This week, Marcus visits a family-owned furniture company,Pacific Hospitality, which is on the brink of closing its doors.
Their margins are paper thin,their process is non-existent, and the founder’s poor health has his daughter, Ana, living in fear.
Even so, Marcus sees true potential with the company and its owners. They agree to an investment of $300,000 for 40% of the business.
Marcus calls in some reinforcement from former Profit business and fellow furniture company, Grafton Furniture.
Marcus asked that Grafton and Pacific Hospitality work together on a project bid. Steve, the owner of Grafton, wasn’t too keen about it…
But then both companies realized their stronger together. Marcus merges the them into one team; Grafton focusing on residential and Pacific focusing on hospitality.
In order to move forward, Pacific Hospitality must get rid of all excess inventory.Although painful, it’s a necessary part of the process.
In order to maximize their efficiency and minimize their mistakes, Marcus puts in place a production line.
Ana impressed Marcus with her designers so much so that he made her chief designer for every business he owns.
After going above and beyond to prove themselves, Marcus feels confident his investment in Pacific Hospitality is safe.
And there’s no doubt this family bond is strong!