One of Colorado’s largest privately held mortgage banks is Hispanic-owned, and so are car dealerships, information technology firms and an oil and gas company.
As Colorado’s Hispanic population grows in size and clout, so do the diversity and earning power of Hispanic-owned businesses in the state.
Those firms will be on display during the annual convention of the U.S. Hispanic Chamber of Commerce in Denver this week.
“It was really the diversity that we have here that came to the forefront” in Denver winning the convention, said Jeff Campos, president and chief executive of the Denver Hispanic Chamber of Commerce.
The convention expects to draw 4,000 to 5,000 attendees, more than double the number who came in 1996 when Denver last hosted the national gathering for the U.S. Hispanic Chamber. Attendees are expected to generate $6 million in spending during the convention, which runs Wednesday through Saturday at the Colorado Convention Center.
The Denver Hispanic Chamber’s membership is increasing 20 percent a year as businesses seek resources to cope with a difficult economy, but also because more Hispanics, especially women, are starting their own businesses, Campos said.
The U.S. Census Bureau’s 2002 Survey of Business Owners, the most recent available, counted 21,520 Hispanic- owned businesses with $4.8 billion in revenue and 28,240 employees in Colorado.
Some businesses are Hispanic in the owner’s name or heritage only, with no specific focus on Hispanic customers. At the other extreme are firms that focus entirely on Spanish- speaking customers.
Recent immigrants have started some, while others belong to people with Colorado roots a century or more deep.
What they tend to share in common, like any successful business, are entrepreneurial hustle and hard work.
“You have to work hard and have ethics,” said Zee Ferrufino, CEO and owner of KBNO Spanish Radio Group. “You have to always be selling yourself and your product.”
Power in numbers
Ferrufino, a founding member of the Denver Hispanic Chamber, came to Colorado from Bolivia more than three decades ago, following the example of his great-grandfather who emigrated from Italy to Bolivia.
Ferrufino came to pursue the American dream but quickly realized he wouldn’t achieve it working for someone else. He started Denver Fine Furniture, then provided Spanish music to retailers through Denver Music Distributing.
That led into promoting Spanish-language concerts and the purchase in 1990 of KBNO, Colorado’s oldest Spanish-language radio station, which is now part of Que Bueno, a network of three stations.
Colorado’s Hispanic population is set to approach 1 million next year, 19 percent of the state total, according to estimates from the state demographer.
About 35 percent of Denver’s population is Hispanic, a market too large for any business to ignore, Ferrufino said.
Colorado’s concentration of Hispanic residents is the seventh highest in the U.S., and the buying power of those Colorado households was $17 billion in 2006.
“The Latino community has more economic and political power than ever,” Ferrufino said. “I am convinced that once we overcome this crisis, Hispanic small businesses will be at the forefront of the recovery.”
Big-picture enterprise
Anita Padilla Fitzgerald, president and CEO of MegaStar Financial, represents a different kind of Hispanic business — female-owned and with no specific focus on the Latino market.
MegaStar is on track to lend a record $1.8 billion in mortgages, thriving in the vacuum created by the failure of more aggressive competitors.
Growing up, Padilla said her family never had a checking account or credit cards, and they couldn’t afford to send her to college. She started in the mortgage business as a receptionist after graduating from Adams City High School in 1978, taking a bus to work.
“It would be very disrespectful to not take advantage of everything this country has to offer,” she said, recalling the sacrifice her grandparents made after leaving Mexico on foot.
Padilla’s firm doesn’t specifically target Latinos. At many mortgage industry gatherings, she is the only minority woman in a field dominated by white males.
“Sometimes when you focus on one segment of the business, people will put you in a box,” she said. “We do business from coast to coast.”
Success in niches
Likewise, Ivette Dominguez, whose parents left Cuba, has done well in a male-dominated industry. The owner of Alpine Buick Pontiac GMC in Littleton is one of only six female Hispanic General Motors dealers in the country.
Alpine pursues all customers, with a niche focus on female and Hispanic buyers. Domin guez’s success kept her from ending up among the hundreds of dealerships GM recently closed.
“Since 2005, I have been fortunate to increase the revenues from the previous ownership by 60 percent,” Dominguez said.
Nearly one out of five Hispanic businesses in the state is in construction, another hard- hit industry.
Companies in business more than 30 years are failing, while some new ones starting up are doing well, said Helga Grunerud, executive director of the Hispanic Contractors of Colorado.
Surviving the crisis
Villalobos Concrete, started by Hector Villalobos and his wife, Carmen, in 2003, is among those surviving in a difficult environment.
The Thornton subcontractor, which specializes in concrete curb work and road paving, has gone from $300,000 in revenues its first year to $10 million in 2008. It counts 35 employees and has plans to build a facility in Commerce City.
Villalobos has kept its overhead low and avoided taking on debt. Although the firm isn’t always the low bidder, it has a reputation for quality work.
“Do it right and don’t cut corners, whether legally, financially or ethically,” Carmen Villalobos advises.
The Villalobos’ also have taken advantage of programs the Colorado Department of Transportation and others offer to help small contractors with compliance, safety, payroll and other items.
Villalobos, 34, immigrated to the U.S. in 1990 when he was 15. He started with Castle Rock Construction as a laborer, became a finisher and then a foreman.
He still works 80 hours a week with his crews, while Carmen Villalobos puts in 60 hours in a home office.
Although this year has been more difficult than last year, the firm’s focus on road construction, which is getting a boost from federal stimulus spending, has left them in better shape than firms focused on residential and commercial construction.
Villalobos is working on 13 projects and recently hired three more workers.
Aldo Svaldi: 303-954-1410 or asvaldi@denverpost.com
About the convention
U.S. Hispanic Chamber of Commerce’s 30th National Convention and Business Expo will include numerous speakers, panels and events. Some events are free and open to the public, while others are open only to ticketed participants.
Here are some highlights of the event. For a full schedule visit: schedule-of-events.htm
Regional Youth Entrepreneurship BizFest: An entrepreneurial training session for high school juniors and seniors.
Colorado Convention Center
All day Wednesday through Saturday
Tribute to Latina Trail Blazers: Julie Stav, a best-selling author and national Latina television and radio celebrity, will act as the Mistress of Ceremonies for the event
Hyatt Regency Denver
Thursday, 5:30 p.m
State of Minority Business Luncheon: Speakers will address the state of minority businesses during the economic downturn as well as what is coming next.
Colorado Convention Center
Friday, 12:30 p.m.
Small Business Forum on Health Insurance Reform: A moderator-driven panel will discuss health insurance reform, its impact on small and minority businesses, their workers, potential solutions, current reform efforts, and the politics of reform.
Colorado Convention Center
Friday, 4:15 p.m.
30th annual Business Expo: Featuring more than 200 exhibitors ranging from Hispanic and International enterprises to Fortune 500 companies and government agencies. Colorado Convention Center Friday and Saturday
Sabor: Sip & Savor Denver’s Best — More than 30 local restaurants and caterers will participate in this event, which will feature wine, beer and signature dishes from various restaurants. The networking event will also feature Latin entertainment.
The Galleria at the Denver Performing Arts Complex
Friday, 6 p.m.
Tickets available at King Soopers or by contacting the DHCC at 303-534-7783 or go to .
