Never-Ending Stories
Here's the tale of one entrepreneur who refused to close the book on her favorite out-of-print classics.
URL:
http://www.entrepreneur.com/magazine/entrepreneur/2003/february/58922.html
What: Publisher of
out-of-print books for children and young adults
Who: Madelene Towne of Green Mansion
Press
Where: New York City
When: Started in June 2001
As the mother of three children, Madelene Towne wanted her kids
to read the same books she had enjoyed as a child. But after
shopping around unsuccessfully, she realized that most of her
favorite titles were out of print. Rather than giving up, this
former trust and estates lawyer decided to bring them back to life
with her own book publishing business.
Towne started out by researching the availability and copyright
status of her favorite books, then she purchased and acquired the
rights to those that were available. She then hired a printer,
artists and designers to give the old books an updated look.
After joining The Small Press Center, a New York City
organization that assists small presses, Towne, now 47, happened to
sit in on a seminar where a Barnes & Noble buyer was discussing
selling books. When the two met, the buyer asked Towne to submit
her titles and find a distributor, because they wouldn't be
able to deal with her directly. Towne secured a distributor-and
Barnes & Noble placed its first order.
In fall 2002, the self-financed entrepreneur released her first
five titles, including The World of Henry Orient by Nora
Johnson, The Joyous Season by Patrick Dennis and The
Wonderful Winter</.I> by Marchette Chute. The books are also
available on Amazon.com and at independent bookstores, and 15 more
titles are in the works.
Says Towne, whose business posted quarterly sales of $30,000,
"For me, it's more than just a business. It's really a
mission to get these books out there, [to] have them read
again."
What: A site that screens
for plagiarism
Who: John M. Barrie of
Turnitin.com, a division of iParadigms LLC
Where: Oakland,
California
When: Started in June 1998
When he worked as a teaching assistant at the University of
California, Berkeley, John M. Barrie, 35, saw firsthand the problem
academic dishonesty posed to educational institutions. So after he
graduated in 1998, he and a group of eight friends launched a Web
site designed to help teachers catch dishonest students. Today,
four of Barrie's co-founders remain in the business--Christian
Storm, 31; Emmanuel Briand, 33; Melissa Lipscomb, 31; and Todd
Huddleston, 34.
Called Turnitin.com, the system scans high school and college
students' work for plagiarism. Students submit a digital
version of their term papers online, and Turnitin.com screens the
papers against three databases. The business got off to a good
start, thanks to $2 million in start-up capital raised from family
and friends.
Today, the antiplagiarism system has been adopted by the
University of California system, every university in the United
Kingdom, Cornell, Duke, Rutgers, and thousands of high schools
worldwide. Sales for 2003 are expected to exceed $5 million.
What: An alternative to
overcrowded gyms
Who: Robert B. Shapiro of
BodyScapes
Inc.
Where: Newton,
Massachusetts
When: Started in April 1997
During his tenure as a health-club manager, Robert Shapiro made
three observations: Some clients found it intimidating to use the
equipment for the first time, many had to wait to use the exercise
equipment during peak usage hours, and there was high demand for
personal training.
After he was laid off from the club, Shapiro wrote a business
plan, sought out a $70,000 loan from the SBA and opened a different
type of club. "We have five or six people an hour working out
at one time," explains Shapiro, 34, who intially relied on
word-of-mouth and grassroots marketing. Shapiro sets his business
apart by not offering gym memberships; instead, clients can buy
six, 12 or 22 sessions at a time, a feature that Shapiro credits
for his club's 90 percent retention rate.
BodyScapes offers the latest in workout equipment, an intimate
setting and workouts by appointment only. (Clients are met by
trainers who take them through their individualized workouts.)
Clients range in age and fitness levels, including many who are
undergoing physical rehabilitation, and 65 percent are women.
Plus, the clubs are staffed by top-notch professionals: "We
have athletic trainers, physical therapists and exercise
physiologists," says Shapiro. "We have the best of the
exercise sciences."
With 2002 sales of $1.3 million, BodyScapes has three locations
in Massachusetts, chosen for their proximity to affluent
areas--after all, it takes a high-income demographic to afford the
$60-plus fee per session.
What: Advertising/public
relations firm
Who: John Galbraith of Twin
Partners Inc.
Where: Rochester, New
York
When: Started in 1996
Start-up cost: $50
It was the birth of his twins that sparked John Galbraith's
desire to start an advertising and PR firm. When the babies were
born premature, Galbraith realized that no challenge could match
that harrowing experience. He left his job as a senior account
executive at an ad agency and filed a dba for Twin Partners
Inc.
Bartering with an ad agency landed him in a warehouse where he
worked rent-free for two months. When he moved down the hall to a
one-room office for $200 a month, his office was robbed the second
day. "All I had was a computer and a phone, and they stole
both," recalls Galbraith, 36. He used technology and the best
equipment to keep overhead down. For instance, he put commercials
online for clients to view in real time rather than shipping them
out. Though he was saving, Galbraith still dressed professionally,
believing people want to work with those who look successful.
The business brought in $150,000 in sales the first year, and
last year, Twin Partners shifted its focus to PR, increasing gross
sales to $2.5 million for 2003. With buyout offers from two major
agencies last year, it appears Galbraith was right about breeding
success.
-April Y. Pennington
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