The 65 companies featured on this week’s list of fastest-growing small private companies based in Orange County can claim a big achievement on a collective basis: They’ve combined to nearly double revenue over the past two years to an estimated $310 million.
The group had the highest percentage increase in revenue on this week’s list, which defines “fast growth” as a 15%-or-bigger revenue increase over two years, comparing the top line for the 12-month period through June 30 with the same period two years prior.
A total of 153 companies that qualified for consideration have been split into three lists based on annual revenue. Businesses with revenues below $10 million are in the “small” category; those with revenues from $10 million to $99.9 million are in the “midsize” category; and those with $100 million and more are in the “large” category.
Rankings are based on percentage increases, rather than revenue totals. The lists include local employee headcounts, which don’t figure into the rankings.
The “small” list has 65 entries, which combined for $310 million in revenue for the recent 12 months. Percentage increases range from gains of 17% to 1,050%. The group combined to employ 1,734 locally, up 78% over two years.
• J-Squared General Contractors Inc. topped the list, with a 1,050% increase in revenue to $4.6 million (see related story, page 4). The Santa Ana-based general contractor and construction management company had 22 employees in OC as of June 30, up from four two years earlier.
J-Squared is one of the 27 companies that are new to the fastest-growers list.
Other newcomers include:
• Elite Enforcement Security Solutions Inc., which made the list at No. 2 with a 995% increase to $3.5 million. The Anaheim-based security services company had 65 local employees, up from 10 two years earlier.
• Orange-based painting contractor MB Coatings Inc. debuted on the list at No. 6, with a 524% increase to $7.8 million. MB Coatings is the biggest employer on the list, with 117 workers here as of June 30, up from 55 two years prior.
• Planet DDS, No. 24, logged a 93% revenue increase to $5.8 million. The Irvine-based company makes cloud-based software for dental practice management and had 13 employees as of midyear.
Founder Richard Lee said the primary factor that’s been driving growth is “the accelerating shift to the cloud for practice management software in the dental vertical.”
“It’s a generational shift in technology, the kind of change that only takes place every 20 years or so,” he said. “Compared to other healthcare verticals, dental has lagged somewhat in that regard, which made for some lean years in the company’s early history. But dental practices are now recognizing the power of cloud-based practice management software—for enhanced privacy and patient data security compliance, for anywhere-anytime access to information, and for the cost savings that come with the elimination of expensive in-house [information technology] infrastructure.”
PNH
• PNH Technology Inc. in Irvine had $9.3 million in revenue for the year through June, a 103% growth over two years that landed the company again on the fastest-growers list. The reseller of IT products moved up one spot from last year, to No. 23.
“The rebound of the local and national economy have certainly been key contributors to IT spending and growth in general,” said Chief Executive Larry Weng. “While we have added a few new salespeople, most of our growth has been organic through existing key accounts and new business. Our telecom unit has also experienced rapid growth as we have added additional products and territories to our offerings.”
PNH Technology has 10 OC employees, up from six.
“We will continue to invest in our employees as our success rests primarily on their shoulders,” Weng said. “Also, we continue to invest in our client relationships by increasing our product and service offerings to differentiate [ourselves] from our competitors. Also, technology is ever evolving. It’s critical to understand new technology and position ourselves, so that we are able to understand and provide value to our customers who are looking to purchase these new products.”
• Santa Ana-based California Waters made the list again this year, at No. 57, down from No. 18 last year. It saw its revenue grow by 36% over two years to $6.1 million. The company provides design, engineering, construction, renovation and maintenance services of water features and fountains, among others.
The growth can be attributed to the company’s “willingness to invest in people, fleet and equipment” even prior to needing them, said Jeffrey Barman, president of the repair services and maintenance/service divisions.
“We … are always looking to hire the best and most experienced people in our field, even if they’re available before we absolutely need them,” he said. “We feel that if we continue to invest in our people and give them the tools they need, we will be able to better serve our customers and continue to grow.”
The drought in California has “posed a major challenge to our service business customers in particular, which [is a] challenge we have fully embraced,” Barman said. “We had a number of customers choose to turn off their water features temporarily, and we have already helped some of them get them back and running as they reversed course when they realized that the amount of water used was less than they and the public [had] perceived, especially compared to landscape usage.”
Barman said the company, which works mostly in Orange and Los Angeles counties, has plans to grow in Northern California and San Diego, as well as to “extend to the Southwest and Northwest in the next year or two.”
Expansion plans include a move in the fourth quarter to a new facility in Yorba Linda, Barman said.
