You hate to do it, but you have no choice.
Paying them and filing them—taxes—are an inevitable part of every American citizen's life. Filing tax returns may cause frustration, anxiety and maybe even, depression to the average Joe Citizen, but to suppliers such as Oxnard, California-based TFP Data Systems it means expanding profit margins. Product manager Jim Magdaleno stressed that tax forms and related products equal "profitability, profitability, profitability, profitability, profitability." However, some get overwhelmed by the products due to the ever-changing rules and regulations that must be studied and the new codes that must be enforced.
Magdaleno said the solution is fairly simple. Manufacturers and distributors must to decide to sell tax forms and then just do it.
But for those who need that extra boost, TFP Data Systems provides marketing materials and information to help, support and make it easier for the reseller to sell tax forms. Some examples include a resource guide, imprinted catalogs, a programming guide, invoice stuffers and an information sheet explaining IRS year to date changes.
Paul Willard, sales manager for Grand Rapids, Michigan-based Broker Forms, explained the key to success in this market is a strong, knowledgeable supplier partner. Repeat business will follow.
"Nothing is certain in this world except death and taxes. As long as we pay income taxes, all businesses need to file W-2 and 1099 forms. This creates a very large market with stable, predictable, repeatable sales," Willard asserted.
Once distributors gain some experience, they can use their skill set when working with confused end-users, according to David Yost, general manager of Roanoke, Virginia-based InfoSeal.
"Many end-users consider the year end ordering, processing and mailing of these documents to be confusing and at best inconvenient, which is interesting considering the mission critical aspect of these year end documents. End-user discomfort with tax forms is an opportunity for the distributor," he said.