High-Tech Firms Get Small-Town Benefits

DataFutures Inc., of Harlan, Ky., operates its business from two former residences at Browning Acres, as seen Wednesday, Aug. 23, 2006. This is the headquarters for DataFutures Inc., a $5 million company that competes nationally in the school finance and lunch monitoring software market, but chooses to operate in 2,050-population Harlan. (AP Photo/Debbie Caldwell) (Debbie Caldwell - AP)

Some, like Smith, plan vacations around visits with his clients.

There's also an image issue.

Smith said he can get his clients the same level of publicity they would with slick, big-city firms at a fifth of the cost.

He just has to overcome the "cornfields" first.

"There's this false sense of security. A lot of them think they want someone in the big city," Smith said. "That's not as important as it used to be. They see that we're just one phone call and one e-mail away from the same people.

"Why pay $10,000 for that when you can get it for $2,000?"

Overcoming stereotypes appears to be the main hurdle for rural businesses, though it doesn't seem to hinder their success, Gelburd said.

"Image definitely plays a role," he said. "But in terms of a technology company or these other business, those things tend to erode.

"For businesses, they're just looking at the bottom line. If we're going to get the same results, those attitudes seem old-fashioned and inappropriate."