Speaking In Tongues Larger markets in a smaller world mean big opportunities for translation services.

Despite the many advances in communications made during the past20 years, mankind still lives in the shadow of the biblical Towerof Babel. The overwhelming number of different languages andcultures in the world can prevent understanding and hindercooperation, even as national economies become more and moreinterdependent.

This increasing interdependence of the world's economies isone factor behind the tremendous growth of translation services,says Walter Bacak Jr., executive director of the AmericanTranslators Association (ATA). "The pressure on U.S.businesses to grow has driven them overseas to new markets,"Bacak says. "At first, they were trying to market usingAmerican knowledge, but they've discovered that to besuccessful, you need to market in the local customs andlanguages."

Worldwide expansion of the computer industry, and particularlythe Internet, has also contributed to the growing demand fortranslation services. As people around the world gain access to theNet, the need for multilingual documentation, manuals and Web siteswill increase dramatically. According to market research firmAllied Business Intelligence Inc. in Oyster Bay, New York, theworldwide market for translation services will reach $10.4 billionby year-end and is projected to grow to $17.2 billion by 2003.That's language any entrepreneur looking for a promisingopportunity can understand.

While there are no statistics available on the number oftranslation services based in the United States, for the firsttime, the Census Bureau plans to publish the number of translationservices in the 2000 Census.

Words To Live By

In business since 1981, Manouche Ragsdale, founder and CEO ofIntex Translations in Los Angeles, is reaping the benefits ofglobalization. Her translation service has more than 400 clientsthat run the gamut from law firms and oil companies tomanufacturing companies. "NAFTA has driven manufacturers toprint packaging and other documentation in a few differentlanguages," says Ragsdale, a Tunisian-born polyglot whotranslated for the U.S. Embassy in Tunisia before moving to theUnited States in 1969.

Business has taken off for Ragsdale in the past few years: Shesaw profits climb nearly 30 percent from 1996 to 1997 and expectsIntex to gross $700,000 this year. "With satellites and cableTV, there is a huge worldwide appetite for video," she says.Intex works with various post-production houses to providesubtitles and overdubs for training, promotional and documentaryvideos. Recently, the company translated a commercial for consumerelectronics giant Best Buy Corp. that aired in Japan.

European Translation Services in Cleveland Heights, Ohio,specializes in technical translations. Founder and owner GeoffPacker, 45, has a scientific background and gets a good deal ofbusiness from the research and development departments of largecorporations seeking translations of foreign language technicaljournals, manuals and textbooks.

"Every [prospect I've talked to] has expressed a lot ofinterest in [hiring] a company that can do technical translationsin a lot of different languages," says Packer, who has takengraduate-level courses in organic chemistry, physics, biology andphysiology to boost his qualifications. "Not everybody can doa good job with technical translations. You have to know thelanguage, the format and a little bit about the subject."

Unlike some consulting agencies, translation services generallyhave either very few or no full-time employees. Theproject-oriented nature of the business, as well as theunpredictable demands of clients for translators fluent in obscurelanguages, obliges translation services to rely onsubcontractors.

"I prefer to work with subcontractors rather than haveregular employees," says Packer. "The [workload is notconsistent]--it goes in peaks and valleys. Sometimes you'rerushing, and sometimes you're not busy enough. You can'tguarantee full-time employees that they're going to havework."

Full-time translators at Crimson Language Services Inc. inBrookline, Massachusetts, handle assignments involving popularlanguages such as French, Japanese and Spanish. But founder and CEOMarc Miller, 34, relies on subcontractors for translations of moreobscure dialects. "There are some languages that come up moreoften than others, but unless you own a large company, youwouldn't have the volume to support an in-house person,"says Miller, who began Crimson in 1992 with partner John Connors,35. The company, which grossed $1 million in 1997, has 10 full-timetranslators.

Crimson appears to be the exception rather than the rule when itcomes to hiring translators. "Almost all services subcontractout the work that comes in because that lowers theiroverhead," says Bacak. "Unless the service has aspecialization, it has to go out and find people who have languagespecialties."

Finding translators to work with is relatively easy; ensuringthat they're qualified is another matter altogether. The ATAoffers an accreditation program for translators, but according toBacak, a paper certificate is no guarantee of competency."Accreditation is not a license to do business," saysBacak. "It's more a device to help translators markettheir skills. The accreditation shows that they care about theirprofessional development and indicates that they're interestedin continuing their education."

Ragsdale says that an increase in the number of multilingualAmericans means there is no shortage of translators looking forwork. "It's not hard to find good translators," saysRagsdale. "A lot of gifted people go into the business, andATA's accreditation process helps screen the pros fromless-experienced people. I don't solicit for translators, and Ihave 500 names in my database." Ragsdale suggests that whensearching for a translator, you should look for a mix of formaltraining, real-life translating experience and what she calls"the knack": the ability to think in two or morelanguages at once.

Money Matters

The financial demands of starting a translation service varygreatly depending on the size of the company. After a document istranslated, it must be reprinted in the new language, meaning thata service must be equipped with PCs running the latest wordprocessing and desktop publishing software, often in these otherlanguages, as well as laser printers, copiers and fax machines.Since much of translation work is outsourced, Internet and e-mailcapabilities allow entrepreneurs to run this business out of theirhomes instead of leasing expensive office space. Start-up costs canrange anywhere from $20,000 for a bare-bones setup located in ahome office to well over $100,000 for a sophisticated in-housepublishing and imagesetting system like that used by CrimsonLanguage Services.

Aside from language skills and start-up capital, running asuccessful translation service requires a certain level of businessacumen, says Walter Bacak. "It's like running any type ofconsulting business. You must have that body of knowledge orexpertise, and if you don't have it, you should partner withsomeone who does. What makes any business successful is the abilityto market its skills and keep business costs down."

"It's a simple business, but it's not an easybusiness," says Marc Miller. "The work is painstaking,but while it seems glamorous, it can be difficult because of thedetail-oriented nature of the work."

Geoff Packer concurs. "The most important thing is puttingout a high-quality product with no mistakes that's beenproofread, looks good, and has all the correct technicalterminology," he says. "You have to have a good productto start with. Then you get people referring you to other people,and word just sort of spreads."

According to Bacak, an entrepreneur who is considering enteringthe translation service market isn't going to face muchcompetition from computer-based translation software. "Whiletranslation software has improved in the past few years, itwon't replace a human translator. You have to look at culturalnorms and nuances of the language. That's very difficult formachine-based translators."

As the 20th century comes to an end, the rapid pace oftechnology and a slew of international trade agreements are givingbusinesses access to more and better markets for their products,services and ideas. But until the people of the world share acommon language, translation services will continue to be a vitaltool for business communication.

Next Step

• The American Translators Association provides accreditation andprofessional liability insurance for translators. It also holds anannual conference and publishes The ATA Chronicle. Contact theassociation at 1800 Diagonal Rd., #220, Alexandria, VA, 22314-2840or (703) 683-6100.

• Because the World is Not Global is a brochure on languageinterpretation and translation issues from Cleveland-based HaselowMarketing Communications. Order it at http://www.haselow.com/2 by clickingon "International Marketing Tips."

• Sponsored by San Mateo, California-based Language AutomationInc., The Translator's Home Companion (ahref=http://www.lai.com/companion.html>http://www.lai.com/companion.html)is a Web page that contains various links and resources fortranslators and interpreters.

Contact Sources

American Translators Association,http://www.atanet.org

Crimson Language Services Inc., 258 Harvard St., #305,Brookline, MA 02146, (800) 798-9673

European Translation Services, (888) 358-8899, fax: (216)371-2802

Intex Translations, fax: (888) 275-9572, http://www.thetranslationagency.com