To ensure ongoing software compliance, the business has also agreed to undertake regular software audits and report to bsa. The ultimate guide to saving your business money by handling your software compliance case without a lawyer this is a general. For the last ten years, i have been representing enduser companies nationally in software audit matters initiated by major software publishers including microsoft, adobe, autodesk, ibm and their trade groups including the bsa the software alliance. The business software alliance bsa are an international body that. Baseline shows you how to avoid them altogether in 8 easy steps.
The business care for taking control of your computers software licenses the business software alliance s bsa claim that 90% of all audit letters sent in 2012 resulted from whistleblowers tip offs. What is the purpose of the business software alliance. When you buy software to use on the computer it comes with a license. The business software alliance, a global software industry group, increases radio advertising in san francisco seeking software piracy tips. The business software alliance bsa bullies small companies that cant present the single piece of evidence it considers acceptable as proof of software ownership. Many companies targeted by bsa the software alliance are paying substantial fines and suffering negative publicity because they did not have experienced counsel. The business software alliance is a private trade organization with absolutely no independent law enforcement authority. The business software alliance, also known as bsa, is a trade group established by the microsoft corporation in 1988 and represents a number of the worlds largest software makers and is a member of the international intellectual property alliance. Business software alliance bsa audits by attorney steve. The fear of a business software alliance bsa audit. How to respond to a bsa or siia software audit letter without. Find all records that substantiate your tax return. A bsa audit is a request, under threat of litigation, to compile a listing of all bsa member software products installed on the audited entitys. Founded as the business software alliance, it dropped business from its name in october 2012, and styles itself bsa the software alliance.
Some of the top software companies in the world are member of bsa. What to do when you receive a bsa audit letter by ericka chickowski print baseline talked to the experts whove directly dealt with the business software alliance, and weve compiled an 8 step guideline process for handling the aftermath of receiving an intimidating audit letter. Your preaudit organization of receipts, checks, and other items will refresh your recollection for the audit meeting. For the last ten years, i have been representing enduser companies nationally in software audit matters initiated by major software. Its members are among the worlds most innovative companies, creating software solutions that spark the economy and improve modern life. What to do when your business receives a letter from the.
Jan 28, 2014 express metrix launched its survey to create an annual benchmark that will yield reliable statistics on trends. I am an intellectual property attorney in southlake, texas who has handled more than 230 business software alliance audit matters for small to. Business software alliance article about business software. I rate the business software alliance and its use of extortion tactics based on tips from disgruntled employees at the top of the despicable list. For example, in a case with the business software alliance. The alliance includes the majority of leading software publishers including. They had detailed information about our corporate and production environments, and insisted we were out of compliance. A ccused of software piracy by bsa the software alliance. Everything you need to know about software audits aberdeen. About the business software alliance bsa audit defense. Business software alliance company the bsa was created by microsoft in 1988 in an attempt to combat software theft. A selfaudit consists of a listing of all bsa member software running on a companys computer networks, appropriate indicia of ownership for the. Get to know the business software alliance it support guys.
Alliance for audited media wikipedia republished wiki 2. Bsa the software alliance s primary enforcement tool is to send a threatening letter indicating that an investigation has commenced and offering to forego litigation if the target company provides a selfaudit. Bsa is the leading advocate for the global software industry before governments and in the international marketplace. Six steps to completing a software audit and ensuring. Business software alliance explained vondran legal. The bsa, is a global software industry group funded by big name companies, including adobe, apple, autodesk, and microsoft. I opened the daily mail to find a letter from the business software alliance indicating that they wanted me to call them to schedule a visit for a. The software alliance, also known as bsa, is a trade group established by microsoft in 1988 to. Earlier this month, i began talking about the new software mafia, aka the business software alliance check out the software protection racket, part 1 and part 2. They are known as the software cops or software police to many, but they are not law enforcement. If you have been contacted by bsa the software alliance, you need experienced counsel to protect your business.
The business software alliance is not afraid to audit your companys software assets and make you pay. Taxpayers who filed schedule c, profit or loss from business, faced an audit rate of 1. The business software alliance bsa is not law enforcement. They talk about the business software alliance or bsa, an industry trade group made up of heavyweights like microsoft, adobe and intel, that offers rewards to current or former employees to turn in their company if they suspect they are using pirated software. Yes, got audited by the business software alliance. The bsas response provides its interpretation of the selfaudit materials and applies a formula for its initial settlement proposal. A guidestar pro report containing the following information is available for this organization. Nonprofit explorer has organizations claiming tax exemption in each of the 27 subsections of the 501c section of the tax code, and which have filed a form 990, form 990ez or form 990pf. Business software alliance bsa increases software piracy. Jun 12, 2017 the business software alliance or bsa is trade group that was established in 1988 by none other than microsoft corporation. The alliance includes the majority of leading software. Organize your records for the auditor in a logical fashion. Joe desalvio cfo bsa the software alliance linkedin. Tax audit triggers business owners should know in 2020.
The most common audits you might face are a single vendor e. Keelin hargadon businesses sometimes find themselves the recipients of a letter from the business software alliance bsa demanding an. After the selfaudit materials are submitted by the target of a bsa audit, the business software alliance typically takes three to six months to respond. How to handle business software alliance audit demand letters. An llc notice is sent to the organization from the bsa before conducting an llc audit. Baseline shows you how to avoid them altogether in 8 easy steps the fear of a business software alliance bsaaudit has caused many a sleepless night among senior executives and it professionals over the past two decades.
Heres a look at what you should and shouldnt do when you get that software licensing audit notice. Most companies are totally unprepared for software audits initiated by software publishers and their trade associations such as bsa the. Aug 03, 2015 just got a notice from the bsa saying something to the effect that we are to be audited. The requested audit is meant to uncover unauthorized installations of ed software. Learn more about the bsa and how they target your business. A reward will be paid only if bsa pursues an investigation and, as a direct result of the information provided by you, receives a monetary settlement from the reported organization. What the business software alliance audit letter does. How to handle business software alliance audit demand.
Audits can be conducted by a business internal staff or an outside firm and should account for all computers and all versions of the audited software. These companies provide bsa the software alliance a power of attorney to act on their behalf to accuse businesses of software piracy. Businesses sometimes find themselves the recipients of a letter from the business software alliance bsa demanding an audit and accounting of software installed on company computers. The bsas response provides its interpretation of the self audit materials and applies a formula for its initial settlement proposal. Bsa also fights against software piracy and conducts audits on companies that is believed to be engaged in illegal software. The business software alliance is an advocacy group that fights software piracy. Most bsa audits begin with a report from a disgruntled employee or former employee. Many companies ranging from small mom and pops architects or engineers the typical targets of an autodeskautocad software audit, to large regional companies such as media companies, manufacturers, and even law firms have trusted our firm to guide them through the settlement and negotiation process with the business software alliance. Stupidly, our it department invited them in to explain licensing to us, and now we are trying to fend off an audit. What the business software alliance audit letter does, is it identifies that it represents various entities, such as microsoft, adobe, acrobat and various others and the software that those. The alliance for audited media aam is a north american nonprofit industry organization founded in 1914 by the association of national advertisers to help ensure media transparency and trust among advertisers and media companies. After the self audit materials are submitted by the target of a bsa audit, the business software alliance typically takes three to six months to respond. As an aam client, youll receive credible, comparable data that your sales teams can take to market with confidence.
What i learned in the last 10 years defending bsa the. For example, in a case with the business software alliance, they may be willing. What to do when your business receives a letter from the bsa. The business software alliance bsa conducts all llc audits. We ran automated software scanning tools on all of our environments and submitted the results to them. According to the business software alliance bsa, an international association representing. Currently cfo at bsa the software alliance leading the finance, hr, and it functions. I am an intellectual property attorney in southlake, texas who has handled more than 230 business software alliance audit matters for small to mediumsized companies. Our lawyers have counseled many businesses in your situation. The business software alliance is the leading advocate for the global software. Our lawyers have the technical and legal skills necessary to vigorously fight for your interests against bsa. Microsoft audit or the software alliance business software alliance. How to survive a software licensing audit informationweek.
Security imperative, business opportunity june 2018 bsa global software survey in brief a round the world, software has become one of the most ubiquitous and essential tools businesses use to perform their most fundamental everyday tasks from tracking sales, maintaining books, targeting markets, communicating with. Have you received an audit letter from bsa business. It is funded through membership dues based on member companys software revenues, and through settlements from companies it successfully brings action against. Properly preparing for and responding to software audits can reduce the financial and organizational impact on your business. Bsa the software alliance is a private trade organization with absolutely no independent law enforcement authority. How to respond to a bsa or siia software audit letter without an. If the reward requirements have been met, then bsa will consider you for a reward. Mar 12, 2016 how to respond to a bsa or siia software audit letter without an attorney. As discussed, the irs has a right to look at any records used to prepare your tax return. Attract the worlds leading advertisers and ad agencies with your verified metrics. Financial trends metrics for five most recent years 2017, 2016, 2015, 2014, 20. Jan 01, 2016 enterprise it organizations face software audits as a matter of doing business with large technology vendors.
For over a decade i have represented scores of corporate clients from all over the country in software audits and license disputes involving the business software alliance. Business software alliance dirty tricks update network world. Im a faculty member at a public university which the business software alliance contacted in a bulk mailing last fall. Facebook, marin software, and alliance for audited. Business software alliance dirty tricks update itworld. If you violate the terms of the license, or make unauthorized copies, you might get a letter from the bsa seeking to audit your business. What to do when you receive a bsa audit letter by ericka chickowski print baseline talked to the experts whove directly dealt with the business software alliance, and weve compiled an 8 step guideline process for handling the aftermath of receiving an intimidating audit. Business software alliance is an organization that advocates and promotes legal use of software by businesses. But the business software alliance bsa, the software industrys vendorbacked licensingenforcement organization, rarely shows mercy to even. For the last ten years, i have been representing enduser companies nationally in software audit matters initiated by major software publishers including microsoft, adobe, autodesk, ibm and their trade groups. The bsa has requested that our company completes a selfaudit. Companies like microsoft and autodesk and the business software alliance bsa work as an industry trade group to protect.
It represents a large number of software makers from around the world. Our lawyers have the legal and technical expertise to defend your business through every step of the bsa audit process. In 2008, the business software alliance received more than 2,500 reports of illicit use of software by companies in the u. My company makes a point of trying to be legal so this has come as a shock to us. Bsa the software alliances primary enforcement tool is to send a threatening letter indicating that an. Originally known as the audit bureau of circulations abc, today aam is a source of verified media information and technology platform certifications, providing. Auditing used to be carried out primarily by the vendorfunded business software alliance bsa, but thats changing, according to dawson stoops, a cofounder and vp of sales at express metrix. B s a business software alliance nonprofit explorer. What you need to know if you receive a letter from bsa the.
Certify your tools and services to authenticate and enhance your reputation. All consumer magazines get aam brand view, an online interface that ties together all of your publishing channels in a single trusted place thats visible to thousands of media buyers. The following are a sample of some of the settlements we have been able to reach for our business clients in cases involving the business software alliance vero, siemens, vb conversions, and. Mar 21, 2020 while the overall risk of an individual tax audit is low, the odds go up when you file a business tax return. How to respond to a bsa or siia software audit letter without an attorney.
Keelin hargadon businesses sometimes find themselves the recipients of a letter from the business software alliance bsa demanding an audit and accounting of software installed on company computers. How to respond to a bsa or siia software audit letter. The business software alliance maintains telephone hotlines and a web site to encourage disgruntled employees and vendors to make anonymous reports. Gain a comprehensive view of magazine media brands with aams magazine media 360 report. B s a business software alliance guidestar profile. Increased reward to drive awareness of cybersecurity risks posed by use of unlicensed software. The bsas members include the largest software publishing companies in the. Following this advice i downloaded some of the approved audit software. The business software alliance maintains telephone. If you have questions or cant remember your password, please contact aam at 2243666339. Kagetsuki writes weve just gotten a letter from an attorney representing the business software alliance stating someone were certain its a disgruntled former employee submitted information we are using illegally copied software. Its members are among the worlds most innovative companies, creating software. Bsas misleading and unsavory tactics in software audits. Oct 20, 2015 a bsa audit demands that your business provides them details of all the software that is being used to run and manage your business, the ownership details of each software and other proof to show that all the software are legally being used by your company.
The fear of a business software alliance bsa audit has caused many a sleepless night among senior executives and it professionals over the past two decades. Build confidence in your media decisions with our comprehensive information services. Apr 20, 2020 software piracy is so widespread that it exists in homes, schools, businesses and government offices. If you do receive an llc audit, do not simply accept the audit terms, process, and results. What i learned in the last 10 years defending bsa the software alliance audits. Generally, the letter will identify specific vendors andor products such as adobe acrobat or microsoft office. Bsa the software alliance, styled as bsa the software alliance, is a trade group founded by microsoft that attempts to eliminate software piracy of the software made by its members. Software piracy claims can ruin your business and reward those. Bsa the software alliance increases cash reward up to.
Bsas members include the largest software publishing companies in the world and most notably, microsoft, adobe, symantec, intuit, autodesk and mcafee. Be sure that any audit does not inadvertently identify free software as unlicensed. The practice of fighting software piracy is admirable, but the tactics used by the business software alliance are anything but. How to handle a business software alliance audit dtech.