What constitutes 90% of the value in recent asset sales on Wall Street by large companies?  The answer is data centers and headquarters.  When Lehman Brothers went bankrupt and sold its assets to Barclays for $1.75 billion, its data centers and headquarters constituted 86% of the value. This echoes the JPMorgan-Bear Stearns fire sale, in which Bear Stearns' two data centers and headquarters also represented most of the price.  Why is this so?

A palatial headquarters generates no revenue for any business, and its upkeep depresses profits, sometimes significantly.  Yet another reason to sell your headquarters and data centers is to switch to Software-as-a-Service (SaaS) solutions.  Not only is this an excellent financial decision, but SaaS solutions are much greener than hosting your data on a local server.

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About the Author Curt Finch Curt Finch is the CEO of Journyx (http://pr.journyx.com), a provider of Web-based software located in Austin, Texas, that tracks time and project accounting solutions to guide customers to per-person, per-project profitability. Journyx has thousands of customers worldwide and is the first and only company to establish Per Person/Per Project Profitability (P5), a proprietary process that enables customers to gather and analyze information to discover profit opportunities. In 1997, Curt created the world’s first Internet-based timesheet application - the foundation for the current Journyx product offering. Curt is an avid speaker and author, and recently published the book “All Your Money Won’t Another Minute Buy: Valuing Time as a Business Resource”.

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