Problem Solver

Q. My company receives a different request for a charitable donation every week. From a marketing standpoint, how do I decide which ones to support?

William Ernest Waites, president of the Advertising Federation of Southwest Florida, answers:

As with any marketing activity, first set a budget for charitable giving. I recommend you split the budget into minor and major gifts. You will support some causes simply because they are important to you, and there is a place for purely charitable giving in every businessperson's life. You will fund others because they are important to your customers and prospects. These should be your major investments.

Again, as with any marketing investment, dominant presence is advantageous. Highly visible involvement with a few causes is better than being one of 10 logos at the bottom of dozens of ads. If you can get title sponsorship rights, all the better. Ask employees and customers which causes are most important to them. Finally, measure any prospective cause against your company's overall marketing strategy and brand image. If it fits, give it a go.

Waites is the former chairman and co-creative director of Spiro & Waites Advertising Marketing and Public Relations. He can be reached at (239) 482-7025 or sanibelart@earthlink.net.

Q: What does it really mean to a company when it decides to outsource part of its business?

Nancy Reynolds, owner of Naples-based Reynolds & Associates CPAs, answers:

Some companies used to make it a priority to have an employee fill every position in the firm. Salesperson, accountant, human resources man-ager and so on-having those positions filled seemed to signify that you had arrived and that your company was growing. Was the company growing in its number of employees only and not in profits? It's the bottom line that we need to look at carefully.

Outsourcing gives the business owner the advantage of hiring professional help without the obligations and costs connected to the paid employees. Services such as cleaning, marketing, payroll, bookkeeping, taxes, computers, Internet services and human resources can all be outsourced without losing control of the service or the company. The "if you want it done right, do it yourself" attitude just doesn't cut it in today's busy world. Businesses are so inundated with information and technology that there is no way they can be expected to keep up with the latest tax laws, payroll requirements, marketing opportunities and such.

How can a company know which outsourcing firm is reliable and dependable? One word: references. Always ask the potential outsource professional for references and then call those references. It's up to the company's chief financial officer or top executive to examine all the pitfalls and payoffs of outsourcing.

Here are dos and don'ts when considering outsourcing:

o Do ask for a written proposal.

o Don't believe everything without backup information.

o Do take time to calculate the cost of your options.

o Don't rely on memory and a handshake for the goal and results you want from outsourcing.

o Do have a budget.

o Don't think you can get something for nothing, because nothing is exactly what you will get.

o Do your homework. Ask business mentors and other professionals whom they use for their outsourcing.

o Don't assume the most expensive consultant or outsource service is the best for the work you need.

Reynolds, a frequent speaker at seminars offered by Florida Gulf Coast University's Small Business Development Center, can be reached at (239) 435-1050.

Send your business dilemmas to Problem Solver, Gulfshore Business, 9051 N. Tamiami Trail, Suite 202, Naples, FL 34108 or e-mail them to lori@BusinessNewsNow.com.