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When Opportunity KnocksPosted 4/4/2002By B.J. Johnson
In 1988, a good friend, who was a Volvo factory-trained technician, wanted to start his own Volvo business. He asked Fair for his business advice since Fair had already started and operated three different corporations in the previous 13 years. After many discussions and a feasibility study, the two decided to become partners and form the corporation, Dr. Volvo. Three years later, due to his partner's illness, Fair bought him out. To keep overhead low, Dr. Volvo began its operation in a small, 1,800-square-foot shop. For two years all proceeds were reinvested into the business with no salaries to the partners. In March 1993, Dr. Volvo moved to its current, expanded location in Fountain Valley, Calif. This facility has 11,500 square feet, 26 bays and performs approximately 175 repairs per week.
One spin-off from the repair business was a natural. Dr. Volvo added a second dimension in 1996 and began selling Volvos. The two operations greatly complement each other. Fair's greatest concern was to maintain quality and reputation in both entities. He believes quality is the cornerstone for success and longevity of any business. Dr. Volvo maintains a large inventory of widely assorted Volvo parts, which is necessary because the business is open for extended hours and on Saturdays. Their 95 percent one-day repair rate can be largely attributed to a $250,000 Volvo parts inventory. A third company was created in 1998 - The Dr. Volvo Wholesale Parts Specialist. This company sells Volvo parts nationwide, which fills a special void. According to Fair, most Volvo dealerships do not carry a large assortment of Volvo parts more than 10 to 15 years old. These hard-to-find parts are the company's specialty. These three related companies currently employ 22 employees. Projected sales volume for the repair facility is $2 million, $600,000 for the Volvo sales and $1.5 million for the wholesale parts company. Fair's main role in all three companies is focusing his attention on growth potential, marketing and business legalities.
Marc Kennedy is the general manager of the corporation and is a prime example of surrounding oneself with successful people, said Fair. Kennedy has been with Dr. Volvo since 1988 and has worked his way up to general manager. Continuity for the employees is a very important concept for Dr. Volvo. All key employees are given an opportunity to own stock in Dr. Volvo. Currently we have five employees who are stockholders. Each of these stockholders has been with us for over nine years, said Fair. Dr. Volvo has three goals that are crucial to its success. They are, in order: to please the customers, to provide an optimum workplace for its employees, and to remain profitable. The proper order of customer first, employee second and owner third must never be violated, said Fair. He believes so completely in this order of importance that employees are constantly reminded to keep these goals in proper order.
During the six-hour seminar, Fair addresses several topics including administration issues, employee relations and marketing. I have personally spent some time calling on independent shops and identifying common needs and problems, said Fair. Additional research was done through telephone calls to major successful independent Volvo repair shops around the country asking for new advertising ideas since Sept. 11. A list of 18 creative advertising ideas is presented during the seminar, and is available free of charge upon request. Fair appears to have an innate ability to approach situations in a proactive manner. As an Automotive Service Association member he collected approximately 1,500 customer signatures in support of U.S. House Resolution 2735, The Motor Vehicle Owner's Right to Repair Act. Fair took it upon himself to contact 600 other independent Volvo repair facilities around the country to inform them of the legislation and ask for assistance in gathering the signatures.
Fair's proactive approach is not limited to business decisions. His community also benefits. We sponsor a local soccer team and we never say no to any local charity, he said. In addition, Dr. Volvo established a non-profit fund for Sylvia's Kids, a foster home placement program. We also donate to the American Legion White Cane Post No. 266 veterans in Garden Grove, Calif., a foundation established to assist older veterans of foreign wars. We raise funds from various sources to help, said Fair. Achieving success in all areas of his life is very important to Fair. A driven and committed man, Fair says he will continue to seek new and challenging opportunities while advancing his current ventures. I love the limitless possibilities of creativity that challenge the small business owner, said Fair.
Shop StatsName: The Dr. Volvo SpecialistLocation: Fountain Valley, Calif. ASA member since: 2000 Square Footage: 11,500 No. of employees: 22 No. of years in business: 14 Business slogan: Volvo service the old-fashion way. We do it right the first time.
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