Browse Category: Businessman

GreenSky Credit makes novel lending model work

When entrepreneur David Zalik went on a cross-country roadshow to pitch his latest business idea to bankers, he didn’t anticipate the levels of resistance that he would shortly encounter. Zalik, at that time 32, had been in business for his entire life. He knew how the financing game was played and fully expected that he could drum up enough support from traditional banks to fully finance the launching of his latest venture, GreenSky Credit.

But it turned out that even though the GreenSky business model was one that relied exclusively on making the safest kinds of prime loans, the revenue model of the company was so novel that many bankers thought it couldn’t work. And even the ones who did think it would work wanted to see a track record of success before putting up any loan money. Ironically, the company that sought to become one of the most important lenders in the country couldn’t get a single bank to extend it a loan of its own.

Zalik is proven right again

Zalik eventually ended up financing the entire company himself. Taking on a tremendous personal risk, he liquidated his entire fortune of around $12 million and bet it all on the future of GreenSky. But this would turn out to be one of the best bets that not only Zalik but anyone in the recent history of American business has made.

Just as Zalik had predicted to the dozens of bankers that he visited while pitching his idea, the revenue model worked. The secret to brining all of the parties together and attracting many of the top lenders in the country to sign up through the GreenSky platform was simple: GreenSky made sure that everyone involved with its deals walked away a big winner.

The customers, most of whom were doing high-end home remodeling projects, almost always added more to the value of their homes than the projects themselves cost. At the same time, the lenders were getting some of the top-end borrowers in the market, with the average GreenSky customer having a FICO score in the 800-plus range.

https://www.crunchbase.com/organization/greensky

Stream Energy Starts Stream Cares

The Dallas-based company of Stream Energy has created Stream Cares for their philanthropy causes. Not too long ago this direct-selling company launched Stream Cares. The launching of a separate arm of the company is relatively new to see. It offers the company dual advantages. It gives back to the community while it gets the respect and loyalty of potentially new clients and the public. Stream Energy has had a relationship with Habitat for Humanity and the Red Cross for a long time.

There is one particular cause that Stream associates care greatly for, and it is homelessness. The company and its associates go so far as to track how many homeless people there are in Dallas alone. Stream Energy and its associates covered the entrance price and the meals for over 1,000 North Texas homeless children at the annual Splash for Hope, hosted by Hope Supply Company. This allowed Stream employees and management to give them the experience of a lifetime, as well as money and supplies that they need. Hope Supply Company routinely gives diapers, clothing, school supplies, and more to homeless children. Stream has worked directly with Hope now for four years.

Stream Energy’s quick response to aid Texas tornado victims in meant that Stream and their employees worked directly with the Salvation Army. Streams associates raised thousands of dollars for the people that lost their homes and businesses. Stream matched those donations, which doubled the amount of donations brought in by associates. Stream has also worked with Operation Once in a Lifetime. It helped to provide both moral and financial support to Dallas area veterans and their families. Stream Energy donated transportation to the less fortunate military veterans and loved ones, so they could enjoy a special December meal at a highly praised Texas restaurant. Then the next day they co-hosted an American Girl Doll Experience for ten daughters of military members. Stream Energy associates gave essential support as each girl picked a doll and then later ate lunch at American Girl Café. Stream, as a company, paid for all the expenses of the experience.

https://www.dallasnews.com/business/real-estate/2017/05/22/stream-energy-sets-shop-new-addison-hq

Louis Chenevert Is A Gem As A Leader

Canadian businessman Louis Chenevert to surround yourself with successful people. A strong team that works well together will eventually make it to the top. Mr. Chenevert experienced the opposite at a job in his early career and it impacted him greatly. From there he knew that treating everyone with respect, listening, and working as a team would be crucial to success.

Mr. Chenevert earned a Bachelor of Commerce degree in Production Management from HEC Montreal in Canada as a young man. With a passion for business and desire to be successful Louis worked his way up for a number of well known companies including General Motors. His first position there as first line supervisor at an assembly plant was one of the worst jobs he had. This was also the second shift so it was even more challenging. He found that management would not take the time to listen to employee, which greatly impacted Louis and how he would be as a leader. Employees would often have great input and ideas that would not see the light of day. After 14 years working his way up in the company, Louis Chenevert was ready for a change. He started working for Pratt & Whitney, a company under the umbrella of United Technologies Corporation in which he would run one day. With time eventually he would become Chief Executive Officer, President, and Chairman of the Board for UTC. With a long career under his belt he retired at the end of the 2014 year. He revolutionized their jet engine by incorporating the most advance technology and helped United Technologies Corporation acquire Goodrich aerospace, all the while not doing any unnecessary firings or compromising the environment. Louis Chenevert was able to accomplish this tremendous feat with relentless focus, follow up, talented individuals, and lots of passion. He believes with the right team anything is possible. Listening to individuals who are don’t want to accomplish the same goals will disrupt the outcome. In 2015 Goldman Sachs Merchant Banking Division had the pleasure of gaining this remarkable individual as their Senior Industry Advisor. Louis Chenevert also sits on a number of boards and has won awards for his outstanding work.

http://www.utc.com/News/News-Center/Pages/UTC-Chairman-Chief-Executive-Officer-Louis-Chenevertrecognized-with-the-Publi.aspx