Orem SBDC Success Stories: South Valley Appliances, LLC

Wednesday, January 25, 2012

South Valley Appliances, LLC

Eduardo Esquerra estudió ingeniería en instrumentación, y también es técnico electricista. Eduardo nació en Sonora, México que está en la frontera con EE.UU. y llegó a este país en enero de 1998 con la esperanza de mejores días y tener éxito creando su propia empresa. Después de mucho esfuerzo, planificación y ayuda de la familia, Eduardo pudo abrir una tienda de reparación de electrodomésticos o appliances en el sur de Salt Lake con el nombre de South Valley Appliances, LLC en abril del 2011. Antes de crear su empresa Eduardo dio los primeros pasos al escribir su plan de negocios meses antes, y siguió con su plan de marketing para organizar sus ideas y establecer estrategias de venta. Una vez organizada la empresa pudo encontrar el lugar perfecto para su tienda y empezó con un capital de menos de $20,000 dólares. Nohemí, la esposa de Eduardo, fue clave para la creación de la empresa. Nohemí, no solo apoyo a Eduardo en las decisiones de crear la empresa, sino también le ayudo moralmente, y financieramente para que Eduardo pudiese emprender su proyecto.El próximo paso para que su empresa tuviese éxito, fue el de coordinar con un socio de tener la mejor atención al cliente que cualquier otra empresa de reparación de electrodomésticos pudiese tener en esa área. En Abril del 2011 finalmente pudieron abrir la empresa y empezaron con 2 clientes. En pocos meses subieron a más de 30 clientes y a obtener contratos con hoteles y empresas de lavado y secado de ropa. En menos de 8 meses Eduardo logro que su empresa este sobresaliendo sobre sus competidores, ganar suficientes clientes, y ganancias de más de 200% de lo que él estaba estimando. Eduardo tuvo que contratar a un técnico para que le ayude a satisfacer la demanda del sur de Salt Lake.Eduardo dice que: "los negocios necesitan tiempo y perseverancia" para que estos puedan tener éxito. También mencionó: "Siempre fui empleado y ahora con la ayuda del Small Business Development Center de Orem puedo manejar mi propio horario y más importante puedo manejar mi propia empresa."

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SBDC In The Spotlight

The Orem Small Business Development Center, located just west of Utah Valley University, assists startup business owners and entrepreneurs to navigate the often treacherous waters of becoming self employed. Among the center's staff are (left to right) consultants Eddy Yujra, Marynika Miche , director Ken Fakler, consultant Camille Pendleton, and administrative assistant, Karen Wenn. Michael Rigert - NORTH COUNTY STAFF With the economic turmoil depleting personal finances, displacing employees and forcing some to seek new career paths, more and more Utah County residents are turning to self-employment to support themselves and their families. Floralyn Martinez, a master hair stylist for 17 years, researched the possibility of opening her own salon last summer. It was at that time that she came into contact with the Orem Small Business Development Center located just west of Utah Valley University. She didn't have a clue about the steps to starting her own business."I'm an artist behind the chair, but I'm computer illiterate," she said. "I was either going to start up my own place or go to another salon."A free resource provided to entrepreneurs, startup businesses and existing merchants, the Orem Small Business Development Center is one in a network of such centers across the state tasked with not only helping the self-employed get into business, but stay in business, said Ken Fakler, the Orem center's managing director.Funded through the Small Business Administration, the state of Utah and Utah Valley University, the Orem center assists clients in applying for SBA loans, putting together a business plan, doing market research and strategies, and learning the nuts and bolts of business ownership. It serves clients in both Utah and Wasatch counties.Martinez said Fakler and Orem center consultant Laurie Ann Thomas taught her how to write up a business proposal, where to find resources and apply for funding, and how to navigate the often treacherous waters of self employment.In October, Martinez and her husband, Marcos, opened Katumba's Day Spa and Salon, 1015 S. State St. in Orem, which offers a wide range of services from hair styling, massage therapy, skin care and aesthetics. Their salon employs a full staff of stylists and therapists, and business is slowly but steadily increasing, she said."Ken is absolutely incredible and knows what he's talking about," Martinez said. "It was a huge, huge help. I would say they are a major aspect of getting me started."With the housing slump and high gas and food prices hurting businesses and residents, Fakler said the center has seen a large influx of clients in recent months. From the newly unemployed to people looking to earn some income on the side, the center's clients come from all walks of life and range from college-age students to people in their 70s.The center supports clients who own businesses with dozens of employees to stay-at-home moms who want to take their eBay sales to the next level.The center works with about 35 to 40 new businesses a month, or nearly 500 per year. About 50 percent of the center's clients are women, Thomas said."It's really an entrepreneurial area," she said.Because approximately 80 percent of small businesses go under in the first five years, the center stresses the importance of formulating a strong business plan and funding options as well as forming a long-term relationship with owners to continue to provide advice as their companies grow. The center also offers free classes on a variety of related topics taught by professionals."We have very, very few businesses that go broke if they're doing the things we ask them to do," Fakler said.Just two weeks ago, Martinez said Fakler stopped by her salon to inquire about her business's progress and see if there was anything he could do to help. Without the assistance of resources like the Orem Small Business Development Center, she doubts if she would have taken the risk of living out her dream."I would have probably ended up going to another salon," she said. "I wouldn't have had the guts to try to go out on my own."