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Start Up Technology:


Invest In Technology

Computers and other technology can be powerful partners in your business, enabling you to maximize your time and effectiveness. To get the most out of your investment, it's important to become familiar with the terms, systems, and applications that will help your business grow.

For openers, here are basic technology terms with which every employee should be familiar.

Term - Definition

Gigabyte (GB) - Unit of measure for how much information your computer's hard drive can store (1GB equals about 1 billion bytes)

Hard Drive - Long-term storage-the place where information and applications are kept

Megabyte (MB) - Unit of measure for how much information your computer's hard drive can store, or how much random access memory your computer has (e.g.., 1GB)

Megahertz - "Clock speed" at which a processor is rated to run

Modem - Hardware that allows your computer to send information over telephone lines for accessing the Internet, sending e-mail.

Monitor - The "television screen" portion of your computer system

Multimedia - A combination of text, graphics, audio, and video

Peripheral - Equipment such as a printer, fax, modem, or scanner that is plugged into your computer

Port - A socket on the back of a computer used to connect modem, printer, or other equipment

Processor - The "brains" of your computer

Random Access - Temporary storage-what the computer uses to run software and store

Memory (RAM) - your work until you save it; measured in megabytes (MB).

Scanner - A device that allows you to enter a printed image or page of text into the computer

Software - Computer programs


Computer Purchase

Before you buy a computer, be clear about what you want the system to do for you. Check off the tasks that you would like to use a computer for, and take this list with you when shopping for one.

  Write correspondence   Presentations
  Keep a customer list   Contact management
  Generate mailing labels   Send/receive faxes
  Design a brochure   Maintain an appointment calendar
  Create a catalog   Design your office
  Lay out a newsletter   Conduct research for a proposal
  Send/receive e-mail   Surf the Internet
  Accounting/bookkeeping/spreadsheets   Set up a "storefront" on the Internet
  Check writing   Network internally (printer, multiple offices)
  Track inventory/order entry

 

Financial planning

  Do "what if" financial calculations

 

Other

Look at buying a computer and other office equipment as an investment, not a cost. Your choice of systems should be based on more than the price of the basic unit. When conducting your preliminary research, ask these questions:

  • How easy is it to use?
  • Will I need to hire someone to set it up?
  • How difficult are the software programs to learn?
  • Will I need to pay for training (for self, managers, or other staff)?
  • How easy is it to add peripherals, such as scanners, hard drives, or backup devices?
  • Can I exchange information easily with other computers?
  • As my business grows, how easily can I connect with other computers?
  • How soon is my business likely to outgrow the unit?
  • Is there a toll-free number to call for help?
  • What are the warranty and repair policies?
  • How satisfied have other users been with this system?

To help you choose the computer that's right for your business, use this checklist of features to consider when talking to a salesperson:

  Processor (type and speed)   Keyboard   Networking capabilities
  RAM (MB)   Mouse   Expansion capabilities
  Hard drive size (MB)   Fax/modem   Upgrade capabilities
  CD-ROM   Multimedia-ready   Bundled software
  Monitor   Internet-ready   Warranty

Fax Machines

After a computer, the most common piece of small-business technology is a fax machine. Some computer modems have fax capabilities built in, but your computer must be running to receive incoming faxes. Computer fax/modems also don't allow you to easily send freestanding material, since you must first get the material into the computer. For these reasons, most businesses invest in a fax machine, or a multifunctional unit that combines fax, printer, scanner, and copier capabilities.

When selecting a fax machine, keep these features in mind:

  Memory   Resolution   Broadcast capabilities
  Send/receive speed   Cost of cartridges   Technical Support options
  Speed dial capabilities   Type/cost of paper   Repair options
  Telephone line sharing   Multifunction capabilities printer, scanner, copier)   Warranty
  Telephone handset        

Telephone Equipment

How many lines do you need? Many small businesses rely on a two-line phone, one line for incoming calls and one for outgoing, fax, and modem (i.e.., Internet) calls. Determining how many lines you need depends on the type of business you're in and the number of people requiring phone access. While there is no universal rule regarding lines-to-people ratio, many businesses find that a 1:3 ratio (one line for every three stations) is adequate.

If your business will rely heavily on telephones (i.e.., for Internet access, fax machines, credit-card authorization terminals, and answering machines), you will need multiple lines. Contact your local phone company and ask the business representative for a busy-line study. This is a statistical printout of the number and frequency of incoming calls that receive busy signals, and it will help you determine how many lines you should have.

To understand more about telephone capabilities, here are 10 pointers you may also want to discuss with your phone company rep:

  1. If you are setting up a home business, installing distinctive ringing will allow you to piggyback a different telephone number on your existing line, making it ring in a different tone and pattern.
  2. If you want a separate telephone line in your home-based business, you can save money by installing a residential line. To obtain a business listing in the Yellow Pages, however, you need to install a business line.
  3. If you don't mind being interrupted during a call, call waiting can notify you when another call is coming in. Customers often find this option annoying, however, and business telephone etiquette experts suggest investing in voice mail, which allows customers to avoid a busy signal and leave a detailed recorded message.
  4. If you want to be able to speak to several individuals in different places at the same time, you can arrange for conference calling.
  5. When you frequently call the same numbers, speed dialing can save you time by allowing you to preprogram a one- or two-digit code into your telephone.
  6. You can save money on calls of short duration if your telephone provider offers billing in six-second increments instead of full minutes.
  7. Caller ID allows you to identify who is calling before you pick up your telephone.
  8. When you sign up for additional telephone lines or services, inquire about installment billing, which allows you to spread out the payments over several months, often without finance charges.
  9. If you're often away from your office and want your calls to follow you to another number, invest in call-forwarding options.
  10. To encourage customers to contact you for information and orders, establish a toll-free 800 or 888 number.
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