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Donway Corporation Uses the Downturn to Revise Business
by Janie Franz
Many contractors today are facing the rippling effects of the time because it weeds out the weaker, less stable businesses.
current economic downturn, through the rising costs of doing If you have a good company and you are strong like we are,
business as well as the disappearance of projects. When retail you will come back stronger than before.”
businesses suffer, so do contractors as they see these compa- The problem he sees with boom times is that you are so busy
nies postpone projects or go out of business entirely. But you do not have time to look at what your company is doing
Donovan Sullivan, founder and and how it is doing it. “You should
president of Donway Corpora- look at your business critically all
tion in Scottsdale, Arizona, the time,” he says, “but unfortu-
sees this as an opportunity. nately when the good times are
For over twenty-five years, rolling, you are too busy to do
Sullivan has seen the cycles in that. When times are dark, you do
the economy as it boomed and not have a choice. To survive, you
slowed. “There have been a lot have to cut out all of the fat.”
of things that have caused this And that is just what Sullivan has
over the years,” Sullivan says. done. “Last year, I went through
“In fact, as far back as the late every item in my company, even
80s and 90s, it has been build- little things. For example, we have
ing and building. But, I have three phone lines. Why do we need
been through it. You always three? One is to call in and one is
want good times, but I think for roll-over. You eliminate that
the bad times let you reflect on your business and your prac- one phone line. It is a couple of hundred dollars a year, but
tices.” coupled with 10 or 20 other items, it adds up,” he says. “I
He also sees these cycles, especially the slow times, as a way think it is kind of good. It makes you have a critical eye on
to strengthen good businesses. “I find that this is a pretty good your business. You see a lot of things you do not need that
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