Building a multi-million pound cycling empire with Hot Wheels Founder, Former-MD of Cycling Sports Group & New Owner of Break Fluid, Russell Merry #13
There is no age too early to encourage an entrepreneurial spirit, as evidenced by Russell Merry, whose story takes him from selling newspapers aged 5, to growing cycling company Hot Wheels from £1m to £13.5m annual revenue with 26 employees before selling the brand in 2009. Russell then doubled the revenue of the business continuing as Managing Director at Cycling Sports Group, distributors of Cannondale, Charge, GT, Mongoose & Wethepeople Bikes.
Now in 2021 he’s embarking on a new venture to prove to himself that the term ‘One Trick Pony’ does not apply, Russell tells us of his ambitions for Break Fluid, a caffeine-based sports brand, while explaining the incredible drive and passion which has seen success both sides of the Atlantic Ocean, and spurred him on to find pastures new, at a time where many would simply settle.
Lee & Russell discuss:
Russell’s passion and expertise in the cycling industry
Learning a new craft from those who have a lifetime of experience
Inheriting his father’s entrepreneurial spirit
Running a business through generations of world-changing crises
Transferring business ambition to a new industry
Links & references:
Lee Cooper: https://www.linkedin.com/in/leecooperrecruiter/
Russell Merry: https://www.linkedin.com/in/russell-merry-6a3a151b/
Break Fluid: https://www.breakfluid.com/
Get in touch: lee@extrology.com
Episode highlights:
“I've learned a lot about coffee, and I'm learning all the time. Am I a lifelong industry expert, like those people who are passionate? No. But what I'm doing is learning, and also I'm working with those people. I'm finding those people, and I'm listening to them.” - 7:15 - Russell Merry
“Once you’ve been an entrepreneur, it’s hard to go back to working for someone else.” - 9:30 - Russell Merry
“When you have an enthusiast based industry, where people have grown up liking the product and are passionate about it, you need someone to keep the balance between keeping it real, which you need to do in an enthusiast-based industry, and commercial reality,” - 22:22 - Russell Merry
“I think the import duty on a PlayStation is about 2.4%, and the import duty on a bicycle is 14%. So that whole tax system is rigged against getting kids going outside and pedaling around.” - 26:00 - Russell Merry
“There's been interesting hurdles; not not getting into coffee in 1991, not becoming the Oakley distributor in 1981/82 if they'd have had us. There's been opportunities that you see later, but other than selling a bit of stock too cheaply in 2009 in the economic crisis there's nothing that's really gone wrong.” - 46:02 - Russell Merry
“We made products, we sold stuff internationally, we had international distributors for component brands, we've done quite a lot of cool stuff. And in the bike industry, you’ve actually got to ride the product, so you can talk the talk.” - 48:57 - Russell Merry
“I've spent a lifetime in one industry really, so it's quite interesting to work out whether I'm a one trick pony. With standard business principles, behaviors, and the way you interact with people; was that just like in the bike industry, or does it also work in the beverage industry?” - 56:40 - Russell Merry
“It seems to me that the more you ask people and just admit that you don't know what you're doing, the more they’re willing to tell you and help you, and then probably explain everything.” - 1:03:10 - Russell Merry
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