“Wherever there is number, there is beauty.”
-Proclus (410-485 A.D.)

The Proclus quote might be a little over the top (and it was in reference to mathematical thought, and not to trivia), but it’s still appropriate.  Numbers tell a story, and the infographic below provides some insight into ours, and what we’re all about.

Sure, you might know a good deal about us when it comes to hosting—but did you know we’ve funded over $14 million in small business term loans so far in 2010, making us the largest non-bank small business lender in the US?  Did you know we have customers in all 50 US States and in 112 different countries?

Here’s some fascinating stats from your favorite technology and business services provider:

Want to learn more about any of the business or technology services Newtek offers?  Give us a call at 1-877-323-4678, option 2.

Have any questions or comments?  Let us know in the comments section below.

For this month’s Technically Speaking column, we were fortunate enough to speak with Rafael Cappucci of visionASP, someone we respect a lot here at Newtek.

visionASP has been in the business of helping businesses grow, just as Newtek, for the past twelve years, specializing in all aspects of web development from front-end and back-end development, to merchant integration.

Newtek Technology Services: Thanks for speaking with us, Rafael. Why don’t we start by you telling us a little about visionASP and how long you’ve been doing business with Newtek.

Rafael Cappucci: visionASP started in 1998, and has been involved in all levels of website development and design — from basic, static page development to more advanced development. We use everything from the .net to PHP programming languages, depending on the development project. Our services also include e-commerce, content management (CMS) applications, and merchant integration, and can be tailored to customers nationwide. Newtek has been a great resource for us since 2004, providing the highest level of services and support.

NTS: Because you’re an expert in just about all aspects of website development, I wanted to speak with you about a subject that doesn’t often get the attention it deserves—content development and copy writing. Why don’t you share with us your thoughts on what makes good content on a website?

RC: Good content is extremely important and needs to be updated often which is why we recommend CMS systems. The content must change frequently, and it must be made easy for the customer to make the changes. It can change it a number of ways, including the addition of website pages and through blogs. It must be relevant to the customer’s services and products, and must reflect the perspective of the customer.

The website also needs to be easy to navigate. This means that people need to be able to find what they need quickly, without scrolling or hunting. The site should not be cluttered. It should have a consistent theme, with colors that complement each other and good contrast. Other things that make it work for the customer include clean lines, meaningful pictures, and people with smiling faces.

NTS: For most of us, when you visit a website, you’re doing so for the content–the information. But for some of us, when we think of the process of creating a website, our primary thoughts are usually of the design aspects only. The look and feel. The navigation. The aesthetics.

So in terms of hiring a firm to create a website, many of us spend a lot of our energy worrying about the design. This is important, of course, but perhaps the content of the site–the point, usually, of the website–becomes an afterthought. Would you agree with that statement, and how do you tackle content strategy and creation with your clients with that in mind?

RC: We agree; there is always a danger that the content can become an afterthought. That is one of the reasons why search engine optimization (SEO) is so important. The content needs to be relevant, providing both “automatic,” up-to-date information and generic information. When the website is being produced, particular attention should be paid to titles, keywords, descriptions, and compelling content. These are things that will keep customers coming back.

NTS: From your experience, how much weight should be placed on SEO when creating content? Should clients worry more about creating quality content, or should a good deal of weight be placed on copy that will best hit on keywords?

RC: SEO should be foremost in mind. Your way to expose your business to the world is through search engines. Quality content and the use of keywords can go hand in hand, without sacrificing anything for the customer. The ability to self manage SEO information is also very important. visionASP and Newtek have tools to make this easier.

NTS: Finally, and to go off topic for just a moment, we get the privilege of working with great customers like yourself, and we try to do a lot on our end to be sure our service is always top-notch. Are there any insights you’d like to share with our readers regarding your own philosophy on customer service?

RC: Yes, certainly. We believe that customer service is paramount. We focus on building a relationship, and on doing whatever is necessary to satisfy the client’s needs so that his or her business grows. From our perspective the client is the king!

For the customer, nothing is more frustrating than leaving a website without getting an answer to a question. For the business owner, this can mean a potential loss of revenue. That is why extra time on the front end — good communication, in other words — could make the difference between success and failure. We believe in taking the time to make sure both our clients and their customers are happy.

NTS: Thanks, Rafael. We appreciate you taking the time to speak with us.

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So what’s your thoughts on the importance of content development in the broader development of a website? Let us know in the comments below.

For our first customer Spotlight, where we showcase a customer who we’ve worked with to build out a custom hosting configuration, we had a chance to speak with Troy Vasquez, Vice President of  Digital Attic.

Digital Attic is a full-service production company based out of California that provides advertising agencies and marketing companies with the tools, equipment, and professionalism needed to produce high quality marketing materials.

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Newtek Technology Services: Thanks for speaking with us, Troy.  Digital Attic’s design, development, and production services are pretty darn comprehensive, to say the least.  You tackle everything from iPhone application development to email marketing to 3D animation.  And not only that, you’ve been in business since 1992.  Why don’t you share with us some of the history of Digital Attic and its evolution to what we see today.

Troy Vasquez: Digital Attic started in 1992 as one of the first 3D animation companies in California.  We designed and created many TV commercials, TV station identification packages and other custom animation projects.    During that same time we also began offering video production services, creating TV commercials, and a few weekly local television shows.  We were working on Amiga and Commodore 64 computers running 16 MB or less of RAM.  In the mid-1990’s Digital Attic diversified becoming a web development firm, and establishing a nation-wide client base. As more companies adopted online-based marketing strategies and business solutions Digital Attic developed into a marketing firm specializing in online marketing and development. We now have an international client base, continuing to grow in spite of the recession.

NTS: What do you see as your biggest challenge in today’s uncertain marketplace?

Troy: Company growth is our biggest challenge in today’s uncertain marketplace, but it is also our greatest opportunity. We view the challenges in today’s economy as an opportunity for continual adaptation and innovation.

NTS: Your client list features some notable names.  For our small business audience, can you share with us some insight on building relationships with potential clients?

Troy: Creating and managing healthy customer relationships is a must for service organizations. The key to success is in growing and then managing the right expectations for service delivery. One way Digital Attic has accomplished this is through being proactive and providing solutions to unforeseen problems.

NTS: From your portfolio, I see you’ve done some great work with local clients as well, in Fresno.  How does serving your own community factor into your business strategy?

Troy: Digital Attic takes pride in its community. Being able to serve our community is not only a great honor, but also a commitment. By doing business locally we help support the local economy through economic development and providing jobs for local families.

NTS: Newtek recently assisted Digital Attic with a custom hosting solution. Can you tell us a little about what your need was and how we were able to help?

Troy: We needed a solution for our client that could handle millions of people per day. Your load-balance recommendations and replication between primary and secondary servers has proven to be a success. Page response times are great and have provided us and our client’s peace of mind knowing that the servers are running smoothly and our databases are replicated on the secondary server just in case a live backup is needed.

In addition to providing a cost-effective and professional solution, the staff at Newtek has been superb. Your staff consulted us on the best solution for our challenge, provided testing and reassurance on the amount of traffic we were anticipating, as well as getting the servers launched in a timely manner. If this wasn’t already enough, the staff at Newtek has provided ongoing monitoring and troubleshooting of potential problems while the solution has been online.

NTS:  So what made you choose Newtek over any other hosting provider?

Troy:  Newtek provided the most cost-effective solution that required only minor changes to our client’s website. Also, your technical support is the most responsive when we have questions or issues that need to be addressed.

NTS:  Finally, we here at Newtek do our best to provide top-notch customer care in order to build relationships with customers like Digital Attic. Can you give us some insight on Digital Attic’s own philosophy on customer service?

Troy:  Our success is built on creating a positive relationship with our customers as we help grow their business.

NTS:  Thanks, Troy, for speaking with us.

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Have any questions or comments for us or Troy?  Let us know in the comments below.

You embark on a new business. You plan to sell products and services through your website. You shop around and find a merchant provider that appears to give you the best deal. The rates are low so you sign a long-term contract.

When you get your first statement, however, you notice several fees you weren’t aware of. Setup fees, annual fees, software fees, batch fees, and so on. You realize that maybe your deal wasn’t so great after all, but you can’t leave. You’re in a contract.

Here’s the ugly truth: Because there are so many different rates and fees involved in having a merchant account, some businesses end up paying more than they expected.

Here’s five easy steps you can take to safeguard yourself when shopping around for a merchant account:

1. Have a basic understanding of  how merchant processing fees and rates work.

For many of us, when we think of rates and fees for a merchant account, we only think of the ones directly associated with the credit card swipe. As such, merchant providers will only advertise those particular fees prominently on their websites and/or brochures. This includes the qualified discount rate and sometimes the per item fee.

These, of course, are not the only fees associated with having a merchant account. Other common fees include the gateway fee, monthly minimum fees, annual fees, cancellation fees, batch fees, set up fees, pass through fees, over limit fees, voice authorization fees, software fees, statement fees, customer or technical support fees, and more.

2. Ask for details and an explanation on all fees.

When you receive your merchant application, ask for an explanation for all of the fees listed, including if they are recurring, one-time, or penalties.

Hidden fees are almost always hidden in plain sight. So if you see a fee you don’t understand or a fee that you haven’t received an adequate explanation for, demand more information. And don’t be afraid to explicitly ask whether there are any fees involved that are not listed on your application.

3. If a merchant provider offers to waive any of your fees, ask for it in writing.

Don’t take their word for it. If a special arrangement is made over the phone, especially if they offer to waive any fees, be sure to get it in writing.

4. Understand the terms of your contract.

How long are you locked into your contract? What’s the cancellation fee? These are essential items you’ll need to consider before signing anything.

5. Compare with Newtek.

If your looking for a merchant account, don’t forget that Newtek has been helping businesses with their ecommerce and merchant needs for over a decade. NewtPay, which is our special merchant product designed for online merchants, features no start up costs, no monthly fees, competitive rates, and no contract.

If you’d like to speak with one of our specialists about NewtPay, and your business is based in the US, call us at 1-877-232-4678, option 2, or email us your contact information at community@newtektechnologyservices.com.

Take our latest small business survey and see how your response matches up with other business owners.



Tech blogger Jon Stokes of ars technica observed that the term “cloud” is so overused that it now means everything and nothing all at once.

He has a point.

Depending on who you ask, “cloud” still means different things to different people. For some it means Google Apps, SalesForce.com, or even Facebook, which is to say it’s SAAS. To others it’s on-demand scalability. To others, still, it has to do with where data is located—i.e. not on a single server. Et cetera.

But to be fair, over the last couple of years the idea of what cloud computing means has grown from the anecdotal to something we’re seeing more and more in practice, and it turns out a lot of these competing definitions of what the cloud means and how it’s applied are just different ways of approaching the same basic concept, which is the delivery of services across a virtualized computing infrastructure.

And this brings us to our own big announcement today, which is that we’re upgrading our entire shared Microsoft SQL segment to a new, highly available environment—one that leverages a cloud approach through virtualization and hardware clustering.

So what does this mean to you?

First and foremost, this move is a profound upgrade to our existing SQL environment. It’s much more powerful and robust, it provides a much higher level of availability, it’s much more scalable for us in terms of how we’ll be able to effectively support the environment for years to come, it’s substantially greener, and it’s even more secure with Microsoft’s latest release of Windows Server 2008.

And while our customers may notice a higher level of performance, it’s important to point out that we’re doing all of this without passing any of the cost down to you.

We’ve already begun migrating databases to the new platform, and for those of you who haven’t received notification yet on when your database(s) are to be migrated, you’ll be notified once your server is scheduled.

Finally, and perhaps most importantly, you won’t see any changes whatsoever in terms of how you interact with your Microsoft SQL database(s). So you don’t need to worry about changing the code on your site or application. Your SQL server address(es) will remain the same and you can continue to add, delete, or modify your SQL database user details in the WebControlCenter as you always have.

Under the Hood

It’s easy to talk about the benefits of an upgrade in an abstract way, so let’s get into some real details.

Now, we should probably say that we’re not making claims of higher performance and reliability simply because we’re utilizing a virtualized or cloud infrastructure. We’re actually using some serious hardware, in conjunction with Windows Server 2008 R2 and Hyper-V virtualization technology. Here’s some highlights of what we’re using:

Also, be sure to check out our Vice President of Research and Innovation, Justin Russell, talk about our new SQL environment in this month’s Technically Speaking Video.

Dell PowerEdge M610 Blade Servers

• We’ve packed 48 GB of RAM into each blade, with the ability to increase it to 96 GB and higher.
• Integrated power gates in Intel Intelligent Power Technology allows individual idling cores to reduce to near-zero power independence from other operating cores, reducing idle power consumption by up to 50 percent versus previous generation two-socket server processors.
• DDR3 memory provides a reduction in power consumption of 30% compared to DDR2 modules.
• The Dell PowerEdge M610 server has a greater than 20 percent performance-per-watt advantage over comparable solutions from other manufacturers.
• M-Series blades allow us to scale up to 128 cores.

Dell PowerEdge M1000e Blade Enclosure

• Centralized management controllers (CMC) provide redundant, secure access paths for administrators to manage multiple enclosures and blades from a single console.
• With additional I/O slots and switch options, we have the flexibility we need to meet increasing demands for I/O consumption.
• Dell’s FlexIO modular switch technology lets us easily scale to provide additional uplink and stacking functionality.
• Redundant Power Supplies support 3+3 (AC redundancy), 3+1 (Power Supply Redundancy), or 3 + 0 (non-redundant) modes.
• The M1000e is the most power efficient blade solution on the market, built on Dell’s energy smart technology.
• Ultra-efficient power supplies.
• Dynamic power efficient fans.
• Optimized airflow design that can efficiently cool the chassis to enable exceptional performance in a lower power envelope.
• Lead-free chassis reduces overall cooling requirements.

Compellent SAN

• Compellent has won “Technology of the Year Awards” from InfoWorld Media Group three consecutive years.
• Clustered controllers – no single point of failure.
• Consistent, online backup and recovery.
• Compellent Thin Provisioning, called Dynamic Capacity, delivers the highest storage utilization possible by eliminating allocated but unused capacity, minimizing the environmental impact of enterprise storage.
• Cut power and cooling costs by as much as 93 percent by combining Server Virtualization with Storage Virtualization.
• Eliminate the power draw of internal server drives with Boot from SAN.
• Identify the ideal mix of disks based on power and carbon savings reports generated by Enterprise Manager.

Windows Server 2008 R2 Datacenter Edition*

• Windows Server 2008 R2 supports up to 256 logical processor cores for a single operating system instance. Hyper-V virtual machines are able to address up to 64 logical processors in the host processor pool.
• Reduced operating system overhead for graphical user interface.
• Improved performance for storage devices.
• Windows Server 2008 R2 was designed to perform as well or better for the same hardware base as Windows Server 2008. In addition, R2 is the first Windows Server operating system to move solely to a 64-bit architecture.
• Windows Server 2008 R2 reduces processor power consumption in server computers with multicore processors by using a feature known as Core Parking. The Core Parking feature allows Windows Server 2008 R2 to consolidate processing onto the fewest number of possible processor cores, and suspends inactive processor cores.
• Windows Server 2008 R2 has the ability to adjust the ACPI “P-states” of processors and subsequently adjust server power consumption. ACPI “P-states” are the processor performance states within the ACPI specification. Depending on the processor architecture, Windows Server 2008 R2 can adjust the “P-states” of individual processors and provide very fine control over power consumption.

*Note that Microsoft SQL 2000 databases will be utilizing Windows Server 2003. SQL 2005 and 2008 will utilize Windows Server 2008 R2.

So what do you think? We’d love to hear your thoughts or any questions you have in the comments below.

I don’t know about you, but I think a vacation is in order.

And if I were to make a short-list of awesome places to visit, Italy would probably be on that list, which is why it was an absolute pleasure to speak with Cheryl Alexander of Italian Excursion for this month’s A Newtek Minute column.

Italian Excursion, which offers small-group guided tours through Italy, Tuscany, Umbria, and northern Lazio, focuses on showing you a region of the country that is less frequently traveled.  Part of the tour includes a trip to a 4,000 year old Etruscan village, wine tasting and food pairing at a traditional organic winery, and even a visit to Bolsena, the peninsula’s largest (and cleanest) volcanic lake, where the seven-hundred year old Castle of Bolsena overlooks the water.

For full tour details, be sure to check out the website.

Cheryl Alexander
Company: Italian Excursion
Website: http://www.italianexcursion.com

Newtek Technology Services:  Cheryl, thanks for speaking with us.  What inspired you to pursue a career in traveling?

Cheryl Alexander:  My interest in travel to Italy began some 15 years ago when I traveled there with friends.  From that point on, I planned my whole year, each year, around my two to three visits to Italy.  The people are so warm and friendly, the history and culture so deep and complex, the food and wine, captivating!

NTS:  What’s the biggest lesson you’ve learned in business that’s worth passing on to others?

CA: Having a strong infrastructure, including people, who can expertly support you and your goals, are most vital.

NTS:  Can you provide a no-fail tip in establishing client/customer loyalty?

CA: Great and consistent service, the first time, all the time.  Going the extra “mile” that some other company won’t go.  Following through on promises made, too, is very important in keeping clients loyal, and getting referrals.

NTS:  How long have you hosted your website with Newtek?

CA:  I have been with Newtek for more than six years, based on a referral from my original web designer.

NTS:  Why did you select us and why have you stayed?

CA:  As I mentioned, I was referred by someone I trust.  I’ve stayed because the service is exemplary, the prices reasonable.  I’ve been able to reach someone quickly, who is courteous, kind and knows how to solve the problem.

NS: Thanks, Cheryl.

Be sure to join us next month for another A Newtek Minute.  If you have any questions or comments for us or for Cheryl, please let us know in the comments below.

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Here’s something you might not know about:  We offer custom hosting solutions.

So what do you mean when you say you do custom hosting?

That’s a good question, and this is something we get asked a lot. But let me back up for just a second.

Fact is, not many people realize that we’re actually much more than a web host (in the traditional sense). Sure, we’re sort of famous when it comes to Windows shared web hosting services—it’s pretty much been our marquee service for the past thirteen years.  You could even say the same thing about our dedicated and, more recently, VPS offering. But if there’s one thing we do best, it’s actually building infrastructure, and supporting web hosting for developers is just one aspect of that. And when I say building infrastructure, I’m talking about everything from designing datacenters from the ground up, to building server clusters, to something as minor (relatively speaking) as setting up a configuration with OS flavors we don’t normally offer.

And that’s probably the key phrase here—what we don’t normally offer.

How many times have you shopped for hosting and you had to jump around from site to site looking for a host that supported the exact configuration you needed, especially for something that might be a little complex. It can be tedious, and we often hear from our own customers that they’re using two, three different hosts because each one supported a different need.

So we started doing something a while back but never really advertised, which is: Hey, we have the staff and ability to support a ridiculous range of hosting solutions, so lets offer up our expertise as a service.  If we don’t normally offer it, lets do it if we can.

And what we quickly found was that this made things a whole lot easier for our customers, especially small-biz IT departments that needed something that might’ve seemed a little weird at first to ask from a “web host,” like hosting a Google Mini appliance, or something more complex, like building out a server cluster or setting up a Virtual Private Network—stuff you’d assume a so-called “IT host” would have to help you with.

So if you have a hosting need that you’re not sure we can support or you don’t see offered on our website, feel free to ask us. Fact is, there’s a decent chance we’re already doing what you need with a ton of other customers.

Check out our custom solutions page, and take a look at a few of our more common requests, like network load balancing, and contact us if you have any questions or if you’d like a free quote.

Also, be sure to check out our VP of Research and Innovation, Justin Russell, in this month’s Technically Speaking video where he talks a bit about our custom solution offering, and the talent behind the team we’ve put together to support it.

Have any questions or comments? Be sure to let us know in the comments section below.

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As the Los Angeles Times recently put it, gift cards aren’t just for the big boys anymore. Small businesses are starting to reap the benefits as well.

However, according to the Times article, only about 8 to 10% of small and mid-size merchants use or have used them.

For the 90% of small businesses who haven’t gone this route, here’s three simple reasons why implementing a gift card program can help your business grow.

It Increases Spending

According to industry research, consumers are likely to spend more than the initial value of the gift card they received, and a majority of merchants who implement gift card programs report an increase in their sales.

To top that off, gift card users are more likely to buy full-priced items over sale items, and are less likely to bring items back for exchanges or refunds.

It Builds Brand Recognition

The benefits here are twofold.

First, someone has vouched for your business by giving your gift card to someone else—probably to a friend or family member. We all understand the power word-of-mouth can be to creating trust and awareness, and a branded gift card does this overtly and in a very tangible way.

Just as importantly, a gift card serves as a reminder, like an advertisement that burns inside a wallet or purse. Depending on the value of the card, an individual may keep it with them for days or weeks at a time. Think about the last time you needed something that you already had a gift card for—whether it’s dinner or for a free oil change. It’s a win for both you and your customers.

It Generates Repeat Business

Your gift cards users are not only more likely to spend more money at your establishment, but they’re also more likely to visit your business on more than one occasion.

Who wouldn’t want to increase repeat business?

Here’s a bonus reason—they’re cost effective

Sure, the above reasons sound great, but what will it cost you, right? Believe it or not, gift cards are incredibly affordable, which is why they’re becoming increasingly popular among small business owners.

And even better—we can help you. If you’re a US-based business, and you’re interested in learning more, shoot us an email at community@newtektechnologyservices.com (and be sure to ask us how you get can get your first 100 gift cards free).

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If you haven’t yet heard, Microsoft recently released the first beta of WebMatrix, a light-weight (and free) software stack that provides everything you need to start building websites using Windows.

For developers new to ASP.NET development, the free toolset is an ideal starting point. Some key features include:

• IIS Developer Express, a development web server

• The ASP.NET framework

• SQL Server Compact Edition 4

• An integrated code editor and database editor

• “Razor” — a new view engine for ASP.NET, which allows you to embed VB or C# within HTML

• Search optimization, and more.

Basically, WebMatrix streamlines website development for newbies and even lets you work with popular open-source applications that are a part of Microsoft’s Web App Gallery.

The strategy for Microsoft, of course, is to attract new developers to their environment—and this appears to be an effective way to go about doing it. With WebMatrix, you can start coding, testing, and deploying sites locally without having to worry or giving any thought to, say, setting up or managing a production box or purchasing any expensive software.

And once you’re ready to make the transition to a live or production environment (IIS, SQL Server, Visual Stuido, etc.), it’s pretty much seamless.

Be sure to check out Scott Guthrie’s writeup on WebMatrix, as well as a couple of getting started videos on Microsoft’s website.

So what do you think?  Do you plan on using WebMatrix?  Take our poll below.

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