Industry veterans mark return with Genesis Security
GERMANTOWN, Md.-Security industry veterans Alan and Glenn Kruglak are reentering the installation market this summer, opening a systems integration firm called Genesis Security Systems.
The two brothers have not run a security company since they sold their business GIC Security Systems to Sensormatic in 1995 and signed a five-year non-compete agreement. Now, the two say the timing is right to return to the installation business.
"We came back from the ISC show and we looked at the Washington, D.C. market and said 'Now's the time'," said Alan Kruglak, who will become the company's chief operating officer. "A lot of small companies have been bought up by big companies and while their intent is good, they're limited in their ability to provide personal service."
Glenn Kruglak, who will be chief executive officer of Genesis Security, echoed his brother's views, saying the company will focus on customer service and support.
"There's a lot of demand for products and services," he said. "We believe a smaller, boutique-like firm can be moreÃ‚Â responsive."
With that focus at the forefront, the two have high expectations for the company's success. The company will focus on integrating and installing systems that range between $50,000 to $500,000, mainly for commercial applications and the government market.
"Our goal is within a year to do $2 million in revenue and we expect to be up to $5 million in three years," said Alan Kruglak.
The Kruglak's bring to the table experience in running a successful, mid-sized systems integration business.
Their former company, GIC Security Systems, reported 20 percent operating profits and had a 54 percent gross margin. Over a five year period the company raked in $100 million in revenue and by the time it was sold to Sensormatic, employed 185 people.
Initially Genesis Security will open with six employees. Within five years, company officials expect the systems integration firm will employ 40 people.
The company is being self-funded with about $1 million.