Ian Fernando, Kevin Fleming, and Philadelphia Internet Marketers « Direct Response Marketing

Apr 2 2011

Ian Fernando, Kevin Fleming, and Philadelphia Internet Marketers

By Rich Gorman 24 Comments

I just wanted to do a quick shout out to both Ian Fernando and Kevin Fleming. Thank you for dinner the other night in Philly Ian.

For those of your that don’t know Ian Fernando, Ian is a prolific internet marketer and a master at social media. Last week Mayor Nutter hosted an event for entrepreneurs in the Philadelphia area. Ian invited Kevin and I out to the event. It was a total success and it looks like the good mayor is looking into creative ways to attract internet businesses to the Philadelphia area.

As soon as the Mayor finished his speech, the guys looked at me and knew I was about to make a scene. Ian and Kevin were holding their breath as Mayor Nutter walked through the crowd. Had we not gone to dinner early, I was going to bring to the Mayor’s attention that the only way to attract successful internet based businesses to the Philadelphia area is to do THE EXACT OPPOSITE of what the city is doing right now:

1. Philadelphia is the first city in the continental United States to levy a tax on bloggers. Dumb asses – that’s political suicide as we like to talk more than anyone else on the planet. Hence we blog.

2. Subsidies, subsidies, subsidies. Cities like New York, San Francisco, and Miami got it right a long time ago. It’s simple: take applications for internet entrepreneurs. Discover those that have a lot of influence, then give them tax breaks, pay for their offices, and subsidize their growth. They will in return say so many great things about your city that thousands of businesses will flock to it.

3. Get rid of all the extra business taxes Philadelphia has imposed that other cities haven’t.

It’s not rocket science.

Mayor Nutter seemed surprisingly eloquent and genuine. Maybe he’ll actually “get it.” If he does, guys like Ian, Kevin, and myself will relocate our offices to the city. Which would be perfect timing as Ian and Kevin are gearing up to start launching their own offers, and they are working with yours faithfully

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Jennifer K

It sounds like you have it all figured out! Now can you come to illinois and explain this concept to our lovely legislators Our business are leaving illinois to go to the surrounding cities bc our legislators thought it was a brilliant idea to raise employment taxes. I can just imagaine what they will do to us fellow bloggers and entrepreneurs! Good luck in the city!
Sam

So what exactly were HIS ideas to bring more of us to the city? It seems obvious to me that the taxes/subsidies would be the first things to change. I’d be curious to hear what these “creative ideas” are that he and his have come up with…
- http://www.DirectResponse.net Rich Gorman
  
  Well he noted that he wanted to bring more businesses to the city – but didn’t really go into any detail I really wanted to talk to him in person – next time I will for sure.
Peg S

Can you please explain to me about the tax on bloggers? I haven’t heard of that, and as I blog myself, I’m worried that something like that may be headed my way. How is it imposed? How is it calculated? Are other cities considering it? And if so, why!?!
- http://www.DirectResponse.net Rich Gorman
  
  sure thing – here’s one of the many articles on the tax:http://www.nydailynews.com/money/2010/08/23/2010-08-23_cashstrapped_philly_bloggers_must_pay_for_business_license.html
  
  Philly set the standard – it is starting to propagate to other cities as well.
John B

Subsidies sound like the way to go to me. It’s just like any other thing. Give those with influence the “perks” and they’ll talk you up to others. Why else do the celebrities get everything for free? Have you SEEN those gift bags they get at events? They don’t get those out of the goodness of others’ hearts, and it’s certainly not because they can’t afford them!!
Shanelle

It seems to me if you were actually trying to attract internet business’s that you would make it as attractive as possible for them to locate or relocate there. By making it more difficult you are in actuality going to deter them from being anywhere near a place that is going to charge them for just being there. The fabulous aspect of the internet business is that it can be located anywhere. All cities SHOULD be taking that into consideration.
Ben

You are so right, its not rocket science. The internet businesses are going to go to the cities that make it the most profitable for them. In return they are going to bring revenue to the city. Mayor Nutter needs to take note, he’ll be glad he did.
Jean

I’m surprised how unfriendly Philly is to certain internet based companies. The taxes in Philly are quite high compared to other cities. The bottom line is that what Philly has isn’t enough to make doing business there worth it. Other cities should pay attention and learn from Philadelphia’s mistakes.
Sara

Wake up Philadelphia! Taxing the heck out of bloggers isn’t going to do anything but make us tell the world how unfriendly you are. Make it easy for us to do business with you and we’ll tell all of our friends, and all of their friends and so on. Word travels fast in the blogging world.
haa

Taxing entrepenuers to death will not give them an incentive to help local economies.
- http://www.DirectResponse.net Rich Gorman
  
  indeed
Dkmarcum

Rich – Please come to Ohio and explain this to our government officials. They don’t just over tax internet business, they over tax ALL businesses. Ohio has a CAT Tax (Commercial Activity Tax) and at the beginning of the year, you, as a business, project your sales for the year and pay a certain percentage of your estimate. (Which is based in part on what your sales were last year) I’m not sure if you pay a penality if your actual sales are higher than you project, but next years CAT Tax is higher. There are also so many licenses, fees, permits, etc… It is so difficult for a small business to make it. So many officials and agencies have their hands in your pocket that by the time you pay everyone all the fees and taxes that are due, there is barely enough for the business owner! I don’t mind paying my fair share of taxes. I understand fully that government has to tax in order to operate, but COME ON!! Enough is enough!! I want a little more profit for myself instead of sending my profits to everyone else!
Marcus

I am so tired of watching my bottom line get smaller and smaller each year. It seems that government has nothing better to do than to think up new ways to tax businesses. I think if more successful marketers banned together and ran for public office, we may see an upturn in growth for current businesses and new businesses would start. Someone has to step forward that is not a career politician and teach current government successful marketing and business strategies.
Andy

WOW! I hope other cities are not watching Philadelphia and won’t follow their lead! When will all this taxing stop! Something has to give soon! Keep preaching it Rich!!
Renee

I sincerely hope you get your chance to talk to Mayor Nutter and can talk some business sense into him! I would think that it should be a requirement to have a Marketing Expert in every city’s government that is in charge of attracting new business and growing current business. Don’t back down from the Mayor! Good luck!
Quenton

I love your point #2! The sooner more cities realize the way to strengthen themselve is to make current businesses stronger and to attract new businesses to start up.

@Government: If you treat me right as a business, I will do my best to treat you right! “One hand washes the other” and “You scratch my back and I’ll scratch yours”
Inez

You know… I may not be the smartest cookie in the bag, but I know that you can’t keeping taking from people and never giving back.

A city is like a garden, you have to plant seeds, cultivate it, fetilize it and then harvest the abuntant crop! But you have to put work into it to get a bounty out of it. It seems like government wants to watch businesses work hard and then swoop in at harvest time and take the goods. It won’t work that way. If you don’t do ALL these things and not just some, the garden will wither and die. You can’t just throw seeds out the window and expect to come back tomorrow and pick the produce. It takes time and work.

I hope you go on a nationwide campaign to explain your concepts to governement officials! Thanks for sharing this!!
http://profiles.google.com/adm.tran Andrew Tran

Completely agree with your post. I thought it was a joke when I saw the Philadelphia blog tax on a national headline. I’m graduating this upcoming May and seriously considering leaving the city I grew up in. Anyway we’ll see what Nutter comes up with.

ps. Finally saw the direct response marketer of the year off columbus going to center city today! haha
- http://www.DirectResponse.net Rich Gorman
  
  lol – so he moved location huh?
http://www.facebook.com/kevinfleming Kevin Fleming

One thing I hope the mayor understands is that small business owners and entrepreneurs have the power to bring the city and country out of a recession – instead of creating top heavy government programs as a stimulus, we should be using the money to provide these incentives you mentioned to small business owners and many of those at that event.
- http://www.DirectResponse.net Rich Gorman
  
  great point Kevin. Maybe we should reach out to him? I bet we could get a nice new office space in the city – what do you think bro?
http://www.thehotdogtruck.com Hotdogman

A tax on bloggers? I thought we had it rough in Massachusetts. Up here they tax whatever they can, sometimes two or three times. I hope nobody from the MA Legislature finds out about this. With all the nonsense in Illinois recently about affiliate marketing and a blogger tax in PA, you can almost see a disturbing trend developing. I, for one, am not a big fan of taxes. If they taxed me by the word, I’d go into ditch digging or some such thing.

(Last week I went to the local farm to buy manure for my garden- they charged me sales tax. Talk about shit taxes….)
- http://www.thehotdogtruck.com Hotdogman
  
  I spoke too soon! The Massachusetts Legislature is looking to pass a new law requiring that the state’s 6.25% sales tax be charged on all internet sales made to MA residents.
  
  Bastards.
  
  http://www.necn.com/04/07/11/Mass-weighs-online-sales-tax/landing_business.html?blockID=499577&feedID=4209

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