THE VIRGINIAN-PILOT
Copyright (c) 1995, Landmark Communications, Inc.
DATE: Thursday, May 18, 1995 TAG: 9505180733
SECTION: BUSINESS PAGE: D1 EDITION: FINAL
SOURCE: BY TARA TROWER, STAFF WRITER
LENGTH: Medium: 86 lines
Among those to be wined and dined by Inc. magazine today in Norfolk is Whitlock Group of Hampton Roads.
Whitlock, a computer services and products distributor in Norfolk, is the only regional company listed this year on the Inc. 500.
Inc., a magazine for entrepreneurs published in Boston, ranks the nation's 500 fastest-growing privately held companies every year and then invites the top executives and their families to a celebratory convention. This year, up to 1,200 participants are expected for the event at Norfolk's Waterside Marriott Hotel and Convention Center.
Whitlock Group of Hampton Roads placed 222 on the list; its sister company near Richmond, Whitlock Group of Glen Allen, placed 427. Since the rankings were announced, founder John Whitlock has sold both computer-services companies to Minneapolis-based AmeriData Technologies Inc.
``Looking back at our beginnings, we really didn't know what we were getting into,'' he said. ``But now it's a little bit easier to see how we got here.''
``Here'' is being president of a corporation with total sales of more than $66 million and recognized twice by Inc. for its rapid growth. His customers include Sentara hospitals and the Chesapeake School Board.
Having received his bachelor's degree from the University of Georgia and law degree from the University of Richmond, Whitlock, 37, practiced law with his father in his hometown of Mineral. During the mid-1980s, the firm decided to expand its use of computers. That's when Whitlock realized there were great possibilities in the area of customized systems for small businesses.
``I found lots of customized programming, but only for large corporations. There was nothing out there for small businesses,'' Whitlock said. ``So of course we thought about starting our own company, but it was a joke, really.''
What started as a joke quickly became serious as he tried to buy a Computerland store in Richmond. The attempt failed, but Whitlock took his business plan to franchisors at a trade show and was able to strike a deal.
In 1988, he opened his first Richmond-area location in Glen Allen. Since then, Whitlock has added two computer-services businesses to the computer division and combined two acquired broadcasting and audio-video concerns for its Broadcast Presentation and Audiovisual Product Division in Virginia Beach.
During its first full year of operation, the company generated $3 million in revenues. Combined sales of the Richmond, Hampton Roads and Harrisonburg centers have grown from $6 million in 1989 to $56 million in 1994. This past year the broadcasting division had sales of $10 million.
Whitlock attributes the company's dramatic growth to customer service and quality employees.
``We have great people,'' he said. ``And it's my job to give them enough rope to let them do their jobs.''
Jay Flynn, sales manager at the Norfolk location, agrees with Whitlock's assessment of the staff.
``He (Whitlock) is a very fair man,'' Flynn said. ``He hired good people, gave them the authority to make decisions and then backed them up once the decision was made.''
Despite his original plan to service small businesses, Whitlock's clientele has grown in size and stature. Most of his customers are large corporations and institutions. Only about 10 percent of his sales come from small businesses, he said.
Success has led Whitlock to strike out in a different direction. In April, he sold the entire computer division to AmeriData, a publicly owned computer company, leaving him about 30 of his original 200 employees.
When AmeriData approached Whitlock a year ago, he hadn't given any thought to selling any of his operations. But, he said, ``with the industry as crazy as it is, to remain competitive the offer became more and more attractive. Now we can start over.''
That willingness to start over in a different industry does not strike Kevin Thompson as strange. As vice president of the broadcast division, he has been with Whitlock since its creation in 1993.
``John has a strong ability to know when to take action,'' Thompson said. ``If he decides to move into a risky area, he will commit the resources and the people to make it a success.'' ILLUSTRATION: [Color Photo]
MARTIN SMITH-RODDEN/Staff
John Whitlock
Founder of Whitlock Group
by CNB