2002
Winners
Start-Up
Kate Bird
Career Essentials Inc., Toronto (Ontario)
www.career-essentials.com
Presented by Deloitte & Touche
Career Essentials (CEI) specializes in upgrading the skills of unemployed
and/or injured adults to facilitate their timely reintegration into
the workforce. By offering individualized and extensive services
covering assessment, training, job search and co-op placements, CEI
helps bridge the gap from unemployment to employment in the shortest
possible time.
Kate Bird, the founder and president,
graduated with an Honours Bachelor of Science in 1993 and a Bachelor of
Education in 1994. Teaching positions
were scarce and after two years of supply teaching, Kate moved to Toronto
to work for a private adult educational upgrading facility. Rapid promotions
put her in charge of operations and customer service. When the company ran
into difficulty, Kate made the decision to continue providing this valuable
service on her own. She took over the company’s leases and most of
the employees and began her own company.
In 1998, CEI opened schools in Toronto, Woodbridge and Scarborough. Since
that time, they have expanded into 17 locations across Ontario, employing
more than 100 people and training more than 1,600 adults.
A typical student might be an
injured 45-year old construction worker who was making $25/hour. The Workplace
Safety & Insurance Board (WSIB) is
now responsible for trying to match that worker’s earnings until they
retire. But the worker may lack language skills and not be trained for any
other type of work. Retraining this individual and making him/her productive
once more is advantageous for both the individual and the WSIB.
CEI courses are designed for each student based on their initial skill level
and vocational goals. Students attend class 3-4 hours per day, five days
per week in groups no larger than three students to one teacher, and also
do 3-4 hours of homework per day. Upon completion of the programs, about
one-third of the clients re-enter the workforce directly, one-third attend
private vocational schools and one-third attend community college programs.
Each CEI school is treated as a separate business, whose manager is responsible
for day-to-day operations and receives a percentage of the profits of their
school. Kate has five senior executives who report directly to her, all of
whom started in entry-level positions, and through hard work and dedication,
were successfully promoted. The success of this model is evident in the level
of camaraderie and teamwork that infuse the monthly management meetings and
the absences of internal politics.
Challenges include attracting and retaining good employees. To address this
problem, the company has designed a management internship program that will
enable teachers to develop the skills to manage their own schools. Growth
plans include expansion throughout the rest of Ontario and Canada and into
the US as well as expanding their services into other corporate markets.
Kate is an active volunteer and
her Awards include being named one of Canada’s
Hottest Startups in 2001 and 2002 by PROFIT magazine. She is also the mother
of a four-month old baby. Kate’s husband Sean has taken a year’s
leave from his work, enabling Kate to combine motherhood and entrepreneurship
as she grows both her family and business.
Innovation
Marianne Bertrand
Muttluks Inc., Toronto (Ontario)
www.muttluks.com
Presented by Ford Motor Company of Canada
Marianne Bertrand is an avid environmentalist and animal lover. In 1994,
she realized her dogs were suffering from the cold weather and salty streets.
Her inability to find a suitable boot coincided with a weather forecast
for two weeks of –30? C weather and her need to raise an additional
$500 for her next mortgage payment.
She had no funds and was working full-time in her residential renovations
business. What she did have was innovative ideas, determination, motivation
and general business savvy along with an adventuresome spirit. Working at
her dining room table, Marianne designed and manufactured a pair of boots
for her dogs. They worked, and she saw an opportunity for a new venture.
When 130 sets sold out in less than a week to local pet stores, she paid
her mortgage, had her start-up capital, and a business was born.
After much research and customer
input, Marianne completely redesigned the boots for better fit and longer
wear. She conceived the idea of reflective
Velcro that, at the time, did not exit. The name ‘Muttluks’ was
adapted from the Inuit Mukluks, meaning “high boot”, which were
durable, warm and waterproof.
Today the company employs 20 full-time and 40 part-time people in a new
facility with 15,000 square feet of space. Production staff and management
work as a team to resolve problems, determine production processes and corporate
strategies. Flexible hours expand when a large order is in-house. In fact,
the staff was working two shifts seven days a week in September 2001 when
the call came from the NYPD Canine Unit and the Chicago Fire Department asking
for boots. All efforts were re-directed to that project and Muttluks donated
850 sets of boots to the Search and Rescue dogs at Ground Zero. Thousands
of people, including whole classes of school children, sent notes of gratitude
in response to her gift.
The innovation continues with better sizing, a sizing chart for retailers,
a self-tightening fastening systems, all-weather Muttluks made with breathable
waterproof fabric for warmer climates and the summer months. Recently, Marianne
launched a new improved fleece-lined boot with new reusable mesh packaging.
This year, a new economy line called Hott Doggers will be available along
with a newly packaged line of products targeting veterinarians.
By 1999, 85% of sales were from the US and Europe with Japan beginning to
purchase her product. Marianne attends trade shows around the world to establish
her presence in new and expanding markets. Sales have double almost every
year and the company expects to manufacture nearly 500,000 boots by the end
of the current fiscal year.
The organization and its products
continue to evolve in order to maintain Muttluks’ leadership position
in the market. Marianne understands that customer demand drives growth
and that by continuing to innovate to meet
those needs, she will ensure her success in the marketplace.
Impact
on the Local Economy
Jackie Kevill
Loony Lizard Dollar Stores, St. Catharines, Ontario
www.loonylizard.com
Presented by BMO Financial Group
Loony Lizard is a dollar store. In fact, it is 26 dollar stores throughout
Central and Eastern Ontario where each of the 100,000 items costs a dollar
or less, where parents can tell their children that they can buy anything
in the store, and where everyone has fun.
Jackie Kevill, a former teacher,
started the company in 1992 with one store, which she still owns. The other
stores are franchised, with 21 of the 23
owners being women. The name was chosen from drawings that Jackie’s
young daughter was making as Jackie was thinking about starting a business.
Jackie’s approach to retailing is not complicated: value, trust, simplicity
and fun. The biggest bang for the buyer’s buck/ The fuel she uses to
make the Looney Lizard so successful is fun. She wanted to bring back the
days when shopping was enjoyable, with tremendous variety and warm, friendly
salespeople. And clearly that philosophy has paid off, with 143% growth in
the last two years and Looney Lizards ranking 10th in growth leaders of the
PROFIT/Chatelaine Top 100 Women-Owned Businesses in Canada.
Jackie began her business with a $17,000 inheritance from an aunt. She tested
her concept in her own store and then franchised the idea. Starting with
a business plan, she negotiates offers to lease retail space, designs the
floor plans, supervises store set-up and does regular store visits. The 200-page
Lizard Looniversity Training Manual, developed by Jackie, is an all encompassing
reference book.
Twenty-five per cent of the franchisees are former employees. Jackie has
put together a group of 250 suppliers offering thousands of different merchandise
items. Franchisees have direct access to all suppliers, thereby empowering
them to do their own buying and eliminating the need for an expensive, central
warehouse.
Jackie’s approach to the
market is different than some of her competitors. Rather than streamlining
the merchandise and reducing variety, Jackie focuses
on variety and customer service. This requires significant training of franchisees
to give them the tools they need to be the best buyers they can be and to
provide outstanding service to their customers. Happy customers are their
best promotional tool.
Jackie believes that growth is
a natural by-product of a successful business. Policies and producers have
been put in place to help potential franchisees
succeed – but they provide the products and the fun.
Export
Kathryn From & Shery Leeder
Bravado Designs Inc., Toronto (Ontario)
www.bravadodesigns.com
Presented by Export Development Canada (EDC)
Bravado Designs! manufactures and exports lingerie for pregnant and
nursing women. It was founded in 1992 as a home based business by two
young mothers who, frustrated by the lack of comfortable and attractive
nursing bras on the market, decided to design their own.
With a $5,000 start-up loan from family, the company’s
sales grew from $84,000 to $1 million in the first five years. Profits,
however, were
slim, and after affirming the overall vision of the company, formulating
some guiding principles and revamping the product line, they were able to
secure new financing to finance their growth. Sales today are over $4 million.
The company sells to end-users, but 85% of their business is done through
wholesalers. Exports to the US, Europe, the United Kingdom and the Middle
East account for over 80% of sales and over 90% of profits. They have learned
from experience not to expand too rapidly. In this way, they are able to
focus their resources to ensure success and build a foundation for future
expansion.
Kathryn and Shery bring very different strengths to the organization.
Shery, the founding partner, is a pregnancy and breastfeeding advocate,
a trained
labour coach with previous experience managing infant care stores. She is
deeply committed to the importance of breastfeeding and also the bolstering
of a woman’s self esteem during the wonderful yet challenging time
of pregnancy and nursing. Shery, who is the President and visionary, manages
the production, customer service and human resources.
Kathryn joined the company in 1997 and brought a strategic focus that had
been honed at Monitor Company in Canada, thought an MBA at INSEAD in France
and 3M in Paris where she was responsible for managing and implementing pan-European
marketing communications and research programs across Europe, Russia and
the Middle East. On her return to Canada, she founded her own firm to assist
Canada companies in developing and implementing international marketing strategies.
Kathryn is CEO and oversees finance, information technology and export markets.
Bravado’s expanding line of products must all meet
the criteria of maximum comfort, supreme functionality, style and high
quality construction.
They work closely with health care professions to ensure that their products
meet their rigorous specifications. And they pay lots of attention to every
customer, be it a new mom or a wholesaler.
Kathryn and Shery are among a new breed of entrepreneurs committed to life
balance. They work hard and love their work, but know that the best way to
keep motivated, enthusiastic and fresh is to ensure that they have time away
from the job.
While they are a small player in the billion lingerie industry, as long
as women are having babies, there will be a need for their products.
Lifetime Achievement
Rebecca MacDonald
Energy Savings Income Fund, Toronto (Ontario)
www.oesc.ca
Presented by Business Development Bank of Canada (BDC)
Rebecca MacDonald was born in the former Yugoslavia, and as a young woman
trained as a physician. Realizing that the Eastern Bloc was not going to
be her long-term home, she finished her Bachelor of Science and moved to
Canada in 1974 with no English and very few contacts. Working initially in
clerical roles while she learned English, Rebecca realized that her future
was in sales.
In 1978, she married Pearson MacDonald, and together they established Toronto
WaterFilters, a successful and profitable door-to-door marketing business.
Through the births of her two children, Daniel and Alex, she maintained her
involvement in the business, including extended sales trips to every corner
of Ontario.
In 1989, with the deregulation of natural gas in Ontario, Rebecca formed
Energy Marketing Inc. (EMI) to take advantage of this opportunity, and by
the mid-1990s EMI was among the largest marketers in the province.
In 1992, Rebecca’s husband was tragically killed in a car accident.
Left with two businesses to run and two small children to raise, Rebecca
learned what she considers to be one of the fundamental rules of entrepreneurship – rely
on your partners and employees.
In 1996, the UK market for gas
and electricity deregulated, and Rebecca sold EMI and formed Atlantic Gas
PLC. The business was an immediate success
and was sold quickly to Northern Electric in 1996. Another personal challenge
in the form of crippling rheumatoid arthritis entered Rebecca’s life.
Not one to give in to adversity, she undertook groundbreaking experimental
treatment. The arthritis moved into remission, and she is getting on with
the rest of her life.
In 1997, using her own money,
she founded Energy Savings Income Fund, Canada’s
second largest distributor of deregulated utility services with more than
420,000 natural gas customers and 30,000 electricity customers in Ontario.
The company was profitable from the start, but grew so quickly that further
financing was needed. The company went public and became Canada’s top
performing IPO in 2001, with a share price that has triple in 14 month and
a market value of over $750 million. In 2002 Rebecca had a chance to acquire
the third largest player in the industry, Sunoco’s retail natural gas
business. She analyzed, completed and financed this $66 million transaction
within three months.
The major challenge for Rebecca now is managing growth and company deals
by sticking to a number of simple operating rules. They do not take risk.
They do not speculate on commodity prices. They rely on their true strength,
marketing capability. They hire good people and delegate responsibility.
Energy Savings has a stock option plan that goes deep into the organization
so that employee and shareholder objectives are aligned.
Rebecca is a quiet but active supporter of a number of charities. She is
Director of the Canadian Arthritis Foundation, and a significant contributors
to research into the disease.
Rebecca’s life has taken
turns that she never could have imagined. Her strength and belief in herself
have propelled her forward, and will continue
to do so. She truly has had a lifetime of achievement.
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