Alan: Welcome back. Well we have here today in the studio Billy Evans. Billy welcome to today’s show.
Billy: Thank you.
Alan: Billy tell me about yourself. Where are you in life right now?
Billy: Right now I’m on my last year of studying mechanical engineering. I’m married, I have a five month old daughter and I’m starting a business.
Alan: Are you getting a college degree, bachelors of education?
Billy: yeah, a Bachelor’s degree in engineering.
Alan: and you’re going to start a business. Wow, do you have anything that concerns you right now getting ready to start a business about the future, thoughts that run through your head?
Billy: yeah, I have three really big concerns that I think that all young people should be concerned about. I’m concerned about the national debt that continues to rise. I’m concerned about the social security system and I’m also concerned about the future of the economy when I graduate.
Alan: So Billy how old are you right now?
Billy: I’m twenty-two years old.
Alan: Twenty-two. Alright so those are good things to be concerned about. So as you think through this, how do you feel those will play into your future?
Billy: Well I’ve talked to another person my age that actually believes they’ll get that social security. And that debt keeps on getting passed down to use and to future generations and I’m scared that that will play a role just like in Greece.
Alan: Wow, I guess we’ve seen Greece as an example there with the economic woes and the government having to shut down a few times.
Alan: Okay, so going back to the business. Thoughts on how to do this are you looking at any type of business or do you have a specific business in mind?
Billy: I grew up on a small farm and found that it was very difficult selling our cattle for the right price. So what I did is I’m selling other people’s cattle and I’m taking care of the business side of it. The marketing, the sales… Of the farms in America, 98% of them are small farms. These guys they don’t know how to make money, they make less than $10,000 a year. And so I’m saying, ‘I’ll take care of the business side, I’ll take care of sales’ and I’m helping them out in that aspect.
Alan: That’s interesting. And also being on a farm I guess you’re practicing a principle of self-reliance.
Alan: you know I think as we’re looking out in the world today we see that energy and food prices are moving up rather rapidly. And so do you feel there’s a strong growth market in these small businesses, the small farms.
Billy: Yeah, the last census that they took was in 2007, and in that last ten years they saw a 2% growth rate. I think that over the last five years its grown even more. People want to know where their food is coming from, whether it’s healthy food- and you can really tell a difference in quality when you have good food compared to a low quality food.
Alan: So in starting up the business, you have a concept, you’re going to be managing other people’s cows… the land ownership, will you have it on your land or will it be someone else’s land?
Billy: All that will be on other people’s land.
Alan: And will it be just one farm or multiple farms?
Billy: We’re going to do multiple farms nationwide.
Alan: And how do you plan in setting out your vision? What’s your business model and how you get compensated for what you do?
Billy: We’re taking care of the sales, the advertising online and then we also take care of the transportation, we work with transportation companies and do contracts through them. So we take care of all that work and charge 10% of that which is the sales cost.
Alan: So what you’re looking at is a wholesale distribution channel for bringing cattle to market. Will it be for just cows or will there be something else there too?
Billy: We’re planning to extend to farther things for farms, such as trailers, barns, all these different things.
Alan: how big would you like this company to be?
Billy: I would love this company to be… my further dream down the line would actually be to have a place like Cabella’s where people could go into a store and see the entire small farm lifestyle. They can see the new technologies that are coming out for small farmers, that they can see, ‘this is how we can be more self-reliant. We’re also going to be selling fresh produce, beef and chicken, all these other things that are organic.
Alan: you know that self-reliance concept seems to be a catchy trend out there right now. You know I heard a statistic one time, there was a guy by the last name of Dyer. He wrote a book on the baby boomers and the impact that they’ve had on our generation. Then Deloitte did a study on the baby boomers- which basically is anyone born between 1947 and 1964- that bell curve, or that population is about 80% higher before and after. And so the net result is when you start to push all these people into retirement- the first of the baby boomers is 62 years old in 2010, you’re going to have 80% of your workforce retiring in the next 10-15 years. And they basically said that the real challenge for this country will not be the retirement and the healthcare, but the fact they you’ve lost your logistical supply chain. You don’t have people to drive the trucks anymore to fill the supermarket shelves anymore. Those people aren’t there. Your concept of becoming self-reliant is not a novelty; I think it will become a necessity. I think you’re onto something… you’re being very realistic and pragmatic about your approach here. So what do you see as the number one challenge in getting this thing started up?
Billy: All the restrictions the government has, I’m finding it’s very difficult to start a business, the legal work is very difficult, it’s very expensive. The amount of money I’m pulling out to start this business and the risk that it takes- and it just seems like it’s a fight every step of the way.
Alan: Well Billy I encourage you, I think you’re on the right track there. I think for your age group you’re 22 years old, that’s a perfect Segway of what you’re going to be faced with in the future.
You can find more information on GROCO, G-R-O-C-O.com, on business plans and setting up, how do you do the execution and strategy. Thank you for joining today’s show.
Billy: Thank you.
Alan: We’ll be right back after these messages.
Young Entrepreneur - Billy Evans