Golden Hammer strikes for Orchard Supply Hardware
San Jose, California-based Orchard Supply Hardware, a 75-store chain with a focus on paint, repair and the backyard, will receive the Retailer of the Year award during Hardware + Building Supply Dealer magazine’s Golden Hammer Awards ceremony May 5 at the National Hardware Show in Las Vegas.
The annual award recognizes a home improvement company for its performance and strategy. The mostly California retailer (Orchard Supply also operates three stores in Oregon) has ambitious growth plans to reach the 100-store mark by the end of 2017. And its distinctive “neighborhood store” concept seeks to capture the middle ground between warehouse home center and corner hardware store.
“Orchard Supply has one of the most exciting concepts in the home improvement arena,” said HBSDealer editor Ken Clark. “When you visit a store, you see a fresh approach to home improvement. And it’s clear that they take quality very seriously.”
Inside the company’s typical 36,000-sq.-ft. store, customers see traces of the company’s heritage (it was founded in 1931 as a purchasing co-operative) and a merchandise emphasis on paint, repair and the backyard. Also visible are areas of “upscale affordability,” a term the retailer has embraced as a differentiator.
Orchard Supply is owned by Mooresville, North Carolina-based Lowe’s. It operates as a stand-alone division, headed by president Bob Tellier.
“These are exciting times for Orchard Supply Hardware, and this award belongs to all the associates across our company who work hard every day,” Tellier said. “We believe we are in a great position to grow, and we appreciate the vote of confidence from Hardware + Building Supply Dealer.”
Past winners of the HBSDealer Retailer of the Year Award include Stine Home & Yard (2014), Rocky’s Ace Hardware (2013) and Tractor Supply Co. (2007).
In partnership with the National Hardware Show, coming to Las Vegas May 5-7, HBSDealer will host the Golden Hammer Awards in a special area on the show floor on May 5.
Hardware + Building Supply Dealer is a property of Lebhar-Friedman Inc. Founded in 1925, Lebhar-Friedman is a leading media and marketing company serving the retail industry and targeted consumer markets. Diverse, forward-thinking and committed to excellence, the staff delivers award-winning content and high-impact marketing products across all media channels.
More advice for selling a business
When it comes to succession planning for a small business, the strategies can be as unique as the business itself.
“Every family is different and their goals are different,” said Gary Pittsford, president and CEO of Castle Wealth Advisors, based in Indianapolis. “That’s why no two sales or succession plans look alike.”
Pittsford presented a seminar on the topic during the recent Orgill Spring Market in Orlando, Florida.
[Read Pittsford’s article on the same subject from the October issue here.]
His presentation: “Succession planning: Selling your business inside or outside the family,” covered several key financial considerations that guide the process. For instance: retirement income, impact on family members, real estate ownership, and — one of the banes of the small business owner — tax considerations.
“Any business owner who is selling their company after building up the value for the last 30 years would like to minimize the amount of income taxes that must be paid,” Pittsford said, in an email to HBSDealer. “There are many ways to design a sale and each family needs to understand what the tax options are that fit their situation the best.”
The process is designed not only for the owner of the company considering a sale, but also the spouse, the children, the grandchildren and even the “charities and other entities that are important to the owner,” he said.
Construction lifts sealant forecast
Demand in the United States for adhesives and sealants is forecast to grow 2.8% per year to $6.4 billion pounds in 2019, valued at $12.8 billion.
That’s one of the top-line findings from research from Cleveland-based The Freedonia Group, in its “Adhesives & Sealants” report.
Specifically in the construction industry, where U.S. adhesives and sealants demand declined 1.0% in the years from 2009 to 2014, annual growth from 2014 to 2019 is forecast to grow 6.1%.
Adhesive bonding technologies will make further inroads in applications historically dominated by mechanical fasteners and other alternative joining systems,” said analyst Carolyn Zulandt.
Leading the way through the period of growth, according to the report, will be emulsion and dispersion adhesives. Sealants will remain the leading product type in the sector.