Overseas sales secure future: imported from Germany, Thunder Bay's GRK Fasteners lost a couple of pay cheques along the way. Now, they export all over the globe.

• Author: Louiseize, Kelly
• Position: TOP 5 EXPORTERS - GRK Fasteners Ltd.

Forced almost to the brink of bankruptcy by their parent company, the owners of GRK Fasteners defiantly refused to give up on their Thunder Bay operation.

Two looming foreclosures forced father, Uli Walther, former operations manager of GRK, to look beyond the borders of his Thunder Bay business. He went to Northern Minnesota, Wisconsin, Iowa and North and South Dakota trade shows to establish a market presence. His strategy paid off.

"In 1994, we broke even. I can tell you we had $11,000 above the breaking even point," Uli Walther, executive chairman of the manufacturing and screw sales business, recalls.

It took many sacrifices. At one point, Uli and his wife, Gerda Walther, CFO, had their wages cut by 50 percent.

"The company had to survive and that was our contribution," he says.

Their presence began to grow from coast to coast. Soon, partnerships with Japan's Maruhon and DLD International became a profitable proposition. DLD is a master wholesaler for Loewen Windows, while Maruhon is a specialty wholesaler for various international hardwoods.

"What is unique about (Maruhon) is that, even though they are a Japanese company, all the management is American," GRK president Mirco Walther says.

In fact, GRK is becoming such a success they have opened a subsidiary company in Germany to cater to the Swiss and German markets. Last year, it brought in $300,000 Cdn.

The larger the company becomes, the easier it is to sell the products, Mirco says.

It is not an exaggeration to say GRK is a benchmark for the industry. Not when companies are making a living manufacturing ripoff products, or when competitors cozy up to the owners at trade shows to find out "what's new."

It is one of the best compliments they can receive, Uli frankly says.

But they always stay one step ahead of the game by patenting their ideas.

"We do not take anything to market if we cannot patent it," Mirco says. "We wouldn't want to have it any other way."

Last year, sales came in at $16.3 million, 60 percent higher than in 2001.

"So far this year, we are 39 percent up over last year," Uli says.

In the next couple of years, the Walthers plan on doubling the size of their Thunder Bay warehouse and obtaining land for future development. There has been some talk about opening a manufacturing facility in the next five years, but that...