Q&A with Fred Warner - AWEVATOR by Awesome

The AWEVATOR is a space-saving elevating rolling shelf system for residential or business use. With the push of a button, each shelf lifts up to 200 lbs to store items such as mowers, power washers, generators and snow blower out of the way until needed again. Safety pins ensure the shelf is not accidentally pulled. To operate, put elevator in position to store, pull out the clevis pins, flip the angle arms out and down, and voila it's out of the way!

Tell me about your business, where did the idea come from?

I'm a contractor and do remodeling and other work for homeowners. It seems like I always had all this STUFF and equipment all over my storage building and garage. The smaller stuff, I could put on shelves, but the larger things were more of a problem. Other storage systems had options but I couldn't use a hook on the wall for a lawnmower, for example. All the gas would run out. It's got to be stored flat. So I got to thinking about mechanical shelving.

Do you think that your military experience helped you get your business off the ground?

I was a winch operator on a ship. I made things go up and down basically, so I was always thinking, "Why lug something up a couple flights of stairs if you can turn a crank to get it there?" That's kind of the thought process I went through to invent my mechanized elevating shelf system.

What kind of help did you look for when you were starting out?

I wanted to look into patenting my idea. I went to UMaine, the Maine Patent Program and then to MTI for a seed grant. They sent me to the Mane SBDC to get help putting together a seed grant proposal which I won. I had some testing done at USM, too. SBDC also helped me work on a display and get into home shows.

What kinds of challenges have you had?

I have trouble getting certain parts in the US which was kind of a surprise, and I have to get them overseas. Also, the patent application process was tough. I got some mixed messages, drawings needed to be redone which I ended up doing myself, some documents needed to be filed again. But I did finally get patent pending status. That was a big accomplishment.

What kinds of things have you done to promote your business?

I talk to everyone about it and I've been to some local businesses like hardware stores that might want to sell it. I have a website and I did a YouTube video. I've been to some home shows this year and at the last one I swear I had those shelves go up and down more than 700 times. The Journal Tribune did an article on my business this past August. That was a good one.

What are you hoping for in the future?

There are always improvements to make and I'm working through some of those now. I'm definitely looking for just the right complementary business to work with and have these as part of their product line and I might look into government contracting.

Fred Warner
AWEVATOR by Awesome http://www.awevator.com/home
January 2008 – Present
Biddeford, Maine

Q&A with Dan Horowitz - EmbroidMe

Dan Horowitz owns and operates EmbroidMe, a promotional items franchise in Bangor. His company's slogan is, "Your Promotional Marketing Partner," and it's this approach that he counts on to differentiate his business from the competition. Dan spent some time with us discussing how he started his business and what he's doing to make it successful.

Maine SBDC: How did you decide to be in business on your own?

Dan H: Well, I went about all of it in kind of a backwards way. I went to college first (UMO) and planned to have a career in law enforcement. Then I joined the Reserves and became an MP, but ended up with a SD discharge that made it obvious I had to change directions with my career goals because I didn't want a desk job. Now what? I dabbled in a few different things, considered going back to school for a business degree, and as part of this ended up at the Career Center. That was such a lucky break because they hooked me up with a Veteran Service Coordinator who directed me to the VA at Togus to find out about VR&E. Even though VR & E is mostly for education and retraining, you can have it help finance a business start, as long as you meet the requirements. I figured I needed to look into this business-on-your-own option. I had had jobs where I'd been laid off, where I worked for people who didn't know what they were doing, who didn't care, and I knew I didn't want to do that again. I gave myself three months to investigate this. And you can see where I ended up.

Maine SBDC: You said investigate. What did you do?

Dan H: I specifically looked in the Bangor area for business opportunities, what kinds of businesses didn't exist, that should. I was not seeking franchises. You know, there are a lot of misconceptions about franchises. But what appealed to me is that there was already a set system in place. Market information, how to make everything work, it was all laid out and just needed to be adjusted for my particular area. A lot of the stress of being the owner of a new business is reduced when you chose a franchise. Yes, it costs money. But what I invested in was a business model that had all the kinks worked out, a support system, a pre-set network, and a corporation with buying power, even a website to plug in to. Just the other day I picked up the phone and talked to another owner out of state. I had some questions and ended up hearing about how to do something totally new for a product he had experience with. When a customer calls me and wants just 10 of something, I don't have to buy a whole case in order to give them a good price because I can take advantage of corporate contracts.

Maine SBDC: So how did you pick this particular franchise?

Dan H: As part of my research I went to a promotional products trade show and learned about, well, promotion. My research showed that promotional products provide the lowest cost per impression compared to other kinds of advertising. And yet, companies generally spend less on these than other forms of exposure. So I looked into this industry more.

Maine SBDC: What were your biggest challenges in getting this going?

Dan H: Doing the research...writing the business plan...getting financing. All that. The research, I could do. It just took a long time. Due diligence is key. You have to do it. Writing the business plan was easier than it could have been because, with a franchise they give you lots of information. And Togus directed me to Ann McAlhaney, a business counselor at the Maine SBDC. The VA was not going to approve funding for a business without a solid business plan and Ann helped me work through that. It also helped that I was going with a franchise: a proven business model that had a track record of success. And then there was my family. They helped too. Once I finished my business plan I showed it to them and thought, okay, this is it. They are going to hate it. But, you know what? My father told me how proud he was of me and was behind me 100%.

Maine SBDC: Do you think your military background provided you with training or experience that will help you be successful?

Dan H: Well, I'm pretty organized. I completely understand discipline, how a structured program can work. And to this day I still fold my socks a certain way, if that means anything.

Maine SBDC: How do you market your business? What works best for you?

Dan H: I am constantly stopping in to other businesses to let them know who I am and what we do. They might not need me now, but if they do in the future, I want them to think of me. I go to a lot of events, I want to know people in the community. I try to make really good two-way business connections. Not only do I want people to know who I am, but I want to know what they're about, too, so I can make referrals to them if it's the right thing to do.

Maine SBDC: What advice would you give potential business owners just starting out?

Dan H: RUN! No, I'm kidding. Definitely do your due diligence, do your homework. Be sure you truly understand your weaknesses and then surround yourself with people who can compensate for them. Like the people who work with me. We're a great team. I'm so proud of them.

Dan Horowitz
EmbroidMe
753 Stillwater Avenue
Bangor, ME 04401
http://www.embroidme-bangor.com/
(207) 947-1712

Q&A with Jerry Palmer

Jerry Palmer owns and operates Jerry's Towing, DBA Jerry's Auto & Cycle Repair at 78 Houlton Road in Presque Isle. A military veteran, he's been in business since 1991 and has always had a keen eye for smart ways to diversify and grow his business. He is sure that the key to the success of his business is giving better customer service than anyone else, and the repeat customers and large number of referrals he sees is a testament to this. Jerry spent some time with us discussing how he started his business and how he has weathered the ups and downs of the economy over the past 20 years.

Maine SBDC: How did you decide to be in business on your own?

Jerry: Well, I was teaching at the time and when I was done with that I went back to college to finish up my degree. Then with my degree almost completed I decided to start my own business. I was looking through Uncle Henry's and found a ramp truck. I ended up trading the guy a 1971 El Camino for it and by the time I gassed the truck and got it home I had 38 cents in my pocket. I clearly remember that. But I'd been in the auto business before. I'd seen how people had done it wrong and how it can be done right. I figured if I could do towing for people and be even just a little more prompt and a little less expensive than the competition I'd have a pretty good business. Who wants to wait a couple of hours for someone to show up to tow your car if you don't have to? The towing business lead to car repairs, which I knew how to do, and then to becoming a used car dealer.

Maine SBDC: What kinds of things were most helpful in making your business a success year after year?

Jerry: I have to say that the biggest help to being in business on my own was NMCC (Northern Maine Community College). Right after I decided to start the towing business I went back to school and got my degree. The classes I took were so important. Then there was Rod (Rod Thompson, Maine SBDC business counselor). We've known each other since we were kids. He's helped me with lots of things through the years, working through financing and bouncing ideas back and forth. I also know lots of other business people and friends. No one is ever a genius and you've got to talk to other people and help each other out.

Maine SBDC: How has your business changed?

Jerry: Now I do towing for other businesses as well as my own, I do body work and diversified into other areas to make everything work. About ten years ago my wife, Tammy, joined the business which has worked out great. She started by dispatching calls from our house. Then we bought a building and that's where we are now. I still take calls in the middle of the night and go out to tow cars myself. That hasn't changed.

Maine SBDC: What was the toughest thing you've had to deal with along the way?

Jerry: By far the biggest challenge I ever had in this business was when the Cash-for-Clunkers program came out. I can see how it was good for the new car industry. But it wiped out a huge chunk of the used car business because all these cars were being crushed, not sent to auction. It took out a big slice of vehicles that certain customers wanted who would never buy new cars. You couldn't get these cars at auction any more, and it jacked up the prices of used cars overall, so these people weren't buying. That whole section of sales and the maintenance that goes with it were gone. I really thought that was it for us, that we were done. We're still feeling the effects of it.

Maine SBDC: How did you get out of that?

Jerry: Rod told me about ARC loans and helped me apply for that. I had always paid attention to keeping my credit good, so that helped a lot. That financing is what got us through that year. It was touch-and-go for awhile. Meanwhile, we got into trailer and RV rentals and then began to carry two different lines of motorcycles. We had to diversify to keep things going.

Maine SBDC: What do you see as the future for your business?

Jerry: I sometimes think about retiring. But then I wonder what I would do? I like to work and I like my business. I rescue families when their cars breakdown. I sell cars to students going off to school. People refer their friends and relatives to me. I'm helping people. So eventually I might sell the business, but I couldn't say when that might be.

Jerry's Towing - DBA Jerry's Auto & Cycle Repair

78 Houlton Road

Presque Isle, Maine 04769

(207) 764-4121

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