Janitorial Supply Owners Merge in lieu of Sale 'Minority Operated Women Owned small business' News

November 07, 2005 (PRLEAP.COM) Business News
“Minority Operated Women Owned small businesses” (MOWOsb) are growing in numbers for the sale of janitorial supplies. Two reasons exist for this phenomenon. First, low investment and a wealth of prior experience attract MOWOsb to the janitorial supply business. Secondly, low attrition of the mature janitorial supply businesses, especially among the MOWOsb, forces their numbers to grow even more.

Recently, the city of Detroit witnessed the phenomenon where two MOWOsb merged their local janitorial supply businesses while continuing to operate separately on the Internet. Go to http://www.prleap.com/pr/17972/ to read the previous press release “Two Detroit Janitorial Supply Companies Merge”.

The merger sprung from the initial desire by one owner of the two MOWOsb to sell the business. The sale sounded easy, at first. Listed below are the top 5 reasons why the owner found that the sale of the business would be wrong:

1) “Loyal local customers” keep the MOWOsb from failing as other small businesses often do. Therefore, it is natural for the MOWOsb to put these customers first above everything else, even at the owner’s expense. Casting them off to develop new business relationships with some other unknown janitorial supply company would be unfair.
2) Company employees are family. This extended family frequently consists of minority employees and/or women who significantly increased their status in life, while working for the MOWOsb. The MOWOsb do not put family on the street. It would be difficult to find each employee a job of equal status.
3) Company value is difficult for everyone to see. Lower and lower profit margins have made the sale of janitorial supplies less attractive. While janitorial supplies often go on sale, the MOWOsb would not sell their companies below the true value.
4) Cultural nature can cause the owner of MOWOsb to develop a feeling of “loss of face”. If the customers, employees and/or company were to struggle after the sale, the owner would suffer from the unacceptable “loss of face”.
5) Personal self-worth can deteriorate if the status as owner changes. In this case, the owner of MOWOsb is much like any other individual facing such a choice.

Merger in lieu of offering her company for sale was the answer for one such person from the Detroit area, Nobuko(Donson)Leanhardt, President/Owner of Donson Supply, Inc.* The merger allowed Ms. Leanhardt to stay involved in the local business from a distance to guarantee that the individual needs of her “loyal local customers” were still being met. Having a partner via the merger to run the day-to-day local operations, time became available to focus more on the Internet portion of her business.

“Yes”, Ms. Leanhardt still owns and operates the Donson Supply drop-ship Internet business for the sale of janitorial supplies; in addition to, the new partnership established by the announced merger of her local janitorial supply business. While the option to sell was at first considered, she will tell you that the merger has been just what the “doctor ordered” in this very competitive business.

Released by Donson Supply, Inc. for the purpose of clearing up any confusion about the previously announced merger.


* Donson Supply has been in business since 1981 from Westland / Plymouth communities in the Detroit Metro area and can be contacted on the Internet at www.donson.net, by phone at 877-427-4112 / 734-737-0739 or by FAX at 734-416-0920.