January 28, 2008
Tech Savvy | A chat with Stephen Stuart, co-founder of Casco Bay Micro in Freeport.
Founded: July 2007
Startup costs: $25,000
Employees: Stuart and business partner Tim Brown
Projected revenue, year one: $100,000
Projected revenue, year two: $150,000
Contact: 865-0555
491 U.S. Rte. One, Freeport 04032
www.cascobaymicro.com
Tell me a little bit about what you do here.
We are basically an all around IT service. Everything from iPods to computers, and then we do the virus scans and the repairs. I do a lot of the networking stuff for servers for small businesses, and Tim's the expert on virus cleanups. And [we do] sales ˆ laptop and desktop sales, iPod accessories.
What led you to launch the business?
We actually worked at a shop down the street [called Big Bear Tech]. I started there in September 06 and was promoted to head tech in March. Someone left, I brought Tim over because we worked at Staples together, and probably within the first three weeks it was, "Hey, why don't we just do this on our own?" So we did. We tried to purchase Big Bear, and it was an option. We ended up looking at this place here.
We started in early June and opened by July 1. And we had our first big job on like August 1, because they tracked us down and found out we moved. We have a bunch of customers who found out we left Big Bear and came here to find us, calling family members. It's a small town in Yarmouth. I'm from that area and my uncle always talks to people.
How did you get startup funding?
We actually were really lucky. [Tim's] dad funded us. He funded us with a loan and we pay it back just as if he was a [lender]. It took a lot of the weight off our backs, being able to open with capital [and] you don't have to worry about a ridiculous interest rate.
Being in a business that was exactly like this, at the beginning of it, I have a perspective of seeing where it was after six months and seeing this business after six months ˆ being able to compare and knowing what not to do. Efficiency is huge. Making sure you don't overstock or under-stock. Because technology changes and if you buy too many laptops and you don't sell them, four months later you're selling them for $300 less than you paid for, and that's a losing battle.
How do you figure out how much to buy?
We actually were surprised by Christmas ˆ we had too little. And we actually were surprised by our grand opening day, which was, like, September. We sold everything by the first day. I mean, we weren't stocking that much. But compared to the old business that we were in, the first day here, [the customers were saying] "I'll take it, I'll take it." A lot of it was reputation from being 10 minutes down the street.
There are probably other shops like this in the area. How do you envision carving a niche for yourself?
Customer service. Nickel and diming really bothers me. Going to a place and not being helped and still being charged $30. "We've looked at your computer, it's dead. $30 please." We do free diagnostics. You just hope to build a relationship so they keep coming back. And then obviously, we know our stuff.
Yeah, I noticed that you build computers, too.
Yes. It has to be PCs because Macs don't let you touch their hardware, but PCs, it's really like cooking. You need to pick the right ingredients. It's making sure you're getting the most power for the right amount of dollars. Once you find all the pieces [and order them from distributors], you assemble it, test it and, the big part is, the ones we build come with free warranties.
The true customization stuff is for gamers, for people who like to play computer games. A lot of times they have an idea of what they want. They want four gigabytes of RAM or a 500 gigabyte hard drive or components that we offer and will customize up to their specs.
You and your business partner were roommates before you started Casco Bay Micro. You both continue to live together ˆ what is it like to be around your business partner all the time?
Everybody asks! We're a pretty good match. My girlfriend lives there, too, and she gets along with him. We've been living together since May and never had a fight. We pretty much check with each other on everything. That's been our philosophy: "Communication is key."
Interview by Kerry Elson
Startup costs: $25,000
Employees: Stuart and business partner Tim Brown
Projected revenue, year one: $100,000
Projected revenue, year two: $150,000
Contact: 865-0555
491 U.S. Rte. One, Freeport 04032
www.cascobaymicro.com
Tell me a little bit about what you do here.
We are basically an all around IT service. Everything from iPods to computers, and then we do the virus scans and the repairs. I do a lot of the networking stuff for servers for small businesses, and Tim's the expert on virus cleanups. And [we do] sales ˆ laptop and desktop sales, iPod accessories.
What led you to launch the business?
We actually worked at a shop down the street [called Big Bear Tech]. I started there in September 06 and was promoted to head tech in March. Someone left, I brought Tim over because we worked at Staples together, and probably within the first three weeks it was, "Hey, why don't we just do this on our own?" So we did. We tried to purchase Big Bear, and it was an option. We ended up looking at this place here.
We started in early June and opened by July 1. And we had our first big job on like August 1, because they tracked us down and found out we moved. We have a bunch of customers who found out we left Big Bear and came here to find us, calling family members. It's a small town in Yarmouth. I'm from that area and my uncle always talks to people.
How did you get startup funding?
We actually were really lucky. [Tim's] dad funded us. He funded us with a loan and we pay it back just as if he was a [lender]. It took a lot of the weight off our backs, being able to open with capital [and] you don't have to worry about a ridiculous interest rate.
Being in a business that was exactly like this, at the beginning of it, I have a perspective of seeing where it was after six months and seeing this business after six months ˆ being able to compare and knowing what not to do. Efficiency is huge. Making sure you don't overstock or under-stock. Because technology changes and if you buy too many laptops and you don't sell them, four months later you're selling them for $300 less than you paid for, and that's a losing battle.
How do you figure out how much to buy?
We actually were surprised by Christmas ˆ we had too little. And we actually were surprised by our grand opening day, which was, like, September. We sold everything by the first day. I mean, we weren't stocking that much. But compared to the old business that we were in, the first day here, [the customers were saying] "I'll take it, I'll take it." A lot of it was reputation from being 10 minutes down the street.
There are probably other shops like this in the area. How do you envision carving a niche for yourself?
Customer service. Nickel and diming really bothers me. Going to a place and not being helped and still being charged $30. "We've looked at your computer, it's dead. $30 please." We do free diagnostics. You just hope to build a relationship so they keep coming back. And then obviously, we know our stuff.
Yeah, I noticed that you build computers, too.
Yes. It has to be PCs because Macs don't let you touch their hardware, but PCs, it's really like cooking. You need to pick the right ingredients. It's making sure you're getting the most power for the right amount of dollars. Once you find all the pieces [and order them from distributors], you assemble it, test it and, the big part is, the ones we build come with free warranties.
The true customization stuff is for gamers, for people who like to play computer games. A lot of times they have an idea of what they want. They want four gigabytes of RAM or a 500 gigabyte hard drive or components that we offer and will customize up to their specs.
You and your business partner were roommates before you started Casco Bay Micro. You both continue to live together ˆ what is it like to be around your business partner all the time?
Everybody asks! We're a pretty good match. My girlfriend lives there, too, and she gets along with him. We've been living together since May and never had a fight. We pretty much check with each other on everything. That's been our philosophy: "Communication is key."
Interview by Kerry Elson
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