BYU Entrepreneur Raises $200,000 Builds Factory in Phillipines Pays Double Avg Wage
GarbGameDayWear.com started out simply enough. Steven Rosenbeck, the Founder and CEO (and future winner of the BYU Student Entrepreneur of the Year Award - 2008 see photos), had just returned from a 2-year long service and teaching mission in the Phillippine islands. He had envisioned a plan to manufacture uniforms on the islands, then sell them to schools in the US.
After talking to several local sporting teams in the states, he found a buyer. After getting the order he went to work. There was only one problem. How do you make uniforms in a different country and then have them delivered to the US? And how do you pay for them when you're a broke-as-a-joke returned missionary?
He borrowed $400, and found a way to send it the money to a friend on the island. The friend (who would become his manager) knew of several clothing factories in the area. After receiving the money, his contact in the Phillipines had the uniforms made, and then sent them back to the states. First deal, a success! He was paid $800 for the finished product, a nice 100% profit on his first sale. His second deal was just around the corner, but this one wouldn't quite be the same. "You what?" said the surprised customer. "You have a manager in the Phillipines who will go to 1 of 7 different factories and make the clothes, and then send them to the states? Wait a minute, how old are you?"
Followed by a question, "How would you like me to give you $40,000 and you go and build your own factory, and we go into business together?" "Sure!!" came Rosenbeck's confident, yet somewhat surprised answer. And off Rosenbeck went, (with $40,000 in cash in a duffel bag) on his way to the Philippines. After sitting through a painfully long 12-hour bus ride from the airport to the city (right after a trans-Pacific flight), he went to the house of his manager.
A couple of other factories were going out of business, so they figured that'd be a good place to start. They bought up all their equipment for pennies on the dollar. Then land. A family he knew was selling land, but liked Rosenbeck, and said, "Aah, we like you. Here, take our land for cheap." He did, and bought 2 acres worth.
Then to build it. Construction workers in the area had been so impressed with Rosenbeck as a missionary that they worked practically for free and built a beautiful new factory. And then Rosenbeck set off for the USA, with exactly $5 to his name (and in his pocket). Rosenbeck recounted at the last BYU CEO meeting, "I had forgotten that when you get to customs they take $5 from you if you're leaving the country. I said 'Shoot!' how am I going to eat on the 24-hour flight home?" Eat he did not. But have a story to tell he certainly did. And tell it he did, with a lot of humor and a perfect balance of adventure and a reflection of his business savvy.
Now his company is on track to do nearly $200,000 in revenue (2008). His workers work in a state-of-the-art factory (air-conditioned, he likes to point out), make double the local wage for similar jobs, have a college scholarship for all their children, and a retirement plan. This all thanks to the hard work, business know-how (and good fortune) of Steven Rosenbeck.
He's the inspiration for a lot of entrepreneurs on campus, and the winner of the recent BYU Student Entrepreneur of the Year Competition. I'd say he deserves it. Watch out for this guy, if he can do this at 23, imagine what he can accomplish after going around the block a few times. Standing at about 5'6", with short blonde hair, and with the unassuming appearance of somebody who had just graduated high school, he ended by saying, "If I can do this, anybody can. That's my message to you. If you want to make something happen the hardest part is starting. Just start."
