Gift biz unwrapped episode 177 but you have to be careful
Speaker:because very easily that can turn a hobby that you really
Speaker:enjoy into a business that you hate.
Speaker:Running Attention gifters,
Speaker:bakers, crafters and makers pursuing your dream can be fun.
Speaker:Whether you have an established business or looking to start one
Speaker:now you are in the right place.
Speaker:This is gift to biz unwrapped,
Speaker:helping you turn your skill into a flourishing business.
Speaker:Join us for an episode packed full of invaluable guidance,
Speaker:resources, and the support you need to grow your gift biz.
Speaker:Here is your host gift biz gal,
Speaker:Sue moon Heights.
Speaker:Hi there,
Speaker:it's Sue and thank you.
Speaker:Thank you so much for joining me today.
Speaker:We are going to be talking about trademarks,
Speaker:copyrights, and patents and hold tight everybody.
Speaker:I know these are not topics that are super fun,
Speaker:but wait till you hear what Joey has to say.
Speaker:It doesn't need to be that bad.
Speaker:Those of you who have been around with me for a
Speaker:while, no.
Speaker:I often talk about a unique special power and one of
Speaker:you unique special powers is you the personality you bring to
Speaker:your business,
Speaker:how you make yourself different from everybody else.
Speaker:Because let's face it,
Speaker:nobody can be you.
Speaker:Joey is a great demonstration of a unique special power.
Speaker:Yes, he's an attorney.
Speaker:Yes, he deals with all this stuff that we would actually
Speaker:as makers prefer not to talk about,
Speaker:but it's so refreshing because he just brings it all back
Speaker:to a level that we can really understand and the thing
Speaker:that makes him so different,
Speaker:which I really love.
Speaker:So not only is his personality a unique special power,
Speaker:but it's the way he manages business.
Speaker:He really feels that you have to balance the legal aspects
Speaker:of your business with what your comfortable with that spans from
Speaker:the outlay of money to the things that you feel you
Speaker:need to have in place for your business.
Speaker:And guess what?
Speaker:He doesn't always say you have to have all these things.
Speaker:So listen in and you'll find out when you need trademarks
Speaker:and when you don't.
Speaker:Do you need a patent?
Speaker:Probably not all very refreshing things for us to hear about
Speaker:today and stay to the end because hot off the presses
Speaker:is a freebie that he's giving us.
Speaker:That helps us wrap this all up.
Speaker:So without further ado,
Speaker:I would like to introduce you to my guest today,
Speaker:Joey Vitaly in his law firm,
Speaker:indie law.
Speaker:Joey works with creative small business owners to protect their passions
Speaker:and give them the legal foundation they need to thrive with
Speaker:these services.
Speaker:Joey focuses on the legal issues that matter most to creatives.
Speaker:That would be trademarks,
Speaker:business formation,
Speaker:copyrights and contracts.
Speaker:I knew Joey was someone I wanted to have on the
Speaker:show when I visited his website and I saw this phrase,
Speaker:quote, we strive to keep things simple,
Speaker:positive, honest,
Speaker:and human.
Speaker:Oh my gosh,
Speaker:don't we all need more of that?
Speaker:Joey, welcome to the gift biz unwrapped podcast.
Speaker:Sue, thank you so much.
Speaker:It's an absolute pleasure to be here.
Speaker:I like to start off things.
Speaker:I warned you in our pre chat by having you describe
Speaker:yourself in a little bit of a different way and that
Speaker:is through a motivational candle.
Speaker:So for all our creative listeners out there,
Speaker:what color really resonates with you and what quote would you
Speaker:put on a motivational candle that speaks all Joey?
Speaker:Great. So I will explain after I say it,
Speaker:but it would be an all white candle and then in
Speaker:a very kind of minimal font.
Speaker:Say I love myself more than I love my business.
Speaker:Oh man,
Speaker:I'm so curious to know what you're going to say next.
Speaker:So the brand of my firm is black and white and
Speaker:I'm a huge minimalist.
Speaker:So I like keeping things clean and simple.
Speaker:A lot of people ask me why I went in the
Speaker:direction of black and white and I've come up with some
Speaker:pretty good reasons like trying to take the gray out of
Speaker:the law.
Speaker:But honestly I got a tip from a social media friend
Speaker:that if you just make your photos black and white on
Speaker:Instagram, it makes editing a lot easier.
Speaker:Oh there you go.
Speaker:Does that get to the part about the simplicity?
Speaker:Striving to keep things simple?
Speaker:Yeah. But I really do kind of love a black and
Speaker:white aesthetic.
Speaker:And that quote is something that I've had in my head
Speaker:for a while.
Speaker:And finally I was talking to somebody about this concept of
Speaker:needing to put yourself before your business as a business owner
Speaker:to make sure that you stay happy and your business stays
Speaker:thriving. And they repeated it back to me that way.
Speaker:They said,
Speaker:are you trying to say that you love yourself more than
Speaker:your business?
Speaker:And I said,
Speaker:yeah, can I take that from you?
Speaker:So that's become really the slogan of our firm.
Speaker:We work with a lot of solo preneurs or creatives where
Speaker:either it's just them or they have a team,
Speaker:but they're the clear and obvious owner and as their attorney
Speaker:and really kind of counselor at law.
Speaker:It's kind of my mission and my passion for really caring
Speaker:about the human behind the business.
Speaker:And sometimes as you probably know,
Speaker:Sue, there's a difference between what's good for the business and
Speaker:what might look good on paper and what gives you the
Speaker:most peace of mind as the owner of the business.
Speaker:As an a human being.
Speaker:So we try and let our clients know what their options
Speaker:are, but at the end of the day we try and
Speaker:do what we can to give them the most peace of
Speaker:mind. So I'm sitting in the seats of our listeners and
Speaker:I think they just took a big sigh of relief because
Speaker:the topic can be so weighty.
Speaker:I'm sure there are people who are listening who know they
Speaker:haven't possibly done some of the things that you might be
Speaker:suggesting and we're talking about here today and just you it
Speaker:down to the level of really bringing the personality and what's
Speaker:good for a person I think is very relieving,
Speaker:if you will.
Speaker:So the other thing that I thought about when you said
Speaker:this, I love myself more than I love my business is
Speaker:I think so many people equate their self worth to how
Speaker:well their business is going.
Speaker:Yes, absolutely and it can feel so tempting sometimes to think
Speaker:that when the business isn't doing well that that somehow means
Speaker:something about you personally or vice versa.
Speaker:It's easy to,
Speaker:I think,
Speaker:get a big head when your business starts to do well
Speaker:and it's helpful to check yourself.
Speaker:One of the reasons why I really liked that saying I
Speaker:love myself more than I love my business is that I
Speaker:love my business and I think that that's a lot of
Speaker:the reason why Sue,
Speaker:our people do what they do is that they really lean
Speaker:into their passion and so it's really cool to work with
Speaker:people who are business owners because they love what they do
Speaker:and they don't just think it's a good idea.
Speaker:It's going to make them money,
Speaker:right? It can be difficult to keep in mind the fact
Speaker:that you're doing what you love,
Speaker:but you have to be careful because very easily that can
Speaker:turn a hobby that you really enjoy into a business that
Speaker:you hate running.
Speaker:Very true.
Speaker:So we'll have to get into that a little bit just
Speaker:as a theme as we continue on.
Speaker:But let's start Joey with,
Speaker:okay, so you're obviously educated in law.
Speaker:Why did you gravitate over to the creator side?
Speaker:It's been a very interesting journey.
Speaker:You mean to go to law school?
Speaker:They don't really tell you that there's a lot you can
Speaker:do with a law degree.
Speaker:They basically make it seem like the only thing you can
Speaker:do is be a courtroom attorney at a big law firm
Speaker:and so you have all of these law students really getting
Speaker:a scarcity mindset,
Speaker:really trying to be the top of their class so that
Speaker:they can get picked to go to these big law firms.
Speaker:So super competitive.
Speaker:It's sounding like Very competitive and I was fortunate enough to
Speaker:find a great law firm that I could work for.
Speaker:When I got right out of law school,
Speaker:there were great people at the firm,
Speaker:but it was courtroom litigation focused.
Speaker:And for about two years I was wrestling with this idea
Speaker:of I had worked so hard at school and I had
Speaker:really, really tried to be good at this thing that I
Speaker:said I was going to do for a living.
Speaker:And I just felt like I wasn't good at it.
Speaker:And slowly I realized that the problem wasn't that I was
Speaker:a bad lawyer,
Speaker:but it was that I hated conflict.
Speaker:And so as soon as I kind of put those dots
Speaker:together, I figured out an exit plan,
Speaker:shifted away from the courtroom and started working with businesses,
Speaker:spent the first couple of months in that phase working with
Speaker:more tech startups and slowly gravitated towards the more kind of
Speaker:creative bunch of business owners because I think that it's a
Speaker:lot more fulfilling to work with people who just have a
Speaker:really big heart and passion for what they're doing instead of,
Speaker:there are a lot of people in the tech startup space
Speaker:that are just very,
Speaker:they're really obsessed with good ideas and making money,
Speaker:which is,
Speaker:but it was Difficult for me to identify with them as
Speaker:much as with these more creative types and it's so awesome
Speaker:to feel like I've found my people.
Speaker:And so what types of businesses are you normally working with
Speaker:then? One of the first blog posts that are wrote was
Speaker:titled, your business needs to break up with that C,
Speaker:Love that.
Speaker:I would read that in a second.
Speaker:That was great.
Speaker:That's great.
Speaker:And it really summarized conversations that I was seeing a lot
Speaker:in the Etsy crafter community where people were complaining about the
Speaker:difficulties of being on Etsy.
Speaker:One of the legal issues with a platform like Etsy is
Speaker:that people can claim that you're infringing on people's rights and
Speaker:the way that the platform operates is that even if you're
Speaker:not doing anything wrong,
Speaker:you can get dings or strikes against your account and so
Speaker:a lot of good businesses are on the verge of getting
Speaker:shut down just because enough people have accused them of infringement
Speaker:when they're not infringing and so for a lot of reasons,
Speaker:I actually think that I don't think anybody has to rush
Speaker:off with platforms.
Speaker:I actually,
Speaker:I was just showing Sue earlier our new place,
Speaker:and we've got a lot of this stuff from Etsy,
Speaker:but I think as a business owner it can be hard
Speaker:to put your eggs in a basket that you don't own.
Speaker:Interesting that you say this because just a few episodes ago
Speaker:we were interviewing and talking with someone about Etsy and one
Speaker:of the things that we were discussing in that episode is
Speaker:Etsy is still a platform that you don't own,
Speaker:just like social media sites.
Speaker:So it's a nice compliment to your own website,
Speaker:but it shouldn't be the only site that you have For
Speaker:the reasons you just described.
Speaker:Absolutely. Absolutely.
Speaker:And so going back to your question,
Speaker:that initial blog post out at sea got me pretty well
Speaker:recognized in the crafter space.
Speaker:We also work quite a bit with wedding industry professionals,
Speaker:like event planners that then use,
Speaker:we work with a lot of business coaches and really I've
Speaker:learned that that descriptor of a creative business owner is a
Speaker:lot broader than I thought when I started.
Speaker:And really anybody who is entrepreneurial and it grows out of
Speaker:a place of passion,
Speaker:whether that's a hobby or just something that they want to
Speaker:do really good in the world.
Speaker:We've had a couple of clients with just really neat businesses
Speaker:that might not literally be what we would think of as
Speaker:creatives, but they're putting together really,
Speaker:really cool services that allow people to travel in cool ways
Speaker:or platform owners or people that are trying to build their
Speaker:own subscription boxes for whatever.
Speaker:So there's a wide gamut of what we do.
Speaker:But it's been helpful because it's allowed me to see a
Speaker:lot of common denominators that regardless of the industry that you're
Speaker:in, there tends to be an order of what you should
Speaker:be focusing on on the legal side.
Speaker:Oh, that's interesting.
Speaker:So I want to talk about that.
Speaker:When you say order,
Speaker:that makes me,
Speaker:and for our conversation,
Speaker:I think most of the people who are listening here are
Speaker:creators in more of the traditional sense.
Speaker:They're a maker.
Speaker:So they might be baking cakes or they might be creating
Speaker:favors for parties,
Speaker:which does get into like the event planner.
Speaker:Cause sometimes event planners also actually do the making of whatever
Speaker:it is or they make jewelry or something.
Speaker:So it's more of a tangible product.
Speaker:So I think that a good way to direct the conversation
Speaker:to those types of folks because that's pretty much who's listening
Speaker:here. So I'm curious now when you say order,
Speaker:what does that mean?
Speaker:Yeah, well I've learned to really think of it as,
Speaker:you know how there's that hierarchy of needs that you learn
Speaker:in psych class.
Speaker:I feel like there's a very similar type of hierarchy on
Speaker:the legal side of things.
Speaker:Now, before I get into what I've learned as the order,
Speaker:I will say for any of your listeners that are viewing
Speaker:themselves more as hobbyists than business owners,
Speaker:honestly I don't think there's that much you need to worry
Speaker:about legally because your business isn't really worth protecting until it's
Speaker:successful. And I say that to hopefully give you a lot
Speaker:of peace of mind.
Speaker:A lot of business owners that I run with,
Speaker:they freak out about the legal side and it prevents them
Speaker:from focusing on sales or doing other things to grow their
Speaker:business. And I don't think that it's wrong to kind of
Speaker:jump in as a hobbyist and do these things,
Speaker:but at the end of the day,
Speaker:if you're not selling to a lot of strangers,
Speaker:you're not exposing yourself to a lot of risks.
Speaker:Practically speaking,
Speaker:the likelihood of something going wrong in your business is pretty
Speaker:low and I just don't want you to worry that much
Speaker:if you are really awaring that hobby hat pretty strongly.
Speaker:Okay. But we're talking about that in terms of protecting your
Speaker:intellectual property while business formation too though.
Speaker:But I think maybe we could agree that the line in
Speaker:the sand would be if you're selling to people other than
Speaker:people that you know.
Speaker:Yeah. Once you've exhausted that warm market,
Speaker:I think it's,
Speaker:well, I'm glad that you checked me on that.
Speaker:I think that some people,
Speaker:they need to realize that they are business owners and they
Speaker:don't like the term.
Speaker:Ah, okay.
Speaker:Yeah, because I'm thinking of like at such point that someone
Speaker:let's say starts going to a craft show.
Speaker:Yes. Specially if you have something edible,
Speaker:you want to be covered.
Speaker:Oh yes.
Speaker:Or if you have,
Speaker:you know,
Speaker:like in your product,
Speaker:if there's things that are sharp,
Speaker:I'm thinking from business formation,
Speaker:tax purposes,
Speaker:registering a company and insurance purposes,
Speaker:which I link under business formation.
Speaker:That may be is one separate bucket versus trademarks.
Speaker:Copyrights. Yeah,
Speaker:that's very correct.
Speaker:So I like to think of this legal hierarchy as what
Speaker:is most likely something that is bad that can happen to
Speaker:your business.
Speaker:And the most common legal problem that I see having right
Speaker:now is they're waiting to protect their copyrights and trademarks until
Speaker:it's too late.
Speaker:Oh, interesting.
Speaker:Okay. Keep going with that because I'm kind of under the
Speaker:thinking that even if you protect it,
Speaker:you really can't protect it without throwing a lot of money
Speaker:at it.
Speaker:Yeah. So I really question like at what point or how
Speaker:much money should you,
Speaker:where should you really go to protect?
Speaker:I'm super interested in you continuing to talk about this.
Speaker:So, so you say one of the most common things then
Speaker:is that people wait until it's too late.
Speaker:Yeah. I'm sure you can't share us a real story about
Speaker:a client,
Speaker:but can you kind of mask it a little bit and
Speaker:tell us a story about something that happened to someone so
Speaker:we can get a feel for what you're talking about?
Speaker:For sure.
Speaker:So there was a maker who came to us and was
Speaker:like, Hey,
Speaker:I'm interested in a trademark.
Speaker:And we kind of explained what it was and we explained
Speaker:what our packages were and they said,
Speaker:I don't think our business is quite ready to make that
Speaker:investment yet.
Speaker:And we said,
Speaker:okay. And they came back to us months later and a
Speaker:different company,
Speaker:a different maker,
Speaker:had filed for a trademark application for the same name.
Speaker:Now the way that trademarks work is that you don't get
Speaker:exclusive rights to your name unless you have a federal registration
Speaker:in place.
Speaker:And technically speaking,
Speaker:the first person to use a trademark and interstate commerce has
Speaker:the strongest rights when it comes to a registration that's recognized
Speaker:by the U S trademark office.
Speaker:But practically speaking,
Speaker:the first person to file for a registration has the easiest
Speaker:and least expensive time showing the trademark office that they are
Speaker:the true owner with the strongest rights.
Speaker:I know there's a thing called usage,
Speaker:right? So if someone is using a name,
Speaker:they could claim it,
Speaker:but it's harder to prove and it's much better to be
Speaker:on the side of having all the paperwork submitted.
Speaker:Yes. Because what's happening,
Speaker:and just to paint a picture,
Speaker:it's especially interesting with trademark.
Speaker:This shouldn't surprise you or any of your listeners too.
Speaker:There are just more small business owners that than there ever
Speaker:have been before.
Speaker:Around 1995 I think there were just about a hundred thousand
Speaker:trademarks that were applications that were filed that year.
Speaker:That's a hundred thousand last year there were over 400,000
Speaker:applications that were filed.
Speaker:Oh my.
Speaker:And so the amount of available names are shrinking.
Speaker:So it's important to make sure that you're not infringing on
Speaker:anybody else's trademarks.
Speaker:And then it's also important when you come up with something
Speaker:unique to put your stake in the ground as quickly as
Speaker:possible. Okay.
Speaker:So to finish up the story,
Speaker:what did your client have to do?
Speaker:Did they have to change their name?
Speaker:Cause now they're infringing on somebody else?
Speaker:Yeah. Well whether or not they were infringing was questionable because
Speaker:they were thinking that they were using at first,
Speaker:but they didn't file it.
Speaker:So we did the math and they said,
Speaker:you know what,
Speaker:it would be cheaper for us to just rebrand right now
Speaker:than it would for us to fight this trademark.
Speaker:Got it.
Speaker:But it was still unfortunate cause they had to get a
Speaker:new domain name,
Speaker:build new social media.
Speaker:And either way it takes you off your game.
Speaker:It takes you away from any momentum that you have because
Speaker:you have to stop,
Speaker:reposition and all of that.
Speaker:Absolutely. So at what point,
Speaker:so we're talking trademarks right now,
Speaker:so let's stick with that.
Speaker:So somebody starting a business,
Speaker:they have a name,
Speaker:they have been selling a little bit to family and friends.
Speaker:So they're getting a feel for creating the product.
Speaker:A little bit of money starting to be traded,
Speaker:but it's right at that line that we just defined that
Speaker:now they're going to do a craft show.
Speaker:So is that the point then when they should start looking
Speaker:at trademarking or should they have done it earlier?
Speaker:I mean there's no right answer.
Speaker:Although the general rule of thumb that I like to give
Speaker:is if you think that you will be using this name
Speaker:and that you will be in business three years from now,
Speaker:Go ahead and invest in that trademark protection.
Speaker:And how hard is it?
Speaker:Like where do you have to do to get a trademark?
Speaker:So first of all,
Speaker:you don't need an attorney,
Speaker:but it is highly advised that you have one helped you
Speaker:because it is a complicated process.
Speaker:But the first thing that you will want to do is
Speaker:run a very strong search of existing trademarks to make sure
Speaker:that your application won't get refused because it's too confusingly similar
Speaker:to an existing application or registration.
Speaker:And I think if your application gets refused,
Speaker:you don't get reimbursed the money.
Speaker:Right? Correct.
Speaker:Which is why it's good to do a search first.
Speaker:Yep. So you run the search first,
Speaker:make sure that it's worth pursuing and submitting that application and
Speaker:then you submit the application.
Speaker:There are several stages to the trademark office is review process
Speaker:and I won't get into it but it usually takes between
Speaker:six and 12 months.
Speaker:Again, they get at this point over 400,000
Speaker:filings a year and then once you get the registration,
Speaker:that is awesome.
Speaker:That's just the beginning because at that point you have to
Speaker:make sure that you are using and maintaining and enforcing your
Speaker:rights or else you risk losing them.
Speaker:Right. Because if you are not actively using that name and
Speaker:prove that you are,
Speaker:so what would that be like putting it on a website,
Speaker:putting it on your product,
Speaker:like anything like that?
Speaker:Yeah, so there are five and then 10 year increments with
Speaker:the trademark office where they require a proof that you're still
Speaker:using it and the point of a trademark is for there
Speaker:to be a clear source identification.
Speaker:What I mean by that is if a new coffee shop
Speaker:opened up tomorrow and it called itself Starbucks,
Speaker:that would be awful because you wouldn't know which Starbucks you
Speaker:were actually ordering coffee from.
Speaker:And so that's the point of trademarks is to make sure
Speaker:that the customers know which businesses they're getting business from.
Speaker:And so if you are not using your trademark but also
Speaker:preventing others from using similar trademarks,
Speaker:then there becomes an issue of what's called dilution,
Speaker:where if so many people start calling your business that name,
Speaker:then it hinders your rights.
Speaker:This is something that we're seeing in especially like the merchandise
Speaker:space when it comes to crafting and making.
Speaker:There are a lot of people who are applying for trademarks
Speaker:that are not really trademarks,
Speaker:and I could go on to this for days.
Speaker:It's a huge issue,
Speaker:especially on Etsy,
Speaker:but people are filing for trademark applications for phrases that they're
Speaker:putting on their shirts or their mugs.
Speaker:Oh my gosh.
Speaker:And those phrases are not trademarks.
Speaker:It's not the business name,
Speaker:it's not the logo of the company or the slogan.
Speaker:It's just a cute saying.
Speaker:And people have actually tried to get a trademark registration for
Speaker:the phrase,
Speaker:me too.
Speaker:And you can't register just commonly used groups of words together.
Speaker:Correct. If it is commonly used and it's used in a
Speaker:descriptive way,
Speaker:then that's not a trademark.
Speaker:Now common words can be trademarked.
Speaker:Like Apple is a great example.
Speaker:No one thinks of computers automatically when they think of Apple,
Speaker:but they do now because of the brand that has grown
Speaker:around it.
Speaker:Okay. And trademarks are by country,
Speaker:right? Correct.
Speaker:So if you're international,
Speaker:you need to have trademarks in different countries to protect your
Speaker:name. Yes.
Speaker:What's unfortunate about that is that there's no international relationship that
Speaker:allows you to just get black and white global protections.
Speaker:There is a treaty that makes it easier,
Speaker:but you still have to go country by country getting your
Speaker:trademark accepted.
Speaker:Okay. All right,
Speaker:so let's stick with trademarks a little bit again for the
Speaker:new person.
Speaker:So if there comes a point when then you,
Speaker:if you really love your name,
Speaker:if you're using your name,
Speaker:if your name is super unique,
Speaker:go ahead and invest in a trademark and it makes sense
Speaker:to go through versus legal zoom or whatever it is to
Speaker:go through someone and you know,
Speaker:almost someone that's local or maybe online because it's so easy
Speaker:to communicate,
Speaker:but someone who specializes in that,
Speaker:not because of the expense or anything,
Speaker:but just to make sure you're doing it properly.
Speaker:Would that be right?
Speaker:Yeah. So what's unfortunate about either doing it yourself or going
Speaker:through legal zoom?
Speaker:The way that legal zoom currently does trademark services is that
Speaker:it's purely a form filling procedure.
Speaker:So they won't actually analyze things for you.
Speaker:They'll just ask you for information,
Speaker:take your answers,
Speaker:and put that into the application,
Speaker:submit it.
Speaker:And so again,
Speaker:because of the number of trademark applications that are being filed,
Speaker:the trademark office is getting increasingly strict about what applications they'll
Speaker:accept. Like you said,
Speaker:Sue, you don't get that money back if they reject it.
Speaker:So you want to make sure if you're going to invest
Speaker:it, that you do it the right way.
Speaker:And so I know another question that people are thinking about
Speaker:right now is what type of an investment,
Speaker:and maybe it's a range you can give me,
Speaker:I don't know what your services are,
Speaker:but like what is the range if you're looking to hire
Speaker:somebody to help you with this?
Speaker:Yeah, so I would say typically you were right to say
Speaker:that some people really do appreciate local attorneys and it can
Speaker:be great to have that face to face interaction depending on
Speaker:where you are in the country.
Speaker:Attorney rates differ.
Speaker:I've seen trademark application packages range from a thousand dollars to
Speaker:upwards of $3,000
Speaker:we offer a starting package at around 1300 and then we
Speaker:have discounted packages for our clients that want repeated are they're
Speaker:second or third or 10th trademark with us.
Speaker:But there's a lot that goes into it that people don't
Speaker:realize it is shifting quite a bit right now.
Speaker:And the other huge benefit of working with an attorney,
Speaker:and this is kind of a hidden benefit,
Speaker:is that unfortunately whoever sends the trademark application is starts receiving
Speaker:a lot of spam.
Speaker:Ooh, Oh,
Speaker:that's worth the money right there.
Speaker:And some of that spam is they've gotten really good.
Speaker:I've had clients call me with a letter that they think
Speaker:is from the trademark office saying that they owe the office
Speaker:another thousand dollars I've seen those.
Speaker:Yeah, and so if you work with an attorney,
Speaker:they will keep those at Bay or at least let you
Speaker:know which letters you need to keep track of or throw
Speaker:away. Unfortunately,
Speaker:one of our first clients told us a really unfortunate story
Speaker:that she had and she was pretty business savvy.
Speaker:She filed for her own trademark.
Speaker:She knew that she would be receiving some spam,
Speaker:but because of the amount of spam she received,
Speaker:she accidentally threw out a letter that was from the trademark
Speaker:office that had a hard deadline on it and because she
Speaker:missed it,
Speaker:the application was rejected and she had to start the whole
Speaker:application again.
Speaker:So I went through,
Speaker:I'll just say this because this was my experience and it'll
Speaker:warn people too.
Speaker:I went through a legal person.
Speaker:My brother is a trademark attorney.
Speaker:Okay. Oh nice.
Speaker:So he helped me out with that.
Speaker:He's a big time God,
Speaker:like not too creative.
Speaker:So I'm loving talking to you about all of this,
Speaker:but he did a lot of my stuff.
Speaker:But I guess because the company got registered,
Speaker:I started getting all that spam just like you were saying,
Speaker:but from all these foreign countries,
Speaker:not from the state.
Speaker:So I guess a heads up to everybody about that.
Speaker:I want to keep moving on with this.
Speaker:Have we only been talking about a trademark that is the
Speaker:TM and what's the difference with the register Mark?
Speaker:Great question.
Speaker:So yeah,
Speaker:there are different symbols associated with trademarks.
Speaker:Your crafters,
Speaker:your makers,
Speaker:your gifters,
Speaker:your bakers will probably,
Speaker:if you don't have a registered trademark,
Speaker:you want to use the TM symbol.
Speaker:If what you sell is technically a service and not a
Speaker:product, then you'll want to use an SM symbol instead of
Speaker:a TM symbol.
Speaker:Oh, I don't even know about SM.
Speaker:Ask them is short for service Mark.
Speaker:It's a little archaic.
Speaker:No one really uses the phrase anymore,
Speaker:but technically if you're selling a service and you want to
Speaker:show that it's a Mark,
Speaker:you would use the SM symbol and not the TM symbol
Speaker:and then you use the circle our registration symbol until you
Speaker:get a registered trademark.
Speaker:So just by filing it,
Speaker:that doesn't mean you get to change the logo or anything.
Speaker:It is helpful when you are going through that process,
Speaker:especially once you start getting towards the end of it.
Speaker:I always enjoy telling my clients it's time for them to
Speaker:start talking with their graphic designer,
Speaker:whoever it is that's putting together their graphics and preparing the
Speaker:logos with the circle R so that as soon as they
Speaker:get it they can start using it.
Speaker:Yeah, that was really fun when I got it,
Speaker:I felt really super important.
Speaker:Yeah, it is important.
Speaker:Yeah. Okay,
Speaker:so another thing that I think our audience gets confused with
Speaker:is the difference between a trademark and a copyright.
Speaker:Yeah, and it can be confusing.
Speaker:Joey's going to clear all this up for us.
Speaker:Right after a quick word from our sponsor.
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Speaker:Craft studio in seconds,
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Speaker:for more information.
Speaker:So a trademark,
Speaker:like I said,
Speaker:is a source identifier for the business.
Speaker:So that could be the business name,
Speaker:a logo,
Speaker:a slogan,
Speaker:a copyright is a work of art that is in fixed
Speaker:form that because of the fact that you put in work
Speaker:to create it,
Speaker:you get these copyright protections.
Speaker:The way that I like to think about them is a
Speaker:copyright is valuable because of the work that you put into
Speaker:it. Whereas a trademark is valuable because of the business you
Speaker:built around it.
Speaker:So as an example,
Speaker:the Batman logo,
Speaker:I think it was Batman begins or no,
Speaker:that doesn't make sense.
Speaker:One of the newer Batman movies,
Speaker:it opened up with a scene where somebody who wasn't Batman
Speaker:was wearing a fake costume and like tried to save the
Speaker:day and then the real Batman came and like helped things
Speaker:out. And the Batman costume itself is a copyright in the
Speaker:sense of like you can create it.
Speaker:But the trademark to that comes from when people see that
Speaker:Batman logo,
Speaker:they trust that Batman's coming.
Speaker:I love this example in the same way,
Speaker:and this is something that I think a lot of branding
Speaker:experts agree with me on this,
Speaker:is that there's a lot of value that can go into
Speaker:a knock up logo,
Speaker:like a really top notch looking logo.
Speaker:But the Nike symbol isn't amazing because it's just an intrinsically
Speaker:beautiful looking thing.
Speaker:It's amazing because of what the company is done around the
Speaker:logo. Right?
Speaker:So it's all part of the brand.
Speaker:Yeah. And so now when you see Nike,
Speaker:you're not just thinking,
Speaker:Oh that's a pretty shape.
Speaker:It's everything that Nike stands for.
Speaker:Exactly. So the unfortunate thing about copyrights in the maker and
Speaker:crafter space is that not everything that we create is protectable
Speaker:by copyrights.
Speaker:And you mentioned bakers,
Speaker:so if you're making food,
Speaker:one of the requirements have a copyright is that it has
Speaker:to be in a fixed form.
Speaker:And so because somebody can eat the cake,
Speaker:you don't have copyright protections to your cake.
Speaker:Oh, interesting to that specific cake you made.
Speaker:But what about the recipe?
Speaker:The recipe,
Speaker:you can have protections and photos of it.
Speaker:You can,
Speaker:the thing that's super interesting about copyrights is that it's very,
Speaker:very layered.
Speaker:So I was speaking at a local coffee shop recently and
Speaker:it's a nonprofit coffee shop owned by state farm here in
Speaker:Chicago. And they were telling me that they recently conducted a
Speaker:series of interviews about business owners in the area and they
Speaker:put together all of these different pieces of footage from the
Speaker:different people that they interviewed.
Speaker:And then before they sent it out to put it up
Speaker:on YouTube,
Speaker:they send it to the legal team and the legal team
Speaker:has said,
Speaker:everything looks great except there's this five seconds where this guy
Speaker:with a big tattoo is talking and we need to get
Speaker:permission from all of them,
Speaker:all of the actual people in the videos to waive their
Speaker:rights and to allow us to use their images and these
Speaker:videos. But especially this guy with the tattoo,
Speaker:that tattoo it could potentially be protected by copyright by the
Speaker:tattoo artist.
Speaker:So we have to track down this tattoo artist and get
Speaker:his permission to use the tattoo in the video.
Speaker:Oh my gosh.
Speaker:And not only that,
Speaker:but that tattoo artist might not have created the original tattoo.
Speaker:So we have to see from that tattoo artist whether he
Speaker:created it or he took the design from somebody else and
Speaker:then we have to go to that other person and get
Speaker:their permission and what they ended up just taking the guy
Speaker:out of the video.
Speaker:But it was a really interesting example of how layered copyrights
Speaker:can be,
Speaker:especially when it comes to taking photos of works or putting
Speaker:certain designs on things.
Speaker:Yeah. Okay.
Speaker:So that's something that we need to be sensitive to when
Speaker:we are taking photos.
Speaker:Lifestyle photos are so valuable and are so great now having
Speaker:somebody using a product of yours wearing a product of yours
Speaker:versus just showing pictures of your product.
Speaker:So I think you're sharing with us that we have to
Speaker:be careful about that.
Speaker:What else in the scene and if it's copyrighted,
Speaker:you've got to be a little bit careful about that.
Speaker:Which leads me to a different question.
Speaker:A lot of times photography gets stolen when the gift basket
Speaker:industry, that happens a lot.
Speaker:Someone recreate someone else's design,
Speaker:uses their photos and so people have started doing a lot
Speaker:of watermarking of their products.
Speaker:What do you think about that?
Speaker:It's such an interesting blend of issues like legal and business
Speaker:and does the watermark hurt the fact that you have an
Speaker:image there?
Speaker:I will say first of all,
Speaker:when it comes to copyright,
Speaker:just so that we can circle back to this,
Speaker:you can register copyrighted works the same way you can register
Speaker:trademarks and it's much easier to do.
Speaker:I'm a huge proponent of people going out there looking at
Speaker:the copyright application process and doing what you can to protect
Speaker:your own copyrights.
Speaker:The cool thing about technology these days is that there are
Speaker:some really great services that you can buy for relatively cheap
Speaker:that will put meta-tags on your photos so that if anybody
Speaker:takes it,
Speaker:you'll get alerted and they could even send cease and desist
Speaker:letters on your behalf.
Speaker:Oh no kidding.
Speaker:And so,
Speaker:yeah, so I'm a fan of watermarking.
Speaker:I understand that there might be a balance that you would
Speaker:want to take to make sure that you're not making that
Speaker:watermark. So obtrusive of the value of the photo that it
Speaker:takes away from your photos.
Speaker:I know some,
Speaker:going back to my wedding planner buddies,
Speaker:I have some wedding planners.
Speaker:They only work with photographers who don't use watermarks because they
Speaker:don't want that to tarnish the look of their websites.
Speaker:And their photo galleries.
Speaker:And so did I hear you correctly,
Speaker:you said that there are companies out there that will do
Speaker:that meta tagging of your photos.
Speaker:It's pretty neat.
Speaker:Do you know any of the names or in case someone's
Speaker:curious about those?
Speaker:I don't have the names of them at the top of
Speaker:my tongue,
Speaker:but I can get a couple of the ones that I
Speaker:know of,
Speaker:I can share them with you Sue.
Speaker:And I'm pretty sure that if you Google copyright photo you
Speaker:should be able to find some service that does that for
Speaker:you or something.
Speaker:So yes,
Speaker:it's a great option for people.
Speaker:Okay. So Joey,
Speaker:if you find any of those gift biz listeners out,
Speaker:check the show notes page cause I'll put them in there
Speaker:if we're able to get some names.
Speaker:But I had no idea that that even existed.
Speaker:So that's really interesting.
Speaker:No clue.
Speaker:I had no idea about that.
Speaker:Yeah. Oh here's one of them.
Speaker:It's mot.
Speaker:If you can think of the word Meow like a cat,
Speaker:but instead of the letter E it's the letter Y don't
Speaker:know how they pronounce it.
Speaker:So how do you spell it?
Speaker:Am Y O w s.com.
Speaker:Okay, perfect.
Speaker:I haven't used the product before,
Speaker:but it's been recommended to me and I've heard great things
Speaker:about it.
Speaker:Okay. Yeah.
Speaker:Well that's just interesting.
Speaker:Like I said,
Speaker:I had never heard about that before at all.
Speaker:All right,
Speaker:so now let's move on to something else that I'm curious
Speaker:about and that is patents.
Speaker:When is that important?
Speaker:Oh geez,
Speaker:sorry. Patents I think are very important and let's step back
Speaker:a little bit.
Speaker:So far we're talking about all these intellectual property issues.
Speaker:I like to think that intellectual property issues contracts,
Speaker:whether that's legitimate agreements or terms of use that exist on
Speaker:your website and forming an LLC.
Speaker:Those are all three very basic things to understand as a
Speaker:business owner that I think that you should be aware about
Speaker:and take action on relatively quickly as a business owner.
Speaker:But zooming back down into patents,
Speaker:patents are an area of intellectual property that are probably like
Speaker:the sexiest area of intellectual property.
Speaker:I can't speak to it unfortunately that much because in order
Speaker:to practice patent law,
Speaker:you have to sit for the patent bar and you can't
Speaker:sit for that exam unless you have a hard science background.
Speaker:So my English major really screwed me over,
Speaker:but I do know that patents are very expensive,
Speaker:But patents are for when you have made something different.
Speaker:Special, unique unto itself.
Speaker:Yes, like it's more of a formulation versus a creative work,
Speaker:if you will.
Speaker:Right. It's like a new product.
Speaker:Maybe it's the way to say.
Speaker:Yup, It's more good.
Speaker:Yeah. Think of it more as an invention than a product.
Speaker:Oh, there you go.
Speaker:And invention.
Speaker:Okay. They're very,
Speaker:very expensive.
Speaker:Although I don't practice it.
Speaker:I do have quite a few patent attorneys that I work
Speaker:with that offer free or pretty affordable consultation calls.
Speaker:I think 90% of the time when they talk to creatives,
Speaker:they figure out that it's probably,
Speaker:they don't need to worry about patents just yet.
Speaker:But like you said,
Speaker:if you're working on something that you think is more inventive
Speaker:or something that's kind of really just different in the marketplace.
Speaker:I think it's worth at least reaching out to a patent
Speaker:attorney just to confirm whether or not it's something you should
Speaker:be spending more time and money on.
Speaker:Okay. And we talked just very briefly about some of the
Speaker:documents or contracts,
Speaker:if you will,
Speaker:however you want to say it,
Speaker:that you should have on your website.
Speaker:What are the bare minimum things that you should be putting
Speaker:on your site?
Speaker:Yeah, so the first thing that you want to make absolutely
Speaker:sure that you put on your website is a privacy policy.
Speaker:A privacy policy is required throughout the United States because of
Speaker:the state of California.
Speaker:And now because of the European union,
Speaker:Oh, don't even get me started there.
Speaker:Don't even,
Speaker:cause I had to do it for both my businesses.
Speaker:Oh my gosh,
Speaker:It's a headache.
Speaker:Here's the deal about privacy policies.
Speaker:We actually give,
Speaker:we have standard versions of them that we give away for
Speaker:free to our clients.
Speaker:Privacy policies are pretty standard legal documents.
Speaker:The reason why you need it is because there are laws
Speaker:that exist that require for every time a visitor comes to
Speaker:your website,
Speaker:you have to disclose to that person how you're using,
Speaker:storing, collecting,
Speaker:and securing their private information and even if your website is
Speaker:just having a contact me page,
Speaker:even if you're not selling anything directly through the site,
Speaker:the fact that you might be collecting people's email address is
Speaker:personal information.
Speaker:Okay, so privacy policy.
Speaker:What else?
Speaker:The second big one is the terms of use also called
Speaker:terms and conditions or terms of service.
Speaker:It all means the same thing.
Speaker:The deal with those terms,
Speaker:nothing requires you to have it other than the fact that
Speaker:without it you don't have a contract in place.
Speaker:So Sue,
Speaker:if I were to buy one of your products in person
Speaker:and it was a big order,
Speaker:you'd probably have me sign some type of a contract.
Speaker:But because people are buying and selling online,
Speaker:this terms of use is what is acting as the contract
Speaker:and it has language like what happens if you want to
Speaker:return this or cancel the order before it ships or what
Speaker:if you get the item and it looks slightly different than
Speaker:what you saw on the computer screen.
Speaker:So is that different than store or could that be one
Speaker:in the same?
Speaker:They could be one in the same.
Speaker:So if you have both an online store and a brick
Speaker:and mortar,
Speaker:you can point both online orders and orders from the store
Speaker:to the online terms of use and say all orders done
Speaker:from this company are done through here.
Speaker:Okay. So we've got these two,
Speaker:the privacy policy terms of use.
Speaker:Anything else mandatory for your website?
Speaker:It depends.
Speaker:If you're doing any wholesale,
Speaker:you want to make sure that you're having wholesale terms.
Speaker:Now, some people will put all of these documents and no
Speaker:one huge page on their website,
Speaker:which is okay.
Speaker:I think as a customer it's helpful to have them separate
Speaker:it out.
Speaker:But you can have wholesale agreements,
Speaker:you can have licensed terms,
Speaker:so if you sell digital products and maybe you sell them
Speaker:to people to use for personal use only,
Speaker:but you don't want them reselling your digital products and opening
Speaker:up their own store that competes with yours.
Speaker:You would want a set of license terms that says here's
Speaker:what you can do with those graphics,
Speaker:those online products.
Speaker:Here's what you can do,
Speaker:or here's if you pay more here to ours as a
Speaker:more things that you can do with it than if you
Speaker:buy it under the cheaper smaller license.
Speaker:Okay, got it.
Speaker:Then also affiliate agreements.
Speaker:If you Philly,
Speaker:it's Perfect.
Speaker:Okay, so now remember that thing you said,
Speaker:keep it simple,
Speaker:positive, honest,
Speaker:inhuman. Let's go back to that now.
Speaker:Right. Okay,
Speaker:so somebody brand new who's mind is like spinning now cause
Speaker:I don't want to paralyze people and have them be,
Speaker:Oh my gosh,
Speaker:this is way too much.
Speaker:Let's go back to the newbie and talk again and remind
Speaker:them really what they need to do to get started.
Speaker:Once again,
Speaker:they've crossed the line,
Speaker:they're going to go into a craft show.
Speaker:They're no longer just selling to friends and family.
Speaker:Yeah. I think the first big thing is awareness,
Speaker:so you don't need to go to law school or spend
Speaker:hours and weeks looking all of this up online and please
Speaker:don't feel like you have to go into Facebook groups and
Speaker:learn about all of this stuff,
Speaker:but at a high level,
Speaker:understand the difference between patents,
Speaker:trademarks and copyrights just so you can be aware of what
Speaker:they mean and what you may be more interested in protecting
Speaker:first. Then especially if you are getting off of Etsy and
Speaker:you have your own online store or you are selling things
Speaker:directly, you wouldn't have a contract in place.
Speaker:Whether that's an actual thing that you have people sign or
Speaker:that's the privacy policy terms of use,
Speaker:everything else that sits at the footer of your website.
Speaker:The third big thing is forming an LLC or some type
Speaker:of illegal entity to protect your personal assets.
Speaker:Perfect and we haven't talked about that a lot,
Speaker:but I'm a huge advocate of an LLC versus a sole
Speaker:proprietorship. Do you want to comment at all about that?
Speaker:Or I can talk about this all day.
Speaker:Talk about it in a minute and a half.
Speaker:My three reasons for forming an LLC,
Speaker:number one,
Speaker:it gives you that important fence between what the owns and
Speaker:his assets and what you could potentially be appliable for,
Speaker:which is important.
Speaker:The second reason why it's important is it's a lot easier
Speaker:to get it done earlier than get it done later down
Speaker:the road because as soon as you form an LLC,
Speaker:you're technically creating an entirely new business.
Speaker:And if you have gone through the trouble of let's say
Speaker:getting a trademark copyrights,
Speaker:you've started working with other people,
Speaker:you've got partners,
Speaker:you've got contractors.
Speaker:If you then form an LLC,
Speaker:you have to go back to all of those things and
Speaker:say, we're actually,
Speaker:we need a transfer.
Speaker:All of that paperwork from the sole proprietor to the LLC.
Speaker:And so it's important to get it done as quickly as
Speaker:you can get it over with.
Speaker:The third reason why I love it,
Speaker:going back to my saying of I love myself more than
Speaker:I love my business.
Speaker:If you're a sole proprietor,
Speaker:you are your business and it's really hard as a newbie
Speaker:to mentally distinguish yourself from the business.
Speaker:And so actually creating that separation is huge in terms of
Speaker:jump-starting your momentum,
Speaker:your activity,
Speaker:you executing and treating the business like a business and not
Speaker:just an extension of you.
Speaker:That's really good.
Speaker:I've never heard it said that way and you're really right.
Speaker:I mean you're really saying,
Speaker:okay now this is a business,
Speaker:especially for people who are makers who have been involved in
Speaker:what they're now trying to sell.
Speaker:Having that distinct transition I think is a mindset.
Speaker:It puts you in a different state and I think that
Speaker:affects your activity and how you go through your day as
Speaker:you're now a business.
Speaker:Absolutely. So really good.
Speaker:Really good.
Speaker:Joey, Did I get that done in under a minute and
Speaker:a half?
Speaker:I don't know.
Speaker:But it was good.
Speaker:So you get a passing grade on everything here today cause
Speaker:this has been really helpful.
Speaker:And having you again,
Speaker:because your area of specialty is creators and makers,
Speaker:you really brought it down.
Speaker:Just even the way you're talking to us,
Speaker:you really bring it down to a level where everyone can
Speaker:relate. So I really appreciate that.
Speaker:And to show my appreciation.
Speaker:Joey, I'd like to present you with a virtual gift.
Speaker:It's a magical box containing unlimited possibilities for your future.
Speaker:So this is your dream or your goal of almost unreachable
Speaker:Heights that you would wish to obtain.
Speaker:Please accept this gift and open it in our presence.
Speaker:What is inside your magical box?
Speaker:Man, I love that question.
Speaker:And this might not be the best answer you've received and
Speaker:maybe it's corny,
Speaker:but for me it's your answer.
Speaker:Whatever it is,
Speaker:it's yours.
Speaker:It's just a lot of people and relationships.
Speaker:So you're a people person.
Speaker:Yeah. I have learned that while money is very important,
Speaker:it doesn't buy you happiness.
Speaker:And the relationships that I have personally and also the relationships
Speaker:that I formed because of my business have been invaluable.
Speaker:I mean,
Speaker:yeah, they've helped my business grow,
Speaker:but they've added a completely new level of meaning to my
Speaker:life that I'm so grateful for and I never thought that
Speaker:I would run A business if you would've asked me five
Speaker:years ago,
Speaker:I've ended the night.
Speaker:You are going to be a partner in a law firm.
Speaker:Exactly, yeah.
Speaker:Maybe not even ever a partner,
Speaker:But thinking now about myself as a business owner and the
Speaker:people that I will get to meet and hopefully contribute value
Speaker:in their lives through.
Speaker:It's so freaking cool.
Speaker:That's awesome.
Speaker:So that moves me perfectly into what I want to say
Speaker:next. So if anybody who's listening may want to become one
Speaker:of those people to you,
Speaker:how can people learn more about what you're doing and hear
Speaker:about the services you offer,
Speaker:et cetera.
Speaker:You can go to Indy law.com
Speaker:which is my website and you are actually the first podcast
Speaker:that I'm telling people about this to see.
Speaker:But Oh,
Speaker:I feel so special.
Speaker:I have a free trademark crash course.
Speaker:Ooh. Like you said,
Speaker:I try and keep things simple and human and positive.
Speaker:It's just three videos each around five minutes long.
Speaker:That dive,
Speaker:especially through trademarks at a deeper level just because I really
Speaker:want business owners to understand what trademarks are and what they
Speaker:aren't so that when they're ready to invest they are making
Speaker:that educated decision.
Speaker:And as an added bonus,
Speaker:and this is a spoiler alert just by walking through this
Speaker:course, I am automatically giving you my discounted rate that I
Speaker:give my existing clients on the trademark packages.
Speaker:So you can access that just by going to indie law.com
Speaker:and then slash TM crash course.
Speaker:So trademark and then crash course all spelled out.
Speaker:Yeah, it's indie law.com
Speaker:and then just the letters T M and then crash course.
Speaker:Perfect. And I will have this also in the show notes
Speaker:page you guys,
Speaker:cause this town's like an awesome deal going through learning more
Speaker:about trademarks through your videos and then having an opportunity if
Speaker:you're in a place where you see,
Speaker:Oh my gosh,
Speaker:I need something,
Speaker:I need some help,
Speaker:I need some work on this.
Speaker:Getting a little bit of a discount is fabulous.
Speaker:So Joey,
Speaker:thank you.
Speaker:We get to be the first ones.
Speaker:I get to share it with my listeners first.
Speaker:Right? Yeah,
Speaker:so I mean it really is an honor to be here
Speaker:and I'm really glad that I was able to get this
Speaker:done in time to share with you guys because trademarks are
Speaker:confusing and if all that I can do is give you
Speaker:peace of mind and understanding about it,
Speaker:I'd love to.
Speaker:Perfect. I'm going to end on that.
Speaker:Thank you so much for your time today.
Speaker:Thank you for your knowledge,
Speaker:your expertise,
Speaker:having this crash course ready to go for us.
Speaker:That's so fabulous and continued success to you and I wish
Speaker:that you meet many,
Speaker:many, many,
Speaker:many more people in your life just like you would wish.
Speaker:Thanks again.
Speaker:Take care.
Speaker:Are you discouraged because your business is not performing as you
Speaker:had envisioned?
Speaker:Are you stuck and confused about how to turn things around?
Speaker:Sue's new.
Speaker:Best selling is structured to help you identify where the holes
Speaker:are in your business and show you exactly how to fix
Speaker:them. You'll learn from Sue and owners just like you who
Speaker:are seeing real growth and are living their dream maker to
Speaker:master find and fix what's not working in your small business.
Speaker:Get it on Amazon or through www.
Speaker:Doug gift biz,