Company Background
Turbonetics is a business based in Simi Valley, California which designs, engineers and manufactures turbochargers it got its start 34 years ago to meet the burgeoning demand for performance automobiles. The company once worked with the California Highway Patrol, for example, to outfit its vehicles. The business has since diversified into other markets like industrial and military by specializing in delivering custom-built forced-induction solutions. Hit hard by the recession, the company credits starting the Great Game of Business in 2010 for helping spark its recent turnaround.
Business Challenges
When the recession hit, the automotive industry flat-lined – which slashed the company’s revenues by 27% in 2009. “The industrial markets were being cut in half and even our customers were going out of business at the time,” says President Brad Lewis. With reve-nue down, cash became short, which made it difficult for the company to service its debt. Turbonetics’ bank even suggested that the company go looking for another lender. In re-sponse, the company began a work-share program and mandatory pay cuts at all levels to help to cut costs and reduce its cash needs moving forward.




