The Grocer

By Antoine Ferducci

Ever pondered the art of acquiring a business, or the knack of seamlessly accumulating rental properties? Delve into this riveting narrative that not only educates but also captivates.

Journey with Antoine 'Tony' Ferducci as he steps into the bustling world of a local grocery store half a century ago. Starting as a humble 16-year-old employee under the mentorship of three Italian entrepreneurs, Tony's ambition quickly becomes evident. Even before his high school graduation, he is determined to immerse himself full-time in the grocery trade.

Witness Tony's business acumen in action as he transforms from a young shop boy to a business magnate. His empire expands to include not just the original grocery store, but three more, alongside six 'Gas & Goes', a major construction company, twin liquor stores, a pair of used car outlets, multiple hair salons, duo of restaurants, a bustling shopping center, a dedicated dry cleaner, and an impressive portfolio of nearly 200 rental units.

Dive into The Grocer and discover the exhilarating world of enterprise, growth, and the relentless spirit of ambition.

• Language: English
• Publisher: Austin Macauley Publishers
• Release date: Mar 1, 2024
• ISBN: 9798889102793

Antoine Ferducci

The author is a graduate engineer, who rapidly progressed up the ranks in each of the several manufacturing companies that he worked for, becoming Director of Engineering at the age of 33 and promoted to Plant Operations Manager of 1200 employees at 35. At 44, the author started his own business and used that as a springboard to purchase and successfully run several more businesses and commercial properties. Over the years, the author has gained an incredible knowledge of how to negotiate, fund, purchase and operate a vast array of businesses.

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About the Author

The author is a graduate engineer, who rapidly progressed up the ranks in each of the several manufacturing companies that he worked for, becoming Director of Engineering at the age of 33 and promoted to Plant Operations Manager of 1200 employees at 35. At 44, the author started his own business and used that as a springboard to purchase and successfully run several more businesses and commercial properties. Over the years, the author has gained an incredible knowledge of how to negotiate, fund, purchase and operate a vast array of businesses.

Copyright Information ©

Antoine Ferducci 2024

All rights reserved. No part of this publication may be reproduced, distributed, or transmitted in any form or by any means, including photocopying, recording, or other electronic or mechanical methods, without the prior written permission of the publisher, except in the case of brief quotations embodied in critical reviews and certain other non-commercial uses permitted by copyright law. For permission requests, write to the publisher.

Any person who commits any unauthorized act in relation to this publication may be liable to criminal prosecution and civil claims for damages.

The story, experiences, and words are the author’s alone.

Ordering Information

Quantity sales: Special discounts are available on quantity purchases by corporations, associations, and others. For details, contact the publisher at the address below.

Publisher’s Cataloging-in-Publication data

Ferducci, Antoine

The Grocer

ISBN 9798889102779 (Paperback)

ISBN 9798889102786 (Hardback)

ISBN 9798889102793 (ePub e-book)

Library of Congress Control Number: 2023918629

www.austinmacauley.com/us

First Published 2024

Austin Macauley Publishers LLC

40 Wall Street, 33rd Floor, Suite 3302

New York, NY 10005

USA

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Author’s Note

Other than Tony, there are no names; of cities or individuals. The men are referred to by capital letters. All of the women, men and places are a figment of Tony’s imagination, yet the realism in the story is incredibly believable.

Introduction

WOW! Here I am sitting in the conference room of the largest bank in town, waiting for the bank’s attorney, so that we can conduct the ‘closing’ of the purchase of the only grocery store in town … from the present elderly owners, to me, a 21-year-old, first-time businessman.

When the bank’s attorney arrived, with a large folder in his hand, he sat at the head of the large conference room table and apologized for the delay. To his left were the three elderly brothers that owned the grocery store (Mr. X, the store manager, Mr. Y, the grocery manager and Mr. Z, the frozen food manager) and their attorney. To his right sat the bank manager, then me and my attorney.

The bank manager introduced me and my attorney. Then the bank’s attorney opened his thick file folder and began the proceedings.

The first order of business was to review and approve the inventory (which we had taken the day before). The store’s accountant had prepared a formal summary report showing the inventory of goods and another report showing the equipment inventory … our earlier estimates weren’t far off.

Mr. X (the president of the grocery store) passed copies of the inventories to everyone.

I explained that I had participated in the inventory, and I agreed with the totals.

The remainder of the purchase was detailed in the formal Purchase and Sale agreement that we all (me and the three brothers) had previously signed.

Then, we each signed the appropriate documents and checks were prepared for each of the brothers.

Finally … it was DONE!

I owed sooo much money … it was unbelievable. I had never had a loan of any nature in the past. While I act fairly mature, I am thinking that the bank is taking a big chance with me.

How did all of this get started?

You will have to read on.

Chapter 1

When it came to my twenty-first birthday this year, my folks made a big deal out of it!

Of course, my sister, her husband and all of the aunts and uncles were there … it was a beautiful day … we played horse shoes, barbequed Hamburg’s, Hot Dogs, Steaks and a wide variety of Italian dishes. I even had a beer … to satisfy everyone that I had an alcoholic drink!

I got several golf shirts (all black … I wear only black clothes, black socks and black shoes or black sneakers), several ties, some aftershave and my Uncle T gave me $200 to put towards my next car (Uncle T was my godfather and always was very generous to me).

My mother had three older brothers, all married. Uncle J was the oldest and he owned a gas station/garage; he had one daughter, who was older, married and they moved away. My Uncle T owned a large construction company and my uncle A, the youngest brother, owned a painting company.

My father had only one brother, Uncle R and he owned a carpet and tile store, he had one daughter and she worked in the store with him. All of my relatives lived within 20 miles of us.

I was the only boy in our immediate family; Uncle J had a daughter, Uncle R had a daughter, but Uncle T and Uncle A had no children and were always interested in what and how I was doing.

All of my relatives were impressed to hear that I had been made assistant manager at the grocery store … I was very proud and somewhat embarrassed.

____________

How did I get here? Well, I live in a very small town. The son of Italian immigrants. I have a sister, four years older than me (married and both her and her husband work as graduate pharmacists).

I am 6'2" inches tall, thin, with jet black hair and olive skin. My mane is Antoine Ferducci … but everyone calls me Tony.

At work: now, I was able legally, to order, receive and handle any or all of the alcoholic beverages for the store. I did a lot of work for Mr. Z.

One day back (when I was 17 years old), when I got to work, Mr. Z had his arm in a sling, he had evidentially hurt it the day before and went to the emergency room that evening. He pulled me aside and said that I would need to help him out for a few days (Mr. Y had approved). First thing, I needed to drive the company pick-up truck to the grocery warehouse to pick-up our mid-week order. He gave me directions and off I went.

When I got to the warehouse, I had to find a certain bay (which was for pick-up trucks) and back in between two large 18 wheelers. As I backed in, a man came out and had me back in close to the dock.

I told him that Mr. Z had sent me to pick up our weekly order.

He asked, Where is Mr. Z?

I told him that Mr. Z had injured his arm the day before and was unable to use it for several days.

The guy said, You know, he is too old to be slugging around all of these heavy boxes?

I just nodded in agreement.

The guy then said that he would go into the office, find my paperwork and pull my order. Fifteen minutes later he was delivering a skid of merchandise, to the dock behind my truck. As he drove away, he informed me that he had two more skids. When he came back, (I had taken several cases from the first skid and put them on the floor of the truck, all the way back against the cab), he asked me if I had ever loaded a truck before … so I told him that I hadn’t. He came down onto the pickup and showed me that I should put two cases on the floor, one on top of the other, next I should put a carton, partially on/over the sidewall of the truck, resting on the cases on the floor, slightly below … leaving the carton on an angle. This way, I could load cartons well over the side of the truck, without them falling off as I traveled. Great!

I continued to load all of the rest of the cases from the three skids, finishing with a stack which was well over my head. I was physically beat, and I was wondering how Mr. Z could do this every week.

Before I left, I took a long rope from the truck and strapped down my load. The guy gave me all the paperwork and I signed for the product and left for home.

The back of my truck was weighted down so badly I wondered if the front tires were still on the ground. In any event, I drove back to the store slowly, watching my side view mirrors, to see if anything fell off … nothing fell!

When I got back to the store, Mr. Z and Mr. X were waiting for me.

Mr. Z asked me, Where the hell have you been?

My reply was that I had been busting my butt, loading the truck and driving back.

Mr. Z had me back up to the door we used for deliveries … I hooked up the roller conveyor and loaded the entire load onto the conveyor … while Mr. Z checked each item off the list of the paperwork, I had gotten from the warehouse guy. When I finished unloading the truck, I was really exhausted … Mr. Z looked up and down his inventory list and remarked, That was everything on the list!

I was thinking, Great, I didn’t lose anything, but Mr. Z said, It usually takes me two trips to pick up all of that stuff … no wonder you took so long! Then he said, You must be tired … take a break … I am going to tell Mr. X that you picked up the entire order in half the time it takes me … when I come back, we (me) can unload the conveyor, downstairs.

I sat for 10 minutes and then I went down to the basement and started to unload the conveyor. After 10 to 15 minutes Messrs. X, Y and Z came down to the basement to tell me what a wonderful job I was doing and to ask if I would mind picking up the mid-week orders in the future. I was flattered that they were happy with my performance and of course I would be pleased to pick up the mid-week orders in the future.

Mr. Z stayed and watched me unloading the conveyor.

After a while, I said, I don’t know how you have done this … it is an exhausting job.

Mr. Z agreed and said that usually, he picks up the mid-week order on my day off … but since he had hurt his arm, they waited for me to come in and pick the order up. He continued to tell me that he usually picked up half the load, came back to the store, unloaded the cases onto the conveyor and while he was going back to pick up the next load, Mr. Y would take the inventory and start to unload the conveyor. When he came back with the second order, he again unloaded the cases onto the conveyor, while Mr. Y inventoried the load. Then they would both go down to the basement and unload the conveyor. Then, Mr. Z said, even though it was mid-day he would go home, take a nap and sleep until dinner time.

He was amazed at the ease that I appeared to be performing the same job that would wear him out.

He said, I am not as young as I used to be!

So, from that day forward, I picked up the mid-week order. When I was in school, I would go immediately, to pick up the order, unload it onto the conveyor and while Messrs. Y and Z inventoried and put it away, I would do the deliveries for the day. When I returned, I would help the two managers to put any remaining cases from the order away.

In the middle of the summer, after my 21st birthday, Mr. X invited me to lunch, on my day off, at noon, at a real good steak restaurant down the street.

He said, We park in the back of the building so that we can’t be found!

So, I showed up at 12:00 pm promptly to find all three brothers at a table and they had been there a while, given their almost empty martini glasses.

They seemed overly pleased to see me (of course they had been drinking). When I sat down, Mr. X called the waitress over and ordered another round.

It was my first martini, fortunately, I took a small sip … it burned all the way down to my belly.

Well, Mr. X said, I have decided that it is time for me to retire … sometime between now and the end of the year … and my brothers will retire at the same time!

WOW! I replied, and I took a drink of the martini, Good for you guys … but what will happen to the store?

The three smiled at me and Mr. X said, We plan to sell the store to you!

ME! I exclaimed … and all three nodded their heads up and down. Holy Cow … but I do not have the kind of money it would take to buy the store.

Mr. X replied, We know … I have already spoken to the manager of the bank that handles the store’s finances … he is very interested in meeting you on Friday.

Mr. X continued, You will need a down payment … which my brothers’ and I will split three ways and loan to you … you will pay us back monthly, over five years. You will purchase the building, all fixtures, coolers, counters, cash registers, desks … plus, all of the product, produce, meats … in other words, everything in the store … one exception … Mr. Z will keep the pickup truck … you will have to buy a new one.

My head was spinning! I called the waitress over and ordered a large iced tea … the brothers all ordered another martini … I don’t know how they could handle it.

Mr. X went on, Stop by my office this afternoon … I have had my accountant prepare a Proforma, for the bank … you will need to present it to the Bank Manager on Friday. My accountant has even calculated how you will handle all of the payments … even the ‘side payments’ to me and my brothers.

WOW … I was shocked … you could push me over with a feather … never in my wildest dreams did I think I would ever have the chance to own the store!

Mr. X then said, WELL … do you want to purchase the store from us?

Yes … but I would like to bounce it off my folks, first.

Of course, Mr. X replied, just give me your final answer, tomorrow … in the meantime, do not mention this to anyone … and I mean anyone!

Okay, I will see you in about an hour, I said and I headed for the door.

I was floating on a cloud all the way home. When I got there, Mom was home, alone.

I said, Today, is the greatest day of my life! Mr. X and his brothers all want to retire before the end of the year and they want to sell the store, to me! Can you believe that?

But you don’t have any money, Mom replied.

I am going back to the store for Mr. X to show me how it can happen … each of the brothers are going to loan me one third of the down payment … don’t mention this to anyone … please.

When I got back to the store, all three brothers met me in the office, Mr. X opened a booklet on his desk and said, Our accountant prepared this ‘Proforma’ for us, so that Tony can present it to the bank tomorrow.

He pulled out a very long sheet of paper and said, This shows our itemized income and expenses for the past five years, and projected for the next 10 years … it does not show any ‘side expenses’ (in other words … Tony’s repayments to the three of us). Expenses will rise and so will income … but the biggest change is Tony and a new Frozen Goods Manager, will make half of what we make now … plus there is a savings in taxes and insurance benefits for the three of us … so the difference, which is two of our salaries, plus benefits can be put toward the bank loans … and of course there will be enough to cover our ‘side payment’. He continued, Also, in this booklet is Tony’s offer to buy the business … that is so much for the building, property, equipment (fixtures, coolers, counters, freezers, registers, etc.), inventory and goodwill.

Each of the brothers and I opened their booklet and followed very closely, what Mr. X was saying.

Then he went on, To show his estimate for what the building is worth, is a page showing the tax value and another page showing the value of the building that our Insurance Carrier came up with … also, he used the Insurance Carriers’ estimate for the value of the equipment and the inventory … lastly, he came up with a ‘fair’ value for goodwill. I worked with the accountant to put this together and I feel it is a fair offer for all of us … of course the bank will have to get their appraiser to verify these numbers … and a complete inventory will have to be done, just prior to closing to establish the exact value of the inventory … what do you guys think?

I said, While there are a ton of numbers, it all boils down to how can I payback all of the loans … and the answer is the savings in payroll, associated taxes and insurance premiums from not having to pay the three of you!

Mr. X was impressed, he said, Tony, you got it! Then he gave me a separate, long sheet, showing the impact of the payments to the three brothers, over the first five years.

The other brothers felt it was fair as well. They were all in agreement, but I hadn’t given my final approval.

So, Mr. X said, Please give us your decision in the morning.

He then told me to take home the booklet and review all of the numbers for our meeting with the Bank Manager the next day at 1:00 pm … and to make my decision!

____________

That evening, after dinner, I showed Mom and Dad the Performa and I explained the numbers … they agreed that it looked very ‘doable’ but felt I should bounce it of my Uncle T, since he had a lot of experience with these types of things … great idea. My Uncle T was my godfather, and he owned a large contracting business. So, I called my Uncle T and he was available to see me.

In Uncle T’s office, I presented the Performa … he reviewed the package and agreed that the offer appeared to be doable and fair. Of course, he asked me how much I needed from him … I was embarrassed … and said, I didn’t feel I would need his help financially … I needed his experience more than anything. My uncle was impressed and told me that my presentation was excellent and when I needed the pickup truck, he would buy it for me, as a ‘new business’ gift … gee how generous!

____________

The next day, when I showed up for work, I told Mr. X and his brothers, that I was delighted to purchase the store (I think they were delighted, as well). Again, I had to say how thankful I was that they would trust me, with their ‘baby’.

At noon, I shot home to change into my suit and then, I met Mr. X at the bank.

Mr. X and the Bank Manager appeared to be very friendly … they had worked together for a long time. So, Mr. X introduced me and explained that I had worked at the store for over five years and that I had an excellent feel for the business. He went on to say that he and his brothers were getting on in age and that they each wanted to retire before the end of the year. Fortunately, Tony made an offer that he and his brothers felt was very fair … but Tony needs funding.

With that said, I told the Bank Manager that I had my accountant prepare a ‘Performa’ and I handed each of them a booklet. I opened the booklet, turned to the offer page and explained what I was offering for the business. Then, I showed how I came up with the offer numbers. Next, I pulled out the long sheet of paper and went over the Income and Expense Report, to show how I expected to pay for the business. Finally, I said what I wanted to put down, as a down payment.

The Bank Manager said that he was impressed with my presentation … he asked several questions, which Mr. X or I answered. Then he said he was very knowledgeable regarding the profitability of the store, but he would like some time to review my plan and to come up with how the bank would fund it.

I said that I would wait for the Bank Manager’s call.

We all shook hands and when Mr. X and I left the bank, he asked me to meet him at the steak house for a drink.

At the steak house, I met Mr. X at a table (he had a martini, and I had an iced tea) … he told me that I had just made an excellent presentation! He did not feel that there would be any major issues that we could not overcome. Then I went home, changed and went back to work.

____________

How did I come to be a grocer?

When I was younger, I worked on a farm, which my mom hated, because when I came home my clothes were filthy and smelly. Then, when I was 15, I went to work on tobacco, with my older friends … same filthy clothes, not as smelly but it paid better. I was always a hard worker and didn’t give a care how hard the work was.

Well, on the afternoon that I turned 16, my mom told me to go up to the local grocery store, to apply for a job. There were three Italian brothers that owned the store, and the oldest brother was the Store Manager, another brother was the Grocery Manager, and the third brother was the Frozen Food and Refrigerated Food Manager. Mom told me repeatedly, to tell the Manager (Mr. X), I was HER son. So, I walked to the store (about six blocks) and I went up to the Manager Mr. X and I said to the Manager, You know my mom, Mary Ferducci … right?

He said, Yes of course.

So, I asked him for a job. He smiled at me and had me walk with him to his office, where he pulled out a file from his desk drawer, opened it up, turned over several pages and said, You can add your name to the list … next to number 185.

I was flabbergasted … so I said, I am not looking for a job when I retire … I am looking for a job now.

The manager laughed heartily and replied, No, you won’t need to wait that long, since many of the fellas will have already found a job by the time, I give them a call … plus many of these names are girls and they just work on the cash register (remember this was in the olden days). So, I reluctantly wrote my name and phone number on line number 185.

When I got home, my mom asked me what day I was going to start, and I told her on my 75th birthday! Mom did not think my reply was funny. No, she scowled at me and asked why? I told her that I was number 185 on the list for new hires.

Mom said sternly, Did you tell the manager that you were my son?

Yes, I did.

Mom was in the process of making supper, so she said, Tomorrow you and I are going to that store, and I am going to tell that manager, When I send my son to this store for a job, you are supposed to give him a job.

You know Italian women are very possessive … but I am thinking, what did my mom ever do for the grocery store … she can’t be buying lots more groceries than the other moms. So, I was befuddled.

The next day right after lunch, Mom said, Let’s go, and the two of us walked to the store (my mom didn’t have a license to drive).

When we walked into the store, Mom walked right toward the store manager, who said, as soon as he saw her, Marie!

Then he put out his arms wide to give her a hug … which as I remembered he and the other two managers would do every time my mom went to the store (I never gave it a thought).

Before he got to Mom, she stopped and said sternly, Don’t you Marie me, when I send my son to this store for a job, you are supposed to give him a job.

Mr. X looked right at me and said, He didn’t say he was your son! Then he asked me, What time do you get out of school tomorrow?

I replied, 2:45.

He then asked, Can you be here by 3:15?

I replied, Sure.

Mr. X then told me to come in the back door and to the right was a clock to punch in. Next to the clock are the timecards and there will be one with my name on it, in the adjacent rack.

You will be working for Mr. Y (his brother), the grocery manager, as a stock boy.

Then he turned his attention to my mother and said, I am soooo sorry for the confusion, I just don’t think of you by your married name.

Just then, Mr. Y was walking near us, and Mr. X called him over, to say, This is your new stock boy, he starts tomorrow.

Mr. Y had a confused look on his face … and said, "I didn’t know I needed another