FreedomWorks

Born From, and Raised in, Entrepreneurship

From my early childhood, I was taught to work, work hard and to be creative. This is a result of my father, his innate gift of entrepreneurship, and his life experiences. My dad came out of the depression when at the age of 17, his father gave him $10.00, took him to the edge of Olathe, Kansas and said, “Good luck, son” and drove away. My dad flagged down a car and caught a ride to Long Beach, Ca, where he looked up an aunt who agreed to take him in.

Think “Outside the Box”

My dad taught me to sell products door-to-door before I was even 10-years-old. When I was 13, I was offered the opportunity to travel with a youth group to the 1972 Olympic Games in Munich, Germany. Being the entrepreneur that he was, my dad agreed to let me “earn” the opportunity. He told me that he would match my earnings—dollar for dollar—until the full cost was earned.

In addition to selling door-to-door, I applied for a newspaper delivery position with the local newspaper that included the opportunity to also sell new subscriptions. Because I was the “new employee,” the newspaper gave me the worst route they had in town. I earned a stipend because the route had such turnover that no previous carrier had ever made money. It was the carrier’s responsibility to keep track of all customers, collect the monthly subscription fees, and to sign up new customers. After a few weeks on the job, I observed that the route was highly transient because it served much of the local marine base. It was common that the marines would get deployed suddenly. As a result, they would vanish without paying the bill that was due. No one could make money on this route because the newspaper charged the carrier for the papers delivered, but the carrier constantly had to deal with non-paying customers. At 13-years-old, I made the decision to start collecting in advance at the first of the month. This created a profound change in finances because I would collect for the full month, and later in the month when the customers moved out early, I could terminate their subscriptions and take advantage of receiving a full month of compensation. I also worked hard to sign up new tenants to new subscriptions. This enabled me to collect many rewards for the new subscriptions I had in my territory. Within one month, I turned the “worst route in town” to the most profitable by making one small change: timing of collection.

Stay “Lean and Mean”

I worked all the way through high school and college. After graduating from college (UCLA) in 1981, my father offered me a position working for him in a small company he started and ran out of his garage. Recently, I read that between 1980 and 2005 (25-years) 79% of new jobs were created from small family companies. My job opportunity was one of them.

I learned by this experience—and very quickly—the value of keeping costs low in a small business. Now, after years of experience, I have concluded that often businesses succeed not based upon the selling price of their product, but by controlling costs. Small companies must be sensitive to, and be keenly aware of, costs in order to survive. And survival of these types of companies means jobs for tens of millions of people.

“Crumbs” Start and Help Build Business

My next “life changing” entrepreneurial experience came when I found the opportunity to expand business into the territory of a large company that had a virtual monopoly on our business segment. Soon after capturing some important customers, the vice president of the large company cornered me and told me that his large company was going to “crush” our small company.”

As evidenced in the world of sports, it is a poor strategy to “talk trash” to one’s opponent. I found through this experience—and many more since then—that large companies tend to underestimate the tenacity and creativity of small companies. While large companies are far better capitalized and experienced, they are not fighting to put food on the table like the people in the small company do. Furthermore, big companies go after the “big bites of food” leaving “crumbs” that are plenty enough to fuel the engine of small companies. Each company I have started has succeeded by looking for “niches” that come from “crumbs.” Combined with creativity and tenacity among my company teams, over the past thirty years, multiple successful businesses were started and grown when—and where—many thought it was not possible.

Embrace Cost Effective Technologies

Small companies can waste money on useless or costly technologies, but when technology can be implemented that will reduce cost, entrepreneurs must be aggressive in pursuit of change.

I remember when I read about a new communication device called a “fax” machine. No one I knew had such a machine, but I searched to learn about these machines. At the time, I had partner companies in Chile and Taiwan. I convinced both of them to buy one. When everyone else in our business was sending cables and telexes, we converted to this new technology. This gave us advantage in communications. Later, after the Internet was invented, we quickly switched over to sending e-mails, further reducing costs and improving communications.

Succeed with “Global” Thinking

I learned early on that one must not only look at new technologies but for opportunities in new geographic regions.

Through the years, we have seen the expansion of the “world economy.” While the American and foreign governments have attempted to alter this course (outside of inefficiencies the governments have individually or collectively created), the opportunities worldwide have exploded.

Early on in my business career, I formed a company in Chile. I did this to not only facilitate rapid growth of the company, but also to sell to our competitors. Another global approach I made early on was doing business in China. This was a time when there were virtually no American business people traveling there…a time when most everyone in China were riding bicycles. This “global” approach opened the door to over 25-years of wonderful opportunities that spanned four different companies in three different industries.

Get Organized and Stay on Target

From a young age, I remember my dad having a yellow pad with his “to do list” and list of objectives. It was a great example to grow up observing how my dad…my mentor…got more accomplished by staying focused.

Adding to this influence, in the early 80’s, I read The One Minute Manager. From that book, I came up with the idea to create a 3.5” x 6.5” card that would fit in my shirt pocket, a system I still use to this day. On one side, I have lines for my daily tasks or “to do” list. On the back side, I have three sections: “Today,” This Week,” and This Month.” It is in these three sections that I keep track of my most essential goals and objectives. This tool keeps me working on the most essential opportunities.

It’s been over 25-years and I still re-read The One Minute Manager every year or so, as there is no more important characteristic for an entrepreneur than to figure out what objectives are most essential and then put all the power of his mind, energy, and money to focus on completing those objectives.

It’s Not What You Can Get but How You Can Give Back

Being an entrepreneur is about creating something that did not previously exist…not about making money or getting rich. The execution starts with a “need,” then moves to build a team of people to figure out how to execute the plan to deliver on that need.

One of the great aspects of entrepreneurship is that these opportunities can (and should) be explored in all avenues of life. My mother and father are a perfect example of this. Together, they helped start seven churches over a 30-year period of time. Today, some of the churches they helped start have Sunday attendance of up to five thousand people. This, in my mind, is the purest form of entrepreneurship.

I believe that we all need to contribute and help our neighbors and our communities become all that they can be. In the early 90’s, I became the volunteer President of the San Diego World Trade Association. We had the dream to bring a World Trade Center to the San Diego region. We created a team with specific goals and objectives, and we set out to accomplish that goal. Within three years, we brought together the Department of Commerce, the Port District of San Diego, the Mayor’s office, the Chamber of Commerce, and a whole host of corporate sponsors. We accomplished our goal and opened the WTC of San Diego. It has been over 15-years since then, and the San Diego WTC has—and continues to—help thousands of people and businesses expand through exports and international business opportunities.

I have experienced the greatest joy from helping others through entrepreneurial activities. One example was by starting a Community Youth Water Polo program. This program has continued to thrive and has contributed to years of championship water polo teams for the local high school.

Another way I have contributed by giving back is through the local School Board. After being publicly elected, I encouraged and helped a team bring forth annual objectives and accountability. As a result, each school site principal helped lead this local school district to the top of its statewide comparison group.

Currently, I continue to help the local Community College Foundation expand their reach into the community to greatly expand student scholarships. This enables more students’ access to a college education.

Serving as an entrepreneur is not about “me” or any other individual. It is about creating a team to produce results that improve a local community, organization, or individual in need.

“Niche” Businesses

Although I have touched on looking for the “crumbs” left over by large businesses, my focus has been on finding the product or service businesses where there is an obvious need. My greatest enjoyment has been taking ideas that lead to highly successful “niche” businesses. In the past 15-years, I’ve had the opportunity to build three such businesses:

· Real Estate—

In the early 90’s, during the depth of the last real estate downturn, I had the vision (and took the risk) to build a community of homes that were completely unique and totally different than the typical size and style in the community at that time. My vision was to build these homes in such a way that that would attract people to amenities and special characteristics of a small housing community. I was not simply a developer, but an artist drawing a picture. That picture was “painted,” the development was built. The outcome is that in every respect this small development changed and enhanced the entire area, which has led to further enhancement and development.

· Golf—

There are many fantastic golf club manufacturing companies; however, my partner and I started and built a company focused on building golf clubs designed just for kids…with their swing speed and strength. We launched the company before Tiger Woods turned professional and brought so much attention to youth golf. Within a short period of time, we created and put the best golf clubs for kids in stores nationwide by partnering with golf instructors to design clubs designed especially for kids. There became such a stir following our lead that many other companies focused on this niche of the golf business. The result is that today, children play with far better clubs that are specifically designed for their swing speed and strength.

· Energy—

During the past 30-years, I have primarily focused on businesses in the food ingredient industry; however, I have always dreamed of the other “must have” industry: energy. As the world focuses on alternative energy, I am excited as I ever have been with the launch of a new company, Seawind Energy. Initially we are focused on commercial lighting, retrofitting projects utilizing new technologies that have just become viable this year. As our country and world face a difficult economy, we are offering customer’s savings of hundreds of thousands of dollars by replacing old and inefficient lighting with new and efficient lighting that provides substantially less energy consumption. Our company is taking off because we are focused on a niche of the energy business where there is tremendous need for companies to become “green” and save operating costs.

I am an Entrepreneur and my Most Important Goal is to Mentor

Outside of building our company, Seawind Energy, my greatest current enjoyment is mentoring three individuals. Each month, I work to prepare these individuals to become champions in leadership. The opportunities and results I have experienced over the past 30-years are small compared to the potential of what these three people can accomplish in the future.

First, I am mentoring a 26-year-old who next year is taking over the county leadership of a leading Christian organization with a million dollar annual budget, a staff of five, and responsibility to hundreds of voluntary community organizers.

Second, I mentor a pastor of a local church in leadership. Over the coming years, he has the potential to touch thousands of people in need.

My third mentoring opportunity is working with a 26-year-old whom I am helping to develop the skills to build and operate our energy company. This is my greatest opportunity to demonstrate character and encapsulate my entrepreneurial experiences. My objective is that this young man will make quality decisions and one day become a great business leader.

I look for the day, years from now, to see all that these three people will accomplish with their respective teams and their experiences. I have no doubt that this achievement will be on of my greatest entrepreneurship experiences!

I am an Entrepreneur!