BDC names B.C. brothers as recipients of Rogers Business Transition Award

Paradise Island Foods provides recipe for smooth transition

(Nanaimo, British Columbia – October 16, 2007) – When Len and Kevin Thomson succeeded their father in the top jobs at Paradise Island Foods in 2003, they were fully equipped to lead the business and take it to a new level. To recognize the sound planning that enabled them to successfully take over and grow the business, BDC will present Kevin and Len with the Rogers Business Transition Award tonight at a ceremony in Winnipeg, Manitoba.

The ceremony, which also honours young entrepreneurs from across the country with Young Entrepreneur Awards for each province and territory, is a highlight of BDC's Small Business Week. The Rogers Business Transition Award is presented to a company that has effectively managed a transfer of ownership following an inter-generation succession.

Paradise Island Foods, founded by George Thomson in 1978, manufactures and distributes quality cheese, cheese alternatives and other wholesale food products. By 2003, when Len and Kevin stepped into the top roles, they had been well-groomed to take over the business. While they had worked for their father's company at an early age, they had also gone out and gained experience working for other people in the retail food business. "My father always said we should prove that we could be an asset to him before he would hire us," points out Len.

Getting ready
It was six years prior to the takeover that George started coaching his sons for their new roles. "He turned over responsibility to us and we built relationships with the suppliers, clients, banks, lawyers and insurers that he dealt with," says Len. "When he stepped away from the day-to-day operations, the transition had already happened."

To ensure all the right pieces were in place, the Thomsons consulted expert accountants and lawyers who were experienced in succession planning. "I would recommend that anyone doing succession planning work closely with an experienced legal expert," says Len. "It's also important to keep everyone in the loop. People need to know the what, when and why of your plan."

Len, who is President, and Kevin, Vice-president of Operations, describe their business as an "ever-changing" trade.  They are constantly monitoring the market and working to grow the company. Since taking over, they have added efficiency to their lines, introduced an incentive program for employees, established safety and social committees, and brought in a just-in-time inventory process.  "Our market is continuing to expand," says Len.  "Not only is the population growing, but there are more and more customers, such as baby boomers, who are prepared to spend money on specialty cheeses." 

"Rogers is very pleased to be presenting the Rogers Business Transition Award to the Thomsons for entrepreneurial excellence. Their success is directly attributable to being dedicated and committed to effectively managing their company's operations," says Laura Kwiatkowski, General Manager, Midwest Region, Rogers.

As the company, which now employs over 60 people, has grown, Kevin and Len have worked to continue the "family culture" that is one of the trademarks of Paradise Island Foods. "We have a lot of long-term employees here," says Len, "and there is a real team atmosphere." 

"I congratulate the Thomsons for planning and implementing such a smooth succession initiative. With the Canadian economy set to undergo an unprecedented wave of company successions, they are a role model for the many others who will go through the same process," says BDC President and CEO Jean-René Halde.
 
"My father literally started this business out of his basement," says Len. "He built it by focusing on quality and customer service. We are continuing what he started and working on taking it to new levels. We're all very pleased with how things are turning out." 

Young entrepreneurs in the spotlight
BDC's Young Entrepreneur Awards are a highlight of Small Business Week, providing the opportunity to honour the entrepreneurial spirit and business success of Canadians between the ages of 19 and 35.  Winners from each province and territory are selected by a panel based on the originality of their business concept, its success, growth potential and their community involvement.  The panel also considers the entrepreneur's age when the business was started and any special challenges that had to be faced.

Small Business Week partners
Contributing to the success of this year's Small Business Week and Young Entrepreneur Awards are the following national sponsors:  Western Economic Diversification Canada, Export Development Canada and Rogers. Privileged partners are the Pan Canadian Community Futures Group and the Canadian Chamber of Commerce, which has been a privileged partner of the event since 1981.

About BDC
BDC is a financial institution wholly owned by the Government of Canada. BDC actively supports the development and growth of Canadian small and medium-sized businesses through its complementary financial, investment and consulting solutions. BDC is one of Canada's Top 100 Employers for 2008.

Small Business Week is a registered trademark of BDC.

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