Both John Sprayberry and Candie Gustafson say the same thing: they decided to start their own RTO business so they could treat their customers better. Stepping out of a large corporate framework, they have found being in business for themselves a pleasant change, and so have their customers. John and Candie now can make – must make – all the decisions and can tailor both product and service to what their market needs and wants. That flexibility is proving to be an exciting challenge. And as they assess their first month in business in Dixon, Ill., they feel they are on the right course for a successful venture, one they plan to grow.
John Sprayberry
After graduating with an economics degree from Northern Illinois University in 1990, John worked in big box retail for several years then joined up with a major RTO firm as an account manager. Within three months he was an assistant store manager, soon moving up to manager and on to locations in Illinois and Wisconsin. One of the company’s top performers, he earned some elite recognitions and was nominated for Store Manager of the Year before the era of acquisitions began and his company changed hands. Thinking he might escape the rigidity of the new company, he obliged many colleagues who called him daily encouraging him to leave. But the company he left to join was also acquired not long after, and he again faced an inflexible situation. The acquisitions and change of focus thrust on him caused John to rethink his future within that corporate structure, and he decided it was time to start his own RTO business.
“I wanted to treat customers a little differently than I could with my former company,” he said. “I wanted to create more of a family atmosphere instead of one that was so rigid. I understand the corporate structure. It logically can’t allow everyone to be a free thinker. But I wanted to make my own decisions. And I wanted to be able to listen to people and help them solve their problems. This business is about treating people like you would want to be treated. Customer service is my forte.”
Candie Gustafson
Candie finished her associate degree from Sauk Valley College in business and began her RTO career with a small company in Rock Falls, Ill. She started as a clerk, but within three months was managing a store. The first female manager in Illinois for them back in 1985, she stayed for 13 years, until the company was bought out by a large RTO player. Her previous employer had been very family oriented, according to Candie, and she didn’t like the way her new company treated people. “‘Treat people like family’ has always been my model,” she said. “Some of the policies and procedures for the way we had to treat customers under the new corporate management went against me.” So she left them in 1999 and went to work for someone else. But, similarly to what happened in John’s experience, that company was bought out in 2006 by the same organization she had left. So, Candie decided “the only way I could establish myself in a comfortable work environment, doing what I love and giving the service and respect that my customers deserve was to start my own company.”
Those customers of hers mean a lot to Candie. “In some cases I’m helping third generation customers. I used to give suckers to some of them when they would follow their parents in as little kids. Now they come in to rent.”
Candie walked away from the corporate world with a reputation for good service. She earned a prestigious spirit award – the highest in her field – and enjoyed the rewards for her hard work more than once. “I got to go to Hawaii and Vegas and choose a charity to which my award money could go. My charity is the Needy Children’s fund administered through Dixon Police Department. I have always supported a couple of charities each year through my store.”
Going into business together
Because RTO is a relatively small world, especially when there have been a series of acquisitions, John and Candie got to know each other. In fact, John trained Candie when she came to work for his same company in Illinois.
“I knew Candie for several years,” said John. “I knew she is the most customer-friendly people-person I’ve ever seen. Customers love her. I am more the analytical book type. Candie drives the customers in. And we both value taking great care of them. I knew this had to be a good fit, and she agreed to be my partner.”
Candie and John looked to others they knew in the industry to see how best to get started in their new business venture. From his corporate days, John had known Paul Bottomley and Ted Krygoske who partnered up to open their own RTO store in Knox, Ind. a year ago. Paul later opened a second store with another colleague in Rochester, Ind., and Ted is expanding to Portage, Ind.
“Ted and I were both up for Manager of the Year,” said John. Ted won and was happy to hear from John when he called to find out their secret to success in RTO. John also talked with John Eibl, who he had known and who opened a home furnishings store in Rockford, Ill. last year. “I have been to his store in Rockford. It is beautiful with good merchandise. And that stuck in my head.”
Candie, too, had known this cast of former corporate managers who had become business owners. She also knew Jim Schebler, who had been Candie’s market manager at one point and who is now president of Premier Home Furnishings and owns Premier’s flag ship home furnishings store in Clinton, Iowa. In each case she and John discovered these people had gone into business for themselves through Premier Rental-Purchase.
“That’s a good way to get started,” said John. “Candie and I followed through with that Premier idea. I met Premier President/CEO Trooper Earle – a very nice man. The first time I talked with him, he made the process sound a lot easier than I had anticipated. And he did help make the process easier. Premier helped a lot with our business plan and pointed us in the right direction. So far I’ve been pleased with our decision.”
According to Candie, Premier has been an important element in the successful launch of what will hopefully be a multi-operational business for them to include more than rent-to-own activity. “We want to branch off and open more stores once we get this first one running. And we are thinking about adding other Premier products and services to our RTO store, like wheel rentals.”
“We are definitely planning other stores and other options for our customers once we are up and going and making money,” said John. Growing by adding new stores or new products and services within dealerships seems to be a trend among Premier operators. They have discovered the ability to capitalize on market opportunities by bringing other RTO-related industries to their customers – not only wheels, but home furnishings and cash services as well. Through its four companies, Premier Rental-Purchase, Premier Wheel Rentals, Premier Home Furnishings, and U-Getcha Cash services, Premier has recently made it possible for dealers to broaden their reach and make the investment in their business of even greater value.
John and Candie are carving out their new niche in RTO, this time making it work for them in the way they like best – family style. Candie summed up what they both feel and what they are bringing to an appreciative customer base in Dixon.
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