Interview with Brien Biondi with Young Entrepreneurs##aps## Organization

From 1993 to 1997##comma## I was the Chief Financial Officer of the World President##aps##s Organization (WPO). Before 1993##comma## I worked as a controller for the Archdiocese of Washington and before that with KPMG. I am a graduate of the Executive MBA program of the College of William and Mary. I received my undergraduate degree from the Kogod School of Business at American University and am also a certified public accountant.

I am married and have one child.

What services or products does your organization offer?
The Alexandria##comma## VA-based Young Entrepreneurs##aps## Organization (YEO) is a premier##comma## peer-to-peer global community##comma## network and resource for entrepreneurs. The non-profit educational and networking organization represents more than 4##comma##700 members worldwide##comma## who are under age 40 and are the founders##comma## co-founders##comma## owners or controlling shareholders of businesses with annual revenues of at least $1 million. With membership spanning 142 cities in 35 countries##comma## YEO has helped its members build upon their successes since 1987.

What type of business or organization do you operate?
501(C)3 not-for-profit

How many employees do you currently have?
36 full-time

How did you originally discover the idea for your organization?
YEO##aps##s structure and programs are modeled from the success of the 50-year-old Young Presidents##aps## Organization (YPO)##comma## with whom YEO shares a formal strategic alliance.

How did you originally fund your organization?
A group of founding members each donated $1##comma##000 to get the organization off the ground. The organization is funded primarily though member dues##comma## grants##comma## and sponsorship revenue.

Are you the founder of your organization?
YEO was founded by Verne Harnish of Gazelle##aps##s Inc.

Do you believe there is any distinct culture within your organization? If so, please describe it.
Our culture is extremely entreprenuerial. YEO is run like a growing for-profit business##comma## with emphasis on creative thinking##comma## innovation##comma## passion and quality.

What obstacles or challenges have you faced in your organization?
Funding has always been the most limiting factor. In the non-profit world##comma## you start with a large sum of money at the beginning of the year after dues are collected##comma## and must keep adjusting your budgets appropriately thoughout the year to stay within your monetary means. YEO is a very cyclical business##comma## and after 15 years##comma## we are good at predicting growth patterns.

Also##comma## YEO has always been member-driven##comma## and trying to lead a large group of leaders is always a challenge. We have a distinct board structure##comma## but are very careful to to be proactive in decision making and the classic ##quote##red tape##quote## challenges that larger companies and corporations face.

Did you accept any advice along the way? Do you believe new organizations should be open to such advice?
That##aps##s what YEO is all about – increasing your learning curve by surrounding yourself with people who have ##quote##been there##comma## done that.##quote## This atmosphere provides you with motivation and determination##comma## in which your business##comma## employees##comma## customers and community benefit.

Did you receive any help along the way from other businesses or organizations? If so, how and from whom?
Young Presidents##aps## Organization (YPO) and World Presidents##aps## Organization (WPO) have been key to getting many of our chapters off the ground. In addition##comma## the Kauffman Foundation has been an invaluable philanthropist in our develoment##comma## as well as numerous corporate sponsors such as Inc.##comma## Hertz##comma## Strategic Coach##comma## The Edison Preservation##comma## Lexus##comma## an IBM##comma## to name a few. We are able to keep our dues low and have been able to grow the whole organization at a much faster rate thanks to their combined contributions in money##comma## time##comma## and products.

What have been the keys to success in your business? What do you believe are the keys to success?
Hiring excellent people. It##aps##s the motivated staff and members who contribute the ingredients that enable us to keep taking it to that next level year after year.

Also##comma## supplementing dues revenue with sponsorships and grants have allowed us to add more infrastructure for growth.

What kind of relationship do you establish with your customers or clients?
We are very unique and specific in our product. There really is no direct competitor on our scale. Those who may seem like competitors are actually partners and very complementary to our business and the industry as a whole.

Some similar organizations have relied heavaily on outside funding##comma## and during the last three years have disappeared. We have grown over 20% annually in an economic downturn.

What types of marketing do you employ?
Member word-of-mouth has been our best tool. Members having a great experience will recommend their business associates that qualify. Public relations has been a great asset. With over 50 members and alumni on this year##aps##s Inc. 500 list##comma## journalists are always looking to talk to our members. YEO is mentioned regularly in many publications all over the world. We also direct-market to mailing lists of business owners who meet our qualifying list##comma## and this method has proved very successful for lead generation as well.

Do you employ any web or online marketing?
Yes! ##quote##YEOnet##quote## is our 24-7 communications center for YEO members. The members-only site lets members network though discussion threads##comma## web-casts##comma## and through a proprietary system that helps members find the resources they need for specific problems. It takes the geography away##comma## allowing members in Tokyo to communicate with members in Des Moines##comma## Iowa. Many of our members are in techonolgy-based companies##comma## or leverage today##aps##s advanced technology##comma## so YEO keeps a high priority on implementing the latest technology for member-to-member interaction.

What role does trust play in business or in your organization?
Everyone makes mistakes##comma## and it how you handle those mistakes that determine if you are going to be successul. I have learned more by making mistakes. The specifics of those mistakes aren##aps##t important; what I want you to take away is handle them promptly##comma## professionally##comma## and don##aps##t repeat them.

Did you struggle with starting your own organization or venture? Why did you decide to begin on your own?
My family owns a business##comma## so it##aps##s in my blood. I previously worked for World President##aps##s Oganization so I was familiar with YEO when the position became available.

What books or resources would you recommend for individuals starting off now?
Books: How to Think Like a CEO##comma## Think and Grow Rich##comma## E-Myth##comma## 7 Habits of Highly Effective People##comma## Mastering the Rockefeller Habits##comma## The Great Game of Business##comma## Leading at the Speed of Growth##comma## Built to Last##comma## Business is Combat.

Resources: Kauffman##aps##s EntreWorld (www.entreworld.org)##comma## INc. magazine and their website www.inc.com##comma## Edward Lowe Foundation (www.lowe.org)

Do you notice any trends in the marketplace? If so, what are they?
Younger people are starting companies that involve services and technology. YEO##aps##s largest group of members comes from marketing##comma## computers##comma## online and real estate services. Business owners are focusing on conservation of resources##comma## profit##comma## great service. Lenders are looking for proven businesses ready for second-stage funding##comma## and money is still out there. This is an opportunity time for YEO because more people are starting businesses as a result of layoffs and corporate restructuring.

Do you believe networking and contacts are important? If so, how?
Primary importance. You are only as big as your neighborhood. You must realize that you can##aps##t do it all##comma## and building a knowledgable network greatly increases your chances for sussess.

What do you think about contracts and other legal obligations? Are they important in your business?
You have to be able to read and understand the numbers. My CPA experience has helped me to run YEO sucessfully by having a daily clear picture of the financial status of the organization.

If there is one thing that would sum up your advice to new entrepreneurs, what would it be?
Education is necessary##comma## but it##aps##s the right education that is important. Advanced degrees can help you get high paying jobs. However there are many YEO members who never went to or completed college. I feel you should become an expert in your area##comma## however you choose to do that. My MBA in Finance and CPA distinction have helped me keep a clear financial picture of YEO and guide the organization though a difficult ecomomic time.

What, if any, final advice do you have for new entrepreneurs?
Find a mentor and a peer group. Give respect if you want it in return. Have an attitude of gratitude##comma## not an attitude of entitlement##comma## and give – it will come back to you 10-fold.