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Print on Demand and services like BookieJar and Smashwords are better for the new author, if you figure you're not going to ever get signed by one of the Big Six (or however many there are now) publishers. You breeze past the gatekeepers and self- advertise your books. Wait a while, and hopefully the paychecks will start rolling in.
Now, if you plan on getting signed, then you won't be able to accept the publisher's no-compete clause if you've gone with the above. Cause the publisher doesn't want you competing with them selling your writing, especially if they're going like Penguin has with their vanity ebook press. But that seems to be the only gotcha I've been able to find.
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