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Archive for month: June, 2013


Risk and the Characteristics of Rapid Growth Companies

In the technology and life sciences industries there are small companies, growth companies, mid-size companies, small cap companies and large companies.

A small company can be a grow company by adopting their business practices. While every business is different, many characteristics are common with successful rapid growth companies.

Rapid Growth Companies Usually Take Risk Management More Seriously – Rapid growth companies aren’t afraid of taking calculated risks, but they often learn how to turn risk into opportunity and they do that better than their competition. That means that they before they jump into opportunities they calculate risk and are more aware of the potential consequences. Developing a corporate risk management approach at an earlier life cycle is more important for continued interest by investors and strategic partners.

Rapid Growth Companies are Usually Better at Business Planning – Rapid growth technology firms are always looking ahead in the marketplace and understanding the changing world, view and opinions. This strategy helps them consider and plan their exit strategies. As with any risk management program, it is helpful if you know where you want your organization to be in the next 1-3 years.

Rapid Growth Companies Know their Target Profit Margins – Rapid growth companies usually know their target profit margins. Most emerging technology firms recognize that operating on a low margin for a long period of time makes it difficult to accomplish growth goals. It is important to factor in your total cost of risk as you take steps towards your target profit margin.

Rapid Growth Companies Pay Close Attention to their Market – Rapid growth companies pay close attention to the economy and the views of their investors. If you stay isolated on a narrow part of the market, or have only one product, your companies runs the risk of being stagnant. Rapid growth companies know how to seek out new markets and develop new products and keep risk management central to those decisions.

Technology and Life Science firms are diverse in size, growth prospects and type of businesses. While they share some common characteristics, the rapid growth firms are the ones that drive news in a flat economy.

Contact a TechAssure member to learn more about how these companies are taking risk management and making it central to their growth plans.


TechAssure Association Reviews Trends in Verdicts and Settlements for First Half of 2013

Click here to view our one-page summary.


In June 2013 TechAssure Association reviewed litigation trends in the technology and life sciences industries for the first half of 2013.

The following summarizes the findings on the current trends in verdicts and settlements in the technology and life science industries:

Top 10 Claim Categories in the Technology Industry

TechAssure reviewed 349 verdicts and settlements in the technology industry and concluded the following:

84% of the cases reviewed found the top claim categories: (in rank order)*

  1. Patent
  2. Privacy, Network Security
  3. Price Fixing
  4. Employment
  5. Consumer Class Actions
  6. Fraud
  7. Antitrust
  8. Contractual
  9. Insider Trading/SEC
  10. Trademark

TOP 10 CLAIM CATEGORIES in the Life Science Industry

TechAssure reviewed 310 verdicts and settlements in the life science industry and concluded the following:

82% of the cases reviewed found the top claim categories: (in rank order)*

  1. Products
  2. Patent
  3. False Claims/False Ads/Marketing/Labeling
  4. Price Fixing
  5. Antitrust
  6. Employment
  7. Kickback/Billing Practices
  8. Whistleblowing
  9. Fraud
  10. Contractual

* Verdicts and settlements January 2013 to June 2013.

TechAssure also noted a number of growing litigation trends during the first half of 2013. The growing litigation categories included:

Growing Litigation Categories:

  • Privacy
  • Network Security
  • Data Breaches
  • Whistleblowing

California, are you Ready for More Changes?

Again the California bill, designed to expand data security breach notification law, has cleared the senate. The California state Senate passed SB46. This bill has been expanded to include a number of additional items. Bill SB46 expands the triggers to include passwords, user names, security questions and answers and more. The additional list of triggers expands the responsibilities that a firm has on their reporting requirements.

As this bill makes its way to the Assembly for review, California firms will need to review their new requirements, processes and procedures for managing their risks.

A TechAssure member can help you better understand your network, security and privacy risks.


Are You Ready for Canada Privacy Reform?

Coming to Canada soon! Are you ready? Canada’s Federal Privacy Commissioner has released a roadmap for getting Canada’s federal private-sector law ready for the future.

Big Data and changes in the privacy world have made it important to get Canada in a more current state.

Canada’s Federal Privacy Commissioner is calling for measures that are strong enough to ensure organizations invest appropriately in privacy, require organizations to report breaches, increase transparency, hold firms accountable and create legislation that evolves to keep up with the changing laws.

If you need assistance in better understanding your network, security and privacy risks, please contact our TechAssure member in Canada.