Zero Waste

by Catherine M. Russo • catcobb@aol.com

CRS (www.crserecycling.com) is acquiring cutting-edge equipment to automate processes and expand its recycling capacity in an environmentallyfriendly manner. The company was recently awarded the contract by the State of Florida to recycle all its agencies' electronic equipment. Yob says the expansions and new equipment will accelerate CRS's growth and greatly increase revenues, positioning it as a leader in electronics recycling in the Southeast.

While there are literally hundreds of competitors worldwide, Yob says his piece of the pie continues to grow steadily. There are probably 25 major players in the U.S., and about 400 competitors, though most have different business models, he says. "Every major market in the U.S. could easily support two or three similar companies," says Yob. "The real question is: How much of the pie can we comfortably manage?" Competitors in Tampa include Global Investment Recovery, Quicksilver and SEER.

Deb Bush of Pinellas County's solid waste program is passionate about recycling. She says the growth in recycled electronics has been incredible, and predicts it will continue to grow exponentially. "You wouldn't believe the large screen TVs people just trash because something better comes along."

Yob agrees, saying that despite all the progress we've made, we continue to be a "throwaway" society, even as we recognize that our natural resources won't be in abundant supply forever.

"This is why I am so passionate about this business!" he says.

His roughly 1,000 business customers make up about 75 percent of the business, while the balance is government entities.Seventy percent of the business originates in Florida, but Yob says he plans now to grow aggressively outside the state. Pinellas' Bush has been working with CRS since 1999. She says that out of all the bids, Yob was the only one who really grasped what the county was trying to do. "He is very forward thinking about the industry," says Bush. "Since we've been working together he has been very responsive in everything. That is important because we feel we have a partner rather than a contractor."

Yob, number six of 10 children, began his career working with his father in commercial real estate in Tampa in the 1980s. When listing East Tampa Metals Recycling, he ended up buying it himself. In a few years, Yob learned a great deal about base metals and recycling regulations, as well as running a successful business. A freak accident on the job - which almost took his life - led Yob to realize he wanted to do something that gave back to the world after he was given so much. Reading about growing electronics waste worldwide, CRS was quickly born. Yob still owns East Tampa Metals Recycling as a separate company.

CRS's sole owner, Yob gives a great deal of credit to his brothers, who help run the company, his exwife who works there and the many long-standing employees who have helped grow the company. Yob says he doesn't just care about the environment, he also cares about the people in it. He says his two children come first in his life, but he also wants to make a secure future for his employees. "Some of our people have been with us since day one," he says, "and I'd love to see everyone here gratified and well compensated in every way."

In that vein, Yob has spent much time working on community service projects. In 2001 he received a Humanitarian Award during the Miss Latina USA Pageant; he belongs to the board of directors of Prevent Blindness Florida and Joshua House; and he also chairs the "Light the Night for Sight" fundraising event. Through the company he has donated more than 1,000 computers to needy organizations and individuals.

He also has non-profit organizations as clients. CRS has had a contract for several years with ARC Broward, an agency for assisting those with developmental disabilities such as autism and Downs Syndrome. Through a government grant, ARC has a contract to collect all electronics waste in Broward County, and CEO Dennis Haas says that Yob was instrumental in helping his organization get it off the ground.

"Jon came down here and helped us set it up, trained our people, sometimes a challenging endeavor. He taught us the business and how to take it to the next level," says Haas. Today, CRS benefits from the ARC relationship by taking the stuff ARC cannot handle, and ARC pays the company to do so. "It's a win-win," says Haas.

Chris Risey, a managing director for Tunstall Consulting in Tampa, thinks CRS can grow as much as Yob wants. Yob engaged Risey's services in 2003 to help him with financial strategies and growth planning. Risey says that CRS was doing so well that it didn't need his services after all, and in the short time he worked with Yob he saw revenues and profits grow significantly. "I see that annual rate of growth as possibly reaching 50-100 percent," says Risey. "He has developed a good model, laid the right groundwork with business and government entities, he is committed to the community and passionate about what he does - and he is in a field that has no choice but to grow."

Yob says that the growth has been done without debt. CRS owns a great deal of property, including the headquarters site on Interbay in Tampa. It is only a matter of time before that is sold, says Yob, as it is too valuable to keep for industrial purposes. The challenge, says Yob: Maintaining high service levels and employee morale while increasing capacity. He says that CRS must continue to develop its existing team while adding new management. "We need to raise the level of professionalism in all members of all divisions of the organization to meet the demands of a larger company," he says.

And becoming a larger company is definitely one of the many goals. "We want to help our employees, the community and the environment. From a business standpoint, we think we can do those things while at the same time becoming the leading electronics recycling company in the eastern United States through growth and acquisitions. We plan to have $100 million in revenues before the end of five years."