In a Flash

SMALL BUSINESS: BIG DREAMS

Michael Hoots flashes a lot of smiles of satisfaction and relief these days.

His entrepreneurial dream of five years -- opening a private-ambulatory company -- became a reality when LifeStar Emergency Services was awarded a two-year franchise contract by Forsyth County in October.

The company is months ahead of schedule in terms of numbers of ambulances (six), employees (40) and monthly calls (about 500). LifeStar also secured a six-figure loan from BB&T Corp. during a time when many banks remain reluctant to lend to start-up or entrepreneurial companies.

LifeStar, based at the corner of Broad and Fourth streets in Winston-Salem, provides transportation on an appointment basis and in response to nonemergency calls in Forsyth.

For Hoots, the director of LifeStar, and many of its employees, the company represents a steady part-time paycheck during the recession, as well as a way to extend the professional and emotional rewards they get from serving their communities.

Other managers include David Kivett as operations manager, Travis Dalton as logistics manager and Robert Foster as communications supervisor.

"Probably 80 percent of our employees have full-time jobs, often as firefighters or EMS personnel who are going to find alternative work for their days off," said Hoots, who still works full time as an information-technology programmer and business analyst for a local bank. He has also been a volunteer firefighter and emergency-medical technician with Vienna Fire Department for 26 years.

Most employees work two to three days a week for LifeStar in shifts ranging from six to 10 hours.

"They would rather find work in something they have experience in, such as patient care and transporting," Hoots said. "That we're filling a service void in the community is another positive."

Hoots said that LifeStar's employees come from fire departments -- both paid and volunteer -- in Davidson, Davie, Forsyth, Stokes, Surry and Yadkin counties, High Point and Winston-Salem and Forsyth County Emergency Medical Services. It also has two retired and two current Forsyth County Fire Department dispatchers on board.

Constance Creasman, a self-described workaholic, said she jumped on the opportunity to work for LifeStar to supplement her full-time job as a landscaper at the Salemtowne retirement community. She typically works three 10-hour shifts as an EMT for LifeStar.

"There's a duality about these jobs that I really enjoy," Creasman said. "I'm able to provide another service to the residents at Salemtowne, and they seem to love me riding in the back with them while they are on the trip."

"Now, I feel about two jobs the same way -- that I just go do what I do rather than I go to work."

Hoots' dream emerged from a potential professional nightmare in 2005 -- the possibility that his IT job would be swept up in the wave of local financial-services jobs being outsourced to India or third-party vendors.

"I became quite concerned at the time about my career and knew I needed another tool set," Hoots said. He pursued an online master's degree in entrepreneurship from Western Carolina University, completing the coursework in 2007.

Hoots' opportunity surfaced in September 2007 when the county board of commissioners voted to stop working with Cavalry Medical Transport Inc. because it had violated conditions in its franchise agreement.

Instead of rushing in with a proposal, Hoots said he took his time understanding the business and how to present a viable business model to the county and to local banks.

"It seemed to be a terrible time to start a new business, but we started this process before the economy went south," Hoots said.

"When Forsyth County decided it was time to add another private-ambulance service, I knew it was time to step up or shut up, and take a leap of faith this would work."

Dan Ozimek, the county's emergency medical-services director, said that the need for nonemergency transport is strong enough locally to support LifeStar and NuCare Carolina Inc.

Hoots said that even with a solid business plan and a proven need in the local community, he still ran up against local banks that passed on providing a loan. "They either felt it was too much of a risk, or they eventually lost interest," he said. "BB&T stepping up was big."

Cynthia Williams, a spokeswoman for BB&T, said that Hoots initially met with a bank official at their children's softball game. Hoots was referred to Brent Waddell, the city executive for Winston-Salem who connected him with Barry Holmes, a senior small-business lender.

Williams said that the loan was approved in less than two weeks.

Hoots said he used the BB&T loan to buy some of the ambulances and equipment, as well as secure four weeks of operating capital. LifeStar is reimbursed for its services through private insurance, Medicaid, Medicare and private pay.

Hoots said he wants to make LifeStar a 24/7 operation, but only if it makes sense staff-wise and financially.

"So far, everything has been spot on in terms of the business plan," Hoots said. "Researching the business has been a big part of the success, as well as the quality of employees working for us.

"Our mission is to be the best private carrier in the region. We believe we're well on our way."

rcraver@wsjournal.com


727-7376

LifeStar operates from 7 a.m. to 9 p.m. daily. Appointments can be made at 722-5433 or www.LifeStar911.com.