Building Success: Lessons from a Serial Entrepreneur

“The key is to keep company with those who uplift you, those whose presence calls forth your best.” - Epictetus

Jim Rohn once famously said, "You are the average of the five people you spend the most time with." This notion resonates with many, as the company we keep significantly influences our personal and professional growth. The individuals we surround ourselves with not only shape our conversations and perspectives but also serve as inspirations for the path we want to forge.

In May this year, after an inspiring visit to Omaha, often dubbed the "Woodstock of Capitalism," I, together with a long-time friend, decided to embark on a new venture. We birthed the idea of an investment club, which we aptly named "Wisdom, Wealth, Wellbeing." The primary objective was to assemble a group of ambitious, success-driven, and motivated friends and acquaintances, forming a vibrant network for sharing knowledge and ideas.

Fast forward to October, and our club has flourished, with 15 active members and four captivating meetings under our belt.

During our most recent gathering in October, we had the privilege of hosting our first guest speaker, Brad, an accomplished entrepreneur who has achieved remarkable success from a young age. He loves sharing his valuable experience with anyone interested in learning, and we thoroughly enjoyed listening to what he had to say!

Brad's entrepreneurial journey began in 1979 when he acquired his father's water well drilling business. Initially, his plan was simply to revitalize the business, hire a manager, and return to his stable job with the City of Calgary. However, his passion grew as he became more involved. The early days were challenging, particularly in securing financing, as the bank initially promised a loan but later rejected his application due to his father's credit history. Despite the adversity of the early '80s, Brad persevered.

In 1984, his business took a significant turn when he acquired a competitor, setting the stage for two decades of impressive growth, with annual revenue and earnings increasing by 25% on average. At its peak, Brad's company was drilling over 200 wells annually. The secret to his success lay in his commitment to delivering exceptional value at a fair price. He invested substantial time educating clients about their options, well equipment, and maintenance requirements. Furthermore, he never disparaged his competitors, establishing his company as one that prioritized client satisfaction over being the cheapest in town. His business strategy was so successful that throughout his prosperous years, Brad's company rarely allocated funds to advertising. A staggering 90% of his business derived from word-of-mouth referrals.

One of Brad's brilliant early ideas was the creation of a comprehensive database that catalogued every well his company drilled, complete with depth, pumping system, filtration system, and more. Building this database in 1988 was no small feat given the data storage limitations of the time, but Brad's determination paid off, making him the only water well driller to achieve this feat.

In 2007, for a variety of reasons, Brad sold his water well business to two dedicated employees, but retirement wasn't in his cards. In 2018, he became a partner in a gravel mine business south of Calgary. Recognizing the mismanagement in the company, the other partners asked Brad to take the helm, and despite many challenges, including the COVID-19 pandemic, he turned the business into a profitable and stable venture.

Nowadays, Brad has started entrusting a significant portion of his managerial responsibilities to his son-in-law. This shift in duties affords him the opportunity to dedicate time to his five grandchildren, pursue various hobbies and interests, and actively participate in teaching aikido classes at the BigRock Aikikai club. Brad is not only a respected San Dan (3rd-degree black belt) but also serves as a board member in the organization.

In response to a few questions:

Q: Looking back 25 years in your career, what advice would you give your younger self?

Brad: This is a great question. With the benefit of age and experience, there are countless things I could look back on and say, "Oh, I wish I hadn't done that!" However, overall, I have no regrets. If I had to do it all over again, I wouldn't change a thing. I could advise my younger self to create a more detailed business plan, be more cautious about debt, and several other things, but I doubt my younger self would have listened (laughs).

Q: When you took over the business from your father, was it something that you were passionate about already or did you stumble into it?

Brad: My Dad was a serial entrepreneur. He was involved in a development project, but rather than hiring a well-regarded well driller, he got into business with a drilling company. Long story short, one day we owned a drilling company with no partners and no idea how to run it. My Dad, who was very charismatic (he could sell a ham sandwich to a pig, that guy), basically called the competition and told them, "Hi, I'm your newest competitor. Can you please come and show me how to run my company?" One of the local drillers agreed. He was a wonderful man but a horrible alcoholic. So, one day, when it was -30 degrees, we were trying to finish drilling a well. The guy adjusted the equipment for a while, and when he was satisfied, he and my Dad went to the bar, leaving me in the field. That's how it all began (laughs). My Dad and I struggled through the business for several years, and in 1979, I had to buy the company from him. At that time, I was working for the City of Calgary and trying to become an electrician. My goal was to get the company up and running, hire people to run it, and get back to my wonderful City of Calgary job. However, after we became more ingrained in the industry, I really grew to love the job. As I stated earlier, we were providing something that people had to have, and we were taking care of a very important resource. Eventually, all thoughts of going elsewhere went away, and this is how my family made our living. So, you could say that at first, I wasn't passionate about water well drilling, but after being forced into it, I grew to love it.

Q: How much do you believe luck played a role in your success, as opposed to skill and hard work?

Brad: I don't believe in luck. You make your own luck. As Seneca aptly put it, "Luck is what happens when preparedness meets opportunity." Your vibe also plays a role; the vibes you exude categorize and define you.

Q: When you said that your fortunes turned around in 1984, was it because Fred, your mentor, helped you change something about your business that helped turn things around?

Brad: Absolutely. When I first started, I wanted to drill every single water well in Alberta and wanted to buy every single job. As a consequence, I really devalued my services, and we really struggled. In 1984, I acquired another company, and its owner became a great mentor for me. He was one of the pillars in the industry. The first thing he did was instill me on the board of Alberta's Water Well Drilling Association, which is a wonderful resource. Then he convinced me that the quality of my services was way more important than the number of wells I could drill. Also, he taught me that there was no shame in making good money if you provided great value to your clients. Throughout our entire career, this philosophy served us really, really well. There were many times in my career when we had competitors who were going after the lower-end work, you know, the budget jobs, and they were always sitting idle while we were so busy that we couldn't keep up. It was because people understood the value that we gave them; they appreciated it, and that's what they wanted.

Q: Were there parts of the business where you could have almost failed? And how did you manage not to fail?

Brad: Well, things can happen beyond your control, and that always will be in the nature of business. I think when you get into business, you have to have a plan, even if it's only in your head. You must have some limits, some expectations, and if you don't, then you can get into some situations where you can fail. If you overextend yourself financially, you have no control over the market. So, one of my main philosophies in life is "everything in moderation." I never bought anything I couldn't afford. My wife and I never swung for the fences. We always went out there trying to make a good living, and that way, we could absorb the failures because we all have them. If you don't keep your business plan in check, it can quickly overwhelm you, and it happens to a lot of people.

Q: Did you ever consider diversifying into other ventures or investments?

Brad: I think this is related to aging and experience. When I was young, it was “anything for a buck.” As your business matures, you learn to focus on your core functions that make you money. You want to get rid of the unprofitable things and keep the profitable ones. So, as a result, diversification never strongly appealed to me. I've always believed that if you know what you're doing, have a winning strategy or business plan, you should bet big and even go all in.

Q: How do you perceive the current macroeconomic landscape in Canada and the world, and how has it influenced your business decisions?

Brad: I've always been so engrossed in running my business that I never found the time to dwell on whether we were in a recession or a boom. My daily routine involved waking up, checking my tasks and appointments, and getting to work. Period. With age, you tend to worry less about macroeconomic events. While they may appear significant, no one can accurately predict the state of the economy or global affairs. Why waste time on futile predictions? Instead, it's more productive to focus on what's both important and within our sphere of influence.

Q: How did you manage to strike a balance between your business and your family life?

Brad: There are two people in the family you can ask this question, and you will get two different answers (laughs). I lucked out with a great partner and wife. She complemented what we did and always understood the importance of the business for our family. From her perspective, for me the water well drilling came first, and the family second. However, in my defense, I realized early on that being successful in running my company not only provided for my family but also gave me the time to spend with them. Yes, it's a balancing act, and it can create a lot of controversy. My wife worked in the company with me during most of those years. Basically, I was "sales," and she was "credit" (laughs), so that created conflict right there. However, because we've been married for forty years, I must have done something right.

Q: What strategies do you recommend for young entrepreneurs starting their journey?

Brad: Firstly, there's no shame in working for someone else. But if you want to start your own business, you should really identify who you are and if you are good at being in business for yourself. Starting and running a business is tough, but if you choose a field with lasting demand, avoid excessive leverage, hire a good team, and embrace mistakes as an integral part of growth, you'll be on the right path.

I'd like to conclude this piece by sharing a cherished quote that has always resonated with me: "In ten years, you will remain the same person you are today, except for two things - the people you will have crossed paths with and the books that will have enlightened your journey." We all rely on mentors, role models, and educators to guide us, inspire growth, and shape our perspectives. Throughout the 47 years on my journey, I've been so fortunate to encounter remarkable mentors who have profoundly influenced my path. Brad is one of these exceptional individuals, and I am grateful to consider him a friend. I'd like to express my deep appreciation for his willingness to be our inaugural guest speaker and for generously sharing his inspiring story.

Thank you for reading!