From: TomCrouser@aol.com
Date: Sat, 14 Sep 1996 17:31:17 -0400
Subject: Jobs Created In Old Software and More
Content-Length: 18996
X-UIDL: 842743189.000

Crouser Report OnLine Copyright 1996 Thomas P. Crouser, September 14, 1996 -
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consent of the copyright holder.
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Jobs Created In Old Software and More
Transmitted from Charleston, West Virginia
*****
Index: This week our letters are about: Jobs Created In OLD Software; Advice
On Paying My SON; Dumping Chemicals DOWN the Drain; Getting business through B
ULK Email; Alternative to SALARIES; VICTOR replies on Outside Sales; a son of
a dentist replies about The Worker Who Couldn t WORK we discussed earlier;
and answers to our first Lost and FOUND section where printers wanta know.
*****
Subj:	OLD Software
From:	Also In Jersey
To:        TomCrouser

Tom . . .I had to reply to 

New in Jersey

 about data files becoming obsolete
due to software upgrades. Sorry - his excuse doesn t cut it. If his new
software won t open the old files, he should be keeping a copy of the old
software around for just that purpose.

Customers came to him because he presents himself as a professional. Blaming
the software is something the customer can do, but the professional cannot.
It sounds to me as if that is in the category of whining. 
We have found this problem in both QuarkXPress and Pagemaker. We keep
Pagemaker versions 4.2, 5.0 and 6.0 on-line for just that reason. QuarkXPress
3.3x will not read version 1.x files. It s a problem. I have found in both
cases that simply changing the file type and creator (let s face - us pros
use Macs) allows the new software to read the old file - at least most of the
time.
*****
Subj:	Old Software 
From:	New In Jersey
To:        TomCrouser

Thanks for the forwarded message. Writing like that doesn t exactly make me
receptive to his ideas. I found his attitude offensive, especially his
comment about 

pros

 using macs. I certainly did not expect a response like
that to my search for help and suggestions. I do keep old versions around,
but is it reasonable to keep PageMaker 1, 3, 4, 5 and 6 in my system, along
with Ventura (which we no longer use but have old files for) and Photoshop
and CorelDraw 1 & 3? There is a limit to how many programs my system will
hold. Please include this as a response to his comment.
*****
Subj:	Old Software 
From:	MTindell
To: 	TomCrouser

When a form, for instance, is run for several years without changes, the
software it is typeset in becomes outdated. If the client then needs to
change something on the form, it may now need to be reset in new software.
It has been my experience that most software packages are forward compatible
(but rarely backward). If yours is not, I d look into a different software
package. At a minimum, complain to your software vendor.
*****
Here s a family business issue which regularly raises its head. How much
should you pay your own son?
*****
Subj:	Advice On Paying My SON
From:	Northern Star
To:	      TomCrouser

Tom. . .My son has recently started printing for me again, and I would like
to pay him fairly. Our Multigraphics rep  said that the average $ rate for
our kind of press is between $9 to $12 per hour.  We have a Multigraphic 1450
duplicator, most of our runs are 500 to 1,000 runs, 1 side/black ink.  About
15% is two color, rarely close registration.  Currently I pay him $9 an hour
on my own printing of different books I publish and 30% of sales on jobs for
other business customers. This 30% includes the sales of the paper for the
job, which I mark-up 100% to cover freight (which is high in my location).
 He works an average of 12 hours on my jobs per week, and the rest is
commission and varies.  He does a good job but has no intention of getting
into the business heavier.  The main appeal of the job for him is that it
leaves his hours flexible so that he can pursue his own business interests.
Any suggestions would be welcome.
*****
Okay, Northern, now what is the question? Are you paying him fairly? No. Pay
your press operator like you wanted to keep them for awhile regardless of
whether they are related or not. Now, $9 - $12 per hour would be 

fair


according to what you have said and that jibes with what I see other places.
$9 an hour is apparently fair for the work he does for you. But, the 30% of
sales (which is generally higher than the 25% total wages I target) isn t


fair.

 How come? It s piecework and you loose a lot of control when you pay
someone piecework. (This could be in violation of the Fair Labors Standards
Act depending upon the amount of time spent and the amount of pay received,
but that s not an issue here for he is a family member.) You loose control
over when they show up to work and what they do when they get there in
addition to the quality issues. Generally, I don t see this working to your
benefit. My suggestion: pay him the $9 per hour for the hours he prints plus
overtime as you would anyone else. Then, make sure he does his job. Fair
enough? Let me know what s happening. Tom
*****
Subj:	Dumping Chemicals DOWN the Drain
From:	OOPS
To:	      tomcrouser@aol.com

Dear Tom . . .We are a shop doing about $550,000 a year  growing presently at
about 5-10% annually.  We have never handled camera chemicals, ink etc. using
professional handlers like Safety-Kleen.  We have just disposed of them via
garbage or sink.  Now the Safety-Kleen company wants to handle this but for
no small amount! Question: Do most shops like mine use S-K or do they handle
these matters the way I always have? Question: If I turn down their contract,
do I risk having my shop being reported to EPA or affiliated agencies?
Thanks. OOPS
*****
Dear OOPS. Safety Kleen has a good record and a good service. As far as what
most shops do, the ones I see mostly follow the law and dispose of waste
properly. Those who do not, do so at their own peril. Therefore, I will not
knowingly work with a company who does such things. I highly recommend the
Safety-Kleen service as a good solution to a tough problem. Also, check with
the National Association of Quick Printers since they have a national
contract with them. Good luck.  Tom
*****
Subj:	BULK Email
From:	Thinking In Florida
To:	      TomCrouser

What do you think of this type of mailing?  Are list available that you can
sort by company size or zip? (The writer attached a copy of an offer for a
software program known as Floodgate 4.2. To contact the software vendor, call
(800) 650-9110 or  (215) 289-4610).
*****
Dear Thinking. I usually don t think much about these kinds of mailings.
However, after a second thought, the letter you attached was about a email
list manager which is not necessarily bad if you, for instance, had a way to
attract a list of your own. For instance, go into a restaurant and they have
a drawing for a free dinner. Just drop in your business card. Well, the same
thing could be done with a print shop. Join our email list and get
(something) as well as the latest information about how we can support your
technical requirements.

Anyway, the message on 

buying

 or using an email list obtained from someone
else, wouldn t be very effective in my opinion. But, if you can build one
yourself, that s different. However, be sure to take care of first things
first. For instance, you need a monthly income statement which is accurate.
Do we have one yet? Later. Tom
*****
Subj:	Alternative to SALARIES
From:	Michigan
To:	      TomCrouser

Hi Tom & Pamela. . .We have been working with budgets - both personal & shop
this weekend and trying to figure out how to get by without taking so much
out in salaries. (It s been interesting using your Excel files on us & also
going back over your pricing book.  Every time we work with these things, we
understand something a little clearer or see something we didn t see before!)

Then we thought about something our former accountant had us do a few years
ago - take payments on the stockholder loan instead of taking salaries. We
are at about the same time of the year - and have taken enough in salaries to
make things look reasonable to the IRS.  The loan is still at about $10,000
and instead of taking $1350 a week gross, for $881 net for the 2 of us, we
are thinking about trying to get by on, say, $700 a week in loan repayment.
 If we do this for about 3 months - or until the end of the year, wouldn t
this help our overall picture?

We wouldn t be taking any owner s compensation, per se, and would be reducing
our liabilities.  We also wouldn t be paying as many payroll taxes.  The only
disadvantage that we can see is that we would be 

living off

 of money that
we wanted to earmark for retirement - but it would only be for a little
while. We are going to run this by our current accountant Tues. am, but
wanted to get your input also.  Whaddya think? Thanks for your input.
Michigan.
*****
Hey, Michigan. Loans to a company must be treated at arms length. For
instance, if you don t pay interest, have a real written note and otherwise
treat the 

loan

 as a real loan, then the IRS will treat it as additional
paid in capital which will be taxable income to you when you take it back
out. 

So, I HIGHLY RECOMMEND the loan be paid on a regular schedule, with interest
(interest by the way has to be paid EACH year by something like 90 days after
the end of the fiscal year). It just so happens that repaying this loan along
with taking an appropriate salary would be a good strategy, in my opinion,
for you to both reduce the debt and avoid paying income taxes at this point
when you really don t have the money to pay the taxes. I don t know any
downside for you in doing this assuming you are adequately compensated,
although I would consult my tax advisor before I did anything. 

Now, something struck me in your remarks. You said that is the loan was


earmarked

 for retirement. That s, generally, a really bad strategy. If the
company is sold, you will probably not see the cash since stockholder loans
are commonly negotiated away in the sale price. I recommend you generally
take the money out of the business and invest it in a real retirement account
as you go. So, it sounds good to me. Get some competent tax advise, first,
though.
*****
Subj:	VICTOR replies on Outside Sales
From:	Victor
To:	      TomCrouser@aol.com

Can t say I was too surprised at your response!  Especially after reading
your column in Quick Printing magazine a couple months ago when you
recommended the boss to fire the salesperson and do it himself.

However, I do sincerely appreciate all the good information on how to sell. I
must admit that I have read a lot on selling in general and most of it has so
turned me off that I haven t wanted to do it. But your info on targeting
business with 10-50 employees, targeting mailings to those businesses, not
getting sidetracked with all the other stuff, has got me going.

I have ordered your tapes and would like info on which business list you were
referring to for $400. I have seen several, but this one sounds good. Whose
is it and where do I get it? Thanks again. It is so unusual and special to
get such a considered and detailed analysis via E-mail. I do plan to follow
your advice! Victor
*****
Thanks for the kind words, Victor. We (Crouser & Associates) provides such
lists. We act as agents for American Business List in providing clients with
the appropriate data as well as the type you need for your computer systems.
Cost is same whether ordered through us or American. For more info on lists
and costs, contact Crouser@aol.com with the zip codes (or counties). Please
include your name, company name, address, telephone and fax for quickest
response. Thanks again for your remarks. And, you might be interested to hear
how Craig took care of his outside sales dilemma.
*****
Subj:	Outside Sales
From:	CraigTen
To:	      TomCrouser

Dear Tom:. . .By the way, I would  like to relate how I handled the problem
of an outside salesperson. I married one!  My wife has a background in sales
and a real affinity for it. After 6 months she has brought in new business
greater than 10% of our existing business and its a long-term work too. Her
commission
scale is great (10% which goes into our joint account) and I get the fringe
benefits!  Long term commitment though! Best to you all!  Craig TenBroeck
*****
I always say if you can t hire a good press operator, breed one. Well, this
is carrying it to an extreme, but I am sure it makes you all a great team.
Following is a reply to a discussion we had earlier on the pains of workers.
*****
Subj:	The Worker Who Couldn t WORK
From:	Son of a Dentist
To:	      TomCrouser

Tom...I know that printers should stick to what they know, but both my
parents have been dentists since 1952. They  attended some of the earliest
TMJ seminars at Georgetown University. My point is this, they have explained
TMJ dysfunctions to me since 1977, including regular updates. I have some
mild TMJ problems myself. TMJ is a touchy business. While the employee s
chiropractor may be correct, it is also highly likely that what she needs is
a dental specialist. Mis-alignment of the TMJ can be caused by improper
occlusion of the teeth (they don t match up correctly upper to lower) chewing
in this condition (or grinding teeth during sleep... a result of stress) can
further misalign the joint. When the T-M joint is out of whack it can affect
any joint, muscle, or organ in the body. When the teeth and jaw are restored
to  proper alignment patients have been 

magically

 healed of headache, back
pain, leg & knee pain, stomach disorders, and a host of other maladies. 

I would, as a caring employer, suggest that she consult an other qualified
medical/dental person. That being said, your other option is dismissal.
Lifting a moderate to large weight is an integral and key part of the job ( I
hope you have this in a written job description). Before you take any action,
please call your local Unemployment office. Get their viewpoint first. In
Virginia, if it is a key job function, and it is listed on a written job
description, and the employee has received a copy of the description, and the
employee can not perform due to a medical condition, only then will the VEC
pay unemployment to the person AND not charge a portion of it back to the
employer. Also, there are certain exemptions for small business. We had an
employee who was not only a poor performer, but had a serious case of manic
depression. We wanted her out, but felt that a conventional discharge would
be very difficult or possibly open us up to a law suit. Suddenly, she went
for elective surgery several times, in a short period. She would not be able
to return to work for 6 weeks. Then she would not be able to lift more than a
paper clip for another 6 weeks. Since we are a small business, and since her
physical capacity was going to be diminished for an extended period, the
state did not require us to put her on a leave of absence until she could
work again. If we were a larger employer we would have had to accommodate
her.  A great expense for someone not really worth it. Good Luck and Thanks,
Tom, for the years of support! Son of a Dentist.
*****
Lost and FOUND
Here s the question: 

I would like to see some information on this company,
IKON, I see popping up everywhere are they Xerox2?

 And here s your response.
*****
Subj:	IKON
From:	SteveW21
To:	      TomCrouser

IKON is the new name for all the dealerships that ALCO Standard has been
buying up all over the country.  In our area they bought University Copy
(Canon), Edgemont (Sharp), and Ameritech (Ricoh).  They recently merged them
all into one building.  If this seems funny to you, imagine how the
manufacturers must feel!  When that big government contract comes up for bid,
Alco will just bid whichever they make the most money on.  So, the
manufacturers who don t get the deal essentially lose out because of bid
collusion! Neat, huh? Steve
*****
Subj:	IKON
From:	8ball@netdoor.com (Peary Lomax)
To:	     TomCrouser@aol.com

Tom. . .IKON (I think) was 

Unitech

, owned by 

Unisource

, the rather large
paper house.  This outfit is growing like a sophomore s hormones,  expanding
from paper into copiers and computers and office supplies.  They ll no doubt
move next into printing, medical research, bug sprays,  thermonuclear devices
and running shoes.  Wouldn t surprise me if they  bought Iraq and used it for
the location of their next company Christmas party.  Hmmm.  Not such a bad
idea, n est-ce pas? Best to y all. P. Lomax
*****
Subj:	IKON
From:	Michae0912
To:	TomCrouser

IKON OFFICE SOLUTIONS - isn t that the new spin-off from Alco Standards (Alco
owns what used to be Carpenter Paper Co., Butler, etc., but is now known as
Unisource).  Alco name IKON a separate entity because too many printers were
getting upset with Alco/Unisource competing with them. Right?
MIKE (Printing Center, Bartlesville, OK)
*****
Subj:	IKON
From:	Carolyn12
To:	      TomCrouser

IKON = I Know One Name, according to my copier salesperson. buf
*****
Subj:	IKON
From:	JOE PRINT
To:      TomCrouser

IKON is part of Alco standard it is the leasing arm for the copier dealers
*****
Now, on to OCE.
*****
Subj:	OCE
From:	CullumB
To:	      TomCrouser

I know of one company currently using an OCE copier in the Albany, NY area.
They had some problems getting up and running, but things have smoothed out
and it seems to be working well as far as I know.  I don t have any
information regarding its performance compared to Xerox.
*****
And BidNet
*****
Subj:	BidNet
From:	CullumB
To:	      TomCrouser

You can get hold of BidNet at: BidNet, P.O. Box 5600, 20A Railroad Avenue,
Albany, NY 12205. A great service that lets you target bid that fit your
niche and equipment. Barbara. PBR Graphics, Albany
*****
That s it for questions this week. West Virginia staved off a last minute 2
PAT (point after touchdown) to hang onto a 10-9 win and go 3-0. Life is good
here. (That was especially for my friends in Iowa and Florida.) Pamela and I
will be headed into three weeks of  Performance Group meetings beginning in
Pittsburgh next week. We ll look up after the first of October and get back
on the road again. Til then, Happy Trails.

Tom and Pamela Crouser
***** *****
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