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Charles and Randy started Moxy Miscellaneous Metals (Ironworks) in September of 2011, specializing in the installation and fabrication of miscellaneous metals. They were both members of Ironworkers Local #5 with extensive training and were both very knowledgeable of the trade. Their business model was very simple, “provide our customers with union quality work at an “open shop” price.” They worked third tier projects for a couple of years to build up capital then in 2013, took the opportunity to work directly for a general contractor. While very successful, they knew at some point that they needed to start preparing for the next level of construction. To prepare, they both took a management class through Turner, which was extremely helpful in pushing them to that next level. By 2016, Charles and Randy owned two Miscellaneous Metals installation firms and one Metals Fabrication shop.

Although they had not yet reached the project volume needed to bond, they were quite certain that they would need one in the near future.  Through an industry friend, Nyime Gilchrist, manager, Bonding Education Program, USDOT, they found out about the BEP. Ironically, midway through the class they ran into a situation that required a bond. The project that they were working on required a change order that was well within their expertise to perform, but brought the cost up to exceed 250K, requiring a bond for the work. With that missed opportunity they learned two important lessons; bonds are project specific and the dollar value varies.

During the BEP class, they met Josh Etemadi, from Construction Bonds Inc., recalling, “we couldn’t have met a more patient, insouciant, understanding, down to earth and knowledgeable person when it pertains to bonding.” As a new firm, Randy and Charles found that there were important business pieces that they just didn’t have in place (i.e. great accounting firm, financials, profit & loss statements, etc.). Working diligently with Josh over the course of 6 to 8 months, they were able to successfully get all of the financial requirements in place to the bonding agents’ liking. After 9 hard months of work from everyone involved, they were able to secure roughly $300,000.00 in bonds and are currently working on a 1.6 M dollar bond that they are extremely confident in obtaining. “We feel so fortunate to have been a part of the BEP where we met Josh. Sometimes he walked us through, at other times he held our hand and yet other times he pushed us through this process.”

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In addition to obtaining a bond, the company was also able to secure financing. They were approved for funding by 2 different banks, and ultimately  accepted a line of credit from BB&T, for $150,000.

Vice President Jerry Pace believes that while they have attended many small business classes during their 38 years in business, this was the best program they have participated in, according to the note of thanks sent to SFAA, and suggested “the program is so good we would pay tuition to attend.”

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Since installing lighting and erecting steel required bonding,  PDI sought assistance from the Gulf Region Small Business Transportation Resource Center (SBTRC). Henry Yiu with PDI says that participating in the 2015 Gulf Region U.S. DOT Women in Transportation Bonding and Access to Capital  Program  took the business to a different level. This hands-on educational opportunity was part of the SFAA/ U.S. DOT Bonding Education Program.

Prior to participating in the program, PDI had no bonding  capacity. PDI learned about  the bonding  process step by step and how to increase its business capacity. As a result, PDI was able to obtain  $2 million in aggregate bonding  capacity. The program helped facilitate and build a great relationship with the surety agency that the SBTRC provided  them with in the program. Having obtained the essential bonding  capacity, PDI has been able to pursue business at a different level and bonding  has opened many doors for them.

Public sector clients PDI has received procurement opportunities with include  Dallas-Fort Worth International Airport  and  the  cities of Dallas  and Fort Worth, TX.

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Before the BEP, the company  did not have bonding, and Patricia did not know much about  it. Through the one-on-one meetings with surety professional  during the BEP, RMBS established  a relationship with Ramirez Bonding and now have bonding.  RMBS now is working  on a job with Johnson  Controls at the Denver International Airport central power plant, a job that required  bonding.

Patricia said, “The BEP has been wonderful in terms of the instruction we have received on accounting, bidding, and estimating,  but especially on bonding. I got a call recently from a company  that asked us to bond, and we wouldn’t have known  where to turn without this information. So, it has been fortuitous
in its timing.  Thank  you!”

Please provide some background info (on yourself and business)—education background/ work experience/ reasons for starting your business...

In business since 2004, sons joined in 2008. Growing and expanding as family owned business.

What was the business’s bonding situation before the BEP/What was your perception of bonding before participating in the BEP?

Rocky Mountain Boilers had not been bonded before. They were approved for $400,000 which allowed them to secure a contract with Denver International Airport (DIA). They are working on repairing the boiler that broke down in the central power plant at DIA. Rocky Mountain Boiler Services established a relationship with Ramirez Bonding in the one-on-one meetings with surety agents.

How did you the BEP and what was you experience going through the program? What did you earn?

Prior to being a client of WCSB- TRC, they got an email from Steven Martinez at the City and County of Denver. He works for Denver’s Out- reach for Business Opportunities.

Outcome (in terms of bonding).

Went from never having a bond to being approved for a $400,000 bond. Final bond was $360,000.

Current projects/ upcoming projects/other successes?

Having bonding will help them get more business and more jobs that require bonding. The BEP presenters were very helpful from accounting to safety. It was very beneficial to hear from a GC perspective. Understanding what a General Contractor is looking for really helped to be able to meet their expectations. Rocky Mountain Boiler Services has become a stronger company because of what they learned in the BEP.

(The RTD BEP class graduated on March 4, 2015.)

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This issue’s Spotlight is on Alameda Construction of Compton, CA. President and CEO Kevin Ramsey participated in the Los Angeles Bonding Education Program, which is based on SFAA’s Model Contractor Development Program®.

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This issue’s MCDP® Spotlight is on G3 Electrical Technologies of Las Vegas, NV. Owners Thomas Moore and Ronaldo Duarte participated in the Las Vegas Bonding Education Program, which is based on SFAA’s Model Contractor Development Program®. 

Thomas Moore and Ronaldo Duarte are experienced electricians that both were doing well working for large companies. However, when the market got very shaky in Las Vegas five or six years ago, they were concerned about their future prospects. Therefore, they decided to put their future in their own hands and start their own business, G3 Electrical Technologies. Since inception, they have kept busy, continually growing and improving their business operations. In addition to themselves, they now have three permanent employees and three temporary employees.

At the time of the BEP, G3 had no surety bonding and had not bid on any projects that required bonding. G3 has been trying to grow and diversify their business by pursuing public works contracts. They recently set up their bonding line and now are ready to bid on projects that require surety bonds. They have done some work for Nellis Air Force Base and also the Regional Transportation Commission of Southern Nevada. These contracts have dealt with the electrical aspects of fueling stations, with which they have expertise. They have attended some workshops at the Nevada DOT (NDOT) and are interested in getting work with them. Currently, they are applying for their DBE certification, which they expect to obtain this year, which will help them to get NDOT contracts. "We pursued surety bonding so that our company can be positioned appropriately to execute public works contracts. We are ready.”

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