British Columbia is home to thousands of innovative
and independent people who have worked hard to create
successful small businesses.
Out of all the provinces in Canada, B.C. has the
highest percentage of gross domestic product attributed
to small business.
In 2000, almost 900,000 B.C.'ers were employed in
small businesses - that's 58 per cent of all private
sector jobs.
Abebooks: From a scribble on a notepad to worldwide
success
In 1995, Keith Waters, then a government web
programmer, was scribbling on a notepad, thinking about
how his wife Cathy often talked about how tough it was
to get out-of-print books for customers at her used
bookstore in Victoria.
He came up with Advanced Book Exchange Inc., or
abebooks.com, where a small group of booksellers started
to list about 5,000 used book titles for sale in 1996.
Now, abebooks has almost 10,000 international
booksellers listing 36 million used book titles on a
huge searchable database accessible from its website.
It's the world's largest business-to-business exchange,
and the leading source for rare, out-of-print and
collectible books.
The tremendous success has even taken the founders by
surprise, says Waters, now abebooks CIO.
"We hoped it would grow to about one or two per cent
of where it's at now," he says. "Almost 10,000
booksellers later, it's still growing, and it's still
fun."
Basically, abebooks gives independent booksellers the
technical, marketing and business support they need to
sell their books on the Internet in exchange for a
monthly fee based on the number of books they list on
the site.
By using the abebooks site, these small businesses
can access a worldwide market and compete with the big
booksellers.
Despite winning accolades for its incredible
e-commerce success, a lot of people in B.C. still don't
know about abebooks, says Brent James, abebooks CEO.
"We're the best-kept secret on the Internet," he
says.
In November, the company, which employs about 80
people, came up big at the Canadian Information
Productivity Awards, the largest business awards program
in Canada for information management.
Abebooks won recognition as the best of show, the
best e-commerce and for excellence in information
technology.
Forbes magazine has rated abebooks "best of the best"
in the rare book category of its Internet awards,
Maclean's magazine has recognized the e-commerce
company, and the Boston Consulting Group has named it
one of the most profitable dot-coms - putting it in the
minority of '90s start-up companies.
"We've focused on customer service and on data
processing. We've always run abebooks as a business
first. We've been profitable since day one," says James.
"There are very few companies in B.C. that have the
success that abebooks has.
The site has thousands of loyal customers, and gets
an average of 1.5 million hits a day.
There's no advertising at abebooks.com, and the focus
of the site is an attractive, easy-to-use search
function.
Clients can choose to buy the books over the
Internet, with abebooks handling the transaction, or to
contact the bookseller directly.
"We go to a book fair, and people come up to us and
say, 'I love your site, but I hate your site' because
they end up spending money on all the books they find
there. It's very inspiring to know we're providing that
service," says James.
While the large majority of booksellers at abebooks
are based in the U.S., there are also some from Canada,
the U.K., Australia and New Zealand.
Last October, the company acquired JustBooks, a large
European used-book Internet business, and now has
offices in Germany and offers services in German and
French. Abebooks also recently signed on its first
bookseller in Nepal.
"Imagine, now a customer in Canada can browse a
bookstore in Nepal," says James.
Even though the company has started operating
overseas, there are no plans to leave B.C.
The beauty of an information processing company is it
can be operated anywhere as long as there's a reliable
pipeline to the Internet, says James.
"Victoria is fantastic. The climate, the lifestyle -
the people who work at abebooks enjoy what beautiful
B.C. has to offer."
Simply Country: Simply loving it
Sheryl Gilding is in love with what she does for a
living.
Gilding and her employees at Simply Country have been
making custom furniture out of reclaimed lumber at a
shop in Victoria for the last six years.
"The furniture turns out beautifully," says Gilding.
"We try to keep the old character and it ends up being
gorgeous."
Gilding was inspired to start Simply Country when she
began to help a friend who was working as a carpenter.
One of her coworkers built a beautiful cabinet out of
some old, grey, ugly lumber that was lying around, and
she decided to start the company.
Since then, workers at Simply Country have
incorporated old timber, windows, moldings, and hardware
into most of the furniture they build. "It already has
such character, but I think it's knowing that it has
such history that makes it feel different.
All that old, ugly lumber was probably three or four
hundred years in the making. With that kind of history I
feel I had better create something very wonderful with
it."
Gilding has learned a lot about refinishing old wood
simply by researching and doing it. She's especially
hooked on old fir, and while her company does build some
pieces out of new lumber, she prefers to work with the
reclaimed lumber. But it's getting difficult to find,
she says.
"It's hard to find old, scrap wood now. People are
preserving old homes and buildings. I drive around and
look for buildings being torn down, but there aren't as
many as there used to be."
Simply Country has experienced some great successes
so far.
The company got about $20,000 in orders after a
recent homebuilders' show, six stores in New York want
to sell the furniture and another $20,000 order will be
heading to a store in the Queen Charlotte Islands over
the summer.
But Gilding says her greatest successes are having
great employees and selling her first piece of
furniture. "We sold it to a customer in Phoenix, sight
unseen, and a birthday present at that. They loved it.
We have sold a lot more since then, but that was our
first."
The biggest challenge for a small business like hers
is getting the message out because advertising is so
expensive, says Gilding. "You can have a fabulous
product but it has to have a new home to go to."
Gilding's enthusiasm for Simply Country is
infectious. She says she enjoys the atmosphere at the
shop because everyone loves what they are doing,
including her father. Some of her employees could be
making more money doing something else, but they're
working at Simply Country because they like it.
"We're putting out good stuff and we're proud of it,"
she says.
Air Games: Young and adventurous
Air Games Wireless has come a long way in two years.
In 2000, three young entrepreneurs started the
Vancouver-based company that designs, publishes and
distributes entertainment software so people can play
games on their mobile phones and wireless handsets.
"When we started, all we had was our ideas and our
business plan," says Fred Ghahramani, one of the
founders.
Now, Air Games has more than 30 products, a customer
base in four continents and contracts with 13 mobile
networks worldwide, and has just started looking for
another round of investment.
"It's quite a remarkable difference," says
Ghahramani. "We're now inundated with partnership and
business opportunities on a daily basis."
Ghahramani and his partners Bryce Pasechnik and Vince
Yen recognized there was a lot of potential for an
entertainment software provider for cell phones and
wireless handsets when they were still at Simon Fraser
University, leading them to start Air Games.
"What inspired us was the realization that we could
take the lead on a very lucrative market opportunity,
one that would redefine the mobile telephone experience
globally," he says.
Stepping out on his own and starting a business is
nothing new for Ghahramani, a natural innovator. "I've
always been an entrepreneur. Even in grade school, I
would get a thrill out of working to trade up my boring
egg sandwiches for chocolate cookies.
Every new venture or deal has been yet another
opportunity to experience that same thrill. It's
intoxicating."
Even though Air Games has been so successful,
Ghahramani says they still feel as if they're just
starting out. The market for their product is still
young, and they're focused on achieving their vision for
a world-class enterprise. And B.C. is a great place to
attain that goal, he says.
"B.C. is a great conduit to many of the larger
markets abroad. For example I can pick up the phone and
almost immediately make a cultural connection with an
American customer. Then 15 minutes later, my partner can
pick up the phone and make a cultural connection with
one of our customers in Singapore. Our province's
diversity, and academic strength, is what makes B.C. a
good place to operate a company."
All this makes Ghahramani optimistic about business
in B.C. But he does face some challenges and has learned
a lot over the past two years.
"I've made some of the classic mistakes that every
entrepreneur does when moving from concept to company.
Most importantly, my biggest challenge has been learning
to know when I'm getting in over my head, and not being
afraid to admit a mistake."
Overall, the entrepreneur experience is a rewarding
one for Ghahramani, who seems to enjoy the challenges
almost as much as the successes - not to mention the
long hours. "The flexibility of being able to choose
which 18 hours in any given day that I will work is also
a bonus," he jokes.
Small business in B.C.: Did you know?
- B.C. has the highest proportion in Canada of Gross
Domestic Product, 28 per cent, attributed to small
business.
- Small business accounted for approximately 98 per
cent of all businesses in British Columbia in 2000.
- 58 per cent of all private sector jobs in B.C. were
in small business in 2000 - that's 893,300
employees.
- Young entrepreneurs, between 15 and 34 years old,
made up 21 per cent of small business owners in B.C. in
2000.
- Almost 38 per cent of B.C. small businesses were
owned and operated by women in 2000 - the highest rate
in Canada.
- From 1995 to 2000, the fastest growth of new small
businesses was in high tech companies, which expanded at
an average annual rate of seven per cent.
Statistics from BC Stats