We don't all fit in...yet

Tony Shelton

Tony Shelton

BS Detector, Esquire
In the 1990's I had a mentor who has now passed on who taught me the value of
entrepreneurship. He marketed a "for sale by owner" car dealership. That concept was
practically unheard of at that time.

I used money I had saved up while selling cars and repossessed computers from
the auction to buy into his vision.

I worked with him part-time first and then full-time from 1993-1997. He taught me
management,marketing, research, development,and a host of other things, but the most
important thing he taught me was the entrepreneural mindset.

In 1997 We moved to Las Vegas for the sole purpose of starting a "for
sale by owner" franchise here. (We had already opened 90 of them across the country
as Bizops and Franchises.)

Local corruption kept me from opening here. The competition was the husband of the mayor
at that time and was the largest car dealer in southern Nevada. They had heard
of our company in 1995 and set up the fee and inspection structure in a way that would
make our type of dealership unprofitable. If anyone would like to know more details
about that email me and I'll tell you about it. It was actually ingenious.
What little money I had saved was tied up in the car dealership franchise so in
desperation I sold cars for six months. I noticed that the car salesmen sometimes
missed sales because they had to pick up clothes at the cleaners. That very thing cost
me $1200 on a Land Cruiser sale because my guy came in 2 hours early and I had to
split the deal.

At that time there were only three dry cleaners in the entire city who delivered.

I figured there must be a market for a "delivery only" business that subcontracted the
drycleaning out.

I paid cash for a 3 year old Ford van with 395,000 miles on it. That is not a misprint.
It was a van traded in from a company that makes 2-4 trips per day bringing blue-hairs
to Las Vegas from surrounding towns in a fleet of 13 Ford Vans. I figured if it had that
many miles on it, it must run well. Also my customers would only see an almost new
van and not the mileage on it. I thought it was important to make a good first impression.

I still remember my first week I grossed $21.00.

I spent a lot of time and all my money on streamlining the operation.

In 6 years we went from:

1) Being the only dedicated DC delivery in the city - to being the largest of 23.

2) One route two days a week - to 8 routes 4 days a week.

3) 1998 average 20 customers/month to 2006 average 840 customers/ month

4) Writing down and hand tagging clothes to - scanning via RF radio tags in clothes

5) Throwing a small bag of the day's clothes into the van - to filling the van(s) with
90 gallon buckets that had to be loaded with a winch.

6) Collecting checks in the bags - to over 700 customers on automatic billing each mo.


NEXT POST - BUSINESS #2
 
Part 2 of 3 CONTINUED


In 1999 I saw a small article in the paper about a woman who would go to the DMV for people
because the line at the DMV was over 3 hrs long.

I told Shelly she should look into the idea that maybe car dealerships would hire her
for that, or maybe at least let her advertise with them. It seemed a regular route of
customers such as car dealerships would be a lot more stable source of income than
relying on private customers to call from the yellow pages.

She quit Citibank where she had been for 5 years and grossed $6000 her first month
in business.

The amount of work was overwhelming so she pulled back the bridle and eventually settled
in with 8 regular car dealerships. This worked out good over the years because it has
allowed her to almost be a stay at home mom while working only 3-5 hrs per day outside the
house each day between the DMV and helping with the dry cleaning.

We integrated the DMV and DC routes.

She was the third person in the history of Nevada to gain a license to to that type of
work. In the past 8 years there have been over 380 wannabes that have tried and
quit and let their licenses expire. Now there are only 17 who are licensed to do what
she does and her business is the oldest in existence. Competitors call her all the time
to ask her questions because she has built a great reputation.

What am I trying to say here?

I'm not new to starting a business that no one has ever heard of or is undeveloped.

For sale by owner car lots? That's crazy.
Dry clean delivery without a dry clean store? NUTS.
Standing in line at the DMV.....INSANE.
CLEANING air filters? Doing coils on a set schedule? I MUST BE OUT OF MY MIND.

Oh Really.....

I sold the Dry Clean Delivery CUSTOMER LIST, not the name, or any of the vans, or the
equipment, JUST the customer list for more money than the average American makes in
two years.

There's no bragging in that. That involved a lot of years of hard work.

We went from 1998 to 2006 without a vacation that lasted longer than a 3 day weekend.

We started work at 5:00 4 days a week and the last employee left here between 8pm
and midnight four days a week.

Wednesdays and Saturdays our employees were off and we had to do all the
transporting to and from the drycleaners alone.

Shelly was at the DMV till 4pm the day she gave birth. She only took off 2 work days after
giving birth.

Fayth learned how to count by elevator buttons. She went with us every day from the
time she was born, till she was able to start school.

My Father died in 2000 and I lost 17 POS customers because they called me and were
unable to get in touch with me for a week even though my phone message clearly instructed
them that because my Dad had died they were to call Shelly, because she was taking care
of the route scheduling.

I was constantly babysitting whining customers and paid of tens of thousands in
damage claims, many false.

How much did all the dry cleaning work gross per hour/per employee after 8 yrs in
business? $42.00
Do you know how much per hour my business plan I wrote in the beginning of 1998
estimated the hourly take would be? $46.00/hr.

When I made the business plan for my CURRENT company in 2003 I estimated the hourly would
come to $120.00 per employee with a personal goal to try to keep it near $200/hr.

It's coming in around $175 or so per hour now.

What a difference between $175 and $42!!

NEXT POST BUSINESS #3
 
Part 3 of 3 CONTINUED



I say all that so you can understand the reason for the numbers below in regards to
the business I have now and the reason for my level of commitment.

Unfortunately, commitment alone doesn't make a business work, especially a new one
that no one has ever heard of.

It takes a lot of money, research and trial and error.


Since the end of 2003 I have spent $365,510 making this business.
If there is any doubt on the accuracy of these numbers email me and I will give you the
same breakdown I submitted to our bank today. They were being audited and asked us
to provide a breakdown of what our costs had been since we started.


Of that $126,400 was out of my own pocket via savings or the profit on the sale of my
former business and $239,110 was a loan.

I COULD HAVE GOTTEN BY WITH SPENDING ONLY $162,240 IF I DIDN'T HAVE TO LEARN
FROM EXPERIMENTATION.

I WOULD HAVE ONLY HAD TO BORROW $35,840.

THAT EXTRA $200,000 I BORROWED NOW COSTS ME $1950.00 EVERY MONTH FOR THE NEXT 20 YRS.

BUT I WOULDN'T KNOW WHAT I KNOW TODAY WITHOUT HAVING SPENT IT.

SOMEONE HAD TO DO IT OTHERWISE THE MARKET WOULD NEVER DEVELOP.

There is no forum on the internet where I can ask if this filter or that filter causes
damage in this or that unit. Where could I find out how much water pressure filter "A"
or filter "B" can take before it deteriorates? What soaps can I use? What temps work
best? What is the fastest method of drying.....and on and on.....

The HVAC guys think I'm nuts because the only electrostatic filters they've ever
seen were in the registers of homeowners who think "permanent filter" means they
just stick it three and leave it permanently without cleaning it. So the HVAC guys
can't get over the idea that someone could actually clean them on a regular basis.

The ultrasonic forum guys didn't know anything about cleaning filters.

Most guys on the PW boards don't know anything about HVAC units.

There is no "air filter service" board.

There is no "condenser cleaning" board.
--------------------------------

No, I don't seem to fit in anywhere just yet.

But, there are still people in many parts of the country who would look at you as if
you were insane if you were to suggest that they pay you to clean their concrete
every two weeks.
From what I hear there are some Chinese restarants that think a hood is just fine
as long as some of the smoke makes it outside the building.:rolleyes:

Roof washing...doesn't the rain do that?

So, you guys are ahead of my in the acceptance department, but I'm not far behind.

It's a struggle for us everyday because we have to sell something no one understands. It just takes time. Look at Ron and his 15 day service intervals. It just takes time.

And Oh yeah, without God's help none of the endeavors Shelly and I have undertaken would have been successful.

END OF POST
 
Cool Tony

Its what you put into it. I started with nothing, I was lost for several years being a bad boy. Then I wanted to grow up at 39,40, married my beautiful wife, had two great kids and I told my wife my plan for the biz, (beating my plan) told her it would be hard work asked her to support what I was doing. We blew away the origanal plan,it has been hard work but we are living a dream


I just tried washing my AC filters, you didnt tell me you can't wash paper filters LOL LOL

Go for it Tony, quite a story thanks for sharing


Tony you fit in here. It was great meeting you at the PHX RT, you are a go getter, there's a lot of them here
 
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Great story Tony and never let what others say is impossible hold you back.

Like Jeff, I started out with nothing, zilch...zero. Borrowed ladders and a old beat up Volvo...that was my start. Had plenty of doors shut on me with remarks like "your crazy" or "it won't work". Some of my friends at the time thought I was nuts going into business for myself.

Tony - yes I was married to my business for many years...7 days a week ~ sun up to sun down. Almost cost me my marriage years ago.

Today...I consider myself in pretty good shape. I have some nice toys and live in a very nice house. This year we took some hits but overall my business has seen steady growth to which I have been able to give back....thus enters UAMCC.

Keep up the good work Tony!! Great post brother!
 
Just Awesome.

Is 'largest...' in Southern Nevada like saying 'largest...' in Southern Arizona? Theres Tucson - not much - and a lot of nothing else.

Sounds like you know where your treasure is.
 
Newlook said:
Great story Tony and never let what others say is impossible hold you back.

Like Jeff, I started out with nothing, zilch...zero. Borrowed ladders and a old beat up Volvo...that was my start. Had plenty of doors shut on me with remarks like "your crazy" or "it won't work". Some of my friends at the time thought I was nuts going into business for myself.

Tony - yes I was married to my business for many years...7 days a week ~ sun up to sun down. Almost cost me my marriage years ago.

Today...I consider myself in pretty good shape. I have some nice toys and live in a very nice house. This year we took some hits but overall my business has seen steady growth to which I have been able to give back....thus enters UAMCC.

Keep up the good work Tony!! Great post brother!
Click to expand...

Hey Carlos, thanks for those good words. I'm glad your marriage survived. My wife is my encouragement. She is definately the wind beneath my wings.

We took some hits this year too. Right now two customers who always pay within 15 days owe me over $8k and are 60 days late. I have $13,000 in confiscated filters from closed stores.

God bless those guys like Russ who are getting a lot of business this time of the year, but after his post about end of the year left-over money available for surface cleaning I called 8 property managers, 3 of which are current customers and offered surface cleaning and other services and they acted like I must be crazy.

They are all broke. Their shopping centers are half empty with bankrupt tenants. Some are allowing the tenants to stay even though they haven't paid rent in 6-8 months on the hopes the economy will turn around.

It's bad here. I'll just have to weather the storm. I do have the ability to beat the competition pricewise if I have to. I hope it doesn't come to that.

Thanks again Carlos.
 
Great info Tony, Thanks.

I hope I can learn a lot from you about this business.
 
tonyshelton said:
Hey Carlos, thanks for those good words. I'm glad your marriage survived. My wife is my encouragement. She is definately the wind beneath my wings.

We took some hits this year too. Right now two customers who always pay within 15 days owe me over $8k and are 60 days late. I have $13,000 in confiscated filters from closed stores.

God bless those guys like Russ who are getting a lot of business this time of the year, but after his post about end of the year left-over money available for surface cleaning I called 8 property managers, 3 of which are current customers and offered surface cleaning and other services and they acted like I must be crazy.

They are all broke. Their shopping centers are half empty with bankrupt tenants. Some are allowing the tenants to stay even though they haven't paid rent in 6-8 months on the hopes the economy will turn around.

It's bad here. I'll just have to weather the storm. I do have the ability to beat the competition pricewise if I have to. I hope it doesn't come to that.

Thanks again Carlos.
Click to expand...


Your welcome Tony....Out West here it may be a little different vs. other states. Russ is a go getter all the way around. I think he scares people in giving him work...lol. Russ runs a good operation down in 'Bama from what I hear.

Commercial up here is still luke warm. A close friend of mine just sold a 5 million bldg. last week in the Bay Area. He said the month of Dec. saw a "spike" in commercial purchases.

Low end strip malls are getting hit hard across the board. Customer that have paid ontime are allowing their bills to fall into the 30, 60 and even 90 day category. They need the float and will try to stretch that as much as they can. I am okay carrying someone out for 60 days but after that it effects my accounting practices with my CPA. This is not good if one is trying to go after a small busines loan. As you know, banks or lending institutions want to see "controls" in place that you are able to collect money that is owed to you. So 60 days is a stretch if you are trying to get a loan.

I have a chunck of money that is owed to me well into the 120+ AR. It will be written off as a loss.

Stay positive....we've weatherd worst storms. If all fails I will move down to 'Bama and work for Spence ~ lol
 
Tony Shelton - Man of the hour!

Tony Shelton you are an inspiration. As a new guy I read several BB's to try to gain as much pressure washing knowledge as I can. Like you, I've been in business (other than PW) many years. The theme that runs through your post here is to never give up. Sometimes you have to start earlier and work later. Sometimes you have to do what others are unwilling to do.

Everything that a person needs to know about pwing is available on the boards. But in addition to all that info, one needs to just go do it. You show how that can be done. I am thankful that you have shared your story.

Merry Christmas and may God continue to bless your efforts.

Tim
 
Great story Tony and your not an outsider on this BB, I'm the Outsider LOL I do both Sweeping & Washing and I think I'm the only Sweeper Operator on this BB and My main Business is Sweeping because of the winters in the high country and it keeps the cash flowing when it is 0-f outside. I think a lot of us on here have started with nothing or next to nothing and build our business the hard way with hard work and LOT of EFFORT. I'm no sells man and have never done any of it before I got into this a little over a year ago but my work sells itself if I can get though the door and word of mouth as of late has got me some great accounts.

The reason I'm self employed was the place I worked for 30 Years was selling out and I had nowhere to go and I got tired of working for others. Two years ago I lost my wife of 24 years and I said what do I have to loose? it was just me now and I took a Gamble and it has been the best thing I have ever done and yes I work 7 days a week right now but that will soon change.
God gives You talents it is up to You on how you use them and it seems your doing alright with them.

I hope you continued success in you business and May God Richly Bless You and Your Family.
 
Great story Tony!

I started with nothing, I was young, and lazy. About a year after I "officially" opened the business I didn't do anything but sit around. I didn't really start getting "into" it until spring of this year.

My customer base is small, my equipment sucks compared to everybody elses here, but im moving forward.

I have built a couple of great relationships with people, wether it be customers or people on this BB. I am planning on kicking off the new year big. Im going to devote all of my time and try to be as successfull as so many others are on here.

I would have to say my biggest hurdle would be my age. There are many potentional customers looking at my different because I am 22 and have a baby face.

You overcame obstacles, and Im planning on doing the same.

Hats off to you brother.
 
Hey tony.

I've only been on here a short while but have learned a great deal so far, I have noticed that you more than anyone are willing to share your trade secrets and tips so that others have the opportunity to succeed.

I know that others say that's the purpose of the site but when some of these guys see someone getting a little too nosey or wanting specific info on a process or sales tactic there are alot of closed doors or even worse.

You have been as far as I can see an open book, the videos you've posted have been a great help to alot of us and as far as i'm concerned you are one of the top guy's on the site.

Guess I'm sayin that I feel you belong here, it just wouldn't be the same without you.
 
Thanks for all the encouraging words.

I'm the worst salesman in the world. All I have going for me is the fact that I've learned my product and my work saves the customer money in the long run.

Some things I left out of my story....

In 1998 Shelly and I prayed that we could find something to do that would give us every Sunday off. We wanted the opportunity to go to church. (Don't take that to mean that I believe if you don't go to church you are in the wrong, we just wanted to be able to go)

God gave us the dry cleaners and the DMV Business. Little hints from all around just led us to them and we just followed where we thought God was leading us. (by the way I'm not some legalistic, judgemental holy roller, I'm just a plain old human being that worships my creator.)

By 2003 my Father and 6 of my relatives in Tennessee had died. Shelly and I prayed together that the Lord would lead our work in a way that we could take vacation time to see the rest of my family before they all die.

Little hints and events led to the air filter service starting with a $500.00 bill to replace a fan because I forgot to change my own filter in the attic.

In 2005 Sonitx was still fairly new. I only had a few customers. We had enough equity at that time to sell the house, sell the dry cleaners, pay off every debt we owed and move to Tennessee with just over $300k in our pockets.

But we were at a crossroads. Did we believe that the Lord led us to Sonitx?
Did we trust that this business was the answer to our prayers? In order to move to the next level we were going to have to sell the dry cleaners and borrow some money.

The next day the Lord gave us a phone call from a gas station chain with 52 stores to do their filters. FROM SEEING OUR PHONE NUMBER ON THE BUCKET TRUCK! We took that as our answer.

We believe Luke 11 - "You fathers, if your children ask for a fish would you give them a snake instead? or if they ask for an egg would you give them a scorpion?....how much more will your heavenly Father give the holy spirit to those who ask him?"

We had asked for an answer. We didn't believe that God would torture us by making us more confused with this new account. We believed he had answered our prayers. So we went ahead and put the dry cleaners up for sale and borrowed the money.

Even then we weren't acting in full trusting faith because I made sure I had a $140k buffer zone and only took out what I thought I needed leaving equity of $140k as a bailout plan.....just my weak faith.

God fixed that "lack of faith" quick in 2007-08 when overnight my $140k buffer turned in to a $160k deficit.

Anyway now we have no buffer zone. No savings left. Nothing left but trust in God. Do we trust him, YOU BET!

He's never failed us before. Even when bad things have happened to us they've always bought out something good in us or for us.

It's always amazing to look back and see how things played out for the best.
 
Hot Shot Power Clean said:
Hey tony.

I've only been on here a short while but have learned a great deal so far, I have noticed that you more than anyone are willing to share your trade secrets and tips so that others have the opportunity to succeed.

I know that others say that's the purpose of the site but when some of these guys see someone getting a little too nosey or wanting specific info on a process or sales tactic there are alot of closed doors or even worse.

You have been as far as I can see an open book, the videos you've posted have been a great help to alot of us and as far as i'm concerned you are one of the top guy's on the site.

Guess I'm sayin that I feel you belong here, it just wouldn't be the same without you.
Click to expand...

This site is a different world from everywhere else. I only post numbers in the Alpha Gamma section because I don't want to share this stuff with anyone other than this board. I haven't given any information on the HVACR board because they are a selfish bunch. In 2 years on the Ultrasonic board they still think I clean restaurant hood filters because I haven't revealed much to them.

I have lots of instructional videos also that are private on youtube. I have opened them to members of this board who ask. The videos I post to the public area of youtube show just enough information for a copycat to get himself in trouble.

This is an unusual group of people here. I'm glad to be a part of this unusual group.
 
Wow Tony, those posts made my day!

A question if I may---what happened in '07,08 that caused a 300k turnaround?

Thanks for posting that scripture from Luke. I needed to read that today. You know, everyone always says (regarding money), "You can't take it with you!" Isn't that the truth. I try to keep a perspective by remembering that at any given moment, everything...EVERYTHING I've worked for/been blessed with can come crashing down. If I'm lucky, I could crash down to an even zero. Not so lucky, could crash to extreme debt (through health, injury, lawsuit, etc). Earth is certainly not where we should lay up our treasures.

Real quick....I heard a story about Donald Trump one time. Back in the (I think) late 90's is when the NYC economy fell, and Trump lost BIG TIME. As I recall the story, he was walking through the city with a lady friend, when the came upon a homeless person. She says, "aw, I feel so sorry for that guy...he has nothing."

Trump said, "You know what, he may have nothing, but I'm 900million dollars in debt!! Financially, I'd give anything to trade places with that guy!"

Of course what the homeless man didn't have was a CAPACITY to rapidly get out of 900MM debt, and now be worth 3-5B. So no matter what you ever lose, nobody can take away what you've learned, the tough lessons, and your ability to stare risk in the face and say, "bring it."
 
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