Business Good For Lumber Liquidators

Colonial Heights, MA, Sept. 2--Tom Sullivan is building business the hardwood way. The Boston native owns Lumber Liquidators, a hardwood flooring company based in Colonial Heights, according to the Progress-Index. In less than a decade, the business has ballooned to 37 national locations with annual revenues expected to top $100 million in 2003. Sullivan attributes the growth to a simple business principle. "We sell a good product at a good price," he says. To be more exact, Lumber Liquidators sells flooring straight to contractors and homeowners, cutting out the middle men. As a result, most flooring is priced between $3 and $6 per square foot, far less than the price at big-name chains. The company's story goes back to Boston, when Sullivan made failed attempts at a contracting firm and television show, then opened a construction company. During the venture, he began buying the excess wood of other companies and retailers, planning to resell the raw material. His first wood sale netted $20,000, leading to a new undertaking, Lumber Liquidators. The company focus soon narrowed to providing hardwood flooring straight to homeowners and contractors, and business boomed. Between 1998 and 2001, Lumber Liquidators revenues grew from $9.5 million to $35.8 million, a 275 percent jump. During that period, Sullivan also opened an 80,000 square foot manufacturing facility on West Roslyn Road in Colonial Heights, chosen for its central location. Today, the entire company is headquartered in Colonial Heights and profits continue to grow. Revenues last year reached $68 million and returns for 2003 are expected to top $100 million, Sullivan said. In May, Virginia Business magazine named his venture one of the commonwealth's 50 best small companies, and its signature line of flooring, Bellawood, has become widely popular. Bellawood comes with a 50-year warranty, as opposed to most floors' 25-year guarantee, Sullivan said. From the beginning, he envisioned the hardwood venture, now employing about 200 people nationwide, growing to an industry leader. "I thought we could grow around the country," he said. "There definitely was a need for it." He said that flooring trends have helped sales grow--hardwood is back in style. And he has plenty, ranging from classics like oak to new styles such as purpleheart and bamboo. "Probably the biggest inventory in the country of hardwood flooring, with some things you won't get anywhere else," he said.