Business initiative isn't always welcome in a tough economy. One whiz-kid Johannesburg design company couldn't even get a credit card on its bank account in 2007. Today, lemon.decor's head-turning images are putting the wow factor into the decor of chic hotels, banks, restaurants and even the new VIP area at Soccer City.
"Entrepreneurs are often treated like lepers when trying to borrow money from financial institutions," says University of Cape Town business graduate Ricky Frankental. "But it taught us to get real very fast about our business plan and market strategy. We spotted a gap in the highly competitive interior design industry and went for it with our R10 000 savings and credibility within the printing industry.
"The harder we work, the better it's paying off."
Younger brother Kevin is lemon.decor's creative edge, with a degree in design and wide contacts in the arts community. After just 30 months their client list includes such brands as Volkswagen, Nedbank and Sun International. Their speciality is coming up with innovative angles on the briefs they get from architects and the interior designers overseeing big-budget projects such as shopping centres and boutique hotels.
Images are a global language
While images are a global language nowadays in commerce and entertainment, the Frankentals' trademark is a passion for keeping their work South African.
"Instead of working from international image libraries, our images and designs are mainly sourced here," says Ricky. "Our creative artists are world-class and we open more market opportunities for them by adapting their work to fit the architectural briefs. It also keeps the money in this country and in the artists' pockets; we let them set their own price and don't take a cent of it."
That relationship is the leverage they used to break into a decor industry estimated on the expo circuit in 2005 to be worth close to R40-billon a year. Interior designers provide the carpets and fabrics and finishes for corporate projects, which often leaves them little time or budget to further customise each premises with additional artwork.
"Most designers will leave it up to the client to add the personal touches," says Ricky.
"That was our gap. We decided to aim for the top of the market with the first bespoke service of this kind, and started small to avoid competing with established companies."
lemon.decor's first job
Without the pay slips Absa required for credit or petrol cards, they had to start small. Working out of an office in Ricky's home, lemon.decor's first job was a different take on catalogue images of Mercedes cars for a body shop at one franchise dealer. They set up a photo shoot and developed abstract designs in four key colours.
The R20 000 fee funded a well specced computer and graphics programme. "It was an ideal first step," says Ricky. "We'd both come out of the printing industry and we knew suppliers who gave us leeway to set up accounts and a working cash flow to go after jobs. It allowed us to make a fast start without going into debt, and we've kept reinvesting in the company ever since."
The major investment is a separate company, lemon.lab, a factory in Marlboro with hi-tech printing and laminating equipment, vehicles and a staff of 11, which enables the brothers to keep their work in-house.
"We have our own design team and we generate all our growth with an increasing flow of contracts," says Kevin. "We haven't had to look for outside funding no matter how tough the economic conditions. In fact, judging by our growing credibility in the decor market, we expect to double our turnover again this year."
Turnover last year was R7-million, up 100 percent from 2008. "We are targeting a turnover of R11-million to R12-million in 2010," says Ricky.
Business Day




