Big thinkers impress entrepreneur

Charles Bidwill (from left) with James Riddell, director of Outpost Central, and Greg Whittred, dean of the University of Auckland Business School.

A culture of entrepreneurism is vital for New Zealand's future prosperity, says the former 80s high-flyer behind a business funding competition.

Retired businessman Charles Bidwill last week visited the three growing companies that had benefited from $3 million he donated to establish the University of Auckland Business School Entrepreneurs' Challenge.

The Entrepreneurs' Challenge, which ran for the first time last year, aims to turbo-charge the business expansion plans of companies with a turnover of around $1 million.

"If you can get everybody waking up in the morning trying to think how they can become an entrepreneur and you get a lot of those people having a go at being an entrepreneur, the whole psyche of the country will change," said Bidwill.

Now based in the United Kingdom, Bidwill - who was associated with Ceramco, Bendon, Baycorp and Steel & Tube in the 80s and 90s - said companies operating in niche overseas markets would drive wealth creation for the country.

"That's where New Zealand's future is. You can't take on big markets with a mass-market product, but the great thing about New Zealand is you find a niche market and the volumes you can do in a niche market are very big," said Bidwill.

"A lot of companies might not worry about $50 million but in New Zealand a $50 million market, or work that up to a $100 million, is well worth it. Whereas your big major pharmaceutical company or industrial company is not going to probably worry about spending time on $50 million or $100 million. And that's where New Zealand has got this huge future."

He said the Entrepreneurs' Challenge wanted to support people who were big thinkers.

"Don't treat $100 million as something that is hard to achieve. Treat $100 million on the basis of: 'we're good enough, we're good enough to do $100 million. We've got the product, we've got the drive. If we're successful money is not going to be a problem'," Bidwill said.

"It's those sorts of companies getting into these levels that are really in the end going to contribute more to the New Zealand economy than this company doing $10 million, another company doing $15 million. I'm not saying it's no good, what I'm saying is we've got to start thinking bigger. We've got to start thinking the numbers. If you can do $25 million, why can't you do $100 million?"

Bidwill has run his eye over the businesses which shared $1 million of funding in last year's inaugural challenge - Allpress Espresso, Senztek and Outpost Central.

While he was interested to see if the product was right, Bidwill was keen to meet the people behind the companies.

He said at this stage in the companies' growth the drive and commitment of the people involved would be an important feature of their success.

Not only would they need to be prepared to take risks, but to have the mentality to see their products and ideas as world-beaters.

"I think anybody who says: 'I want to be successful in New Zealand, I want to have a 5 per cent market share and a turnover of $2 million in 10 years' time' - that's not an entrepreneur."

Bidwill was impressed with what he saw.

In all instances the companies had the ambition and confidence to grow beyond New Zealand, he said.

Entries for this year's challenge will open in June. Companies can register for updates on the Entrepreneurs' Challenge website: www.entrepreneurschallenge.co.nz.

TOP THREE

Allpress Espresso: The coffee roaster is preparing for the August opening of a new, three-storey, 4500sq m roastery and cafe in the East London district of Shoreditch.

Outpost Central: The company's water monitoring technology has continued to make inroads into the Australian market and it recently announced a partnership with billing software company Gentrack.

Senztek: With five new staff on board, mainly involved in research and development, chief executive Brian Knolles will head to the UK in the next couple of months to establish an office to tackle the British and European markets.