Monday, August 18, 2008
sorry....
I apologize that I have not updated my blog lately. I have been extremely busy trying to work this first deal with CT and Chandler and coordinating a bunch of logistics... I'm having to try to raise money for another company, raise money for our business, find an income, and move all at the same time... It's really friggin crazy.... It gets really hard to focus when you don't know how long you are going to be able to survive on the amount of savings that you are tapping into. This week we are giving some of the investment proposals to some potential investors in our GSI deal. We are looking for about $500k that includes two $85k spray rigs, and a bunch of operating capital. If we get something i between that, we'll be good to go, but it will be the best situation possible to get everything we can. Other than that I have spent nearly zero time in houston the past few weeks. I'm ready to be moved to Baton Rouge, but I am absolutely sick of moving all of my things. The good news is though, we have found a house. It is a 3 bedroom with about 1800 sq ft of living space. It will have plenty of room for CT and I to spread out and relax... We're renting the place from a fellow book guy by the name of Chris Flanagan. He is a good friend of CT's and I have known him for a few years as well. Anyways, thats about it for now... All of you please pray for my patience and persistence in starting this business, and pray that we have everything in place that we need to make it succesful and that it will happen....
Friday, August 8, 2008
First Deal
Well, things have started out pretty good so far. I still don't have a place to live in BR yet, and I currently have no income (that should change pretty soon), but we do have our first deal as a company, and we've actually already had many more people approach us on possible deals. It's never a bad thing to have choices, but we are going to try to focus on one job at a time.
This first deal is with a company called Gulf South Construction. They have an insulation product from Bayer and Energywise that goes in residential and commercial buildings. It is spray polyuerethane? foam so you are probably asking whats the big deal? Well Gulf South Insulation (GSI) is the only contractor in LA and most of Miss. that has this specific product. There are other companies that have foam, but only ours has the EnergyWise guarantee. What that means is that if you buy our product, EW will guarantee your utility bills for the next 2 years down to the PENNY! If it goes over at all they will pay for it. The foam will decrease your utility costs by about 50% per month and require 1/2 the tonage of an AC/Heating unit.
Anyways, the owner of this company has asked us to come in, and raise capital, and increase sales revenue by $1.5 Million. If we do this our company gets 25% ownership of GSI and it will provide incomes for us in the interim with our sales... We've looked at the numbers and using our contacts in Baton Rouge, we believe $1.5 will be like shooting fish in a barrel. For example a typical 3,000 sq. ft. house is about a $28,000 job. We will have a bunch of those not to mention the occasional 70,000 sq ft hotel, and the 40,000 sq ft warehouse. Not to mention LA has approved like 16 new schools to be built, and our CEO knows the Superintendent of all schools in LA. All this being said, we don't know what will happen, we can only pray and work our tails off to get this done, but the potential is def. there.
The coolest thing about it in my opinion is if we get revenue to $2.5 million at a minimum ($1 million they did this year + our 1.5 mil next year) that business becomes valued roughly somewhere between $7.5-$10 mil. (3-4x revenue). That means our company after this one deal, in one year becomes valued at $1.875-$2.5 million! Not a bad year!!! Will it happen? I think so. Could I be just blowing smoke? maybe, i doubt it... But i guess what i am saying is that it never hurts to dream....
I think God's timing and presence is evident. Now i'm not saying it won't be hard, but I think He has laid the road in front of us. This road goes over mountain tops and in valleys, but I'm ready for it and I believe it will be very rewarding....
This first deal is with a company called Gulf South Construction. They have an insulation product from Bayer and Energywise that goes in residential and commercial buildings. It is spray polyuerethane? foam so you are probably asking whats the big deal? Well Gulf South Insulation (GSI) is the only contractor in LA and most of Miss. that has this specific product. There are other companies that have foam, but only ours has the EnergyWise guarantee. What that means is that if you buy our product, EW will guarantee your utility bills for the next 2 years down to the PENNY! If it goes over at all they will pay for it. The foam will decrease your utility costs by about 50% per month and require 1/2 the tonage of an AC/Heating unit.
Anyways, the owner of this company has asked us to come in, and raise capital, and increase sales revenue by $1.5 Million. If we do this our company gets 25% ownership of GSI and it will provide incomes for us in the interim with our sales... We've looked at the numbers and using our contacts in Baton Rouge, we believe $1.5 will be like shooting fish in a barrel. For example a typical 3,000 sq. ft. house is about a $28,000 job. We will have a bunch of those not to mention the occasional 70,000 sq ft hotel, and the 40,000 sq ft warehouse. Not to mention LA has approved like 16 new schools to be built, and our CEO knows the Superintendent of all schools in LA. All this being said, we don't know what will happen, we can only pray and work our tails off to get this done, but the potential is def. there.
The coolest thing about it in my opinion is if we get revenue to $2.5 million at a minimum ($1 million they did this year + our 1.5 mil next year) that business becomes valued roughly somewhere between $7.5-$10 mil. (3-4x revenue). That means our company after this one deal, in one year becomes valued at $1.875-$2.5 million! Not a bad year!!! Will it happen? I think so. Could I be just blowing smoke? maybe, i doubt it... But i guess what i am saying is that it never hurts to dream....
I think God's timing and presence is evident. Now i'm not saying it won't be hard, but I think He has laid the road in front of us. This road goes over mountain tops and in valleys, but I'm ready for it and I believe it will be very rewarding....
Wednesday, August 6, 2008
Since everyone else is doing it...
Well, since everyone else in the family has a blog, i guess i will do one so everyone can keep updated on what i'm doing in my crazy world. I will try to update it regularly, but I know that may be a stretch... I thought, since I'm going through a big transition period in my young life, it would be good not only to tell the people i care about what i'm doing but to also blog my thoughts... I guess it's alot like writing in a journal. I hope it helps me organize my thoughts and keep me level-headed...
Anyways, for those of you who don't know I'm moving back to Baton Rouge at the end of this month to start a business with my friend CT and mentor Chandler. I've tried to start businesses before, but never really bought into the idea of burning the boats. For those of you who aren't familiar, the term burning the boats means leaving yourself no options for retreat. In order to do so I have liquidated some of my stocks and mutual funds (not much, thanks to wal-marts bad timing) and am banking alot on this. However, I wouldn't do any of these things if I didn't believe that I could... Just a side note, I dont really care about grammar and capitalization when i'm rambling so just get over it... I'm really upbeat about the opportunities ahead of me, and can see alot of potential, but still need to be prepared for "the worst case scenario", so I will try to plan accordingly. Let's pray it never gets to that point.
As far as my partners go, CT has been a friend of mine for about 4 years now. We met selling books door to door and he has also built a very succesful insurance practice in the last 3 years. He is also closing that chapter in his life to pursue the same dream. Chandler is a 34 yr old experienced entrepreneur? who is married with two small children. He is a devout Regnum Christi Catholc who is completely different from any other catholic i have ever met. I mean that in a very good way. Chandler built his own business wile in college in the Cellular Technology industry and was worth about $11 million by the time he was 26. He had a private box in Tiger Stadium and had a beautiful wife. He had a meeting set to get a $30 million line of credit for his business in NYC to basically secure his and his business' future. Unfortunately his appt. was set for September 12, 2001. Needless to say, the meeting didnt happen, and he went from being worth $11 mil. at age 26 to being $1 million in debt, having his house and car repossesed, and his wife walking out of him. Since then he has found the Lord and has developed a VERY strong faith and is now happily remarried to a strong christian woman.
With Chandler's leadership and experienceas CEO, CT as our CFO/CMO, and me as our President and COO I think we are poised to do great things. WE are still working on names. I will update you all as soon as we decide on something... Anyways, I'm tired and this has been enough of an update...
So to wrap it all up, I've finally caved in and started a blog... I hope you all enjoy....
Anyways, for those of you who don't know I'm moving back to Baton Rouge at the end of this month to start a business with my friend CT and mentor Chandler. I've tried to start businesses before, but never really bought into the idea of burning the boats. For those of you who aren't familiar, the term burning the boats means leaving yourself no options for retreat. In order to do so I have liquidated some of my stocks and mutual funds (not much, thanks to wal-marts bad timing) and am banking alot on this. However, I wouldn't do any of these things if I didn't believe that I could... Just a side note, I dont really care about grammar and capitalization when i'm rambling so just get over it... I'm really upbeat about the opportunities ahead of me, and can see alot of potential, but still need to be prepared for "the worst case scenario", so I will try to plan accordingly. Let's pray it never gets to that point.
As far as my partners go, CT has been a friend of mine for about 4 years now. We met selling books door to door and he has also built a very succesful insurance practice in the last 3 years. He is also closing that chapter in his life to pursue the same dream. Chandler is a 34 yr old experienced entrepreneur? who is married with two small children. He is a devout Regnum Christi Catholc who is completely different from any other catholic i have ever met. I mean that in a very good way. Chandler built his own business wile in college in the Cellular Technology industry and was worth about $11 million by the time he was 26. He had a private box in Tiger Stadium and had a beautiful wife. He had a meeting set to get a $30 million line of credit for his business in NYC to basically secure his and his business' future. Unfortunately his appt. was set for September 12, 2001. Needless to say, the meeting didnt happen, and he went from being worth $11 mil. at age 26 to being $1 million in debt, having his house and car repossesed, and his wife walking out of him. Since then he has found the Lord and has developed a VERY strong faith and is now happily remarried to a strong christian woman.
With Chandler's leadership and experienceas CEO, CT as our CFO/CMO, and me as our President and COO I think we are poised to do great things. WE are still working on names. I will update you all as soon as we decide on something... Anyways, I'm tired and this has been enough of an update...
So to wrap it all up, I've finally caved in and started a blog... I hope you all enjoy....
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