In the fall of 2002 we came up with an idea to meet the need for a new type of Distribution model in the U.S. market. This "Agile Distribution Incubator would be capable of handling smaller company product introductions especially for off shore manufacturers. It would handle a small number of non-competing product lines, hopefully with some synergy, that would allow it to provide a rollout for less cost than if a company did it themselves, i.e. through a Subsidiary. We had concluded that this was both necessary and efficient because:

As a result of these observations, we received comments from a number of distribution companies that felt we had not given them sufficient credit for accomplishing what we suggested was not available. One of them, Splash of Color, a Regional Distributor in Texas, showed us that they had developed a good small manufacturer value-added model for the wide format marketplace and we agreed. What Splash was accomplishing on the regional scale was good, but it didn't rise to the National Distribution model that we sought.

TechData also contacted us. After months of discussions and the inability to find a successful dealer of theirs in the digital imaging world, except for Government sales, or products with name recognition already, we jointly concluded that they did provide national value to certain large manufacturers, but weren't really suited to help the smaller digital imaging manufacturer.