I enjoyed Amanda Kooser's and Mike Hogan's February
articles on IP-PBX phone systems, VoIP, Wi-Fi and how small
companies use technology to stay connected ("Wherever
You Go, There You Are" and "Connections").
These technologies have increased my productivity and lowered my
communications costs. What's more, they have kept me closer to
my customers than ever before and helped me close new
contracts.
In fact, I recently utilized technology from GotVMail to land a
sizable contract while my wife was driving the family on I-94
through Chicago at 65 mph. A potential customer called my Got-VMail
toll-free number and was forwarded to my mobile phone. The prospect
needed a service-level agreement to be signed and faxed back right
away. The document was faxed to my GotVMail number, and I
downloaded the PDF file from my e-mail inbox with my tablet PC and
mobile phone. I signed the agreement with my tablet PC and faxed it
back. The task took 10 minutes without stopping at an office to
print or fax the document. We didn't even have to get out of
the car.
Jonathan Meersman
President
The Hosting Spot
Delavan, Wisconsin
Shedding Some Light
Content Continues Below
In a post-election interview with Entrepreneur
("Point/Counterpoint,"
February), Congressman Rick Renzi (R-AZ) states, "Small
businesses should be able to treat their company vehicles like they
do other pieces of business equipment. Small businesses that need
delivery trucks, vans or small vehicles should not be disadvantaged
because their vehicles weigh less than 6,000 pounds."
Rep. Renzi should have updated his notes before showing his
ignorance of current tax laws. In July 2003, the IRS changed its
vehicle regulations, allowing a full deduction for most lightweight
business trucks and vans. This ruling was well-publicized in many
publications--including Entrepreneur. Hopefully, our other
representatives in Congress can offer more help with our tax
problems than Mr. Renzi.
Bernard Kamoroff, CPA
Bellsprings.com
Willits, California
Phone Home
Your February article on old mobile phones was informative
("Wireless").
Did you know that old cell phones can still be used to call 911
even if they are not activated? Therefore, it's a good choice
to donate them to your local senior centers, where employees can
distribute the cell phones to seniors who can use them to dial 911
in case of an emergency.
Jeanette Cave
Windsor, Connecticut
Profit, No Loss
Kirsten Osolind, author of "Labor
for Love" ("Flash," February), hit the nail on
the head when suggesting entrepreneurs spend their time and
resources on increasing revenues from profitable customers while
"firing" the unprofitable ones.
One extremely effective profit-building strategy is to raise
prices to match the value received and perceived by customers. Even
if a company loses 50 percent of its customers, its revenue and
profits remain the same.
Entrepreneurs also double the time and resources available to go
after customers with problems their products and services can
realistically solve--increasing their customers' profits as
well as their own.
Deborah House
Chicago
Doesn't Add Up?
In the February issue, Melissa Campanelli profiles eBay
affiliate Kayetech
as a "success story." Her article states that the company
earns $150,000 per month, which would be $1.8 million a year. That
sounds impressive until she quotes David Kaye, president and
founder, as saying, "We also spend $5,000 or $10,000 a day on
paid advertising."
Notwithstanding the huge difference between $5,000 and $10,000,
did he really mean per day? If so, at best, Kayetech
averages $0 per month (which is negative once you deduct other
expenses) or loses $150,000 per month.
I hope it was a misprint, as that surely couldn't be
considered a success.
Greg Asman
Atlanta
Melissa Campanelli responds: According to David Kaye,
"The $5,000 to $10,000 per day is the amount of money spent on
advertising and promotions across all our programs, not just eBay,
and the $150,000 per month figure is just what we earn on eBay,
which in fact is a portion of what we earn overall from all the
programs we participate in."
Correction:
Edward G. Rogoff ("Biz
101," March) is a professor at the Zicklin School of
Business at Baruch College in New York City.