Building and construction

The plea
34 years ago David Thomas started his apprenticeship at Omega – a small locksmiths in Melbourne’s western suburbs, started by Ian Dougall in 1973.

By the age of 19 he was made manager when Ian left the company to work on his farm, where he stayed for 10 years. When Ian returned he not only brought his son Ben into the business but he brought a renewed interest and energy in making the company a real success. With David’s help, Ian focussed on acquiring contracts for commercial master keying systems for large corporates such as the MCG, Mirvac and Telstra Dome. Omega soon became one of the biggest commercial locksmithing businesses in Victoria. But when the business was reaping its rewards, Ian Dougall died suddenly, leaving his son Ben and business partner David, devastated, but having to forge on with running the business and maintaining its status as a leader in its field.

The challenge
The Commonwealth Bank Business Health Check shows Omega continues to record increased growth, with the investment in developing new product lines and relationships paying off. But to ensure the longevity of Omega, they need a succession plan. They’ve kept in tune with the automation of the industry but now need to improve technology at the administrative level.

Advice from Our Business Mentors: Gary Barker and Frank Scolaro — Allmore Constructions
Over the last 20 years Allmore Constructions has evolved into a major player in the Victorian building industry with a turnover in excess of 40 million dollars. CEO, Gary Barker was a self confessed technophobe who was convinced to upgrade technology by the then manager, Frank Scolaro, who realised the importance of continuous upgrading of technology to keep the business on the cutting edge. Gary and his business partner, Peter Unsworth, also both understood the need for a succession plan for the business and made Frank an equity partner.

1. Build an environment that people like working in.
2. Finding the right people is trial and error.
3. Build strong relationships with your clients.
4. Work closely with your suppliers to keep up to date with the latest products especially technology.
5. Keep moving with the market trends.

Advice from Business Consultant 1: Paul Theobald — Telstra Business
Paul Theobold has a suite of Telstra products to help businesses going forward.

1. Business grade broadband internet service ensures guaranteed throughput and fast reliable service, with your own individual pipe.
2. The Next G network is Australia’s largest, fastest mobile broadband network covering 98.8 per cent of the population.
3. Next G Mobile Broadband turbo cards make internet access available anywhere anytime.
4. Included as part of the value of a business offering for Telstra Business Broadband is web and mail protect — (virus protection) and PC back up — (off site storage and back up of data on the PC.)

Advice from Business Consultant 2: Robert Dalton — Ernst & Young
David Thomas is 48 and wants to do less. He plays a pivotal role with his knowledge about the business and wants to know how to pass this on to someone else, to ensure the longevity of the business. He has a son who may also enter the business which then means there are 3 generations involved in Omega. He and Ben realise they need a succession plan — advice provided by Robert Dalton who specialises in succession planning.

1. Decide what you are going to do with your business.
2. In the planning process, work on the value of the business and where it is heading in terms of technology.
3. Another key issue is how to and who to, transfer the business know-how — Do you need to lock in any key staff?

Costs and contacts:

Telstra
With Telstra's fixed and mobile broadband solutions you have the freedom to manage your business from the office or on the road. For more information visit www.telstra.com/business

Succession Planning workshops
Ernst and Young are holding a series of free Succession Planning Workshops nation wide — go to www.sbsp.com.au for information.

Smartcompany
Almost half of all small businesses owe the tax man money. That’s 600,000 companies in debt to the tune of 6.4 billion dollars. But it doesn’t have to be that way. Discover the top 30 reasons why small businesses fail and how to make sure you’re not one of them at www.smartcompany.com.au

Contact details:

Allmore Constructions
Contact: Frank Scolaro
Title: Partner
Location: Melbourne
Phone: (03) 9330-3722
Website: http://www.allmore.com.au

Omega Corporate Security
Contact: Ben Dougall
Title: Owner
Location: Melbourne
Phone: (03) 9689-3488

Telstra
Contact: Paul Theobald
Title: Sales Manager
Location: Melbourne
Phone: (03) 8661-2192
Website: http:// www.telstra.com.au

Ernst & Young
Contact: Robert Dalton
Title: Senior Partner
Location: Melbourne
Phone: (03) 8650-7210
Website: http://www.ey.com.au

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