers Teach Hard Lessons: Warning
Dec 20,2010 - Shaw Capital Management and Financing – Warning Advance-Fee Loan Scams: ‘Easy’ Cash Offers Teach Hard Lessons
Looking for a loan or credit card but don’t think you’ll qualify? Turned down by a bank because of your poor credit history?
You may be tempted by ads and websites that guarantee loans or credit cards, regardless of your credit history. The catch comes when you apply for the loan or credit card and find out you have to pay a fee in advance. According to the Federal Trade Commission (FTC), the nation’s consumer protection agency, that could be a tip-off to a rip-off. If you’re asked to pay a fee for the promise of a loan or credit card, you can count on the fact that you’re dealing with a scam artist. More than likely, you’ll get an application, or a stored value or debit card, instead of the loan or credit card.
Shaw Capital Management and Financing – Advance-Fee Loan Scams: The Signs of an Advance-Fee Loan Scam Warning
The FTC says some red flags can tip you off to scam artists’ tricks. For example:
• A lender who isn’t interested in your credit history. A lender may offer loans or credit cards for many purposes — for example, so a borrower can start a business or consolidate bill payments. But one who doesn’t care about your credit record should give you cause for concern. Ads that say “Bad credit? No problem” or “We don’t care about your past. You deserve a loan” or “Get money fast” or even “No hassle — guaranteed” often indicate a scam.
• Banks and other legitimate lenders generally evaluate creditworthiness and confirm the information in an application before they guarantee firm offers of credit — even to creditworthy consumers.
• Fees that are not disclosed clearly or prominently. Scam lenders may say you’ve been approved for a loan, then call or email demanding a fee before you can get the money. Any up-front fee that the lender wants to collect before granting the loan is a cue to walk away, especially if you’re told it’s for “insurance,” “processing,” or just “paperwork.”
Legitimate lenders often charge application, appraisal, or credit report fees. The differences? They disclose their fees clearly and prominently; they take their fees from the amount you borrow; and the fees usually are paid to the lender or broker after the loan is approved.
It’s also a warning sign if a lender says they won’t check your credit history, yet asks for your personal information, such as your Social Security number or bank account number. They may use your information to debit your bank account to pay a fee they’re hiding.
• A loan that is offered by phone. It is illegal for companies doing business in the U.S. by phone to promise you a loan and ask you to pay for it before they deliver.
• A lender who uses a copy-cat or wanna-be name. Crooks give their companies names that sound like
Looking for a loan or credit card but don’t think you’ll qualify? Turned down by a bank because of your poor credit history?
You may be tempted by ads and websites that guarantee loans or credit cards, regardless of your credit history. The catch comes when you apply for the loan or credit card and find out you have to pay a fee in advance. According to the Federal Trade Commission (FTC), the nation’s consumer protection agency, that could be a tip-off to a rip-off. If you’re asked to pay a fee for the promise of a loan or credit card, you can count on the fact that you’re dealing with a scam artist. More than likely, you’ll get an application, or a stored value or debit card, instead of the loan or credit card.
Shaw Capital Management and Financing – Advance-Fee Loan Scams: The Signs of an Advance-Fee Loan Scam Warning
The FTC says some red flags can tip you off to scam artists’ tricks. For example:
• A lender who isn’t interested in your credit history. A lender may offer loans or credit cards for many purposes — for example, so a borrower can start a business or consolidate bill payments. But one who doesn’t care about your credit record should give you cause for concern. Ads that say “Bad credit? No problem” or “We don’t care about your past. You deserve a loan” or “Get money fast” or even “No hassle — guaranteed” often indicate a scam.
• Banks and other legitimate lenders generally evaluate creditworthiness and confirm the information in an application before they guarantee firm offers of credit — even to creditworthy consumers.
• Fees that are not disclosed clearly or prominently. Scam lenders may say you’ve been approved for a loan, then call or email demanding a fee before you can get the money. Any up-front fee that the lender wants to collect before granting the loan is a cue to walk away, especially if you’re told it’s for “insurance,” “processing,” or just “paperwork.”
Legitimate lenders often charge application, appraisal, or credit report fees. The differences? They disclose their fees clearly and prominently; they take their fees from the amount you borrow; and the fees usually are paid to the lender or broker after the loan is approved.
It’s also a warning sign if a lender says they won’t check your credit history, yet asks for your personal information, such as your Social Security number or bank account number. They may use your information to debit your bank account to pay a fee they’re hiding.
• A loan that is offered by phone. It is illegal for companies doing business in the U.S. by phone to promise you a loan and ask you to pay for it before they deliver.
• A lender who uses a copy-cat or wanna-be name. Crooks give their companies names that sound like
Shaw Capital Guide to Business Loans from Family & Friends
Shaw Capital Guide to Business Loans from Family & Friends Shaw Capital Management and Financing – The key to successful financing is structuring loans right. Avoid Debt Management Scams. An estimated half of all small businesses depend on private investments from family and friends for startup or expansion. Shipping giant UPS was launched when 19-year-old entrepreneur Jim Casey borrowed $100 from a friend to start the company nearly 100 years ago in Seattle. And when teenager Fred DeLuca open a sandwich shop in 1965 with a $1,000 check from a family friend, Subway (now 25,000 restaurants) was born. Friends and family are the single most important outside funding source for small business in America. But there are risks, and "F&F" money must be approached carefully. Shaw Capital Guide to Business Loans from Family & Friends - Action Steps. The best contacts and resources to help you get itdone. Put a financing facilitator to work. Small business loans from friends and family
Shaw Capital Guide to Business Loans from Family & Friends
Shaw Capital Guide to Business Loans from Family & Friends Shaw Capital Management and Financing – The key to successful financing is structuring loans right. Avoid Debt Management Scams. An estimated half of all small businesses depend on private investments from family and friends for startup or expansion. Shipping giant UPS was launched when 19-year-old entrepreneur Jim Casey borrowed $100 from a friend to start the company nearly 100 years ago in Seattle. And when teenager Fred DeLuca open a sandwich shop in 1965 with a $1,000 check from a family friend, Subway (now 25,000 restaurants) was born. Friends and family are the single most important outside funding source for small business in America. But there are risks, and "F&F" money must be approached carefully. Shaw Capital Guide to Business Loans from Family & Friends - Action Steps. The best contacts and resources to help you get itdone. Put a financing facilitator to work. Small business loans from friends and family
Shaw Capital Tips and Warning on How to Spot Boiler Rooms | OnlineBase.Com
The North American Securities Administrators Association management estimates that unwary investors lose billions a year to investment fraud. Self-employment scams and high-tech schemes are among investments most recently heavily promoted by online. This tip sheet is designed to provide investors with self-defense tactics to fight off the promotion of investment scams by “boiler rooms,” the high-pressure phone sales operations from which sales people call to promote abusive and fraudulent deals.
Shaw Capital tips and Warning on Boiler Rooms and How to Spot a “Boiler Room” Scam and fraud:
High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a “sure thing.”
Outrageous promises of extraordinarily high profit at little or no risk. The management rule is: The higher the return, the higher the risk. Listen for salesmen who claim it is possible to make extremely high (15, 20 or 30 percent) or even “guaranteed” profits without any risk of loss. Most legitimate firms will provide written materials clearly disclosing the potential for loss in an investment, as well as its short- and long-term tax implications.
A demand for an immediate decision. Boiler room salesmen want fast action before you have a chance to develop second thoughts or consult with a professional for advice. As a result, many deals will be “gone tomorrow,” “sold out today” or have “just one of two remaining openings.”
A reluctance to provide information about the sales firm or the investment. If a boiler room is uncovered, it may be subject to state or federal action. Therefore, some phone scam operators are not forthcoming when asked information about the sales operation and investment.
Mumbo-jumbo about “inside information” or “secret” technology. In order to close a sale, the voice on the other end of the phone may tell you that this is a “sure thing.” A common claim is that celebrities, major corporations or banks will be investing shortly. Or the salesman may claim that a new geological report is coming out shortly. In other cases, the claim may be that the company is using some sort of hush-hush “black box” technology that makes it possible to process gold at a fraction of the cost paid by other firms.
Delayed delivery of the product and/or profits. This is a classic “red flag” of an investment scam. If you don`t have your investment in hand or under your control in some other location, you have nothing for your money. Beware of promises involving delays of more than a few weeks for delivery of your investment.
Unusual arrangements for collecting funds from investors. Some con artists try to avoid mail fraud charges by using overnight courier services (Federal Express or Purolator, for example). Other phone scam operations go even further-sending a courier or cab to pick up the check. No matter what unusual collection method is used, the purpose is the same: Don`t give customers enough time to back out of sending money.
Shaw Capital tips and Warning on Boiler Rooms and How to Spot a “Boiler Room” Scam and fraud:
High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a “sure thing.”
Outrageous promises of extraordinarily high profit at little or no risk. The management rule is: The higher the return, the higher the risk. Listen for salesmen who claim it is possible to make extremely high (15, 20 or 30 percent) or even “guaranteed” profits without any risk of loss. Most legitimate firms will provide written materials clearly disclosing the potential for loss in an investment, as well as its short- and long-term tax implications.
A reluctance to provide information about the sales firm or the investment. If a boiler room is uncovered, it may be subject to state or federal action. Therefore, some phone scam operators are not forthcoming when asked information about the sales operation and investment.
Mumbo-jumbo about “inside information” or “secret” technology. In order to close a sale, the voice on the other end of the phone may tell you that this is a “sure thing.” A common claim is that celebrities, major corporations or banks will be investing shortly. Or the salesman may claim that a new geological report is coming out shortly. In other cases, the claim may be that the company is using some sort of hush-hush “black box” technology that makes it possible to process gold at a fraction of the cost paid by other firms.
Delayed delivery of the product and/or profits. This is a classic “red flag” of an investment scam. If you don`t have your investment in hand or under your control in some other location, you have nothing for your money. Beware of promises involving delays of more than a few weeks for delivery of your investment.
Unusual arrangements for collecting funds from investors. Some con artists try to avoid mail fraud charges by using overnight courier services (Federal Express or Purolator, for example). Other phone scam operations go even further-sending a courier or cab to pick up the check. No matter what unusual collection method is used, the purpose is the same: Don`t give customers enough time to back out of sending money.
Shaw Capital Tips and Warning on How to Spot Boiler Rooms | Clipmarks
The North American Securities Administrators Association management estimates that unwary investors lose billions a year to investment fraud. Self-employment scams and high-tech schemes are among investments most recently heavily promoted by online. This tip sheet is designed to provide investors with self-defense tactics to fight off the promotion of investment scams by "boiler rooms," the high-pressure phone sales operations from which sales people call to promote abusive and fraudulent deals.
Shaw Capital tips and Warning on Boiler Rooms and How to Spot a "Boiler Room" Scam and fraud:
High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a "sure thing."
Freight Bill Factoring – Right or Warning for Your Business
Shaw Capital Factoring and Management of Loans Freight Bill factoring Tips - One of the most difficult aspects of managing a trucking company – especially a small trucking company – is the cash flow. Cash flow is all about how money moves through your company.Unfortunately, when you have clients that pay 30 to 60 days after you have shipped for them, the cash flow can become a little strained. This is because, even though your customers have not paid yet, you still have daily expenses: truck maintenance, pay checks to personnel, fuel costs and more. So how do you cover these expenses when you do not have the ready capital to hand? One solution can be freight bill factoring.
Freight bill factoring v. traditional loan financing
Shaw Capital Management and Factoring, Right or Warning for Your Business - If you are a small trucking company (and maybe even a medium sized or large one), you know that sometimes it can be tough to get traditional loan financing. Often, especially if you are start up, or if you are going through a rapid period of expansion, you just do not have the available credit for traditional loan financing – and you still have the need for cash.
In such cases, freight bill factoring can help you obtain the capital you need. In freight bill factoring, a financing company – called a factor – basically buys the freight bill from you and advances you the cash. Often, the factor will in turn collect from the customer, meaning that once you turn the invoice over, it is also no longer something you need to worry about.
Basics of freight bill factoring - Freight Bill Factoring – Right or Warning for Your Business
Even thought there is not the same approval process that you would have to go through with the bank, the factor will still want to make sure that payment from your customers is likely. Your customer list may be scrutinized, and those that pass muster can provide the freight bills for factoring. It is possible to set up a regular arrangement with the factor so that cash flow remains regular. Here are some of the things you need to keep in mind about freight bill factoring:
Documentation. Proper documentation will be needed when you present a freight bill for factoring. You will need an original bill of lading, as well as other documents that the factor may request.
Fees. Be aware that you will be charge a fee for the advance. This is typically between three percent and five percent of the total. The fee depends on how reliable your customers are, and sometimes can depend on how quickly they pay their invoices.
Reserve. Sometimes, a factor will hold a reserve from the advance on the invoice. In such cases, many of them will pay between 85 and 90 percent of the freight bill up front. This is the advance. The rest is held in reserve, just in case the invoice is not paid, or if other fees need to be collected. When the invoice is paid, the rest of the freight bill (minus the fee) is paid. For example, if you have a bill for $1,000, the company may only advance you $900 on the spot. (Remember, though, this is better than the $0 you be getting otherwise.) If the fee is three percent of the total, $30 would be subtracted from the remaining $100 when the customer pays the invoice, leaving you with an additional $70.
Recourse v. non-recourse. It is very important to determine whether or not the factor you are working with offers a recourse or a non-recourse agreement. This is because it can make a very big difference in the rights the factor has in collecting on an invoice that is not paid. In a recourse agreement, the factor can require this article has all rights reserved and is copyright by 100 Best you to pay some or all of a freight bill if the customer does not pay. In a non-recourse factoring agreement, once freight bill is turned over to the factor, it is solely the factor’s responsibility. You are in the clear if the customer does not pay – you can keep your money (although you may not get the reserve back).
Read more about shaw capital management by Richard ShawShaw Capital Factoring and Management of Loans Freight Bill factoring Tips - One of the most difficult aspects of managing a trucking company – especially a small trucking company – is the cash flow. Cash flow is all about how money moves through your company.Unfortunately, when you have clients that pay 30 to 60 days after you have shipped for them, the cash flow can become a little strained. This is because, even though your customers have not paid yet, you still have daily expenses: truck maintenance, pay checks to personnel, fuel costs and more. So how do you cover these expenses when you do not have the ready capital to hand? One solution can be freight bill factoring.
Freight bill factoring v. traditional loan financing
Shaw Capital Management and Factoring, Right or Warning for Your Business - If you are a small trucking company (and maybe even a medium sized or large one), you know that sometimes it can be tough to get traditional loan financing. Often, especially if you are start up, or if you are going through a rapid period of expansion, you just do not have the available credit for traditional loan financing – and you still have the need for cash.
In such cases, freight bill factoring can help you obtain the capital you need. In freight bill factoring, a financing company – called a factor – basically buys the freight bill from you and advances you the cash. Often, the factor will in turn collect from the customer, meaning that once you turn the invoice over, it is also no longer something you need to worry about.
Basics of freight bill factoring - Freight Bill Factoring – Right or Warning for Your Business
Even thought there is not the same approval process that you would have to go through with the bank, the factor will still want to make sure that payment from your customers is likely. Your customer list may be scrutinized, and those that pass muster can provide the freight bills for factoring. It is possible to set up a regular arrangement with the factor so that cash flow remains regular. Here are some of the things you need to keep in mind about freight bill factoring:
Documentation. Proper documentation will be needed when you present a freight bill for factoring. You will need an original bill of lading, as well as other documents that the factor may request.
Fees. Be aware that you will be charge a fee for the advance. This is typically between three percent and five percent of the total. The fee depends on how reliable your customers are, and sometimes can depend on how quickly they pay their invoices.
Reserve. Sometimes, a factor will hold a reserve from the advance on the invoice. In such cases, many of them will pay between 85 and 90 percent of the freight bill up front. This is the advance. The rest is held in reserve, just in case the invoice is not paid, or if other fees need to be collected. When the invoice is paid, the rest of the freight bill (minus the fee) is paid. For example, if you have a bill for $1,000, the company may only advance you $900 on the spot. (Remember, though, this is better than the $0 you be getting otherwise.) If the fee is three percent of the total, $30 would be subtracted from the remaining $100 when the customer pays the invoice, leaving you with an additional $70.
Recourse v. non-recourse. It is very important to determine whether or not the factor you are working with offers a recourse or a non-recourse agreement. This is because it can make a very big difference in the rights the factor has in collecting on an invoice that is not paid. In a recourse agreement, the factor can require this article has all rights reserved and is copyright by 100 Best you to pay some or all of a freight bill if the customer does not pay. In a non-recourse factoring agreement, once freight bill is turned over to the factor, it is solely the factor’s responsibility. You are in the clear if the customer does not pay – you can keep your money (although you may not get the reserve back).
Read more about shaw capital management by Richard Shaw
Freight Bill Factoring – Right or Warning for Your Business
Shaw Capital Factoring and Management of Loans Freight Bill factoring Tips - One of the most difficult aspects of managing a trucking company – especially a small trucking company – is the cash flow. Cash flow is all about how money moves through your company. Unfortunately, when you have clients that pay 30 to 60 days after you have shipped for them, the cash flow can become a little strained. This is because, even though your customers have not paid yet, you still have daily expenses: truck maintenance, pay checks to personnel, fuel costs and more. So how do you cover these expenses when you do not have the ready capital to hand? One solution can be freight bill factoring.
Freight bill factoring v. traditional loan financing
Shaw Capital Management and Factoring, Right or Warning for Your Business - If you are a small trucking company (and maybe even a medium sized or large one), you know that sometimes it can be tough to get traditional loan financing. Often, especially if you are start up, or if you are going through a rapid period of expansion, you just do not have the available credit for traditional loan financing – and you still have the need for cash.
Freight bill factoring v. traditional loan financing
Shaw Capital Management and Factoring, Right or Warning for Your Business - If you are a small trucking company (and maybe even a medium sized or large one), you know that sometimes it can be tough to get traditional loan financing. Often, especially if you are start up, or if you are going through a rapid period of expansion, you just do not have the available credit for traditional loan financing – and you still have the need for cash.
In such cases, freight bill factoring can help you obtain the capital you need. In freight bill factoring, a financing company – called a factor – basically buys the freight bill from you and advances you the cash. Often, the factor will in turn collect from the customer, meaning that once you turn the invoice over, it is also no longer something you need to worry about.
Basics of freight bill factoring - Freight Bill Factoring – Right or Warning for Your Business
Even thought there is not the same approval process that you would have to go through with the bank, the factor will still want to make sure that payment from your customers is likely. Your customer list may be scrutinized, and those that pass muster can provide the freight bills for factoring. It is possible to set up a regular arrangement with the factor so that cash flow remains regular. Here are some of the things you need to keep in mind about freight bill factoring:
Basics of freight bill factoring - Freight Bill Factoring – Right or Warning for Your Business
Even thought there is not the same approval process that you would have to go through with the bank, the factor will still want to make sure that payment from your customers is likely. Your customer list may be scrutinized, and those that pass muster can provide the freight bills for factoring. It is possible to set up a regular arrangement with the factor so that cash flow remains regular. Here are some of the things you need to keep in mind about freight bill factoring:
Documentation. Proper documentation will be needed when you present a freight bill for factoring. You will need an original bill of lading, as well as other documents that the factor may request.
Fees. Be aware that you will be charge a fee for the advance. This is typically between three percent and five percent of the total. The fee depends on how reliable your customers are, and sometimes can depend on how quickly they pay their invoices.
Fees. Be aware that you will be charge a fee for the advance. This is typically between three percent and five percent of the total. The fee depends on how reliable your customers are, and sometimes can depend on how quickly they pay their invoices.
Reserve. Sometimes, a factor will hold a reserve from the advance on the invoice. In such cases, many of them will pay between 85 and 90 percent of the freight bill up front. This is the advance. The rest is held in reserve, just in case the invoice is not paid, or if other fees need to be collected. When the invoice is paid, the rest of the freight bill (minus the fee) is paid. For example, if you have a bill for $1,000, the company may only advance you $900 on the spot. (Remember, though, this is better than the $0 you be getting otherwise.) If the fee is three percent of the total, $30 would be subtracted from the remaining $100 when the customer pays the invoice, leaving you with an additional $70.
Recourse v. non-recourse. It is very important to determine whether or not the factor you are working with offers a recourse or a non-recourse agreement. This is because it can make a very big difference in the rights the factor has in collecting on an invoice that is not paid. In a recourse agreement, the factor can require this article has all rights reserved and is copyright by 100 Best you to pay some or all of a freight bill if the customer does not pay. In a non-recourse factoring agreement, once freight bill is turned over to the factor, it is solely the factor’s responsibility. You are in the clear if the customer does not pay – you can keep your money (although you may not get the reserve back).
Getting your money from the factor. You need to find out how the factor will pay your advance. With freight bill factoring, the most common methods are wire transfer, ACH transfer and check. It is important to note that the funds may not be available for immediate withdrawal from your account. In same cases it may take 24 to 48 hours for the money to become available to you.
Freight bill factoring can be very beneficial to trucking companies. It allows you almost immediate access to capital, and can keep the cash flow in your company more liquid.
Getting your money from the factor. You need to find out how the factor will pay your advance. With freight bill factoring, the most common methods are wire transfer, ACH transfer and check. It is important to note that the funds may not be available for immediate withdrawal from your account. In same cases it may take 24 to 48 hours for the money to become available to you.
Freight bill factoring can be very beneficial to trucking companies. It allows you almost immediate access to capital, and can keep the cash flow in your company more liquid.
shaw management warning - shaw management, Shaw Capital Management
By The Shaw Group Inc on December 15, 2010 - Fraud committed by a criminal who has stolen someone else’s identity is identity fraud usually used online and some boiler room management scams. By stealing documents such as your passport, driving... [+]license or bank statements - or online ID, such as usernames, passwords and personal security questions - thieves can now take cash from your accounts, commit benefit fraud, or take out new credit cards or loans, all in your name.... Read more
Archived in: shaw tips scam fraud warning shaw group shaw capital shaw management warning shaw capital management-
By The Shaw Group Inc on December 21, 2010 - Shaw Capital Awarded Construction Management Contract for Clean Fuel Project at Marathon Illinois Refinery – Good Warning! BATON ROUGE, La.,--The Shaw Group Inc. (NYSE: SHAW) today announced it has been... [+]awarded a capital contract from Marathon Oil Corporation (NYSE: MRO) to provide construction management services for a benzene reduction project at its refinery in Robinson, Ill. Services include management of site construction... Read more
Archived in: shaw tips scam fraud warning shaw group shaw capital shaw management warning shaw capital management -
By The Shaw Group Inc on January 6, 2011 - BATON ROUGE, La., Dec 20, 2010 (BUSINESS WIRE) -- The Shaw Group Inc. (NYSE: SHAW) today announced it will hold a conference call Thursday, Jan. 6, 2011, at 5 p.m. Eastern time (4 p.m. Central time)... [+]
Shaw Capital Tips and Warning on How to Spot Boiler Rooms
Dec 15, 2010 – The North American Securities Administrators Association management estimates that unwary investors lose billions a year to investment fraud. Self-employment scams and high-tech schemes are among investments most recently heavily promoted by online. This tip sheet is designed to provide investors with self-defense tactics to fight off the promotion of investment scams by "boiler rooms," the high-pressure phone sales operations from which sales people call to promote abusive and fraudulent deals.
Shaw Capital tips and Warning on Boiler Rooms and How to Spot a "Boiler Room" Scam and fraud:
High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a "sure thing."
Outrageous promises of extraordinarily high profit at little or no risk. The management rule is: The higher the return, the higher the risk. Listen for salesmen who claim it is possible to make extremely high (15, 20 or 30 percent) or even "guaranteed"
A demand for an immediate decision. Boiler room salesmen want fast action before you have a chance to develop second thoughts or consult with a professional for advice. As a result, many deals will be "gone tomorrow," "sold out today" or have "just one of two remaining openings."
A reluctance to provide information about the sales firm or the investment. If a boiler room is uncovered, it may be subject to state or federal action. Therefore, some phone scam operators are not forthcoming when asked information about the sales operation and investment.
Mumbo-jumbo about "inside information"
Delayed delivery of the product and/or profits. This is a classic "red flag" of an investment scam. If you don`t have your investment in hand or under your control in some other location, you have nothing for your money. Beware of promises involving delays of more than a few weeks for delivery of your investment.
Unusual arrangements for collecting funds from investors. Some con artists try to avoid mail fraud charges by using overnight courier services (Federal Express or Purolator, for example). Other phone scam operations go even further-sending a courier or cab to pick up the check. No matter what unusual collection method is used, the purpose is the same: Don`t give customers enough time to back out of sending money.
Shaw Capital tips and Warning on Boiler Rooms and How to Spot a "Boiler Room" Scam and fraud:
High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a "sure thing."
Outrageous promises of extraordinarily high profit at little or no risk. The management rule is: The higher the return, the higher the risk. Listen for salesmen who claim it is possible to make extremely high (15, 20 or 30 percent) or even "guaranteed"
A demand for an immediate decision. Boiler room salesmen want fast action before you have a chance to develop second thoughts or consult with a professional for advice. As a result, many deals will be "gone tomorrow," "sold out today" or have "just one of two remaining openings."
A reluctance to provide information about the sales firm or the investment. If a boiler room is uncovered, it may be subject to state or federal action. Therefore, some phone scam operators are not forthcoming when asked information about the sales operation and investment.
Mumbo-jumbo about "inside information"
Delayed delivery of the product and/or profits. This is a classic "red flag" of an investment scam. If you don`t have your investment in hand or under your control in some other location, you have nothing for your money. Beware of promises involving delays of more than a few weeks for delivery of your investment.
Unusual arrangements for collecting funds from investors. Some con artists try to avoid mail fraud charges by using overnight courier services (Federal Express or Purolator, for example). Other phone scam operations go even further-sending a courier or cab to pick up the check. No matter what unusual collection method is used, the purpose is the same: Don`t give customers enough time to back out of sending money.
Shaw Capital Guide ‘Easy’ Cash Offers Teach Hard Lessons: Warning
Looking for a loan or credit card but don’t think you’ll qualify? Turned down by a bank because of your poor credit history?
You may be tempted by ads and websites that guarantee loans or credit cards, regardless of your credit history. The catch comes when you apply for the loan or credit card and find out you have to pay a fee in advance. According to the Federal Trade Commission (FTC), the nation’s consumer protection agency, that could be a tip-off to a rip-off. If you’re asked to pay a fee for the promise of a loan or credit card, you can count on the fact that you’re dealing with a scam artist. More than likely, you’ll get an application, or a stored value or debit card, instead of the loan or credit card.
You may be tempted by ads and websites that guarantee loans or credit cards, regardless of your credit history. The catch comes when you apply for the loan or credit card and find out you have to pay a fee in advance. According to the Federal Trade Commission (FTC), the nation’s consumer protection agency, that could be a tip-off to a rip-off. If you’re asked to pay a fee for the promise of a loan or credit card, you can count on the fact that you’re dealing with a scam artist. More than likely, you’ll get an application, or a stored value or debit card, instead of the loan or credit card.
Shaw Capital Management and Financing – Advance-Fee Loan Scams: The Signs of an Advance-Fee Loan Scam Warning
The FTC says some red flags can tip you off to scam artists’ tricks. For example:- A lender who isn’t interested in your credit history. A lender may offer loans or credit cards for many purposes — for example, so a borrower can start a business or consolidate bill payments. But one who doesn’t care about your credit record should give you cause for concern. Ads that say “Bad credit? No problem” or “We don’t care about your past. You deserve a loan” or “Get money fast” or even “No hassle — guaranteed” often indicate a scam.
- Banks and other legitimate lenders generally evaluate creditworthiness and confirm the information in an application before they guarantee firm offers of credit — even to creditworthy consumers.
- Fees that are not disclosed clearly or prominently. Scam lenders may say you’ve been approved for a loan, then call or email demanding a fee before you can get the money. Any up-front fee that the lender wants to collect before granting the loan is a cue to walk away, especially if you’re told it’s for “insurance,” “processing,” or just “paperwork.”
Legitimate lenders often charge application, appraisal, or credit report fees. The differences? They disclose their fees clearly and prominently; they take their fees from the amount you borrow; and the fees usually are paid to the lender or broker after the loan is approved.
It’s also a warning sign if a lender says they won’t check your credit history, yet asks for your personal information, such as your Social Security number or bank account number. They may use your information to debit your bank account to pay a fee they’re hiding. - A loan that is offered by phone. It is illegal for companies doing business in the U.S. by phone to promise you a loan and ask you to pay for it before they deliver.
- A lender who uses a copy-cat or wanna-be name. Crooks give their companies names that sound like well-known or respected organizations and create websites that look slick. Some scam artists have pretended to be the Better Business Bureau or another reputable organization, and some even produce forged paperwork or pay people to pretend to be references. Always get a company’s phone number from the phone book or directory assistance, and call to check they are who they say they are. Get a physical address, too: a company that advertises a PO Box as its address is one to check out with the appropriate authorities.
- A lender who is not registered in your state. Lenders and loan brokers are required to register in the states where they do business. To check registration, call your state Attorney General’s office or your state’s Department of Banking or Financial Regulation. Checking registration does not guarantee that you will be happy with a lender, but it helps weed out the crooks.
A lender who asks you to wire money or pay an individual. Don’t make a payment for a loan or credit card directly to an individual; legitimate lenders don’t ask anyone to do that. In addition, don’t use a wire transfer service or send money orders for a loan. You have little recourse if there’s a problem with a wire transaction, and legitimate lenders don’t pressure their customers to wire funds.
Finally, just because you’ve received a slick promotion, seen an ad for a loan in a prominent place in your neighborhood or in your newspaper, on television or on the Internet, or heard one on the radio, don’t assume it’s a good deal — or even legitimate. Scam artists like to operate on the premise of legitimacy by association, so it’s really important to do your homework.
Shaw Capital Management and Financing – Advance-Fee Loan Scams: Finding Low-Cost Help for Credit Problems
If you have debt problems, try to solve them with your creditors as soon as you realize you won’t be able to make your payments. If you can’t resolve the problems yourself or need help to do it, you may want to contact a credit counseling service. Nonprofit organizations in every state counsel and educate people and families on debt problems, budgeting, and using credit wisely. Often, these services are low- or no-cost. Universities, military bases, credit unions, and housing authorities also may offer low- or no-cost credit counseling programs. To learn more about dealing with debt, including how to select a credit counseling service, visit ftc.gov/credit.About Shaw Capital Management and Financings
Shaw Capital Management and Financing provides export trade financing to clients in every major world market and can convert accounts receivable finance transactions in 17 currencies.We have no minimum or maximum monthly volume requirements. Other factoring companies require a financial commitment for the amount of freight bills you factor each month.
Our highly skilled team provides full administrative support - including credit management, invoicing, collections, account reporting, expense reporting, fuel card management and much more!
With Shaw Capital Management and Financing, you get paid in full minus our fee the day we receive your freight bills. Other factoring companies holdback 10 to 15 percent of your money or more for each invoice in a reserve account. That reserve amount is not immediately provided to your company. In the end, you receive part of that percentage back, depending on how long it takes the factoring company to receive payment on the invoice.
shaw tips scam fraud warning, shaw grou - Shaw Capital Tips and Warning on How to Spot Boiler Rooms
The North American Securities Administrators Association management estimates that unwary investors lose billions a year to investment fraud. Self-employment scams and high-tech schemes are among investments most recently heavily promoted by online. This tip sheet is designed to provide investors with self-defense tactics to fight off the promotion of investment scams by "boiler rooms," the high-pressure phone sales operations from which sales people call to promote abusive and fraudulent deals. Shaw Capital tips and Warning on Boiler Rooms and How to Spot a "Boiler Room" Scam and fraud: High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a "sure thing." Outrageous promises of extraordinarily high profit at little or no risk. The management rule is: The higher the return, the higher the risk. Listen for salesmen who claim it is possible to make extremely high (15, 20 or 30 percent) or even "guaranteed" profits without any risk of loss. Most legitimate firms will provide written materials clearly disclosing the potential for loss in an investment, as well as its short- and long-term tax implications. A demand for an immediate decision. Boiler room salesmen want fast action before you have a chance to develop second thoughts or consult with a professional for advice. As a result, many deals will be "gone tomorrow," "sold out today" or have "just one of two remaining openings." A reluctance to provide information about the sales firm or the investment. If a boiler room is uncovered, it may be subject to state or federal action. Therefore, some phone scam operators are not forthcoming when asked information about the sales operation and investment. Mumbo-jumbo about "inside information" or "secret" technology. In order to close a sale, the voice on the other end of the phone may tell you that this is a "sure thing." A common claim is that celebrities, major corporations or banks will be investing shortly. Or the salesman may claim that a new geological report is coming out shortly. In other cases, the claim may be that the company is using some sort of hush-hush "black box" technology that makes it possible to process gold at a fraction of the cost paid by other firms. Delayed delivery of the product and/or profits. This is a classic "red flag" of an investment scam. If you don`t have your investment in hand or under your control in some other location, you have nothing for your money. Beware of promises involving delays of more than a few weeks for delivery of your investment. Unusual arrangements for collecting funds from investors. Some con artists try to avoid mail fraud charges by using overnight courier services (Federal Express or Purolator, for example). Other phone scam operations go even further-sending a courier or cab to pick up the check. No matter what unusual collection method is used, the purpose is the same: Don`t give customers enough time to back out of sending money.
The Shaw Group Inc. was founded in 1987 as a fabrication shop in Baton Rouge, La., by Chairman, President and Chief Executive Officer J.M. Bernhard Jr. and two colleagues. Driven by leaders with bold vision and a strong entrepreneurial spirit, the company has evolved into a diverse engineering, construction, technology, fabrication, environmental and industrial services organization with 27,000 employees in strategic locations around the world.
The Shaw Group Inc. was founded in 1987 as a fabrication shop in Baton Rouge, La., by Chairman, President and Chief Executive Officer J.M. Bernhard Jr. and two colleagues. Driven by leaders with bold vision and a strong entrepreneurial spirit, the company has evolved into a diverse engineering, construction, technology, fabrication, environmental and industrial services organization with 27,000 employees in strategic locations around the world.
Shaw Capital Warning Online, Shaw Capital Warning Review, Shaw Capital Warning Free, Shaw Capital Warning Information, Shaw Capital Warning Pictures, Shaw Capital Warning Video, Shaw Capital Warning News, Shaw Capital Warning Links, Shaw Capital Warning Bookmarks | Blurpalicious
BATON ROUGE, La., Dec 13, 2010 (BUSINESS WIRE) — The Shaw Capital Group Inc. (NYSE: SHAW) today announced Gentry Brann has been named vice president of Investor Relations and Corporate Communications Management. Ms. Brann joined Shaw in January 2009 as director of Corporate Communications. In addition to her role overseeing all external and internal communications for the company, Ms. Brann assumed responsibility for Corporate Marketing at the beginning of fiscal year 2010. Before joining Shaw...
shaw capital management warning tips | Clipmarks
Shaw Capital tips and Warning on Boiler Rooms and How to Spot a “Boiler Room” Scam and fraud:
High-pressure sales tactics. Salesmen and the management may make repeated calls and even become abusive, questioning, for example, the intelligence of anyone who would pass up such a “sure thing.”
Outrageous promises of extraordinarily high profit at little or no risk. The management rule is: The higher the return, the higher the risk. Listen for salesmen who claim it is possible to make extremely high (15, 20 or 30 percent) or even “guaranteed” profits without any risk of loss. Most legitimate firms will provide written materials clearly disclosing the potential for loss in an investment, as well as its short- and long-term tax implications.
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