Saturday 13 August 2011

Entrepreneur 4: ALEXANDER CRISOSTOMO

ALEXANDER CRISOSTOMO - Finding a Niche in Distribution
Business: Biocare Inc.
Category: From Rags-to-Riches

"When I was young I never once imagined myself getting rich. Each time I saw an airplane flying I'd wonder if I'd be able to ride on one someday. That was my dream"

 Alexander belongs in a not well off family, that even his tuition for studies was always hard to come by. Every summer he would sell mangoes, live chickens and piglets just to be able to help his parents. He wanted to be a lawyer or a doctor bur he knows they could not afford it so instead he took up economics in UP Diliman. He got married at the age of 19 and bore a son so he needs to work extra hard doing odd jobs.
When he graduated he applied as a medical representative because that was the job that gave the highest pay at those time. He was sent to Davao as his first assignment with just three pairs of clothes, slacks and barong since there is no budget for it. Then he was promoted to supervisor, then to sales manager to marketing manager.
After 10 years he decided to resign and start his own business which is selling dried fish. But unfortunately the business closed after a year because of warehousing lapses. So he went back to being a medical representative but he never stop dreaming of having his own business and become successful in it. Then his former boss, a manager of one of the biggest health-care companies in the U.S. offered him to supply with one of their product lines, and that is how Biocare started. He tried to borrow money from friends but they declined because they couldn't see any future on the said business. He ran the business in a minimal overhead and a staff that only consist of his brother, a secretary, and himself. He was supplying health care equipment so went on to the hospitals that he worked with before. It was hard work that he even go along during the deliveries, but in less than a year he achieved the forecasted earnings. They eventually got more and bigger deals.
The next four years was tough due to the fall of economy and they were very much affected since they are dealing with foreign suppliers. To the point that they were selling their products at a loss. Then a German supplier announced that they were looking for an exclusive distributor of their products here in the Philippines. He immediately called them and send a proposal and he has been honest with them to even state the company's financial standing.  Other big companies also bid but he was able to clinch the deal. They became the exclusive distributors of German's  Human Diagnostika in the country. It was their biggest break and from then on the business went on well. 
"Faith combined with hard work is a good formula for success. Being well financed is not a guarantee of success. You may have all the money in the world, but no one will want to do business with you if you have the reputation of a hustler. What's important is that you take care of your relationship with the people around you. Business does not only mean making money, but also establishing good relationships with your suppliers, employees and clients."
Biocare only started with just P20,000 but the existing asset now are worth several hundred million. They are now considered as a major and reliable supplier for Immunology, Hematology, Blood Banking, Biochemistry and Immunochemistry. And they are now one of the top five companies in the Philippines diagnostic industry and the only one owned by a Filipino.

GOLDEN RULE:
"Start a business that you know. I tried selling dried fish mainly because it required little capital, but it folded after a year because I knew very little about the business."

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