"The SBDC became a tremendous help. They displayed confidence based on their years of experience and the business began to show profitability rather than just increases in monthly sales volume.”
The Liddle Cable Company is a woman-owned cable assembly firm specializing in building coax and wire harness needs of the aerospace and technology industry. Customers include Xradin, Nyad, Savi, Jabil and Lockheed. The business was started in 2005. During the first four months of starting their home-based business both husband and wife held full time day jobs, working 16 hour days and weekends. They promised Monday deliveries and they delivered.
Their quality of work produced success and problems. When major corporations and government checks arrived (after 30-60 day aging) the bank refused to release funds for another 10 days. This caused cash flow problems. The clients found a bank, City National who immediately processed the checks and released the funds.
They incorporated as a woman-owned business. They needed more production space and more employees. Concord Economic Development and the City of Concord became great assets to Liddle Cable. John Montague, City of Concord Economic Development Department, assisted them in acquiring their present location at Mason Circle. Joyce Seitz, also with the City of Concord Economic Development Department, recommended the Contra Costa SBDC to help the client improve the understanding of their financials and to build cash flow.
The Contra Costa SBDC met the clients in October 2008. The SBDC analyses of their methods and formulas for bidding work, for job cost controls, for measuring gross profit margins and other vital aspects of the business. Scopes of work were implemented to better identify direct manufacturing costs and to project estimates for bidding proposals. Additional assistance was provided in staffing and new employees were added to the company.
Their sales increased in excess of $500,000 over the previous 12 month period. Their number of employees grew to 12. A new major contract was recently acquired, which will result in additional hires.