Line of Departure

Musings of a US Army reservist and China expat deployed to Iraq

Wednesday, February 23, 2011

Baby's first step: First corporate contract signed

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Ok, for those of you who grew up in the 80s, you should get the reference....

I'm riding on a high right now -- just inked our first corporate deal!  It sounds more glamorous than it is.  There's no long-term relationship going or recurring ongoing services, but for a new company that's trying to get credibility, this will be big and will be a great reference case if we do a good job.  We're doing testing and advisory consulting to a big multinational company here in Shanghai as they renovate two floors.  We'll be testing the before and after and helping project manage the vendors through auditing the air quality (and  therefore the work that they do and the materials selected).  The value of the contract is small -- around $6k, but it's quite a step up from residential projects and I'd like to see more of them.

Lately, I've also been looking at two new segments.  The first is the upstream architecture/design/interior renovation space.  I was introduced to a boutique design firm that built the first LEED Gold certified retail store in China and also did the Urbn Hotel in Shanghai.  We hit it off and the owner/partner thought that we could have a pretty strong offering if he added my knowledge of indoor air quality to his green building.  We could help each other and create a stronger  total package for clients.  So, we have started on several projects and last week, he brought up the idea of me formally starting up a company that merged these two concepts:  building fit-out/interior design and indoor environmental testing and consulting.  He would offer up the part of his company that was dedicated to interior design and I would do the air testing/consulting part.  Since he's busy expanding the architecture piece and doing other things, he asked if I would consider heading it up as its own company -- when I explained that I wanted independence, he said he'd be amenable to me keeping it under my company's brand-name if that's what I wanted.  Little premature to think this is a done deal, but it certainly is an unexpected direction this early in the game but also an interesting idea to scale up and add some revenue pretty fast.  It would be a little scary and really turn this whole venture into much more of a managerial role (instead of the satisfying solo expert that it's been).

Also, I am going to start expanding into the Japanese market.  To date, the vast majority of my clients have actually been American or Brits.  But there are 200,000 Japanese in Shanghai and only 30,000 Americans.  The Japanese are almost always here on contract, are very health-oriented and used to high levels of hygiene and environmental health, and expect a high service level.  These are all well-suited to my business model.  The key will be to get someone who is Japanese and can help me localize my materials and offerings and then be the Japanese face of my business.  I think I may have found someone who can at least start part-time and then later, I can look for someone who is able to do this full-time if it is promising.

Hope you're all having a great week  -- Shanghai is finally warming up and the sun on your face when you go outside really does pick you up.  Looking forward to Sarah's brother Tris and my mom coming to visit in two weeks.


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