Special Operations Technologies, Inc.

Now, thanks to key guidance from the Santa Monica College Small Business Development Center (SMC SBDC), Cragg’s company, S.O. Tech (www.SpecOpsTech.com) is headed in a new direction: the adventure sports market. Snow and surf board bags, backpacks and courier bags are just part of the new product line S.O. Tech fashioned with help from SMC SBDC counselor Diana Platt.

“Jim came to me to discuss ideas he was thinking about developing,” Platt said. “He was looking for a sounding board, for ideas and a support system to develop his ideas. Every time he came for a counseling session, he accomplished milestones.

” Since Cragg’s last contact with the SMC SBDC, S.O. Tech has launched 28 new products and increased company sales with new contracts by 520% to $13 million. He also added a new factory and increased the number of employees by 180%.

“In a world that feels like your competitors are circling like sharks in the water, access to the SBDC programs gives me the confidence of knowing a great team and a wealth of knowledge are behind me,” Cragg said.

S.O. Tech originated during Cragg’s Army career when the 6-foot, 4-inch soldier realized Army gear didn’t fit well. Using sewing skills from a junior high school homeeconomics class, he designed and sewed pouches onto vests and backpacks for himself and other soldiers. When a double bout of malaria sent him to the reserves, Cragg set up Special Operations Technologies, Inc.

As a former, active duty Army officer, Cragg had plenty of ideas for gear and the niche his business could fill, but no real business education beyond military organization and leadership skills. Initial help from the SMC SBDC set a pattern of success, so that when he considered a new direction for growth, he retuned to the SBDC.

In 2006, he enrolled in a two-hour, marketing and sales workshop focusing on establishing a marketplace presence, targeting audiences and landing sales. He also began one-to-one business counseling with Platt. Together they worked on marketing, product design/development and future marketability for company products.

“He showed me a product that he developed for the military market and wanted to alter and introduce it to the civilian market,” Platt said.

Cragg began expanding his product line and came up with several more product designs but worried about keeping his workers who were primarily involved in the technicalities of product development. Platt provided recommendations for sales and service training and Cragg was able to keep his staff and assign them new duties. Platt also counseled him on the company’s projected growth pattern and how to use local resources like the One Stop Center to address workforce challenges.

In the beginning, Cragg was happy with $500 and $5,000 contracts. Now, his company recently completed a major contract worth up to $15 million to equip every Army Special Operations soldier with a medical kit. His pride goes beyond the dollars to the fact that, with his company, he is helping injured servicemen and women.