Could this payment system have as profound an effect on how people pay for stuff in the real world as the iTunes store has had on the distribution and sale of digital media? FastCompany reports on the design-driven solution:

Jack Dorsey is the brains behind Square and the cofounder and chairman of Twitter. Here’s how Square got started: Jack’s former boss and good friend (and eventual co-founder) Jim McKelvey lost a sale for his hand-blown glass because he had no way of accepting credit cards. The problem was one many people had–the barriers to setting yourself up through conventional processes to accept credit card payments were too high for many people. So Dorsey set about seeing if he could create a better system. The result was the Square reader, which launched a year ago and which allows just about anyone to set themselves up to take credit card payments. Even you. Planning a garage sale and want to enable people to pay for your gerbil cages and Shawn Cassidy LPs by credit card? No problem. Square’s for you.

“”I don’t think a lot of financial institutions have spent a lot of time thinking about design,” Dorsey says. “Design is not visual. It’s about simplifying and getting something down to its essence.”

I like the idea that if I am selling a sofa on Craigslist I can take a credit card without going through a huge merchant qualification process with my bank. But I especially like that now I can let small business clients know this solution is available and likely to change the way customers expect to transact business.

First, take a look at this video, the conversation kick-off, part of Venessa Miemis’ presentation at the SIBOS Conference in Amsterdam, 25 October 2010.

Then, join the conversation at facebook.com/futureofmoney.

(Props to Sarah Kennon for sharing this on Facebook.)

Many of my favorite TV commercials use the Incongruity technique to create something that not only strikes your funny bone but makes you remember the advertised product/service. (Again, see Old Spice Man: The Man Your Man Could Smell Like.)

Remember “Think outside the box”? Today, you wouldn’t think of using that phrase with your clients, but you could offer to come up with something “crazy fresh.”

The next time you’re thinking up a new ad, design, or pitch, or even a new way of styling a photo shoot, think about how you might use the Incongruity Theory of Humor in your own work to create something memorable—something that “sticks.”

Something viral this way comes? (with apologies to Wm. Shakespeare)

UX being ‘user experience’, and in the context of the web we mean understanding what the users of your website are doing. Do you know what your users are they looking at, what interest them on the page, and what are they ignoring on your website, or are you guessing?

These tool well help you stop guessing and will enable you to communicate better with users, creating more awareness, more inquires and more sales.

Clicktale

This is an amazing tool that allows you to get all kind of data about how people are using your site. The thing that really sticks out about this program is in addition to aggregate data, goal tracking, heat maps, you can also watch videos of your users mouse movement!

That’s right, well people are surfing your website there is some fancy javascript running in the background tracking the mouse movement and clicks of site users. What’s great is about half of the people that use a computer scan the mouse in the same location that they scan their eyes. This sort of tool can be very revealing and give you great insight to how a user moves through your website.

Website: http://www.clicktale.com/
The cost: free – $999

I have used this in the past and it does an amazing job at tracking users and making it easy to access deep actionable data. Be warned it may take a little time to set up and some time to go through reports, watch videos and tag actions. ClickTale is clear and easy to use, there is just a lot to see.

CrazyEgg

This tool is dead simple. I did a post on it a not to long ago, and this is an item I recommend for anyone. There is not a whole lot to it , but is what’s great about it.

You can see where people are clicking, via heat maps and dot maps. If you have a website and you want to see how people use a sales page or a homepage. More then just knowing what people click the most the visual display of data allows you to see patterns very easily.

Using this tool on a clients website, I found people were reading through a clients sales page and clicking a small ‘more details’ link down the page. The client didn’t think many people would use this link so there was not much effort put in to the following detail page, however CrazyEgg showed very clearly that half the people visiting this page clicked this link, putting up a flag that either we were missing a key piece of information or we needed to spend some more time on the following page allowing a clear path back to signup.

This tool is simple and visual allowing you to see user patterns

Website: https://www.crazyegg.com/
Cost: $9 – $99
but if your a mac member and want a trial run I have an account.

Don’t Guess!

Is having good clean design that makes a website understandable important?
Is having a solid business strategy very important?

Yes, of course these are very leading questions, but now we need to make sure our design and strategy are working the way we think they are. If strategy and design are important then we need to make sure these elements are working for us. These tools allow you to stop guessing and start tracking and measuring your site. Allowing you to make your users experience with your site better.

The first step to increasing conversion rate is understanding your users, not guessing.

Good luck and let me know of tools you use.

**Of course there is Google analytic, I recommend these tools in combination with Google analytic.

In August the MAC has its second birthday. We are now up to 15 members, with an additional two just about to come on board. Some of our original members have moved on due to job changes or relocation. In Internet years, this might mean the MAC is coming of age. Things are evolving. We miss our colleagues who leave but we welcome new blood and the strength it gives the group.

BILL:

The same happens in our small businesses. Customers we had at first, go somewhere else. Employees we hired at first, move on. And we reminisce about how wonderful the “old days” were. Maybe they were wonderful, but they’re in the past, and businesses that are successful relentlessly focus on the future. In other words, nostalgia’s not good for business (unless you’re an antique dealer).

Yes, I remember my first big client. It was thrilling and rewarding. But what was exceptional for me then, is normal now. In fact, I’ve come to believe firmly that the best clients I’ll ever serve have not yet presented themselves.

I remember my first big hire. I was so excited to steal him away from a large corporation. But again, as wonderful as he was (and still is), attracting top talent to small business quickly became my new normal.

LAINIE:

And yes, we remember with fondness–great fondness–the first members of the MAC. They are wonderful, talented, creative professionals, every one of them! But the best MAC is yet to come, which challenges all of us to be our best.

And that’s good for business.

Lainie Turner
Bill Zipp

As you move through your day negotiating with clients, paying bills, or planning next week’s goals, take a moment to (figuratively) look up at the sky. What kinds of forces can you see headed your way (economic, social, personal) that can provide you with information to help make your later Now better?

I think there is a better place to start. First, anticipate. There will be push-back, a pull to conform, to survive, to return to normal. Gird yourself for the struggle. Then, take the time to ask yourself the harder questions. I found Seth Godin’s recent post a good place to start. He lists questions he believes every freelancer, project manager, or entrepreneur – those leaving normal in search of remarkable – need to ask themselves. They aren’t easy, but they are necessary. There was one, however, that stood out from the rest.

To me, the list hinges on #8. It’s key to the kind of business and life you are planning to create. He asks, “Which: to invent a category or to be just like Bob/Sue, but better?” In other words, chose to be game-changing, or compete as a commodity. One is uncommon and risky, the other familiar and acceptable. Which will it be for you?

That leads us to the heart of the issue. Do you need to be understood? Sure, anyone with a tinge of entrepreneur inside wants to make the unique. But if it’s truly different, even revolutionary, then it certainly won’t be familiar. If it was, someone would already be doing it. So, are you willing to put your heart and soul into producing something even those close to you (and maybe even you yourself) won’t understand in the beginning? Or maybe ever?

The deal is, if you are expecting an idea bundled with the latest user manual on how to explain it to the world, forget it. If you want remarkable, be prepared for the long slog through blank stares, disapproval, and rejection. Sure, there will be victories. Maybe a few will get it. But in the midst of testing, failing, retesting, tabling, and restarting, approval will be rare. And you need to be good with that, persevering until the thing you thought might be a good idea gets chiseled down to one that is. Then maybe, you’ll be able to talk about what you do.

What do you think? What have you encountered while working on remarkable?

The conversation then turned toward whether or not they should hire an independent contractor or an employee. Knowing the difference between the two is critically important. If you get it wrong, IRS penalties can be painful. Also, sometimes as independent contractors we get ourselves into situations where it is not clear what our role is exactly: independent contractor or employee?

Here’s some help:

An independent contractor:

• Negotiates their rate of pay.
• Sets their own schedule.
• Can refuse work or projects.
• Provides an invoice for services performed.
• Often works for other people.
• Uses their own supplies.
• May get reimbursed for expenses.
• Usually works on a project by project basis rather than for an indefinite period of time.
• If an independent contractor’s services are terminated, they are not eligible for unemployment benefits.

An employee:

• Is under the employer’s direct control, whether full or part-time.
• Works for a set rate of pay.
• Works a schedule determined by the employer.
• Is provided the work space, tools, and supplies needed for the job.
• May be required to punch in and out or keep a time sheet.
• Is offered benefits such as health insurance, worker’s comp, and retirement that an independent contractor is not eligible for.
• If an employee is terminated, they are eligible for unemployment benefits.

Here’s how to avoid IRS troubles:

• Incorporation: If an independent contractor has incorporated his or her business, then the IRS will not question the status as an independent contractor.
• A written contract: A good written contract will help set an independent contractor apart from an employee.
• Other clients: If a contractor can point to references or testimonials from other clients, the IRS will accept the status as an independent contractor.
• Benefits: A company providing benefits–such as health insurance or paid vacation–to a contractor is a big red flag for the IRS.

I just stumbled upon an article from CNN Money called Health Care Law’s Massive, Hidden Tax Charge. The author reveals a tiny detail in the new federal healthcare overhaul bill—recently signed into law by Pres. Obama—that will affect anyone who’s self-employed. Whether you’re a freelance web designer or drive your own ice cream truck, this law impacts you.

Freelancers are familiar with the current way of doing things: Federal law requires businesses to give a 1099 form to any freelancer/contractor paid for services exceeding $600. At the end of the year, the freelancer then tallies up their 1099s in order to report their income to the government.

What the new law says: Begining on January 1, 2012, 1099 forms will no longer be just for services. They will be required for reporting goods, too.

How this affects you: If you’re an independent contractor and plan to spend more than $600 on say a new camera or computer—or even presumably plane tickets for business travel—the new law requires you send a 1099 to the store/company you did business with. According to the article, “if a freelance designer buys a new iMac from the Apple Store, they’ll have to send Apple a 1099.”

The Senate Finance Committee responsible for the coming gush of new paperwork apparently thought this would be a good way to find hidden taxpayer dollars to help pay for the massive healthcare bill. (Funny thing, I don’t recall small business owners asking for that, either.)

Fortunately there’s still time to strip the new 1099 requirements from the healthcare bill before this portion of the law kicks in. Here’s hoping Congress will do just that.