Success Story for:
Duggin Construction Co. LLC
Duggin Construction Co. LLC, also known as Duggin Construction, was founded as a small, family-owned construction company in 1997 by James Duggin. James and his son Aaron, who now runs the company, possess extensive experience within the construction industry and were able to grow the company rapidly by providing a wide range of construction services in the community.
In 2013, Misael Tovar was hired by Duggin Construction as their chief financial officer. Misael, who earned an MBA from Middle Tennessee State University, quickly realized the company had significant potential for growth but was being constrained by some of its internal practices. Toward the end of the year, Misael contacted the Tennessee Small Business Development Center for assistance in addressing these issues. Thus began a collaboration that has spanned almost half a decade.
Over the next four years, the Duggin Construction leadership team systematically identified, prioritized and enhanced financial and operational structures within the company. Tighter financial controls led to more precise tracking of daily operational expenses. Expanded costing algorithms resulted in more complete and accurate quotes for contracts. New procedures to proactively manage accounts payable and accounts receivable helped improve both collection of funds and the assessment and accounting of unrecoverable debts. Collectively, these efforts allowed the company more flexibility in cash management, resulting in less need for external financing and more rapid payments toward existing loans. This virtuous cycle has had significant implications.
In the time Duggin Construction has been in collaboration with the TSBDC, it has seen an increase in revenues of 410% and an increase in profitability of 577%. It also has expanded its workforce by 520% to accommodate the increase in demand for its services.
In 2017, the focus of the collaboration between Duggin Construction and the TSBDC shifted from financial to human resources and marketing. In that one year, Duggin Construction was able to leverage its internal and consultative resources to more than double the size of the company, and its workforce grew by 170%. This was accompanied by a 108% spike in revenues and an impressive 378% increase of its bottom line.
When asked to describe Duggin Construction’s experience with the TSBDC, Misael replied on behalf of the company: “We contacted TSBDC for assistance with our finances, but we received so much more than just financial advice. TSBDC has become a very important resource to our company. They have not only offered individual assistance, but also training on various business topics, which we have been able to utilize. Our company has grown exponentially over the last five years, and TSBDC has been there along the way — helping with every new challenge we face. Their advice on employee development, marketing and financial management has been invaluable, and we are very thankful for the wonderful people at TSBDC.”