Are You Selling Copiers & Office Tech to Law Firms? Not For Long

AI Is Changing the Legal Industry

“It has the capacity to reshape the practice of law,” Mr. Villasenor said. Previous waves of automation mostly affected blue-collar jobs in industries like manufacturing, or back-office roles that required many calculations, such as accounting or mortgage processing. 

Rapid developments in AI could pose threats to the type of work performed in white-collar professions, like the practice of law..." - WSJ

Greg's Words

See, I told you so.  One of the most paper-intense business models in the history of print is going to someday soon, be inhabited by Chat Agents.

Imagine ChatGPT attached to the Nexus/Lexus databases.  Every judgment, law, regulation, and legal action is at the disposal of savvy prompt-generating Legal Eagles.

• Roll-playing with AI before a trial.
• Digging up every relevant precedence, ever.
• Determining which jury members are the best to accept and reject.
• And mathematically predict outcomes.

This changes everything.

A quick summary of a WSJ article.  Enjoy.

Key highlights:

• Law firms and in-house legal departments are employing AI tools using GPT-4 technology to handle writing and research tasks, traditionally assigned to entry-level lawyers.
• The AI tools are set to revolutionize white-collar jobs, potentially affecting 44% of legal work, as per a Goldman Sachs report.
• Despite AI's promise, there are concerns about uploading sensitive data to cloud-based products and the opacity of AI software.

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Why Your Customer Should Re-Write Your Lease Agreement: It's About Them, Not You.

One More Dead Cow, in the Summer of No Sacred Cows - with another List of 22 at the end of the article.

Read on...
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For two decades, I have been helping prospects and clients understand, digest and work around lease agreements.

Cutting my teeth back in the 80's on technology leasing with IBM and Compaq.

I got the gist when working for CINTAS , reviewing uniform service contracts with my prospects.

At CINTAS, I was witness to the most one sided, legal extortion schemes. My competitors, usually, small time, local "linen" service company contracts were stunning.

Evergreen clauses that would never end. Price increases that where arbitrary and whimsical.

And closing statements that go like, "... just sign, don't question, or you will be sleeping with the fishes - ifyouknowwhatImean, andIthinkthatyoudo..."

The companies I sold for implemented decent agreements. So it was always one of my selling approaches to review competitors agreements and compare to mine - line by line, before signing.

That's how it all started.

Fast forward to present day, and it's like Deja Vu all over again. Just last week, I sat down with a prospect to review their existing lease.

We had a very nice discussion, we used lots of nice words talking around the subject when I straight out told him,

"...dude, you're screwed for the next 28 months. How the hell did you let this happen and what are you going to do to insure it doesn't happen again?"

The same old argument, same result.

"It's Standard For The Industry"

Dozens of times, the poor fellow across the desk from me says, "the copier rep said it was standard leasing procedure...standard for the industry...we all do it..."

Wow, that must have made you feel "special" - as in short-bus special. Did you say, "thank you sir, may I have another?"

Speaking of standard, I pull out lease agreement after lease agreement, guiding my prospect through the labyrinth of "guarantees", automatic renewals, termination and lease end responsibilities, shipping, property tax, processing fees, lease payment dates; on and on and on.

The subject changes to Capital Expenses vs. Operational, 60 Month vs. 36 Month, FMV vs Dollar out and combined lease/service agreements.

Pretty standard stuff.

And then we open up to the philosophical -

"...What, precisely is an equipment lease, anyway?" I ask.

Glazed eyes, a moment of awkward silence and then, "well, to me, it is a way for me to use equipment and not pay for the whole thing all at once..." he responds. Of course, I nearly fall out of my chair - I think he may just get this, there is hope.

Specifically, a lease agreement is a means by which a company (or person) gets to utilize leased items, paying an agreed, recurring amount over a predetermined, agreed period of time.

The benefits can be many, but the primary reason is to use equipment without a huge cash outlay.

The cost of this luxury - a "fee" similar to interest. This "fee" as I call it, is incorporated into each payment. For a lessee, that's lease jargon for "customer", to determine this amount, simply multiply the number of payments by the monthly amount and compare this figure to today's purchase price.

The difference is what you are paying for the ability to utilize equipment, over time.

There are a great many details involved with leasing and lease agreements - I won't go into all of them now - for some clients, just knowing the above can mind-shattering.

So once we agree that the basic function of a lease is for people to use equipment over time without purchasing the gear I ask,

"...should a lease be used as a customer retention device? Or should the quality of the relationship determine the future?"

- again, blank stare and crickets. Just when I think his head is going to explode like in Scanners,

"No Greg, it shouldn't. A lease is not a customer retention technique"

I think he's got it!

Anything more then payment amount and length of term(other than the "if you don't pay us, we will come get you, clause) is marketicture.

Our conversation dwindles to the mundane. I promise to keep in touch with him, he promises to negotiate "very vigorously" over his bloated service agreement and we part ways.

He on his 28 month journey of pain - which will be punctuated by him finding out there is a HUGE amount due at the end of the lease in the form of shipping charges - charges that can magically disappear when he re-ups for another 60 months.

Me, I get to go find someone else to help.
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For those about to get into a lease - take heed, there are many things you can do to maximize your position as a lessee.

Of course I have a list.

A list of 22 steps/insights you can review and ignore before jumping into your next 62 month sentence.

Here are three:

1. Prior to your very first meeting with a prospective copier vendor, request he bring a copy of his lease agreement and service agreement to LEAVE BEHIND for your review.

This will set the tone for the rest of your relationship.

If you get ANY resistance at all, if he doesn't bring the document or let you keep it or uses phrases like, "...it's our corporate/legal policy not to release this information until executing a lease..." or "...I can let you read it, but I need to take it back with me..." or the best ever "...it's standard in our industry..." tell him you don't want to do business with him.

2. Have him explain the benefits of leasing vs purchase.

This will be revealing even though you already know why you want to lease. Most copier newbies don't really know why, they have just read the GE Capital or IKON Financial "Why Leasing is Good" memo.

3. Then ask if he recommends a 48 or 60 month lease and why.

He should come back by saying he never recommends anything over 36 months.

Want the complete, DeathOfTheCopier list?

Hit me up with an email, use that Contact Me button thingie on the left - and I will send the list to you directly.

Want to Learn More?

Managed Print Services Appointment - Another Ticked Off Konica/Minolta Client:Leasing and "Integrity"

de lage landen: Copier Lease Gone Bad - in a city called "Homer"

Leasing Your MFP Fleet -

Bad Experiences with Leasing - Toshiba, IKON, Canon, Saxon

Is Your MpS Locked In An Eight-Track World?

9/2011

"Does this look like the past?"

Did you catch the Rolodex? The ashtray? One could sell Edgeilnes outta the back of CougarVan.  LOL!

Yes, this is an advertisement for MicroSoft and the private cloud. Again with the cloud. The MpS metaphor still holds - do you see it?

Is your MpS "locked in an 8-track world" - are you simply providing toner and service, an outdated plan, from the back of a van? LOL!

There's nothing wrong with sticking with the classics, unless all you have is the classics - then, not so much.

S1/S2 are classics.

I'm not suggesting you hire a complete EDM team or bring in CISCO or even become an iPad dealer(Doh!) - just expand a bit beyond the run of the mill DCA installation - get out of the powder blue vest, shave the fu-man-chu and for god's sake, put some product in your hair - yeah, that's right, leave the love-van and get into BeMod.

BeMod software lets you get away from the box, and into the process.  Into how end users behave, how they print - what the end user prints in addition to how many of what comes out of a printer.

Not sure about getting all involved with another piece of software?  Makes sense.

Try this: run a quick report on a medium sized fleet.  Look for percentage of 11x17.  It will between 0.05% and 2% of total output.

Now look at the fleet; calculate the percentage of the fleet A3 capable?  Whatever percentage it comes out to be, can you determine the amount of money this client spent on A3 capability that they never needed?

If 50% of the devices will handle 11x17 and the percentage of actual A3 is 2% - can you see or are you stuck in the past?

See More, see Deeper.  You don't need to go out and buy any fancy software tool, that would be good, but not necessary.

Two eyes, one brain, and a spreadsheet...

BYOD Policy

Click to email me.

Economic Woes - Can Managed Print Services Save the World? - Get Your Cape, We Got Work to Do.

DOTC, 2010

The recovery is losing steam, fast By Neil Irwin

Another day, another lousy piece of economic data. The 27.2 percent fall in existing home sales in July was far below analysts' official expectations (though in line with some of the whisper numbers that close watchers of housing data were expecting)...MORE 

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Maybe We Shouldn't Get Into Managed IT Services

Are we marketing the edge of forever or yesterday's Enterprise?

I'm beginning to think the road to #digitalTransformation, for #TheImagingChannel, doesn't require stepping into the managed (IT) services niche. 

Maybe we've been looking at and been told the wrong thing by well-meaning yet misguided know-it-alls. (me included).  

I.T. isn't all that sexy. 

I know, I know, compared to #copiers, firewalls and anti-virus are #seductive.  

Wouldn't it be easier to deliver, and install coffee machines connected to the IoT? Or design and implement an IoT Connectivity Policy? Or how about looking to the fringe of technology beyond the curve? 

“Fewer clients. Less money. More attention. Caring for them.”

Speaking to the next generation of copier dealers - those who have survived, inherited, or still fly under their original colors - If every copier, printer, and paper document disappeared tomorrow, what would you do? 

What would you sell?