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California Woodworks rounds corner to second year in business
Sunday, February 12, 2006
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If you had told Jeremy Gorman 15 years ago that he'd one day own and run a furniture store, "I would have laughed," said Gorman.

Partner and wife Janice Blalock has a completely opposite answer.
"I always felt I'd own a furniture store at some point," she said.

Gorman's background is musical; both in performing, managing a music store and owning a recording studio in Cotati.
Blalock's spent the majority of her career managing furniture stores throughout California.

Today, the two have one goal -- and one business together. Gorman and Blalock are co-owners of Napa's California Woodworks.
Having first met in 1976 while studying at Sonoma State University, the two reconnected in 1994 as employees at the former Napa Bare Woods.

In 2004, after working together for almost 11 years, and eventually becoming a couple, Gorman and Blalock took several large leaps of faith.

They tied the knot, blended two families to include three teenage girls, and bought the California Boulevard's Bare Woods store.

With escalating worker's compensation costs, former Napa Bare Woods owner Bill Hewitt said it was harder and harder to make a profit at his third store. "It was costing me as much to run the business to make any profit," said Hewitt.

Blalock had told Hewitt that if he ever considered selling, she'd be interested in buying the store.

"I thought, 'Let's see if we can work out a deal,'" said Hewitt. An offer was soon made to the couple.

"This was an opportunity for them to keep the store going rather than starting up a new store or a new business," said Hewitt.

Making their move, the two re-named the store California Woodworks. Blalock and Gorman were on their own, with all the freedom yet pressures of small business ownership.

They named their company "Out on a Limb, LLC."

"It's putting everything you own up in the air," said Blalock, on owning a business. "Going out on a limb to try and fulfill your dreams," she said.

Having purchased the store in October 2004, the couple is reaching the elusive two-year small business make or break point.

Blalock and Gorman are cautiously optimistic.

"People have really responded to us," said Blalock.

"This is a very personal store, our customers know us by name, they recognize us in town," said Gorman.

At the same time Gorman admits the challenges, "We're struggling like any other first year business."

"You're risking your credit, you're risking everything," said Blalock.

"The economy in the furniture industry is fairly poor right now, for them to go through their first year and do OK is commendable," said Hewitt. "Because it's a tough job. The first year is always the hardest."

"There's still a bit of a climate of people afraid to buy big ticket items. But when you put money back into your local economy it circulates and everyone benefits," said Blalock.

The couple candidly discussed how they were able to purchase the business. Approaching family, the couple borrowed money. They've also tapped into a home equity line of credit, and a mortgage broker helped them find an investor. "Use any resource you have," recommended Blalock.

Buying from a reputable businessman helped as well.

"The previous owner, Bill, spoke highly to our vendors. They extended credit terms to us because of the previous owner's reputation and relationships with vendors," said Blalock.

"The relationships with your customers are important. You have to be able to deliver what you're promising to your customers," said Gorman. "We are able to do that," he said.

While Bare Woods sold both unfinished and finished furniture, California Woodworks sells primarily finished. The 8,300-square-foot showroom features tables, chairs, hutches, entertainment units, bedroom and office furniture, plus a "huge" selection of bookcases in every size.

While the duo might like to open a second store at some point, their main focus is reducing their debt and managing their payables. Gorman describes his business philosophy regarding critical cash flow.

"Don't get overextended. Keep an eye on your investment and what you owe over the next 30 to 60 days," said Gorman.

Owning a furniture store, the two are often the first to spot trends and styles.

"Painted furniture is still really popular," said Blalock.

Rather than the 90's white-on-white look, Blalock said "antique" white and "espresso" finishes are popular choices.

"People are downsizing," noted Blalock. "We sell a lot of small drop leaf tables and chairs," she said.

"A lot of people are buying dining tables that are kitchen counter height or bar height," said Blalock. "I think people are realizing that the kitchen is a center that people gravitate toward," she said. "TV's have changed," said Gorman, citing today's thinner and larger screens. "People are thinking about their entertainment furniture differently than they used to," he said.

Office furniture has also evolved, especially in today's mobile and increasingly wireless world. "People are getting more into tables instead of traditional computer desks -- they're using laptops," said Blalock.

Even while competing with the IKEA's and other chain stores, the two credit their competitors for offering new styles and ideas.

"Pottery Barn's had a big influence on the furniture industry," said Gorman. "We have a lot of similar items that you can take home now and in a lot of cases, better quality," he said.

California Woodworks offers in-city delivery for $40, although he said most clients pick up their own pieces. "We don't build delivery costs into our pricing," said Blalock.

Shoppers with lower budgets aren't left out at California Woodworks. "Some of what we have is an investment, but we also have lots of great buys; sturdy and inexpensive," said Blalock.

"We try and find something for everyone in every range," said Gorman.

The duo said they were happy with their California Boulevard location, noting that the revamped Bel Aire Plaza and completed highway project have increased traffic throughout their north Napa neighborhood.

They also have a working relationship with their former boss, occasionally combining or sharing orders.

"My philosophy in business is 'What goes around comes around.' I have nothing but good wishes for them," said Hewitt.

While Blalock and Gorman commute from their home in Santa Rosa, they're enjoying being business owners in Napa. "This is a really unique community," said Blalock. "People are friendly and community oriented."

"We get a lot of people who say, 'I'll only shop in Napa.'" Blalock and Gorman said they appreciate that.

"People need to know how important it is to support local merchants instead of going to a big faceless chain," she said.

"We hope the people of Napa will love us and buy furniture from us," said Blalock.

"Shop local, shop local, shop local," said Gorman.
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