Top Ten Ways to Lose a Customer Jill Hart CWAHM.com After days of searching online, I found a website that I thought sold the item I needed. Excited, I scoured the website for the price of the product and the payment. Unfortunately, I never found the information. After ten minutes of searching, I gave up. No matter how many visitors you are able to attract to your website, there are still ways to lose them before making a sale. Below are the top 10 ways to lose a paying customer. Navigation - One of the easiest ways to turn off a website visitor is create a complicated website. If a customer struggles to find their a product, they will more than likely get frustrated and leave the website before they buy. When I first designed my website I had no idea about design. Looking back, I'm not sure I accomplished pretty and I did not create an easy website to navigate. Much like the one I mentioned earlier, my website was frustrating to visitors. Busyness - The wrong type of website can turn off visitors and repel sales. Create a website designed for your target audience. For example, if you're selling aromatherapy products, you'll want a relaxing environment. However, if you're a life coach you want to pump people up. Your website should be full of life and activity. Sizing - Many websites make the mistake of sizing their design to fit their screen. Unfortunately, the standard resolution that most monitors are sized to (800 x 600) does not always match. When this happens, visitors must scroll not only up and down the page, but left and right as well. To eliminate this frustration, set you width to no more than 800 pixels. Point of Contact - When visitors to your website have a question they want to be able to easily find your contact information. Many websites display their email address, phone number, or a link to their contact information either in their menu or at the top/bottom of their website, which makes it easy to find. Hidden Pricing - Customers want to have all of the necessary information before they make a purchase. Make sure your prices are available up front. When customers have to dig for pricing information, there's a good chance that they will get frustrated, give up and leave your website. Customer Service - You can set your business apart from all the rest by offering fast, friendly and helpful service to your customers. Try to respond to emails and phone calls within twenty-fours hours. Smile while you type or talk on the phone because your customers will hear the lilt in your voice and respond. Follow-up - If your customer asks a question about a product or service, follow up within 48 hours to see if they have further questions. Many times this follow-up can lead to a sale. Neglecting follow-up can lose you customers. Spam - If you offer a newsletter or other type of mailing list, be careful with what you send to your subscribers. Avoid mailings that look like spam. Choose a template that works for you and that will be recognizable to your readers. Professional Conduct - In the business world it's important that you're professional, especially when dealing with difficult clients. It's imperative to be kind, courteous and take care of business. Refrain from any type of name calling or blame placing. Stand up for your business in a professional manner and treat your customers with respect at all times. Remember the old adage - the customer is always right. Payment Options/Security - Customers want to know that they can trust you with their financial information. Choose a payment provider that offers a secure way to transit orders and credit card information. If possible, offer more than one payment option to give your customers the ability to choose how they will pay. Creating a website that is customer-friendly isn't as simple as one might think. There are many aspects to consider and the designer must choose carefully or risk losing sales. Avoid these ten no-no's and make your website into a successful business venture. About the Author: Jill Hart is the founder of Christian Work at Home Moms, CWAHM.com . Jill and her husband, Allen of CWAHD.com reside in Nebraska with their two children. More >>

Tax Tips for the Home-based Business Owner Jill Hart CWAHM.com Tax season is one of the most nerve-wracking times of the year. From putting together all of the necessary tax documents to finding the right accountant, taxes can be time-consuming, frustrating, and a major challenge. Add in a home-based business and taxes can be downright overwhelming. However, there are some things you can do to make your tax season a breeze. Choose your accountant wisely One of the most important decisions you'll make as a business owner is who you will choose to help you with your bookkeeping and accounting needs. Research accountants in your area and look for one that specializes in small business taxes. Ask if they will prepare both corporate and personal returns if needed. Make sure your accountant is clear on how they charge for their time - especially for questions over the phone. I once worked with accountants who worked with large corporations. They were used to having very little contact with their clients, however with a new corporation I had many questions about how things worked. Needless to say it didn't go well. Our current accountant specializes in small businesses and is available by phone or email if I have a question. Set up your business accounts properly I was told early in my business career that I must make sure to keep my business accounts and personal accounts separate. When I first began running my own business I simply added a second checking account to use for business purposes. There was no cost to do so I was able to set my income aside in this separate account. I also set up a savings account to set aside my taxes each month. This was a big help at the end of the year knowing that all of my taxes were set aside and I could relax instead of scrambling to come up with the money. Keep good records Another way to keep tax season stress-free is to keep business receipts throughout the year. I keep a separate file in the filing cabinet next to my desk just for this purpose. This way I have everything in one place when tax season arrives. If you don't have room for a filing cabinet, consider an expandable folder categorized A - Z. That way you can still divide up the taxes by topic, and won't have to do that come tax season. Keep records of your business expenses throughout the year. Request a list of items from your accountant or tax professional, so that you will know what items to track. Be sure to ask what counts as "business expenses." There are certain deductions that you can take for your home, car, and utilities. Consult your tax professional about these deductions. Know Your Tax Facts It's important to know the date that your taxes are due. Many S corporations are surprised when they discover that some of their tax forms need to be filed by March 15th and not April 15th. Another surprise to some home-based businesses is that if you pay subcontractors over $600.00 a year, you need to send them a 1099 by the end of January. There are many places online to find more information about taxes. One great place to find more information is the Internal Revenue Service (IRS) website at www.irs.gov . They have sections with helpful information on both personal and business taxes. They also list contact information for local IRS offices where you can also find help. Don't ignore the taxes involved with running a home-based business and hope it will all work itself out. It takes planning and effort to be prepared for tax season. Do your homework when it comes to taxes and find an accountant that you trust to guide you through the tax maze. With the right preparation and help your tax season can be stress-free. About the Author: Jill Hart is the founder of Christian Work at Home Moms, CWAHM.com . Jill is a contributing author in The Business Mom Guide Book and I'll Be Home For Christmas and co-author of the upcoming book, Home Based Blessings. Jill has articles published across the web on sites like DrLaura.com and ClubMom.com. Jill and her husband, Allen of CWAHD.com reside in Nebraska with their two children. Permission granted for use on DrLaura.com. More >>

How A Book Pitch Can Grow Your Business Jill Hart CWAHM.com When someone asks you about what you do, do you have a ready answer? Or do you stumble and stammer trying to explain your business? I was recently at a writer's conference where one of the main focuses was learning to create a successful book pitch. My instructor emphasized what a good pitch can do for a writer. She explained that when an editor asks an author about their writing project, they have one shot at sharing their pitch and getting the editor excited about their project. A great pitch makes a great first impression and can translate into a book contract. On the other hand, a pitch that is not well thought out can cost an author the chance of selling that project. A good book pitch is a summary of the author's idea, but more than that it's a summary with a sizzle. At the conference, I learned that many authors spend hours crafting and memorizing their pitch. Then, when asked about their project, they are able to give a quick, concise synopsis that not only explains their idea, but makes the editor want to learn more. I believe that the concept of creating a pitch can also apply to the home-based business world. As entrepreneurs, we can put together a summary of our business that will not only explain what we do, but grab the attention of whomever we're speaking with. A good business pitch summarizes the business concept in one to two short paragraphs, usually a total of 50 words or less. To begin, write out a list of the five most compelling aspects of your business. Try to think about your business as if you were on the outside looking in. What would interest you? What would make you want to learn more? Try to answer these questions: Who is my target market? What are my top selling products/services? What about my company makes it stand out? If I were looking at starting a business, what would interest me about this company? Why did I choose this company? Put your answers into sentences and you have the beginning of your business pitch. Try to keep your sentences short and use simple words. You want anyone who asks to be able to understand your answer, not get lost in your words. Take special care to describe what you like about your business. These same things will generally appeal to others as well. While you want to keep your pitch simple, you also want it to give a picture of your business. Let's say, for example, that you run health and wellness business. You wouldn't want to use the statement, "I run a health and wellness business," as a reply about what it is that you do. You want to add in a short description and catch the listener's attention. For instance, you might say, "I operate my own business. We offer products such as chemical-free shampoo and natural snack foods to help others lead healthy lives." When I began my website, I was often caught off-guard when someone asked me about it. I would fumble for words and struggle to express exactly what it is that I do all day. I usually walked away from conversations like this feeling frustrated, and I'm sure the person I was speaking with was more confused than they were originally. After learning the art of pitching, I can now give a short and snappy reply. "I run a Christian-based website for work-at-home moms," I'll say. "I offer resources to help them in their search and am able to make an income by offering advertising." This usually leads to more questions about my website, which is exactly what I hope for. It gives me an opportunity to talk further about my business to those who are interested. The next time someone asks you about your home-based business, remember to share your pitch with them. Take the time to hone your pitch to be as short, yet descriptive as possible. Over time, you'll find yourself refining your words and your answers will become well-crafted summaries that pique the interest of anyone who asks. Word of mouth is one of the easiest ways to build your business and your pitch is a great way to get others talking. Jill Hart is the founder of Christian Work at Home Moms, CWAHM.com . Jill is a contributing author in The Business Mom Guide Book and I'll Be Home For Christmas and co-author of the upcoming book, Home Based Blessings. Jill has articles published across the web on sites like DrLaura.com and ClubMom.com. Jill and her husband, Allen of CWAHD.com reside in Nebraska with their two children. Permission granted for use on DrLaura.com. More >>

Must You Hire A One-Armed Truck Driver? Cliff Ennico www.creators.com "I recently posted an advertisement for a delivery truck driver. Several individuals responded to the ad, but when I interviewed them I noticed that one of the applicants - a Gulf War veteran - had a prosthetic arm. I believe strongly in hiring veterans, and I realize they've made many technical advances in prosthetic limbs, but I'm really worried about this individual's ability to do the job. I'm also worried that if I hire one of the other qualified individuals, this guy will sue me for discrimination. What can I do?" The federal Americans With Disabilities Act ("ADA" for short) absolutely prohibits discriminating against disabled persons. I congratulate this reader for knowing that the law applies even to small businesses. If a disabled person feels you are violating the ADA and making it impossible for disabled or handicapped individuals to find jobs with your firm, he or she can certainly sue for discrimination. Yet clearly there are certain jobs people with certain disabilities will never be able to do. How do you avoid discrimination lawsuits without being forced to hire individuals who cannot perform the jobs they have applied for? First, make sure you haven't already discriminated against this individual during your initial job interview. Whenever you interview disabled or handicapped individuals for jobs, you have to be careful that you don't "signal" that you're focusing on their disabilities. So, for example, you would be totally out of line (and could well be sued) if you say something to this individual like "hey, you jerk, didn't you read my ad? I'm looking for a truck driver. How the Heck can you drive a truck with only one arm?" Even though you have a legitimate concern about this individual's ability to do the job, by focusing your attention on the person's disability you make it very likely this individual will feel he is being discriminated against. The correct way to answer this question is as follows: "as you saw from our ad, one of the essential functions of this position is driving a truck. Are you aware of any circumstances that would restrict or prohibit you from performing that essential function?" I know, I know, it's tough to remember all that, and it does sound a little "legal-esy", but that's the way the law requires you to ask that question. The next step is to determine if driving a truck is an "essential function" of the position you've advertise. Let's say you had a position that involved 95% clerical work, and 5% driving a forklift in your warehouse. If a person with a prosthetic limb applies for this position, he or she clearly can perform the clerical functions (the "essential" part of the job), but his or her ability to drive the forklift is in question. The ADA in this instance would require you to "restructure" the job and eliminate the forklift-driving component as a "reasonable accommodation" to the applicant's disability. Based on your e-mail message, I am assuming that driving a truck is an "essential function" of the job you've advertised. You are correct in pointing out that medical science has made tremendous advances in prosthetic limb technology in the past few years. Since this applicant is neither blind nor illiterate, and presumably knows that he is applying for a position driving a truck, he obviously thinks his disability won't stand in the way of his being able to do the job. Why not have him prove his ability by performing a short driving test in one of your company's trucks? If you do: be sure to test him under actual "combat conditions" (don't just have him drive around your parking lot; have him carry out an actual delivery so you can see firsthand how he is likely to perform on the job); be sure to "ride shotgun" with him so you can evaluate his performance, and have another individual present during the test so he or she can corroborate your evaluation; if you conclude that the applicant isn't qualified for the position, take detailed notes during the test documenting specific tasks he is unable to perform, and keep those notes in your employment records in the event he does sue you; and most importantly, be sure you require this test of ALL applicants, so it doesn't look like you're singling him out because of his disability. If he flunks the test - consider whether you might have another open position he might qualify for and, if you do, encourage him to apply for that position. Hiring a vet is one of the most noble things any small business can do, and you should go a little out of your way to find room for him in your organization. Not only is this the patriotic thing to do, but I think you'll find, as many of my readers have, that vets are incredibly loyal, grateful, disciplined, hard working employees, and can be a major asset to any small business. This guy did you (and a lot of other people) a big favor once by serving in the armed forces during wartime, and you owe him . . . big time. Cliff Ennico ( cennico@legalcareer.com is a syndicated columnist, author and host of the PBS television series 'Money Hunt'. His latest books are 'Small Business Survival Guide' (Adams Media, $12.95) and 'The eBay Seller's Tax and Legal Answer Book' (AMACOM, $19.95). This column is no substitute for legal, tax or financial advice, which can be furnished only by a qualified professional licensed in your state. To find out more about Cliff Ennico and other Creators Syndicate writers and cartoonists, visit our Web page at www.creators.com . COPYRIGHT 2007 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE, INC. Permission granted for use on DrLaura.com. More >>

When You Realize You Really Goofed Cliff Ennico www.creators.com "I am so confused and sick in the stomach about selling on eBay and the IRS. I have so many things around my home that I have been saving and collecting for many years now. My daughter is 22 and I have saved so much of her stuff from her childhood also. Not to mention I have always over the years loved shopping at yard sales and thrift stores which in return has caused my home to be very cluttered with closets running over. I have made myself stop buying from these places because I end up buying things I do not need. I also became addicted to eBay a few years back, and for about three years got caught up in buying way too many things. Mostly dolls, teddy bears, and old toys - mementoes of my childhood. I have them all over the house. Some of them I have donated to thrift stores and some I have been selling on eBay. Much of the stuff I list on eBay does not even sell and when I pay eBay's fees I suffer a loss, but some things I have gained on. I do not count on this for my income and never considered it a business. The thought of having to go back over the past few years and amend our tax returns because I may have made a profit selling something on eBay or in my local 'pennysaver' makes me feel ill with stress. I am afraid it is going to cause me to get sick with worry and enable me from functioning properly. I take medication for problems of excessive worrying, depression and anxiety and this is the kind of situation that can trigger me to get sick again and it scares me real bad. Thanks so much for any help." A lot of longtime eBay sellers are waking up and finding out they should have been paying taxes on their selling profits. Unfortunately, I can't give this reader the "get out of jail free" card he so badly wants. Since he obviously didn't keep good records of what he sold and what he paid for it (most eBay sellers don't), this reader has no idea whether he made or lost money at the end of each year. While the amount of any profit or loss was probably small, given that these were household items and not precious antiques, still . . . the law is the law is the law. If you have a hobby and you make as much as One Dollar in profit, the IRS wants you to report the profit as "hobby income" on Form 1040 and pay the taxes on it. If you fail to do so, and the IRS picks up on it during an audit, you're toast. For peace of mind, if nothing else, this reader should go back and attempt to figure out if he made a profit in any of the years he sold on eBay. If he can document that overall he lost money each year, then he's probably okay - the IRS does not require you to report "hobby losses" on your tax return (they actually prefer that you don't). If the records show that this reader made a profit in one or more prior years, he has a difficult choice, neither of which will be stress-free. If he amends his tax returns for the prior years in which he made a profit, he will have to pay interest and penalties on the overdue taxes, and he may be "waking a sleeping Rottweiler" in the form of an IRS audit to see if he's failed to report any OTHER income. If he decides not to amend those returns, he will have many sleepless nights hoping he won't get audited until the statute of limitations on each return expires (currently three years from the filing date, unless the IRS suspects fraud, in which case there is no statute of limitations). Is there anything this reader can do? Yes. He can't change the past, but he sure can change the future. He should get into compliance this year, by keeping good records for any eBay listings and sales he makes during the current tax year which began on January 1. If he shows a profit at the end of the year, he should pay the taxes due plus a little extra, say 5%. Why the extra 5%? In a word, "penance" for his past sins, and a little insurance in the event the IRS audits his past tax returns and discovers his goof. The IRS (and any other government agency, for that matter) is always going to go easier on someone who they see is working hard to get into compliance than they will someone who sticks his head in the sand and hopes the Bogeyman will go away. As an IRS agent once told me, "even a dog knows the difference between being kicked and being stumbled over." Happy April 15, everybody, and remember: this is one of the many reasons we have liquor. Cliff Ennico ( cennico@legalcareer.com is a syndicated columnist, author and host of the PBS television series 'Money Hunt'. His latest books are 'Small Business Survival Guide' (Adams Media, $12.95) and 'The eBay Seller's Tax and Legal Answer Book' (AMACOM, $19.95). This column is no substitute for legal, tax or financial advice, which can be furnished only by a qualified professional licensed in your state. To find out more about Cliff Ennico and other Creators Syndicate writers and cartoonists, visit our Web page at www.creators.com . COPYRIGHT 2007 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE, INC. Permission granted for use on DrLaura.com. More >>

When You Can't Trademark Your Name Cliff Ennico www.creators.com "I have a business name that I am thinking of trademarking. My concern is, if I do not trademark the name and use it in business, what is stopping someone else from trademarking that name (after I begin using it) and taking it away from me? Is this possible?" In the United States, the only way to protect an unusual or distinctive business name is to register it as a trademark with the PTO - the U.S. Patent and Trademark Office ( www.uspto.gov ). Not everything can be trademarked, however, and even if the PTO grants you a registered trademark, someone else can challenge it on a number of grounds (such as fraud, or infringement of another trademark such that the public will be confused between the two). I've said it before in this column: if you have a name that a trademark lawyer says you can trademark, do everything short of violating the law to register the mark with the PTO. That is the only effective way to prevent other people from using the same or a similar name in the same or a similar business. Beg and borrow from your relatives to pay your trademark attorney's fees. Hit up your credit cards or lines of credit to do so. Getting that federal registration - which entitles you to put the "R in a circle" (reg;) next to your name - will deter a lot of bad guys out there who may be tempted to rip off your name once you start becoming successful. But what if your name cannot be trademarked, or you just can't scrape together the money to register it? The law allows you to claim your name as a "common law" trademark by putting the letters "TM" next to the same wherever it appears. So, for example, "Succeeding in Your BusinessTM". Technically, you're supposed to use the letters "SM" when claiming a common law mark for a service as opposed to a product, but the latest version of Microsoft Word doesn't have "SM" in the "Symbols" directory, only "TM", so you're stuck using that (memo to Bill Gates - while you're working the kinks out of Office 2007, could you fix this glitch, please? Thank you.) As Mark Twain once said about investing, "if you have to put all your eggs into one basket, watch that basket!" The same applies to "common law" trademarks. If you are using one, be sure to document exactly when you first used the mark in interstate commerce. Keep files with examples of stationery, correspondence, product labels, marketing brochures and other literature that clearly shows the "TM" next to your name and the date(s) you were using that name in commerce. If someone who registers your name as a trademark later on claims they were "first to the courthouse" and tries to sue YOU for infringement, the burden will be on you to prove that you were using the name before the other guy did. You will need every scrap of evidence you can muster. But I would go beyond that if I were you. Check the PTO's records on a monthly or weekly basis, and the minute you see someone has filed an application to register your name as a trademark, don't wait for the PTO to take action. Instead, file a challenge or protest of the other company's application, and let the PTO know you've been using the mark in interstate commerce before the application was filed. Your trademark attorney will know how to do this. At the same time, your trademark attorney should send a scathing letter to the company that applied to register the same name as yours, telling them to withdraw their application and demanding that they "cease and desist" using your name. The letter (called a "cease and desist letter", appropriately enough), should be sent by registered or certified mail, along with copies of documentation showing exactly how long you have been using the common law trademark in commerce. Common law trademarks can be effective, but only if you are diligent and stay on top of what your competition is doing. If a competitor registers your name with the PTO and continues using the name for five years without a challenge, the registration will become "uncontestable" and you won't be able to challenge it. While you may be allowed to continue using your name if you can prove you were using it in commerce before the other guy registered his "uncontestable" mark, if the other guy is a Fortune 500 corporation with millions of dollars and an army of lawyers to make your life miserable in court . . . Cliff Ennico ( cennico@legalcareer.com is a syndicated columnist, author and host of the PBS television series 'Money Hunt'. His latest books are 'Small Business Survival Guide' (Adams Media, $12.95) and 'The eBay Seller's Tax and Legal Answer Book' (AMACOM, $19.95). This column is no substitute for legal, tax or financial advice, which can be furnished only by a qualified professional licensed in your state. To find out more about Cliff Ennico and other Creators Syndicate writers and cartoonists, visit our Web page at www.creators.com . COPYRIGHT 2007 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE, INC. Permission granted for use on DrLaura.com. More >>

Worker's Comp For Beginners Cliff Ennico www.creators.com "I started out in business several years ago as a solo contractor. About three years ago, I hired my first employee, and today I have about five full-time and part-time people working for me. I have a terrific accountant, and have always paid my income and payroll taxes on time. About six months ago I had to lay off a guy because new construction was slowing down in our area. He filed for unemployment benefits, and now I'm getting nasty letters from my state Labor Department saying they need to audit my books. What's going on here, and why didn't anyone tell me about this?" Sad to say, your predicament is a fairly common one for small business owners - especially those who, like you, started out as "solos" and then started hiring employees. Life becomes much more complicated when you hire your first employee. Most people know that they have to pay employment or payroll taxes on their employees' wages, and hire a payroll service to do all of the necessary paperwork. But there's another set of laws in just about every state you have to be aware of when you hire employees. Unfortunately, accountants, lawyers and payroll services sometimes forget to tell you about them. These laws go under the general heading of "workers' compensation" or "workers' comp", and they can really trip you up if you're not careful. There are three types of workers' comp program: Workers' Compensation Insurance . Traditional "workers' comp" is a form of insurance that provides compensation for employees who are injured in the course of employment. The idea is that by providing coverage for workers from state funds, the workers will be less likely to sue their employers for damages resulting from on-the-job injuries (yeah, right). Every state law is different, but virtually all workers' comp programs require you, as an employer, to purchase insurance in minimum amounts for each one of your employees, and keep the insurance policies up to date. Most employers maintain only the minimum amount of coverage required by law, as they figure they "will be sued anyway" if an employee is injured on the job and that there is no real benefit to paying more than the minimum premium each year. In any event, workers' comp is no substitute for a general liability policy covering you against lawsuits resulting from injuries and accidents to ANYONE that happen on your premises. Just about all states have a workers' comp program of some sort. To find out your state's requirements, go to www.workerscompensation.com and click on your state when the map of the United States pops up. Unemployment Insurance . In addition to workers' comp, many states require employers to pay into an "unemployment compensation" system that provides benefits to workers who are "between jobs". Once you hire your first employee, you are required to make periodic payments into the system. If you fail to make these payments, and a laid-off worker files for benefits, your state Department of Labor will view you as a "scofflaw" and will take legal and administrative action to bring your business into compliance. To find out about your state's unemployment comp program, search on the Web for "[your state] unemployment compensation", or visit your state Department of Labor's Website. Temporary Disability Insurance (TDI) . Lastly, in Puerto Rico and five states (California, Hawaii, New Jersey, New York, and Rhode Island), employers and employees (through payroll deductions) are required to contribute to a "disability fund" to provide temporary benefits to persons who are unable to work due to employment-related injuries, or who become disabled while they are "between jobs". Some of these states allow employers to provide their own disability coverage for employees in lieu of contributing to the state program, but other don't. A useful summary of state TDI laws can be found on the Web at workforcesecurity.doleta.gov/unemploy/pdf/temporary.pdf . Generally, if you are self-employed and have no employees, you are not required to provide worker's comp coverage for yourself, or pay into state Unemployment Insurance or TDI programs. You are also not required to provide coverage for "independent contractors" who work for you. However, if the IRS or some other government agency reclassifies your "independent contract" workers as employees, you will be getting a nasty letter from your state Labor Department demanding you make contributions retroactive to the date you first began working with them. Some payroll services will help you comply with your obligations under state workers' comp, Unemployment Compensation and TDI laws. Sadly, however, most don't - they deal only with employment taxes. The only sure way to make sure you don't make any mistakes here is to retain the services of a good "labor and employment" attorney in your area BEFORE you hire your first employee or "independent contractor". Cliff Ennico ( cennico@legalcareer.com is a syndicated columnist, author and host of the PBS television series 'Money Hunt'. His latest books are 'Small Business Survival Guide' (Adams Media, $12.95) and 'The eBay Seller's Tax and Legal Answer Book' (AMACOM, $19.95). This column is no substitute for legal, tax or financial advice, which can be furnished only by a qualified professional licensed in your state. To find out more about Cliff Ennico and other Creators Syndicate writers and cartoonists, visit our Web page at www.creators.com . COPYRIGHT 2007 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE, INC. Permission granted for use on DrLaura.com. More >>

Does Small Business Have A Future? Cliff Ennico www.creators.com "A local Mom and Pop supermarket recently lost their lease to a nationwide pharmacy chain. Driving around town I#146;m seeing small businesses fold up shop left and right and big national chains moving in. I#146;m also reading that big company Websites are using their search engine advertising dollars to push smaller competitors off the critical #145;first page#146; of search results. I wanted to start a business, but I admit I#146;m a little depressed. Does small business have a future in this country?" The answer depends to a large extent on how you define a "small business". If you#146;re thinking of the traditional model - a "brick and mortar" retail or service business run by a family - you probably will see less and less of that as time goes by. The causes are many: skyrocketing real estate costs and property taxes in many parts of the country that are driving storefront and office rents dramatically upward, increasing costs of living and a shortage of trained, qualified employees that are driving salaries and payroll taxes through the roof; a legal system in which "anyone can sue anybody for anything", and often does; the advent of the Internet, where with a few clicks of a computer mouse you can find out exactly where you can find the best deals and lowest prices for just about anything; and perhaps most damaging, a consuming public that wants low prices and convenience above everything else, and doesn#146;t value the better service small businesses have traditionally provided to justify their (often) higher prices. But the death knell of small business should not be sounded quite yet. In many ways, this is one of the best times in history to be running your own business. If you think my vision is too rosy, take at look at the "Future of Small Business" survey Intuit Corp. just released (they#146;re the folks who produce the "Quicken" and "QuickBooks" accounting software products). It#146;s available on the Web at www.intuit.com/futureofsmallbusiness .I won#146;t summarize the Intuit report here, because it really deserves to be read in depth. But since you asked (you did, didn#146;t you?), here is my own "crystal ball gaze" at where the small business world is going to be in 10 years#146; time, and a look at some macro-trends that probably will drive most Americans alive today into some sort of entrepreneurial career at some point during their lifetimes. The Demise of the Behemoth Corporation . Back in the 1970s, if you ran a billion dollar (in sales) corporation, you needed thousands of managers running the systems that made those businesses happen. Today, with the right information technology and strategic alliances, you can run a billion dollar corporation with fewer than 100 full-time employees. Look for tomorrow#146;s businesses to be much smaller, leaner and more entrepreneurial. The Growth of Franchises and Chain Stores . Most people, when asked, say they support small businesses. But their actions show they are not willing to pay higher prices to support them. Consumers today are time-starved, and they want convenience, low prices, and one-stop shopping over just about anything else. That favors chain stores and franchises over their standalone, Mom and Pop competition. There#146;s a franchise today for just about every retail and service business you can imagine. Why are Mom and Pop operators being "assimilated by the Borg", buying franchises and managing chain store outlets? Because franchises and chain stores can pool their resources to advertise nationally, build brand recognition, negotiate rock-bottom prices for equipment and supplies, carry huge inventories (so customers can have immediate gratification of their desires and buy more stuff), and compete head to head with the big guys. Look for "brick and mortar" retail, especially, to be dominated by national brands in 10 years#146; time. The Internet Retail Explosion . Mom and Pop retail will survive, but it will be going online and working out of the house, because there#146;s little or no overhead. There are millions of small Web retailers offering just about every product and service you can imagine. Yes, big company Websites are using their search engine dollars to muscle out the little guys (hence the current debate in Congress about ensuring a "level playing field" on the Web), but "retail aggregators" such as eBay, Yahoo! and Amazon offer marketing programs that give members of their communities the wherewithal to compete online. Have you ever searched for something online and found an eBay listing or a Yahoo! Store on the first page of your search results? Enough said. "Marketainment": The Key to Small Business Success . Three books that should be read by every wannabe entrepreneur have nothing to do with business per se: they are "Amusing Ourselves to Death" by Neil and Andrew Postman (Penguin, $14.00), "Rejuvenile" by Christopher Noxon (Crown, $23.95), and "Life: The Movie" by Neal Gabler (Vintage Books, $14.95). Their point is a simple one: consumers who have been saturated with media since early childhood expect elements of entertainment, drama and "fun" in everything they do. Forget about providing your customers with great service - they won#146;t reward you. Give them a terrific show, and they#146;ll come back again and again. nbsp;nbsp;nbsp;nbsp;nbsp;Cliff Ennico ( cennico@legalcareer.com is a syndicated columnist, author and host of the PBS television series 'Money Hunt'. His latest books are 'Small Business Survival Guide' (Adams Media, $12.95) and 'The eBay Seller's Tax and Legal Answer Book' (AMACOM, $19.95). This column is no substitute for legal, tax or financial advice, which can be furnished only by a qualified professional licensed in your state. To find out more about Cliff Ennico and other Creators Syndicate writers and cartoonists, visit our Web page at www.creators.com . COPYRIGHT 2007 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE, INC. Permission granted for use on DrLaura.com. More >>

You're Never Too Small For An E-Mail Policy Cliff Ennico www.creators.com "I know you're not a big fan of e-mail, but we're a small Internet auction company and we really couldn't live without it. We have three employees who all work from laptop stations in our office. What are some of the things we need to tell our employees to make sure they don't abuse e-mail and get us into trouble? Do we need to have a formal, written e-mail policy?" Like it or not, e-mail is fast becoming the life blood of communications in America. It's convenient, it's fast, and it's a lot easier to get right down to business without a lot of socializing "small talk". It's also a lot easier to get into hot water, though, precisely because it's so fast and direct. Any business with at least two employees should have an e-mail policy. Whether or not you pay a lawyer to draft one up (the cost should be in the $500 to $1,000 range, depending on where your business is located) is up to you, but I think it's a good idea. You would give a copy of the policy to each of your employees, and get them to sign a receipt acknowledging that they have read it and understand it. Most employers would also call a meeting of the employees at which you or your lawyer would "walk them through" the policy and answer any questions they may have. Even if you don't want to create a "formal" e-mail policy, it's still a good idea to sit down with your employees at least once a year and explain what they can and can't do when using your company's laptops, personal computers and other equipment to send e-mail or text messages. Here are some of the things your policy should include, whether written or not: Employees are required to disclose all passwords and security codes to you, and are forbidden to change them without your knowledge. Employees are also prohibited from disclosing passwords to people outside the organization without your permission. Employees are required to use e-mail for business communications only - no chatting with buyers on eBay or socializing on MySpace (unless of course that's an essential part of your business). E-mail communications should be strictly prohibited if they are intended: to gain knowledge of the affairs of others, with no business purpose for obtaining the information; to send messages or prepare information that contains racial, ethnic, or sexual comments, or if they contain remarks which may be considered derogatory or libelous regarding co-workers, customers, competitors, or others; to use the systems for any purpose detrimental to your business (for example, sending confidential information to a competitor); to send messages containing information that is restricted by government security laws or regulations; to copy or send documents or software in violation of copyright laws; to forward messages without a legitimate business purpose under circumstances likely to lead to embarrassment of the sender or to violate the expressed desire of the sender to restrict additional dissemination; to review or retain messages received which appear to be misaddressed; to send chain letters, cartoons or other communications not directly related to your business; to provide access to former employees; to conduct job searches; and to access or distribute any illegal material. If you plan to monitor your employees' e-mail correspondence, be sure to tell them in advance you plan to do that. If you plan to "back up" e-mail files on a regular basis (and you absolutely should, in case you are ever sued and the plaintiff's attorneys demand copies of all electronic files relating to the dispute), tell your employees and warn them that even "deleted" e-mail messages can be retrieved using software that is easily available on the market. Finally, you should consider limiting your employees' e-mail communications to 25 words or less, with a requirement that any longer messages be reviewed by an immediate supervisor before transmission. The longer the message, the more likely the sender will say something stupid, insensitive, emotional, ill-considered or inaccurate that will land you and your company in legal hot water. I know I'm in the minority here, but I still believe that the more important a message is, the more you should consider sending it in a manner other than e-mail. As a famous diplomat once said, "one should never put something in writing if one can say it, and one should never say something if one can nod one's head." Cliff Ennico ( cennico@legalcareer.com is a syndicated columnist, author and host of the PBS television series 'Money Hunt'. His latest books are 'Small Business Survival Guide' (Adams Media, $12.95) and 'The eBay Seller's Tax and Legal Answer Book' (AMACOM, $19.95). This column is no substitute for legal, tax or financial advice, which can be furnished only by a qualified professional licensed in your state. To find out more about Cliff Ennico and other Creators Syndicate writers and cartoonists, visit our Web page at www.creators.com . COPYRIGHT 2007 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE, INC. Permission granted for use on DrLaura.com. More >>

One Person's Parody Is Another Person's Lawsuit Cliff Ennico www.creators.com "I'm looking for creative ways to advertise my business on YouTube, MySpace and other 'social networking' Websites. One idea I had was to do video parodies of my competitors' advertising - my brother's a successful stand-up comedian and has come up with some hilarious ideas that I know would attract viewers on these sites. I really don't want to be sued, though. Do you have any suggestions?" There are two basic things you need to know about parodies and satires, from a legal point of view: parody is a form of protected expression under the First Amendment to the U.S. Constitution (which, among other things, guarantees "freedom of speech"); if the person or company you're making fun of doesn't like your parody, they will sue your pants off anyway, forcing you to spend tons of money in legal fees so you can assert and defend your First Amendment rights. Don't get me wrong - an advertising parody, when done the right way, can be an extremely compelling and entertaining way to get your marketing message across, especially in these days of "viral" marketing where everyone (it seems) is e-mailing video clips to everyone else saying "hey, you gotta look at this!" If done the wrong way, though, your parody may cost you your business, your house, and your sanity. There are a number of ways you can get into legal trouble with parodies and satires. Here are some of the more common ones: Copyright Infringement. If you're going to parody someone else's work, you have to be sure the parody is all your original work and content. DO NOT "cut and paste" your competitor's advertising without their consent (which, of course, they won't give). For example: you make a copy of your competitor's television ad and change the audio track so that the actors/characters in the ad are saying silly things - the competitor probably will sue you for "copyright infringement"; you shoot your own television ad from scratch, following the overall "story line" of your competitor's ad (not the actual word-for-word dialogue) but using children or dogs instead of grown-up actors for humorous effect - as you did not use any of your competitor's copyrighted content, their lawsuit for copyright infringement probably won't be successful. Defamation, a/k/a "Libel" . If your parody contains false or misleading statements about the competitor that are intended to injure their reputation (and pray tell, when does someone do a parody for reasons OTHER THAN injuring someone's reputation?), you are likely to be sued for libel. If the person you're sending up is a politician, movie star or other "public figure", you will have a strong defense on First Amendment grounds, as these people have to prove you acted with "actual malice" in creating the parody - a very difficult burden of proof. If, however, the person you're parodying is a local competitor, a court will probably view him or her as a "private figure", and they will have to prove only that you were negligent in creating a parody that harmed their business. "Misuse of Trade Dress" . Make sure your video is clearly and obviously recognized as a parody. If you do TOO good a job at copying your competitor's content, people may mistake your "parody" for the real thing (i.e. they will think that it actually is your competitor's ad) and the competitor will sue you for "misuse of trade dress" (also sometimes called "trade dress infringement"). Invasion of Privacy . If your parody calls people's attention to a fact about your competitor that he or she wouldn't want to be made public, you could be opening yourself up to an "invasion of privacy" lawsuit. For example, if your parody shows a monkey removing an extremely ugly toupee from an actor who is impersonating your competitor, and your competitor (unbeknownst to you) actually wears a hairpiece, you may be sued for advertising to the world that your competitor is bald. One more thing: in the words of Irish author Brendan Behan, "there is no such thing as bad publicity, except your own obituary". If your parody is really good, it may actually backfire on you by reinforcing your competitor's advertising in the public mind. The good news is your competitor won't sue you; the bad news is your competitor will make tons more money off of your parody than you will. For an excellent Website offering legal information and guidance to parodists, go to www.chillingeffects.org . Cliff Ennico ( cennico@legalcareer.com ) is a syndicated columnist, author and host of the PBS television series 'Money Hunt'. His latest book is 'Small Business Survival Guide' (Adams Media, $12.95). This column is no substitute for legal, tax or financial advice, which can be furnished only by a qualified professional licensed in your state. To find out more about Cliff Ennico and other Creators Syndicate writers and cartoonists, visit our Web page at www.creators.com . COPYRIGHT 2007 CLIFFORD R. ENNICO. DISTRIBUTED BY CREATORS SYNDICATE, INC. Permission granted for use on DrLaura.com. More >>