AC/DC Signs's success is a sign of the times
When Eddie Castro decided to launch his own sign company, it seemed only fitting that the first job for AC/DC Signs was an OPEN sign, which was made in the family garage with his wife’s help. That was in 1999 and last year the business had sales of $1.75 million. Castro predicts annual sales will reach $7 million within four years. AC/DC is probably the only Valley sign company that is UL listed, which brings in a lot of illuminated sign business from national chains expanding in the Valley and across Texas.
“Quality is not achieved by chance. People come to work and stay here. That is one of the reasons we succeed. I take care of my people and they take care of my customers,” said Castro. He teaches everyone of his employees how to make signs. When sales go down, other companies may fire people. That has never been an option at AC/DC, said Castro, who is a licensed master sign electrician. The company employs three master sign electricians and a journeyman and has apprentice electricians learning on the job in a four to five year program.
AC/DC 18 employees don’t call Castro “boss”; they call him Eddie. “It’s more of a
personal relationship,” said the boss. And it’s the same relationship with Castro’s customers. “I don’t feel like a businessman having to do stuff by the numbers. I prefer to lose some of my percentage on the product than lose my customer.”
Ninety-nine out of 100 customers have AC/DC do more than one project for them. “Our customers refer other business to us. We don’t have any kind of advertising, not even yellow pages. It’s because of our reputation for quality. Our control is strict on production and meeting deadlines,” he said.
Castro oversees operations--manufacturing and installation--and AC/DC’s general manager Don Green handles administration and sales. Castro worked for Green elsewhere, and knew they would make an effective team. “We just take care of what has to be done.” Brother Felipe Castro is the company’s business manager.
AC/DC has statewide contracts for Holiday Inn, Rudy’s BBQ, and other hotel and restaurant chains and is the go-to sign company for numerous businesses needing project management, sign design, engineering and installation. “Some customers don’t ask for quote. They just ask for the contract,” Castro said.
The sign maker said his customers want to be on the front page of the national trade publication Signs of the Times. That’s not too far a stretch because AC/DC won several Texas Sign Association awards in 2007. They include first place in electrical sign design for a pizza place and second place in the Large electrical pole mounted sign on pole and yet a third prize for remanufacturing an existing sign.
The company’s bread and butter is electrical signs including neon. “A sign is 24- hour advertiser,” Enna Castro said about the business she helped her husband start. The Weslaco teacher revealed that the company name comes from the initials of their two oldest children, Abraham Castro and Dither Castro but it is also a double entendre.
With expectations of tripling the business in the next five years, Castro and Green drew up a written marketing plan recently. Before adding a salesman, AC/DC wants the production side prepared to meet demand. In order to handle growth at the next level Castro realizes he must learn to delegate, as his advisors have recommended. “It’s hard for me. I feel like one of the guys on the team. People come into office, and I take care of everything personally. I want everything to go out of here in nice shape.”
Yet Castro understands it’s time for him to be on top of the business, rather than physically involved in it every minute. He’s starting to delegate responsibility to others.
Having grown from the garage to small warehouses and now to custom built facility at the Industrial Park at the Weslaco Airport, Castro is poised to expand after purchasing the adjoining property. Weslaco’s central Valley location anchors AC/DC Signs allowing trucks to go in any direction easily. “It’s good for my business,” he said.