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How Networking Can Help You Build Your Business

It's always tempting to cling to the technology that you know. Companies would rather suffer with costly inefficiencies and downtime for fear that installing a network will be a serious time-and-money drain. Fortunately, today's networking hardware and software is so user-friendly that you don't have to sacrifice the familiar to get the benefits of networking-file sharing, e-mail, more powerful processing, and faster, cheaper Internet connections.

By eliminating inefficiencies, networks not only save money but also equip employees to be far more productive, says William E. Kilmer, author of Getting Your Business Wired (AMACOM) and marketing manager for Intel's small-business networking operations.

Networks do have a downside, however. When the server's down, all employees connected to it are idled. Security issues — minimal with stand-alone desktop computers — suddenly come to the fore, as business owners have to construct ways to keep sensitive information away from curious eyes. And, the monthly fee (typically several hundred dollars) for a network consultant to maintain the system may cost more than simply upgrading several stand-alone computers occasionally.

Still, a well-planned network can broaden your company's platform for growth, which is the most compelling argument for going through the expense and disruption of installing one. Limping along with "sneaker net" (having employees copy files and walk to another's desk to deliver the disk) can prevent you from plunging into high-potential ventures such as e-commerce, and from inviting customers and suppliers to communicate directly with employees. Networks also pave the way for upgraded peripherals that can't be cost-justified if they're only going to be used by a few non-networked employees.

Fortunately, the nuts and bolts of upgrading to a network have become considerably easier to manage. As the leading network systems manufacturers now boast, installation is a matter of "plug-and-play." "This is a process that used to be quite disruptive but can now be done relatively easily and painlessly and doesn't have to break the bank," says Glenn Weadock, a Golden, Colo., computer consultant and author of Small Business Networking for Dummies (IDG Books).

Still, for most businesses, setting up a network requires some outside support. While a technically savvy business owner might be able to install a network, it's better to find a local networking consultant (preferably one who's certified by your network software vendor) who can troubleshoot as employees resume operations after installation. Consultants' hourly rates range from $75 to $150, depending on local demand. (See "Networks: What's the Tab?" below, for other estimated costs.)

Networks: What's the Tab?

Glenn Weadock, president of Independent Software (www.i-sw.com) offers these approximate costs to set up two types of networks from scratch. The greatest variables are the cost of wiring (in-wall vs. cables run externally) and consultants' time. A small network can cost considerably less than the sums below if you already have some of the components (e.g., computers currently operating as stand-alones that can be networked).

Peer-to-Peer Network
with 10 Users
Approx. Cost
from Scratch

General business workstations
(PC/monitor $1,000-$1,500 ea.)
$12,500

Network card for each workstation ($80 ea.)

 
800

Network cable, pre-assembled
($0.50/ft., estimate 500 ft.)
Note: In-wall runs are more expensive.

300

Fast Ethernet hub (four ports per hub
accommodate four computers; add hubs
as needed — they're stackable; $120 ea.)

360
Network laser printer, medium-duty  
1,500
Network color inkjet (optional, but
creative for proposals, etc.)
250
Networking software (part of Windows
95/98/NT/2000 for peer-to-peer network).
Usually bundled with computers
0
Antivirus software (if not already installed, $50/PC)
500
Other software (MS Office, Act!, etc.; estimate $400/PC)
4,000
Consultant time (one day for setup)
700

Total:
$20,910

Copyright © 2000 Inc. Business Resources

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