IN this week's SME Focus a young entrepreneur explains how stopgap work set him on the path to running his own business.

Name:

Michael Forbes.

Age:

33.

What is your business called?

Forbes Boat Care.

Where is it based?

Forbes Boat Care is based in Oban. Our new sister company, The Yot Spot, is in Ardrishaig.

What services does it offer?

Boat maintenance and boat babysitting. We provide management solutions for customers from full maintenance packages to individual jobs such as polishing, painting, engineering, rigging and antifouling. Our original and main focus is our boat babysitting service. We put together packages to help clients relocate during the winter which includes transportation, storage, summer mooring and regular maintenance checks. Our work overseas has also continued to rise in recent years as we offer a turnkey service for both sailing and power boat owners anywhere in the world

Who does it sell to?

Owners of small sailing and power boats up to around 50 foot. I'm currently studying a diploma in Superyacht management so the size of boat we look after may increase soon. Our customers are throughout the UK and abroad, in particular the west coast of Scotland and the Middle East.

What is its turnover?

£220,000.

How many employees?

Four.

When was it formed?

I set up Forbes Boat Care in 2005. The Yot Spot was also set up as a separate limited company in 2013, and will be trading in Ardrishaig early spring 2015.

Why did you take the plunge?

I was looking for a graduate job and started to carry out repair and maintenance jobs on small boats as a form of income until I found something. Even though it was meant to be a temporary measure, I wanted to set it up properly. The time I then spent creating a business plan to open a business bank account, advertising and creating a website meant I felt I had to work at least long enough to get something back from it. After a year however, I found that the business was getting busier by the month, and I picked up awards from both the Princes Scottish Youth Business Trust (PSYBT) and Shell Livewire. With the operation gathering momentum I decided to stop applying for jobs and focus on building the new business.

What were you doing before you took the plunge?

I worked at Dunstaffnage Marina for both Alba Sailing and the marina itself for seven years, while I was studying for an HND then a degree in engineering. I got my degree in Manufacturing Engineering and Management from Strathclyde University and originally planned to apply for employment in the manufacturing sector.

How did you raise the start-up funding?

I started with £1,000 in savings and got a loan from the PSYBT for £2,500 to get started. This paid for a van and tools, and some advertising. The steady stream of work meant I didn't have to apply for any further funding for a number of years until we were ready to expand and open a chandlery in 2009.

What was your biggest break?

In 2008 I was awarded a grant from the SJ Noble Trust in Argyll to buy a boat as a restoration project. This allowed us to take on our first full time member of staff as it created a project to work on in the summer, which is normally our quiet time. The concept of buying projects to pad out the quieter summer months is something we still do now. It's a great way to train staff, even when it comes to the point of selling the boat through our brokerage. Recently, we also received a Business Gateway Plus grant to help us buy equipment for new members of staff.

What was your worst moment?

In the spring of 2011 there was a particularly bad storm and many of our customers' boats were damaged. While this did lead on to a very busy period in insurance repairs for us, it was difficult to see so many of our customers going through this all at once.

What do you most enjoy about running the business?

Although as a business owner you have the option of taking more time off, this is very rarely the case. The fact that I have the flexibility, however, to take time off to spend with my family, and at fairly short notice, makes it all worthwhile.

What do you least enjoy?

The recruitment process is very difficult in a small town. You know almost everyone who applies for the job in one way or another, so there is bound to be the difficult task of telling someone you know that they haven't got the job.

What are your ambitions for the firm?

Our plans include growing our international boat management and continuing to establish The Yot Spot. It will generate a number of extra income streams due to the size and layout of the building we are leasing. It will consist of showers for canal users, internet access, a laundry, chandlery, gift shop and restaurant.

What are your top priorities?

Maintaining a top level of service for our core customers; bringing in new business from high-end customers; retaining the current staff; training staff to a high level; promoting marine tourism in Scotland.

What would most help?

Cutting some of the red tape involved in business start up, leasing, licensing and planning issues. I'm aware that many of these things are in place for safety and security but in the four years it has taken to set up our new venture we have been though the process of applying for advertising consent, planning consent for a listed building, an alcohol license and various other things. We strongly feel that some of this could have been made much simpler and quicker by taking a common sense approach.

Ever since I set up the company I've had support from Business Gateway Argyll and Bute. Over the years this support and advice has shifted to focus on the various stages of developing the business. As well as signposting us in the right direction of funding source, they have opened a lot of doors for us in terms of networking and developing.

Various initiatives have also been set up to promote the industry and these all work well and are led by great people, but the industry needs representation on a bigger scale across the board and a louder voice in order to fulfill the potential it has.

What was the most valuable lesson that you learned?

The first few years in business I often found I was too busy carrying out jobs and leaving the invoicing until well after jobs were completed. It's important to make sure the paperwork is kept up to date to maintain a healthy cash flow.

How do you relax?

I spend time with my family whenever I get the chance. Fortunately the summer months tend to be slightly quieter for the business.