23 March 2011

From papyrus to paperless … why we never have to store another piece of paper


Everyone talks about a paperless office but very few people actually have one, particularly in legal circles. We love our paper. Records going back into the mists of time, files, journals, publications, the list goes on and on … and every piece of paper needs to be recorded, actioned, filed and stored.  An onerous and time-consuming task and, once you take into account the cost of stationery, staff to process the paper, rent for space to have it on hand in the office and later the on-going costs of archival (and retrieval, which invariably happens), each sheet of paper that comes in your front door is costing you so much they may as well be sheets of gold leaf.

So why do so few of us in the legal profession have, or even are attempting to implement, paperless or low-paper offices?  Sometimes, the reason is nothing more solid than tradition – “the firm has operated this way for over 100 years and it isn’t about to change now”. Some firms believe it just can’t be done; some paper will still have to come in and out of the office and they cannot understand that a paperless workplace is a goal and not an absolute. Most often, however, the reason given is “we tried it but we couldn’t make it work”.

It is truly amazing how many companies took up the mantra of working in a more environmentally friendly office over the last decade and “couldn’t make it work”. A large part of why not is simply because being ‘green’ is a by-product of a well-designed paperless environment, not the cause.  Admittedly, working for a young agency that began free of the shackles of parchment, it has been easy to minimise the amount of paper we have to deal with every day.  Not that we’re anti-paper … like the Telex and Cassette Walkman we remember it fondly; we just don’t want to own it in 2011.

What does it take to make an office work without paper? The same thing it does to work with paper – the correct tools, effective processes and committed people.

There are two foundations that need to work in harmony for a paperless office to succeed.  The first is an IT system that takes full advantage of current technologies such as larger monitors, high quality scanners, smart phones, wireless networks and data storage mediums such as portable hard drives and USB memory sticks.

Secondly, you need people who are well trained and understand how to make the most effective use of these new tools; people who see everyone, from senior management down, using the same tools and procedures.  People who think that not handling paper is the ‘norm’ and not the exception.  In short, you need to have everyone ‘reading from the same iPad’.

In the last twelve months we have learnt that clients will happily pay an invoice sent by email, that it is easier to keep files safe and secure when they are electronic rather than in manila folders that you are constantly misplacing (or spilling coffee on) and that stationery can be merely a petty cash issue, not a capital expenditure.

Operating in a paperless environment - it’s a mindset.  We’re already there, when are you taking the first steps?


by Andrew Hunter and Pauline Delaney

14 March 2011

Angel Investor’s Conference


Recently I had the pleasure of attending the 4th Australian Association of Angel Investors (AAAI) conference in Newcastle, NSW. It was my first real contact with the angel investor community and it was a great experience.

The conference covered a number of topics of interest to angel investors, their clients and their advisors. I estimate there would have been at least 200 people in attendance, most from Australia but also many for the USA, the UK, New Zealand and Asia. In fact there appears to be a growing community of angel investors in India. It appears that the trend, in the US at least, is for angel investors to be getting younger and increasingly female.

So, what is an ‘angel investor’? There is a pretty reasonable description here:

In a nutshell they are people who are independently wealthy, usually following divestment from one or more companies that they have founded, and who are not ready for a life of banana chairs and cocktails. The typical angel investor wants to invest in companies that, aside from having very high growth potential, can benefit from the angel investor’s own business experience. They also look to have a defined ‘exit’ point from the investment – they typically want to take their investment through a particular phase and then cash out, usually at a point when ‘bigger money’ is required (and available). They tend not to want to ‘hang around’ as the investment can quickly become diluted by the influx of bigger money from venture capitalists, banks etc. They may typically be looking to invest anywhere from $50,000 to $5,000,000.

These angels are a tough sell, make no mistake. They are investing their OWN money, not someone else’s funds. The clear-headed realism that characterises their analysis of investment opportunities is usually hard-won; most have had their share of investment successes and failures. They tend to have a portfolio of investments, in the knowledge that many of the early stage and start-up businesses they fund will fail, but that the successes will be very significant. They often take a position on the board of their investees, but not usually in direct operational management. This does translate to them wanting to be involved in big decisions concerning the business.

I was also struck by the angels’ quite sophisticated understanding of intellectual property (IP) creation, protection and management. Angels have a very strong interest in conducting full due diligence on businesses, and IP is a big part of the due diligence process. It is well understood by angels that patents may (or may not) be crucial to the delivery of the business AND that non-patented technical knowledge must be protected in any case. They also fully realise that the value of IP in the business may have been tainted or even destroyed by errors, or simply ‘skimping on cost’ at the start of the protection process: inventors incorrectly identified; ownership imperfectly recorded or indicated; too few examples or too little real information included in the patent specification; patents simply not protecting the real commercial advantage of the company’s products. Many angels have been burned by this – they tend to learn these lessons very well!

So where can you find an angel investor? A good first point to look in Australia would be: www.aaai.net.au/membership/angel-group-directory - the AAAI is the peak body for individual angel investor groups in Australia. Angel investment groups are typically based around particular geographic regions, e.g. capital cities or economic regions such as the Hunter Valley, or around particular business or technology sectors.


by Adam Hyland

04 March 2011

More on major changes afoot for Australian patent law

Further to our blog of 27 January 2011 “Major changes afoot for Australian Patent Law”, IP Australia has now made the draft and explanatory memorandum available to the general public.  You can view the documents from the links below.

We will provide detailed comments on the various parts of these extensive changes in future blogs.

Draft:

Explanatory memorandum:


by Peter Franke