For Darryl Smith, building a business has never just been about the bottom line, it’s about creating a legacy for his family.
Darryl is the owner of SIDA Enterprise Group, a Detroit-based general contracting and construction management firm he co-founded with his wife, Simone, in 2001. He has the vision and the grit to become a major force in the Detroit construction industry, but he needed help to unlock the next level of growth. That is where Operation HOPE’s 1MBB program stepped in to help Darryl realize his firm’s potential.
While Darryl has found immense fulfillment in residential work helping local low-income elderly residents fix up their porches, sidewalks and rails, his ultimate vision was to work with the local Detroit government on bigger projects. However, securing a municipal contract has high barriers to entry and significant obstacles to overcome. Contractors must fully fund all labor, materials and permits completely upfront, often waiting 30 to 60 days after project completion just to see their invoices approved and paid.
“My first few projects I did with my own personal credit—like all my credit cards and everything to get going,” Darryl explained. “It just wasn’t going to work because sometimes they send you two projects at a time.”
Juggling multiple upfront project costs on personal credit lines was unsustainable. Darryl knew he needed substantial business funding to grow, but he faced another roadblock: he was approaching financial institutions completely “cold.” Without formal business documentation or data to back up his funding requests, he was relying strictly on his personal ability to sell himself.
A local lending institution recognized Darryl’s plight and potential and referred him to Operation HOPE Small Business Coach Brooke Ratliff.
For Darryl, working with Brooke completely shifted how he operated. She took a systematic approach to guiding Darryl on how to present his business to the financial world and build the professional structure his business was missing. Together, they developed a business plan, financial forecast, competitive analysis and a tool Darryl had never heard of before the program: a capability statement.
Now, when Darryl schedules a meeting with a financial institution, the dynamic is entirely different.
“Before, there was nothing to present. I just went in there cold,” Darryl said. “Now when I go in there, I have a bunch of forms and papers and everything they would need—all the different NAICS codes, a piece about myself, my mission statement, projects we worked on, references and projections.”
Beyond the paperwork, Brooke’s coaching style provided the positive reinforcement Darryl needed to step outside his comfort zone.
“She has a laidback, relaxed approach, so it puts you at ease in talking to her and receiving information,” Darryl shared. “She presents it in a way that is comforting and relaxed, like, ‘Hey, I know you can do this.'”
Brooke also pushed Darryl toward new milestones. She gave him the confidence to make critical business cold calls, connected him directly with prospects and other local leaders, and encouraged him to enter his very first business pitch contest. Though he didn’t win the contest, the experience provided invaluable practice and a hunger to do more.
Armed with new documentation and a deep understanding of his firm’s numbers and projections, Darryl went back to lenders to secure a loan.
The great news was that lenders were looking for exactly what Brooke had helped him prepare! Consequently, Darryl successfully secured $50,000 in capital from Detroit-based CDFI ProsperUs, followed quickly by another $100,000 from the Detroit Development Fund. He is currently positioned to qualify for an additional $300,000 to $400,000 in commercial growth funding.
Today, Darryl is looking toward a very bright future. He has already completed the Turner Construction School of Management program to cultivate the relationships necessary to take on massive general contracting projects. His confidence has also brought him into the public eye, leading to local news appearances and a desire to create a podcast where he shares his experience and insights on building and renovating homes.
But for Darryl, the ultimate win is that his fulfilled potential now serves as a blueprint for the next generation. He is actively passing down every learned financial habit, business lesson, and strategic insight to his sons.
“I think my business is on its way to being a very big player in the Detroit market,” Darryl said. “I’m excited that I’m providing something for my kids that they can take over and take to the next level.”
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