We recently connected with Jenny Vice and have shared our conversation below.
Jenny, appreciate you joining us today. Risk taking is a huge part of most people’s story but too often society overlooks those risks and only focuses on where you are today. Can you talk to us about a risk you’ve taken – it could be a big risk or a small one – but walk us through the backstory.
When I think about the very definition of an entrepreneur, especially one driven by a creative process, risk is pretty synonymous with what it means to be a business owner. As we are currently preparing to celebrate a fantastic milestone of business ownership surpassing our first year in operation, I think about the numerous risks, small and large, that we’ve taken to get us past this threshold. My husband, Todd, and I were both high performers in Corporate America…. but we always wanted to own our own company. Our relationship with risk has been a stair step approach over the years; one that has been measured and calculated.
We began with a side hustle, flipping old homes in Louisville, Kentucky. As we continued to grow in both number of homes and scope per year, we began to work towards a plan to go full time. Then COVID hit, and the market for flippers became quite a challenge, particularly with supply chain issues for materials. It’s interesting to think what entrepreneurs can do with a challenge! We were in the middle of a flip that required an entirely new kitchen, and when we were quoted over 20 weeks for our cabinet package, we began doing a lot of research for alternatives. We found a cabinet supplier that had somehow positioned themselves to have a ready supply available to reach us within three to five weeks. Coincidentally, they were looking for someone in Louisville to be their dedicated retailer. Our business model began to rapidly change. We had positioned ourselves in such a way that we could provide cabinets, design, and renovation knowledge to all of our friends and colleagues at the height of COVID when everyone was staying home and demand for renovations was through the roof (no pun intended).
When we were ready to scale up a few short years later, we found Louisville Cabinets & Countertops, a local cabinet company that had been in business for over 15 years, with a fantastic track record, and an owner that was looking to leave the industry. After much discussion around the amount of risk, we decided to go all-in to pursue the purchase. It took almost a year for the acquisition to be completed. Now here’s the fun part…three weeks after we acquired the company, my corporate role that I’d had for almost 12 years was eliminated and outsourced.
While I think back on the surreal feeling of hearing the words, feeling the heartbreak, and beginning to question our circumstances, it only took me about four days to realize that this was the time to branch out on my own right now, and not to wait. I took the very small runway that I had to seize the opportunity to launch my own brand around design, project management and renovations. While I still know that there are many hurdles and challenges to come, it feels incredible to know that we are celebrating year anniversaries for both Louisville Cabinets & Countertops as well as VIDA Interiors almost simultaneously.
Awesome – so before we get into the rest of our questions, can you briefly introduce yourself to our readers.
From the time I began working as a teen, and then for almost two decades since, I was in the hospitality industry. I maintain the belief that everyone should spend at least a year in the hospitality industry, or at least a service-oriented role. Having the ability to understand what kind of experience someone wishes to have is a skill that has served me over and over again throughout my career. While I have been in almost every role within the hospitality industry, towards my latter years I was drawn to, and excelled in, special events. Considering that leading each large scale special event is essentially short term project management, I continually pressed to broaden my responsibility to become a part of the real estate, design, and project management department within the corporation where I worked. Being able to document and demonstrate my ability to work within a budget, a set timeline, and deliver a result that was high quality made for a great transition into managing commercial construction projects.
I was eventually honored to take on the role of a global real estate manager, overseeing a portfolio of over 65 offices worldwide, that encompassed responsibilities from finding new office sites, recommending footprint needs, all the way through design, construction, and move-in. It was entirely an unorthodox method to enter the industry as most of my peers in similar roles had architecture and design backgrounds. The foundation of trust that I was able to develop with my then boss (and mentor) was paramount in earning the role for which I had an extremely different background versus the other candidates. Taking a “people first” approach is what set me apart from my competition.
After almost 12 years with the same corporation, my role was sadly eliminated and outsourced. Considering I had spent years flipping and designing homes in Louisville alongside my corporate role, coupled with the recent purchase of the cabinet company-Louisville Cabinets & Countertops, I quickly transitioned into developing my own brand for design and project management. VIDA Interiors offers an approach that puts me as the single point of contact for my clients. I believe my ability to understand the experience and functionality a client wishes to have in their space is what makes my process unique. Any space can be beautiful, but if it doesn’t function for the client, I’ve missed the mark. When a client is excited about the reveal of a space I’ve designed and delivered, especially if they refer me to their friends and family, there’s an ultimate satisfaction in knowing that I listened, took action, and provided exactly what they had envisioned. For most people, their home is their largest investment and the place where core memories are made with family and friends. If I am entrusted to help improve on that space, or leave a mark on it, it is the highest honor anyone can bestow.
Can you talk to us about how your side-hustle turned into something more.
Nothing prompts action like putting a hammer through a wall. What’s inside that wall? How far can you open it up? What’s on the other side? As my husband and I considered how different our own home would function should we take down the wall between our living room and our kitchen, we would unknowingly embark on a pathway that would lead us to four different revenue streams: flipping/remodeling, real estate transactions, rental portfolio, and cabinet retailer. All of these revenue streams were developed alongside our full time corporate roles.
Over the course of almost a decade in our first home, we continued to hone our craft in remodeling by becoming “weekend warriors” in the DIY community. In fact, the improvements that we made to our home, and the equity we gained from our improvements, provided the circumstances to have confidence in both experience and financial leverage to buy a fixer house in a mature Louisville neighborhood undergoing change. For most people, owning a home is their largest asset. We used our asset to position ourselves for the purchase of a flip home. It took years to create the conditions to be able to take on that first home flip, but once we found the opportunity, we jumped in with both feet. When I think back on that first flip house, it’s amazing how much we had riding on it. It paved the way to another house, and another and another….
We began looking at the process at the end of our construction period too. It was difficult to put our blood, sweat, and tears into a property, and then hand over a large portion of the equity to an independent real estate agent that hadn’t been involved in the process at all, so we became licensed to buy and sell real estate. While our main intention was simply to list our own properties, it quickly provided additional opportunities for representation considering demand from our network of friends and family.
When our side hustle earnings allowed us the opportunity to move out of our “guinea pig” home into our forever home, we rented it out and created yet another revenue stream. The process of fixing up a home we owned and renting it out was so advantageous we did it again. We continue to look for rental opportunities to grow our portfolio.
Several years into these three revenue streams, COVID resulted in major delays in materials for our renovation projects, so we procured different methods to obtain the supplies we needed. In particular, both the availability and markup on cabinets were typically one of the largest drivers in timeline and budget for our renovations and flips. Consequently, we bought the rights to be the sole retailer in Louisville for a particular cabinet line supplier. Owning that piece of our process has allowed us to create much better margins and have control over timelines for delivery and install.
After years of calculated risk of flipping homes, buying and selling homes, creating a rental portfolio, and working full time in corporate roles, we sought to purchase an established cabinet company with a great track record and an amazing team in place. Post acquisition, it quickly produced additional opportunities to manage supplemental scope beyond just cabinets, into full blown home renovations. In hindsight, the best advice I can impart is that if you’re wondering where to start, just bring a wall down and watch what unfolds.
Let’s talk M&A – we’d love to hear about your experience with buying businesses.
After years of gaining momentum with multiple side hustles, my husband and I turned most of our attention to seeking a way to scale our business. We began looking at companies for sale; we knew we wanted to purchase within an industry that forecasted continued growth, that we had experience in, and that it was an established company with a successful track record. We discovered a cabinet company for sale that had a well-kept showroom and warehouse, a great team in place, and an owner that simply was looking to retire from the industry.
The acquisition process is not for the weak, especially if you need financing to purchase. After countless hours researching which organizations best support the small business loan process, we selected a financial institution that is known for its SBA loan process. The paperwork, legal support, insurance requirements, background checks, and writing a full-fledged business plan for presentation was a lot heavier lifting than we could have imagined. Going from the initial offer phase to the closing table took the better part of a year to come to fruition.
Considering the fact that we were purchasing a company with a tenured team, we were extremely careful in our approach to preserving existing culture, slowly providing change where needed, and building trust over time. Our business plan provides for a long term strategy for continued growth, but I’m fairly certain once that path is well underway, we’d be excited to pursue another business for purchase.
Contact Info:
