Knowledge Breeds Power Michael King says he's a "small fish in a big pond." He provides tax forms only to accounting and insurance firms in Modesto and Sacramento, Calif. But his client base counts on him for tax forms knowledge. He admits that customers often call him just to get the scoop on tax form changes each year. "I'm a go-to guy for accountants," he says. "They will call and say, 'I hear there is a 1099 form that will be changed. Is that true?' They use me as a resource." King, owner of Modesto-based Budget Tax Forms, is an accountant by trade. He started selling W2 and 1099 forms 27 years ago as an add-on service at his accounting firm. Today, he spends only 10 percent of his time crunching numbers; he dedicates the other 90 percent to selling and distributing tax forms. "A lot of accountants will assign the duty of ordering tax forms to a secretary or bookkeeping clerk--the CPA doesn't always get involved in the ordering," King says. "I get a lot of calls from people inexperienced with ordering forms. They call and say, 'My boss said I'm supposed to order all of the forms and I don't know what we need.'" In these cases, King knows what questions to ask: What kind of computer system do you have? Do you use multipart or laser forms? Does your program print the form, or do you still require printing for the boxes? He studies information his suppliers send him regarding tax form changes so he can communicate details to customers. And King draws from his own continuing education when he renews his professional accounting license each year by taking required classes. Federal forms confuse many clients, but King keeps it simple. He orders in bulk from vendors, taking advantage of volume discounts and storing W2s and 1099s in his warehouse. "I ship orders fast, I maintain a stable price every year...and I take forms back for no reason at all," he says. "I don't require them to jump through hoops to return merchandise." King says 90 percent of Budget Tax Forms' business occurs during a 4-month period, and the support he offers other accounting professionals supports his tax form sales. "A large part of my business comes from referrals," he says. "They photocopy my order forms and give them to their friends down the street." Word travels. Referrals generate sales growth for King, who buttresses word-of-mouth marketing with direct mail fliers. He targets accountants through phone book searches and has purchased ZIP code lists. He doesn't expect wild returns, considering a 5 percent response rate successful, but he keeps the business he earns. This stabilizes Budget Tax Forms' sales in a market where technology and laser printing can erode business, King says. Today, companies can choose to print W2s on 8 1/2 x 11-inch paper rather than using perforated forms. And because the U.S. Social Security Administration no longer requires red ink for Copy A of forms, customers easily can roll out W2s on their office laser printers. Product diversity also helps distributors secure tax forms business, King says, noting that medical forms are lucrative sales he earns by asking accounting companies to offer order forms to their medical clients. And constant tax forms changes position distributors and suppliers as field experts if they're knowledgeable when they sell products. "If you can get customers the forms they need reasonably fast and correctly the first time, they will pay the right price," King says.