Fred Rathjen, AmeriSpec

Fred Rathjen, AmeriSpec

As a construction engineer, he flew all over the country building restaurants for McDonald's and, later, for Sbarro. But traveling takes its toll, so he began looking for a better way to use his training and talent.

"I decided to go into marketing ... and built my own marketing business from scratch," says Fred Rathjen. "But it didn't really tap into my passion. I began to, once again, look for other options."

To be sure and to get it right this time, Rathjen set certain criteria that any new venture would have to meet.

"I had built my marketing business from the ground up," explains Rathjen. "I didn't want to do that again. I wanted to buy an existing company and hit the ground running."

When he found an AmeriSpec home inspection business for sale, it fit his construction background. Because it was already established, it met that criterion. And with his marketing experience, he felt he could make the business a success. He purchased it and, indeed, hit the ground running.

That was more than five years ago. Rathjen now can look back and spot things he did well, and things he'd do differently.

"I changed the culture a little too quickly for some of my employees, so I ended up losing more of them than was necessary," he says. "I look back and can see I should have taken my time and made a slower transition to what I wanted the business to be."

Rathjen says he can see that he made one other mistake, too: "About 60% of my business comes from repeat business. I see now I raised prices too soon. I lost clients that would have returned time and again."

While recognizing his mistakes, he also takes a moment to reflect on the wise choices he made along the way.

"The smartest thing I did was realizing a hidden talent in an employee," says Rathjen. "I happened to say to one of the ladies who works in my office that I needed to block out more time to consistently market. As it was, I'd market for a while, bring in orders, and then spend my time fulfilling and servicing. I'd drop the marketing, until one day I'd look up and we'd have no new orders. It was a cycle that was ineffective and stressful."

"She asked what type of marketing was required," says Rathjen, smiling. "It's simple. I just drop off brochures at potential clients' offices and set up appointments to do presentations."

The employee, who normally did office work, told Rathjen she was willing to visit prospects and set up appointments. So they put together a plan.

"We're now booked four months out for presentations. She had worked for me for two years before this conversation and she was a diamond in the rough. She's now vital to our marketing and highly effective," he says.

Today, Rathjen has four employees and has learned to wear many hats. Although he prefers to do inspections himself, he is now inspector, businessman, human resources director and boss. His business has grown and he rates his success a 7 on a scale of 1 to 10.

"I am very optimistic about the next few years," says Rathjen. "I have every intention of growing my business and I have the knowledge and experience I need to achieve my goals."

While Rathjen looks positively toward the future, he shares advice his dad gave him when he was growing up:

"If you keep doing what you are doing, you are going to keep getting what you're getting."

That means change, but as Rathjen now says, make those changes slow and steady. Don't be in such a rush that you lose employees and clients.