Phil Graham thought he had a winning idea.
So at age 44, with no formal business background or training, he decided to test the waters and become an entrepreneur.
Bookkeeping was a mystery. Dealing with the bank, difficult and stressful. And he had no experience in taxation and legal matters.
That was five years ago, and Graham laughingly admits bookkeeping still befuddles him – but not much else.
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| David Lazarowych photo, Business Edge |
| Phil Graham moved his home-based business into the big leagues with a city meter contract. |
The 49-year-old Calgarian is president and founder of Canadian Meter Installation Services Inc., a company that will do about $1.5 million in business this year – in Graham’s business plan, a mere trickle of things to come.
From a home-based business a year ago, Graham now leads a company of 15 employees and holds a prize contract with the City of Calgary to install residential water meters.
Success was due in large part to three factors: his parents provided him with seed money from their retirement savings; he stubbornly believed his business would work; and he educated himself in business matters through the provincial government’s Self Employment (SE) Program.
“The SE Program was wonderful, and I really encourage government to do more of this in the future,” says Graham. “The format introduced me to general business skills, how to interview people, where to look for resources, things about bonding, even what type of computers I’d need in my particular business.”
Graham received the training through the Tamarack Group Ltd., which is owned by Meyers Norris Penny (MNP) and now operates the SE program with Alberta Human Resources and Employment. MNP, a chartered accountancy and business advisory firm, has offices throughout the province but the program is currently held in Calgary. (Talks have also been held about starting it in Edmonton.)
The program is open to Albertans who want to start their own business, have identified an opportunity and are unemployed.
Since 1992, when MNP began delivering the program, more than 800 entrepreneurs have successfully launched businesses, the company says.
The program is offered six times a year, and its most recent intake attracted 150 people to an orientation session.
From that group, 70 filled out a 30-page application form and were interviewed for 20 available spots.
“The demand has never been as great as it is now,” says Suzanne Ebelher, MNP’s manager of entrepreneurial business services.
To meet demand, MNP retails more than 30 courses to people who don’t qualify for the provincial program, but still want access to the information.
Courses include strategies around creating a business plan, market research, business insurance, time management, debt and equity financing, and credit and collections.
Most people have a notion of what they want to do, says Ebelher. But they don’t have any idea about the big picture.
“They come out of classes, saying: ‘Oh my god, what am I in for?’ ”
The early sessions are critical in helping clients zero in on their niche.
“The strategy session is great,” says Ebelher. “Let’s refocus, gear down and find out where we are going. What’s our competitive advantage, and how do we take it to the marketplace?” Applicants in the provincial and private retail programs range from 18 to 75, have varied educational backgrounds, may be task oriented or extremely creative.
The initial 12-week SE program holds half-day sessions three to four times a week.
The first sessions help people determine if they are just trying to buy or create a job for themselves, or starting a business that will employ others.
The question is, says Ebelher: “Are you going to buy a job; buy a Subway and draw a salary? Or are you going to leverage that and buy several stores?”
Success stories include former dot-com victims, those downsized through mergers and acquisitions, and people such as Phil Graham, whose successful progression highlights the program’s ultimate objective.
Born in England, his family moved to Calgary in 1966. After graduating from high school, Graham took a number of jobs including working for CP Rail and as a letter carrier.
He later installed meters for the city and in the mid-1990s joined a private meter company that held the City of Calgary contract.
After a few years he left the company on a sour note, and decided to go his own way.
“It was motivation for me,” he says.
“I was going to show those guys that I knew what I was doing. I think I’ve proven that many times over.”
Earlier this year, he beat out his former employer for the city contract, a deal he expects to renew on an annual basis. (The city this spring mandated that all of Calgary will be on water meters by 2012, so there should be plenty of work.)
Graham warns other entrepreneurs that the path hasn’t been easy.
The banks, especially, have been a pain. He severed relations with his bank after going through four account managers in the last four years.
Graham has returned to MNP to talk about relationships with banks and other matters as his business grows. The program allows clients to call back and use the company’s resources, an ongoing bonus because his business plan has changed annually.
He solved his bookkeeping shortcomings by hiring another graduate of the SE program, and believes the key to future success rests in surrounding himself with good people.
As he did five years ago, Graham sees a future flush with success. He visualizes his company metering the entire city and branching out to other provinces.
“Water, like oil and gas in the last decade, will be the key resource issue this century. Big cities like Vancouver and Toronto have contracts coming up every year, so there are opportunities.”
His business plan doesn’t stop at the border. He notes that water meters were created in his home country, England, where very few houses have meters.
“My company’s called Canadian Meter Installation,” he says. “Why not British Meter Installation as well?”
Web watch: www.mnp.ca www.tamarackgrp.ca
