Against the Odds

One local entrepreneur is prototyping and manufacturing Central Virginia's future. Another is reviving a trade connected with the region's past. What do Larry Hatch and Thomas Johnson have in common? Both men recently launched enterprises that managed to thrive through the economic downturn, creating jobs and expanding facilities. And both are gaining recognition for their extraordinary vision and determination.

When well-known regional employers like the energy giant Babcock and Wilcox or nutritional-product leader Abbott Laboratories go into growth mode, as they did in 2010, it's easy to assume that these and similar-sized companies have enabled Central Virginia to withstand economic adversity. But local economic development officials and Lynchburg Regional Chamber of Commerce representatives can quickly point to dozens of other success stories. Two names that come up often are Advanced Manufacturing Technology, Inc. (AMTI) and Thomas A. Johnson Furniture.

Advanced Manufacturing Technology, Inc.
On its 2010 list of the nation's fastest-growing private companies, Inc. magazine ranked AMTI No. 33 in the manufacturing sector and No. 1754 overall. The news arrived just as the company was about to start training its second wave of new employees and go from leasing to purchasing its 40,000-square-foot facility.

"The leaders of the companies on this year's Inc. 5000 have figured out how to grow their businesses during the longest recession since the Great Depression," said Inc. president Bob LaPointe. "The 2010 Inc. 5000 showcases a particularly hardy group of entrepreneurs."

AMTI offers complete product-to-market services, helping both new and established inventors turn their innovative ideas into profitable electronic products. AMTI's collaborations include working with Pegasus Global Strategic Solutions to develop a radio-signal jammer that disrupts the remote activation of improvised explosive devices (IEDs). An ongoing partnership with Avir Sensors has resulted in products like ChemSight, a sensor that "sniffs out" and identifies harmful airborne chemicals.

AMTI President and CEO Larry Hatch started the business eight years ago, when the communications-technology company Ericsson began downsizing, selling off or relocating its Lynchburg-based divisions. Ericsson's closing presented Hatch, the director of operations, with an opening. He resolved to remain in Central Virginia and launch his own business with help from a handful of former Ericsson engineers.

The company has grown from eight to 71 employees. In 2009, AMTI acquired all of the product lines and operations of Microwave Circuits, Inc. (MCI), which is also headquartered in Lynchburg. The new division supplies critical RF Filter products for everything from cellular devices to complex satellite communications systems.

As you'd expect, AMTI's expertise in hi-tech electronics attracts clients from the military and Department of Homeland Security, as well as telecommunications and energy companies. But there are always some surprises: "We have a product in testing at local schools that scans the airwaves for unauthorized cellular phone use in the classroom," says Hatch. "Administrators and teachers like us. And students, well, to be blunt, they are not so happy. Texting, of course, can be used for cheating as well as social networking."

Thomas A. Johnson Furniture
Virginia's furniture industry—that is, what remains of it—has been struggling for quite some time. And the recent economic downturn hasn't helped. The optimistic furniture manufacturer Thomas Johnson did not miss this memo. He simply has a different take on the situation, telling a business reporter from The News & Advance, "I'm crazy, right?"

Born in the West African nation of Ghana, Johnson grew up admiring his father's woodworking skills and seemed destined to follow in the carpentry business. But Johnson's aspirations went beyond that of becoming a local tradesman. He paid for his own high school education and opened a woodworking school, while pursuing opportunities to study abroad. A comprehensive, one-year training program offered by the industrial woodworking machine manufacturer SCM required learning Italian. No problem. Johnson embraced the challenge and managed to secure a passport.

The freshly minted entrepreneur returned from Italy expecting to use his refined woodworking skills and business training to benefit his township. Instead, both his neighbors and international aid workers advised him to relocate. Johnson resisted at first. Then, in 1993, after investigating his options through his local Rotary Club, he immigrated to the United States.

Johnson initially visited Lynchburg to attend a wedding. He returned to enroll at Liberty University, where he received a scholarship and completed a degree in theology. At the same time, he resumed the pursuit of his wood-products-manufacturing dream, purchasing a workshop full of old tools for $700.

Today, Johnson owns a well-equipped, 75,000 square-foot former tobacco warehouse on the James River, adjacent to Lynchburg's historic downtown. He has 10 full-time employees and has purchased land in hopes of eventually separating his manufacturing operation from his showroom. He also has plans for a woodworking school.

Johnson's work can be found in residences, bookshops, banks, and other Central Virginia businesses. Perhaps one of the best examples is Craddock Terry, a turn-of-the-century shoe factory that was recently converted into a residential-style boutique hotel. "This property has a great story to tell," says Chris McSwain, general manager of the hotel and event center. "But furnishing forty-four rooms is a pretty big deal. We originally contracted with a North Carolina company, but the day before we wrote the check we found out that all of the furniture would consist of case goods coming from China. There's no story in that. So, we called Thomas Johnson and asked 'Can you really do this?' He said he could and we took the chance. Now we have guests who come in asking how they can order the same pieces or have custom furniture made for their own homes."

Thinking about starting a small business in Central
Virginia? Contact these organizations listed for advice and support.

Region 2000 Small Business Development Center (SBDC): The SBDC offers free, confidential, objective consultations on starting or refining a business. The SBDC's business consultants can assist you in financing a business, financial analysis, recordkeeping, legal forms of business, regulations, government procurement, marketing, business development, and many more business topics. Call (434) 582-6170 or email sbdcdir@lbdc.com to discuss your business issue or idea.

Greater Lynchburg Score: The Greater Lynchburg Score is the local chapter of a nationwide volunteer network of business professionals with real-world experience in a wide variety of industries and business specialties. Score provides startups and existing small businesses with counseling, local and online workshops, avenues for financing, and much more. For more information, call (434) 846-3235 or email info@lynchburgscore.org.