Under the Radar:From humble beginnings in a garage in Glasnevin seven years ago, Barry Napier and Fergus Sweeney have grown their company BPI Telecom into a business with turnover of €100 million.
In that time, they have weathered the tech downturn of 2001, turned an attempted acquisition of their company into a reverse takeover and trebled turnover in just three years.
The company, which provides mobile handsets, accessories and services to independent retailers, as well as O2 and Carphone Warehouse retailers across the country, was set up by Napier and Sweeney in 2000 when they were both in their late 20s.
The men had crossed paths working for various companies in the telecoms industry. Napier got his break in the mobile business as a 21-year-old customer, when he went to complain about a mobile phone he had bought. The owner of the company, MCJ Distribution, was so impressed with his persistence that he offered Napier a job as sales manager.
Napier later worked for Sigma Telecom, a company where Sweeney also worked, before joining Esat Digifone.
But despite this background, a telecoms company was not their original idea for a start-up business.
"The two of us sparked off one another very well," says Napier. "First of all, we were going to do a chain of coffee shops called Java Junkies. But I said there was more money in the mobile phone business, rather than getting into something we didn't really understand."
It proved to be a smart move. They set up Celtic Telecom Consultants in 2000, providing accessories for O2 retailers. Despite the impressive name, the reality on the ground was very different.
"We didn't have any money. We scrimped and saved and a friend of ours threw in some money as well. We used Fergus's mother and father's garage as a storeroom," says Napier.
Sweeney's car doubled as a mobile sales office and supply vehicle. But a strong sales ethos saw them through the downturn of 2001 and 2002, which Napier says was a struggle. They managed to grow the company to a point where it attracted the attention of one of its competitors - the Nasdaq-listed company Brightpoint, which had a subsidiary in Ireland.
After the initial flattery and euphoria wore off, the two men saw a better opportunity - the acquisition of Brightpoint's Irish business.
"We did a reverse buyout of them," says Napier. "We asked them, 'Is Ireland really a place you want to be? It's such a small location for you. Why don't you concentrate on the bigger things and we'll take this off your hands.'"
It was a bold move for the two twentysomethings and a leap into the unknown.
"You're dealing with very powerful people, people who are worth $2 billion [ €1.44 billion] in turnover. You're sitting there at the age of 28 with no formal education and you're haggling for a company and you're talking in millions," remembers Napier.
The takeover was not without its risks. Although Napier and Sweeney ended up paying about €1.4 million for the business, they also assumed its €6 million in debt.
The move paid off, however. Napier says the two companies complemented each other - Celtic's strong sales ethos matching the technical know-how of Brightpoint. Most of the original Brightpoint staff stayed with the newly merged company, which was renamed BPI Telecom.
"We did €28 million [ turnover] when we bought it in 2003/04 and we are touching €100 million now," says Napier.
BPI employs 80 people at a 6,700sq m (22,000sq ft) head office in Dublin.
Despite the rapid growth in revenues, Napier says slim margins dictate that the business is run tightly.
"Distribution is a very low-margin business. When you meet retailers and hear they're making 30 per cent, that's when you're envious. We are working off low single digits, we're hoping to put away around €1.5 million to €2.5 million," he says.
Just over a year ago, the company won the contract to supply Carphone Warehouse with accessories, a key bit of business, according to Napier.
"That really cemented us in the marketplace and gave us a lot of credibility as well," he says.
That deal has been followed by a contract to supply Apple products. The company will be distributing the iPhone in Ireland by the end of the year.
For the moment, Napier, Sweeney and the management team are focused on taking the company to revenues of €150 million over the next two to three years. After that, what happens?
"One thing that is firmly not on our minds is selling the company," says Napier.
"It's great to say you sold a company, but it's even better to say you acquired one. We spent so long creating this. Our aim is to acquire or to grow. I don't think there is a legacy to be left behind just yet."
On The Record
Name:Barry Napier
Age:33
From:Born in Limerick but moved to Cabinteely, Dublin, with his parents when he was six. Now lives in Enniskerry, Co Wicklow.
Family:Married to Andrea with two children, Olivia and Isabelle.
Education:CBC Monkstown school and Cabinteely community school.
Most inspired by:"I know that it may come across as really corny, but I'm inspired by everyone I meet every day. I love meeting new people. I'm like a sponge. I take in everything that is said."
Admires:His late step-grandfather Paul Conlon, who used to run CIÉ.
Most likes to:Has no particular hobbies. Relaxes by spending time with his family.
Favourite music:Damien Rice's 9 Crimes
Favourite film: Heat
