FAYETTEVILLE -- Kurt Lind made a few quick assessments when he discovered an after-market auto parts operation based in the Chicago area might be looking to sell.
Lind's mentor, high-profile Arkansas businessman Frank Fletcher, introduced him to Jack Sanders, the company's founder, saying the two needed to talk. What Lind discovered was Sanders had built a unique business but that Sanders also was vital to the operation's ongoing success.
So Lind made a decision.
"The guy didn't need to sell his company," Lind said. "He needed a partner."
But if Lind and Sanders were going to team up, they needed money. They found it through NewRoad Ventures in Bentonville.
Beginning in early 2014, Lind and Sanders re-branded the company, now known as Overdrive Brands. The two gathered a pool of talented employees that would let Overdrive Brands compete with giant online operations including the likes of Amazon, Wal-Mart and Autozone.
Overdrive Brands sells after-market auto parts -- over 50,000 products, including glass, wheels and hubcaps -- through various e-commerce channels. Customers include individuals, auto dealerships, traditional brick-and-mortar retail along with car repair and auto-body businesses.
The company is headquartered in Fayetteville but also has operations near Chicago where the central location helps with logistics. As the company expands, the men plan to open other locations around the U.S., primarily to aid in shipping.
Sanders said he was feeling burned-out when he was approached by Lind with the idea of a partnership. He said he was open to the concept, noting entrepreneurs often find themselves in the position of doing everything in their companies. They end up getting bogged down in routine and are not able to shine in the areas they are the most passionate about.
With more than 30 years in the automotive field, Sanders, 44, said he understands the territory intrinsically, but the younger members of the team can capitalize on his experience and knowledge of the sector by using skills that didn't even exist five years ago.
"We can go from concept to reality very quickly," Sanders said.
Without the backing of NewRoad Ventures, Overdrive would have never gotten off the ground, Lind said.
NewRoad owns a majority stake in Overdrive Brands with both Lind and Sanders retaining an interest in the company. NewRoad has 15 portfolio companies where it has various ownership positions.
Steve Brooks, NewRoad's CFO, general counsel and managing director, said the group has confidence in Overdrive Brands and the pairing of Lind and Sanders.
"We want leaders who want the ball," he said. "Kirk and Jack have that."
While Brooks classified Overdrive as a "restart" rather than a startup, he said the attitude fostered by Sanders and Lind is attractive to the talent vital for such a venture. He said lots of young standouts are seeking an entrepreneurial feel in the companies they join and often choose a smaller company over being a cog in a much larger, established organization.
"They want to be part of something special," Brooks explained.
Over coffee at a cafe a short stroll from Overdrive's offices in downtown Fayetteville, Lind, 50, confided that coming out of the gate, Overdrive had some adjustments to make. Things weren't going quite as expected and both he and Sanders were getting nervous.
During that time, the investors at NewRoad continued to provide advice and support.
"They got us going and they had faith in us when we didn't have faith in ourselves," Lind said.
In July, things began to change. The team started consistently beating sales goals. During times that were traditionally slow for auto part sales, the numbers kept moving up quickly, with sales from each month crushing those from the month before. Now, Overdrive is on track to post sales in excess of $8 million for the year, Lind said.
The increase in sales came while keeping the company's general and administrative expenses, the cost of day-to-day operations, flat.
A lot of that credit goes to a small team of 11 employees who go through a rigorous screening process, Lind said. The result is a working environment without a hierarchy or star players, where no one hogs the credit and everyone is willing to take responsibility.
"Our real secret is Jack," Lind said. "He's not just a genius. He outworks everybody and is kinder than anybody. We're going to build our culture around him."
SundayMonday Business on 05/18/2015