Wolf&Grayson EditorialManaging multiple companies efficiently is a constant challenge for business owners. Most end up duplicating resources and creating unnecessary overhead that cuts into profits. But when one St. Louis entrepreneur spotted a smarter way to handle growth, he turned his solution into a blueprint for scaling businesses. By centralizing operations and sharing key resources across companies, Brad Burns transformed a successful contracting business into a holdings company that’s redefining how mid-sized companies operate. His approach not only streamlined costs but created a platform for launching new ventures faster than ever before.
Discovering a New Market Opportunity
The path to seafood distribution came through an unexpected connection. Brad’s signage company partner knew Mike, a seasoned professional with 15-20 years in the seafood business. When Mike’s previous employer closed due to a Costco development buying their property, an opportunity emerged. “Initially it was just conversations about real estate and me purchasing real estate he could operate out of,” Brad recalls. “But then we saw the potential for something bigger. Mike understood the products. He has a tremendous wealth of knowledge when it comes to seafood, he knows all the details, and the ins and outs of what makes quality seafood. I could help with the back end so he could focus on what he does best.”
The timing couldn’t have been better. The market gap left by the previous distributor’s closure was substantial. “They probably had between 50 to 60% of the market share here in St. Louis for fresh seafood,” Brad explains. “When they went out of business, some competitors raised their prices. Once we got set up and approved by the health department, we went in just a bit over the historical pricing. That helped us recapture a fair amount of that business.”
Overcoming Industry Challenges
The transition from construction and signage to seafood distribution came with its own set of challenges. “I just didn’t know the market,” Brad admits candidly. “We had never sold B2C food products before, so marketing has some nuances to that. And then just learning to deal with a new person in the fold is always a challenge, trying to figure out strengths and weaknesses.”
One particular challenge was helping Mike transition from an employee mindset to an owner’s perspective. “If you’ve been an employee for 15 to 20 years, sometimes it’s challenging to get out of that mindset and think like an owner,” Brad reflects. “I saw that with some of my other partners when we started the signage company and the concrete company. It takes time to make that paradigm shift mentally.”
Strengthening Customer Relationships
The team’s existing relationships in the local food service industry proved invaluable. “The restaurants and country clubs on the wholesale side – there wasn’t really much of a challenge at all,” Brad shares. “Mike had known most of the chefs for 10-plus years, so he’s done a good job cultivating those relationships. It was more like ‘Hey, we’re doing this now’ and them slowly transitioning us into the mix of vendors.” The retail side required more effort to build awareness. “Some people were familiar with the old place,” Brad notes. “We kind of married that on our website just to let them know this is the transition that place has gone to. It’s been well received – we haven’t had a complaint in terms of product offering to this point.”
Looking ahead, Brad sees significant potential for expansion. “Right now, we only operate in the St. Louis market. I would love to look at some other mid-markets here in the Midwest,” he explains. “The target is 15 to 20 different markets where we can capture on average $4 million in revenue each. If we can get to 50 markets, that would put us about 65 million topline, with maybe 6.5 million in net income.”
The vision extends beyond just geographical expansion. “I just ran across a company out of Chicago that has their own retail location,” Brad shares. “Maybe we could do a combo where we’re processing in the back and large warehouse, with a retail meat counter that sells seafood in the front. Some people have also reached out about adding other food products like beef to our mix since we already target a specific type of client.”
To learn more about Brad Burns, City Seafood and their fresh seafood offerings, check out his LinkedIn profile or visit his website.
