Financing 101 - Your Numbers Will Be Scrutinized
By admin | September 6, 2008
Every business proposal has to make sense financially. Any investor looking at your proposal is looking for two things, large numbers and real numbers. They are not mutually exclusive. The investor has a minimum desired return and your startup has a maximum possible return. Its your job to make sure they align.
Take for example John McCain and Barack Obama, they both have energy proposals in front of an investor (US voters). McCain has the Lexington Project focused on Nuclear Energy and domestic oil. Obama has the New Energy For America focused on solar and wind. Diving in depth into every proposal that comes across an investors desk is impossible. Instead investors like to pick out the key points and verify them with as little effort as possible to immediately dismiss poor investments. With both proposals in front of the investor can do a quick bit of research on something as simple as Wikipedia to find out if the numbers add up. List sources and numbers that the investor will trust, otherwise the proposal may seem shady.
Sources
Wikipedia is a trusted source reviewed by millons and easily searched. It is a great example of a likely source where investors will try to pick apart your market and financial numbers. For this post the data comes from the following sources:
- http://en.wikipedia.org/wiki/Nuclear_power_by_country
- http://en.wikipedia.org/wiki/Economics_of_new_nuclear_power_plants
- http://tonto.eia.doe.gov/ftproot/service/oiaf9501.pdf
- http://pewhispanic.org/files/reports/85.pdf
- http://www.solarcity.com
- http://www.solarbuzz.com/statsCosts.htm
Market Size Numbers
Investors always look at market size. Make sure your proposal uses terminology that clearly defines the boundary of your intended market. In the case of the McCain and Obama proposals, the words “American people” jump right off the page, clearly defining the market as the US population. A market is defined as much by its size as its growth. Market growth has a heavy impact on future financial estimates. The plans seem to lay out 2025 as the goal, thats a good future projection date. A quick search on US population statistics reveals the following:
| US RESIDENTIAL POPULATION AND USAGE FACTS | |
|---|---|
| US Population Today | 300,000,000 |
| US Population 2025 | 350,000,000 |
| Average Home Size (2 Parents + 2.5 Kids) | 4.5 People |
| US Households Today | 6,666,666 |
| US Households In 2025 | 7,888,888 |
Why Honesty Is The Best Policy
With the market size in perspective the investor can now judge your ability to forecast your startups future. Of course the financial projections you include in your proposal will promise success and significant profits. The investor is not judging your moral character here, by running the numbers you are being evaluated on market understanding, ability to plan, and general skill at managing a startup. Generally your proposal is the first insight into who you are as a potential CEO managing the investor’s money. Make sure your proposal numbers and projections not only show those characteristics but hold up under scrutiny. Bad numbers can be adjusted over a single conversation, bad CEOs bankrupt companies.
The Obama Plan, Investor Perspective
The corner stone of Obama’s plan is renewable energy. Solar and wind taking the forefront. The proposal is for the US population to derive energy from wind and solar. Solar is more expensive than wind so it will simplify things to go with solar costs when evaluating the financial projections. Of course there are factors like weather and location that greatly affect costs of solar which the proposal should mention. Assuming the worst possible numbers for a solar installation like the North East US will make thing simple again. The Solar City website has some terrific tools for estimating solar costs. Ten minutes on the site yields the following numbers:
| SOLAR FACTS | |
|---|---|
| Solar Install Cost For Average Household 6.0 KW System | $48,000.00 |
| Solar Recurring Costs Per KW | $0.00 |
| Solar Lifespan | 30 years |
| Solar Households Today | 10,000 |
| SOLAR IN 2025 | |
|---|---|
| Solar Installations Needed 2025 | 78,888,888 |
| Additional Solar Plants Needed 2025 | 78,878,888 |
| Unsubsidized Cost to Build By 2025 | $3,786,666,624,000 |
| Operational Cost Lifetime | $0 |
The total cost of putting solar on every household in the US by the end of the New Energy For America Plan in 2025 is $3.7 trillion. Thats a heavy price tag that factors in installation, parts, and labor. Unfortunately with solar the variance from customer to customer will be high so thats a risk to the plan. Overall the average breakdown per household is what matters. Will the US population be able to afford the New Energy For America Plan?
| New Energy For America Cost Per Household | ||
|---|---|---|
| Unsubsidized Cost Per Household | $48,000 | Over 30 years |
| Unsubsidized Cost Per Household Amortized Plant Lifespan | $1,600 | Annual |
| Unsubsidized Cost Per Household Per Month (Figure Above / 12) | $133 | Monthly |
That comes to about $133 a month for electricity per average household for 30 years. After 30 years panels lose efficiency. The price is not that steep considering today electricity costs about $133 a month per household (varies by state). So electing Obama to office with the New Energy For America Plan will cost you personally $133 a month in electric bills or taxes if its subsidized. A $33 a month increase from today. From a national economy and GDP perspective it will cost the nation over 60 years $7.5 trillion dollars. Not a good deal unless you count the jobs and new economy it will create. Each family will lose $400 a year or 1% of an avarage $40,000 annual income. Maybe the other proposal is more cost effective…
The investor quickly boiled down a complex problem into a simple number understanding how it affects the market and the consumer relative to what is promised in the proposal. Many assumptions are made with the goal not getting bogged down in never ending detail. The margin of error is reasonable. Unfortunately for Obama the promise of lower costs for families is not, the numbers clearly show that households will pay more. From an investor point of view the numbers are a bit off. A clear market understanding is there but more detail is needed on expected solar costs down the road. Based on this proposal, Obama will need to have a conversation with the investor regarding adjustments to the cost projections.
The McCain Plan, Investor Perspective
Nuclear power and domestic oil is the focal point of McCain’s Lexington Project. Nuclear is the cheaper more ecologically friendly electric grid energy production method over even clean coal. Nuclear costs are difficult to quantify because of construction, operation, fuel, and disposal costs. The Department Of Energy Nuclear Report for 1995 will provide accurate metrics. To meet US domestic energy needs in 2025 with a growing population the investment in nuclear needs to be…
| NUCLEAR FACTS | |
|---|---|
| Nuclear Plant Construction | $7,000,000,000 |
| Nuclear Plant Power Centralized Lines | $3,000,000,000 |
| Average Annual Maintenance Costs | $172,649 |
| Annual Uranium Disposal | $48,000 |
| Annual Uranium Costs (source of popular 5.9 cents per KW figure) | $8 |
| Nuclear Lifespan | 60 |
| Nuclear Plants Today | 104 |
| Energy Share From 104 Nuclear Plants Today | 20.00% |
| Energy Share From 104 Nuclear Plants In 2025 | 16.90% |
| NUCLEAR IN 2025 | ||
|---|---|---|
| Total Nuclear Plants Needed In 2025 | 615 | |
| Additional Nuclear Plants Needed In 2025 | 563 | |
| Cost To Build By 2025 | $5,630,000,000,000 | |
| Operational Cost Lifetime | $8,142,243,300 | |
| Total Nuclear Power Plant Cost If Built By 2025 | $5,638,142,243,300 | |
The price tag of McCain’s Lexington Project by 2025 is $5.6 trillion. The price tag does not address environmental issues or the new dependency nuclear plants crate on foreign uranium. The US is seventh in uranium production with Russia having 8X as much production. The risk of becoming dependent on foreign uranium is significant. Will the US population be able to afford the Lexington Projet?
| Cost Per Household | $71,469 | Total |
| Cost Per Household Amortized Plant Lifespan | $1,191 | Annual |
| Cost Per Household Per Month (Figure Above / 12) | $99 | Monthly |
The cost of the Lexington Project proposed by McCain will not increase the average $100 bill per month for 60 years. Thats right on target for what the proposal promised. So electing McCain to office with the Lexington Project will cost nothing extra a month in electric bills or taxes. From a national economy and GDP perspective however the $5.6 trillion price for a technology that leaves us dependent on foreign uranium is high. Based on the proposal and the perliminary research, McCain will have to have a conversation with the investor about suppliers before being funded.
Both proposals show a sufficient understanding of the market. From an investor point of view the McCain proposal is investable at first glance. The proposal does lack a clear outline of how uranium will be acquired and disposed of. Suppliers need to be clearly defined, and hidden costs explained in order for the proposal to be solid. The Obama plan has a key advantage in the initial cost being only $3.7 trillion vs. McCain’s $5.6 trillion. Overall a $33 difference between nuclear and solar is less than expected. The solar proposal needs better forecasting on expect prices over the next 60 years to even out the financial numbers. More due diligence is needed on both sides.
Conclusion
As someone who will one day write a proposal never lie about your numbers. Investors are too smart to fall for it. With the age of information came the ability to evaluate any proposal quickly, cheaply, and without hesitation. Make sure your proposal clearly defines the market and your expected returns inline with what the investor believes and more importantly, can verify. The wording and terminology in your proposal will influence which statistics the investor researches and how those numbers will be calculated. Always assume the simplest equations and make sure they work. If your entire plan rests on a hidden variable that only you know about then make sure the investor is aware of it. Otherwise your numbers won’t add up in the face of scrutiny and your proposal will be rejected before you have a chance to explain.
Plans In Review
Personally I feel much more confident in my decision come November 2008. McCain’s Lexington Project and Obama’s New Energy For America Plan are separated by only $33 a month for the average household. That is a much smaller gap than portrayed by some camps but its not just about the money…
- Is $33 a month worth having 615 nuclear plants producing nuclear waste year round for 60 years?
- Is $33 a month worth the risk that we become dependent on Russia for uranium supplies?
- Is $33 a month a gap we cannot close in the next 12 (time to build 1 nuclear plant) years?
- Coal, oil, and nuclear receive tax subsidies, will those be available to solar companies in the future?
| Lexington Project | New Energy For America | |||
|---|---|---|---|---|
| Inital 60 Year Investement | $5.6 Trillion | Inital 30 Year Investment | $3.7 Trillion | |
| 60 Year Cost Per Household | $71,469 | Unsubsidized 30 Year Cost Per Household | $48,000 | Total |
| Cost Per Household Amortized Plant Lifespan | $1,191 | Unsubsidized Cost Per Household Amortized Plant Lifespan | $1,600 | Annual |
| Cost Per Household Per Month (Figure Above / 12) | $99 | Unsubsidized Cost Per Household Per Month (Figure Above / 12) | $133 | Monthly |
Topics: Comparison, Investment | 1 Comment »
An Investable Proposal One Page Template
By admin | August 28, 2008
Writing a proposal for investors is probably one of the most daunting startup tasks I have ever undertaken. So much pressure, so little experience, and no one has a clear cut clue as to how to do it. Everyone is an expert until you ask them to actually help you write one. Then the excuses about how each one is different, and the only one who can write a proposal is the founder. Somehow the point is missed, its not about a unique proposal, its about presenting a unique idea in an standard proposal.
My moment of proposal euphoria came last Wednesday when I attended an Invest Southwest Get Ready Seminar at ASU’s Skysong. A couple of investors came in and gave us the cheat sheet on how to write a proposal. For a free seminar they agave away about $2,000 worth of proposal writing information. If you haven’t done so already read the other post covering what goes into the proposal, An Investable Proposal Dirty And To The Point. Here it is, the template…
Arkayne Investment
|
|||||||||||||||||||||||||||||||||||||||||
| Financials | 2008 | 2009 | 2010 | 2011 (be positive by now) | 2012 (50 million plus revenue) | 2013 | 2014 |
| Revenues | $0 | $0 | $0 | $3,000 | $20,000 | $55,000 | $80,000 |
| Expenditures | $200 | $400 | $800 | $1,200 | $2,500 | $5,000 | $10,000 |
| Net | ($200) | ($400) | ($800) | $1,800 | $17,500 | $50,000 | $70,000 |
| In Thousands (000) | |||||||
Company Profile
URL: arkayne.com
IndustryLink Exchange
Employees: 3
Founded: 7/2008
Contact:
Paul Kenjora
spam@arkayne.com
w 111-222-3333
c 444-555-6666
f 777-888-9999
Address
2222 N Invest Way
Phoenix, AZ 85020
USA
Financial Information
Funding Stage:Beta
Capital Raised:$50,000
Monthly Burn Rate:$4,000
Pre-Money Valuation:$2,000,000
Capital Seeking:$500,000
Management
Paul Kenjora, CEO
Andrew RichCTO
Advisors
John and Mitch
investors
Friends
Family
Referred By:
John Doe Someone the investor knows personally.
Focus On Next Step
Getting investment out of the gate takes about 12 months. So be patient, focus on each step as it comes up, don’t expect to walk out of the first few meetings with cash in hand. Be realistic and keep the investors frame of reference in mind. The proposal is only step one of a long process. Typically the steps are as follows:
- Get in front of an investor with your proposal.
- Give in person presentation.
- Both parties do due diligence.
- Talk final numbers get funding.
Conclusion
Read the proposal form the investors point of view. They see thousands of these floating around every year but invest in a few. The above format was strongly recommended by the panel. By using the above template you are putting a unique idea into a standard easily understood format for your target investor. Remember the goal is to get interest, funding comes later.
By the way if you’re looking for investors find them on the Angel Capita; Association Directory. The exact template above is generated for you free through Angel Soft Online Tool.
Topics: Investment | No Comments »
An Investable Proposal Dirty And To The Point
By admin | August 28, 2008
Last Wednesday I attended an Invest Southwest Get Ready Seminar at ASU’s Skysong. Although aimed at the December Invest Southwest event I found it very applicable to any startup putting together a proposal for investors. The meeting want a long way to cutting through the theory on how to put together a proposal and literally filled in the blanks. What I learned and what I’m putting down here is about $2,000 worth of consulting on how to write a winning proposal. I’m not kidding, consultants have quoted me that much for the exact same info you’re about to read.
Warning: I was a bit depressed when I left the session. It seems a startup has to be started up to be investable. It makes sense, this is reality not a TechCrunch dream. Good news is there is light at the end of the tunnel.
Light At The End Of The Tunnel: By the time you’re finished reading and comprehending this article you will be able to write a one page almost fill in the blank proposal that has a very good chance of landing you some funds. Straight from the investors mouth, one page is all investors want, its all you need. If you can’t describe your startup in one page then you won’t get anyones attention with the proposal.
Presented by investors from the Phoenix valley, the session had an audience of about 20 people. I’m transcribing this directly from my notes so hopefully you’ll get a taste for how the 2 hour crash course flowed. Keep in mind the goal of the presenter was to ensure anyone applying for the December Invest Southwest event wouldn’t be wasting the panels time. The panel consists of dozens of accredited investors who’ve been doing this for years.
Investors will fund the CEO not the idea.
Investors will fund the CEO not the idea.
Investors will fund the CEO not the idea.
Thats not a typo. That was repeated every three minutes and it makes sense. Investors want to make money not save the world (its good if the two overlap but not necessary). Making money is not about the idea but the ability to execute on it. Give a bad idea to a good CEO and money will be made, give a good idea to a bad CEO and you wont get a return. Convince the investor you can make money first and foremost, everything you do ties back to that. Keep that in mind when writing the proposal, draw a tree diagram connecting everything back to that idea if you have to. From now on its not the idea its you, you are either investable or not.
Key Reasons You Are Not Investable
- Market is too small. It needs to be in the billions and you should project only a small share, not the other may around.
- Your only claim is game changing technology. Changing the game carries alot of risk, back it up, dig deeper for a valid competitive advantage.
- Not in a growth industry. Your market better be gaining momentum not loosing it or stagnating. Either you’re too late or you defined your market incorrectly.
- Real revenue vs. projections. A product thats making money today is less risk than one that may make money tomorrow. Trust me you can boot strap until your first sale, user, whatever. Prove to the investors you’ve got a market, don’t just project how you could have one.
- Don’t take on the big boys. If your technology directly competes with Microsoft or Google they will squash you by throwing money at the problem. Not a good investment.
- Investors like barriers to entry. Make sure you have some secret sauce, make it clear why no one else can do this as easily as you can. First out of the gate is not a barrier to entry, someone else can always throw more money at the problem. FaceBook and MySpace didn’t win cause they were first by the way, they won because they had great marketing and media. IP is also good, but not everything.
- Know your suppliers. Hardware or software, know who you have to rely on to reach success. Have a plan in mind as to risk and how to mitigate dependence on others. Investors don’t like an outsourced company.
Every single point above ties back to being a good CEO. None of the issues there are technical. Investors want to see and feel that the founders will be able to tackle any issue on that list at any stage in the startups growth.
Key Reasons You Will Get Investment
- Investors want momentum. The market, your user base, and media interest better be shooting through the roof. Make it happen, Invest Southwest can help you there.
- Looking for great management team. Again its not your idea but your ability to convince the investor you (or your team) can take it all the way.
- Have sales traction. I know WTF? How am I supposed to have sales if I’m looking for investors? You have two options, be on a first name basis with an investor or show him sales. You’re the CEO, pick the easiest path. Investors will call your customers so do NOT fake it.
- Figure out how to sell it. Having an idea and making money from it are two different things. Thats where being both an inventor and a CEO are important to the investor.
- Has to be proprietary. Dig deep find something that makes you unique. Pinpoint it polish it and give reasons why you will own it.
- Recruit industry leaders as advisors. Having a big name attached to your startup goes a long way. Find these people, LinkedIn, Starbucks, your high school friend of a friend. Start attending local meetings related to your startup, whatever. No excuses this takes time and patience and many dead ends. If you cannot do this you’re not going to succeed as a CEO, end game.
- Reasonable sales cycles. Your financial projections better be realistic. Whats realistic? In a nutshell, negative year one (with money invested by you, friends, and family), positive by year four, and $50 million plus at year 5. Don’t fake the numbers, be in the ball park and you’ve got an investable idea. If you can’t hit those numbers it means your idea can still be profitable but investment is not in your future.
- Be on the same page upon exit. Your investor doesn’t want to sponsor you’re life long project. Understand and plan for an exit, make that clear up front.
- Understand your strengths and weaknesses well. As a CEO this is a given. Investors want to know you will make the best decisions possible regarding their money. Being honest with yourself about what you can and cannot do is key. Don’t try to make yourself look good, investors are happy to let you grow your team to fill in those weak areas.
Startups With An Advantage
You are always competing with others for investment dollars. Its better to have an edge, and three simple things give you an unquestionable advantage…
- Revenue
- Customers
- Velocity
The Proposal
If you think you’ve got everything above down then write the proposal. Do NOT pretend you have it all down, you’re only fooling yourself. Those are the reasons only a handful of companies get funded. Those are the reasons companies with bad ideas get funded. Those are the reasons you may or may not get funded. Its a checklist, its been boiled down, don’t guess, just go through the lists and make sure you can check each of them off. You are NOT too busy and working on the product is not more important if you are looking for funding.
Sigh… So this post will be ridiculously long if I add the proposal template here. Instead I will link it purely to keep things nice and organized. A template for a proposal encompassing all of the ideas above is as described and shown at An Investable Proposal One Page Template. Its almost fill in the blank with ideas an key concepts listed in each section.
Topics: Investment | No Comments »
Link Popularity Is Too Popular
By admin | August 6, 2008
If your blog was attending link exchange school, who would you go with popularity or relevance…
Its high school all over again, if you’re not one of the popular kids forget about going varsity. Ten reasons why popularity linking is a game they wont let you win and ten counter reasons why relevance is the new geek you’ll want to date.
Ten Against Link Popularity
- Being prom queen is hard work. The time invested in getting blog readers (especially early in the game) is tremendous. A lack of experience as well as a readily available reader base means bloggers spend weeks of daily labor building up to a few dozen regular visitors a day. What if you could tap into a reader base thats relevant to your content in 5 minutes?
- Popularity makes you lose your identity. Broadening your reader base often means diluting your message. The problem isn’t the content its the lack of user flow between islands of ideas that float on a sea of gibberish. If you could instantly link your blog content directly with other like minded islands of readers would you?
- You have to put out. Face it, to get something you have to give first. Your routine is leaving comments on blogs, asking administrators for links, building relationships, and being an active member of forums. Thats more than a full time job so how do you have time for creating meaningful blog content at the rate your readers like?
- If you put out too much you’re slutty. Its a tight rope walk, spreading the word without spamming your peers. Mostly its a game, your peers want the comments and the attention so they play along until your strategy proves effective and they start leaking hard earned traffic. If you cross the line your name is dragged through the mud. You would do the same, its just a part of the popularity game, right?
- Popular kids spend a lot of their parents money. Your trust fund isn’t up yet and investors aren’t dropping money on blogs. Advertising online has gotten fiercely competitive and everyone is looking to make a dime. The big boys already have some traffic and maybe even funds from a parent company, they can trow money at getting to the top. How get traffic with no money from bloggers who have way more cash flow?
- You have to pretend to like the more popular kids. In every bloggers life they find themselves endorsing their better off peers in hopes of gaining favor with readers or coaxing an endorsement. In the long run, the only one who benefits is the more popular blog. Is there a way to gain exposure with trusted readers so that both blogs benefit?
- The varsity kids make you eat dog poop. to join the team There’s a wonderful moment in every bloggers life when they are asked to contribute to another publication, or included in a list of links on a page. Whats quickly forgotten is the hours of pandering and slaving over the whims of the master blogger. In some cases it may be worth the work but mostly young bloggers burn time promoting and creating content for others wih little to show for it in terms of increased readers. Are there less risky ways to promote blogs mutually?
- You never get the popular girl. The publication you want to be on Wired, TechCrunch, or even Digg are one in a few hundred thousand. The number of readers is directly proportional to the number of daily submissions vying for attention. Not to say it can’t be done, but you better know someone face to face on the staff, trust me on this one. Wouldn’t it be great if you could link your blog to these publications based on similar topics instead of popularity?
- Everyone is playing the same game. Everyone in the known internet universe (and some of the darker spots) are using the same tactics. Here is the list in order: SEO, Link Exchange, Google Advertising, Google Analytics, Aggregations, RSS Readers, and Forums. There are a few other the comments will fill in. If you’re doing those things then you’re on the playing field, you’ve just met the bar. Getting ahead requires a new tactic, one that will turn the others on their head, does such a marvel exist?
- Your friends turn on you in a heartbeat. Lets face it a blog is only as good as its readers. Actually with popularity its just the number of readers anyone cares about. If a link is siphoning off too much readership its cut, thats the rule. Its well documented. What if you could create a link that constantly searched out a replacement?
Ten For Link Relevance
- The key is being yourself. As a blogger never forget who you are and why you are blogging. Staying true to your interests will bring reflect in each posts tone and content. Staying relevant to your ideas requires a new form of attracting readers. Try linking to similar posts using a relevance widget like Arkayne. Relevance widgets super tag your pages and produce lists of links based on similarity.
- Your friends like you for who you are. With relevance what matters is content. Relevance widgets look for common posts and rank links based on words within the blogs. The algortithms are complex but the result is simple, more meaningful links that engage readers. As content changes the links within widgets like Arkayne are constantly updated to ensure relevance.
- Every friend is a trusted wing man. Relevance linking will no doubt attract people hoping to game the system. The key advantage is a higher barrier to entry for spammers. Since content is key to link relevance, spam by design must be significantly relevant to the blog being linked otherwise its washed out by better alternatives. Blogs using relevance linking widgets like Arkayne can safely build co-operative links that enhance user experience. Analytics measurements show a significant improvement in user interaction and click through rates (CTR) for blogs linked using relevance widgets like Arkayne.
- You get to keep your lunch money. Best part about relevance linking is that the barrier to entry is low. There is no need to build up traffic or spend countless hours looking for link sources. No need for expensive popularity based advertising. All thats required is great content, the relevance widget will find readers for you. Imagine dropping a simple widget like Arkayne into your blog posts and overnight have it linked with thousands of similar pages.
- Your fund raisers have hotter girls holding up signs. The difference between how many people visit your blog vs. how many interact with it comes down to CTR. Readers who are more in tune with your ideas are much more likely to click on your ads, visit other articles, and add your RSS feed to their favorite readers. Relevance widgets like Arkayne have demonstrated reduced bounce rates and better CTR because they help readers bridge ideas and content across posts.
- People like hearing what you have to say. The core idea behind relevance is that readers like surfing topics not blogs. RSS readers have taken off because people enjoy a variety of sources and view points on a specific topic. With a widget like Arkayne your bog is looped into a relevant topic. Readers from all over the web will follow the widget links stepping into your blog posts with their interest dialed in to your topic.
- Its OK not to give into peer pressure. With relevance there is no penalty for posting topics you feel strongly about. Relevance widgets like Arkayne link each post to the most similar content around the web. That means each post is exposed to a tailored set of readers. Having a relevance widget on your blog is like having a full time crawler constantly seeking out new and relevant connection for each of your posts. Your readers will create popularity not the other way around.
- You’re always meeting interesting new people. Relevance is purely content focused completely changes how blogs interact. With popularity you typically link blogs, whereas with relevance linking through widgets like Arkayne you link individual posts. Any new content on a blog has the possibility of linking with new posts from around the web. A good relevance widget is constantly discovering and introducing readers to new content.
- You don’t have to attend every sporting event. By creating a method of measuring relevance, widgets like Arkayne automate link exchanges. Instead of tedious manual linking and link building, a relevance widget can confidently find and suggest links automatically. Every time a new post is published relevant posts all over he web are examined as potential link candidates.
- Some geeks grow up to be studs. Relevance linking is an emerging disruptive technology that is quickly demonstrating significant improvements over simple popularity links. Technologies like Arkayne are going to improve reader experience as well as change the game for bloggers. As with all revolutionary ideas early adopters are likely to reap the biggest rewards.
Topics: Uncategorized | No Comments »
