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                           DISK VENDOR'S GUIDE
                            Copyright 1992 by
                  Association of Shareware Professionals
                             545 Grover Road
                         Muskegon  MI  49442-9427
                                  U.S.A.
                              March 15, 1993
                          CompuServe 72050,1433
        A limited license is granted to reprint short extracts from
        this guide as long as credit is given and a copy is sent to
        the address above.  Individuals may copy this guide for each
        other as long as no fee is charged.  Others including disk
        vendors, BBSs and User Groups may distribute copies of the
        unmodified self-extract VGUIDE.EXE file as long as the file or
        its contents are NOT renamed, modified or made part of some
        larger work without the written permission of the ASP.  A BBS
        may rearchive the unmodified VGUIDE.DOC file that is contained
        within VGUIDE.EXE as long as the resulting archive name is
        VGUIDE.ZIP, VGUIDE.LZH, VGUIDE.ARC, VGUIDE.???
        NOTICE:   ALL INFORMATION, TIPS AND ADVICE IN THIS GUIDE ARE
        PRESENTED TO "GUIDE" YOU INTO AREAS FOR YOU TO RESEARCH AND
        STUDY IN MORE DETAIL ON YOUR OWN.  IN NO CASE WILL THE ASP OR
        OTHER CONTRIBUTING WRITERS BE LIABLE FOR DAMAGES RESULTING
        FROM YOUR ACTING UPON INFORMATION THAT IS CONTAINED HEREIN. IN
        PARTICULAR, AN ATTORNEY SHOULD BE CONSULTED ON ANY QUESTIONS
        OF LAW BEFORE FOLLOWING ADVICE CONTAINED HEREIN.
        The primary author of this document is George Abbott. 
        Contributing authors are Nelson Ford, Eric Isaacson, Tom
        Wagner and many others.
        To contact the ASP, write to Association of Shareware
        Professionals, 545 Grover Road, Muskegon MI 49442-9427,
        telephone 616-788-5131 or you can FAX to 616-788-2765 and ask
        for a Vendor Application kit.
           Shareware Vendor's Guide - Copyright 1992 by the ASP
                            Table Of Contents
   1.   Forward  . . . . . . . . . . . . . . . . . . . . . . . . .    3
        1.1  What Is Shareware?  . . . . . . . . . . . . . . . . .    4
   2.   Introduction . . . . . . . . . . . . . . . . . . . . . . .    5
   3.   Getting Started  . . . . . . . . . . . . . . . . . . . . .    6
        3.1  Identify Your Market Niche  . . . . . . . . . . . . .    6
             3.1.1     Local Shows & Flea Markets. . . . . . . . .    6
             3.1.2     Selling Shareware From Your Retail Store. .    6
             3.1.3     Shopping Malls. . . . . . . . . . . . . . .    6
             3.1.4     Mail Order Shareware. . . . . . . . . . . .    6
             3.1.5     Rack Vendor . . . . . . . . . . . . . . . .    7
        3.2  Collecting Shareware Disks - Overview.  . . . . . . .    7
        3.3  Reviewing The Disks . . . . . . . . . . . . . . . . .    8
        3.4  Logos & Letterhead  . . . . . . . . . . . . . . . . .    9
   4.   Preparing Your Catalog . . . . . . . . . . . . . . . . . .   11
        4.1  Honesty In Advertising  . . . . . . . . . . . . . . .   11
        4.2  Use A Good Word Processor . . . . . . . . . . . . . .   12
   5.   Hardware . . . . . . . . . . . . . . . . . . . . . . . . .   13
        5.1  Computers . . . . . . . . . . . . . . . . . . . . . .   13
        5.2  Do NOT Depend On 1.2m Drives  . . . . . . . . . . . .   13
        5.3  Disk Duplicators  . . . . . . . . . . . . . . . . . .   15
   6.   Software . . . . . . . . . . . . . . . . . . . . . . . . .   16
        6.1  Catalog-On-A-Disk . . . . . . . . . . . . . . . . . .   16
        6.2  Compression Software  . . . . . . . . . . . . . . . .   18
        6.3  Disk Duplication  . . . . . . . . . . . . . . . . . .   20
        6.4  Virus Scanning  . . . . . . . . . . . . . . . . . . .   22
        6.5  DOS Tutorial Shareware  . . . . . . . . . . . . . . .   23
   7.   Supplies . . . . . . . . . . . . . . . . . . . . . . . . .   26
        7.1  Diskettes . . . . . . . . . . . . . . . . . . . . . .   26
        7.2  Mailers . . . . . . . . . . . . . . . . . . . . . . .   27
        7.3  Label Stock . . . . . . . . . . . . . . . . . . . . .   27
   8.   Trademarks . . . . . . . . . . . . . . . . . . . . . . . .   29
   9.   Collecting Shareware . . . . . . . . . . . . . . . . . . .   30
   10.  Providing Technical Support  . . . . . . . . . . . . . . .   32
   11.  The Association of Shareware Professionals ("ASP") . . . .   34
                                    1
           Shareware Vendor's Guide - Copyright 1992 by the ASP
                            Table Of Contents
   12.  Services . . . . . . . . . . . . . . . . . . . . . . . . .   37
        12.1 Telephone . . . . . . . . . . . . . . . . . . . . . .   37
        12.2 Credit Card Merchant Accounts . . . . . . . . . . . .   38
        12.3 A Banker's Perspective  . . . . . . . . . . . . . . .   38
   Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   46
                                    2
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   1.   Forward
        The purpose of this guide is to provide tips on how to start
        and run a shareware disk vending service.  A shareware disk
        vending service (Vendor) is defined as someone or a company
        that gathers and maintains a collection of shareware
        evaluation disks (creates a library), keeps the library up to
        date, publishes a catalog (printed and/or on-disk) and sells
        evaluation copies to end users.  Some vendors specialize in
        mail/telephone order, others operate booths at fairs, flea
        markets, booths in malls, etc.
        A variant of a disk vendor is one that places racks of
        shareware in one or more retail locations.  This is usually
        referred to as a "Rack Vendor" as compared to a "Mail Order
        Vendor" as described above.  The Rack Vendor shares a portion
        of the sales price with the owner of the rack location.  Racks
        are often found in airport gift shops, convenience stores,
        retail chain stores like Walmart, K-Mart, book stores, etc. 
        Further, the Rack Vendor replenishes the supply of disks in
        the racks.  The racks vary from cardboard displays to fancy
        wire or metal racks.
        Another type of vendor are those that produce CD-ROMs that
        contain shareware software.
        This guide is going to folks who are considering starting a
        disk vendor business, so some of the points may seem obvious
        or elementary to experienced vendors.
        The information and opinions in this guide are drawn from
        talking to many vendors from the ASP headquarters and from the
        contributions of many ASP members.  Many of the ideas and
        concepts in this document are discussed from time to time on
        the ASPFORUM on CompuServe.  If you have access to CompuServe,
        GO SHARE to reach the ASP forum and "talk" to hundreds of ASP
        members.
        This document has been put together and freely distributed in
        the spirit of sharing. The ASP does not make money from it.
        All input, new information and corrections are gratefully
        accepted.
                                    3
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   1.   Forward (Continued)
        1.1  What Is Shareware?
             Nelson Ford (one of the ASP's founders and historians)
             relates the following: "Andrew Fluegelman started the
             formal shareware concept (he trademarked the name
             Freeware for it).  Andy did not say that everyone who
             spent an afternoon writing a program, uploaded it to a
             couple of BBSs and sat back and waited would get rich. 
             He said that the freeware approach provides a way to let
             the users decide (rather than the people who control the
             advertising prices) which programs should succeed, based
             solely on the quality and usefulness of the program."
             Later, an article in InfoWorld used the term "shareware"
             and as far as we know, Bob Wallace (PC-Write) was the
             first to use it with a shareware product.  Also during
             that time, Nelson Ford wrote a column called "The Public
             Library" for the late SOFTALK magazine.  Nelson asked his
             readers to submit names for this new way of marketing
             software and the word "shareware" was the winner.  Over
             the years, the ASP has fought trademark cases in several
             countries when someone tried to trademark the word
             "shareware".  The ASP firmly believes that the word
             "shareware" should be freely used by anyone.
             Nelson continues, "Shareware is not some magic way to get
             rich from trivial or substandard, amateurish products of
             limited appeal or usefulness.  Some shareware programmers
             who have failed prefer to blame the shareware approach
             rather than themselves.  They think that millions of
             people are using their programs without paying and that
             the shareware concept just doesn't work."
             "To these people we always reply: If shareware doesn't
             work, how are Button (PC-File), Wallace (PC-Write), and
             others making over a million dollars a year at it? 'These
             are exceptions!' they reply. Sure they are exceptions.
             Anyone making a million dollars a year at anything is an
             exception. Many others are making lesser, but
             respectable, incomes. Not bad for a business that anyone
             can get into at virtually no up-front cost."
             "Yes, shareware definitely works.  Like anything else,
             how well it works for you depends on hard work, ability,
             and even a little bit of luck.  And even luck often boils
             down to being prepared to take advantage of opportunities
             when they coming knocking.  We hope this guide will help
             you get prepared."
                                    4
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   2.   Introduction
        These days, it seems that many people that recently  purchased
        their first computer and ran across the shareware concept
        think they can easily get into the shareware disk vendor
        business.  They see the catalogs produced by other vendors and
        say "I could do that."  Or, they realize that there are no
        disk vendors in their part of the country.
        Starting a shareware disk vending business is a lot more work
        than first meets the eye.  There are hardware, software and
        knowledge requirements that must be considered and mastered. 
        First, you need a shareware disk collection AND permission
        from the authors (copyright holders) to distribute the
        shareware.  Next, you need appropriate hardware.  Most
        importantly, you need a lot of marketing, computer and
        software knowledge to succeed.  If you are just looking for a
        fast buck, are not willing to review the programs you carry,
        don't plan to get the latest versions, don't plan to prepare
        an organized catalog, GIVE UP NOW - you will probably fail in
        this highly competitive business.
        However, if you don't give up, realize that there are
        thousands of disk distributors in the world today.  New ones
        start up almost daily.  Unfortunately, vendors fail and go out
        of business fairly often.  Where you will fit into the
        shareware picture is largely up to you and your efforts.  We
        hope that after reading this document, you will either be a
        successful shareware disk vendor or you will have the detailed
        information to cause you to explore different profit
        opportunities.  If you are already a shareware disk vendor,
        this document may give you tips on how to be more successful.
        Keep in mind that a shareware disk vendor does NOT own or
        control the copyright on the shareware programs, documentation
        and supporting files provided by the author.  The author owns
        and controls the copyright.  The author can select who will be
        allowed to copy his/her shareware and how it is to be
        distributed.  The copyrights ARE enforceable.  RESPECT the
        author's copyright.  Examine every disk, not sent to you
        directly by the author, to see if the author has placed any
        copying restrictions on the disk.  You will likely need to 
        write to the authors asking permission to carry their
        shareware.  You may get both permission AND the latest
        version.  Some will even send major future upgrades.
        There are some authors that require that all RACK and CD-ROM
        vendors get written permission and SOMETIMES royalty payments
        BEFORE the vendor can place the author's copyrighted works on
        racks or CD-ROMs EVEN IF THEY SENT YOU THEIR DISK IN THE FIRST
        PLACE.  FOLLOW ALL COPYING RESTRICTIONS OR RISK LAWSUITS
                                    5
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   3.   Getting Started
        3.1  Identify Your Market Niche
             What got you interested in becoming a shareware disk
             vendor?  What are your objectives?  How much time can you
             devote to disk vending?  What are your financial
             resources?  Have you formulated a Business Plan?  What
             level is right for you to start?  How big do you want to
             get?  Are you prepared to succeed?  Are you prepared to
             fail?
             3.1.1     Local Shows & Flea Markets.
                       A really low cost way of starting is to take a
                       card table to a local computer show, swap meet
                       or flea market and set up a "booth".  You have
                       a box full of shareware disk copies, a list of
                       titles and a cash box.  Sounds easy?  Well, a
                       lot of work is behind that simple "booth".
             3.1.2     Selling Shareware From Your Retail Store.
                       You already operate a computer, book, or other
                       retail store likely to be frequented by
                       computer users (almost anyone these days).  You
                       operate like the flea market fellow except that
                       you have counter or shelf space in place of the
                       card table and you have a cash register rather
                       than a cash box.
             3.1.3     Shopping Malls.
                       This approach is similar to the Flea Market
                       approach except that you operate out of a small
                       booth in the walkway of a shopping mall.
             3.1.4     Mail Order Shareware.
                       You put together either a printed or on-disk
                       catalog for your customers to make telephone or
                       mail order purchases.  You advertise in trade
                       magazines, local newspapers, local "shopper's
                       guides" or you make blind mailings to targeted
                       purchased mailing lists.  You should be able to
                       take credit card orders to succeed in telephone
                       or mail order.
                                    6
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   3.   Getting Started (Continued)
        3.1  Identify Your Market Niche (Continued)
             3.1.5     Rack Vendor
                       A Rack Vendor is one that places racks of
                       shareware in one or more retail locations.  The
                       Rack Vendor shares a portion of the sales price
                       with the owner of the rack location.  Racks are
                       often found in airport gift shops, convenience
                       stores, retail chain stores like Walmart, K-
                       Mart, book stores, etc.  Further, the Rack
                       Vendor replenishes the supply of disks in the
                       racks.  The racks vary from cardboard displays
                       to fancy wire or metal racks.
             You can combine any or all of the above as dictated by
             your resources and situation.
        3.2  Collecting Shareware Disks - Overview.
             Investigate the marketplace.  See what others are doing. 
             Determine how you want to tackle the market.  Your disks
             must come directly from the author so that you get the
             latest and don't have copyright problems.  However, you
             can obtain disks from the various sources below so that
             you will know which authors to contact.  Make sure the
             list you put together IS of shareware or public domain
             and NOT ripped-off commercial or traditional retail type
             software.
             Section 9 will cover Collecting Shareware in more detail. 
             Following is a quick overview of some of the ways to
             start your shareware list.
             3.2.1     You have been involved with a large local User
                       Group and have obtained a copy of their
                       collection to build a list of authors.
             3.2.2     You are an avid BBSer that has downloaded a lot
                       of shareware to build a list of authors.
             3.2.3     You purchase disks from various other vendors
                       to build your list of authors to contact.
             3.2.4     You obtain a CD-ROM disk containing hundreds or
                       thousands of shareware and public domain
                       programs.  You use this to build your list of
                       authors to contact.
                                    7
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   3.   Getting Started (Continued)
        3.3  Reviewing The Disks
             Scan EVERY disk for virus infections.  Be sure you also
             scan shrinkwrapped "retail" software as tens of thousands
             of infected disks are shipped by major retailers every
             year.  They think viri are a shareware or BBS problem
             (NOT TRUE) and they are careless and sloppy in preparing
             their master disks.
             Know what is in your collection.  Don't just quickly read
             the on-disk documentation.  Many ASP authors have a
             VENDOR.DOC file that contains any copying or distribution
             restrictions, a list of the files that must be present
             and a catalog description.  Starting in 1994, you will
             see a VENDINFO.DIZ file that will eventually replace the
             VENDOR.DOC file.  However, you should install the
             shareware and run it.
             By running the software, you may find that you have
             obtained a damaged or incomplete disk.  If you distribute
             this disk, you will get expensive to handle technical
             support calls and you will have to give credit or send
             out another disk.  Or the customer will call the author. 
             Most authors send these customers a new disk AND
             recommend some other vendor to your PREVIOUS customer. 
             The same authors also recommend other vendors if you
             insist on carrying old versions.
             If the software isn't better or different than what you
             are already carrying in your catalog, you may not wish to
             carry the shareware.  Or, you may find the new system
             better and use it to replace an existing catalog entry. 
             For example, YADS stands for "Yet Another DOS Shell" or
             menu system.  Seems like everyone thinks they have
             designed the best there is.  They haven't even looked at
             what is already available in the shareware marketplace. 
             You just can't afford to carry all of the menu systems,
             screen blankers, clocks, tickler systems, etc. that are
             constantly being designed by the authors.
             LOOK FOR the author's distribution restrictions.  Some
             authors will NOT allow you to carry the shareware unless
             you get written permission from them.  As mentioned
             before, you should contact the author anyway as you will
             probably get the latest version if the author gives you
             permission.  SOME authors not only require written
             permission, but may also require royalties from rack and
             CD-ROM vendors even though they may have sent you their
             disks in the first place.
                                    8
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   3.   Getting Started (Continued)
        3.3  Reviewing The Disks (Continued)
             Look for files advertising other vendors.  The files
             placed on disks the other vendor distributes are probably
             copyrighted by that vendor and you can not issue disks
             with that file.  Further, you don't want to advertise
             that other vendor's service.
             Vendors can copyright "compilations" of many separate
             small shareware systems on one disk.  This is often done
             with small utilities.  The vendor can NOT copyright the
             individual programs and documentation (not written by the
             vendor), as the authors retain their own copyrights. 
             BUT, they can copyright the compilation.  Don't forget
             you still need permission from many of the authors to
             carry their system even in a compilation.
             You must build up your own compilations that don't
             infringe on the other vendor's copyrights.
             If you use disk numbers in your catalog, don't copy some
             other vendors numbering system.  You could end up in
             court.  Do your own thing.  Don't use the program
             descriptions out of some other vendor's catalog.  This is
             another way to look for copyright trouble.  However, the
             same description may appear in many vendor catalogs IF
             they all use the author's description found in the
             VENDOR.DOC or VENDINFO.DIZ files used by many authors. 
             You may use the author's description if it isn't pure
             hype.  Be sure that you describe the shareware on the
             disk and not some retail product the author is pushing in
             place of the shareware.
             If you are/become a member of the ASP, you will receive
             the latest Official ASP Catalog each month that contains
             the author written program descriptions.  You will also
             receive a CD-ROM approximately monthly.
        3.4  Logos & Letterhead
             If you really want to go into a business, get your ducks
             lined up first.  Pick a company name.  Coming up with a
             unique name could be a tough one, particularly if you use
             the word "shareware".  Also, avoid the word "freeware" as
             Headland Press still owns the Trademark on that word.  A
             lot of authors of shareware REALLY don't like to send
             their disks to an outfit with the words "public domain"
             in their name as that implies "free" (read that as no
             registration income).
                                    9
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   3.   Getting Started (Continued)
        3.4  Logos & Letterhead
             A logo always looks good on your letterhead.  If you are
             not artistic yourself, or do not have an artistic friend,
             go to your local college Art Department and see if you
             can find someone to design a logo.  At least get some
             help laying out your letterhead even if you don't use a
             logo.
             Create a Business Plan.  Prepare a budget for the next
             several years that compares your expected income with
             expected expenses.  What advertising schedules will you
             use?  Where are you heading or where could you head? 
             Look at the market.  What penetration do you expect?
             Go to your local IRS office (in the USA) and find out how
             to get a Federal Tax I.D. number.  It costs nothing. 
             Even if you have no employees, you will need it for your
             Tax Schedule C.  Many states that have Sales & Use taxes
             will use the same number for your State Tax license
             number.  Contact your State sales tax office.
             Get a business checking account.  It makes it easier to
             track your costs and income for tax purposes.  If you
             have a good history with your bank, you may be able to
             get a Master/Visa Merchant account from them.  Being able
             to handle credit card sales is a real asset.  Do you have
             a sharp looking business card to hand to the bank manager
             when you are applying for a credit card Merchant Account? 
             You should be dressed in a business like manor.  Have
             every phase of your image be business like.
             The image you present is very important.  It conveys a
             lot about your drive and commitment to succeed.  Send out
             professional looking letters to the authors and others. 
             Many authors will "round-file" (read that - trash)
             letters not on letterhead paper printed with a 9-pin dot
             matrix printer in the draft mode.  If you received such a
             letter, would you consider the sender to be "for real"
             and commit the expense to send disks?
                                    10
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   4.   Preparing Your Catalog
        If you are a Rack Vendor, your catalog may consist of a Table
        of Contents type of listing on your rack.  You may only have
        the descriptions on the disk packages.  If you are a Rack
        Vendor, you may be able to skip after you read Section 4.1.
        4.1  Honesty In Advertising
             Over the years, many of us in this shareware business
             have seen many of the sleazy shareware advertisements and
             catalogs touting FREE!, FREE!, FREE! Software.  You don't
             find too many any more as most of those vendors have
             failed or have decided that honesty is the BEST policy. 
             After all, the entire shareware industry is based on
             trust between the author, vendor, BBS and end user.
             You should prominently display a description of shareware
             and the registration process.  This is also true for Rack
             Vendors.  You must make an attempt to educate your
             customers on the nature of shareware.  You can write this
             information in your own words or use the ASP wording:
                  "Shareware is an exciting marketing method which
                  allows you to try top-quality software before you
                  pay the author. With Shareware, you cannot be
                  disappointed spending money on a program that's not
                  right for you. The small fee you pay to us covers
                  only the duplication and distribution costs, and
                  permits you to evaluate the program."
                  "If you continue to use the program, you must send
                  the author an additional payment which may entitle
                  you to technical support, printed manual, bonus
                  programs, and more. Your payment supports the
                  authors, enabling them to continue writing newer and
                  better Shareware programs."
             This is important in maintaining customer satisfaction. 
             Too often a customer purchases a disk from a vendor only
             to be offended when s/he learns that an additional
             payment is required.  Customers should be fully informed
             before their purchase.
             Some rack vendors have failed when they were not honest
             up front with the user.  The user thinks the price
             sticker is the ONLY cost of shareware.  They get angry
             when they see the author's registration requirements,
             demand their money back from the store owner and the
             store owner dumps the trouble causing rack.
                                    11
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   4.   Preparing Your Catalog (Continued)
        4.1  Honesty In Advertising (Continued)
             Users are not "encouraged to register", they are
             "required to register".  Please do not imply that a user
             registers only if s/he "likes" the product.  Liking the
             product is irrelevant if the user continues using it
             beyond the evaluation period.
             Registration is required for use beyond evaluation, and
             emphasis should be placed upon the individual author's
             registration requirements.  The user's trial or
             evaluation license is determined by the copyright holder. 
             This is a legal requirement, not an optional formality.
             Please do not make promises which the authors can not
             fulfill, such as stating that registration always brings
             printed manuals.  Usually this is true, but the actual
             registration benefits depend upon the individual author. 
             Each author has his/her own registration incentives.
             Actually, the above is a requirement, not just a
             suggestion, for ASP Vendor members.
             If you throw honesty to the wind, both you and the
             authors will get complaint calls and letters.  Authors
             getting these complaints will almost always recommend
             some other vendor that the author knows believes in
             honesty in advertising.  Another opportunity for failure
             in this business {grin}.
        4.2  Use A Good Word Processor
             There are many excellent shareware word processors that
             will produce excellent looking printed catalogs (be sure
             to register {smile} ).  Or you can use a good non-
             shareware word processor.  There are excellent shareware
             Desk Top Publishing systems if you wish to include screen
             captures in your catalog.
             If you are preparing an on-disk catalog, almost ALL word
             processors can "print" to a straight ASCII file that
             contains no control characters except a Form Feed (ASCII
             12) after line 59 on each page.  Do not pad blank lines
             to make a full 66 lines per page.  The HP laser printers
             (and compatibles) can handle only 59 or 60 lines before
             they eject the page.
                                    12
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   5.   Hardware
        5.1  Computers
             At a minimum, you will need a computer with BOTH 5.25"
             360k and 3.5" 720k disk drives.  These days, a 400m hard
             drive is very reasonable in cost.  You need a good
             computer to review the shareware and public domain
             software that you may place in your catalog.  Get the
             latest and greatest that you can afford.  At the time
             this document was last updated, fast super VGA computers
             with at least 200m hard drive could be purchased in the
             $1,500 (or less) range.
             You may also want to pick up an old machine with a
             Hercules type monochrome monitor to see if the color
             selections used by an author will give a readable screen
             on an old monitor.  A laptop with LCD display may be
             another good test bench for the same reason.  Some
             authors just don't take the time to shut off color so
             that the program can be used on the older monitors. 
             Naturally many games these days are written for VGA as
             many serious gamers have up to date monitors.
        5.2  Do NOT Depend On 1.2m Drives
             You MUST have a TRUE 5.25 inch 360k drive.  You may also
             want a 1.2m 5.25 inch drive, but you MUST have a true
             360k drive to make your 360k disks.
             Some vendors distribute NO 360k disks anymore as the
             demand is fading.  Hovever, most disk vendors still
             distribute either 360k 5 1/4" or 720k 3 1/2" disks.  A
             few distribute collections on 1.44m 3.5" disks.  Very FEW
             vendors sell 1.2m 5 1/2" disks.  Don't let a computer
             store or mail order outfit tell you that you can make
             360k copies on 1.2m high density drives.  Sure, sometimes
             you can.  Often a customer will NOT be able to read the
             disk.  You will get a LOT of calls from those to whom you
             have sent disks.  It will cause you loss of big bucks,
             lost sales and frustrated customers.  Sort of akin to the
             end of the world for a shareware vendor.
             Why?  The answer is fairly simple.  To get 1.2m on a
             5.25" disk, the disk drive "paints" a track that is 1/2
             as wide as the 360k drives so it can place 80 tracks on a
             disk rather than 40.  Sure, you can ask the DOS FORMAT
             program to tell your disk drive to lay down only 40
             tracks for a 360k format, but they are still THIN tracks.
                                    13
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   5.   Hardware (Continued)
        5.2  Do NOT Depend On 1.2m Drives (Continued)
             If the disk was previously formatted, and often suppliers
             sell pre-formatted disks at no additional price, the
             vestiges of the 80 tracks are STILL there, even though
             your disk drive just wrote a 40 track 360k format onto
             the disk.  A true 360k drive has a WIDER head and will
             easily pick up portions of bits from the adjacent
             unerased thin track that was laid down previously.  The
             360k drive reads garbled data and DOS gives up.
             Even if you make 360k disks with disks that have NEVER
             been formatted before, the tracks are too thin to be read
             by many 360k drives.  A slightly out of adjustment 360k
             drive can read true 360k disks just fine, but will choke
             on one of those darned disks made on a high density
             drive.
             This problem does NOT exist with 1.44m 3 1/2" drives. 
             The track width on both the 720k and 1.44m formats is the
             SAME.  Eighty tracks are used for both 720k and 1.44m. 
             The 1.44m format just has twice as many sectors to the
             track.
                                    14
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   5.   Hardware (Continued)
        5.3  Disk Duplicators
             You can use the DOS DISKCOPY command to make copies from
             your shareware masters.  If you are not familiar with DOS
             commands, most high schools have Continuing Education
             courses that will teach you how to use a computer.  See
             Section 6.5 for training shareware.
             Hopefully, your sales will reach a point where you can no
             longer keep up with using a computer and DISKCOPY.  Below
             are several companies that supply disk duplication
             equipment.
                  Midwestern Disk          o Has 4 and 5 at-a-time for
                  Duplication Center         360k, 720k, 1.2m and 1.44m
                  509 W. Taylor              disks.
                  Creston  IA  50801       o Carries the Ventuno line of
                  515-782-5190               3.5" & 5.25" bin autoloader
                  800-221-6332               type duplicators.
                  FAX: 515-782-4166        o Call for prices.
                  MediaFORM                o Xpress autoloaders and disk
                  75 Uwchlan Avenue          labelers for all types of
                  Exton  PA  19341           disk media.
                  215-524-7600             o Call for prices.
                  800-220-1215             o 12% discount for ASP members
                  FAX: 516-363-3735
                  Micro-Technology         o Axiomatic 4 at-a-time  for
                  Concepts                   360k, 720k, 1.2m and 1.44m
                  258 Johnson Avenue         disks.
                  Brooklyn  NY  11206      o Call for prices
                  718-456-9100
                  800-366-4860
                  FAX: 718-456-1200
             If you are in need of disk duplicators, be sure to call
             all of the above companies to get the latest price and
             feature combinations so that you get just what you need.
                                    15
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   6.   Software
        6.1  Catalog-On-A-Disk
             CATALOG-ON-A-DISK (from EmmaSoft Software Company, Inc.)
             makes it easy for your computer-using customers to buy
             from you.  They can browse or search for products and
             order as they go along using only the (Enter) and (Esc)
             keys, arrows and numbers.  The order form is sent to a
             printer or text file, with taxes and shipping calculated,
             to be mailed, faxed, called in, or sent by modem.
             The program is particularly appropriate for selling
             shareware because all your customers have computers, it's
             a unique and modern way to distribute the catalog, and
             the program itself is shareware.  It's a fast way to get
             a catalog put together, and is less expensive to produce
             than a print catalog.  CATALOG-ON-A-DISK also offers
             unique ways to distribute your catalog.  Businesses
             distribute catalogs on floppy disks, on the hard disks of
             computers they sell, and even have customers download
             catalogs from their BBSs.
             CATALOG-ON-A-DISK makes buying easy because it is based
             on the (Enter) key to make choices, and the (Esc) key to
             back out.  There are very few keys for the user to find,
             so ordering goes very quickly with no obstacles between
             your customer and your products.  You make your catalog
             files with your favorite text editor, then compress the
             files using the Companion program.  Compressed files fit
             an enormous number of products on a floppy disk.  They
             are read directly into memory - no intermediate file is
             created so it displays fast and pricing and other catalog
             data is secure.
             You make the catalog screens to best represent your
             company.  Opening Screens display your splash screen,
             tell about the catalog, your products, and your company. 
             The Main Menu displays categories of products.  The
             "Exit" menu is where customers print the order form,
             review an order, or view Special Forms (discount coupons,
             informational text or ordering details).  You can set up
             your own help screens and a help bar.  If your catalog is
             not in English you can translate the program's internal
             text.  Address and date formats can be set for US or
             international use.
                                    16
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   6.   Software (Continued)
        6.1  Catalog-On-A-Disk (Continued)
             You can also set your catalog to automatically calculate
             sales tax for one, all, or no states or provinces.  You
             can also build shipping options into the catalog, letting
             the customer choose an option so the shipping will be
             calculated into the total on the order form.
             Trial shareware versions are available from:
             Electronic Service   Area      Library    File Name
             CompuServe          GO WORK      14      CATALG.EXE
             Genie               HOSB         12      CATALGxx.ZIP*
             ESC BBS             Files        1       CATALGxx.ZIP*
  • Replace the "xx" with the most current version number.
             Example:  CATALG21.ZIP.
             Plus many vendors and BBSs around the world.
                                    17
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   6.   Software (Continued)
        6.2  Compression Software
             It is a challenge for many authors to fit their entire
             system on one disk.  They often use compression software
             that can squeeze the files to 50% or less than their
             original size.  Compression software is always used on
             Bulletin Board Systems (BBS) to reduce download times and
             save room on the BBS hard disk drive.
             Phil Katz's PKZIP system is the most widely used
             compression system.  For BBSs, the author compresses all
             of the program and documentation files into one ZIP file. 
             For example the SmuggyWrap shareware (fictitious) Version
             2.1 may all be ZIPed into a file named SMUGGY21.ZIP. 
             Some authors send their disks to both BBSs and disk
             vendors as a single ZIP file.  In this case, your job
             will be to run PKUNZIP to expand the compressed ZIP file
             out into the various program and documentation files so
             that you can evaluate the system.
             It may be the author's intention that you place all of
             the files in the ZIP (after uncompression) onto a single
             disk for your shareware distribution master.  Hopefully,
             the author will communicate this to you with a letter or
             on-disk instructions.  Authors often have a VENDOR.DOC or
             VENDINFO.DIZ file for this type of instruction.  Other
             authors expect you to be a mind reader and this type
             author often gets few registrations due to poor
             packaging.
             If you plan to send out shareware disks to your
             customers, they will need to already have the PKZIP
             system or you will have to include PKUNZIP.EXE on each
             distribution disk that contains ZIP files.  Further, your
             customer will have to figure out how to unZIP the
             compressed file.  This is a REAL problem for end users. 
             Those users that already understand how to unZIP a file
             probably obtain their shareware from BBSs and won't be
             your customer anyway.  If you include PKUNZIP.EXE on your
             distribution disks, you will need a license from PKWARE
             (414-354-8699).
             To solve this end user problem, there is another type of
             compressed file used by many authors called a "Self-
             Extract Program".  It is an executable program (.EXE)
             where the PKZIP software is at the front of the file and
             the remainder of the .EXE file that is the compressed
             data (normally in a ZIP file).
                                    18
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   6.   Software (Continued)
        6.2  Compression Software (Continued)
             When you run this type of program, it uncompresses all of
             the author's program and documentation files to recreate
             the original files.  It is the author's responsibility to
             get a license from PKWARE to send you this self-extract
             program file.  You do not need to pay any further
             royalties to PKWARE as the author has already done so.
             Many authors include an INSTALL program or BATch file to
             properly install the shareware on the users hard drive. 
             Therefore, you never want to uncompress the self-extract
             if the INSTALL program is looking for the self-extract
             files.
             Every disk or rack vendor should get a registered copy of
             PKZIP.  Call PKWARE at 414-354-8699 to get your
             registered copy and ask them about royalty arrangements
             if you wish to send out disks with just the PKUNZIP
             program.
             Another popular compression system is LHA.  It competes
             very favorably with PKZIP as far as compression rates and
             (as of this writing) has no royalty requirements.  There
             are copyright notice requirements that must be followed. 
             This software is available from most disk vendors and
             BBSs.
                                    19
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   6.   Software (Continued)
        6.3  Disk Duplication
             Your computer came with DOS.  One of the DOS files is
             DISKCOPY.EXE.  You can easily copy disks with DISKCOPY 
             A:  A: (Enter) to make one-at-a-time copies.  You have to
             run it for each copy and each time, it needs to load your
             master disk.
             The following duplication software is available from
             several ASP authors.  The descriptions are from the ASP
             Official Catalog.
             Product: Disk DUP
             Author: FormGen Corp., 416-857-4141
             Version: 5.9a (11-08-90)
             Needs: IBM PC, DOS 3.2 or better.
             Registration fee: $25.00
             Registration benefits:  Printed manual, master disks,
                                     unlimited technical support,
                                     product discounts.
             Look for: DUP59A.EXE on BBSs; DUP59.EXE on CompuServe
                       in CIS:IBMHW forum LIBrary 1 (or contact
                       userID 70446,76 for assistance).
             Download size: 75k (about six minutes with a 2400 baud
                            modem)
             Description:
                  Speeds the duplication of disks. Master images are
                  stored on hard drive, but data compression saves
                  valuable space. Copies can be produced at lightning
                  speed. Multi-disk option for up to ten drives at
                  once! Disks can be serialized at your option.  Many
                  options, excellent user interface, full status
                  screen.  Very powerful, yet easy to use!  If you
                  need to make multiple copies of disks, DUP will make
                  it quick and easy.
             Product: DISKCOPY
             Author: Feico Nater Shareware, 31 74 438373
             Version: 1.0 (01-01-92)
             Needs: IBM PC, DOS 2.0 or better.  Hard disk.
             Registration fee: $15.00
             Registration benefits:  Phone/mail support, free
                                     updates.
             Look for: DISKCOPY.* on BBSs; DISKCO.* on CompuServe in
                       CIS:. forum LIBrary 0; DISKCOPY.* on GEnie in
                       0 forum LIBrary 0.
             Download size: 13k (about one minute with a 2400 baud
                            modem)
                                    20
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   6.   Software (Continued)
        6.3  Disk Duplication (Continued)
             Description:
                  Copies an entire floppy disk onto a file on the
                  fixed disk and back again.  Provides: Easy copying
                  of a floppy disk from A to A or from B to B, without
                  the need to swap disks several times.  Make many
                  copies of a single disk without the need to use a
                  source disk. Includes automatic formatting.
             Product: FormGen Utility Pak #1
             Author: FormGen Corp., 416-857-4141
             Version: 1.01 (10-30-90)
             Needs: IBM PC, DOS 3.2 or better.
             Registration fee: $25.00
             Registration benefits: Printed manual, master disks,
                                    unlimited technical support,
                                    product discounts.
             Look for: UPAK1.EXE on BBSs; UPAK.EXE on CompuServe in
                       CIS:IBMSYS forum LIBrary 3 (or contact userID
                       70446,76 for assistance).
             Download size: 146k (about 11 minutes with a 2400 baud
                            modem)
             Description: 12 excellent utilities!
                 QCOPY  fast single drive copy, makes multiple
                        copies, no swapping
                 SERA   secure file erase ** MEETS DOD STANDARDS **
                 DUMP   high performance hex dump
                 ENCRYPT/DECRYPT
                        fast and very secure file encryption
                 FEED/EJECT  TSR page eject
                 GDAY   your morning smile
                 SEARCH/GLOBAL
                        multifile search/replacement
                 LOCASE    converts files to lower case
                 ZIPPROC   automated file processing
                 TIMESYNC  sets your system clock to time standard
             You can obtain the above systems from almost any ASP disk
             vendor or you can call the author's company directly.  BE
             SURE you register all shareware that you use after the
             evaluation stage {smile}.
                                    21
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   6.   Software (Continued)
        6.4  Virus Scanning
             YOU MUST CHECK EVERY DISK that you receive.  Don't trust
             anything, especially the so-called "retail" shrinkwrapped
             software.  Shareware authors, BBSs and vendors are
             routinely careful if they expect to stay in business. 
             Before you even do a DIRectory of any disk, run your
             virus scanner software against the disk.  Contact the
             person that sent you the infected disk as they may not be
             aware of the infection.
             You may never find a virus.  They actually aren't as
             common as the press would have you believe.  Second to
             retail software are the computer repair shops at
             spreading virus attacks.  Some rarely, if ever, check a
             disk brought in by a customer that wishes to try out a
             new computer on the floor.  Some don't check computers
             that they bring in for repair.  The customer's hard disk
             could be infected and the repair person can easily infect
             the test disk used to diagnose the computer.  Every
             computer checked by that test disk thereafter will be
             infected.  Some retail computer stores re-shrinkwrap
             returned software and place it back on the shelf without
             checking it.  Scary, isn't it?
                             SCAN EVERY DISK!
             Integrity Master is an excellent easy to use, up-to-date,
             anti-virus, data integrity, change management, and
             security program.  It provides a single comprehensive
             solution to assure that all your programs and data are
             safe.  In addition to scanning for known viruses, it
             detects unknown viruses and unlike other products will
             detect files which have been damaged but not infected by
             a virus.  Integrity Master protects you against all
             threats to your data and programs not just viruses!  To
             order with Master or Visa card, call 800-788-0787 or 314-
             256-3130.  You can subscribe to several upgrade packages.
             Virx - A so called "free" demo of the of Datawatch's
             retail "Virex For The PC".  The latest Virx version can
             be obtained from the VIRUSFORUM on CompuServe, many BBSs
             and disk vendors as VIRX.ZIP.  It is only the scanner and
             will detect over a thousand viri.  If a virus is
             detected, you are warned so you can send back or destroy
             the disk being scanned.  However, if you want to remove
             the virus, you buy a copy of Datawatch's "Virex For The
             PC" which can be purchased through computer software
             stores and mail order houses or by calling Datawatch at
             919-490-1277.
                                    22
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   6.   Software (Continued)
        6.5  DOS Tutorial Shareware
             Many startup shareware disk vendors have little knowledge
             of the computers they are using.  Further, the people
             that answer the phones have little knowledge of what they
             are sending out.  They don't even have the knowledge to
             tell the user to do a DIRectory of the disk they sent to
             the user to look for .TXT and .DOC files that can be
             printed by the user.  They even don't know how to tell
             the user how to COPY the README type files to the
             printer.
             There are several excellent shareware programs for
             learning the DOS commands.
                                DOS Sumary
             Product: DOS Summary (Hypertext)
             Author: Computer Knowledge
             Version: 2.0 (02-15-92)
             Needs: IBM PC, DOS 2.0 or better.
             Registration fee: $25.00
             Registration benefits:  Printed manual with command
                examples not found in the software, master disks,
                bonus utilities.  Shareware disks of other products.
             Look for: DOSSUM20.ZIP on BBSs; DSUM02.ZIP on
                       CompuServe in CIS:IBMSYS forum LIBrary 1 (or
                       contact userID 75655,210 for assistance).
             Download size: 150k (about 11 minutes with a 2400 baud
                                  modem)
             Description:
               DOS Summary is a hypertext tutorial and reference
               product which covers all DOS commands and drivers
               through MS-DOS 5.0. Also added are tutorials covering
               memory management and how DOS starts. The program can
               be used in standalone or resident mode.  When
               started, you have the option of an alphabetical
               command menu or a menu where commands are grouped by
               function. You may also start the program with a DOS
               command name as a parameter and be taken immediately
               to that command.
                                    23
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   6.   Software (Continued)
        6.5  DOS Tutorial Shareware (Continued)
                                  DosEA
             For a tutorial on using DOS, try "DosEA", which is a
             six-program hypertext series.  Here are short descriptins
             of the six programs in the series.
  • DosEA Product Descriptions Order Information **
             Langin Software offers a series of tutorials and a book
             to help users learn DOS.  The tutorials are called
             "DosEA" and are a play on words for a dossier on DOS.
             "DosEA 1 -- For Absolute Beginners" is a tutorial which
             demonstrates the hypertext system used in the series.
             "DosEA 2 -- What is DOS?" is a tutorial which explains
             the development of DOS.
             "DosEA 3 -- 10 Easy Commands" is a tutorial with hands-on
             practice of 10 easy DOS commands.
             "DosEA 4 -- Find That Command!" is a utility which helps
             determine the appropriate DOS commands for various
             chores.
             "Beginner's Pak" is a package of the first four programs
             in the series (DosEA 1 through DosEA 4).
             "DosEA 5 -- All About MS-DOS 5" is a reference of the
             many additions, deletions, and changes in MS-DOS 5.
             "DosEA 6 -- Switched on DOS" covers the 238 DOS switches.
             "An Easy Course in Using DOS" is a humorous illustrated
             book for those who hate computer manuals.
                                    24
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   6.   Software (Continued)
        6.5  DOS Tutorial Shareware (Continued)
                                                       US$ Price Total
                                                      --------- ------
             DosEA 1 -- For Absolute Beginners           10.00  ______
             DosEA 2 -- What is DOS?                     10.00  ______
             DosEA 3 -- 10 Easy Commands                 10.00  ______
             DosEA 4 -- Find That Command!               10.00  ______
             Beginner's Pak (DosEA 1-4)                  25.00  ______
             DosEA 5 -- All About MS-DOS 5               10.00  ______
             DosEA 6 -- Switched on DOS                  10.00  ______
             An Easy Course in Using DOS                 18.00  ______
             Shipping and handling (US)                   4.00  ______
             Shipping and handling (non-US)               5.00  ______
                                                         TOTAL  ______
             Prices subject to change without notice.
             Credit card orders:  -- Mastercard -- Visa
                                  -- American Express -- Discover
             Phone:       713-524-6394          * These numbers *
             Toll free:   800-2424-PsL          *    are for    *
             FAX:         713-524-6398          *   ordering    *
             CompuServe:  71355,470             *     only      *
                                                      ----
             Mail:
               PsL
               P.O. Box 35705
               Houston, TX  77235-5705
             The above numbers and address are for the Public
             (software) Library and are for ordering, ONLY.  For
             information about dealer pricing, volume discounts, site
             licensing, shipping of product, returns, latest version
             number or other technical information, see "Langin
             Software" below.
             Cash orders:  Send check or money order to Langin
             Software at address shown below.  Non-US payments should
             be drawn on US bank. Traveller's checks accepted. 
             Canadian postal money orders accepted.  Include your Name
             and Address and disk size.
             Mail to:
                  Langin Software
                  532 W. 3rd St.
                  CENTRALIA, IL  62801 USA
                  CompuServe: 73770,615
                  Fax: (618) 532-0075
                  Voice: (618) 532-4899
                                    25
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   7.   Supplies
        The following information was obtained from messages on the
        CompuServe ASPFORUM over the years, and information sent to
        this author by various companies.  This list is by no means
        complete and you will need to do your own research to decide
        just where you will obtain your supplies.
        7.1  Diskettes
             There are countless suppliers of disks.  Many (if not
             most) obtain their disks from Taiwan manufacturers.  The
             quality of disks can vary widely from one supplier to
             another.  This document will list no disk suppliers as
             they seem to come and go due to the highly competitive
             nature of this market.
             Check computer magazine ads and try 500 or so from
             several suppliers.  Keep track of the failure rate. 
             Switch vendors if the failure rate is more than several
             percent.  Pick a supplier that has a good replacement
             policy for bad disks.  Make sure they pay the postage if
             they require that you return the bad disks.  This writer
             once had 48 disks fail out of one package of 50 disks. 
             That supplier got blunt phone calls.
             If you pay extra for pre-formatted disks, be sure that
             your duplication software does a CRC check (DISKCOPY /v)
             as even pre-formatted disks can have a bad failure rate. 
             You can't afford the returns when you send out faulty
             disks.
             Keep up with what is going on in the computer industry. 
             Subscribe to several computer magazines.  A lot of folks
             got caught not being able to obtain 3.5" disks in the
             Spring of 1992 when Microsoft had their Windows 3.1 and
             DOS 5 and IBM had their OS/2 major upgrades AT THE SAME
             TIME.  Microsoft and IBM gobbled up every 3.5" disk in
             sight.  The ASPFORUM was full of panic messages from both
             authors and vendors that got caught.  This writer was
             down to only 7 disks while in the middle of a major
             upgrade on a shareware product.  Normally, you can get
             almost any quantity in several weeks.  So, be aware! 
             Don't let your stock of disks get too low.
                                    26
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   7.   Supplies (Continued)
        7.2  Mailers
             Consider the following as a starter for obtaining disk
             mailers and other supplies.
                  Calumet Carton           Sterling Disk Duplication
                     Company               11495 N. Pennsylvania Ave,
                  P.O. Box 405                      Ste 204
                  16920 State Street       Carmel  IN  46032
                  S. Holland IL 60473      317-575-3390
                  708-333-6521             FAX: 317-575-3389
                  FAX: 708-333-8540
                  Pack & Wrap              Mailers
                  466 Derby Avenue         40650 Forest View Road
                  W. Haven  CT  06516      Zion  IL  60099
                  800-541-9782             800-872-6670
                  203-389-1983             FAX: 708-872-4842
                  FAX: 203-389-9416
                  The Sirgo Company        Mail Safe
                  P.O. Box 58              4340 W. 47th Street
                  Schereville IN 46375     Chicago  IL  60632
                  219-865-6092             708-872-6677
                  FAX: 219-322-5194        800-527-0754
                                           FAX: 708-872-4842
                  Quill Office             International Media & Supplies
                    Products               3501 Coffee Road, Suite 9
                  P.O. Box 94080           Modesto  CA 95355
                  Palatine  IL             800-835-5515
                       60094-4080          FAX: 209-571-5757
                  708-634-4800
                  FAX: 708-634-5708
        7.3  Label Stock
             With font programs, you can make small quantities of
             laser labels at a low cost that look like they were
             custom printed.  Nelson Ford feels that Avery Label Pro
             is the best laser label program.  Paul Mayer recommends
             CompUSA for laser labels.  If there is not one near you,
             you can call them at 817-261-7702 or 800-342-7638.  They
             accept mail orders through this number by credit card. 
             Prices on 6/1/90 were:
                  8-1/2 x 11 sheets (100)     $17.99   Stock #853262
                  5-1/4" disk labels  (840)   $26.49   Stock #853901
                  3-1/2" disk labels  (630)   $26.49   Stock #853892
                                    27
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   7.   Supplies (Continued)
        7.3  Label Stock (Continued)
             Avery will send you a sample pack of laser labels for the
             purpose of getting your software to work with them. 
             Write to them at 777 East Foothill Blvd., Azusa, CA
             91702-1358 or call 800-541-5507.
             The Computer Label Company, 800-332-4223 (619-322-3030)
             and MEI, 800-634-3478 (614-481-4417) have good prices on
             standard 3.5" by 1" labels.  You can also call United Ad
             Label at 800-423-4643 (714-990-2700) and ask for a free
             catalog and sample label kit.  They specialize in
             audio/video labels but they do have both pin-feed and
             laser sheet labels for 3.5" and 5.25" floppy disks.
             Another good source for labels is Lyben Computer Supplies
             313-268-8100.  They have the Avery labels.  They are also
             one of the few suppliers that carry the continuous
             fanfold label stock that can be used for 3.5" disks.  The
             labels are 2 3/4 by 1 15/16 inch and are Stock # 0300.
             Almost all types of label stock can be obtained from
             Quill (see above for address).
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           Shareware Vendor's Guide - Copyright 1992 by the ASP
   8.   Trademarks
        Generally, if you start using your company name without a (TM)
        notice by the name, you lose the trademark protection. So
        spend the extra four keystrokes and put it on.  The trademark
        office requires that you send them copies of artwork currently
        being used with the TM indicated next to your word or phrase. 
        The patent & trademark office will then issue you a paper
        telling you that your word or phrase is now a Registered
        Trademark and then you have the right to use the circled R in
        place of TM.
        CompuServe has a service called IQuest (GO IQUEST) that will
        allow you to scan the Trademark Data Base for about $35 to
        $150 depending on how many ways you search.  The search cost
        depends entirely on the exact mark and goods involved, how
        many "hits" come up in the search, etc.  This may a quick way
        to check on whether or not someone else has already registered
        your words.  However, the experienced lawyer may well find
        more information than the novice searcher and save you a lot
        of problems later.
        The Association of Shareware Professionals currently uses
        Lance Rose for copyright and trademark advice.  Lance has
        handled the ASP's lobbying efforts in Washington D.C. and was
        instrumental in having a bill modified that otherwise would
        have virtually eliminated any copyright protection for
        shareware.
                       Lance Rose
                       87 Midland Avenue
                       Montclair  NJ  07042
                       201-509-1700
        Lance told us that "properly speaking it's not the words
        themselves that are registered, but the mark at issue for
        specific goods or services.  The whole question of
        registration, of course, does not exhaust the issues raised by
        the question of can I use the mark?  An unregistered trademark
        won't come up on an IQuest-style search, but the owner of the
        mark can sue someone who starts using it later.  In this case,
        neither the registration search, nor registration itself, will
        keep the second user from getting beaten by the first user. 
        They will want a copy of your package and need to know the
        first sale of the product with the "trademark" used."
        It can pay to shop around for a lawyer. ASP members have
        reported paying $200, $700, and over $1000.  However, the $200
        is impossible these days as the filing fee is now $200.
        For information about Trademarks call the Dept. of Commerce at
        703-557-3158 for a copy of Basic Facts About Trademarks.
                                    29
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   9.   Collecting Shareware
        You need to build a list of the types of shareware you wish
        for your catalog and you need to collect a list of author
        addresses.  Where do you get your shareware disks?
             o    From another disk vendor
             o    From BBSs
             o    From large local User Group
             o    From a CD-ROM
             o    FROM THE AUTHOR DIRECTLY
        Guess which this writer considers the best source?  You are
        right, the authors.  You get the latest and greatest version
        and will probably be placed on the author's mailing list for
        updates and new products.  Further, you won't infringe on the
        "library" or "compilation" copyright of some other vendor.
        If you have no collection at all, you may want to begin
        creating your subject and author list by purchasing many disks
        from several other disk vendors.  ONLY use these disks to get
        the addresses to contact the authors.
        You must look in the authors documentation to learn of any
        copying restrictions stated by the author.  Under the
        copyright laws, you may be prevented from distributing
        additional copies without getting permission from the author. 
        Some authors place no restrictions on copying and others have
        very strict restrictions.  YOU must determine this from
        examining the authors files.  SOME authors require special
        written permission and SOME require royalty arrangements from
        rack and CD-ROM vendors even if they sent you the evaluation
        disk in the first place.
        If you are into BBSs, this may be a good source.  Be SURE you
        use BBSs that are properly networked with the authors and
        other BBSs so that you will be downloading current versions of
        the shareware.  Local isolated BBSs may have very old versions
        and the author addresses will be out of date.  Again, examine
        the disks for any author imposed copying restrictions.  Also
        look for vendor and BBS files that are not part of the authors
        system that you will want to remove.
        User Groups may also have out-of-date versions and care will
        need to be taken.  Again, use this as a source to build your
        author address list so you can contact the authors.
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           Shareware Vendor's Guide - Copyright 1992 by the ASP
   9.   Collecting Shareware (Continued)
        CD-ROMs are very expensive to create and some are updated
        infrequently.  Further, you may not know if the CD-ROM
        producer made any effort to contact the authors to get either
        permission to distribute or the latest version.  Before you
        even consider using a CD-ROM for your source of author
        addresses, examine the date stamps on the shareware executable
        program files (.EXE).  If they are older than one year, you
        know this will not be an up-to-date source of addresses.
        Recently the ASP started supplying their Vendor members with a
        CD-ROM carrying much of the shareware produced by the ASP
        authors.  At this writing, it is updated and issued monthly
        and there is no extra charge for this service.
        After you have created a draft of your catalog, and made your
        author address list, contact the authors to obtain the
        shareware.
        If you are a RACK or CD-ROM vendor, let the author know that
        when you write to them.  If you ALSO are a catalog (printed or
        on-disk) vendor, let them know that too.  SOME authors will
        require special permission and SOME may require royalties for
        you to place their copyrighted shareware on racks or CD-ROMs. 
        They may or may not require this special contract or royalties
        for your catalog operation.  These special requirements are
        the AUTHOR's requirements, not requirements of the ASP or any
        other trade organization that this author knows of.  The ASP
        takes NO position on any of these special author requirements
        or any royalty requirements and offers NO opinion except to
        warn the vendors that the author's copyrights are legally
        enforceable.
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           Shareware Vendor's Guide - Copyright 1992 by the ASP
        10.  Providing Technical Support
        Hopefully you will have customers that have purchased disks
        from your library collection.  Note that they are buying your
        library and disk copying services - NOT the right for
        unlimited use of the shareware.
        Many of your customers will be first time shareware users. 
        They will not know how to do a DIRectory of the disk to look
        for README type files and how to copy them to their printer. 
        YOU MUST provide some type of instruction to allow YOUR
        customer to figure out how to find the author's installation
        instructions.  If the author placed no installation
        instructions on the disk either place your own instruction
        file on the disk, or don't carry that disk in your library. 
        Develop a sheet you can send with each order that will give
        the novice user getting started instructions.
        Don't get excited, you are not expected to provide support on
        the author's programs, just on the package YOU sold.  They
        have to be able to install the author's stuff so they can
        contact the author for support on the author's programs and
        documentation.  You are responsible for only the front end of
        the installation so the user can get to the author's
        instructions.  Some authors provide little or no instructions
        on getting their shareware installed and only a dedicated
        computer nerd could do it.  Just don't sell these disks. 
        Don't let the author's problems become your problems.
        If you wish to add a general purpose Help program to the
        shareware disks in your library, take a look at the following:
             Product: Simply Help!
             Author: SimpleWare, 709-489-3757
             Version: 1.0 (01-07-91)
             Needs: IBM PC, DOS 2.1 or better.  384k RAM, hard disk
               recommended.
             Registration fee: $35.00
             Registration benefits:  Latest version with shareware
                                     notices removed.  Support by
                                     mail.
             Look for: SIMHLP10.ZIP on BBSs (call 709-489-6018 to
                       download it at no charge).
             Download size: 285k (about 21 minutes with a 2400 baud
                            modem)
             Description:
               Create stand alone help systems or add help to any
               program. Editor has pull down menus, dialog boxes,
               mouse support, on-line help, block operations, line
               drawing, import/export, reports, and many more.  Edit
               your file and instantly RUN it to see the results.
                                    32
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   10.  Providing Technical Support (Continued)
               Simply Help! (Continued)
               Compiler creates EXE files or TSR files with your
               choice of hot key.  A library for QuickBASIC 4.xx is
               included. Applications include TSR help for existing
               programs, catalogs, readme files, manuals, on-line help
               for QuickBASIC programs.
             You MUST register Simply Help! if you are going to place
             ANY files created by Simply Help! on any disk copies you
             sell.
        You can have an instruction on all disk labels to show how to
        run your help program created with software like "Simply
        Help!"  Or, you can print the instruction on the disk sleeves
        or an instruction sheet sent with each order.  You can't
        expect your customers to be computer experts.
        If you are going to survive in this business, you must list a
        daytime support number.  You may only need to tell the first
        time user to read your instructions on starting shareware.  If
        you get too many calls, your instructions are inadequate and
        you must improve them.  If you do not provide a "real live"
        support person, your customers will go elsewhere and you risk
        going out of business.
        Too many shareware vendors think that this business is an easy
        fast buck venture.  They think they can make big money
        operating evenings out of their home.  Like the authors, you
        can start that way if you are willing to have the money come
        in slowly at first.  Eventually, you will need at least one or
        two people working full time reviewing new disks and handling
        technical support.  You will need another person to handle the
        orders.
        This is a tough section for many folks wanting to get into
        this business.  However, it is good advice gathered from many
        sources and is intended to help you decide if you want to
        invest further in shareware vending.
                                    33
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   11.  The Association of Shareware Professionals ("ASP")
        The Association of Shareware Professionals ( ASP is a
        Registered Trademark ) started with an organizational meeting
        hosted by Nelson Ford (PSL) on February 27, 1987 in Houston
        Texas.  Successful authors such as Jim Button (PC-File), Bob
        Wallace (PC-Write) and Marshall Magee (Automenu), along with
        major disk vendors like Public (software) Library (PSL),
        Public Brand Software, PC-SIG, BBS operators, CompuServe
        sysops and many others participated in this meeting.
        These people could have adopted the attitude that they were
        already successful enough without such an organization, but
        they did not.  They paid their own way to the Convention even
        though they were the featured speakers!  Button was elected
        the ASP's first (and second) Chairman of the Board of
        Directors.  Magee became the first President.  None of these
        are "honorary" positions; they involve a great deal of time
        and effort.
        The ASP also owes thanks to the sysops of IBMNET on
        CompuServe.  Sysops Conrad Kageyama and Don Watkins were at
        the Convention and arranged, on the spot, a place on IBMNET
        for the shareware authors to meet electronically and continue
        our plans.  We have been meeting there daily ever since in
        what must be a record for longest continuous business meeting.
        The ASP has grown into a group of shareware Authors, Shareware
        Publishers, Disk Vendors, Bulletin Board Systems (BBS), User
        Groups, Press members and others working together to improve
        the image and marketability of shareware as an alternative way
        of purchasing high quality software.
        The shareware marketing concept is just a different way of
        marketing software.  It is quite different from other forms
        that usually include the Software Manufacturer, Distributors
        and Retailers AND a LOT of expensive advertising and mark-ups
        that often cause prices in the $500-$1000 range.
        The shareware channel consists of 4 distinct groups:
        1.  The shareware Authors who write and hold the copyrights on
        the software.  Some authors have shareware Publishers to
        handle the marketing.
                                    34
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   11.  The Association of Shareware Professionals (Continued)
        2.  The disk copying services (Vendors) which build and
        maintain collections of shareware and public domain software,
        thus providing a convenient source from which users may obtain
        software for evaluation.  The disk Vendors charge for the
        disks to make a profit while covering library, advertising and
        other costs.   User Groups contribute to shareware
        distribution and are usually not-for-profit providing low cost
        disk copies for members.
        3.  Bulletin Board Systems (BBSs) which help to distribute
        software by maintaining libraries of downloadable programs. 
        BBSs also provide a means for users to communicate with each
        other, recommending programs, providing technical assistance,
        reporting problems, and more.
        4.  The software user who is the underlying reason for the
        existence of groups 1, 2 and 3.
        What are the benefits of being an ASP member?
        1.  Author and Publisher members benefit by the user's
        recognition of the ASP MEMBER logo.  Author and Publisher
        members benefit from the experience of other members.  They
        work together to help each other with programming, marketing
        and support issues.  Members help each other find better
        sources of supplies, to promote each others products, to pool
        their buying power to obtain better prices, and more.  Author
        and Publisher members benefit from ASP public relations
        efforts.  Author and Publisher members receive a subscription
        to ASPects, the ASP newsletter.
        2.  Disk Vendor members benefit by the user's recognition of
        the ASP Approved Vendor logo.  Author and Publisher members
        are encouraged to send updates and new programs to ASP
        Approved Vendors and to allow ASP Approved Vendors and User
        Groups to distribute their products without requesting
        permission from the author or publisher.  Vendor and User
        Group members benefit from the public relations efforts of the
        ASP.  Vendor members receive a monthly CD-ROM containing many
        of the ASP authored products.  Lists of ASP Approved Vendors
        are made available publicly and users are encouraged to look
        for ASP Approved Vendors as the best source of high quality,
        up-to-date shareware. Vendor and User Group members receive a
        subscription to ASPects, the ASP newsletter.
                                    35
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   11.  The Association of Shareware Professionals (Continued)
        3. BBS members benefit by the user's recognition of the ASP
        Approved BBS logo.  Author and Publisher members are
        encouraged to provide updates to ASP Approved BBSs either by
        mail or by uploading directly.  BBS members benefit from the
        public relations efforts of the ASP. Lists of ASP Approved
        BBSs are made available publicly and users are encouraged to
        look for ASP Approved BBSs as the best source of high quality,
        up-to-date shareware.
        The ASP is a team of Authors, Publishers, Vendors, BBSs and
        User Groups working together to improve the image of shareware
        as a respectable alternative to high priced retail software. 
        ASP members work to educate the public, to let users know that
        shareware is available for them to actually use and evaluate
        before making a decision to purchase.
        How do I join the ASP?
        Join the team today!  To obtain your free ASP Membership
        application kit, write, call or FAX the ASP and ask for the
        Vendor Application Kit.
             Association of Shareware Professionals
             545 Grover Road
             Muskegon  MI  49442-9427  USA
             FAX: 616-788-2765
             Voice: 616-788-5131 (8:00 A.M to 5:00 P.M. USA Eastern)
    
        If you join the ASP as a Vendor Member, your address will be
        published to all of the ASP authors and the authors are
        strongly urged to send the ASP vendors their disks.  It is the
        author's responsibility to send you their disks.  Due to the
        growth in the numbers of vendors, it became prohibitively
        expensive for the authors to send their disks to all the ASP
        vendor members.  Therefore, the authors voted to raise their
        annual ASP dues to help fund sending a CD-ROM to all ASP
        vendors.  At this writing, it is sent every month and each CD
        contains the full collection as submitted by the authors.  It
        also contains a "delta" sub-directory with all of the
        additions and changes since the previous ASP CD.
        Included on each CD is the latest on-disk ASP Official Catalog
        listing over 1,000 shareware products produced by the ASP
        authors.  The ASP Vendor members also receive the ASP's
        monthly (approximately) newsletter and can use the ASP
        trademarked logo in their catalogs and advertising.
                                    36
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   12.  Services
        NOTE: The information in this section is subject to change at
        any time.  This information was put together several years ago
        and these price structures change often.  Contact the
        telephone carrier for the latest arrangements and prices. 
        Your Yellow Pages should list the long distance carriers that
        serve your local.
        12.1      Telephone
                  AT&T has a low cost 800-line service called the
                  Ready Line which is relatively inexpensive.  For
                  about 23 cents a minute out of state, about 35 cents
                  a minute in state (for Texas), you can have a fancy
                  800 number just like the big boys.  Most of the good
                  acronyms are already gone, but you should still be
                  able to come up with something.  At the PsL, our
                  number is 1-800-2424-PsL, which we think is easy to
                  remember.  However, we were not able to get anything
                  like 800-PsL-DISK or 800-SHRWARE, which would have
                  been better.  Another shareware distributor has the
                  number 800-IBM-DISK, but IBM clamped down on them
                  for trademark infringement and they no longer
                  advertise the number that way, so we suggest that
                  you not waste time trying to work "IBM" into your
                  acronym.  The Ready Line 800 number is assigned to
                  your regular telephone number, so you do not even
                  have to get a second line, unless you just want to
                  be able to know for sure if someone has dialed the
                  800 number.
                  An AT&T competitor, Sprint, has cheaper rates,
                  although only time will tell if their service will
                  match AT&T's.  Sprint's rates are as follows:
                  $10/month Rates vary with distance and total number
                  of hours: 0-5 hours: $.2125-$.23 5-25 hours:
                  $.195-$.205 25-75 hours: $.1775-$.19 75-150 hours:
                  $.1775-$.1875 Call 800-347-3300 to order service.
                  (Rates above are as of 1990 and are subject to
                  change.)
                                    37
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   12.  Services (Continued)
        12.2 Credit Card Merchant Accounts
             MasterCard & Visa
             MC/Visa Merchant accounts can be very difficult for
             mail-order merchants to get, more so in some parts of the
             country than in others.  If you have had a business
             checking account for your business for several years, get
             to know your branch manager well.  Try them first.
             If that fails, your next step should be to check ALL your
             local banks.  It's possible that many of the local banks
             are processed by the same clearinghouse who sets the
             rules for member banks about acceptance of mail-order
             merchants.
             American Express
             While MC/Visa are the big guns, American Express is worth
             contacting after you get your Master/Visa account.
        12.3 A Banker's Perspective
             Following is a document prepared by Eric Isaacson that
             may help you convince your bank that someone in the
             shareware business is worthy of consideration for a
             Merchant Account:
  1. ——————————————————
             Shareware Marketing of Software: A Banker's Perspective
                             by Eric Isaacson
             Copyright 1991 Eric Isaacson.
             All rights reserved.  Permission is hereby granted to
             shareware businesses and members of the banking industry
             to freely copy and distribute this unmodified work
             between and among themselves. 
             Your comments are welcome!  Send them to:
                  Eric Isaacson Software
                  416 E. University Ave.
                  Bloomington  IN  47401-4739
                  (812)339-1811
                                    38
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   12.  Services (Continued)
        12.3 A Banker's Perspective (Continued)
             The Purpose of This Booklet
             In the past ten years a new approach to marketing
             computer software has emerged: shareware.  Shareware is
             relatively small compared to the overall software market,
             and it is very different.  It has been poorly understood
             by bankers wishing to evaluate shareware businesses. 
             This booklet explains the shareware business from the
             banker's point of view.
             Why Software Is Different
             A computer has two components: the hardware and the
             software.  The physical machinery comprises the hardware:
             the main box, various disk drives and circuit boards
             mounted inside, and the keyboard and monitor connected
             via cables.  Computer programs comprise the software: the
             operating system, the word processor, the spreadsheet,
             the accounting package, the database manager, etc.
             The marketing of computer software poses unique problems. 
             The value of software is intellectual: it comes from the
             hundreds-to-thousands of hours spent preparing the
             program and making sure it works perfectly for all users. 
             The price of the floppy disks that carry the software is
             tiny compared to the intellectual value.  This makes the
             computer software industry similar to the video-movie
             industry: both have problems with unauthorized copying. 
             But the problems of computer software are worse: first,
             most computers have the built-in ability to duplicate
             software using just one machine. Duplication of movies
             requires two tape decks placed next to each other.
             Second, copies of software are perfect duplicates of the
             original.  With videotape, there is significant and
             annoying degradation when copying is attempted.
             To combat unauthorized copying, some software publishers
             attempted to make their software difficult to copy.  This
             "copy protection" was common in the early days of
             personal computing.  But publishers have never succeeded
             in devising a protection scheme that doesn't annoy the
             legitimate purchaser of the program.  
                                    39
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   12.  Services (Continued)
        12.3 A Banker's Perspective (Continued)
             Today almost all computers have high-capacity ("hard")
             disk drives onto which all software is copied.  If a user
             can't copy the software to the hard drive, that user
             isn't likely to buy the software.  Copy-protected
             software has almost disappeared from the marketplace.
             Other software publishers have taken the completely
             opposite approach to the problem: they market their
             software as shareware. 
             What Is Shareware?
             Shareware is the opposite of copy-protection.  Rather
             than trying to prevent copying, the software publisher
             actually encourages the user to make copies and "share"
             the program with anyone interested.  Complete
             documentation is placed onto the floppy disk along with
             the program.  In the documentation there is an
             explanation of shareware.  Anyone who receives a copy of
             the program is encouraged to try out the program.  If
             they like it, they should send payment (usually called a
             "registration") for the program directly to the
             publisher. Thus the ability to make perfect copies of the
             program becomes a tool for marketing the program.
             Note that shareware authors retain a valid copyright to
             the program.  The author establishes the conditions under
             which the program may be copied.  The author may also
             establish a specific amount of time for evaluation of the
             program, beyond which the user is legally required to
             either pay the registration fee or stop using the
             program.  The validity of a shareware program's copyright
             has been tested and approved by the courts: a Missouri
             shareware author successfully sued a Texas distributor
             for violating his conditions for copying.  Also, a
             shareware author was invited to testify before a U.S.
             Congressional committee evaluating software copyright
             law, and the law was reworded to recognize explicitly the
             existence and validity of shareware.
             Shareware is still a small segment of the whole software
             industry, but it is growing rapidly.  Annual revenues
             connected with shareware are estimated to exceed $100
             million in 1991.
                                    40
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   12.  Services (Continued)
        12.3 A Banker's Perspective (Continued)
             The Shareware Author's Business
             Most businesses publishing shareware consist of a single
             person: the author of the program.  Many authors develop
             programs on evenings and weekends, while retaining a full
             time job weekdays.  The author invests mostly time and
             not money: a good program takes many hours to prepare,
             but it takes at most only a few hundred dollars to
             market.
             Marketing a shareware product consists simply of placing
             it into the shareware distribution stream -- transmitting
             the program to free or low-cost dial-up computers called
             "bulletin-board systems", transmitting or sending it to
             nationwide services like Compuserve and Prodigy, and
             sending copies to companies that catalog and distribute
             shareware.  If the product is good, enthusiastic users
             will spread it themselves, so that an initial
             distribution of a few dozen copies will proliferate into
             many thousands of copies.  A significant number of those
             thousands result in registrations (money) sent to the
             author.
             What are the advantages and disadvantages of shareware
             marketing?  The disadvantages are that a program takes
             time to build up sales volume, and the volume will
             usually be much smaller.  Also, a program must be very
             good to succeed as shareware.  It might be possible, via
             skillful marketing and advertising, to fool the public
             into buying a mediocre program when it's shrink-wrapped
             on a store shelf.  But the user can try out a shareware
             program before buying it -- if it's mediocre, the user
             won't use it and hence won't register it.
             The advantages of shareware are low risk and low
             overhead.  Through traditional (non-shareware)
             distribution channels, it takes from $200,000 to $500,000
             to properly launch a software product.  Markups must be
             granted to both retail outlets and their supplying
             distributors, so that the publisher might get only 15% of
             the retail price, and the author even less.
                                    41
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   12.  Services (Continued)
        12.3 A Banker's Perspective (Continued)
             Some shareware programs fail: they aren't good enough to
             generate registrations.  But the author doesn't thereby
             go bankrupt.  He or she simply loses the modest,
             out-of-pocket initial disk-and-postage investment.
             There are hundreds of shareware authors who make enough
             money from shareware to substantially supplement their
             regular job income.  About 50 authors are making a living
             from shareware receipts, and have gone full-time with
             their shareware business.  Many of them can make a
             handsome profit without even needing to hire anyone else
             to help out.
             Some shareware businesses grow into full-fledged
             companies, with dozens of employees and multi-million
             dollar annual sales.  To reach that level, the author
             typically supplements the shareware marketing with
             traditional advertising and dealer distribution.  But
             even for those companies, the risks are low because the
             author moves into traditional distribution only after the
             product is generating significant revenue through
             shareware marketing.  The expansion is financed via
             existing profits, rather than venture capital.
             Shareware Businesses and Banking
             Shareware marketing is completely unique -- the only
             other business with its try-before-you-buy philosophy is
             Public Television; but Public Broadcasting stations do
             not enjoy the low overhead that shareware authors do.
             The uniqueness of shareware makes it poorly understood in
             the banking industry, especially those handling
             credit-card merchant accounts.  Shareware has some of the
             characteristics bankers normally associate with poor
             risk: payments are made almost entirely by mail or
             telephone, and all but the largest shareware businesses
             are operated out of the author's home.
                                    42
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   12.  Services (Continued)
        12.3 A Banker's Perspective (Continued)
             In reality, however, shareware authors are ideal
             credit-card merchants from the banker's point of view. 
             Unlike other mail-order businesses in which the customer
             doesn't see the product until it arrives, with shareware
             the customer already has the product.  If the customer
             isn't happy, he or she simply stops using the program,
             and never pays the author in the first place.  If the
             customer wishes to defraud the author, he or she simply
             uses the program and never contacts the author.  Thus,
             all of a shareware author's paying customers are both
             happy with the product and honest enough to pay for it. 
             The level of customer complaints and chargebacks is close
             to zero.  Credit-card fraud for shareware is
             non-existent.
             If a banker knows about shareware, he or she should
             welcome a shareware author's business.  How can a banker
             identify a bona fide shareware business?  To start, the
             banker can ask the author for a copy of the program.  If
             the banker doesn't feel "computer-literate" enough to
             verify that it's a genuine, non-trivial program, he or
             she can ask for references.  Many shareware authors are
             members of the Association of Shareware Professionals
             (ASP).  The ASP screens applications for membership, to
             ensure that only legitimate authors of non-trivial
             shareware are admitted as author-members.  The ASP would
             be happy to verify any claims of membership -- they can
             be reached at (616)788-5131, weekdays 8--5 eastern time. 
             Other prominent authors have chosen not to join the ASP,
             but their programs are listed in the catalogs of
             shareware distribution companies such as Public Brand
             Software, P. O. Box 51315, Indianapolis, IN 46251; or the
             Public (software) Library, P. O. Box 35705, Houston, TX
             77235.
             Shareware Distribution Companies
             Bankers should be aware of another major component of the
             shareware industry, distinct from the authors: the
             shareware distribution companies.  These companies take
             advantage of the fact that copying of shareware is
             allowed, by providing a cataloguing and distribution
             service of shareware disks.  Customers of distribution
             houses are sent lists of available programs, for which
             they can pay a copying fee of between $1 and $5 per disk.
                                    43
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   12.  Services (Continued)
        12.3 A Banker's Perspective (Continued)
             There is no business arrangement between authors and
             distribution houses: authors neither receive any
             royalties for disks sold, nor do they pay anything for
             the publicity given them.  Customers understand that they
             are not paying for the software, but merely for the
             distribution service.  Most shareware authors allow
             distributors to handle their programs, because it spreads
             their programs even further.
             From a banker's point of view, the shareware distribution
             houses are closer to traditional mail-order businesses. 
             Their profit margins are much lower than authors',
             because their overhead relative to revenues is higher. 
             They must advertise in order to build business.  Some
             distribution companies haven't charged enough for disks
             to cover their overhead costs, and have thus gone
             bankrupt.  But others, such as Public Brand Software and
             the Public (software) Library, have built solid,
             profitable, multi-million-dollar companies from shareware
             distribution.
             A banker wishing to evaluate a shareware distribution
             company can use many of the usual criteria: length of
             time in business, size of business, profit sheets, etc. 
             There are a couple of pointers specific to shareware
             distribution that can enhance the evaluation: first,
             companies should be charging at least $3 per disk in
             order to be profitable.  There can exist "Mom and Pop"
             outfits, run out of homes, that make some money charging
             less; but if they try to expand into real businesses,
             their overhead almost always overwhelms them.  Second, a
             banker can check the distributor's integrity by asking
             for a catalog and for advertising copy, to make sure that
             they are adequately explaining to the customer that they
             are a shareware distribution service and are not selling
             the software itself.  If the customers understand what
             they are getting, the level of complaints and chargebacks
             will be much less than that of the average mail-order
             business; if they don't, it will be as much or greater.
                                    44
           Shareware Vendor's Guide - Copyright 1992 by the ASP
   12.  Services (Continued)
        12.3 A Banker's Perspective (Continued)
             For More Information
             The booklet "Shareware `Try Before You Buy' Software" by
             Rob Rosenberger describes shareware from the consumer's
             point of view.  You may purchase it by sending $4.95 plus
             $1.75 S+H to Paradise Publishing, 3111 S. Valley View
             Blvd. Suite B-105, Las Vegas, NV 89102; or calling
             (702)253-1940.  For free catalogs listing the best
             available shareware programs, you can write to Public
             Brand Software or the Public (software) Library at the
             addresses already given, or call them at their respective
             numbers: (800)426-3475 and (800)242-4775.
             -------------------------------------------------------
             End of Eric's article.
                                    45
           Shareware Vendor's Guide - Copyright 1992 by the ASP
                                  Index
        1.2m Disk Problems  . . . . 13     On-Disk Catalog . . . . 12, 16
        800 Numbers . . . . . . . . 37     Rack Vendor . . . . . 3, 7, 11
        American Express  . . . . . 38     Rack Vendor Definition  . .  3
        ASP . . . . . . . . . . . . 34     Registering Shareware . . . 11
             Catalog  . . . . . . .  9     Registration Incentives . . 12
        ASP CD-ROM  . . . . . . . . 36     Shareware Compilation
        Association of Shareware                     Copyrights  . . .  9
                  Professionals . . 34     Shareware Copyrights  . . 5, 8
        Banker's Perspective  . . . 38     Shareware Definition  . . .  4
        Catalog Software  . . . . . 16     Shareware Description . . . 11
        Catalog, ASP  . . . . . . .  9     Shareware Registration  . . 11
        Catalog, On-Disk  . . . 12, 16     Simply Help Shareware . . . 32
        CD-ROM - ASP  . . . . . . . 36     Software  . . . . . . . . . 16
        Checking Account  . . . . . 10          Catalog  . . . . . . . 16
        Collecting Disks  . . . . .  7          Compression  . . . . . 18
        Collecting Shareware  . . . 30          Duplication  . . . . . 20
        Compression Software  . . . 18     Supplies
        Computer Equipment  . . . . 13          Disks  . . . . . . . . 26
        Copyright                               Label Stock  . . . . . 27
             Compilations . . . . .  9          Mailers  . . . . . 27, 28
             Shareware  . . . . . 5, 8     Technical Support . . . . . 32
        Credit Cards  . . . . . . . 10     Trademarks  . . . . . . . . 29
        Definition                         Tutorial Software
             Freeware . . . . . . .  4          DOS Summary
             Shareware  . . . . . .  4               (Hypertext) . . . 23
        Description Of Shareware  . 11          DosEA  . . . . . . . . 24
        Disk Collection . . . . . .  7     Vendor  . . . . . . . . . .  3
        Disk Mailers  . . . . . 27, 28     Vendor Advertizing  . . . .  9
        Disk Organization . . . . .  8     VENDOR.DOC File . . . . . 8, 9
        Disk Suppliers  . . . . . . 26     Virus Scanning  . . . .  8, 22
        Disk Vendor Definition  . .  3     Virx/Virex-PC Scanners  . . 22
        Duplication Software  . . . 20     Visa Card . . . . . . . . . 38
        Duplicators . . . . . . 14, 15     WATS Lines  . . . . . . . . 37
        Federal Tax I.D.  . . . . . 10     Word Processor  . . . . . . 12
        Fluegelman, Andrew  . . . .  4
        Freeware Definition . . . .  4
        Help Software . . . . . . . 32
        High Density Disk
                  Problems  . . . . 13
        Integrity Master
                  Anti-Virus  . . . 22
        Label Stock . . . . . . . . 27
        Letterhead  . . . . . . . .  9
        Library Collection  . . . .  7
        Logos . . . . . . . . . . .  9
        Mailers, Disk . . . . . 27, 28
        Market Niche  . . . . . . .  6
        Master Card . . . . . . . . 38
        Merchant Accounts . . . . . 38
        Niche, Market . . . . . . .  6
                                    46
/data/webs/external/dokuwiki/data/pages/archive/computers/vguide.txt · Last modified: 2002/06/23 06:44 by 127.0.0.1

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