American Dream
One distributor finds success in spite of a tricky take-off.
Taking off on a whim is not always a bad way to travel. For Matt LeVasseur, owner of Midwest Dental Equipment & Supply, the decision to start his dental supply company has lead to the realization of his own American dream.
In spite of an up and down start, LeVasseur has steered his company toward major successes. "Really, this has been an American dream," he says. "When I started Midwest Dental in 1988, I was young and naïve and didn’t know I couldn’t start my own company."
At the time, LeVasseur was a recent college graduate looking to apply his marketing degree. He took a position with a small dental supply dealer, but soon became discouraged by some of his employer’s policies. Through that experience, LeVasseur discovered he enjoyed working in the dental industry and wondered if he could do things differently, or even better, on his own.
"I really didn’t have much experience in dental sales," says LeVasseur. "I had $25,000 and a shoestring budget. I didn’t know what I was getting into." In addition, his wife, Karen, had recently left her career to help start their new business. With a warehouse set up in their garage, LeVasseur decided they had one thing in their favor: "When you start with nothing, you can only go up."
Taking off
Indeed, the first five years were not easy, notes LeVasseur. "It was difficult to keep up with the demand from customers, and sometimes difficult to buy products directly from manufacturers."
During Midwest Dental’s first year, LeVasseur focused on selling disposables throughout North Texas and southern Oklahoma. By the year’s end, he had hired four employees, although he still managed all of sales and purchasing as well as answered telephones. The company’s total sales were between $300,000 and $400,000. Its mission was to take care of its customers’ needs, "no matter what those needs might have been," he says.
"Midwest Dental Equipment & Supply is a homegrown company," says LeVasseur. "We worked extremely hard, provided excellent products at very competitive prices and earned the customers’ trust, respect and their business." Today, sales are expected to exceed $20 million, and the company’s staff has grown to 70 employees, including 17 full-time sales reps and 11 service technicians.
In addition to covering North Texas and southern Oklahoma, Midwest Dental’s territory has expanded to include Dallas/Fort Worth, Houston and West Texas. Its corporate office remains in Wichita Falls, Texas. Midwest Dental’s Arlington, Texas, branch has one of the nation’s largest dental equipment showrooms featuring all of the top name brands in dental equipment. The company opened a similar showroom and branch in Houston in mid-2006.
A changing market
Not only has the dental market become more high-tech, it also has grown more competitive, says LeVasseur. "I came in at a good time," he explains. "Today, it is almost impossible for a small independent company to get started." Which is why he advises new distributors to bring a comprehensive business plan to the table. "[New distributors] should do their homework and ask a lot of questions," he says. "You should know your market very well and how you will fit in with the existing competition. Also, it is key to have an excellent banking relationship [with someone who] understands the challenges a new business faces from day one."
It can be very tough at first, and it’s critical that fledgling entrepreneurs stick it out. It pays to join a buying group, such as the American Dental Cooperative (ADC), which can play a huge role in a young company’s ability to access product lines and network with other distributors, he adds.
"ADC has been a tremendous resource for us," LeVasseur says. "The great people at ADC and its participating companies have done more for the independent dealer network than anything else by providing support, knowledge, product availability and a forum for discussions with other dental dealers across the United States."
Few would dispute the dental industry has changed drastically over the last couple of decades. "For Midwest Dental, customer satisfaction has been top priority," says LeVasseur. "While it’s still all about the customers, [however], the tools to reach [them] have definitely changed. When we first started out, selling was completely face-to-face. Then, catalogs became increasingly popular because they placed a tremendous amount of information at the customers’ fingertips. Later on, computers and the Internet added a whole new dimension of technology that really has enhanced our ability to quickly give the customer exactly what [he or she] wants."
Midwest Dental has introduced a number of automated tools, including Internet ordering, the E-Cat electronic ordering software and inventory management systems with bar coding. Still, "the most important key is to have people who truly care about their job and serving the customer," says LeVasseur. "It’s all about having the best people, and that’s what we have at Midwest Dental. The environment [here] is very much family. [Our employees] enjoy working for a company that truly cares about each of them, their families, and their needs."
In fact, Midwest Dental’s success can be attributed to the quality of its staff, he adds. "All of our departments - customer service, accounting, purchasing, warehousing, marketing and our sales team - work hand-in-hand. Without their commitment to [the company], the customer and to each other, we would certainly not be where we are today." And, neither LeVasseur nor his "family" of employees lose sight of one guiding principle: "If we can make our customers’ practices better, we can make our company better."
Looking back
In retrospect, LeVasseur isn’t sure how much he would change given the opportunity to begin anew. Yes, learning from one’s mistakes can be costly, he admits. And, true, it was challenging in the early years to maintain an adequate cash flow to pay the bills. Had he worked longer for another dental supply dealer and truly learned the nuts and bolts of the industry, perhaps he would have strategized things a bit differently. "But, if I had done that, I may not be here today," he adds. "I was naïve and didn’t know I couldn’t do it!"
In spite of any bumps along the way, LeVasseur is confident he never strayed from his original mission. "Customer service and our true commitment to the customer are what set us apart from other larger dental distributors," LeVasseur says. "We listen to our customers and provide them with the best products, and we do it at a very competitive price. It always comes down to providing good customer service and [the dedication] of the people at our company."
Achieving one’s dream is not always an easy task, but for LeVasseur it has been a fulfilling journey. "I urge others to reach for the seemingly impossible and perhaps they, too, will achieve their own American dream." [FI]
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