Sound Off
Staff -- Gifts & Decorative Accessories, 3/1/2001
Technology Comes First
I read your recent article regarding "The Hunt for a POS System" (February 2001). My interest was sparked, as I am opening a handcrafted art store in Indianapolis this summer. I am a 30-year businessman and new to retail. I cannot imagine beginning a store without taking advantage of existing technology that would allow me to effectively track my investment in inventory, individually bar-code each item, automatically update inventory with each sale, and track customers and their purchases. Indeed, I have found that the system I am considering [buying] also downloads data in spreadsheet form into my accounting package, QuickBooks Pro.
Your article suggested that a new, small retail operation should postpone this investment in technology until sales reach approximately $750,000. My first- and second-year sales are expected to be well below that level. My investment in technology will be between 2 and 4 percent of first-year projected sales. I consider it a startup cost. I can't imagine not knowing exactly what is selling, and when and to whom. I consider that knowledge as being integral to my small business' success in the first few years.and beyond.
Dan Bacon
Arts in Harmony
Indianapolis
Congratulations on considering how technology can help you with your new business. So many retailers open their doors without sound business practices in place. Although the retailer profiled in our story does more than $750,000 a year in sales, POS systems-some costing as little as $3,500-are available for retailers of any size.-Ed.
