So how do you get synergy from the combination of a company that makes pet products with an organization that generates much of its revenue from expert testimony in civil lawsuits? The combination hasn't proven to be farfetched for Reno's NorthStar Investors Inc., although the company's three principals are so old-fashioned they probably couldn't use the word "synergy"with a straight face.
To understand NorthStar Investors, start with its founders:
* Stuart Feigin, its chairman of the board,was the fifth employee hired by Oracle in 1978.
Today, he looks for investment opportunities.
* Chris Howard, its chief executive officer, is a veteran businessman who has taken companies public, worked as a consultant with big accounting firms and launched Howard Consulting Group about 20 years ago.
That firm, now known as Meridian Business Advisors, handles the regular sorts of consulting with business owners and also has developed a specialty providing expert testimony about issues such as business valuations in lawsuits around the nation.
* Randolph Townsend, its president, spends a fair amount of his time as a state senator in Nevada.His experience with public service is likely to be critical as NorthStar Investors gets ready to launch its first new business from the ground up.
Feigin, Howard and Townsend got together a couple of years ago and decided their combination of capital, business acumen and community experience had some possibilities.
They launched NorthStar Investors, and immediately folded Meridian Business Advisors into the new firm.
A key piece of NorthStar Investors' strategy, Howard explains, is use of the expertise of Meridian's team of consultants to manage other companies acquired by Northstar.
So far, the company has made a single acquisition Veterinary Ventures, a Reno company that makes drinking fountains for pets.
Since purchasing it, NorthStar tripled its sales, largely by developing distribution channels through major national pet retailers.
That model is one NorthStar hopes to follow with other acquisitions.
It looks for companies the industry doesn't matter that have the potential to be developed into national or international players.
"Our advantage is that we know to scale it up," says Feigin.
But the three investors are picky and patient.
One recent deal that crossed Howard's desk, for example, was rejected because the investors felt ethical unease about the business.
Mom-and-pop companies that don't have the potential to be scaled up don't get a second look.Hot trends don't mean anything.
"We are not focused on investing in the next big thing," says Howard."We are focused on building good, solid businesses."
Because they don't have outside investors clamoring for fast returns, the principals of NorthStar Investors can afford to take their time looking for the right acquisition.
"We're patient," says Howard."This is a long game for us.
We're not looking to buy companies to flip them."
Possibilities arrive from all over.
Business brokers call about companies they have listed for sale.
The networks that Feigin,Howard and Townsend have developed over the years produce some leads.
And Feigin spotted some possibilities while working in a booth for Veterinary Ventures at a European trade show.
At the same time, NorthStar Investors has looked at launching some new businesses.
One strong possibility is a lobbying and public affairs company that would draw on the expertise of Townsend.Another possibility a concierge service was rejected because it couldn't be easily scaled up into a national company.
While the availability of good businesses either existing companies or start-ups will determine the growth of NorthStar, Howard and Feigin say they're also concerned about ensuring that the company develops good managers to oversee its acquisitions.
Many of them will come from the University of Nevada, Reno.
Feigin and Howard work closely with UNR, and serve on advisory boards Howard serves on an advisory board for the UNR business school while Feigin advises the engineering school.
While the company gets a first look at some of UNR's top graduates, Feigin says his involvement with the university also reflects his belief in the future direction of the region's economy.
"As gaming in Reno is reduced in importance, the importance of the university will continue to grow," he says.