Slide deck of my presentation at the PIA Energize Your Business conference 5/4/2013 in Carlsbad, CA.

1. Profitability
and the Smaller Printer
Energize Your Business Conference
May 4, 2013

2. TODAY’S GOAL
Take Home at Least One Good Idea to HelpYou Make More Money

3. TODAY’S FORMAT
Got a Question? Let’s Stop for a Moment and Talk About It

4. • Founded in 1987
• All B2B Clients
• Digital • Offset • Wide Format • Fulfillment
• 6000 Sq. feet
• 6 employees
• Consistently High SPE
ABOUT SORRENTO MESA

5. My Typical Day

6. What I do

7. “If change is not your best friend,
it will become your worst enemy”
-unknown

8. 100%
Offset Digital
2005
24%
76%
Offset Digital
2012
Our Sales

9. The Road to Increased
Profitability Involves Creating
Order out of Chaos

10. People
Sales &
Marketing
Systems Financial

11. Metrics
How Do We Measure Profitability?

12. SPE
Annual Sales / Employees
100K 120K 140K 160K

13. OWNER’S COMPENSATION
What’s Left After All Expenses Paid
5% 10% 15% 20%

14. “Business in not a game of
volume, it’s a game of margins”
- Larry Steinmetz

15. www.pricingexpert.com

16. Systems

17. Systems
• Fast Workstations / Fast Servers / Centralized Storage
• Larger Monitors (24” and above)
• MIS / Print Management Software
• CRM / CMS Software (Goldmine / ACT / Salesforce)
• Color Managed ROOM (Rip Once Output Many) Workflow
• WiFi or Gigabit Ethernet?

18. Why Creative Cloud?

19. Hot Folders

20. Web 2 Print
B2B or B2C ?

21. Corporate Branded Portals
also kno! as “"e Velvet Handcuffs”

22. People

23. “Leaders of Great Companies
Start by Getting the Right People
on the Bus, theWrong People off
the Bus, and the Right People in
the Right Seats.”
- Jim Collins author of Good to Great

24. People
• Production Meetings Every Morning
• Cross Trained Flexible Workforce
• Hire for Chemistry, Skills Can be Taught
• Empowerment Builds Confidence
• Reduce or Minimize Turnover
• Encourage a Culture of “Best Practices”

25. No Slacker Zone

26. Financial

27. Which Financial Report TellsYou
the Health ofYour Company?
Balance Sheet or P&L ?

28. Current Ratio
Current Assets / Current Liabilities
1.0 1.5 2.0 3.0

29. Buy or Lease?

30. What do you negotiate?
Price or Payment

31. • Lower Cost of Financing
• Can Pay Off Early
• You Own it
• Accelerated Depreciation
(Section 179)
• Down Payment
• Credit Line Impact
• Disposition of Retired
Equipment
• Needs Stronger Balance
Sheet
Buy
Pros Cons

32. • Lower Upfront Costs
• Weaker Balance Sheet
Qualifies
• No Impact on Credit Line
• Entire Payment Deductible
• Upgrade Possible but
Expensive
• Higher Cost of Financing
• Can’t Pay Off Early
• FMV is What They Say It Is
• Total Cost Unknown Until
Buyout
• “Gotcha” Clauses
Lease
Pros Cons

33. Friends Don’t let Friends
Roll Leases

34. Buying Used or Demo
Saves Big Bucks

35. Sales & Marketing

36. Marketing and Sales are Two Different Disciplines
Marketing PromotesYour Brand in the Marketplace
Setting the Stage for the Execution of the Sales Process

37. Marketing
• SEM (Search Engine Marketing) = SEO+PPC
• Social Media (LinkedIn, Facebook,Twitter)
• Direct Mail
• Website
• Blog (Content Marketing)
• Cross Media Campaigns

38. Sales
• Build a Personal Brand on LinkedIn
• Research Prospect’s on LinkedIn First
• Sales Letters
• Telemarketing
• Referral Marketing (BNI) - Train aVirtual Sales Force
• Generate More Business From Current Accounts

39. The Selling Owner
Carries Instant Credibility

40. Final Thoughts

41. Higher Profits Come From
Selling not Bidding

42. Specialists Earn Higher Profits
Than Generalists

43. The Level ofYour Profits is
Directly Related to the
Quality ofYour Decisions

44. www.sorrentomesa.com
7398 Trade St. San Diego, CA 92121 858.527.0800
www.linkedin.com/in/scottmcappel
www.linkedin.com/company/sorrento-mesa-printing
www.facebook.com/sorrentomesa
www.twitter.com/sorrentomesa

45. Q & A

46. ThankYou