2006 California Acccounting & Business Show and Conference
Commentary by Sanda O'Meara 

I recently attended the 2006 California Accounting & Business Show and Conference June 5-6 at the LAX Hilton in LA.  (I saw Brenda Richter there as well!)

So I would like to report on a few of the many interesting things. 

·                     Paperless – There were many vendors of software and hardware tools to help reduce paper record keeping. I heard that 2.7 billion new sheets of paper are generated in America daily!  A 4-drawer filing cabinet costs $25K to fill and $2k a year to maintain and 80% of that cost is labor. An implementation approach to going “paperless” is to begin with less printing.  Instead save documents in your computer.  Next, for tax preparers consider keeping all of the Form 1040 documents electronically.  Move to scanning documents as your processes shift. Within time scanning will become second-nature. (That’s what they said!) Incorporate paperless processes such as e-mail, faxing etc. into your usual routines. Look for opportunities in your workflow to reduce paper.

·                     Along with going paperless, another trend I heard often is to use dual monitors.  You can have documents pulled up on one monitor, such as e-mails and attachments received, and on the other screen you can have your accounting software or spreadsheet.

·                     Google – I heard Microsoft is being squeezed by Linux on one side and Google on the other. For example Google will soon offer an online spreadsheet program that will be a free alternative to Excel.  The shift is away from desktop applications to internet solutions.  Meanwhile Microsoft’s new operating system – Windows Vista - has still not yet been released. And check out http://www.openoffice.org/product/.

·                     I saw an Imation flash drive wristband – doesn’t that sound charming for the ‘hot bookkeeper” accessory item! They are durable, stylish and come in a variety of colors. I might need several!

·                     Other technology trends of interest include W-Fi (up to 30 feet) and Wi-Max (up to 38 miles), VoIP) – using your computer as a telephone (Skype, Vonage), and on-demand software alternatives such as free software on the web that is paid for by advertising.  

The show was exciting.  I came home with bags of goodies and my head filled with ideas such as looking into getting a g-mail address, upgrading my cell phone, going online for postage, shopping for a scanner, using remote access more often, and much more. 

A Customer Relationship Strategy: Telling It Like It Is

By:  Brenda Richter, CPA

A member of the Principa Alliance 

Are you letting customers know precisely what you have to do to meet their needs? This is a critical component in successful customer relationship management. 

Under promise but over deliver.  Customers do not like surprises unless they are clearly in their own favor.  So even when there is a mistake or mess up, tell the truth. Explain how you will fix it and absorb the cost.  

One of the really big problems in service businesses is quoting low to get a sale, then being unable to really build in service that counts. You end up with a dissatisfied customer because long after the price is forgotten the service failure is remembered.

If you are in an industry where competitive bidding is the norm be particularly specific in your description of the way you provide your products or services.  That information can often be traded for price. 

In most businesses the primary variable buyers understand is price.  This does not mean they need the lowest price.  It means they don’t know any other way to make a comparison between suppliers.  In these situations the vendor who is able to explain why customers will be better off to pay a little more will be significantly more profitable than his competitors because that additional margin travels straight to his bottom line.

Always explain clearly what it is that makes your product or service different ... your unique core differentiator.  

Brenda Richter, CPA is not your average advisory firm. Far from it.  This firm does so much more than just “keep the score.”  The firm will work with businesses to identify areas in the business that are not realizing their full potential and help improve them to build a stronger and more profitable future.  The firm’s membership in the Principa Alliance means that customers have access to the collective knowledge and expertise of an international network made up of hundreds of professionals who specialize in consulting to small and medium-sized businesses by providing strategic planning and Customer Advisory Boards (CAB).  Strategic planning can help businesses develop their own unique core differentiators.  A CAB is a facilitated meeting with your customers to get a real 'outside-looking-in' perspective of your business. The information you'll gain from holding a CAB is specific to your business, and represents a giant step on a path towards helping you deliver the extraordinary service that will keep your existing customers coming back for more and have prospects choosing you over a lower priced competitor. 

Disability Insurance Information
Mark Schneiderman 

I have a client who was considering buying a disability insurance policy. After hearing about the coverage options, he said, "Wait a minute. How disabled do I have to be before this insurance kicks in?"

It's a good question, and I thought I would share the answer with you.

Disabilities carry adjectives such as "total and permanent," "partial," and "temporary." Frankly, most disabilities are "partial" and "temporary." As such, if you are considering the purchase of a disability policy that covers "total and permanent" disability only, you may not be spending your money wisely.

Disability policies also have definitions relating to your occupation. The best, and most expensive, coverage kicks in when you are unable to perform your specific job. Say a neurosurgeon loses his or her hand in an accident. The person could still be a physician, but probably could no longer perform the duties of a neurosurgeon. By the definition of so-called "own occupation" policies, this person is disabled.

In contrast to "own occupation," there is the cheaper "any occupation" coverage. In this policy, if the person can perform a job that requires the same skills and training, he or she would not be disabled. In the case of the neurosurgeon, if he or she could continue to serve as, say, a general practitioner, that person would not be disabled.

However, there are disability policies that will pay some of the difference in salary resulting from having to change job duties. Some disability policies define "any occupation" to be truly that -- any occupation, regardless of the amount of skill and training required.

I hope this gives you a little "education" on a very complicated subject.  Be sure to give me a call if you have any specific questions.  I'm here to help!

Sincerely,

Mark Schneiderman
Mark Schneiderman Insurance
msinsurance@sbcglobal.net