1. Replace the cutting knife. A dull or broken blade can cause rough cuts.
2. Replace the knife holder cap. The cap contains ball bearings that allow the blade to rotate as it moves around corners. If the knife fails to rotate after a turn the result could be a rough cut. You may also try another knife holder from any other knife set and make the cut using only one blade. If it cuts fine, then you know there was a problem with the other knife holder cap. Complete Knife holders plus caps can be purchased here.
http://www.primerastore.com/supplies/label-finisher-supplies/74336-spare-cutting-blade-holder-used.html
3. Replace the wear strip. The wear strip is a replaceable piece of soft plastic directly under the cutting surface that protects the knife from damage if the knife cuts through the liner. A worn wear strip can cause the knife to bounce which will result in a bad cut and a chattering noise. A replacement wear strip can be purchased here.
http://www.primerastore.com/supplies/label-finisher-supplies/74334-digital-die-cutting-wear-strip-replacement.html
4. Lock down all of the pinch rollers. Make sure all pinch rollers are engaged and evenly spaced across the web.