Tips and tricks of small business

Published 3:39 pm Monday, September 20, 2010

Bill Weaver knows the cabinet business and what it takes to successfully run a small company.

Weaver has been president and CEO of Canyon Creek Cabinets in Monroe for the past 10 years. Canyon Creek is a manufacturer of custom cabinetry for kitchens, baths, home offices and entertainment centers. Although Canyon Creek Cabinets is owned by a company headquartered in Japan, the company operates totally independent of the parent firm with only financial reporting requirements.

In addition, he owns a small business in Burlington that employs about eight people — a business that is managed by two of his sons.

Weaver has led Canyon Creek through many years of tremendous growth and now, like so many other business leaders, is facing the challenges of the economic environment.

We recently spoke with Weaver about entrepreneurship, the do’s and don’ts of operating a small business, and his business philosophy. In this column, we share his insights.

Question: What do you enjoy most about owning/running a small business? Why? What do you dislike most about running a small business?

Answer: Personal growth and the freedom to make decisions. The why is a hard one to answer. I have the type of personality that wants to do better and grow and I also love the independence of business. It is one of the few things you can do that will push you every day and test what you are made of and force you to increase your skill sets. I dislike dealing with difficult people and dealing with difficult issues that involve people.

Q: What advice would you give a person contemplating entrepreneurship?

A: Be committed to excellence, but know what is good enough. Make sure there is a market for your business. Good ideas don’t necessarily make good businesses. Be prepared for many sleepless nights and the 3 a.m. syndrome. (That is when you will wake up and do your worst or best thinking.)

Take calculated chances, not stupid ones. Hook up with people who can mentor you through trade organizations, local business organizations, etc. Keep your mind open to new ideas and new knowledge, listen to others’ advice and don’t fall in love too much with your own ideas.

Protect your cash. Understand that every decision is a financial decision. Know how to use your financial statements to make decisions. Never lose sight of your objective, no matter how hard it is. Fear is normal, but you must learn to push ahead no matter how afraid you are.

Q: What are the most critical skills, knowledge and attributes required to successfully run a small business? Why?

A: The ability to understand and use financial statements. A desire to succeed and a willingness to pay the price to succeed. Good critical thinking skills. Good people skills. Guts and vision.

If you don’t understand your financial statements, you won’t understand how you make money. If you are unwilling to do whatever it takes, when it gets hard you’ll want to quit. Good critical thinking skills help you to make good decisions. People ultimately do everything — know how to deal with them. Guts and vision get you through it all.

Q: What is stressful about running and owning a small business?

A: Almost everything at one point or another. It will change over time based on your growth curve and the economic times. Things change, but there are always pain points. You can minimize the stress by finding a passion besides your business that you can take time for. Mine is boating, family and driving my sports car.

Q: What failures have taught you the most and why?

A: The worst has been hiring the wrong people. Hiring people that don’t fit the company culture impedes the business and just creates a mess to deal with later. There are two sayings I have learned the truth of: “Be slow to hire and fast to fire” and “Businesses hire for skills and fire for fit.” I have wasted time and money by violating both of these.

Q: What keeps you awake at night?

A: The current economy, our current political situation in both Washington State and Washington, D.C. All three of these are intertwined and going the wrong direction.

Q: Are you seeing any improvement in the local economy?

A: Only if you measure improvement by the rate of descent slowing down.

Q: If you had to do it over again, would you still be an entrepreneur?

A: Absolutely. It is in my blood — my father owned his own business, my grandfather owned his own business. It is the American dream to me. I think you can learn more about yourself and grow as person by owning/running a business than with almost anything else.

Pat Sisneros is the Vice President of College Services at Everett Community College. Lynne Munoz is Director for the School of Business Design. Please send your comments to entrepreneurship@everettcc.edu.