Chapter 12 introduced you to ordering equipment and supplies for your business. In this chapter we discussed general considerations when ordering equipment and supplies. We explained the importance of knowing your equipment and supply representatives. We then explored the various types of office equipment you might look to purchase followed by an exploration of the various types of office supplies you might look to purchase. Finally, we explored the various types of specialty equipment and supplies you might look to purchase. The following exercises will help reinforce the concepts presented in the textbook.
Key Terms
White Glove Delivery
The interest rate for a whole year, rather than just a monthly fee/rate, as applied on a loan, mortgage loan, credit card, etc. It is a finance charge expressed as an annual rate.
Freight
The type of delivery of goods transported in bulk or of equipment of significant weight that required specialized transportation that cannot be managed by postal delivery or other small commerce delivery companies.
Parcel
The type of delivery of small packages provided by postal delivery or private courier companies, and are categorized as “less than truckload”.
Truckload
The amount or weight of goods or equipment carried by freight.It is categorized as less than a truckload, a partial truckload, or full
truckload.
RAM
Random Access Memory, a type of computer memory that can be accessed randomly; that is, any byte of memory can be accessed without touching the preceding bytes.
CPU: Central Processing Unit
The site in a computer where the calculations occur
Expected Outcomes
Understand the general consideration to have when ordering equipment and supplies
Understand the importance of knowing your equipment and supply representatives
Recognize the various types of office equipment you may look to purchase
Recognize the various types of office supplies you may look to purchase
Recognize the various types of business specialty equipment you may look to purchase
Recognize the various types of business specialty supplies you may look to purchase
Key Concepts
Equipment and supplies are purchased through third party vendors
The fewer the vendors the easier accounting expenditures will be, and the better you can get to know fewer reps rather than numerous.
Having equipment and supplies purchased from the same vendor help minimize the number of accounts and reps to get to know.
Recommend having one bank account for all equipment and supplies,along with one business credit card for all business supply purchases.
Deciding what equipment and supplies are needed based on the services you need will help you develop a list of the equipment and supplies you’ll need in your business.
After you have listed the services and items you’ll need for your business, compare that cost to your budget and determine what is needed, helpful, and wanted.
Getting to know your vendor rep is the best way to save money through discounts, rebates, and other deals.
Be aware of what your rep is ordering, and whether additional charges and taxes may apply.
Office equipment and supplies may have limited vendor options based on your business specialty.
One strategy to save money is to use a vendor to research products,obtain pricing, and then use that data to shop around for better deals.
Vendor discount programs can help save money.
A major part of building your business is deciding what things are worth spending money on, and which are best to save on.
Large diagnostic equipment as well as larger appliances will likely be delivered as freight.
Freight does not require delivery into the office.
White Glove Service delivers into the office, and protects the integrity of the delivery.
Chapter Slogans
Trust your gut!
Everyone’s nice until something goes wrong!
There are places to save money, and there are places to spend money. Know when to do each!
POUND THE PAVEMENT
Go to your personal bank and meet with either the business agent or loan officer or both. Get to know your bank’s business rep and use them as a resource both for financial information as well as specific criteria used at that particular bank.
