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Last week, we talked about workplace romance gone either wrong or right, and here are 12 of my favorite stories you shared. 1. The emergency deployments The company I worked for occasionally had to respond to statewide emergencies (think every two years). When these happened, you had to go work in a different location and fill roles for the emergency. So a team lead on emergency could just be a support staffer at their day job or a middle line manager could become the states liaison with the feds. Somehow this change in location and status made people lose their minds. The sudden power made the person “sexy”: coworkers (often married) would begin affairs with this person. There was drama and fights as this newfound power showed itself in personal favors, petty revenge, and love triangles. And then … the emergency was over and we returned home and there was (somehow as a surprise) fallout as people realized they had to still work with the coworkers they had slept with/ backstabbed / caught in affairs / tried to seduce. Mind-boggling. And guess what happened on the next emergency deployment? 2. The sofa Many years ago, we had a sitting area adjacent to the women’s bathroom that had a beautiful sofa in it. We redecorated one year and I asked what was to become of the sofa because I really liked it and if they were donating it, I would be happy to take it off their hands. I was promptly told by our Administrator that I would not like that sofa due to the fact it was the ‘after hours meet up sofa.’ Apparently, on SEVERAL occasions, housekeeping walked in on numerous employees throughout the years, having sex after hours on said couch. I did not take the sofa. 3. The declaration Coworker and I were best work buddies for two years at a distribution center. One day he walked up to me and said, “OP, I love you.” I cheerily told him I loved him, too. He said, “No. I mean I really love you.” I was stunned, thought about it, and eight months later we were married. We retired together in 2010 and will celebrate 27 years in July. 4. The annual conference We had a couple from different states that had a “Same Time Next Year” relationship at the annual conference. They were both married with kids at home but hooked up all week at the conference. They were not discreet about it. 5. The sandwich maneuver Over the first couple of months on a new job, I got to know one of the managers gradually because my work overlapped with his area of responsibility. I didn’t particularly care for him, he was kind of a jerk, honestly. I had heard workplace gossip about someone who had just gotten married a few months ago and was already getting divorced because his wife was cheating on him. It was this man, and it seemed to explain why he acted like a jerk at times. As I got to know this man, another coworker pointed out he was spending more time “explaining work things” to me than I needed. She said she thought he liked me. I will admit, he had started to grow on me. But dating him seemed like too much of a trainwreck: 1) my own rule about not dating coworkers; 2) his recent separation and pending divorce; 3) he was a manager, though not my manager. One day he asked for half of my Subway (footlong) sandwich, saying he hadn’t brought lunch and didn’t have time to go out and get lunch. I was planning to eat half for lunch, half for dinner because I was taking night classes at the time. And I think he knew that, but I explained it anyway. And he said, without missing a beat, “I’ll buy you dinner.” We had dinner later that night after my class. That was a Wednesday night. It sounds crazy, but by Sunday evening, we both decided we really liked each other and wanted to keep seeing each other and no one else. We kept it secret at work for a couple of months. And we got married a little over two years later. We were married for just over 34 years and still would be — we are not only because this amazing man passed away two years ago. I found out later that the same coworker who had told me she thought he liked me had also told him to “stop going in her office and drooling all over her, and just ask her out.” So glad this coworker helped nudge us together. 6. The printer gambit I met my partner when I was an undergrad at a university where he was IT staff. (He’d dropped out and become full-time staff so we were the same age.) Some very romantic early gestures included: fixing the common printer queues so my print jobs would jump ahead of everyone else’s, and altering all the computer clusters to replace Clippy with the cat version of Clippy, because Clippy annoyed me so much. Probably technically an abuse of his employee privileges but I was smitten. (And still am lo these 26 years later, where he’s now my in-house sysadmin and continues to keep my computing technology running smoothly and with love.) 7. The poison ivy I worked at a boarding school where faculty and staff (and their families) all lived on campus. A staff member had an affair with another staff member’s husband. They had claimed that they were just friends due to a shared interest in cycling. The affair came to light when they both got horrible poison ivy, including in places that would not normally be exposed on a bike ride. 8. The food I met my husband at work when we were both 20 years old working in a terrible restaurant that was really exploitative. I was waiting tables and he was a line cook. The restaurant made me waive my right to breaks, and one day I was so busy waiting tables that I didn’t eat for nine hours and was starting to feel sick. We weren’t allowed to eat any of the restaurant food without paying for it, and I was completely broke at the time. I had been at the job about a month, and my husband (who I had never spoken to), made me a really REALLY nice plate of food and snuck it out to me. I think I fell in love in that exact moment. We’ve been together 10 years now. 9. The hotel room Very early in my career, I worked for a small consultancy where two key staff were working on a project for the same client and every time they went for an on-site, we would book them a hotel for a couple of nights. Well, over the months, sparks flew and they fell in love, but kept it very very quiet … until the day where their quarterly trip to Big City fell in the week of a big conference and we were only able to book one hotel room at the last minute. When I sheepishly confessed that one of them would have to skip the trip because I’d left it too late to book two rooms at the hotel, the man went pink and the woman laughed and said, “Sweetie, don’t worry about it – we only ever use one room anyway.” I’d say that was the most awkward conversation of my career except that it wasn’t, because a few months later I had to explain to the client’s accountant why we were now only billing them for one hotel room. (The happy couple will be celebrating their 17th wedding anniversary in a couple of weeks.) 10. The invitation I accidentally went on a date with a coworker. He asked me what I was doing after work and I told him without realizing that he was asking if I wanted to do something together. So he tagged along, I hated it, he was apologetic, and we’ve been married for 16 years now. 11. The alleged rumor One late afternoon, at the very end of the workday, my entire department — which was made up of lots of sub-departments — was called up to the floor where the executive offices were. The conference room couldn’t hold all of us, so the VP gathered everyone in that floor’s lobby and told us … … that we should stop spreading rumors about [male employee several rungs above me on the corporate ladder] and [female employee who reported to that male employee] and we especially needed to stop saying that they were having after-hours sex on the table of the conference room that we all couldn’t fit into. I had only ever heard the male employee’s name, and only in reference to him being the head of Sub-Department X. And I had never even heard of the female employees name. I for sure had never heard any of those rumors before, but I absolutely knew about them afterward! 12. The successful holiday party date I’m the letter-writer for this letter. We’ve been together 10 years today! The post the sandwich maneuver, the poison ivy, and other stories of workplace romance appeared first on Ask a Manager. View the full article

Shipping software without structured release planning is how teams end up missing deadlines, overloading sprints and disappointing stakeholders. When priorities shift and features compete for attention, a clear release plan keeps development focused. Instead of reacting to chaos, teams move deliberately toward a coordinated, well-timed launch. What Is Release Planning? Release planning is the structured process teams use to decide what will be delivered in an upcoming software release and how that work will unfold over time. Rather than guessing what fits into a version, product managers and engineering leads review priorities, assess capacity, evaluate dependencies and sequence major features into a realistic timeline. The discussion typically includes product management, engineering, QA and sometimes stakeholders from marketing, sales or support. Trade-offs are made, assumptions are clarified and risks are surfaced before development accelerates. By the end of release planning, the team produces a release plan that outlines scope, timing and responsibilities, giving everyone a shared direction for execution. ProjectManager is an award-winning project portfolio management software that offers advanced planning, scheduling and tracking tools for software development and IT teams, allowing them to create visual roadmaps for their delivery plans, allocate resources, track costs and manage waterfall and agile workflows. Additionally, ProjectManager integrates with Jira, Azure Devops and features an open API that facilitates integration with other software development tools. Get started for free today. /wp-content/uploads/2024/02/light-mode-CTA-1600x918.jpgLearn more What Is a Release Plan? A release plan is a structured outline that defines what functionality will be delivered in an upcoming software version, when it will be delivered and how teams will coordinate to launch it. In software development, digital product management and IT environments, it connects business priorities to technical execution. It clarifies scope, sequencing, milestones and responsibilities so stakeholders share expectations. By organizing delivery into deliberate increments, a release plan reduces uncertainty and supports predictable, controlled deployments. Why Create a Release Plan? Across digital product management, software development and IT projects, a release plan acts as a living coordination tool rather than a static document. It evolves as priorities shift, capacity changes and risks surface. Teams rely on it to control scope, sequence delivery work and synchronize stakeholders around a clear, shared launch timeline. Enterprise IT & Digital Transformation Projects Large organizations frequently undertake enterprise IT and digital transformation projects to modernize systems, integrate platforms or automate operations. These initiatives affect multiple departments, legacy infrastructure and external vendors. Because changes must be introduced in controlled stages, release planning becomes essential to minimize disruption, manage dependencies and coordinate technical and business readiness. Enterprise resource planning (ERP) system implementation across finance, operations and procurement departments Cloud migration of on-premise infrastructure to hybrid or multi-cloud environments Company-wide CRM platform rollout with phased regional deployment Legacy system modernization replacing outdated core business applications Enterprise cybersecurity upgrade introducing new monitoring and access controls /wp-content/uploads/2025/05/IT-roadmap-template-featured-image.jpg Get your free IT Roadmap Template Use this free IT Roadmap Template for Excel to manage your projects better. Download Excel File Software Development Software development projects focus on building, enhancing or maintaining digital products that evolve through multiple versions. Features are delivered incrementally, defects are resolved continuously and user expectations shift quickly. Release planning provides structure so teams can group functionality into coherent versions, manage sprint capacity and deliver stable, predictable updates. Major SaaS product feature release introducing new subscription functionality Mobile application version upgrade with redesigned user interface API platform expansion enabling third-party developer integrations Performance optimization release targeting scalability and response times Security patch cycle addressing critical vulnerabilities across environments Digital Product Management Digital product management projects center on shaping, prioritizing and evolving customer-facing products over time. These initiatives connect strategy, market positioning and user feedback to delivery decisions. Because releases influence revenue, retention and competitive differentiation, release planning ensures features are bundled intentionally, purposefully timed and aligned with the business goals defined in the organization’s strategic plan. Subscription pricing model redesign with phased feature and billing adjustments Marketplace platform expansion introducing new seller onboarding workflows Customer analytics dashboard launch with segmented user access controls Freemium-to-paid conversion optimization initiative with gated premium features International product localization rollout with regional compliance updates What Should Be Included In a Release Plan? A strong release plan goes beyond dates and feature lists. It clarifies intent, boundaries and execution realities so teams understand exactly what they are committing to deliver and how success will be measured. Release Goals and Objectives Before sequencing work, teams must define release goals and objectives that anchor decision-making. These clarify what business problem the release is solving, what specific outcomes are expected and which KPIs will measure success after launch. They also determine whether the initiative is revenue-driven, compliance-driven, performance-driven or customer-driven, ensuring every feature supports a deliberate purpose. Scope and Feature Set Within a release plan, scope and feature set describe the exact work included in the upcoming version and the boundaries that prevent uncontrolled expansion. This section outlines the major functionality being delivered, the level of effort required and the items intentionally excluded so stakeholders understand what will and will not ship. Epics: Large bodies of work that group related functionality into meaningful product outcomes scheduled within the release. User stories or requirements: Detailed descriptions of functionality that specify what users need and how the system should behave. Enhancements vs bug fixes: Clear distinction between new capabilities being added and defects being corrected during the release cycle. Technical debt items: Refactoring, architectural improvements or code cleanup tasks included to maintain long-term system stability. Explicit exclusions: Features or requests intentionally deferred to future releases to control scope and protect delivery timelines. Timeline and Milestones No release plan is complete without a clearly structured project timeline and defined milestones that mark progress from kickoff to launch. This section lays out when work will occur, how it is sequenced and which checkpoints confirm readiness. By mapping time to deliverables, teams prevent last-minute compression and create shared expectations around delivery pacing. Sprint allocations: Distribution of epics and stories across specific sprints to match team capacity and priorities. Development phases: Broader sequencing of design, build and integration activities leading toward feature completion. Code freeze date: Agreed cutoff point when no new features are added to stabilize the release. QA start/end: Defined testing window that allocates time for validation, regression and defect resolution. UAT window: Period when business users validate functionality before final production approval. Go-live date: Official deployment milestone when the release becomes available to end users. Post-release review: Structured evaluation meeting to assess outcomes, performance metrics and lessons learned. /wp-content/uploads/2025/08/Milestones-Template-Screenshot-600x279.pngFree milestones template for Excel Dependencies and Risks Even well-scoped releases can derail if external constraints are ignored. Dependencies and risks identify factors that may influence delivery timing, stability or scope. By documenting these variables early, teams can adjust sequencing, secure approvals and prepare mitigation strategies before issues escalate and threaten the overall release plan. Cross-team dependencies: Work requiring coordination with other product, platform or operations teams before completion. Infrastructure readiness: Availability and stability of environments, servers and deployment pipelines needed for launch. Third-party integrations: External systems or vendors whose timelines directly affect feature delivery. Regulatory approvals: Compliance reviews or certifications required before releasing regulated functionality. Resource constraints: Limited developer capacity, competing priorities or staffing gaps impacting progress. Known technical risks: Identified architectural limitations or unresolved issues that could delay deployment. /wp-content/uploads/2024/11/Risk-assessment-template-screenshot-600x212.pngFree risk assessment template for Excel Resources and Roles Clarity around resources and roles ensures a release plan is grounded in real capacity and clear accountability. This section identifies who is responsible for decisions, who executes delivery work and who must be consulted or informed. By defining ownership upfront, teams reduce confusion, accelerate issue resolution and avoid last-minute escalations that stall progress. Product owner: Owns release priorities, clarifies scope decisions and approves trade-offs when constraints arise. Engineering leads: Guide technical direction, validate feasibility and coordinate development effort across teams. QA team: Designs and executes validation activities to confirm release stability and functional accuracy. DevOps: Manages deployment pipelines, environment readiness and rollback procedures supporting production launch. Stakeholders: Provide business input, review progress and confirm alignment with organizational objectives. Executive sponsor: Secures funding, resolves escalated conflicts and reinforces strategic commitment to delivery. Testing and Quality Assurance Plan Confidence in a release depends on a structured testing and quality assurance plan embedded within the release plan. This section outlines how functionality will be validated, what acceptance criteria must be met and how defects will be addressed. By defining testing activities in advance, teams protect stability and avoid rushing validation at the end of the cycle. Testing environments: Defined development, staging and production-like environments used to validate functionality safely. Regression testing scope: Clear boundaries identifying which existing features must be retested before release. Automated vs manual tests: Balanced approach combining scripted automation with exploratory manual validation efforts. Acceptance criteria: Specific, measurable conditions each feature must meet before approval. Performance/security testing: Validation activities ensuring scalability, reliability and protection against vulnerabilities. /wp-content/uploads/2024/10/test-plan-template-screenshot-600x272.pngFree test plan template for Excel Communication Plan Launching without structured communication creates confusion, even when the software works perfectly. A communication plan within a release plan outlines who needs information, what they need to know and when they need to hear it. It ensures internal alignment, prepares customers for change and supports adoption by coordinating messaging before, during and after deployment. Internal updates: Regular progress communications shared with teams to confirm timelines, scope adjustments and readiness milestones. Stakeholder briefings: Targeted sessions that review release scope, business impact and launch expectations with leadership. Customer announcements: External communications informing users about new features, changes or upcoming downtime. Release notes: Structured documentation summarizing delivered functionality, fixes and known limitations. Support team enablement: Training and documentation provided to support staff before launch to handle inquiries. Post-Release Monitoring and Evaluation Work does not end once deployment completes. Post-release monitoring and evaluation define how performance, adoption and stability will be assessed after go-live. This part of the release plan ensures teams track real-world impact, respond to incidents quickly and review results against original objectives to improve future release planning cycles. Internal updates: Ongoing operational reports tracking system stability and early performance indicators. Stakeholder briefings: Follow-up reviews evaluating whether release objectives and KPIs were achieved. Customer announcements: Additional communications addressing feedback, clarifications or incremental improvements. Release notes: Updated documentation reflecting patches, hotfixes or minor adjustments post-launch. Support team enablement: Continued knowledge sharing to address emerging issues and customer concerns. Who Participates in the Release Planning Process Ultimate accountability for leading release planning sits with the product manager or product owner. That role owns prioritization, facilitates trade-off decisions and ensures the release plan reflects business goals and delivery constraints. While many contributors shape the outcome, the product lead is responsible for driving alignment and securing commitment. The product manager defines release objectives, prioritizes features, negotiates trade-offs and approves final scope decisions, ensuring the release plan balances customer value, revenue impact and delivery feasibility. The engineering manager validates technical feasibility, confirms capacity assumptions and coordinates development sequencing, preventing overcommitment and aligning the release plan with architectural constraints. The development team provides effort estimates, identifies implementation risks and clarifies dependencies, grounding release commitments in realistic execution timelines rather than optimistic projections. The QA lead defines validation scope, testing timelines and acceptance standards, ensuring quality gates are embedded directly into the release planning process. The DevOps or infrastructure lead prepares deployment pipelines, environment readiness plans and rollback strategies, protecting operational stability during release execution. The UX or design lead confirms design readiness, usability validation requirements and asset completion, ensuring features included in the release plan are fully prepared for development. The executive sponsor reinforces strategic alignment, resolves escalated conflicts and secures organizational support, strengthening accountability behind release planning commitments. ProjectManager Can Help with IT & Software Development Projects ProjectManager is an award-winning project portfolio management software equipped with powerful features for IT and software development teams, such as Gantt chart roadmaps to manage delivery plans and project portfolios, dashboards for monitoring resource utilization, project costs and progress in real time and kanban boards for agile sprints and iterative planning. ProjectManager also offers robust resource management features such as workload charts to balance teams’ workloads and timesheets for detailed time tracking. On top of that, ProjectManager integrates with Jira and Azure DevOps and has an open API so that organizations can integrate its powerful project portfolio management features with their favorite tools. Watch the video below to learn more. Release Planning FAQ What Is the Difference Between Release Planning and Delivery Planning In Software Development? Release planning focuses on deciding what will ship in a specific version and when it will be made available to users. It sets scope boundaries, defines objectives and sequences major features. Delivery planning, on the other hand, concentrates on how the team will execute that work day to day. It translates release commitments into sprint tasks, resource assignments and short-term coordination activities needed to complete development. What Is the Difference Between a Release Plan and a Delivery Plan In Software Development? A release plan outlines the overall structure of an upcoming version, including scope, timing, milestones and launch expectations. A delivery plan drills deeper into execution details, mapping specific tasks, workload distribution and operational steps required to complete the work. While the release plan defines what will be delivered and when, the delivery plan explains how the team will get it done. The post Release Planning In Software Development: Making a Release Plan appeared first on ProjectManager. View the full article

Microsoft Advertising is rolling out multi-image ads for Shopping campaigns in Bing search results, giving ecommerce brands a richer way to showcase products and capture shopper attention before the click. What’s new. Advertisers can now display multiple product images within a single Shopping ad, letting shoppers preview different angles, styles or variations directly in search. The format is designed to make ads more visually engaging and informative, helping consumers compare options quickly without leaving the results page. How it works: Additional images are uploaded through the optional additional_image_link attribute in the product feed. Advertisers can include up to 10 images, separated by commas. The images appear alongside pricing and retailer information in Shopping results. Why we care. Multi-image ads could increase engagement and purchase intent by presenting a fuller picture of a product. More visuals can highlight features, colors and design details that a single image might miss. Discovery. The feature was first spotted by digital marketer Arpan Banerjee who shared spotting it on LinkedIn. The bottom line. Multi-image Shopping ads give retailers more creative flexibility and shoppers more context at a glance — a shift that could improve ad performance and reshape how products compete in search results. View the full article

Gary Vaynerchuk prides himself on being ahead of the curve. As the chairman of communications company VaynerX and the cofounder of Resy, not to mention an angel investor in brands like Twitter, Facebook, Uber, and Venmo, he knows a thing or two about trends in business. And in a new interview with CBS Mornings, he shared what he thinks is to blame for consumer burnout: not advertisers, social media, or even consumers themselves—but modern parenting. “I think that parenting needs to be called out of the last 40 years,” Vaynerchuk said. “I believe that the burnout, the insecurity, all the stuff we talk about, I believe the reason we’re buying more stuff is, we’re using it as Band-Aids and glitter because we’re not strong enough to be secure in what we are and who we are and what we have.” What many people blame on an oversaturated market and the omnipresence of social media, Vaynerchuk attributes to overly lax parenting. After all, he says, being inundated with ads is nothing new. “We grew up with Lifestyles of the Rich and Famous. MTV Cribs had plenty of run,” he pointed out. “We want to blame technology for a much bigger issue, which is modern parenting misstepped. We don’t hold kids accountable, we don’t ground, we definitely don’t whoop.” Vaynerchuk claimed he receives “tens of thousands of DMs from 20-to-30-year-olds every month” that often cite frustration with being coddled by parents, from being tracked on apps like Life360 into adulthood, to having their lives bankrolled with no expectation of paying their family back. “We’re sending these kids into the real world, and we’re wondering why they’re depressed,” Vaynerchuk continued. “They’re depressed because they weren’t taught any accountability. Eighth place trophies for everyone.” “We’ve demonized losing, when losing is the teacher,” he added. Elsewhere in the interview, Vaynerchuk gave his predictions for the next big industry in America—live shopping, already a half-trillion dollar industry in China, “is where social media in 2009 was”—as well as for the future of artificial intelligence. “All of it is gonna lead to us having more time for leisure,” he said. “I think there’s a scenario where we go to a four-day work week because of efficiencies and subsidies from the biggest winners in AI.” “People are worried about losing money,” Vaynerchuk continued. “People are scared of losing their jobs. But the tractor was invented when 80% of us worked on farms 200 years ago, and we found new jobs . . . Instead of, ‘wah, wah, wah,’ what about, ‘Let me take control of it’? What about all the people that might get inspired by this interview, and get a job in three years that pays them three times more that they’re happy about, because they took the AI surfboard instead of putting their head in the sand?” View the full article

A new applied learning path from Microsoft Advertising is designed to help marketers get more value from Performance Max campaigns through hands-on, scenario-based training — not just theory. What’s happening. The new Performance Max learning path bundles three progressive courses that focus on real-world setup, optimization and troubleshooting. The structure is meant to let advertisers learn at their own pace while building practical skills they can immediately apply to live campaigns. Each course targets a different stage of expertise, from beginner fundamentals to advanced strategy and credentialing. What’s included: Course 1: Foundations Introducing Microsoft Advertising Performance Max campaigns covers the essentials. Ideal for beginners who want to understand how PMax campaigns work. Focuses on core concepts and terminology. Course 2: Hands-on setup Setting up Microsoft Advertising Performance Max campaigns provides a guided walkthrough. Designed for advertisers launching their first PMax campaign or refreshing their skills. Walks step-by-step through campaign creation and answers common setup questions. Course 3: Advanced implementation Implementing & optimizing Microsoft Advertising Performance Max centers on scenario-based applied learning. Targets advanced users developing strategic and optimization skills. Includes practical tools like checklists, videos and reusable reference materials. How it works. The third course introduces embedded support features that let learners access targeted educational resources mid-assessment via a “Help me understand” option. Users can review specific concepts in context and return directly to their questions. The benefit. Learners can spend more time on weak areas while quickly progressing through familiar material. Credential payoff. Completing the advanced course unlocks the chance to earn a Performance Max badge. The credential signals proficiency in implementing and optimizing PMax campaigns and applying best practices in real-world scenarios. The badge is digitally shareable and verifiable through Credly, making it easy to display on professional platforms like LinkedIn. Why we care. This update from Microsoft Advertising makes it faster and easier to build real, job-ready skills for running Performance Max campaigns — not just theoretical knowledge. The applied, scenario-based training helps marketers avoid common setup mistakes, optimize campaigns more confidently, and improve performance in live accounts. Plus, the shareable credential adds professional credibility, signaling proven expertise to clients and employers. The bottom line. The new learning path aims to close the gap between training and execution. By combining applied scenarios, embedded support and credentialing, it offers a structured route for advertisers to build confidence — and prove it — in Performance Max campaign management. View the full article

ChatGPT heavily favors the top of content when selecting citations, according to an analysis of 1.2 million AI answers and 18,012 verified citations by Kevin Indig, Growth Advisor. Why we care. Traditional search rewarded depth and delayed payoff. AI favors immediate classification — clear entities and direct answers up front. If your substance isn’t surfaced early, it’s less likely to appear in AI answers. By the numbers. Indig’s team found a consistent “ski ramp” citation pattern that held across randomized validation batches. He called the results statistically indisputable: 44.2% of citations come from the first 30% of content. 31.1% come from the middle (30–70%). 24.7% come from the final third, with a sharp drop near the footer. At the paragraph level, AI reads more deeply: 53% of citations come from the middle of paragraphs. 24.5% come from first sentences. 22.5% come from last sentences. The big takeaway. Front-load key insights at the article level. Within paragraphs, prioritize clarity and information density over forced first sentences. Why this happens. Large language models are trained on journalism and academic writing that follow a “bottom line up front” structure. The model appears to weight early framing more heavily, then interpret the rest through that lens. Modern models can process massive token windows, but they prioritize efficiency and establish context quickly. What gets cited. Indig identified five traits of highly cited content: Definitive language: Cited passages were nearly twice as likely to use clear definitions (“X is,” “X refers to”). Direct subject-verb-object statements outperform vague framing. Conversational Q&A structure: Cited content was 2x more likely to include a question mark. 78.4% of citations tied to questions came from headings. AI often treats H2s as prompts and the following paragraph as the answer. Entity richness: Typical English text contains 5% to 8% proper nouns. Heavily cited text averaged 20.6%. Specific brands, tools, and people anchor answers and reduce ambiguity. Balanced sentiment: Cited text clustered around a subjectivity score of 0.47 — neither dry fact nor emotional opinion. The preferred tone resembles analyst commentary: fact plus interpretation. Business-grade clarity: Winning content averaged a Flesch-Kincaid grade level of 16 versus 19.1 for lower-performing content. Shorter sentences and plain structure beat dense academic prose. About the data. Indig analyzed 3 million ChatGPT responses and 30 million citations, isolating 18,012 verified citations to examine where and why AI pulls content. His team used sentence-transformer embeddings to match responses to specific source sentences, then measured their page position and linguistic traits such as definitions, entity density, and sentiment. Bottom line. Narrative “ultimate guide” writing may underperform in AI retrieval. Structured, briefing-style content performs better. Indig argues this creates a “clarity tax.” Writers must surface definitions, entities, and conclusions early—not save them for the end. The report. The science of how AI pays attention View the full article

Ikea plans to open even more new stores this year. On Wednesday, the Swedish furniture retailer released its 2025 Annual Summary, which included plans to open four new locations. Ikea previously announced plans to open six new stores, bringing the new total for openings slated in 2026 to 10. The latest batch of locations includes stores in Chicago, Fort Collins, Los Angeles, and Tulsa. The six previously announced Ikea locations include: Huntsville, Alabama; University Park in Dallas; Phoenix; Rockwall in Dallas; the Chantilly/Dulles area in the Washington region; and Houston-Webster, Texas. Per the announcement, Ikea had a successful 2025, despite a challenging economic environment. The company reported $5.3 billion in total sales and said it saw foot traffic from more than 61 million people. It opened 14 new locations and its Ikea Family Rewards program reached 25 million members—a 17% increase from the previous year. “FY25 was a year of meaningful connection and growth despite a challenging external environment. We strengthened our ability to serve customers through new store formats, digital innovation and expanded rewards, all while reinforcing our commitment to communities and the environment,” said Rob Olson, Interim CEO of Ikea U.S., in the announcement. Olson continued, “Looking ahead to FY26, we will build on this momentum, focusing on continued investment in the U.S. to make Ikea more affordable, accessible and sustainable.” For the state of Oklahoma, the Tulsa location will be its first-ever Ikea. It comes after a campaign called Tulsa Loves Ikea championed the idea. On social media, dozens of Tulsa residents couldn’t contain their excitement when commenting on a post about the opening. One local wrote, “I can’t wait to go play house inside ikea!” Another commented, “The way I’m jumping up and down at work right now… so exciting!” Last year, Ikea’s new CEO Juvencio Maeztu spoke to Fast Company on why the chain is committed to keeping prices low, citing inflation and high costs of living. Maeztu also credited “the need to socialize” as to why Ikea stores still draw customers while other chains are collapsing. “People still have the need to go out,” Maeztu said. “That’s why it’s important that we call it a meeting place—not necessarily a shopping center—and when you visit our meeting place it’s a way to connect with the communities . . . to create traffic with engagement and food and events.” View the full article

Falling rates spurred a refi surge that pushed defect rates to 1.79% in Q3, driven by income and compliance documentation gaps as lenders ran lean, per Aces Quality Management. View the full article

For the past decade I have volunteered at St. Francis Inn, a soup kitchen in the Kensington neighborhood of Philadelphia. Kensington, for those not from Philly, has long had a reputation for potent but affordable street drugs. Interstate 95 and the Market-Frankford elevated commuter train line provide easy access to the neighborhood for buyers and sellers, and abandoned buildings offer havens for drug use and other illicit activity. St. Francis Inn Ministries, which was founded by two Franciscan friars in 1979, serves sit-down breakfast and dinner for thousands of people each year, many of whom suffer from poverty, homelessness, and substance use disorder. It also runs Marie’s Closet, a charity that provides free used clothing and housewares. These ministries are operated by a core team of nine full-time members, hundreds of volunteers from local high schools and colleges, and an ad hoc team of folks from many walks of life. In the years I’ve been volunteering at St. Francis, significant changes have occurred in Kensington, including gentrification, soaring housing prices and increased police activity. Such changes can make it harder for people who suffer from poverty and homelessness to remain in the neighborhood. Around 2018, the number of guests visiting St. Francis Inn was already dwindling noticeably. I heard volunteers speculate on whether St. Francis Inn should relocate further north in Philadelphia where there are more people in need. Others wondered whether St. Francis Inn should create a mobile unit that traveled to people in need wherever they may be. As I listened, I realized that this was a business decision. As a professor of management at St. Joseph’s University in Philadelphia, I decided to present this decision to the students in my Management Honors Capstone Seminar. In January 2026, I published a business case study titled “Dealing with Change in Kensington, Philadelphia: The Case of Saint Francis Inn.” An interesting business case The capstone seminar I teach is the second of two strategic management courses that honors business students take in their senior year. Using the Harvard case study method, students identify the critical issues embedded in a variety of cases and find the information needed to evaluate those issues using seminal theories in strategic management. Students then propose a solution—a hypothesis they believe best addresses the situation. They test whether that solution works by building a plan of action—called a “proof”—that provides logic and evidence that their solution would work. Part of what I believe makes this case study interesting is that it involves some of the most vulnerable people in Philadelphia. I felt it was important to give students the opportunity to consider important issues of social justice when applying their business decision-making skills. Morally sound recommendations Among other material, the course covers two different perspectives that students can use to make informed decisions and propose solutions for St. Francis Inn. The first is the resource-based view. Using this framework, students identify the unique resources and capabilities that a firm—in this case, St. Francis Inn—has built over the years. Then they determine how to use those resources and capabilities best to carry out the firm’s mission. St. Francis Inn’s mission is to live among and serve the poor, following the example of St. Francis of Assisi. The organization has built decades-long relationships with food companies—which share leftover meat, vegetables and other products with the inn—as well as with members of the community in Kensington. In addition, they have developed a network of hundreds of well-trained and motivated volunteer workers throughout Philadelphia and, indeed, the entire country. The second framework that students are expected to use is “formal moral theory,” which provides a set of different theories for determining moral rules. It enables us to make ethical decisions that are structured, rational, and logical. For example, using “utilitarianism,” students quantify all of the costs and benefits of a decision and choose the option that provides the largest net benefit—or utility—to society. “Rights theory” requires students to make decisions that respect the intrinsic dignity of all persons. Students can use these theories to make morally sound recommendations on how St. Francis Inn can best serve the stakeholders in its community. Perhaps the most obvious people affected by St. Francis Inn are the people living in the neighborhood who struggle with homelessness and substance use disorder and receive food and other assistance there. Other groups of concern include longtime neighbors who have homes nearby but still live in poverty, new residents moving into the neighborhood, local property developers who generally want to see fewer homeless people in the neighborhood, and city officials who are responsible for various government functions. These include police and emergency medical services, city council members and social services organizations. Students must answer a two-dimensional question: Given what St. Francis Inn does best, how can it best address the needs of its most important stakeholders? Since they are business majors, many quickly gravitate to logical business decisions that St. Francis Inn can make, such as continuing its operation where it is, relocating, or creating a mobile service. Without fail, there are students each semester who argue that regardless of what’s “best” for St. Francis Inn, the interests of the various people of concern in the neighborhood must be respected. To be honest, I enjoy watching them grapple with this problem with sincerity and care. Here, students must balance an organization’s core competencies with the moral impact of its decisions, while prioritizing the rights and needs of diverse, nontraditional groups who have a stake in this decision. That’s a valuable skill for any future—or, for that matter, current—business executive. Read more of our stories about Philadelphia and Pennsylvania, or sign up for our Philadelphia newsletter on Substack. Tim Swift is a professor of management at St. Joseph’s University. This article is republished from The Conversation under a Creative Commons license. Read the original article. View the full article

A reader writes: Earlier this year, an employee of mine suddenly and unexpectedly passed away. He was excellent at his job and extremely well-liked by the rest of our department. His partner also works here. We are currently interviewing for someone to fill the now-empty role. At what point (if ever) is it appropriate to relay any of this to the candidates? So far, no one has asked why the job is open. While folks in the department are wonderful people, I have no idea whether any leftover resentment, awkwardness, or other weirdness may happen when our new person starts their job. There is some interaction between this position and the partner’s position, so I’d like to give the new person a heads-up on that level, at some point. I don’t want to make things weird, but want to give the future/new employee an appropriate level of information so they can integrate well into the department. I answer this question — and two others — over at Inc. today, where I’m revisiting letters that have been buried in the archives here from years ago (and sometimes updating/expanding my answers to them). You can read it here. Other questions I’m answering there today include: I need to stop trying to solve problems that aren’t mine Allergies on video calls The post how to replace a beloved employee who died appeared first on Ask a Manager. View the full article

In spite of glitches, the tech sector is certain that voice is the next frontier in AIView the full article

Google Ads has launched a new Results tab inside its Recommendations section that shows advertisers the measured performance impact after they apply bid and budget suggestions. How it works. After an advertiser applies a bid or budget recommendation, Google analyzes campaign performance one week later and compares it to an estimated baseline of what would have happened without the change. The system then highlights the incremental lift, such as additional conversions generated by raising a budget or adjusting targets. Where to find it. Impact reporting appears in the Recommendations area of an account. A summary callout shows recent results on the main page, while a dedicated Results tab provides a deeper breakdown grouped by Budget and Target recommendations, with filtering options for each. Why we care. Advertisers can now see whether Google’s automated recommendations actually drive incremental results — not just projected gains — helping teams evaluate the business value of platform guidance. What to expect. Results are reported as a seven-day rolling average measured across a 28-day window after a recommendation is applied. Metrics focus on the campaign’s primary bidding objective — such as conversions, conversion value, or clicks. Between the lines. The feature adds a layer of accountability to automated recommendations at a time when advertisers are relying more heavily on platform-driven optimization. Spotted by. Hana Kobzová founder of PPCNewsFeed who shared a screenshot of the help doc on LinkedIn. Help doc. Even though there isn’t a live Google help doc, a Google spokesperson has confirmed that there’s an early pilot running. View the full article

The Nancy Guthrie investigation is now in its third week, which means it was only a matter of time before the case piqued the interest of online armchair detectives. Nancy Guthrie, the mother of Today Show anchor Savannah Guthrie, was reported missing on Feb. 1. In the weeks since, the street outside her home in Tucson, Arizona, has become a destination for true-crime livestreamers. Online sleuths have dissected the publicly available details of the ongoing case while spreading far-fetched conspiracy theories. Some have filmed themselves driving through Guthrie’s neighborhood. The hashtag #nancyguthrie currently has more than 16,000 posts on TikTok, where users analyze Ring doorbell footage and excerpts from Savannah Guthrie’s 2024 memoir, capitalizing on public interest in the case and often drawing hundreds of thousands of views. These posts across social media platforms have forced law enforcement to repeatedly set the record straight and dispel rampant rumors and misinformation, particularly as it pertains to Guthrie’s family members. Pima County Sheriff Chris Nanos announced Monday that Guthrie’s children and their spouses had been fully cleared from the investigation. “The family has been nothing but cooperative and gracious and are victims in this case,” Sheriff Chris Nanos said in a statement posted on X. A statement from Sheriff Chris Nanos on the Nancy Guthrie Investigation: pic.twitter.com/YfhQSPkrFJ — Pima County Sheriff's Department (@PimaSheriff) February 16, 2026 His statement appeared to indirectly address those speculating online and reporting irresponsibly about the case. Influencer content is, by nature, unwieldy, reactionary, and unbeholden to the same standards as traditional news outlets covering ongoing investigations. Former Los Angeles Sheriff’s Department Lt. Gil Carrillo told 13 News that online speculation has the potential to inadvertently hinder investigations. “With all of these people that are getting on social media rendering their opinions and their thoughts, investigators have to take time from their investigation and assign people to follow those leads up because they all have to be followed,” Carrillo said. “Every one of them has to be vetted out.” Members of the true-crime community counter that more eyes on an active case can help, something authorities themselves have acknowledged. As a person involved in the Guthrie investigation told CNN last week: “The breakthrough tip could come from anyone, from anywhere.” In 2021, online sleuths credited themselves with helping locate the remains of Gabby Petito, the 22-year-old who went missing during a road trip with her boyfriend. As the internet became consumed with the case, sharing images, analyzing Petito’s YouTube uploads, and speculating about timelines, YouTubers Jenn and Kyle Bethune spotted Petito’s van in their own travel footage. This helped point authorities to the area where Petito’s body was ultimately found. Since then, similar episodes have played out across the hugely popular true-crime corner of the internet. Inspired by those successes, influencers and amateur sleuths are increasingly inserting themselves into both active and cold cases. But even well-meaning intervention can risk doing more harm than good. View the full article

It’s never too early to consider your legacy. By Jackie Meyer Go PRO for members-only access to more Jackie Meyer. View the full article

It’s never too early to consider your legacy. By Jackie Meyer Go PRO for members-only access to more Jackie Meyer. View the full article

The deadline to claim the early-bird rate for Fast Company’s Best Workplaces for Innovators is quickly approaching—Friday, February 20, at 11:59 p.m. Pacific time. This marks the eighth year Fast Company will be recognizing companies and organizations from around the world that most effectively empower employees at all levels to improve processes, create new products, or invent whole new ways of doing business. In addition to ranking the world’s Best Workplaces for Innovators, we will also recognize companies in 19 categories, including a brand new category that focuses on “skilled labor”—companies that depend heavily on talented employees with the kinds of increasingly coveted technical expertise acquired through vo-tech training and trade schools. Other new categories this year include: Cybersecurity and enterprise software Industrial and manufacturing Technology and science Advertising, marketing, and PR Biotech, healthcare, and life sciences Financial services and fintech What differentiates Best Workplaces for Innovators from existing best-places-to-work lists is that it goes beyond benefits, competitive compensation, and collegiality (mere table stakes in today’s competition for talent) to identify which companies are actively creating and sustaining the kinds of innovative cultures that many top employees value as much as or even more than money. Places where they can do the best work of their careers and improve the lives of hundreds, thousands, or even millions of people around the world. Every application receives careful review by Fast Company editors. Start your Best Workplaces for Innovators application here. For more information on applying, see the FAQs. The final deadline to apply isn’t until March 27, but all applications submitted by Friday, February 20, at 11:59 pm Pacific time receive the preferred rate. To sign up for Best Workplaces for Innovators notifications, register here View the full article

There are three types. Where have your efforts been? By August Aquila MAX: Maximize Productivity, Profitability and Client Retention Go PRO for members-only access to more August J. Aquila. View the full article

There are three types. Where have your efforts been? By August Aquila MAX: Maximize Productivity, Profitability and Client Retention Go PRO for members-only access to more August J. Aquila. View the full article

Good things can happen in surprising ways. By Ed Mendlowitz Call Me Before You Do Anything: The Art of Accounting Go PRO for members-only access to more Edward Mendlowitz. View the full article

Good things can happen in surprising ways. By Ed Mendlowitz Call Me Before You Do Anything: The Art of Accounting Go PRO for members-only access to more Edward Mendlowitz. View the full article

FTSE 250 company briefly hits £1bn valuation on signs of a surge in demand for its credit card-sized computers View the full article

When considering financing options for your business, comprehension of the differences between the SBA 504 and 7(a) loans is essential. Each loan serves a unique purpose; for instance, the 504 loan is ideal for acquiring fixed assets, whereas the 7(a) loan offers flexibility for various business needs. Their structures, amounts, interest rates, and eligibility criteria likewise differ markedly. Knowing these distinctions can help you make an informed decision about which loan aligns best with your financial goals. Key Takeaways Purpose: SBA 504 loans are for long-term fixed asset acquisition, while SBA 7(a) loans cater to immediate working capital and various business needs. Structure: SBA 504 loans involve multiple parties (lender, CDC, borrower), whereas SBA 7(a) loans are processed as a single loan from an approved lender. Loan Amounts: SBA 504 loans range from $250,000 to $30 million, while SBA 7(a) loans have a maximum limit of $5 million. Interest Rates: SBA 504 loans feature fixed rates tied to U.S. Treasury bonds, while SBA 7(a) loans can have variable rates based on prime interest. Eligibility: SBA 504 loans require specific net worth and income criteria, whereas SBA 7(a) loans focus on operating for profit and meeting SBA size standards. Purpose of the Loans When you’re considering financing options for your business, grasping the purpose of different loans can greatly influence your decision-making. The SBA 504 loan is customized for acquiring or improving long-term fixed assets like commercial real estate and heavy equipment, promoting business growth and job creation. Conversely, the SBA 7(a) loan offers greater versatility, allowing you to use funds for various purposes, such as working capital, debt refinancing, or purchasing inventory. While the SBA 504 loan encourages infrastructure investment and requires you to meet job creation goals, the SBA 7(a) loan has no such requirements. Comprehending the distinct purposes of the SBA 504 vs SBA 7a loans can help you choose the right financing option for your business needs. Loan Structure Comprehending the loan structure is crucial when deciding between an SBA 504 and a 7(a) loan. The SBA 504 loan involves three parties: a conventional lender covering 50% of financing, a Certified Development Company (CDC) providing 40%, and you, the borrower, contributing a 10% down payment. This multi-part structure helps minimize lender risk and offers longer repayment terms. Conversely, the SBA 7(a) loan is a single loan from an SBA-approved lender, streamlining the application process without a CDC. Whereas the 504 loan may take 60 to 90 days to process as a result of its complexity, the 7(a) loan typically gets processed faster, usually within 30 to 60 days, making it more convenient for immediate funding needs. Loan Amounts When considering loan amounts, it’s important to note the differences between the SBA 504 and 7(a) loans. The 504 loan typically ranges from $250,000 to $30 million, accommodating larger projects, whereas the 7(a) loan caps at $5 million, which can limit your financing options. Furthermore, the 504 loan allows for total project costs exceeding $20 million with private financing, offering more flexibility compared to the more restrictive structure of the 7(a) loan. Maximum Loan Limits Grasping the maximum loan limits is crucial when considering financing options through the SBA. The SBA 504 loan allows for significant funding, with maximum amounts ranging from $250,000 to $30 million, depending on your project’s type and financing needs. For energy-efficient projects or particular manufacturing purposes, this limit can increase to $5.5 million. Conversely, the SBA 7(a) loan has a maximum cap of $5 million, making it better suited for smaller financing needs. Although both loans can support substantial business investments, the SBA 504 is designed for larger fixed asset acquisitions. Furthermore, the total project cost for SBA 504 loans can exceed $20 million when combining funds from multiple sources, unlike the more rigid framework of SBA 7(a) loans. Typical Loan Ranges Comprehending typical loan ranges is essential for businesses evaluating SBA financing options. The SBA 504 loan offers amounts between $250,000 and $30 million, primarily aimed at purchasing fixed assets like commercial real estate or heavy machinery. Significantly, when combined with other financing sources, projects can exceed $20 million, enabling larger investments. Conversely, the SBA 7(a) loan has a maximum limit of $5 million, catering to various business needs, such as working capital and business acquisitions. Although the 7(a) loan doesn’t specify a minimum amount, providing flexibility for small businesses, the 504 loan usually requires a minimum down payment of 10%, compared to the 7(a) loan’s typical requirement of 15% or more, depending on how funds are used. Funding Flexibility Differences Comprehending the differences in funding flexibility between the SBA 504 and 7(a) loans can greatly impact your business decisions. The SBA 504 loans range from $250,000 to $30 million, making them ideal for large projects like commercial real estate. In comparison, the SBA 7(a) loans have a maximum limit of $5 million, catering to working capital and smaller needs. Furthermore, the down payment for 504 loans is typically 10%, whereas 7(a) loans require at least 15%. For projects over $5 million, you can combine SBA 504 loans with other financing, but the 7(a) remains capped. Loan Type Maximum Amount SBA 504 $30 million SBA 7(a) $5 million Down Payment 10% (504) Down Payment 15%+ (7(a)) Combine Yes (504) Interest Rates When considering financing options for your business, comprehension of the interest rates associated with SBA 504 and 7(a) loans is crucial. SBA 504 loans typically have fixed interest rates linked to U.S. Treasury bond rates, offering stability throughout the loan term. Conversely, SBA 7(a) loans can feature either fixed or variable rates, often based on the prime interest rate plus a markup, which may increase your overall costs. Usually, SBA 504 loans provide lower interest rates, making them more attractive for long-term financing of fixed assets. Though the private lender portion of an SBA 504 loan might’ve variable or fixed rates, the CDC portion usually maintains a fixed rate, ensuring predictability in your financial planning. Loan Terms When considering loan terms, it’s crucial to understand the differences between SBA 504 and SBA 7(a) loans. SBA 504 loans typically offer longer repayment periods of 10, 20, or even 25 years, whereas SBA 7(a) loans usually max out at 10 years for working capital and 25 years for real estate. Furthermore, down payment requirements vary, with SBA 504 loans needing about 10% and SBA 7(a) loans often requiring 15% or more, depending on the loan’s purpose. Interest Rate Structures Grasping the interest rate structures of SBA loans is crucial for making informed financing decisions. The differences between SBA 504 and 7(a) loans can greatly impact your financial strategy. Here are three key points to reflect upon: 1. Interest Types: SBA 504 loans typically offer fixed interest rates, ensuring predictable payments tied to U.S. Treasury bond rates. Conversely, SBA 7(a) loans provide flexibility with either fixed or variable rates, often linked to the prime rate. 2. Cost-Effectiveness: SBA 504 loans usually have lower interest rates, making them more economical for long-term financing needs. 3. Payment Variability: The fluctuating rates of 7(a) loans may lead to higher overall borrowing costs because of potential variations in payments and additional fees. Repayment Periods Comprehending the repayment periods for SBA loans is essential for aligning your financing needs with your business goals. SBA 504 loans offer repayment terms of 10, 20, or 25 years, making them suitable for long-term fixed asset financing. Conversely, SBA 7(a) loans provide a maximum repayment term of 10 years for working capital, whereas real estate purchases can extend up to 25 years. The structured repayment of SBA 504 loans guarantees predictable payments with fixed interest rates, whereas SBA 7(a) loans might feature variable rates, potentially affecting total costs. Both loan types allow for amortization over their respective terms, assisting in manageable debt repayment. Loan Type Maximum Term for Working Capital Maximum Term for Real Estate SBA 504 10 years 20 or 25 years SBA 7(a) 10 years Up to 25 years Down Payment Requirements Comprehending down payment requirements is fundamental for securing financing through SBA loans, as these requirements can considerably affect your initial cash outlay. Here’s a comparison of the down payment obligations for both loan types: 1. SBA 504 Loan: Typically, you’ll need a down payment of around 10% for most projects, which is lower than its counterpart. Nevertheless, it can rise to 15-20% for special-use properties. 2. SBA 7(a) Loan: Usually starts at 15% for loans exceeding $350,000, depending on the loan’s purpose and your creditworthiness. 3. Variability: The exact down payment can vary greatly based on business type and borrower factors, making it imperative to assess these before applying. Understanding these differences is crucial for effective financial planning. Down Payment Requirements When considering financing options, the down payment requirements for SBA loans are a significant factor to evaluate. The SBA 504 loan typically requires a down payment of around 10% of the total project cost, which can increase to 15-20% for special-use properties. Conversely, the SBA 7(a) loan typically necessitates a down payment of at least 15%, depending on the specific use of the funds and the lender’s criteria. It’s essential to recognize that these down payment amounts can vary based on your qualifications and the type of property you’re financing. Comprehending these differences can be vital for your business’s financing strategy and cash flow management, especially when planning significant fixed asset investments. Eligibility & Qualifications Comprehending the eligibility and qualifications for SBA loans is vital for businesses seeking financing. Each loan type has specific criteria that you must meet. Here are the key points to take into account: 1. SBA 504 Loan: Your business must have a net worth of $15 million or less and an average net income of $5 million or less over the past two years. Furthermore, you must demonstrate potential for job creation or meet public policy goals. 2. SBA 7(a) Loan: You need to operate for profit, adhere to SBA size standards, and be based in the U.S. or its territories. You must also show that you’ve pursued alternative financing options before applying. 3. Nonprofit Restrictions: Both loan types exclude nonprofit organizations from eligibility, focusing strictly on for-profit entities. Frequently Asked Questions What Is the Difference Between a 504 and a 7 7a SBA Loan? The key differences between a 504 and a 7(a) SBA loan lie in their purposes and terms. A 504 loan is mainly for purchasing commercial real estate or heavy equipment, requiring a lower down payment of 10%. Conversely, a 7(a) loan provides broader options, including working capital and business acquisitions, typically needing a 15% down payment. Moreover, 504 loans often have fixed rates, whereas 7(a) loans may have variable rates depending on the prime rate. What Are the 7 Eligibility Requirements for a 7a Loan? To qualify for an SBA 7(a) loan, you must meet seven eligibility requirements. First, your business needs to operate for profit. Second, you must have personal equity or collateral. Third, demonstrate you’ve pursued other funding options. Fourth, you can’t be on parole. Fifth, your business must be located in the U.S. or its territories. Sixth, you need to meet the SBA’s size standards. Finally, maintain good credit history to support your application. What Can a 504 Loan Not Be Used For? A 504 loan can’t be used for purchasing a business, working capital, or operational expenses. You likewise can’t use the funds for inventory purchases or refinancing existing debt. The loan is particularly for acquiring or improving fixed assets like real estate or machinery, ensuring that the money goes in the direction of tangible investments that create jobs or serve public policy goals. Speculative activities or passive investments are likewise prohibited under SBA guidelines. What Are the Disadvantages of a 504 Loan? The disadvantages of a 504 loan include a lengthy application process, often taking 60-90 days, which delays access to funds. You can’t use it for working capital or debt consolidation, limiting its usefulness for immediate operational needs. Furthermore, strict eligibility requirements, such as a $15 million net worth cap, might exclude some businesses. Finally, you’ll face extensive paperwork, which can be overwhelming if you’re looking for a simpler financing option. Conclusion In conclusion, comprehending the differences between SBA 504 and 7(a) loans is essential for making informed financing decisions. Whereas the 504 loan is ideal for long-term asset acquisition with lower down payment requirements, the 7(a) loan offers more flexibility for various business needs, albeit with higher down payments. By evaluating your specific financial requirements, eligibility, and the distinct features of each loan type, you can select the best option to support your business growth effectively. Image via Google Gemini This article, "SBA 504 Loan Vs 7(A) Loan – 7 Key Differences Explained" was first published on Small Business Trends View the full article

When considering financing options for your business, comprehension of the differences between the SBA 504 and 7(a) loans is essential. Each loan serves a unique purpose; for instance, the 504 loan is ideal for acquiring fixed assets, whereas the 7(a) loan offers flexibility for various business needs. Their structures, amounts, interest rates, and eligibility criteria likewise differ markedly. Knowing these distinctions can help you make an informed decision about which loan aligns best with your financial goals. Key Takeaways Purpose: SBA 504 loans are for long-term fixed asset acquisition, while SBA 7(a) loans cater to immediate working capital and various business needs. Structure: SBA 504 loans involve multiple parties (lender, CDC, borrower), whereas SBA 7(a) loans are processed as a single loan from an approved lender. Loan Amounts: SBA 504 loans range from $250,000 to $30 million, while SBA 7(a) loans have a maximum limit of $5 million. Interest Rates: SBA 504 loans feature fixed rates tied to U.S. Treasury bonds, while SBA 7(a) loans can have variable rates based on prime interest. Eligibility: SBA 504 loans require specific net worth and income criteria, whereas SBA 7(a) loans focus on operating for profit and meeting SBA size standards. Purpose of the Loans When you’re considering financing options for your business, grasping the purpose of different loans can greatly influence your decision-making. The SBA 504 loan is customized for acquiring or improving long-term fixed assets like commercial real estate and heavy equipment, promoting business growth and job creation. Conversely, the SBA 7(a) loan offers greater versatility, allowing you to use funds for various purposes, such as working capital, debt refinancing, or purchasing inventory. While the SBA 504 loan encourages infrastructure investment and requires you to meet job creation goals, the SBA 7(a) loan has no such requirements. Comprehending the distinct purposes of the SBA 504 vs SBA 7a loans can help you choose the right financing option for your business needs. Loan Structure Comprehending the loan structure is crucial when deciding between an SBA 504 and a 7(a) loan. The SBA 504 loan involves three parties: a conventional lender covering 50% of financing, a Certified Development Company (CDC) providing 40%, and you, the borrower, contributing a 10% down payment. This multi-part structure helps minimize lender risk and offers longer repayment terms. Conversely, the SBA 7(a) loan is a single loan from an SBA-approved lender, streamlining the application process without a CDC. Whereas the 504 loan may take 60 to 90 days to process as a result of its complexity, the 7(a) loan typically gets processed faster, usually within 30 to 60 days, making it more convenient for immediate funding needs. Loan Amounts When considering loan amounts, it’s important to note the differences between the SBA 504 and 7(a) loans. The 504 loan typically ranges from $250,000 to $30 million, accommodating larger projects, whereas the 7(a) loan caps at $5 million, which can limit your financing options. Furthermore, the 504 loan allows for total project costs exceeding $20 million with private financing, offering more flexibility compared to the more restrictive structure of the 7(a) loan. Maximum Loan Limits Grasping the maximum loan limits is crucial when considering financing options through the SBA. The SBA 504 loan allows for significant funding, with maximum amounts ranging from $250,000 to $30 million, depending on your project’s type and financing needs. For energy-efficient projects or particular manufacturing purposes, this limit can increase to $5.5 million. Conversely, the SBA 7(a) loan has a maximum cap of $5 million, making it better suited for smaller financing needs. Although both loans can support substantial business investments, the SBA 504 is designed for larger fixed asset acquisitions. Furthermore, the total project cost for SBA 504 loans can exceed $20 million when combining funds from multiple sources, unlike the more rigid framework of SBA 7(a) loans. Typical Loan Ranges Comprehending typical loan ranges is essential for businesses evaluating SBA financing options. The SBA 504 loan offers amounts between $250,000 and $30 million, primarily aimed at purchasing fixed assets like commercial real estate or heavy machinery. Significantly, when combined with other financing sources, projects can exceed $20 million, enabling larger investments. Conversely, the SBA 7(a) loan has a maximum limit of $5 million, catering to various business needs, such as working capital and business acquisitions. Although the 7(a) loan doesn’t specify a minimum amount, providing flexibility for small businesses, the 504 loan usually requires a minimum down payment of 10%, compared to the 7(a) loan’s typical requirement of 15% or more, depending on how funds are used. Funding Flexibility Differences Comprehending the differences in funding flexibility between the SBA 504 and 7(a) loans can greatly impact your business decisions. The SBA 504 loans range from $250,000 to $30 million, making them ideal for large projects like commercial real estate. In comparison, the SBA 7(a) loans have a maximum limit of $5 million, catering to working capital and smaller needs. Furthermore, the down payment for 504 loans is typically 10%, whereas 7(a) loans require at least 15%. For projects over $5 million, you can combine SBA 504 loans with other financing, but the 7(a) remains capped. Loan Type Maximum Amount SBA 504 $30 million SBA 7(a) $5 million Down Payment 10% (504) Down Payment 15%+ (7(a)) Combine Yes (504) Interest Rates When considering financing options for your business, comprehension of the interest rates associated with SBA 504 and 7(a) loans is crucial. SBA 504 loans typically have fixed interest rates linked to U.S. Treasury bond rates, offering stability throughout the loan term. Conversely, SBA 7(a) loans can feature either fixed or variable rates, often based on the prime interest rate plus a markup, which may increase your overall costs. Usually, SBA 504 loans provide lower interest rates, making them more attractive for long-term financing of fixed assets. Though the private lender portion of an SBA 504 loan might’ve variable or fixed rates, the CDC portion usually maintains a fixed rate, ensuring predictability in your financial planning. Loan Terms When considering loan terms, it’s crucial to understand the differences between SBA 504 and SBA 7(a) loans. SBA 504 loans typically offer longer repayment periods of 10, 20, or even 25 years, whereas SBA 7(a) loans usually max out at 10 years for working capital and 25 years for real estate. Furthermore, down payment requirements vary, with SBA 504 loans needing about 10% and SBA 7(a) loans often requiring 15% or more, depending on the loan’s purpose. Interest Rate Structures Grasping the interest rate structures of SBA loans is crucial for making informed financing decisions. The differences between SBA 504 and 7(a) loans can greatly impact your financial strategy. Here are three key points to reflect upon: 1. Interest Types: SBA 504 loans typically offer fixed interest rates, ensuring predictable payments tied to U.S. Treasury bond rates. Conversely, SBA 7(a) loans provide flexibility with either fixed or variable rates, often linked to the prime rate. 2. Cost-Effectiveness: SBA 504 loans usually have lower interest rates, making them more economical for long-term financing needs. 3. Payment Variability: The fluctuating rates of 7(a) loans may lead to higher overall borrowing costs because of potential variations in payments and additional fees. Repayment Periods Comprehending the repayment periods for SBA loans is essential for aligning your financing needs with your business goals. SBA 504 loans offer repayment terms of 10, 20, or 25 years, making them suitable for long-term fixed asset financing. Conversely, SBA 7(a) loans provide a maximum repayment term of 10 years for working capital, whereas real estate purchases can extend up to 25 years. The structured repayment of SBA 504 loans guarantees predictable payments with fixed interest rates, whereas SBA 7(a) loans might feature variable rates, potentially affecting total costs. Both loan types allow for amortization over their respective terms, assisting in manageable debt repayment. Loan Type Maximum Term for Working Capital Maximum Term for Real Estate SBA 504 10 years 20 or 25 years SBA 7(a) 10 years Up to 25 years Down Payment Requirements Comprehending down payment requirements is fundamental for securing financing through SBA loans, as these requirements can considerably affect your initial cash outlay. Here’s a comparison of the down payment obligations for both loan types: 1. SBA 504 Loan: Typically, you’ll need a down payment of around 10% for most projects, which is lower than its counterpart. Nevertheless, it can rise to 15-20% for special-use properties. 2. SBA 7(a) Loan: Usually starts at 15% for loans exceeding $350,000, depending on the loan’s purpose and your creditworthiness. 3. Variability: The exact down payment can vary greatly based on business type and borrower factors, making it imperative to assess these before applying. Understanding these differences is crucial for effective financial planning. Down Payment Requirements When considering financing options, the down payment requirements for SBA loans are a significant factor to evaluate. The SBA 504 loan typically requires a down payment of around 10% of the total project cost, which can increase to 15-20% for special-use properties. Conversely, the SBA 7(a) loan typically necessitates a down payment of at least 15%, depending on the specific use of the funds and the lender’s criteria. It’s essential to recognize that these down payment amounts can vary based on your qualifications and the type of property you’re financing. Comprehending these differences can be vital for your business’s financing strategy and cash flow management, especially when planning significant fixed asset investments. Eligibility & Qualifications Comprehending the eligibility and qualifications for SBA loans is vital for businesses seeking financing. Each loan type has specific criteria that you must meet. Here are the key points to take into account: 1. SBA 504 Loan: Your business must have a net worth of $15 million or less and an average net income of $5 million or less over the past two years. Furthermore, you must demonstrate potential for job creation or meet public policy goals. 2. SBA 7(a) Loan: You need to operate for profit, adhere to SBA size standards, and be based in the U.S. or its territories. You must also show that you’ve pursued alternative financing options before applying. 3. Nonprofit Restrictions: Both loan types exclude nonprofit organizations from eligibility, focusing strictly on for-profit entities. Frequently Asked Questions What Is the Difference Between a 504 and a 7 7a SBA Loan? The key differences between a 504 and a 7(a) SBA loan lie in their purposes and terms. A 504 loan is mainly for purchasing commercial real estate or heavy equipment, requiring a lower down payment of 10%. Conversely, a 7(a) loan provides broader options, including working capital and business acquisitions, typically needing a 15% down payment. Moreover, 504 loans often have fixed rates, whereas 7(a) loans may have variable rates depending on the prime rate. What Are the 7 Eligibility Requirements for a 7a Loan? To qualify for an SBA 7(a) loan, you must meet seven eligibility requirements. First, your business needs to operate for profit. Second, you must have personal equity or collateral. Third, demonstrate you’ve pursued other funding options. Fourth, you can’t be on parole. Fifth, your business must be located in the U.S. or its territories. Sixth, you need to meet the SBA’s size standards. Finally, maintain good credit history to support your application. What Can a 504 Loan Not Be Used For? A 504 loan can’t be used for purchasing a business, working capital, or operational expenses. You likewise can’t use the funds for inventory purchases or refinancing existing debt. The loan is particularly for acquiring or improving fixed assets like real estate or machinery, ensuring that the money goes in the direction of tangible investments that create jobs or serve public policy goals. Speculative activities or passive investments are likewise prohibited under SBA guidelines. What Are the Disadvantages of a 504 Loan? The disadvantages of a 504 loan include a lengthy application process, often taking 60-90 days, which delays access to funds. You can’t use it for working capital or debt consolidation, limiting its usefulness for immediate operational needs. Furthermore, strict eligibility requirements, such as a $15 million net worth cap, might exclude some businesses. Finally, you’ll face extensive paperwork, which can be overwhelming if you’re looking for a simpler financing option. Conclusion In conclusion, comprehending the differences between SBA 504 and 7(a) loans is essential for making informed financing decisions. Whereas the 504 loan is ideal for long-term asset acquisition with lower down payment requirements, the 7(a) loan offers more flexibility for various business needs, albeit with higher down payments. By evaluating your specific financial requirements, eligibility, and the distinct features of each loan type, you can select the best option to support your business growth effectively. Image via Google Gemini This article, "SBA 504 Loan Vs 7(A) Loan – 7 Key Differences Explained" was first published on Small Business Trends View the full article

In today’s AI race, breakthroughs are no longer measured in years—or even months—but in weeks. The release of Opus 4.6 just over two weeks ago was a major moment for its maker, Anthropic, delivering state-of-the-art performance in a number of fields. But within a week, Chinese competitor Z.ai had released its own Opus-like model, GLM-5. (There’s no suggestion that GLM-5 uses or borrows from Opus in any way.) Many on social media called it a cut-price Opus alternative. But Z.ai’s lead didn’t last long, either. Just as Anthropic had been undercut by GLM-5’s release, GLM-5 was quickly downloaded, compressed, and re-released in a version that could run locally without internet access. Allegations have flown about the ways AI companies can match, then surpass, the performance of their competitors—particularly how Chinese AI firms can release models rivaling American ones within days or weeks. Google has long complained about the risks of distillation, where companies pepper models with prompts designed to extract internal reasoning patterns and logic by generating massive response datasets, which are then used to train cheaper clone models. One actor allegedly prompted Google’s Gemini AI model more than 100,000 times to try and unlock the secrets of what makes the model work so powerfully. “I do think the moat is shrinking,” says Shayne Longpre, a PhD candidate at the Massachusetts Institute of Technology whose research focuses on AI policy. The shift is happening both in the speed of releases and the nature of the improvements. Longpre argues that the frontier gap between the best closed models and open-weight alternatives is decreasing drastically. “The gap between that and fully open-source or open-weight models is about three to six months,” he explains, pointing to research from the nonprofit research organization Epoch AI tracking model development. The reason for that dwindling gap is that much of the progress now arrives after a model ships. Longpre describes companies “doing different reinforcement learning or fine tuning of those systems, or giving them more test time reasoning, or enabling to have longer context windows”—all of which make the adaptation period much shorter, “rather than having to pre-train a new model from scratch,” he says. Each of those iterative improvements compounds speed advantages. “They’re pushing things out every one or two weeks with all these variants,” he says. “It’s like patches to regular software.” But American AI companies, which tend to pioneer many of these advances, have become increasingly outspoken against the practice. OpenAI has alleged that DeepSeek trained competitive systems by distilling outputs from American models, in a memo to U.S. lawmakers. Even when nobody is “stealing” in the strict sense, the open-weight ecosystem is getting faster at replicating techniques that prove effective in frontier models. The definition of what “open” means in model licenses is partly to blame, says Thibault Schrepel, an associate professor of law at Vrije Universiteit Amsterdam who studies competition in foundation models. “Very often we hear that a system is or is not open source,” he says. “I think it’s very limited as a way to understand what is or what is not open source.” It’s important to examine the actual terms of those licenses, Schrepel adds. “If you look carefully at the licenses of all the models, they actually very much limit what you can do with what they call open-source,” he says. Meta’s Llama 3 license, for instance, includes a trigger for very large services but not smaller ones. “If you deploy it to more than 700 million users, then you have to ask for a license,” Schrepel says. That two-tier system can create gray areas where questionable practices can emerge. To compensate, the market is likely to diverge, MIT’s Longpre says. On one side will be cheap, increasingly capable self-hosted models for everyday tasks; on the other, premium frontier systems for harder, high-stakes work. “I think the floor is rising,” he adds, predicting “more very affordable, self-hosted, self-hosted, general models of increasingly smaller sizes too.” But he believes users will still “navigate to using OpenAI, Google and Anthropic models” for important, skilled work. Preventing distillation entirely may be impossible, Longpre adds. He believes it’s inevitable that whenever a new model is released, competitors will try to extract and replicate its best elements. “I think it’s an unavoidable problem at the end of the day,” he says. View the full article

But it has shocked Kevin Hassett to his very coreView the full article