Duplication biz is one of a kind
Todd Mortenson was running his software business a few years back when he needed to make some copies of a DVD. Unable to find a vendor, he bought a duplication machine and made his own copies. He figured since he had the machine, why not start a side business to make copies for others? To Mortenson's pleasant surprise, he reaped larger profits making copies than he did with his software company.
By 2001, Mortenson's software firm failed and the side business -- DiscBurn -- took off, growing 100 percent every year since.
"I love creating companies, and I've never learned more in my life than failing that [software] company," he said.
DiscBurn targets Fortune 500 firms; clients include Target Corp. and Best Buy Co. Inc.
John Clark of Target said DiscBurn is Target's preferred vendor for about 80 percent of its DVD copying projects. Clark said DiscBurn is willing to do smaller projects more often than some its competitors. "It seems like they bend over backwards to get these small projects done," he said.
Best Buy has used DiscBurn's services for four years. Joan O'Brian, the former supervisor of production and business affairs at Best Buy, said she liked DiscBurn's attention to detail. O'Brian said DiscBurn was always willing to explain which process, duplication or replication, will best fit each project. "They understand the importance of maintaining the vendor/client relationship," she said.
In the early stages of his business, Mortenson decided to team up with his father, Gary, who became the company's CFO. Gary Mortenson had retired from running his family-owned eatery, Tobies Restaurant in Hinckley.
The partnership was chaotic at first, Todd Mortenson said. "I'm probably more aggressive and focused on rapid growth, while he's more assertive and focused on controlling costs," he said. It didn't take long, though, for the two to balance decision-making efforts, and the business ran much more smoothly.
Then, in 2003, Pete Saari became president and minority owner of DiscBurn. "I loved the entrepreneurial side of [DiscBurn], and Todd did a fantastic job explaining his vision to me," Saari said. Now Mortenson drives the goals and direction, while Saari manages the daily operations.
Mortenson said his goal for the company's future success is to have one of the largest market shares in the Twin Cities. He also aims to expand the business across the country soon. Saari said DiscBurn also may land a new client that would "double the company's profit overnight."
For questions or comments on this story contact Steve LeBeau at slebeau@bizjournals.com or (612) 288-2108.
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Posted by DiscBurn, a leader in DVD duplication, replication,
VHS to DVD transfers, and
disc equipment.
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