Digital cameras take pictures and then save the images internally without the use of film. Although the quality of digicam images can't compare to those recorded on film, that's not so important to businesses that purchase them. The allure of digital cameras is instant gratification, since users can take a picture and have almost instant access to an electronic image for emailing, printing, or uploading onto a Web site.

In the past, digital cameras were far too expensive to be considered for use outside the realm of professional photographers. In the past couple of years, however, prices have come down quickly, and today a business can arm itself with a camera that produces decent-looking electronic images for a few hundred dollars.

Except for diskette-based models, downloading images involves connecting cables to your computer and installing the manufacturer-provided software. Although software glitches and cable tangles could potentially create more hassles than convenience, once you get the hang of it it's not so bad.

This buying guide is designed to give you the facts you need to purchase the right digital camera for your business. You can choose to read this guide from beginning to end, or jump directly to a section of interest by clicking on the links above.

Quality of a digital camera's images is largely determined by resolution, which is measured in pixels. If you plan to take tight close-up or faraway shots that involve lots of detail, you'll have to spring for a higher-resolution camera. Ditto if you expect to be cropping and then enlarging your images.

Images from lower-resolution cameras can appear grainy or under- or overexposed. However, if most of your images will be viewed onscreen only at normal size, a lower resolution (but no lower than 640x480) will probably be adequate.

High resolution adds a few hundred dollars to the price of the camera, so don't buy it if you don't need it.

Another facet of image quality involves bit depth, which determines color accuracy. A depth of 24-bit translates to 16.7 million colors--all the colors the naked eye can detect. Cameras priced below $2000 typically have 24-bit depth.

Setting up a shot with a digital camera is different from a regular point-and-shoot. First of all, many cameras don't include an optical viewfinder to look through to frame your image.

What most do offer, however, is an LCD (liquid crystal display) panel, a small screen on the camera itself. Users determine the subject of their photo by looking at this panel. The LCD can also be used to review images that have already been taken. If you don't like the shot, you can just delete it.

If the majority of your pictures will be taken outdoors, a viewfinder is a must because bright sunlight can make the LCD surface appear washed out.

Most digital cameras have a built-in flash. Although its performance is debatable, if you come across one that doesn't have one, skip it. You don't want to be limited by a lack of flash.

Quite a few models also have zoom capabilities. If you expect to be enlarging the pictures you take, or if you plan on taking lots of close-ups, you'll want to find a digicam with this feature.

Another facet of zoom is macro mode, which is used to focus on subjects located at very close range.

As mentioned previously, the LCD panel is used to review shots after you have taken them. You can then decide to delete any undesirable images to make room for new ones in the camera's memory. Many models will allow you to view multiple shots at once in a thumbnail layout. Still others give you the option of organizing the photos you choose to keep into different groups. Most have a reasonably easy-to-follow menu that will guide you through these choices.

Image annotation is offered with many cameras--different methods of annotation range from simple renaming of the image file to written memos on the LCD display or even a recording of your voice.

Although there's no film, the camera still needs a way to store the images. Many models come with built-in memory cards and some offer the option of purchasing additional removable memory. While some of these memory cards are proprietary, it's expected that most cameras will move to a standard card design.

Other models (only the Sony Mavica series as of this writing, but others are sure to follow) save their images directly onto a diskette loaded inside the camera. Quite a few cameras also offer a floppy disk adapter as an option, although that makes it a bit more cumbersome.

Coming into play with storage is compression settings. Most cameras have more than one compression setting, allowing you to save images at higher (using more memory) or lower (using less memory) quality.

Once the images are in the camera, you need a way to access them on computer.

For most cameras, this involves a standard serial port connection from the camera to your PC. This is the most common cause of frustration and complaint of digital camera owners. But although some configurations may appear complicated, the transfer shouldn't be too difficult once it's properly set up.

On a diskette-based camera, transfer of files is as simple as ejecting the diskette and sliding it into a waiting computer.

Once your images are transferred, you will then be able to manipulate your images using editing software, attach them to an email, or upload them onto your Web site.

Buy Batteries
Although you don't have to buy film, you do still have to buy batteries. And digital cameras use lots of them. Better yet, try to find a model that works with rechargable batteries.

Beware, Mac Fans
All cameras seem to work with Macs as well as PCs, but some require a separate kit--and it's not always free.

Get Hands-on
Make sure to handle the camera and practice taking pictures with it if you can. This is not your mother's camera, and you may not be comfortable with the way it sits in your hands. Also, find out what the warranty is before you bring the unit home.

Compression Settings
Saving your images in higher compression modes should be fine for all but the most detail-intensive images. The more your images are compressed, the less memory they use, and the quicker they are to download.