Help. I think I accidentally started a business.

Since the mag has been getting more into multimedia, I've been amassing a lot of video equipment in the last couple years. And since a lot of video gear is expensive, and since I'm also somewhat handy with a common tool or two, I've been building a lot of my own equipment as well.

About a year ago, I built a down-and-dirty motion base for small cameras, and posted a little diy video on my personal vimeo page. It got picked up by a couple of big blogs (including Make magazine) and went sort of viral. Fast forward to about six weeks ago. I built the latest and greatest version of my little roller after living with my old one for a year and talking to folks who had built similar ones using my original design and made some improvements. I did another diy video, and casually mentioned at the end that I had a couple to sell, mostly hoping to get rid of the two extra ones I had to build with the materials I had to buy to build mine.

The next morning I wake up to about 50 email messages and unsolicited money in my PayPal account that folks put in there as a "deposit" for the camera dolly I was going to build them.

Fast forward to today, I've sold about 70 of the things without really trying too hard, and have shipped units to Europe, Australia, and 3 or 4 actual Hollywood camera-op types (one of whom is a MAJOR heavy hitter in the industry. Basically, if you're seen a movie in the past ten years, you probably saw some of his camera work).

So my questions are thus: What do I need to do to not get boned by The Man? Luckily I'm friends with a small business owner who works in the office next to me, and she gave me some good advice on who to contact, but I wouldn't mind hearing from someone who deals with primarily internet personal transaction type stuff.

And, clearly, I'm not quittin' my day job (which is also an evening and weekend job most of the time as well). I stand to make a few bucks from this, but it really needs to remain a side-project to my magazine life Right now it's a pleasant diversion to get me out in the shop and get my hands dirty a few nights a week. As soon as it becomes more than a few hours a week of building and shipping I'll lose interest pretty fast. And I have no intention of ever having to deal with employees who I am not married to. And that employee is already happy because her first bonus was a new vacuum.

So tell me about things like sales taxes, patents, small-volume sales tracking software, small-volume email list management software, and other stuff I might need to know.

Oh, and you can check out the item in question at MoveYourCamera.com

jg

For the love of God, get out now while you still can.

Thar be dragons ahead.

Margie

Maybe Tommy's birthday dolly will be my swan song.

Wait, does he read the board? Crap.

jg

EDIT: Also, WTF are you up at 10:30? Has your account been hacked?

You are already in deeper than you say you want to be!

JG Pasterjak wrote: So tell me about things like sales taxes, patents, small-volume sales tracking software, small-volume email list management software, and other stuff I might need to know.

Nice work!- Your price point is too low.

You need a business license, and a bookkeeping method- you're gonna have to pay taxes.

Sales taxes: Usually limited to collecting for the state in which your business is located. Not sure of the FL laws. You don't CHARGE sales tax, you COLLECT it for the state. Check with an accountant- if you don't set it up right pronto, you could find yourself paying as if ALL sales were ALL profit and within the state.

Patents: You are kind of stuck on this one. You put your design into the public realm before getting the patent. Anyone could steal your design, patent it before you, and make you stop producing. The other side of the problem is, if someone violated your patent, would you be prepared to sue them? Probably not. Might want to just forget about it and hope for the best.

Sales tracking software: Quickbooks.

Email list management: MailChimp

You've got a PM.

OK, that exchange was hilarious. Margie should know, even if she was led there by accident because of the man she loves..but now, onto the real body of the post.

HOLY COW! JG, that thing is brilliant! I haven't shot anything in 20yrs, but seeing dolly shots done for that cheap blows my mind! I'm tempted to buy one myself, just to see if I can motorize it on the cheap (using r/c car parts..belt drive down to a sponge tire on some sort of home-made springloaded tension arm to provide some traction, and with some kind of speed control, or a battery weak enough to barely turn the motor). IMO, such a thing would provide constant speed on the dolly without having to rely on the operator's touch. All you'd have to do is keep the focus on, and pan at the right rate. Again, IMO..a lot easier if you don't have to push the thing as well. And maybe some foam or something on the wheels would give it enough traction to grip round things (like that Daytona handrail)?

Oh, BTW: we need to find a new curse word to filter, just so we can use "sexy mailbox" in it's place. That was a great shot, tho. Don't know what zoom/exposure you used to get the depth of field that tight..but if there's ever a documentary about mailboxes, that shot will be in it.

Sorry I can't help with the business stuff, just wanted you to know that there's a reason people want those things.

Aside to Margie: So, when can we expect the first issue of "Grassroots Filmmaking"?

1)get a business license/id number.

2)go on that tv show where the people invest in you in exchange for a stake in your company..

3)ship the production to some third world hell hole and sell them on late night infomercials for $19.95 with a free tub of Oxi Cleen or some of those slippers that are also mops..

4) retire to your own personal Caribbean island.

Quick, lose it all at the dog track and call it a wash.

SVreX wrote: Patents: You are kind of stuck on this one. You put your design into the public realm before getting the patent. Anyone could steal your design, patent it before you, and make you stop producing. The other side of the problem is, if someone violated your patent, would you be prepared to sue them? Probably not. Might want to just forget about it and hope for the best.

Mmmm, I am not a lawyer, but I did take an intellectual property class in grad school. You're right that he's boned on the patent issue in terms of patenting what's already out there, but no one else can patent his design.

Patents are a "first past the post" thing. Once it's out in the world, neither you nor your competition can patent it. They can try and it'll cost you a E36 M3-ton of lawyer fees to prove that you're right. That's the extent of the boning.

Most likely, this isn't a "novel" idea (I haven't the experience to know or say., but a novel method of constructing the item in a DIY/locost basis. That isn't patentable. If there are unique features that have never been seen before, those could be patentable.

Best advice: there is a time to DIY and a time to go to the pros. Use your friend's advice and find some pros to help you get this thing set up right.

peter wrote: Patents are a "first past the post" thing. Once it's out in the world, neither you nor your competition can patent it. They can try and it'll cost you a E36 M3-ton of lawyer fees to prove that you're right. That's the extent of the boning.

Correct. But they can proceed with manufacturing if they choose, and shut you down with legal pressure, whether or not they win in court.

Like I said, skip the patent and hope for the best.

Yeah, personally I don't think there's much reason or ability to patent the thing. Especially since I also published a complete guide and parts list for building your own. The business model is basically shaped around the fact that not everyone has a chopsaw.

jg

take a page from your GRM life...customer service is the key to happiness. You need to let people know ASAP what the expected wait time will be for their camera cart thingy. Peple are more likely wait patiently -i.e. without complaining - if they know how long the wait will be.

save time by manufacturing in batches.....drill the parts for ten units at one time...it will be faster to cut all the parts for ten of them at a time than to build each one start to finish individually

want to speed up assembly? build a jig to hold the parts whiyou fasten them together.

want to sell more? put a small weatherproof sticker with your contact info onto each unit

none of that is what you asked' so I will shut up now.

novaderrik wrote: 3)ship the production to some third world hell hole and sell them on late night infomercials for $19.95 with a free tub of Oxi Cleen or some of those slippers that are also mops..

I disagree about the infomercial thing. I've seen stuff in infomercials that looks cool..but I never bought any of it just because it was in an infomercial. I only bought a gel-tube of oxycleen this year because I was so desperate to get my corner worker whites (a set of overalls from the 2006 Le Mans 24hrs) clean that I'd try dang near anything. I cursed myself for being "stupid enough" to buy something from an infomercial when I finally broke down & bought the stuff, and was surprised when the E36 M3 actually worked.

Anybody looking for something as sophisticated as a camera dolly would probably automatically ignore anything in an infomercial, whether it really works or not.

Otherwise..sounds dead on the target!

Very Cool!! And welcome to hell.

SVreX hit the high points. Quickbooks is your friend unfortunately. As much as I hate them it's the only thing going at that price point. If only I had an extra 25K for SAP. I think they will also do a online cart for you as well if you get that far.

I keep all my customer's information in Quickbooks. The customer center in the premiere version is pretty good at keeping up with all the info. Mass emailing isn't something I have ever done, so I can't help there.

Get an accountant. Try to find someone that will do it as a side job. It's worth it unless you like figuring out government forms. They will also know where all the deductions are hiding. The guy who keeps me out of jail charges me $150 a quarter now, but he started at $50 a quarter. The only thing I have to do is fill out the check and get it in the mail.

As far as the patent info, it might not be worth the trouble. I would look into trademarking the name though. If it really takes off, the name will be worth as much or more than the hardware.

I also recommend setting up a LLC. Legal Zoom can handle that pretty cheap.

I would also consider a general liability policy. It's amazing what people will sue you for today.

Don't run this out of your personal accounts. Even if you just get a separate account in your name, keep all income and out go separate from your regular accounts. If you ever get audited, and you will, anything you can do to make the paperwork simple is a big plus.(accountant) Do it by the book.(accountant) Our last audit lasted less than 30 minutes because we had our ducks all lined up nice and pretty.(accountant) There is nothing an auditor hates more than telling someone they will be getting money back. It wasn't but about $25, but I thought the lady was going to have a heart attack. I don't think she will be back any time soon.

Keep up the good work and here's hoping you make the big time.

Careful with your price point.

A good friend recently wrote a book associated with a movie and "accidentally" started a writing/ public speaking business.

The book made the NY Times bestseller list much to his utter shock. He made a lot of money on it, and his phone started ringing off the hook for speaking engagements.

He's a decent simple guy who just wanted to share his message. So he didn't charge very much for speaking engagements.

He soon learned that people would take advantage of him every chance they got. One group asked him to speak to a "small" men's group. They advertised it, used his name, and had 500 people show up. They offered him some cold barbecue to take home to his family as payment for his services after taking up 5 hours of his time (note, that the sponsoring group also made a lot of money charging admission to hear him speak).

It wasn't long before it was a really big strain on his marriage and family.

On the suggestion of an advisor friend, he ended up bumping his price for speaking to a number that most of us would really find pretty high.

It was the only way he could weed out the deadbeat groups that only wanted to take advantage of him for their own benefit.

At free or low cost, he would be asked to do several hundred speaking engagements per year. The most he could do was 20. The price became the one way he could protect his time with his family.

Free stuff and DIY instructions are great on websites to develop traffic, but don't sell stuff too cheap that takes your time. Your price point should be high enough to make you money without holding you hostage.

friedgreencorrado wrote: I disagree about the infomercial thing. I've seen stuff in infomercials that looks cool..but I never bought any of it just *because* it was in an infomercial.

So? Obviously SOMEONE is buying, or they wouldn't run the infomercials!

I agree with Toyman01. Quickbooks is the Debil. Use it.

Oh, and (accountant)!

JoeyM wrote:

take a page from your GRM life...customer service is the key to happiness. You need to let people know ASAP what the expected wait time will be for their camera cart thingy. Peple are more likely wait patiently -i.e. without complaining - if they know how long the wait will be.

Yeah. doing good on that front. I think it's just basic politeness to answer someone's question honestly and quickly. And so far my wait times have been low. Maybe 2-3 days if someone orders one at the end of a parts-cycle and it happens to be heading into a weekend.

save time by manufacturing in batches.....drill the parts for ten units at one time...it will be faster to cut all the parts for ten of them at a time than to build each one start to finish individually

Got this down pretty well, too. One night I cut steel, one night I cut decks, one night I assemble wheels, etc. Goes pretty smooth, and 15 at a time seems to be the right number based on the quantities I can order parts in. The only real bugaboo is painting. The chassis is galvanized steel, so I have to use spray latex (until I break down and get a powdercoating setup. This might be the excuse I've been looking for). Spray latex needs LOTS of ventilation, so I have to do it outside (under cover), but weather is still a factor.

want to speed up assembly? build a jig to hold the parts whiyou fasten them together.

Yep. All jigged out. I even moved the tv in the garage so I could see it from the assembly area. I can put a complete unit together from parts and get it in a box in less than six minutes.

want to sell more? put a small weatherproof sticker with your contact info onto each unit

Stickers just got here yesterday, actually :)

none of that is what you asked' so I will shut up now.

Glad to know I'm on the right track, anyway.

Oh, and I just registered with the state of Florida to collect sales tax. Surprisingly easy on line. I used "The Renault Motor Company" as a DBA. Was that right?

jg

Why not, No one else is using it

SVreX wrote:

friedgreencorrado wrote: I disagree about the infomercial thing. I've seen stuff in infomercials that looks cool..but I never bought any of it just *because* it was in an infomercial.

So? Obviously SOMEONE is buying, or they wouldn't run the infomercials!

This is very true...but not often for a piece of equipment as sophisticated as what JG's built. Think of it like this-everyone wants to get rid of stains in their otherwise clean clothing (oxycleen), but there's not a lot of folks searching for a cheap camera dolly to make their next movie. Don't make the mistake that a lot of business people do by thinking all products are "widgets". Sometimes, what the product actually is does matter. And how you market that product should matter as well. It's a "specialty product", right?

"Chubby French Florida photographer/comedian arrested for impersonating a motor car"

That didn't come out right...

Wait... ALL Renaults are impersonating a motor car!

Luckily the DIY filmmaking community is a very nice parallel to the DIY sportscar community. They like to build their own stuff, and they like to buy stuff from people within the community. And they adore "clever," and my thing is nothing if not clever. It's a damn sexy mailbox.

jg

Marjorie Suddard wrote: For the love of God, get out now while you still can. Thar be dragons ahead. Margie

If I am not mistaken the quote is " Out thar be monsters" Dragons are pantywaists compared to the bloodsuckers you may see. "If you build it they will come and steal it may apply. CYA .Oh and one more thing. do your own PR, The camera loves ya baby, If you need an agent call me.

JG Pasterjak wrote: Luckily the DIY filmmaking community is a very nice parallel to the DIY sportscar community. They like to build their own stuff, and they like to buy stuff from people within the community. And they adore "clever," and my thing is nothing if not clever. It's a damn sexy mailbox. jg

JG, an old friend of mine from high school (remember my pic of the blonde with my GT-6?) and her husband are amateur film-makers. I've reconnected with her on Facebook. Would you mind if I sent the link to your rig to them? It's a little late for their latest project (a documentary of Memphis' punk rock scene, based upon the history of the Antenna Club), but I can't help but wonder if they'd like to have a cheap dolly for their future projects.

If you've received an order from one C. Scott McCoy of Memphis TN, ignore my request. That's them, and they must have already seen it.

Selling products that have clear DIY instructions? Works for Megasquirt/DIYAutotune as well as Linux/lots of people. Nicely done, JG.

I need a gig like that

... good work for retirees