Get up and go: entrepreneurs who fight for success

culled from:theguardian.com
Failure brings us one step closer to success, so the maxim goes. Indeed, entrepreneurs often have to go through trial and error before they find their business’ holy grail. Many start with heady dreams, but then find these bear little resemblance to the reality of running a company. As a consequence, many business plans are left in the bottom drawer. But for those who persevere there is often a seminal moment or decision which unlocks success. It may come after a period of disarray, slowdown or departure, or the introduction of new ideas and products. But ultimately these moments mean the nature of the business is changed completely.

Pooch and Mutt: becoming top dog

Guy Blaskey founded supplements business Pooch and Mutt in 2008 after his own dog became ill and discovered there was little on the market to treat his pet. The business was doing well online, but Blaskey was unsatisfied with his “low volume, high margin” businesses. However following the creation of some new doggy treat products and subsequent listings in supermarket Waitrose and animal supplies retailer Pets at Home, sales went into overdrive. “People saw the packaging of the treats said they looked ‘like Waitrose products’ and so we persuaded them to come and see us at Crufts. That was in March 2013 and by June we were on the shelves,” says Blaskey. “That was a huge step change for our business. When you are dealing with online sales you never have to worry about cashflow as everyone pays upfront. But when you’re working with a major multiple you don’t get your money for 60-65 days, so you’re running out of cash quickly. Also, dealing with supermarkets is a whole new vocabulary, which I didn’t know. I think many businesses focus really hard on getting into the supermarkets, but one of the hardest things is staying there.”
Blaskey came to realise that he needed additional staff as well as advice from those with experience in working with major retailers. It has led to a big change of perspective for the entrepreneur. “When we were small I was reticent about taking people on and I thought we could outsource everything. But now I realise that we’ve grown because we have taken people on. I took on a sales guy and took him to a couple of meetings with me and he proved to be brilliant. Doing this enabled me to work on the products, while he can work on the relationships,” he says.
The supermarket deals led to a big increase in orders and some logistical challenges. “We went from a high margin low volume business doing 30,000 units per year to a lower margin high volume doing 30,000 units per fortnight. When we got our first order through there were 40 pallets full of packaging and we hadn’t even thought about where we were going to put them,” he recalls. “It has totally changed the way that we operate as a company. Even changing things from moving to new office space, to changing how our email is set up.”
At the end of its financial year the business had grown turnover by 120% and expects similar growth this year. “We were doing pretty well but we weren’t going anywhere very quickly and it wasn’t very exciting. Turning this corner meant there was more stress but is much more interesting.”

Go Glass: reforming after shattering

Tracy Saunders is one of four directors of Go Glass, a family-owned Cambridge-based manufacturer, which has been in operation for 36 years. The business suffered a traumatic year in 2011 when the company founder and Saunder’s father, Raymond Sparkes, died and then Saunders herself was hospitalised for six months following a cycling accident. When she returned the business was in bad shape, the UK was in recession and the company had been robbed of its leading lights at a time when it needed them most. But following her return from hospital she undertook a radical overhaul of the company, which has since brought it new business and an all-important fresh perspective.

During her time in hospital Saunders researched lean manufacturing processes and new production techniques. She also realised the business was missing out on opportunities and spent too much time “putting out fires”. She emerged with a plan for change. “We wanted to create a company that could run itself and didn’t rely on the founders being there,” she says. “One of the key points was retraining.”

The Manufacturing Advisory Service (MAS) was brought in to provide training and consultancy and instituted changes in the workshop. “Now if one of the team isn’t there others can step in, the whole production doesn’t grind to a halt,” says Saunders. Also, the company as a whole worked on improving efficiency, communication and organisation. Some of the ideas were simple and easy to implement, but they had a strong cumulative effect and changed the ethos of the business. This led to greater confidence in the business and the pursuit of more profitable and ambitious work. “The changes we made allowed us to move into niche markets which are much more profitable. Previously, we were very focused on the domestic market, doing a lot of double glazing, and all our work was in Cambridge.”

The business now has an impressive list of business clients including the BBC, Hampton Court Palace and some London restaurants. Saunders says she is particularly proud of some work Go Glass carried out at Stansted Airport. “We supplied Stansted Airport with a number of 4m display panels with some great trim design. Two years ago I wouldn’t have had the confidence to do that work,” she says.
Now the recession is over Saunders says Go Glass is expected to generate a 15% rise in turnover and is also targeting overseas markets. However, for Saunders the going has been particularly tough as the cycling accident left her leg irreparably damaged and she had to have it amputated. “Early last year after further operations I lost my right leg and spent a further three months away from work,” she says. “However, I am now very active with an amazing bionic leg and have returned to my work fully having learned many lessons along the way. Because of the work we did with MAS, and the processes we put in place, there was no major interruption to the business. This has meant that 2014 will be our best for 38 years.”